We can be sanguine about the Coronavirus or be concerned or frightened – but we can't ignore the dramatic effect this crisis has on the global economy. In this article I don’t intend to give instructions like those issued by the government, about crowds and the like. I write about the business aspect, with all the issues you should deal with.
In some companies, working with improvement teams brings quick, clear, and considerable success. On the other hand, in others the work done by improvement teams is accompanied by frustration, and has no quick and clear results. Why? What's the difference?
wonder of wonders, CEOs who aren’t machine-maintenance people, are sure they "know enough", or "know best", how to maintain the "human machines" in their company. And if not the CEO, then one of the executives will be able to do it, in addition to their regular job.
At first results seem great. Especially when before the authoritative manager there was an indecisive one. Now decisions are made quickly and everybody falls in line. But this kind of management suffocates the company. It suppresses positive initiatives and when the authoritative CEO makes a mistake no one will dare correct them or point out the possible harm.
The kibbutz assembly needed to approve participation of a team from the company in a professional conference in Italy. I remember a heated debate. Travelling abroad was rare, and every trip was a cause for envy. In the assembly, a suggestion was raised – instead of one of the executives, "Sarah", a kibbutz member, will go, because she hadn’t been abroad yet.
I drew a big pyramid on the board, with him at the top, below him 8 VPs, and at the bottom 10,000 employees. I asked – how can you guarantee they'll efficiently produce quality products, if they aren’t engaged or invested in company goals?
Dividing the product to its two parts, which traditionally would have been one whole (the frame and the temples), and the possibility to create different and varied pairings, created something different. Unlike the usual product. This was a case of very interesting innovation. It enabled the company, for instance, to offer clients a vast number of choices for a relatively low cost. At the same time, this new method gave clients a feeling of independence and customization. Creating "a personal look".
The subtraction used by Itamar isn’t only of a key or other accessory whose role in opening the door is eliminated. The essence is simple and smart management of the right to open the lock and enter a home, club, center, pool, etc. Instead of the subtracted key, the system utilizes an accessory most of us already have: a smartphone. I believe anyone managing a community center or using one often appreciates Nemlock's use.
Facit is a famous example, but there were others. A recent example from Israel comes from the world of cellular parking services. I heard it from Ro'ee Elbaz, Pango's CEO ever since it was a small startup of four employees. In 2007 a tender for cellular paying services for parking was published by the center for local government.
A few weeks ago I met with Rona, a brilliant entrepreneur, and we discussed setting up her business. Towards the end of our meeting I suggested that, alongside starting her business, she could also take over her accounts management. "Why?" she asked amazed. "That way you'll have better control of your expenses", I answered and added, "It's very simple, and will save you money too. When you have a small business it's important. "
The local market is growing more competitive and diminishing, customs defenses are disappearing and imports make sales harder. Both Gad and Shim'on have turned to exports. They don't only compete with each other, but with the global market.
American companies reward participants based on how much money was saved for the company as a result of their proposal. The rewards average 458 USD. Comparatively, Japanese rewards average 3.88 USD (less than a hundredth of American rewards).
Israel added that Tomer was unwilling to teach other employees to operate "his" machine. It was clear that Israel postponed meeting Tomer as much as he could that morning, and once we finally got to him they communicated poorly. I couldn't understand what Tomer was saying and I'm not sure Israel clearly understood him either.
Our event focused on changing the production department and increasing efficiency. The team led a radical change in the department, including opening a wall which separated the two parts of the production space. On the third day, Osnat, one of the team members, burst into tears and couldn’t continue. She went home and returned to work only after a week of sick-leave.
I write a lot about getting employees invested, about efficiency, improved service, measuring indicators, and precision work with employees and clients. But if, at the same time, you have to lower prices in order to preserve clients in a competitive market, and to supply custom products to every client – you might find yourselves running fast in order to stand still. There's a danger that increased profit as a result of improvements in production will disappear compared to competition in the market, and at best you'll maintain low profit margins.
In it they could see how, at the end of the work day on Thursday, at three in the afternoon, the door to one of the departments was left open. Actually, it wasn’t a door, but a wide gate, made of two metal doors. Its width is about three meters, its height about four meters.
The CEO is in charge as far the law, the share-holders or the board of directors are concerned (meaning he's the one accountable). So he must ensure the company reaches its goals and targets, first and foremost profit and resiliency. Of course the CEO's instinct is, then, to be involved in everything, and try and personally lead all processes in the company.
About a year ago I started working with a medium-sized company, about 200 employees, and a shift-supervisor listed as CEO a consultant who would come to the site once a week. I asked what job the actual CEO did, and he said he had no idea.
Often excitement is so overwhelming that companied start developing a new business without first examining risks and chance of success. Sometimes, we look at a business close to ours, competitors are profiting in it, and we decided to enter it and join the big players. We jump into the water, and discover too late we jumped into a red ocean.
Around the end of every year I get questions about creating a work-plan for the upcoming year. First, I'd like to point out that the very end of the year is too late to start working on a yearly-plan for the next year. Additionally, it is better to base yearly plans on a larger, multi-year plan.
We often used the term motivation, but do we always mean the same thing? Last week I gave a talk in two classes in the School of Economics & Business Administration at the Ruppin Academic Center, as part of Dr. Adi Loria ("Select Issues in Management MBA"). The topic was "The Relationship between Management Methods and Employee Motivation".
What did it feel like, the last time you were complimented? For a nice outfit, doing well in school or on a successfully completed project? How did you feel posting about your kid's or grandkid's high grades on Facebook, or WhatsApp, and got dozens of likes?
Aviv set up a company and supervised production and sales in the local market from day one. Unlike many other founding CEO's, Aviv understood that if he wished to grow, he would have to let go, to bring in managers and give them responsibilities. Aviv also appointed QA and HR managers in the early stages, which is rare.
I am sometimes asked if I provide organizational consultation regarding management conflicts, and I answer that usually the source of the problem lies in the missing parameters in the allocation of authority, within management, and from there, the situation spreads to the entire organization.
When I was young, I managed the kibbutz field crops section. Meir (not his real name) was one of the main workers, a serious professional. He knew all the tasks and could do any of them equally well. But he didn't want to perform just any task. He chose what he wanted to do and what he didn't, as well as how he performed it.
One of the most popular articles from my blog is one I published last year on coping with employee absenteeism. In the article, I discuss how, 15 years ago, the significantly high rate of employee absenteeism was handled through positive rewards for employees who were never absent, along with interest and concern for the health of anyone at home sick.
Ron works in a senior position at a major company and was in charge of arranging a very important tour with the Minister of Commerce at one of the projects managed by the company. The visit was important to the company, but to Ron it was even more significant. He viewed the success of the visit as a personal test and an opportunity to position himself better in the eyes of the company CEO.
In the past, when I managed a company that manufactured and supplied office furniture to institutions, I began my term by visiting the delivery area to find out how deliveries are handled. To my surprise, I discovered that there was no follow up on packing lists and that the drivers didn't always turn them in.
If we have product trees, where the materials composing the final product are detailed, it is easy to work in the IT system to link the materials requiring movement from the warehouse for production and packing of the product sold or entering the warehouse before sale.
One employee interviewed said that she loved working there. People were nice and she enjoyed working with them. I showed this same employee a photo of the sign over the door and asked her if she recognized it.