Once led the Kraft Corporation and the Nabisco company to brilliant ,and save the famous Gillette Company James ?Kiltz ( James Kilts ) was to go to take office as Gillette Company ,CEO, Gillette Company has 15 consecutive quarter of no profit ,net sales ,net profit and net profit in the zero growth ,market share drops sharply, stock prices fell by 62% in two years ,value of nearly $40000000000 .
Therefore ,kilts presents a to seize the key ,because he thinks to want to succeed in business ,there are some things you must do ,and there are some things you should ignore .In the face of deep in the doom loop of Gillette ,he implemented a general management expenses zero growth ( Zero Overhead Growth ) strategy ,to reduce unnecessary expenses as Geely ,an implementation needs of the strategy ,rather than short-term emergency measures ,or enterprise in times of crisis a last resort .
On the successful salvage of Gillette Company secret ,Kiltz in a major achievement in one book to sum up in a word -- to seize the key ,but do the right thing is very important .
After Kiltz takes office ,Gillette Company financial revenue for 13 consecutive quarter of growth ,sales Compound annual growth rate reached 9% ,a record high market share ,stock price nearly doubled ,to create a 26000000000 shareholder value ,and contributed to the P & G company merger .
In contrast to our Chinese enterprises, although the ancients often warns us to be prepared ,however most of the enterprises still belongs to Jyu Si ,or hold a tomorrow ,tomorrow never comes .
This is the contemporary thinkers, Li Zehou said -- we Chinese culture is music culture ,and Western guilt culture and Japanese shame culture phase contrast words, we Chinese are blissful ,belongs to a poor memory ,or good scars forget the pain .
In other words ,we most of the time ,more just stared at visible ,while ignoring those unseen .We can use a funnel on the quality cost principle to illustrate this problem :we can draw two shaft ,a shaft is cost ,another axis represents time ,then in two shafts to draw a smooth curve .
From the point of the surface ,with the passage of time ,the cost is decreasing year by year ,the financial statements can be proved .However, we choose a point on the curve ,you at that point, we have a cost not to fall ,but is slightly rise ,at the same time, we have enough reason to support its rise .
At another point, we don place ,will be surprised to find ,Abercrombie,there is a cost does not fall to rise instead .If we put them both in the diagram mark ,then you will find ,in the quality funnel clearly show the prototype .
21 we then they mark out .You ,we drop is actually the direct cost ,quality cost language called no failure operation cost ( Error Free Cost ,EFC ) ,namely financial stresses the direct cost ;in addition ,does not decrease but picoliter ,we called meet the requirements of the price ( Price of Conformance ,POC ) ,also known as indirect costs ,or the period expenses ;the elevated line ,we called it PONC ,namely do not meet the requirements .
If the PONC decomposition will appear we often say iceberg phenomenon ,we see only the tip of the iceberg, such as rework ,scrap and cost ,the vast majority are hidden in the tip of the following ,which belongs to intangible assets loss ,such as goodwill ,the loss of the loss of customers ,sales opportunities miss ,new balance sneakers,program upside down ,excess capacity ,excess inventory and so on .
If we take quality funnel black ,you it is invisible ,hidden ,in the financial statements which basically is hidden and neglected ,this is the so-called invisible factory phenomenon .
The original is actually the unseen ,or, using conventional vision and ideas to see ,there will be blind area .We recall speaking in front of the old state-owend enterprise story ,the so-called welder ,welding rod are actually belongs to the budget cost ,and we say that PONC actually it is invisible ,is additional spending ,is hidden in your traditional quality of wisdom .
In other words ,it is because of you. Quantitative and has been implied in the so-called cost budget ,became a kind of is expected to generate cost .This fact gives us great challenges ,which in this challenge ,it needs is our quality personnel and financial personnel to work together .
So to speak ,it does not belong to the quality cost accounting category, it actually belongs to the category of management accounting ,and currently many of our enterprises it is lack of management accounting techniques .
If the financial departments of the people ,they just request from the accounting subject to the allocation of available subjects and the collection of data words ,really very great difficulty .
Because accounting is actually in the accounting period to cash basis for accounting basis ,combine to the regulated data distribution ,even assigned to every go in product cost ,management accounting ,it is needed to keep the existing financial data according to the business process into the operation according to the cost driver ,decompose each specific activity and product, these two kinds of thinking and method is not the same .
In other words ,to become the management accounting ,should not only understand accounting knowledge ,but also to understand your business operations .But at the same time, we a lot of enterprises which lack this kind of compound talents .
This is why we in the quality of the courses which teach each director director ,let them ,both the causes of indomitable spirit .The so-called of indomitable spirit ,is sure to become the boss man, helping management make quality commitment, at the same time ,also stand on solid ground ,in-depth business line ;the so-called broken ,is in fact to his left hand holding the human resource ,right hand holding financial hand .
Because of quality management is closely connected with these ,it is a integrity of the quality of thinking .But the reality is another kind of situation .In each conference ,financial personnel reflects basically are relatively passive : very simple ah ,the quality department to my data ,I can help you to be .
The quality department will often say : I can the data ah ,your finance department does not give me the framework ,I have no way to make data . This is an enterprise cost of quality can carry on reason .
Another kind of circumstance is also worthy of our reflection .There is a famous software company ,a few years ago has been in quality ,but quality basically becomes a bindings ,become a kind of assessment ,a punishment or to be in trouble .
This makes them think ,don mention the quality and rapid development ,so ,virtually have the quality as they are now in the development of a constrained .So ,you on their internal and external sites are found ,they are no longer mention quality .
On the face of it ,they seem to have reached the highest realm of management ,the so-called sword in hand ,heart of sword ,nowadays, they have no quality department ,because of their quality department already change one ,called the other what department .
But also the quality of personnel also the disintegration, cut in on the left several people .But admirable is ,so a few fire but very conscientious, really want to find an effective method in tissue ,truly enhance the quality, and to establish the quality department position .
In their understanding of the concept of PONC ,that is it can be used to allow the executives ,especially bosses to awakening ,and then ,in our guidance has launched a PONC project .
The output of a PONC project results came out ,and their management ,especially their top management to communicate when ,as you can see on their shock is very large .They never thought ,removed the word ,it is equivalent to losing a R & D building !At the time, their top management is said to be in the full implementation of the company PONC project .
But why no more quickly to proceed ?Later we found ,so those practical to implement the managers ,they think that now we don this thing ,because it is on his own previous work on negation .
Moreover, we are now in a period of economic crisis, winter has come ,we are going to spend the winter ,must be cautious before, or wait .The last of this matter ,will once again put those will set the prairie ablaze quality fire became sparks of fire .
.We found ,there is another class of situations also makes it a is very difficult to do .It is very funny, that is in our country and some otherworldly people, also is the aerospace enterprise and military enterprises .
In fact, their leaders are said to me :we now have great sense of crisis ,we have begun talking about cost .In the past the kind of should become rich ,accident , do not seek cost ,but the success of thinking ,in fact has become our development of a bound ,is very harmful .
Yes ,there was a saying called burn the floor ,just like the floor burning ,so that every management facing the truth ,face the problem .We are in a global economists collective self pumping mouth or Peters master called needs imagine time ,however ,hogan scarpe,we find that ,the nation has long nurtured by the gang is in one handsome block 100 ugly way to do management work ,and in this way a huge latent crisis ,that is just to see it can not see the sorrow ,in Kyoto many-storied buildings also house music , three lines stone wood house music .
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