What does this
current trend towards Lean Manufacturing that Manufacturers better jump on board
of, requires some simplification in the traditional way of managing businesses.
has changed its meaning and the definition that once Dale Carnegie gave is
taking over. About time! Power is no longer the strength to command but the
Human Relations skill required to provide admiration and respect to all of our
people so we get the same in return. That is the real “earned” power.
I can see many important organizations where top management rarely or never
visit the floor of their plants. They wear fine formal clothing and when asked,
they show total disconnect with the reality of their process.
other side, we are finding very important managers like Norio Ohno, the VP of
Toyota in Georgetown, KY, who wears work clothes just as any of the plant
workers, drives his golf cart all over the extensive plant and talks to his
people. He knows the names of most of them and commends their good performance
on a daily basis.
like these are ready to bring their companies to World Class Success and keep
them right there. The employees call them by their first name, they are liked
and respected and get spontaneous cooperation from everyone.
Lean Manufacturing environment requires of these leaders to succeed.
are the times for luxurious offices, which are never visited by the operators.
Gone are the times of Top-Down management. Down to Earth people are required to
establish a better relationship between the different positions in a factory.
Titles must relate only to the responsibility that each person has in the
process, and not indicate supremacy or submission.
respect for each other is the best rule for a Real Leadership environment. That
way these leaders keep the most productive people on their side. Satisfied
people are loyal to their employers and produce quality products and services.
They do not need a Union to force anyone to keep them working.
are several examples of this, and it is about time for businesses to realize
that Change is now mandatory.
company can have the
services and continuous support
of a Lean Manufacturing Expert
without having to pay for one!
is also true in the commercial arena:
are constantly more demanding and eager to compare. As a result, people are now
weary of those “upper level” or “high-end” stores that all of a sudden
have “specials” of 50% discount! They have been abusing and overcharging
their loyal everyday customers more than 100% with the “normal price”.
Can’t these directors analyze the evident switch in the preference of the
customers? Can’t they see how Wal-Mart is beating its competitors up each and
every single day with a fixed reasonable profit margin?
I actually try to
avoid shopping in any of those markup-champions stores.
will always exist, especially in a free market society like ours. What needs to
happen is a change of attitude in the management of the stores serving that
niche. Fine stuff does not necessarily demand 200+% markups and some people can
resent that practice.
current trend of Management Change applies to Manufacturing, and Retail
Services. Awareness is critical to survive. By moving larger volumes, we lower
the effect of our overhead costs per unit, so the bottom line will give us a
higher profit. When you enter a store with wide spaces, lots of lighting and
employees, and carpeted floors, think of all those costs being shared by the customers. The more
customers, the lower the overhead cost. In manufacturing, the same is true, the
higher volumes of products the lower the effect of overhead cost per unit, and
the larger the profit.
The questions we
should ask ourselves are:
can I expand my market to take advantage of my capacity?
can I get my customers to be more satisfied and loyal?
will I get my team to support these efforts?
Remember that all
of your associates (formerly called employees), are your customers and
also are customers of each other.
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