Survey

In spite of high inflation some cost savings were obtained. How much net cost changes in the last 6-12 months did you obtain over or under the budget?

More than 10% under.
1 to 10% under.
No change.
1% to 5% over,
6% or more over.

Schedule and Monitor Action Steps

Date: 10/01/2014

Many of us tend to procrastinate. It doesn’t cause too much difficulty, except when it is important to eliminate a problem, improve an operation, or get things done on time. It is very helpful to schedule action steps to make life easier and eliminate the consequences of delay. Each step needs to be checked to see that it is taken on a timely basis.

There is usually a natural order to the steps that need to be accomplished. Some actions need to be taken before others should be done. Take for example the selection of a new supplier. Specifications must be available. Inventory requirements need to be ascertained. Bids and references must be obtained. References should be checked. Quotes and analyses of the comparative costs must be conducted. Negotiations need to be finalized and a contract prepared.

Supply chain management requires adding steps to coordinate inbound and outbound carrier services with each supplier in the chain. Raw material, component suppliers, and packaging material suppliers must all work together on a well established schedule to deliver when needed.

Each step in a project should be written down so they can be communicated exactly the same to all who are involved in the operation. Keeping it in your mind alone is seldom adequate. Assigning tasks or describing duties orally only frequently leads to misunderstandings.

Failure to monitor each step to see that the items are completed as scheduled results in delays and extra costs. Late action by any party’s assignment promotes errors as those involved rush to get caught up.

Delays are frowned on by good managers. Late reports reflect poorly on the preparer. Monitoring the lists of actions necessary for completion warn you ahead of time that you may be late. This will give you the opportunity to get a time extension rather than surprising the boss with a failure to deliver on time after the fact.