Your sales manager had just received an order from customer and asked you to execute the order. He expects you to complete produce and ready the product for delivery on time.
What do you do next?
You have 2 choices. One; no matter what, you strive to assemble up all the resources available within your business unit and execute the order by giving clear and firm instructions to your workers to get the product up ready for delivery. In this context, adhering to procedure, processes and systems takes a back seat as you might assume that those might just delay the effort in satisfying customer's delivery date.
On the contrary, you can select the second choice; which is seeing the order flow through various value chains of procedures, processes and systems.
Either chosen way will see the products meet the committed delivery date but there is a difference between this two choices.
The second scenario mentioned above entails a context of production workshop that emphasizes on performance efficiency and job effectiveness being sole priority in achieving organizational excellence as opposed to the first scenario above.
In the context of the first scenario, the activities of producing an offering circulates primarily on the speed of activities and not pretty much rely on the 'quality' of the activities. The climate in which jobs are executed somewhat can be described as 'unsystematic' where production 'waste' become high and irrelevant if ultimate focus is on the delivery date. In addition to this waste, performance efficiency issues too plays less focused and in most cases are neglected by managers as all eyes will be on the contracted delivery date.
I personally feels that the second choice, which is controlling the production loss time and measuring the work performance of production activities are crucial in any production based environment because by practising so, the cost which is a factor of the contractual selling price can be brought to minimum. This then determines the bottom line of the company and subsequently the return on capital employed.
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.