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Can anyone be a planner/buyer?
No, not just anyone can be a planner/buyer, nw should a company want
just anyone filling those positions. As we said earlier, this
position is pivotal in determining the company's investment and cash
flow. In most companies today, the majority of their costs are
represented by direct materials or overhead. We need competent
professionals to deal with the planning and buying issues each day.
Planner/ buyer candidates usually display several characteristics:
A. They are decision m akers. The position itself is configured for
people to make decisions, so putting someone into the position who
cannot do so defeats the purpose.
B. They are good decision makers. The position requires the
incumbent to deal with multiple priorities that are changing
constantly. The planner/buyer is required to balance his decisions
in the best overall interest of the company.
C. They are energetic self-starters. If your organization has a
good-old-boy, or girl, who comes to work every day and basically
does what is expected of them, leave them alone to do that. To fill
the planner/buyer positions find someone who consistently moves
beyond the scope of their job. To solve today's problems, we need
people with creative minds and the desire to champion change. The
planner/buyers will probably be some of the best people in the
organization.
Planner/buyer training and education
Planner/buyers require extensive amounts of training and education.
If a company is not committed to spending the money required then
the planner/buyers are not going to be as effective as they could
be. How much education is enough? Well, that will vary
company-to-company, but it would not be unusual to have a candidate
spend about 140 hours in formal education. There is an important
differentiation between education and training. Training is
mechanical, such as, how to complete a purchase order, or how to
release a shop order. Education is, for example, how to manage
inventory or how to analyze and balance a shop load. Even after all
of the education and training, planner/ buyers take time to develop.
Typically it takes 18 to 24 months for a planner/buyer to mature.
How do the people benefit from the planner/buyer experience?
Both the individual and the company benefit from the planner/buyer
experience. The company's benefits have been discussed at length,
now let's look at the individual. The planner/buyer has to interface
with and be knowledgeable of almost all aspects of the business
enterprise. The incumbent must understand the cause and effect
relationship between their position and manufacturing, finance,
accounting, master scheduling, quality and suppliers, just to name a
few. In essence, the planner/buyers become mini materials managers
for their areas. The individuals become well rounded in most of the
aspects of the business. They become good decision makers that are
capable of weighing multiple considerations, in a pressure filled
environment. The planner/buyers are very valuable to the company as
well as to themselves.
Which Companies Should Adopt the Planner/Buyer Concept?
Almost anyone can use the planner/buyer concept to their advantage.
The question becomes should a company utilize the concept, and to
what extent ? The answer is in whether or not one is happy with the
administrative cycle time, and costs of their company. If not, the
planner/buyer is a valid concept to be used to improve the
situation.
After a decision is made to adopt the planner/buyer concept, the
question of extent has to be addressed. Company G had individual
product lines that ran on dedicated assembly lines. Assigning
planner/buyers by product line was a natural. Other companies are
different, and planner/ buyers may be best allocated by commodity,
or resource, or some other type of control group
Summary
The planner/buyer position is a valid approach to reducing
administrative cycle time and lowering indirect labor costs. Most
companies will have to re-think the way they do business to make the
concept work for them, but the benefits are great. Not everyone can
be a planner/buyer. The position requires energetic people who are
willing to learn, grow and make decisions. The individuals filling
the planner/buyer positions learn a lot about a manufacturing
business thereby increasing their personal worth and their worth to
their company.
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