sábado, 30 de abril de 2016
Costs Reduction through 4 P´s methodology
In fact the best way to cut costs and expenses is through effective and intelligent management. This requires a look and analysis over at least the 4 P´s, as below follow: first P - Processes -
Processes should be evaluated, optimized, redesigned and sometimes even eliminated. Initialy we have to make a flow with detailed processes steps. We should question each resource used and each action done for process achievent.
second P - People
Is necessary a teamwork, working with commitment, efficiency and focus. But the main component is competent leadership;
third P Procedures
Formal or not procedures should be followed or someone will follow their own principles. Procedures can be challenged and even changed, but what can not happen is to define something in the paper and to do defferent in the reality. Many procedures exist only to embellish the wonderful books that companies adopt or say to adopt.
The last P regards Data Processing
Companies need to process information in a quick and practical way. Integrated systems need to be well used. Information should be obtained without difficulty and should not be reprocessed. Tools such as bar codes, and other tools to streamline the processing should be widely used. Many companies keep claiming mediocre systems can not invest. Already in other cases they have good systems that are underused for putting under coordination of not prepared people.
The approach of Continuous Improvement and KPI´s is important toll that should be present in all steps and in all 4 P´s
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