Note: This posting is based on my weekly “Thank God It’s Monday” which is offered to help companies thrive!
This week’s focus: configurable products and services
Being a “customizer” doesn’t create efficiencies. More often than not, customization brings tremendous inefficiencies in sales, order administration, engineering, manufacturing operations, service, etc.
- Your team is forever chasing experts to answer and resolve normal, routine configurability questions that arise.
- You require significant human intervention to accommodate complexity and variety simply because information isn’t available–the business isn’t set up properly.
- Your team is challenged to pull together quotes for products and services that can actually be delivered.
- Your team is challenged by the fact that nothing is standard; everything is a special.
Companies must evolve their business processes to cost-effectively meet the challenges product and service complexity bring. If customizers don’t take action to improve efficiencies, they will continue to suffer margin and operational challenges that only mount.
Failure to address these challenges will keep you and your company from thriving.
Thought for the week:
“Don’t confuse enthusiasm with commitment.” – Paul J. Silvia
What do you think? I welcome your blog comments!
Dave Gardner, Gardner & Associates Consulting
© 2012 Gardner & Associates Consulting All Rights Reserved
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