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The people making the calls about spending are so far removed from the main process they have no idea what is going on. I fight this battle everyday with my warehouse and the corporate teams.
It all come from money and the fact that people do not see operations as value add all the see is a cost center. Do more with less but don’t spend the money to get there.
Agreed, very undervalued part of the total team… automation processes for day to day work help, but is not everything. #humancapital
They have to be tied to the company performance and understand their role in the overall supply chain to the end customer… they have to feel the reward at the sales and profit levels. So go sales and profits, so go the pay checks…
Simple. Do more with less which increases profit margins.
Pro
Transportation and warehouse ops are operating cost, not usually seen as revenue generation. So the focus with them is cost reduction and efficiency/CI. It’s not the best approach, because it literally is the thing that moves the business, but it is the typical approach.