How Does The Shoe Factory With Brand Name Succeed In Achieving Business Pformation?

In a shoe factory in Jinjiang, Fujian, the operation of a shoe factory turned to an outline of the briefing. The background of the conference was based on a major business decision of a shoe factory. The past business direction was to undertake "foreign trade orders", and now the decision has shifted to "acting as an international brand for domestic sales".

Note: since I am engaged in very specific consultancy work instead of purely theoretical creation, the level of written language is limited. If the officials feel interesting, I will keep this style in the future.

Choose an internationally famous brand to represent its right to develop, produce and sell in China.

First, the overall change brought by this decision to the company's operation: 1, the profit space of the product has doubled at least; 2, the business departments have the autonomy of "killing and killing"; 3, the original factory operation process needs to be reorganized; 4, the quality of the product has become the key to the successful operation of the brand; 5, the fierce competition in the terminal market has greatly increased the company's operational risk.

The concrete manifestation of "overall change" is: 1, business past: passively "pfer" customer information and communicate with customers; mechanically order, order and documentary; now: promote brand, make sales plan, promote market sales, manage regional market and receivables.

2, development in the past: in style, line, color matching and last type is very passive, basically based on the "professional opinion" of foreign trade intermediate customers, and can not feel the direct evaluation of the shoe development and quality of the terminal market; now: leading shoes style, line, color matching and last type, but the quality of a pair of shoes will soon be directly judged by the cruel and merciless terminal market.

3, procurement: in the past: according to the consumption volume of each order, there is basically no "whole" material inventory phenomenon, but the problem of "chromatic aberration" often becomes a "bottleneck" of the supply failure. Now, the problem of "chromatic aberration" has greatly reduced the purchase, but if the batch purchase plan is unreasonable, it will inevitably increase the unreasonable stock material and backlog the waste of funds.

4、生产方面：过去：订单周期相对较长，一般不会少于35 天，生产周期15天，但由于受前段运作（业务、技术、采购）的困扰太大，导致生产计划缺乏保证，“出货”问题给各级生产主管造成的压力过大，并且大家的工作方式很明显都已习惯“追踪式管理”为主；现在：由于前段运作的自主性（一般为3—7天），使生产的计划安排相对保证，但根据“订单”来组织生产的情况再也不会存在，《生产指令单》成为生产现场运作的唯一依据，而且，“款杂单碎”的现象比以前更明显，生产周期也要求相对缩短（3—7天），最重要的是品质要求和品质控制程序将比以前更严格，一双鞋子没做好就会影响到品牌的声誉，更会失去一个直接的、能为公司贡献利润的消费者，甚至是一个出色的渠道。

It is the implementation standard of quality control. Due to the inconsistency of certain standards and inconsistencies in standards, the quality and quality of quality control work are difficult to grasp. There are often different contradictions and quarrels with the scene. Quality control personnel are often in a "dilemma" and can not see their work achievements. Now, the quality control system is the brand standard of our company. This "standard" is jointly formulated by development (or technology pfer), production and quality control, and so on. We all know one thing, so that the trouble caused by the work basically does not exist. Besides, quality control and on-site work will soon be tested by consumers, and the eyes of the market are bright. 5, quality control: past: customer's "confirmation"

6, financial aspects: in the past, the key points of control were "supplier's arrears", "excessive consumption of order materials" and "staff's capital output". Now, increase the "dealer's account", "raw material warehouse", "finished warehouse" and "the cost of each shoe".

In short, the pformation of the company's management direction will inevitably bring new requirements to the operation of the factory management mode. This is a challenge, but it is also an opportunity to upgrade the factory management level.

If the management level of the company is not well prepared, the company's management decisions will be greatly reduced and the managerial cadres will inevitably be eliminated.

In this regard, all managers must reach a consensus.

Two, the necessity of "foreign trade" turning to "domestic sales". Why do we need to turn to "domestic sales" if we do well in foreign trade?

1、外贸的单越来越难做，订单杂、单量小、款式配色多，这使工厂生产效率越来越低；2、订单价格的利润空间已低到很多鞋厂承受不了的地步， MD底一般只有5元，TPR底一般只有3元，但这还只是预先估计的利润，如果算上材料浪费、品质不良赔款、货期延迟赔款，再加上水电费涨价、工资水平在提高和部分原材料涨价等各种因素，一单下来，赔款的可能性占了40%，照这样做下去，工厂哪来的本钱快速发展，而不能快速发展就被别人“甩”在了后面；3、整个工厂的运作基本上是围绕外贸中间客户在转，他们固有的利益诉求以及一些QC的人为因素、情绪化工作都使工厂的机会成本和管理风险居高不下，换句话说，工厂已被外贸客户所控制，最明显地是客户的回款周期太长，账款占用已成为普遍现象；4、今年欧盟新执行的“鞋子不含‘偶氮’”的标准，使晋江很多鞋厂

The European market has been lost; 5, at present, some countries such as the United States and Japan strongly demand that China make "RMB appreciation", and the Chinese government has made it clear that it will not make the renminbi appreciate, so as to continue to maintain the export competitiveness of Chinese products, but at the same time, it has made other countries' psychological balance.