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Component Manufacturing dverti$er
Adverti$er
Don’t Forget! You Saw it in the
September 2017 #10218 Page #24
Pride Can Blind Us All from Seeing and Learning Things For Better Bottom Line Results I
t has taken our industry quite a few years, but once again it is common for wood component companies for a 15%+ EBITDA in normal markets, in which the sales exceed a two-week lead time. Many are exceeding 20% EBITDA. Do you know how well your company did in comparison to the average? Perhaps you are not privy to such information, but maybe you know that things need further improvement. If improvement is a real goal instead of just talking about it, maybe you should consider doing something different instead of repeating the same processes and expecting different results. Everyone should ask, “What are some of the things that prevent serious improvement from happening within my group?” Time and money are excuses many offer as the main reasons for not trying something different. Others say, “I need to find the right individual(s) to move us in the right direction.” If you feel these are your main obstacles, your company is more than likely going to continue repeating the same patterns and garner the same results it has always achieved. So what is preventing any company, department, or individual from making real, positive changes to garner better results? There are two main obstacles that must be overcome: pride and not admitting that you don’t have all the answers. According to psychology studies, “Modern cognitive theory states that people tend to perceive reality in light of pre-existing expectations and will ignore large amounts of contrary data before finally changing their minds.” In other words, we perceive the world the way we want regardless of the evidence showing it differently. Why is this so often the case? The answer is simple but hard to overcome. In one word it is pride. We cannot see that change is needed, or if we do indeed recognize the changes needed, our pride blinds us and prevents us from admitting it. We allow our pride to perceive everything as being right or wrong, as if by admitting that change is wanted or needed, we are saying, “We were wrong, and they were right.” What worked in the past was a good thing, but evolving to meet the challenges of today does, in fact, require us to make changes and see things from a new perspective. To embrace better ideas, one needs to set aside pride and listen to others with a different perspective and experience. I can tell you from experience that I have seen the results, time after time, and that making positive changes garners significant net-profit gains that many are simply blind to what is so plain to see by others. What are some good resources to start educating yourself with new ideas? Reading or listening to audio books is always a good starting point. Examples: The Goal by Goldratt covers the theory of constraints, any of the Dale Carnegie publications cover better management practices, and any books covering lean manufacturing will assist process improvement. Also, seminars at your local colleges and online training for the same type of information as described for book reading can help. In other words, start by looking outside our industry for better practices! PHONE: 800-289-5627
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