If you want to use technology to innovate in your company, it will save you time and money to strengthen your business processes first.
Back in 2001 I had the opportunity – and I use that word loosely – to participate in the largest bankruptcy in the state of Montana. A company that manufactured drill bits spent hundreds of millions of dollars on equipment, anticipating massive growth. That growth took a lot longer than they expected, and they ran out of cash.
Ultimately, trying to win solely with technology put this company into bankruptcy. Their business processes simply couldn’t keep up: their inventory turns were poor, purchasing wasn’t effective, a drill bit would travel literally miles through their plant from first coming in the door as raw materials to leaving as a packaged product, and was touched 27 times. The best technology in the world can’t substitute for strong processes.
© 2012 Rick Pay – All rights reserved.