|
Building
a World-Class Company Using Effective Operations
By
Abe
Eshkenazi
CSCP, CPA, CAE
Last
week, we were excited to see the Wall
Street Journal
feature the article “At
Ford Racing, Quality (Control) is Job One.” The story highlights the
positive changes made at the company by Mary Ann Mauldwin, CFPIM, CSCP.
According
to the newspaper, Mauldwin’s “official title at Roush & Yates Racing
Engines is director of operations, but what she really does is look for
waste and inefficiency. Hired five years ago, by Ford’s primary Nascar-engine
builder, Mauldwin has overseen a complete restructuring of the business,
changing everything from inventory control to how the engines are put
together.”
It’s
not just Wall
Street Journal reporters that are noticing Mauldwin’s
important work, it’s her boss. He is quoted in the article. “We were a
good engine-building company,” says CEO Doug Yates. “Mary Ann has made
us a world-class engine-building company.”
First,
Mauldwin was able to carry out a complete parts inventory. Before, 48
percent of the parts were on record. Now, Roush & Yates boasts a 100
percent parts accuracy rate.
Next,
she helped the company create a standard bill of material, which enabled
employees to forecast inventory needs. The time needed to gather parts went
from four hours to 45 minutes.
Finally,
the article points out that Mauldwin has completely changed the culture of
Roush & Yates. The proof came when she proposed that employees start
taking the same operations management classes she took and now teaches.
About 75 of the company’s 100 employees signed up immediately.
Making
the case
The
Wall
Street Journal
article underscores the importance of applying best practices to achieve
positive results—both in product quality and the bottom line. Consider the
definition of best practices from the APICS
Operations Management Body of Knowledge (OMBOK) Framework:
“Best
practices are techniques, methods, processes, activities, or other actions
in conducting business that are most effective at delivering a particular
outcome. By seeking out relevant best practices and driving improvements
against these examples, gains can be made more quickly.”
APICS
members understand these concepts, but sometimes it’s hard for employees
to relate these ideas to C-level decision makers. Sharing this Wall
Street Journal
article with your superiors and colleagues is an excellent first
step. Mauldwin is an APICS instructor, and her leadership at Roush &
Yates is an impressive example of how operations management professionals
can apply the APICS body of knowledge (BOK) to improve performance and lower
operating costs. Who wouldn’t get behind those important ideas?
Next,
consider pursuing your own APICS certification. Mauldwin has earned both her
Certified Fellow in Production and Inventory Management (CFPIM) and
Certified Supply Chain Professional (CSCP) designations.
“The
APICS BOK provided the foundation for my career,” Mauldwin says. “CPIM
and CSCP designations confirm an individual’s proficiency in operations
management. Whether implementing an [enterprise resources planning] system
or managing bills of material and inventory accuracy, the APICS BOK
represents the standard for training and education required for successful
bottom-line results.”
The
knowledge Mauldwin has gained from her APICS education has enabled her to
positively transform business at Roush & Yates. If your company or
career is in need of a transformation, APICS certification can put you in
the fast lane.
|