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The diagnosis system of management

Enterprises at different stages of their development and under different environment will face different difficulties, and therefore they need to continuously review their operations and internal operations and management, insight on the concerns of the management issues, to find the breakthrough to solve the problem of external development.

To assist enterprise management layer in better review and self-checking, and find the existing disharmony factors timely in management, and resolve those different-level problems which involve in the development strategy and production operations, CCAFM has designed a overall management diagnosis and evaluation system and run through enterprise strategy, functional policy and basic management so as to meet management demands of enterprise in different management layer and different goals.

Based on providing years of management consultancy service for multiple industries, various types of enterprises, the four characteristics which is possessed by the diagnosis and evaluation system of enterprise management from CCAFM’s summary and design as follows

Enterprise diagnosis and evaluation consultation system of CCAFM is divided into three levels of strategy, function and management. Different levels adapt to the different management demands and they have difference in aspects of goals, contents and methods etc.

The management diagnosis and evaluation system of CCAFM can be divided three levels according to different diagnostic goals and focus. Overall, they form an organic whole from macro view to micro view and from development strategy to the decomposition and promotion of basic management.

The dynamic strategy view of CCAFM believes that only strategy has the environmental adaptability can it becomes an executable strategy. What strategic diagnosis need to resolve is how to handle dynamic and rolling adjustment in the strategic orientation, goals and strategic measures which are established by enterprise.

Based on years of experience in strategic consulting, CCAFM combines the characteristics of trade, industry and enterprise and provides flexible, efficient, and self-checking strategic evaluation programme for enterprise.

The effective implementation of the strategy depends on all functions running through the basic operation business of enterprise. The effective play of all functions is also the important process and pattern of the construction of enterprise core capability.

Functional diagnosis and evaluation is assisting enterprises to judge the policy choices of all functions and performance according to internal investigation result and analysis and diagnosing these aspects from the strategic relativity, adaptability etc, and finding problems and correcting deviations, which can keep the adaptability, consistency between all enterprise functions and strategy to provide supporting and guarantee for the achievement of strategic goals.

Functional diagnosis and evaluation can help enterprise find the key functions, and carry out comprehensive diagnosis to the process and result of the implementation of all functions from strategic perspective. The comparison of benchmarks also can be part of the evaluation system for enterprise.

Functional diagnosis is the policy selection and performance to all management functions of the enterprise, and evaluate the matching among itself and strategy and the key successful factors. Meanwhile, it also makes present diagnosis to the effectiveness and performance to the core policy for all functions of enterprise.

Functional diagnosis helps enterprises management layer on the basis of a clear strategy further extend the strategy to the specific functional level and forms strategy into more executable strategy. Meanwhile, functional diagnosis is also the evaluation process to all functions, which help enterprise discover core capability and key functions.

Functional evaluation designs evaluation dimension to all management function from outside view and according to the characteristic of management function, and chooses proper evaluation standard (such as industry benchmark, competitive benchmark etc.) according to different management, and evaluates the situation for enterprise management function.

CCAFM believes that the development strategy implement enterprise operations by functional management and decision. But its execution performance and efficiency are decided finally by the basic management. The basic management diagnosis of CCAFM should evaluate comprehensively to enterprise basic management and organization efficiency, standard management and the functional exertion in operation from organization and management, business management, procedure provision, etc.

The basic management diagnosis helps enterprise comb basic management goals and also pays attention to management standard design and management standard execution. Meanwhile, the parts which need to be perfect and optimized are found by reviewing business execution, which help enterprise improve the system design and monitoring system of basic management and promote the refinement management level.

In terms of the applicability and situation——.
The system of CCAFM management diagnosis and evaluation is opened up around the management goal of “three levels” according to different management goals. Meanwhile, it itself established their own system and form diagnosis conclusions. Hence, it can be regarded as the self-checking tools of enterprise management to be used independently and can make conclusion and analyze to the strategy, functional policy and execution of enterprise management.

Meanwhile, because the system of CCAFM management diagnosis and evaluation have close relationship with the strategy establishment and adjustment of enterprise, the strategy option and matching of all functional management, and execution performance of functional management (including business, organization, procedure etc.), it can be regarded as the diagnosis tool of the prophase problem of the management consulting projects, and provides the foundation and basis for management consulting in the relevant field.

In terms of specific usage——
The strategy evaluation, functional diagnosis and evaluation, basic management diagnosis or the combining use of three layers should be operated respectively according to the actual needs that the self-checking of enterprise management is used independently or the problem diagnosis is operated by the combination with the relative management consulting projects.

Whether the enterprise strategic positioning still adapts to the environmental variant?
Whether all functional strategy and relative policy matches the strategy goals?
Whether all management system and procedure are executed and whether there are some problems and flaws during the management?

Background Introduction
Some chemical enterprise is a state-owned chemical enterprise being the state’s key investment. it carried out reengineering in 2002 and its operating performance has been improved continuously since then. The company is facing new development opportunity for the adjustment of management system.

The project’s dynamic factors
Some chemical enterprise have focused on the business expand since it finished reorganization in 2002. The company needs to reassess the strategic target and its execution, and makes clear the key functional strategy, and changes the relatively lagging situation of standardization construction of the basic management system. Meanwhile, with the adjustment of management system and the incorporation with CNOOC, the management standard of listed company and group also put forward the objective requirements to the integration and optimization of inner management system. Judging from three levels diagnosis and evaluation, its main problems as follow:

(一)Strategy Evaluation
1.The lack of clear company’s strategic goals and the goals decomposition. The development goal didn’t get straight and the strategic development goals covered wide scale and unclear position and the difficult execution after company reorganization. Meanwhile, it didn’t reflect the strategic goal effects from the change of resource capability after organization.

2.The lack of outstanding primary and secondary relation. Though our company have brought forward the main task of development planning, the indefinite differentiate business and inaccurate business definition and the over- scatter business didn’t reflect the primary and secondary relation of business and the key development and were difficult to reflect the difference between all business development and archive value contribution.

3.The lack of systemic strategic safeguard system. Safeguard measures only put forward the supporting building, but it is only a single building with peer-to-peer, which lacks the regular strategic safeguard system planning; the strategic planning still leaves the plan level and has never been implemented and lacks strategic monitoring and dynamic adjustment.

(二)The key of functional diagnosis and evaluation 
1.The human resource management. The foundation of talent groups can’t be satisfied with the long-term and sound-development goals. The main difference reflects the coexistence between the wide scale of staff and structural contradiction of staff. The low operation efficiency of company inner and the complex organization framework lead to the loss and distortion of information, whose diagnosis lies in the establishment of the headquarter functional department.

2.The cost of production. Judging from the same industry comparative analysis in cost structure and key indicators, there are two core problems to resolve for the realization of low-cost operation: significant energy and materials savings and the high labor cost because of effective controlling the over-wide scale staff avoiding.

3.Technology. Company exist shortage compared with domestic advance enterprise. However, there are many links to be promoted and improved in these using and management efficiency of technical equipment.

4.The product quality. The selling and service system of company have been established and improved over few years. However, the service philosophy of “clients first” hasn’t been implemented and affected the establishment of social reputation and image.

(三)The basic management diagnosis
1.The unclear responsibility of organization. Because company more concerned about solution survival problems and followed existing projectized management and experience in the initial stage of reorganization, it appears many problems such as, the man-made segmentation of management function, the unscientific division of responsibility, the unclear responsibility in department and post, and the loss of part responsibility.

2.The nonstandard process system. The lack of scientific, perfect and standard process system in company lead to strong randomness, especially the insufficient attention in quality, cost, efficiency, risk etc ,and the lack of management concept

3.The imperfect system. Company lacks the institutionalization management philosophy and its operation management more depends on leader charm and staff’s maintain ownership result in its intense disorder and the lack of risk control.

Project plan
In order to cope with company future sustainable development and promote overall the level of management, our company is making sure improve importance and strategy to company situation and the results of diagnosis and evaluation by combining and comparing the benchmark enterprises and the future management.

Based on the result of strategic evaluation, our company has revised strategic direction and the whole development strategy of all business and has worked out the strategic development planning in different stage of business for objective circumstance in the change of external circumstance and company reorganization.

Based on the result of key functional diagnosis and evaluation, our company has made clear key factors including cost control, quality control, efficiency improvement, risk prevention and customer-oriented to adapt to the development strategic position of company, and further adjusted and optimized the selection in functional strategy and relative strategy, and improved the coordination with strategy.

Based on the result of process evaluation, company has combed and established overall process framework system referring to APQC international process system, and has drawn the specific process and assorted with process specification. Based on the result of organization evaluation, company has reorganized the boundary of the settings and responsibility between department and workshop, and has cleared the management pattern of overall organization, and has specified the labor system combining the design of process system, and has completed personnel allocation

Based on the completeness evaluation result of system, CCAFM has combed, standardized and optimized system files such as policy, organization, process and rewards combining the adjustment of organization structure and the optimization of process system, and have developed the overall system throughout company, which provide system guarantee for the whole standard management, effective operation and risk prevention.

The effectiveness of programs
By all-round diagnosis and evaluation to company’s strategic goals, key function and basic management system, company has comprehensive optimization to the existing problems from the all operation, and has made clear strategic direction and goal, and has adjusted functional strategy and policy, and has strengthened the consciousness of process management and risk management, and has promoted systemic the whole management level. All over them provided solid basis management guarantee for sustainable development and competitiveness after reorganization.

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