There is more to having a successful
business organization than learning the secret handshake, showing up at the
meetings and delivering the elevator speech. You need education. You need
training and experience. The specifics of the education training and experience
depend on which branch of profession or industry sector you associate with.
All business organizations run on the engine
components of processes, ethics and skill set of its resources to deliver its
goods and services, but its sustainability and future depends on how these
components have been refined and adopted.
The adoption of best practices in an
organization business processes provide competitive edge and enlarge the coast
of opportunities it attracts. Such best practice methods include the following;
- · Supply Chain Management
- · Human Resource Management
- · Information Management
- · Traffic Management
- · Order Management
- · Contract Management
- · Warehouse Management
- · Health & Safety
Supply Chain Management leads the chart of
business process framework on the basis that it encompasses inter-related
methods, such as inventory use, warehouse management, procurement and contract
management, financial management, logistics, etc.
Benefits of
Best Practice Adoption (BPA)
1.
Employees in the business organization deliver optimal performance as
their skills are enhanced with effective business processes
2.
The organization will have a competitive edge amongst its competitors,
thereby attracting investors
3.
The organization experiences fast growth with effective business
continuity
4.
There is high retention of skills and expertise which over time helps in
setting a benchmark for the market or industry
5.
Adoption of best practice provides proper visibility and qualitative
facts for decision making
Business
tools that helps to drive adoption of Best practice processes and
methodologies:
1.
Enterprise Resource Planning (ERP) applications: These are business
solution software built on processes and logics enforcing data capturing,
processing and delivery of report in a standard controlled approach.
Some
of the inter-related modules found in ERP systems are Financial Management,
Account Payables, Account Receivables Management, Warehouse Management,
Logics/Fleet Management, Procurement and Contract, etc.
2.
Business Process applications: These are software applications that help
to develop properly defined processes based on logics, parameters and
definitions entered or selected in the application based on an industry sector.
With this, business organizations can have a benchmark definition to work with
while building their businesses.
Bob Engel (Supply Chain Quarterly, 2011) identified
10 best-in-class ideas (listed below) for businesses running Supply Chain
processes & Methodologies;
- 1. Establish a governing supply chain council
- 2. Properly align and staff the supply chain organization
- 3. Make technology work for you
- 4. Establish alliances with key suppliers
- 5. Engage in collaborative strategic sourcing
- 6. Focus on total cost of ownership, not price
- 7. Put contracts under the supply chain function
- 8. Optimize company-owned inventory
- 9. Establish appropriate levels of control and minimize risk
- 10. Take green initiatives and social responsibility seriously
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