Marina Semenenko, financial director of “Sladkiy Oreshek” LLC, candidate of economic sciences, that sometimes it’s more effective to show perspectives than to use administrative levers
Seven years ago, at the company where I worked, the owner set the goal of cutting costs. I had a goal – to optimize the consumable items that occupied the largest share in the cost
According to calculations, the metal accounted for 70 percent of the raw material cost of the product. Therefore, we proposed to the supply department to transfer metal purchases to an electronic platform. We would be able to place a purchase order and receive offers from potential suppliers. Thus, the process of purchasing metal became transparent, and the price became controllable
But the head of supply department refused to use the new system. He motivated this by the fact that he doesn’t have free people to work with electronic platforms and none of the employees can do this. Administrative pressure from our side didn’t help, the suppliers didn’t support the idea. They understood that if the purchase of metal reveals savings, then other categories of raw materials that are purchased in bulk will be transferred to electronic platforms
Then I suggested to the head of supply department that he himself learn and engage in electronic trading. In a conversation with him, I emphasized that such a qualification would raise his status, deepen his knowledge of the specialty and, most importantly, raise his value in the labor market if he ever decided to look for a new job. After the electronic trading system is up and running, he can transfer this function to another employee, and he will remain in control of the process
My colleague didn’t give me a specific answer at that time, but after our conversation he applied for training in electronic trading and eventually implemented a system of bulk purchases of metal in the company. The savings in the cost of metal compared to previous purchases amounted to 20 percent
After this incident, I realized how important it is to understand other people and communicate with them from the position of what interests them and truly motivates them. Now this allows me to solve many work issues without additional effort and problems
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Date of copying: March 25, 2023