A strong, lean business model enables the manufacturing CFO to be one step ahead of the recovery and well positioned to maximize the impact of the bottom line.
Charlotte, NC (PRWEB) April 30, 2012
For chief financial officers (CFO) in the manufacturing sector, the Euro debt crisis is as worrisome as consumer demand. Should the Euro sink and supply chain partners go down with the ship, the CFO will be trapped in extremely vulnerable conditions. The business process management experts at J. Weiland, Slice & Co., LLC, offer three tips to help companies ward off catastrophe.
Not surprisingly, the first tip is about communications. Often, the communications between the CFO and the supply chain partner happens only when a problem exists in the supply chain cycle. However, in the midst of the Euro’s volatility, the CFO must be forward thinking. He must establish a formal process, setting up a collaborative, open and ongoing communication.
For example, once a week, the CFO should schedule a call or email with his key partners in the supply chain. This will eliminate unanticipated problems, instead turning any glitches into opportunities to improve relationships and the bottom line.
The second tip involves the CFO’s relationship with key banking partners. As most CFOs in the manufacturing sector know, just-in-time supply chain management is heavily dependent on well-established banking and treasury relationships. In too many small to mid-market manufacturing companies, these relationships have no formal process established. The implementation of a simple treasury process will minimize the negative impact of the Euro’s current volatility.
Important, this process does not need to be detailed or complex. It does need to be a formally established and ongoing process of interaction with the CFO’s key banks in his supply chain management and with the key banks of his supply chain partners.
The third tip requires a strong, lean business model. Many small to medium-sized businesses rely heavily on old, existing business processes. To limit the negative impact of the volatile Euro, the dynamic manufacturing CFO must scrutinize how his company operates. A look at best business practices in the manufacturing sector will help the CFO determine the process gaps in his own business model. Once the gaps are identified, the CFO should prioritize those gaps with the most negative impact on the bottom line.
The goal is to fix these gaps, thereby creating a strong, leaner business model, according to Jim Weiland, principal of J. Weiland, Slice & Co. with worldwide experience in business transformation and business process management.
“A strong, lean business model enables the manufacturing CFO to be one step ahead of the recovery and well positioned to maximize the impact on the bottom line,” said Jim Weiland.
A white paper, “Can Lean Business Model Transform Manufacturing Companies into Well-Tuned Machines, published by J. Weiland, Slice & Co. is available free as a download.
About J. Weiland, Slice & Co., LLC:
J. Weiland, Slice & Co., LLC, specializes in best practices in business transformation, targeting small to mid-market companies driven by volatile market forces to seek optimal business operations. Co-founder Jim Weiland and his team of experts are ex-IBM project executives with a diversity of worldwide management and consulting experience. As consultants, they help companies in need of Fortune 500 expertise but without the financial resources of a large corporation. The company is based in Charlotte, North Carolina, with consultants in Canada, Latin America and United States. Website is http://www.jweilandslice.com
Juliette Weiland, Principal
J. Weiland, Slice & Co., LLC