Abstract "closed loop" is a management method in which every Internet enterprise is keen to pursue "closed loop management" as a closed loop system, management closed principle, management control, information system and other principles. It uses the company's production and sales management process as a closed loop system...â€œClosed loopâ€ is one of the most keen concepts of the current enterprise. How to understand â€œclosed loop managementâ€? How to implement "closed loop management"? It is a challenge faced by small and medium-sized enterprises in the abrasives industry in China today.
"Closed-loop management" is a management method that combines the principles of closed-loop system, management closed principle, management control, and information system. It uses the company's production and sales management process as a closed-loop system, which enables the management of systems and subsystems to form a continuous closure and loop and maintain system activity at a balance point, so that conflicts and problems can be resolved in a timely manner. Control, feedback, re-decision, re-control, and feedback, so as to continuously improve in the cycle of accumulation, and promote the company to surpass self-development.
The purpose of implementing closed-loop management is to improve the economic efficiency of enterprises. Therefore, the following principles should be adhered to in the implementation of closed-loop management:
(1) System integrity. Emphasize local compliance with the overall situation and ensure the realization of the overall business objectives;
(2) High quality. Improve product quality through improved design and process, establish quality control system in strict accordance with ISO 9002 standard, create famous brand and expand product sales;
(3) Strengthen marketing. Strengthen marketing and currency withdrawal, and strive to achieve a 100% production and sales rate and return rate of goods;
(4) Low cost. Efforts to reduce the consumption of manpower and material resources and the occupation of funds, reduce costs and increase corporate profits;
(5) Safe production. Promote standardization of safety production in the team;
(6) All-round. All units and offices are included in the closed-loop management scope, leaving no gaps;
(7) Clear responsibilities. That is, what department or personnel should do it; what standards should be followed; what time is completed; what the results are; what problems exist or what experiences are obtained; all of them must have complete records and feedback. According to the basic method of closure, find out the reasons in each link of the management means from the consequences, and close it, that is, "when you say it, you have to write it, you have to write it, and you have to record it." Eliminating the same nature of errors or deviations again, so that closed-loop management produces a qualitative leap in the cycle, once per cycle, the management level is a step;
(8) Strict assessment. Closed-loop management is linked to the economic responsibility system, and everyone is equal before the system. Do not talk about objective, strict assessment, rewards and punishments.
The business operation process is a continuous process. Supply, production and sales are the three stages of this process. They are interdependent and mutually constrained, so that the three phases of the enterprise run alternately and cyclically, thus forming a continuous operation process. At the same time, the enterprise creates profits for the society and profits when it runs. However, the level of profit depends on the following two basic links: (I) the quality of the resources invested should be cheaper. Under the conditions of market economy, enterprises use currencies to purchase resources from the market. The quality of resources determines the operating costs of enterprises, which directly affects the price of output products or services, and thus the profit level of products; (2) the conversion process The control must be strict. It is manifested in four aspects: First, the use of advanced management experience and new science and technology, the implementation of a reasonable combination of people and property. Saving manpower, material resources, financial resources; Second, the implementation of material consumption, inventory quota, labor quota and other quotas The system pays attention to the plugging loopholes; the third is that the conversion process is fast, and only the products that are marketable will be able to grasp the market opportunities. Fourth, the output of the product is much more, and the speed of becoming a currency is faster. Under the conditions of market economy, the output of products is mostly the result of the above two factors, and the product becomes currency is a qualitative change process, which determines the fate of the enterprise. For enterprises to survive and develop, there are three basic requirements for commodities to change into money: one is change, that is, the sales channels are smooth, the goods can become money; the second is the degree of change, that is, the goods are not backlogged, and all the products produced become money; It is the speed of change, that is, the speed from commodity to currency is fast, and the enterprise has no entanglement of â€œtriangular debtâ€.
According to the above two basic links, the following describes the specific operations of the closed-loop management of supply, production and sales.
Closed-loop management in material supply
The operation process of the closed-loop management enterprise in the supply of materials is the process of capital movement of value form.
The supply phase is the preparation phase in the operation of the enterprise. In this stage, enterprises use monetary funds to purchase the production materials needed for the production stage, pay labor remuneration, and convert monetary funds into production funds. Under the condition that the labor and infrastructure remain relatively stable, the purchase of raw materials, equipment, tools, fuel and other means of production is generally the main activity of the company in the supply stage. The preparation of production materials by enterprises is realized in the field of circulation. The specific requirements are:
(1) Guarantee the continuity and balance of production. According to the fixed consumption quota of the raw materials and spare parts approved by the enterprise, the quota of the reserve and the quota of the reserve fund shall be determined. The maximum and minimum fixed amount difference shall be specified, and the insurance reserve shall be implemented to ensure the continuity and balance of production and the process responsibility. Chemical. Responsible departments (supply department, accounting control department, transportation department, mobility department, finance department) are responsible for controlling, avoiding overstocking and controlling capital occupation.
(2) The price control of various materials entering the factory. Under the premise of ensuring the quality of materials, based on the market price, the internal planned price of the enterprise is formulated. Clearly stipulate the responsibility and reward and punishment methods for the supply of procurement personnel, and the quality department and the financial department shall control the price and quality of the incoming materials and strictly assess them.
(3) Guarantee the continuity and balance of production. According to the company's demand for raw materials, spare parts and other materials, as well as the market supply and price changes of the materials, the goods are sold in three quantities according to quality, on schedule and on demand. At the same time, it is necessary to determine the inventory of the economic and economic sectors, accelerate the turnover of liquidity, and reduce the backlog of liquidity in the production process.
Closed loop management in production
The closed-loop management production phase in the production process is the central link in the operation process of the enterprise.
At this stage, according to the market demand and its own requirements, the enterprise combines the purchased production materials with the laborers, inputs them into the production process, and produces new products, thereby turning the production funds into commodity funds. This stage is the key to the value-added of the company, because it creates new value, but also creates new value, including corporate profits. Therefore, the specific requirements for closed-loop management in the production process are:
(1) Focusing on cost management, focusing on quality management, based on equipment management, on the premise of safe production, and strengthening labor discipline, work discipline, and process discipline as the guarantee;
(2) For the secondary branch factories and offices, implement the economic responsibility system of cost (cost), quality, and output as the content of assessment, so that the indicators are decomposed at different levels, and they are implemented in the workshop (department) team and individuals to improve the cognitive ability of the subjects. As an important condition for speed and efficiency in the process of converting resources into products;
(3) Clarify the responsibilities of the relevant departments, not only to perform their duties, but also to support each other and coordinate and ensure continuous, stable and balanced production.
The closed-loop management system of cost production process costs should control the direct cost of products, management expenses and the use of corporate funds, and provide management personnel at all levels with timely implementation of cost planning and decision-making information to reduce costs and increase profitability. Its function is to calculate product cost, compile cost plan, conduct cost analysis and control, provide cost basis for the command and decision center of the whole enterprise, control and evaluate the investment project of the enterprise, and make the product cost the lowest. The responsible department is the Finance Department.
According to the business objectives, the quality is responsible for collecting, analyzing and providing quality information in accordance with the requirements of the lS09002 quality control system. Quality information is divided into two categories: one is information that reflects the quality of quality management; the other is information that reflects quality requirements. Information reflecting quality requirements should form a quality policy and quality objectives. Li reflects the dynamics of the information to correct deviations and develop improvement measures at any time in order to provide managers with decision-making basis. Quality information feedback plays an important role in quality management. The quality information feedback includes the quality information feedback in the production process of the enterprise, the quality information feedback in the process of using the products outside the enterprise and the after-sales service. The responsible department is the quality management department.
Process The system is to conduct product process analysis, formulate process plans, prepare process specifications, and implement process management. According to the existing equipment of the factory, it is conducive to improving product quality, ensuring safe production and civilized production, controlling process preparation cycle, process cost and production cost, ensuring the advanced nature of various technical and economic indicators; regularly conducting process discipline inspection, control and strengthening Process requirements make the process documentation a company's production regulations. The responsible department is the technical department. Plan and dispatch the system to prepare the annual, seasonal and monthly production plans, timely control and control the production process, solve the contradictions and imbalances in daily production, and take measures to ensure continuous and balanced production and achieve production targets. The control department is the planning office and the general adjustment room. Equipment The system is the basis for continuous, stable production. It is necessary to strengthen the closed-loop management system such as inspection, inspection, lubrication, professional management, mass management, and planned maintenance, to manage, use, and maintain the equipment; to innovate and transform existing equipment, and to manage the equipment. Economic management is combined to achieve maximum benefit with minimal cost and expense. The control department is a mobile unit. The responsibility of the safety and security system is safe production, civilized production, strengthening the safety awareness and environmental awareness of employees, and taking safety production as a prerequisite for enterprise development. The control department is the security department.
Closed-loop management of the sales process
The closed-loop management sales phase of the sales process is the completion phase of the business operation process.
This stage is a necessary part of a complete and specific enterprise operation process. Its task is to sell the products, so as to realize the transfer of production funds to monetary funds while completing the transfer of production funds, and complete a cycle of corporate funds. . Therefore, the true meaning of the closed-loop management of the sales process is not the sale of goods, but the return of funds, that is, the sales return, and the output benefits. In the current situation of the enterprise's capital situation is generally grim, it is particularly important to do a good job in the closed-loop management of the finished product reserve quota and the return amount of the goods. Quota control is the quota control of finished product reserves (zero stock). The control of the return of goods is to control the goods in the way according to the monthly indicators and the specified ex-factory price. Its responsible department is the sales office.
Full process closed loop management
The supply-production, sales, and whole-process closed-loop management analyzes the closed-loop management of supply, production, and sales.
It can be seen that the three phases of business operation are all carried out around the basic purpose of profiting the enterprise.
The first and third phases are all implemented in the circulation field. In the socialist commodity economy, they are regulated by the relationship between supply and demand in the market. The whole enterprise operation process can be said to be the unity of production and circulation, and its realization has an objective law that does not shift people's will. In other words, the three stages of the company's operation process have an intrinsic and inevitable connection. In short, the closed-loop management of the whole process of supply, production and sales is to ensure the optimal allocation of people flow, logistics and capital flow through effective closed-loop management and strict assessment of cost, quality, output, equipment and capital. The enterprise is in a virtuous circle of low input and high output. In 1996, Pingguo Aluminum Company was fully put into operation, producing 82,600 tons of aluminum ingots and 223,700 tons of alumina. The total industrial output value was 1.336 billion yuan, the upper-level assessment profit was 235 million yuan, and the principal and interest of infrastructure loans were 15.2 billion yuan, which were 103.47%, 130.56%, and 152% of the annual plan, respectively. In 1997, Pingguo Aluminum Company produced 103,000 tons of aluminum ingots (design capacity of 100,000 tons/year), alumina of 33,500 tons (design capacity of 300,000 tons/year), and repayment of infrastructure loans of 378 million yuan. 103%, 1 11 67%, and 126% of the annual plan achieved the goal of achieving the standard for two years in advance.
Management is the eternal theme of business. Effective and free management is a feature of the modern enterprise elite. In modern enterprises, there is generally no optimal or universally applicable management method. Successful management lies in the understanding and flexible application of the essence of management, and lies in the vitality of certain management methods and means. Pingguo Aluminum's research and application of closed-loop management principles is a practical activity to strengthen corporate management. But things in the world are always moving forward in the constant movement of internal spears. People's understanding of the objective world is gradually deepened in the process of practice, understanding, re-practice, and re-recognition. Therefore, closed-loop management as a management method needs to be continuously improved and developed.
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