THE RIGHT MANAGEMENT CONTROL MODEL: HERE’S WHY IT IS IMPORTANT FOR MANUFACTURING COMPANIES!

The development of a management control model is an important challenge for the companies that want to generate added value for the activities of their own business and conquer new markets and customers. 

The typical management control model, indeed, includes the set of all activities suitable for monitoring trends and performance in the production process of any type of company. 

In order to properly compete, the companies need to provide themselves with a control model focused on its own production transformation process.

Basically, a management control model contributes to make it possible to keep a very close eye on all the resources that are necessary to the realization of the finished product.

These resources need to fall in material terms essentially (bill of materials), labour (cycles) and facilities.

In other words, an efficient and effective management control model must be able to meet ‘operational’ goals, allowing the operators to always have under control all the fundamental elements, which are necessary to the production process activation, and ‘strategic’, placing the company in a position to carry out the right organisational sizing and the right resource planning.

These aspects are consequently monitored through the two distinct phases of planning and finalisation. The combination of these two elements of analysis gives the operators a set of indicators of performances and effectiveness that will enable them to highlight whether the goals have been achieved, or whether they need to correct the established targets or the production operations carried out.

What are the advantages deriving from the adoption of a management control model for a company?

In terms of the production process, you have to plan the production factors themselves according to the actual needs of the company, optimising the necessary resources. Once the process is activated, the use of resources through the data provided by the model allows to understand whether the results have been achieved, or if they are reachable through corrective measures or whether a redefinition of the targets and/or of the planned resources is required.

Software Business supports your company in the development of an optimized production process, designed on specific business peculiarities with the aid of technologically advanced tools, like ERP SAP or the Business Intelligence, with all the innovative features of the most advanced system on the market. Thanks to our skills, gained in years of experience, we allow companies to identify the right parameters to monitor the company activity and the whole production process.