Supply Chain Management Workbook

Chapter 10: Shop-Floor Control

Overview

One of the objectives for the progressive company is to create a customer-focused orientation within the organization. Each unit or function understands the needs of the end user and deploys those requirements throughout the organization. Each unit then acts as a network of focused problem-solvers. If quality, for example, is an issue for the customer, then the quality assurance system is a network-prioritized activity that plays a role in satisfying the customer.

An integrated shop floor can move the organization forward to becoming a customer-orientated entity in contrast to the traditionally orientated approach, compared in Figure 10.1.

Traditional company

Progressive company

Structure

  • Form comes first

  • Central control

  • Need comes first

  • Decentralized control

Organizational responsibility

  • Top/staff provides order

  • Top/staff is responsible

  • Top/staff assists the rest

  • Everybody shares responsibility

Customer orientation

  • Crude

  • At the top/specialist

  • More refined

  • By everybody

Key player

  • Quality

  • Cost

  • Delivery

  • Inspector, quality staff

  • Industrial engineer

  • Expeditor, scheduler

Everybody, including shop-floor people, is involved

Source: Suzaski (1993).


Figure 10.1: Comparison of customer orientation between traditional and progressive companies

Continuous development of the understanding about the customer-supplier relationship between functions is vital in developing the customer-orientated organization. The flow of work between customer-supplier links is, after all, a communication flow. Measures which appear small can perpetuate the customer-supplierperspective. Visible charts at workstations (performance indices) are an example of communication flow within the organization. Details about standard operating procedures and work centre activities can be displayed so it becomes clear what takes place where, and when.

Attitudes, motivation...

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