Saturday, July 18, 2009

Manufacturing Support Services Good Practices

The support services practices are centered around the following principles:
  • • I need to minimize churn, recycle and paperwork for the people running the business so they can focus on production
  • • I need to protect the companies interests with enough controls and definition so that the business is not jeopardized
Key Support Service Practices

Accounting

  • Minimize bad decision making to meet budgets
  • Make sure production decisions are made on marginal cost/profit not cost accounting costs
  • Hold contingency funds at highest level so they can be optimized and directed where best suited
  • Make your capital / expense rules suit your business
Information Systems
  • Allow enough flexibility to let people have the tools they need to do their job but try to all use the same tools.
  • Tools should demonstrate their worth on a benefit / cost basis
  • Sometimes homegrown is better
Legal and Environmental
  • Tell them what you want to do and make them work to find a way to do it (also applies to Safety)
  • Document your decision basis
  • Where fuzzy, interpret in your favor
  • Always show concern for the environment.

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