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 Enterprise Programme Management | PM Tools - PM Tools

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Enterprise Programme Management

Enterprise programme management

Dr.N.C.Martin, Ph.D

Lecturer – HOD

Department of Social Work

Shree Chandra Prabhu Jain College

Minjur, Chennai

                          

Companies today face many conflicting priorities in remaining competitive. Some of the challenges include leading company staff in thinking bigger, operating in direct relationship to customers and stockholders’ needs, while staying flexible and adaptable to economic and market shifts. How does a facilities manager stay connected to the business strategy, manage more projects with less staff, and still provide responsive service, while the business environment the manager supports is changing rapidly? The manager may be faced with consolidating facilities owing to a merger or company restructuring.

Consolidation presents several challenges that must be met. The manager must work with executives to align equipment deployment and facility use to merger goals and objectives. He/she must consolidate facilities management infrastructure into a cohesive unit from the different approaches of the original companies. This requires the ability simultaneously to coordinate the strategic, tactical and technical aspects of consolidation, while maintaining the seamless operation of the company. If it is a large operation, with facilities spread across a region, facilities management may have been distributed, with each location responsible for their own projects and maintenance.

A major change effort such as consolidation requires a centralised facilities management structure that is tied directly into the strategy of the company. The answer for many companies in meeting these challenges is enterprise programme management (EPM). Enterprise programme management is a way of thinking, communicating and working, supported by an information system that organises an enterprise’s resources in direct relationship to leadership’s vision, and the mission, strategy, goals and objectives that move the organisation forward. Simply put, EPM provides a 360-degree view of an organisation’s collective efforts.

What Is SCM?

The SCOR model also builds on “the concepts of business process reengineering, benchmarking, and process measurement by integrating these techniques into an easily configurable, cross-functional framework,” continues Helming. This framework consists of four levels leading to the implementation of an effective SCM (supply chain management)strategy:

•Level 1 broadly defines the key supply chain processes—plan, source, make, and deliver—thereby helping companies establish their SCM objectives.

•Level 2 defines 26 core process categories that can be found in an enterprise’s actual and idealized supply chain. For example, the “source” category includes “source purchased materials,” “source engineer-to-order products,” and “source make-to-order products.”

•Level 3 contains information for companies to plan and set goals for their SCM strategy, including process definitions, benchmarks, and system software capabilities.

•Level 4 focuses on implementation. Because SCM implementations are unique to each company, the specific elements of Level 4 are not defined within the SCOR model.

Approaching this quandary from a supply chain perspective would be better. If the enterprise can decrease the cycle time between when finished goods are manufactured and when they are delivered to the customer, overall inventory will drop while transportation costs can remain constant. The result: a net gain in the overall savings to the enterprise.

SCM Software Is Limitless

SCM is a management process. These processes can work just fine without sophisticated technology. The trick is in properly integrating these processes into the enterprise’s business strategy—and the SCM strategy that executes that business strategy. Case in point: The technology exists to fax purchase orders straight from your computer. But if nobody is at the other end to pick up that fax and act on it, your supply chain falls apart. Implementing electronic data interchange (EDI) can be just as useless if the receiving company cannot properly respond to the EDI transaction. And EDI is a far more expensive technology than fax.

Interestingly, banks have had wire transfers for years. The automotive industry has had EDI. These technologies are now called “electronic commerce.” Why? And why the sudden popularity? It’s because people are thinking supply chain. They’re thinking payables and receivables. They’re thinking about both sides of the equation. And they are thinking that the quicker these and other processes can be transacted, the better we all are.

This thinking forces new perspectives on information technologies. “SCM is a process solution and a discipline that typically cuts across the historical functional reporting lines of most The sad fallacy, says Helming, is that “many companies have really bought the line that ERP is all the software they’ll ever need.” The reality is that ERP has mostly been a technology push, specifically using client/server technologies to retire mainframe—”legacy”—operations. In their place would be common hardware, common resource planning software, and common databases throughout the enterprise.

Quite simply, ERP doesn’t work, practically speaking. And part of why that is, explains Helming, is that ERP packages have typically been built from the inside out. They never had an overall model of the enterprise to which the resource planning was for. Consequently, none of the ERP packages can effectively plan across enterprises.

However, as a transaction system, ERP provides an invaluable foundation for capturing, storing, and sorting enterprise-wise information. And truth be known, an enterprise just can’t perform effective SCM without a good information foundation. So, junking ERP is not a reasonable thing to do, say Helming, but leveraging that investment is reasonable.

More important, realize that any information-based technology within an enterprise is a supply chain technology. Supporting the SCOR “source” process are sales automation tools, including order entry systems, sales kiosks, and product configurations linked to CAD visualization systems. Increasing numbers of companies are eschewing the MRP aspects of ERP and using advanced planning and scheduling systems to provide the finite scheduling and decision support for both manufacturing (“make”) and logistics (“deliver”). Warehouse management systems, distribution requirements planning, and logistics management systems fulfill the SCOR model “deliver” component.

Reference:

Armstrong-Stassen, M. (1993). “Survivors’ reactions to a workforce reduction: A comparison of blue-collar workers and their supervisors,” Canadian Journal of Administrative Sciences 10 (4), pp. 334-343.

Argyris, C. (1992). Knowledge for action: A guide to overcoming barriers to organizational change. San Francisco: Jossey-Bass. 

Brockner, J. (Winter,1992). “Managing the effects of layoffs on others,” California Management Review, pp. 9-27.

Brockner, J., Konovsky, M, Cooper-Schneider, R., Folger, R., Martin, C., and Bies, R. (1994). “Interactive effects of procedural justice and outcome negativity on victims and survivors of job loss,” Academy of Management Journal 37(2), pp. 397-409.

Hamel, G., and Prahalad, C.K. (July-August 1994). “Competing for the future,” Harvard Business Review, pp. 122-128.

Handy, C. (December 5 1990). “What is a company for?” Michael Shanks Memorial Lecture reprint (13 pages).

Hecksher, C. (1995). White-collar blues: Management loyalties in an age of restructuring. New York: Basic Books.

Hickok, T. (1995). The impact of work force reductions on those who remain: A study of civilian workers at two Department of Defense bases. Unpublished doctoral dissertation, University of Southern California, Los Angeles, CA.

Kearns, D. and Nadler, D. (1992). Prophets in the dark: How Xerox reinvented itself and beat back the Japanese. New York: HarperCollins (334 pages).

Schumpeter, J. (1950). Capitalism, socialism, and democracy. New York: Harper and Row.

Sloan, Allan (February 26 1996). “The hit men,” Newsweek, pp. 44-48.

 

 

Dr.N.C.Martin, Ph.D
Lecturer – HOD
Department of Social Work
Shree Chandra Prabhu Jain College
Minjur, Chennai
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