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Implementing Change
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Summary
We have discussed many aspects of breaking down barriers between departments. These barriers are both vertical and horizontal. Vertical has to do with top management versus middle management versus clerical versus hourly, etc. Horizontal barriers exist mainly between functional de­partments. This can be as broad as marketing/sales versus manufacturing versus engineering versus finance/account­ing, or more narrow, as within any of these major functions such as manufacturing, i.e., production, manufacturing engineering, P&IC, purchasing, cost accounting, etc.

One of the most difficult aspects of this discussion, as well as others, has to do with which functions interface with one another regarding a specific issue. In most instances, many functions are involved to some degree. The problem is to what degree and from which perspective. Therefore, I concede that depending upon the type of business, how the company is organized, and who is involved, these func­tional relationships can be involved in different ways. Therefore, the foregoing discussion is based upon how most companies operate and from the presenter's experience, how these functions should interface.

For the purpose of this discussion, each of these walls must be eliminated in order for the company to be more respon­sive to the customer. In order to survive in the future, I firmly believe that tomorrow's successful companies must be more flexible and be able to continually reduce their total lead times. Prom order to delivery must occur in the minimum amount of time.

In order to master change, we must all be very open to new possibilities and ways to run our businesses. Pressures exist from every direction, both foreign and domestic, and if industry can complete profitably and successfully, then change will surely be our evolution to success.

To reiterate, each and every activity one performs within a company should be tested. This test is simple and it should end with the question, "Does this meet the customer's expectations? or from another standpoint, is this activity necessary from the customer's perspective?"

Exhibit I. Methods for Eliminating Departmental Walls

  • Make the customer the center of all decisions and services.
    Adopt a cross-functional team philosophy.
    Use CI, EW, and VA at all times.
    Use simultaneous engineering doctrines.
    Establish teams to reduce setup and reduce lead times.
    Review both vertical and horizontal functional barriers.
    Improve communications.
    Agree upon which functional disciplines are involved in key
    relationships.
    Establish integration goals and measure progress.
    Change the measurement criteria.
    Adopt principles of simplification, flexibility, and continuous
    improvement.
    Cross train employees.
    Use the "from the customer's perspective" test.
    Communicate the long-range goals of the company to all employees.
    Obtain certification in Integrated Resource Management.

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