Beginning with the end in mind means being clear about who you want to be and where you want to go. And then travel that path.
Covey’s Habit two is based on imagination and on the idea that two different forms of creation exist: mental creation and physical creation. The mental creation comes first, and the physical creation follows the mental one.
Covey recommends that as much as you think about your life goals, you also think about who you want to be.
When you have that clear, you can draft principles and values in accordance to that person.
The leadership of the company develops a strong vision answering the question “Why does the company exist?”.
A few years ago we worked with the new CEO of a consumer goods company. He saw a lack of alignment amongst his new management team around the corporation’s goals and strategic direction. We worked with him to define the company’s one true objective and then to embed it within the organisation. We came away from this work with a strong appreciation for aligning an organisation around what we call its 'True North."
What do we mean by True North? A company continually faces fork-in-the-road alternatives; True North is a decision-making tool the management team can use to choose their path forward. Said differently, True North is a "break all ties" governing objective for how the company should operate.
Three central pillars that underpin World Class Operations are:
1. Operating Systems
2. Management Infrastructure
3. Mindsets and behaviour
Having a clear picture of what each pillar should look like is crucial to success.
Asset utilisation is an essential but often overlooked component that contributes greatly to the profitability of a business, An under utilised asset is likened to buying a new car and leaving it in the garage.
The most widely used measure to determine performance against capability of equipment is Overall Equipment Capability often referred to as OEE.
The aim is to maximise the use of the equipment to produce what it is capable of within the specified time-frame. In an ideal situation, the equipment should run at is designed rate and make good quality product for the duration however this is often not the case.
The will be occasions when downtime occurs and inferior quality product is made. Some of the downtime is due to "Planned stoppages" such as product change-overs or equipment maintenance but there will also be "unplanned stoppages" such as equipment breakdown, sub-standard raw materials, operator error and incorrect conditions.
To maximise equipment utilisation, the losses must be understood in order to target performance improvement efforts, eliminate the losses and get as close to ideal performance as possible.
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