Spring 2011 issue of Horizons

Manufacturing & Distribution – continued

David offered the example of Kodak. Few people may realize that Kodak actually invented the digital camera. However, fearing that such change might cannibalize their film sales, they elected to put the idea on the shelf. As a result, Nokia, a cell phone manufacturer, is now the leading manufacturer of cameras in the world. David shared the significant trends he sees in manufacturing including: • Global marketplace : CEOs are concerned with how to tap into new customers in foreign markets and are concerned with supply chain issues in getting their products to market. • Back to the basics : Instead of strategic plans that are 250 pages long, develop a plan on one page. • Innovation : Companies are struggling with this concept because they are not sure how to make their company innovative. Not one of 12 Fortune 500 CEO’s interviewed by David said they wanted an innovation culture — they want more innovation out of their company. David’s solution is that innovation must be a scientific process. “The problem is not that there are problems. The problem is expecting otherwise and thinking that having problems is a problem,” he stated. “Having a scientific approach to solving these problems will allow companies to be innovative.” He then explained that step one in this process is for companies to know and understand their problems. There are two categories of problems— trying to make something better or trying to do something differently. Over the last 15-20 years, too many of us have focused on trying to make something better. In order to be innovative, we must focus on doing things differently. We need to start by asking—what is the customer problem I am trying to solve? Once we understand this, we’re no longer focused on improving the product or service we offer. Instead we begin to look at other solutions and begin to

generate new ideas on how that problem can be solved!

RubinBrown Hosts Webinar On Inventory Cycle Counting Strategic cycle counting was the subject of a webinar presented by RubinBrown’s Manufacturing and Distribution Group on February 3. Nathan Croll and Mark Conrad, both experienced managers, presented on best practices in cycle counting that could eventually eliminate the need to complete an annual physical inventory. Concepts covered included: • Cycle count design and methodology • Resources necessary to cycle count • Sustaining a cycle count program • Eliminating the annual physical inventory RubinBrown professionals have found that many of our clients have issues related to maintaining control over inventory. Through effective and efficient cycle counting, our clients are improving inventory accuracy, eliminating waste in the inventory process, and improving customer service. The webinar was designed to educate participants in a manner that could be taken back to the workplace and included several examples of proven cycle count programs.

Raise Your Expectations

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