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Planning
accountability

Assume ownership – stop forecasting start planning

We are approaching this time of the year when companies start preparing their sales forecasts for the next year, based on which they will decide on the ways to be prepared for this forecast realization with investments, people, capacities etc. There are so many difficulties and challenges the forecast based process creates for companies; from

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Out of control
Control points

Control, Over-Control and Out-Of-Control

It seems obvious, control of systems is necessary for their performance. It provides the identification required to ensure actions taken result with the desired outcome, it provides people with guidance and allows managers to intervene effectively. Can it be however, that the commonly used control systems, not only do not satisfy these important needs, but

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Paradigm Shift or Shifting Paradigm
Change

Paradigm Shift or Shifting Paradigm

When one takes a deeper view of leading brands of the world and asks himself – “How did they get there?” One gets many possible answers. What is common to many of these answers is the theme – They have chosen to do something in a highly non-traditional way, even in a way that is

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Your key preformance indicator
Cost

Your Key Performance Indicator

This post is dealing with “for profit” organizations (although may very well appeal to others as well). Top management of these organizations is supposed to be leading them to continuously and consistently increase their revenues, profit and profitability while at the same time ensure their sustainability (thus adding to the profit/profitability commitment, commitments to other

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Are we afraid of big improvements
Breakthrough

Are we afraid of big improvements (breakthroughs)?

For many years I am being driven by the desire to generate leap jumps (breakthroughs) in performance for my customers. Let me define what in my eyes is a breakthrough in performance – it is an improvement of at least an order of magnitude, without any new technology breakthrough. A few examples: Reducing production lead-time

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Is technology the only lever for breakthrough performance
Breakthrough

Is technology the only lever for breakthrough performance?

Breakthrough performance is something that companies seem to be seeking, even desiring to realize, nevertheless it is being searched for with preconceived notions. Maybe we should start the discussion defining what breakthrough performance is – it is a jump in one, or more, performance indexes. To be deserving the title breakthrough this jump should be

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Our biggest challenge in delivering performance breakthrough
Breakthrough

Our biggest challenge in delivering performance breakthrough

Mankind, by nature, strives to be better, faster, smarter, richer, more productive and so on. The foundations of know-how to support this natural tendency are mostly available, and more is being added with time. When observing the world of technology it is evident that this know-how is well utilized and new and exciting breakthroughs are

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One thing
Breakthrough

The one change that will uplift your production performance

Manufacturing companies competitiveness and performance is highly dependent on their production performance. Lead-time (speed), reliability, quality, productivity determine what the current performance can be, and how competitive the company is. The above is know since the beginning of time. Manufacturing companies are engaged in a never-ending chase to improve on these performance measures. Support these

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Our experience friend or foe
Breakthrough

Our experience, friend or foe?

As we accumulate years of experience we also accumulate valuable knowledge. We learn from our mistakes (hopefully) and gain better intuition about things. This is excellent. However, experience is a double edged sward, on the other side it blocks our vision and narrows our width of thought. We believe that “we know” to the extent,

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Supply chain performance
Availability

Supply chain performance – The key to success for the Consumer goods producers

Companies constantly seek ways to improve their performance and enhance their competitiveness. One of the most powerful areas for achieving that is supply chain performance, because: It is relatively simple to gain meaningful improvement in performance Any performance improvement immediately improves cash, cost, investment and sales Supply chain performance answers a highly important need of

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What is the value of 1
Availability

What is the value of 1% availability improvement for a Retailer?

Retail is one of the interesting businesses. It involves huge amounts of money selling goods to extremely large crowds, but with relatively low profitability. This low profitability, due to the huge revenue is, cash wise, sufficient to enable retailers to thrive in a performance level that would normally bankrupt other type of businesses. When faced

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Protect your cash and it will protect you
Cash

Protect your cash, and it will protect you

One of the slogans I very much believe in says – “When you have enough cash nothing is important, when you do not have enough cash nothing else is important“. In the constant chase for growth and profits, it seems that cash situation does not receive the respect it deserves. At least not before the

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Complexity vs Simplicity
Causalities

Complexity vs. Simplicity a doomed battle… or not?

Life is complex, anyway we observe our lives whether personal, social or business it is complex. What makes them complex is the fact that whatever we set our minds to do (or at least almost everything) has so many dependencies, so many elements that have an effect on the end result. Some of these elements

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Why is it that some excellent advice is so annoying
innovation

Why is it that some excellent advice is so annoying

There is a lot of advice one gets that seems to be so true, so powerful, so undebatable, so smart and at the same time sooooo annoying. Things like: Turn obstacles into success challenges Focus on the one thing which is the most important to you Set goals and evaluate your actions against them Put

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Our biggest obstacle to breakthrough growth is US
Actions

Our biggest obstacle to breakthrough growth is … US

We are born with the natural desire to grow engraved in our DNA, we are curious and we do not accept anything without challenging it. As we get older we slowly, yet surely, abandon this natural capability and replace it with solid truths. Some of these truths are a result of our own experience (“we

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Base your management decisions on solid foundations
Alignment

Base your management decisions on solid foundations

In my previous post I tried to demonstrate how cost accounting based measures are leading you astray. There is a better alternative, sound, consistent and aligned with business objectives. I often wonder, why is it that we continue using things we know are not good enough, or even bad? I believe there are two key

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Cost accounting measures are leading you astray
Alignment

Cost accounting measures are leading you astray

A good friend and mentor told me many years ago that “If you ask lousy questions, don’t be surprised to get lousy answers”. I found over the years two facts: The first one is that this sentence is amazingly true and the second, is that with small adjustments this sentence can be rewritten to accurately

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