The Story of Bob – Chapter Seven
Bob started looking at the manufacturing variances and what caused them. The two biggest problems were part substitution and inaccurate labor records. He knew automating with handheld computers would solve some of the problems. This would also eliminate the need for the Accounting Department to manually enter the work tickets into the ERP system. This time he did the research himself and presented directly to management.
Management was hesitant to agree, because the manufacturing manager had been there a long time, and they didn’t want to lose him. Bob argued that the cost to The Company of not having accurate information was more than what the manager was worth. He also knew the manager didn’t understand the value of automation and would see the benefit after using it. Management agreed to the project. As you can guess, the results were positive. The Company now knew the exact cost of manufacturing and started quoting using this data. They also found out that they could not be competitive in some areas and stopped bidding on those projects “just to get the business.”
A couple weeks later, Bob was called into Jim Strong’s office. Jim was the president of The Company. Bob wondered what this was all about. He walked down the hall thinking of all the possible subjects. He said “Hi” to Jennifer, Mr. Strong’s secretary. Jennifer told Bob to have a seat and Mr. Strong would be with him shortly. Just as Bob was starting to sit down ………
The End (or is it?)
