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Organization Resources

Once prepared the product the company submits it to a review process to separate those that proves to be defective. If possible, fix it, it is arranged, and if not, it should be discarded. Visit Jeffrey Bewkes for more clarity on the issue. Skip the review and shipping defective products is detrimental to the reliability of the customer in the company. Competitiveness requires employers to apply quality control especially in challenging markets where there is competition from several companies that produce the same product. Venezuelan SMEs must have administrators who have knowledge of the importance of quality in the production of the company and of the philosophy and culture of total quality.

As an example of an SME which does not apply the quality control, we can mention as Maria Coletto reminds us of them It is Ferrucci, trousers among other pieces of clothing manufacturer, which put on sale pants without buttons, with defective zippers and defects in cutting. Productivity: Productivity concept is very simple because it is the relationship between what occurs in an organization and the resources required, in other words, is an indicator that is obtained by dividing the value of the produced between the number of workers who have been involved in the production process. Therefore if you decrease the denominator, i.e. employment, productivity increases and hence the profits of employers. Productivity is often confused with production, for example, if they produce more goods and services, is supposed to you have increased productivity. But production represents only half of the equation, therefore, cannot be reached a conclusion about productivity without taking into account changes in the resources that are needed to improve the product. The success of an organization is based on the efficiency with which uses all its resources: raw materials, manufacturing burden, skilled and motivated workforce, equipment, etc.

Productivity is the only weapon that has the Organization aside from the price increases to offset the effects of the increases in costs, especially in an environment like ours, contaminated inflation, political, social and economic insecurity. They can not forget the changes in profitability, bearing in mind that in a broad sense, these derive from factors: productivity (efficiency with which resources are used) and recovery of prices (the degree that increases in resources per unit costs are recovered by increasing selling prices). An organization that increases their profits has used its resources more efficiently (enhanced productivity) either has raised its selling prices to such an extent that the cost increases have been recovered or both. Venezuelan SMEs must give way to indicators of productivity that favours him in satisfying his demand, minimization of costs. To the extent that management identifies the relevance and extent generated by having a good productivity will increase its profitability due to increasing their productivity and the increase in sales prices. Be presented the large number of workers dismissed by companies which have been operating with half of its installed capacity. * reference: V.

The Department

In its most radical form, replaces the departmental organization. In other ways, perhaps transitional, remains the departmental structure, responsible for a process is the responsibility of the same but at least in what that process is concerned, may have authority over functional managers (matrix). The process management has the following features: Analyzing the limitations of the vertical functional organization to improve the competitiveness of the company. Recognise the existence of internal processes (relevant):-identify the processes related to the critical factors for the success of the company or that provide competitive advantage. -Measure your performance (quality, cost and time) and put it in relation to the added value perceived by the customer. Identify external customer needs and guide the company towards your satisfaction. Understand the differences in scope between the improving the process-oriented (that and who do things) and that focused the departments or functions (how do I):-productivity of the whole front of the individual (global partial effectiveness effectiveness).

-The Department is a link in the chain, process that adds value – organization around results not to tasks. Assign personal responsibilities to each process. Establish performance indicators and targets for improvement in each process. Assess the ability of the process to meet them. Keep them under control, reducing its variability and not random causes dependency (use statistical process control charts to make predictable quality and cost).

Continually improve its overall performance by limiting their common variability Measure the degree of internal or external customer satisfaction, and put it in relation to the evaluation of personal performance. The difficulty, large by the way, not stowed in the technical component of this way of managing a company, but in changing people’s attitudes. Some of the paradigms under which we have educated, as logic Tayloriana, the organizational structure and hierarchy, should be called into question, as well as certain cultural values now seen as a brake on creativity.