Competition is increasing constantly. Profit margins are decreasing continuously under increased competitive pressure. Customer expectations are changing daily due to extensive alternatives. Finding qualified human resource to meet these expectations and variability is becoming harder. Any difference achieved is resolving into ordinary in no time.
Attributes that were formerly recognized as strengths are now surfacing as managerial problems. Being sizeable and having a deep-rooted tradition were recently notable qualifications. Today we witness that size causes deceleration and tradition obstructs change. Management was regarded as “art” back then. Today management has become a branch of “science” which is advancing towards engineering. Competition is irresistibly forcing every management component it is in touch with to change, then to change again before even being able to adapt change and finally to an absolute transformation that perpetuates continuous change. Countless worldwide corporations are disappearing before our eyes that fail to manage this transformation.
Organizations that want to withstand and lead this competition need to analyze their human resources, technologies and processes with a holistic approach. They have to perform multilayered examinations using engineering methodologies to implement their competitive strategies into their operations.
These “holistic” and “multilayered” analysis should find answers to three vitally important questions;
- How competent is the human resource that takes part in the processes?
- How efficiently are the technologies used?
- How effective are the processes themselves?
The answers to these questions will not only determine the strategic and operational competitiveness of the organization but will also give rise to endless improvement opportunities.
Why these 3 questions matter?
Having a holistic understanding of human resources, technologies and processes form the fundamental layer of Management Engineering which strategies and operations are built on. This understanding stands at the focal center of the transformation which management is converging into engineering.
Human resource is the most valuable resource of an organization with strategic importance. Like any other resource, human resource can also be ineffectually utilized. Management Engineering aims to prevent this ineffectiveness by studying each step of the HR value chain.
Information Technologies are mission critical components that increase the efficiency of the human resource and assure the quality of the processes. From this aspect, IT is the integrator between human resources and business processes. Management Engineering regards IT departments not as support staff but as strategic work units that contribute in the competitiveness of the organization in terms of integration and differentiation.
All companies are feeding from the same HR pool with the same costs. They are accessing the same technologies with the same prices. In such a competition how can one possibly differentiate? How can costs be reduced without compromising quality?
The answers to these questions lie in the effective management and continuous improvement of every single process. Management Engineering studies processes from competitive and cost effective perspectives. It provides a simple and proven road map for organizations to build management systems to optimize their processes, differentiate their products and services and achieve continuous differentiation and improvement.