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Utilization of MIS (Management Information Systems) in Manufacturing Industry
By *Ameen Ahsan Strategy Consulting* An organization succeeds by bringing together and managing certain resources in a productive way. The traditional list of resources comprises labor (manpower), money, material, managers, machines and facilities. Only over the past two decades has information come to be recognized as another resource, one that is crucial to the management of others and one, which under certain circumstances, may be substituted for them cost-effectively. Information shares many properties with other resources: it has value and lends itself to the process of management. Information is a valuable resource and hence must be managed in a well-designed system so that managers are able to obtain relevant information timeously for their decision-making processes. One of the major problems of organizations that make them fail may be insufficient utilization of the major resource of the organization, viz. information. Managers have to be aware of utilizing management information systems effectively to be competitive in the business world. Many entrepreneurs in the manufacturing industries in India may be unaware of the capabilities and use of an effective MIS. Most manufacturing industries are possibly already using products of Information Technology. However, their awareness level of applying information technology to designing effective management information systems to overcome their specific problems needs to be investigated and determined. To be effective in today’s dynamic and competitive business environment, a CIO, and indeed, an organization, must think in the system mode. Technological innovation has simplified the collection of data into sophisticated information systems. With appropriate management information systems in place, managers can focus their attention on the creative elements of management such as developing strategy, searching for new opportunities and competitive advantages, and optimizing the use of the organization’s resources. Ameen Ahsan Strategy Consulting "where visions are realised" 7th Floor, Hi Lite Business Park, Calicut http://www.ameenahsan.com +91-7558-900-800 info@ameenahsan.com *Kerala's finest experts for Feasibility Studies, Strategy Reports / Project Reports, Business Models and Vision Realisation*
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Why are Distribution Channels important for Manufacturers?
By *Ameen Ahsan Strategy Consulting* Over the past fifty years, manufacturing has changed from individual companies producing and distributing their own products, to a global network of suppliers, manufacturers, and distributors. Efficiency, price, and quality are being scrutinized in the production of each product. Because of this global network, manufacturers are competing on a worldwide scale, and they have moved their production to countries where the costs of labor and capital are low in order to gain the advantages they need to compete. Today, the complex manufacturing environment faces many challenges. First and foremost manufacturers wants sales. They want to make their products and to sell them quickly and profitably. Usually this means selling through distributors Distribution channels are pathways along which products travel from producers and manufacturers to ultimate consumers. They are routes along which products, information, and finance flow. While some manufacturers deal directly with their customers, most manufacturers use a distribution channel to take products to consumers. Considerable thought, effort, and investment are required to create and maintain a distribution channel. Channel margins and the expense of sales efforts in managing channels can form a substantial proportion of total marketing costs. An effective channel can be a source of strategic advantage for companies. Channel design and channel management are therefore important elements in a company's competitiveness. A major challenge in channel management is keeping channel members motivated to support the principal, especially when markets are tough. Channel member profitability is a major driver but not the only factor affecting channel member satisfaction and motivation. Skilled channel managers make concerted efforts to measure and monitor channel profitability and channel members' return on investment (ROI). In addition to ensuring healthy ROI, firms utilise a variety of financial and non-financial incentives to motivate channel members. Channel objectives should be stated in terms of targeted service output levels. Under competitive conditions, channel institutions should arrange their functional tasks to minimize total channel costs and still provide desired levels of service outputs. Effective planning requires determining which segments to serve and the best channels for each. Please share your views and experiences on this post! *Ameen Ahsan Strategy Consulting* "where visions are realised" 7th Floor, Hi Lite Business Park, Calicut http://www.ameenahsan.com +91-7558-900-800 info@ameenahsan.com *Kerala's finest experts for Feasibility Studies, Strategy Reports / Project Reports, Business Models and Vision Realisation* Why is Customer Relationship Management important for Manufacturers?
By *Ameen Ahsan Strategy Consulting* It’s impossible to think about Life without manufacturing. Be it the small contact lens for the eyes to the large airplanes, everything that is man-made is a result of some sort of manufacturing. Manufacturing Industry is an ever booming one. Manufacturing industry has always spurred the growth of the economies in any country. Human wants are unlimited. If these needs are to be met, there will be a necessity for goods and services. And that necessity would have to be manufactured. Be it a tangible product or a software, there is some kind of manufacturing taking place in the background. Today there are thousands of similar manufactures trying to sell and market their products and services which are either identical or a substitution. It’s necessary for every manufacturer to attract customers be it an end customer or an intermediate customer. In order to attract and retain customers, manufacture’s need to take care of their Customer Relationships. Customer relationship management (CRM) is important in running a successful business. The better the relationship, the easier it is to conduct business and generate revenue. The challenge facing all manufacturers is to be flexible enough to react to market changes while at the same time keeping an eye on costs. Modern machinery alone does guarantee competitiveness. What is essential is the ability to provide customers with professional service and support right from the start. Manufacturing along with other industries has seen a significant transformation in the last two decades. From being a distribution centric industry, it has moved towards customer centric, as inventory is losing its life span. Every month or quarter, products are changing their shape and form, all due to extreme innovation. Hence, it has become a necessity for manufacturers to have a CRM policy so as to be flexible according to market demands. A good CRM can add significant value by helping manufacturers to manage their customers, contacts, leads, opportunities, quotes and development, amongst other activities. *Ameen Ahsan Strategy Consulting* "where visions are realised" 7th Floor, Hi Lite Business Park, Calicut http://www.ameenahsan.com +91-7558-900-800 info@ameenahsan.com *Kerala's finest experts for Feasibility Studies, Strategy Reports / Project Reports, Business Models and Vision Realisation* |
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