MANAGEMENT CONTROL SYSTEM

A CASCADING MEETING ORGANIZATION TO HELP
MANAGERS AND TEAMMATES TO BE IN CONTROL
OF DAY-TO-DAY ACTIVITIES

WHAT

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The term "management control" can be misunderstood: it’s not about control in the coercive sense of the word, but in the sense of proficiency in performance and the management role in this task. The idea is to learn to be in control of day-to-day activities. The idea is to define standard situations in order to be able to detect deviations from them and react if necessary, which leads the organisation to identify its processes and therefore make progress.

BENEFITS
 

Implement a management control system permit to:

​​​Improve business results in the fields of quality, service rate, productivity and downtimes.

• have a very strong uptake of the production system by the management thanks to this approach.

• Increase team member responsibility, autonomy & efficiency by optimizing its activity, by frequently encouraging managers to be on the field, to review performances & problems and take immediate actions.

• focusing on immediate losses within the shift.

• Increase effectiveness (by utilizing data at its source to drive decision making)

• Fast pace of improvement (localized focus increased the pace of improvements)

• Shift from instability (fire fighting & demotivation) to stability, anticipation & continuous improvement.

HOW

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On the factory floor,

1. ​​Implement multi-level indicators: two or three indicators to monitor at each level, which very reliably reflect what is happening in the field.

2. Create systematic visual management techniques associated with these indicators (dashboards/A4/ checklist...)

3. Established a habit of a daily plant tour with a precise route. This plant tour is performed by its Factory Manager; it allows him/her to view a situation, measure deviations from the standard and start the day with a list of prioritized actions to correct the situation (the Top 5). In addition, it allows him/her to get the opinion of the local management, their under standing of the situation, to compare viewpoints, to identify coaching and development needs if necessary, and thus to re-assume his/her true managerial role. An improvement is measured when the top 5 is no longer about submitting problems to the plant director, but when it becomes about checking that the right decisions are being made locally.

4. This daily tour can be duplicated in each department to build a cascading system of synchronized gembawalks.

5. Each deviations leads to corrective actions right on the spot if simple, through a problem solving if more complex. Check if the action leads in reducing the gap with the Standard.

6. When the situation is stable, level up standard threshold.

7. Routines & checklist content are adjusted depending the priorities of the factory.

8. Deploy the routines as frequent as possible (hourly/daily...), at regular time, with a decided duration and respect them.