MODERN MANAGEMENT CONTROLS W FRANK DELL II CMC
- Slides: 42
MODERN MANAGEMENT CONTROLS W. FRANK DELL II, CMC DELLMART & COMPANY
AGENDA INTRODUCTION FOUNDATION SYSTEMS DELLMART & COMPANY 2
Objectives n Introduce approaches for management labor control n Provide Management foundations n Describe typical control systems n Identify approach issues and drivers DELLMART & COMPANY 3
Management Is Difficult n Own mind of employees n Difficult to motivate – Working for success – Pride in work – Getting by n Challenge – Getting the job done right n Increase – Productivity – Service – Accuracy DELLMART & COMPANY 4
Larger Company Factors ADVANTAGES n Specialization n Affordable Training n Promote within n Computer Systems DELLMART & COMPANY DISADVANTAGES n Span of Control n Communications n Local Interest 5
Computer System Limitations n Limitations in scope – Man Vs Machine n Maintenance requirements – Changes in process or methods n Data issues – Timely collection – Accuracy – Complete (all entries every day) DELLMART & COMPANY 6
AGENDA INTRODUCTION FOUNDATION SYSTEMS DELLMART & COMPANY 7
Forces On Management DELLMART & COMPANY 8
Controls Require Balance Employees Assets DELLMART & COMPANY 9
Basic Controls n Company Policies – Mission Statement – Personnel Policies – Financial Controls n Job Description – – Scope of responsibilities Reporting relationship Primary task description Secondary task description DELLMART & COMPANY 10
Management Responsibilities n Hire right people n Train and educate – Employees – Supervisors n Forecast requirements n Assign and schedule employees n Make employees accountable n Verify work is performed correctly n Follow up DELLMART & COMPANY 11
Labor Control Concept DELLMART & COMPANY 12
Cost Of Store Labor DELLMART & COMPANY 13
Levels Of Control n General – everyone n Area – store, warehouse or department n Employee groups – stocking or selecting n Computer monitoring n Computer controlling DELLMART & COMPANY 14
AGENDA INTRODUCTION FOUNDATION SYSTEMS DELLMART & COMPANY 15
Control Systems STORE WAREHOUSE HEADQUARTERS Time & Attendance Front End Warehouse Mgt. Promotion Mgt. Inbound Transportation Mgt. Procurement Service Dept. Maintenance Budgets Process Dept. DELLMART & COMPANY 16
Time & Attendance n Core computer system – Hourly employee pay base n Records by location – Days worked – Hours worked – No shows n Identifies whose working, but not what they are doing n Not a fool proof approach DELLMART & COMPANY 17
Time & Attendance - System DELLMART & COMPANY 18
Store Labor Overview TASK DRIVER Receiving Orders/Cases Stocking Cases/Units Ordering Items Processing Pounds/Cases/Batch/Units Service Customers/Items Front End Customers/Items Support DELLMART & COMPANY 19
Inbound n Represents 15% to 20% in store labor n Service and control issues – Shelves fully stocked – Unauthorized items and product cost – Accurate store inventory n Labor scheduling – Door coverage for receiving – Dry, refrigerated and frozen stocking DELLMART & COMPANY 20
DSD Receiving - System DELLMART & COMPANY 21
Stocking Method STEP TIME Push cart to aisle 11. 80 Position case 2. 94 Cut case 3. 22 Set label gun (optional) 9. 98 Price items (optional) . 40 Place item on shelf 1. 47 Rip and flatten cardboard 7. 93 Push cart to backroom 1. 78 Place cardboard in bailer 2. 21 DELLMART & COMPANY 22
Process n Department coverage – Customer service n Production – Consistent method – Shrink control n Periodic Task – – Clean Straighten Re-supply Ordering DELLMART & COMPANY 23
Process - System DELLMART & COMPANY 24
Service n Department coverage – Minimum of one – Adjust to transactions n Periodic task – – Clean Straighten Re-supply Ordering DELLMART & COMPANY 25
Front End n Represents a third to half of store labor n Central customer service point n Control issues – Money – Shrink n Scanning is a minimum requirement n Can be a significant labor waste – Reassign labor during slow periods DELLMART & COMPANY 26
Front End - System DELLMART & COMPANY 27
Linking Store Systems DELLMART & COMPANY 28
Non Food Store Labor Open Store Assist Customers Cover Register Build Displays Order Put Up & Take Down Promotions Receive Complete Headquarter Survey Price Mark/Tag Stock Straighten Clean DELLMART & COMPANY Complete Daily/Weekly Logs Close Store 29
Warehouse Labor Overview TASK DRIVER Receiving Orders/Pallets/Cases Put Away Pallets/Travel Selection Trips/Cases/Travel Replenishment Pallets/Travel Loading Pallets Support DELLMART & COMPANY 30
Inbound n Issues – Accurate inventory – Transfer inventory ownership n Vendor performance – On time delivery – Complete delivery n Operations – Door utilization – Dock congestion – Completing paperwork DELLMART & COMPANY 31
Receiving - System DELLMART & COMPANY 32
Receiving Method STEP Walk from office to dock TIME 2. 55 Open/close dock door . 96 Set/remove dock plate 4. 11 Move pallet from truck to dock 55. 24 Count cases and record 8. 97 Walk from dock to office 2. 55 Log in delivery 4. 54 Process paperwork DELLMART & COMPANY 10. 22 33
Put Away n Radio Frequency standard n Complete computer control DELLMART & COMPANY 34
Selection n Represents 50% of warehouse labor n Issues – Accuracy – Productivity – Complete n New equipment – Voice recognition – Pick-To-Light DELLMART & COMPANY 35
Selection - System DELLMART & COMPANY 36
Replenishment n Approaches – Patrol – Directed DELLMART & COMPANY 37
Transportation Factors n Labor Drivers – Stops – Kilometers – Pallets n Control – – Departure Time Arrival Time Quantity Paperwork DELLMART & COMPANY 38
Summary n Employees must be managed n Clear communication required – – – What work is to be done How is work to be done When work is to be done How often the task is performed Who is responsible n No substitution for good supervision DELLMART & COMPANY 39
Summary (Cont. ) n Computers & Technology – – Planning & Scheduling Tracking Monitoring Controlling DELLMART & COMPANY 40
DELLMART & COMPANY 41
W. Frank Dell II, CMC President DELLMART & Company 125 Hardesty Road Stamford, CT 06903 USA Tel: 203 -968 -8609 Fax: 203 -968 -8613 e-mail Wfdell 2@msn. com DELLMART & COMPANY 42
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