How could I know ……?

Last year I have a project with a large company from Romania, and the General Manager ask me how can he know if things going well in his company? He want something fast, very easy to see from a single sight, not to study days different reports.

I give him a simple solution witch can give you an idea if things is on the right way in your company: if sales manager, purchasing manager and logistic manager have a goods professional relationship this can be a sign for the owner of the company or GM that the things are not working well in the company.  When I said good professional relationship means that they do not fight for things like this for example: sales manager want deliver every quantities to every distance every time, but the logistic manager can’t do that because of the costs and they must to have some fight on this subjects; purchasing manager want to have more stocks because he wants to avoid out of stock, but the logistic manager do not have enough space in the warehouse etc. If they do not have fight like this inside the company and if they do not discuss this king of things in the meeting something wrong happens in the company because it is clear that every of them hide this kind of things, and, finally, this is wrong for company.

If your sales manager, logistic manager and purchasing manager do not have fight like this, this can be a good sign to go deep inside the organization because somethings happens wrong there. Actually every department must a control factor for other department and they always must show the problems that have in daily operational activities.

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2 thoughts on “How could I know ……?

  1. tim traaen

    I suggest you check out the capabilities the supply chain operational reference (SCOR) model provides. Great model that provides integrated metrics.

    Reply
  2. Smithe636

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    Reply

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