In a recent newsletter from Bob Lewis of IT Catalysts, Inc. ( www.itcatalysts.com ), he speculates on how the growth of an enterprise's market affects their Information Services organizational structure.
This got me to thinking about how the speed of growth affects how you run your manufacturing operation. The difference between exponential growth and incremental growth makes a difference in what you need to track in the manufacturing process, but both require measuring and reporting.
In an exponential growth market, speed is the critical product factor. Whoever delivers the product first in sufficient quantities reaps the greatest profits. Cost and quality are less important. Almost any investment in the process shows a high return.
Critical process measurements to have in place are those that speed the supply chain, report on customer order progress, and track any constraints.
In an incremental growth market, managing costs has a much greater impact on profitability. Investments in the process must be carefully justified based on trusted measurements. Product quality improvements will increase the long term savings.
Critical measurements for incremental growth are costing and quality related.
What speed of growth market does your company address? Do you need better or different measurements? Any opinions?