Great Power Heavy Industry: Rise

Chapter 269 Pangu Economic Management System
Zhong Cheng smiled, "Having more logistics managers is not the key point. To improve the efficiency of the Gonggong system, reduce everyone's workload, let everyone have more time to think about really difficult problems, and make everyone have a more relaxed and happy life." Wouldn't it be better to have a better work experience?"

Recently, the logistics management personnel have been so busy that Zhong Cheng noticed it. Although he was moved by everyone's enthusiasm for work, he did not advocate such a way of working.

Everyone is busy with trivial matters, ignoring the thinking and improvement of problems in management, and lacking time to improve management, which is not good for the long-term development of the company.

He would rather everyone have less working hours and more free time, so as to ensure that good knives are used wisely.

Zhong Cheng continued: "It is very important to add an intelligent decision-making module to the Gonggong system to improve the system's processing efficiency for daily business, but it is not the focus of what I want to talk about today!"

"Ok?"

The four of them were taken aback when they heard the words, isn't that the point?

Zhong Cheng didn't hold back anymore, he said: "Through the adjustment of the company's organizational structure in the past two months, although there are only 63 branches left after the merger and reorganization, these branches produce dozens of major categories and thousands of varieties. products, the quantity is calculated in millions!"

"The production, supply and marketing of such a huge manufacturing system involves a large number of high-end enterprises and a large number of users. Considering the company's output value, it has formed an economic system!"

"For the management of such an economic system, the company has always had two management tendencies, planned management and free competition, and a lot of attempts have been made!"

"The current implementation is based on planning and supplemented by internal market competition. I think there is a problem with this economic management model!"

When Zhong Cheng said this, he stopped to drink water to let everyone digest.

Zhou Hu and others are very clear about the management of the company. Although Liu Yuzhu is in the research and development institute, he also has a lot of cooperation with the branch company, so he also understands the situation.

All four of them understood that Zhong Cheng wanted to use the Gonggong management system to achieve complete planning management within the company.

Because Zhong Cheng has always been thinking that everything is under control, he must not tolerate the uncertainty of internal market competition.

Liu Zhenquan took the lead in speaking, "I think the current conditions are ready to implement complete planning management within the company."

"Oriented by the demand of the external market, the existing optical brain system can calculate all the internal supply and demand information in real time, so as to generate the production supply and demand data of all branches and upstream suppliers, and accurately release the production plan."

Zhou Hu added: "In this way, all upstream branches of the supply chain can produce according to the production plan, which can greatly reduce the inventory of intermediate products and reduce the backlog of funds."

"And all branches can be directly settled at cost, and profits are uniformly distributed by the group headquarters, completely avoiding vicious competition in the company's production supply chain."

"It can also prevent the back-end branch from pushing the cost pressure to the upstream branch, making the upstream branch unprofitable and only sacrificing product quality to reduce costs."

Liu Yuzhu also went on to say: "I think it is even possible to cancel the company's huge and complicated procurement system, and there will no longer be a situation where the company still engages in public relations."

After the three of them finished speaking, Yang Shuzhen said dissatisfiedly: "You only saw the benefits of planning and management, why didn't you think about the disadvantages?"

"If everything is as good as you say, then why does Red Star Company have a branch responsible for its own profits and losses, and compete freely with external suppliers!"

"This!"

All three of them were questioned, and of course they knew the drawbacks of the complete planned management model.

Before the implementation of the divisional system and the current branch system, Red Star Company adopted a complete planning management model.

At that time, the branch company was called a branch factory. Because there was no market pressure, the branch factory only produced products and was responsible for improving product quality, and had no motivation to launch new products.

The idea of ​​"waiting and relying on demand" in each branch factory is very common, and the enterprise is seriously lacking in vitality.

The planned economy was once understood as a synonym for "eating from the same pot" and a synonym for backward management models.

Zhou Hu argued: "With the Yang Jian evaluation system now, the leaders of each branch company have become more ideologically aware and enthusiastic about work, and the previous situation will not happen."

"Hmph! I don't believe in personal awareness. There are all kinds of birds in the forest. Can you guarantee that all the branch leaders will put the company's interests first, or the group company's interests first?"

Yang Shuzhen is a firm supporter of the theory of free market competition, and because she grew up overseas, she is full of distrust of human nature.

All three were speechless, because too many people put the interests of the small group more important than the interests of the large group, and they cannot be said to be selfish.

And in this day and age, ideological awareness is always mentioned, how many people buy it?
Zhong Cheng was listening to the four of them talking with a smile all the time. Seeing that it was almost done, he said with a smile: "You all said well, and you have reached the point I want to say today."

"That is how to give full play to the advantages of the planned management model and avoid its disadvantages?"

All four looked at Zhong Cheng, knowing that he must have something to say.

Zhong Cheng said slowly: "As Liu Zhenquan said, the current technical conditions already make it possible to implement a complete planning management model, so I won't say much about it."

"Let me talk about my thoughts on avoiding the negative factors brought about by the planned management model."

"I think that if the planned management model is combined with an effective supervision mechanism and incentive mechanism, it can completely replace the current free market competition model with profit as the core."

"Now we have a powerful Yang Jian evaluation system and Taixu experiment system, and we already have the technical conditions to establish a sound and effective supervision mechanism and incentive mechanism."

"This is the task I want to give you, to develop a new economic management system that integrates program management, monitoring mechanisms, and incentive mechanisms."

"Well, let's call it the Pangu Economic Management System!"

Considering that the brand-new economic management system is no longer limited to enterprise management, but involves all aspects of an economic system, Zhong Cheng chose a new name.

Pangu, the creator god in Chinese myths and legends, created the world and created the order of the world.

"it is good!"

Zhou Hu and Liu Yuzhu applauded excitedly, but Liu Zhenquan and Yang Shuzhen looked thoughtful.

Yang Shuzhen helped Liu Zhenquan express his doubts, "How to establish a supervision mechanism and an incentive mechanism?"

Zhou Hu scratched his head, opened his mouth a few times, but couldn't answer.

Liu Yuzhu also blinked a few times, but did not speak.

Everyone still looked at Zhong Cheng, waiting for his explanation.

Zhong Cheng continued: "In fact, the truth is very simple to put it bluntly. If Yang Jian's evaluation system can evaluate people, it can also evaluate organizations composed of people."

"According to the principle of Yang Jian's evaluation system, we only need to build models at all levels in the system from the team to the production line to the workshop to the branch, and establish the relationship between the top and bottom of the organization at all levels and the horizontal relationship. Construct the economic operation system of Red Star Company."

"Then adding corresponding control conditions and evaluation conditions to this system can realize the supervision and evaluation of the operation status of organizations at all levels."

"For example, when adding output, quality, cost, production balance, quality improvement, technology creation, employee satisfaction and other conditions to the evaluation conditions of the branch, it completely avoids the situation that the original planning management model only uses output as the evaluation condition. .”

"Moreover, the evaluation results of units at all levels will be directly linked to the individual work performance evaluation of relevant managers, and can also be linked to the income of all front-line employees, so that everyone will regard the real success of the enterprise as a top priority. Organizations at all levels The vitality is naturally there!"

Finally, Zhong Cheng asked: "Of course this is just my preliminary idea, what do you think?"

(End of this chapter)