Cost reduction through improved office methods, systems and procedures : a case study

Abstract

Without systems no business undertaking can operate efficiently. As business concerns are growing in size and complexity, management are becoming more and more aware of the importance of systems and the resultant paperwork without which no system can operate. The basic object of any system is to supply control data. In order to obtain the necessary information certain expenditure will necessarily have to be incurred. The purpose of this study will be to prove, with the aid of an actual case, how improved systems and procedures can assist in improving control data and also achieve a reduction in the cost incurred. In chapter 1 a factual description is given of the current procedures used in each relative department for receiving, warehousing, despatching and invoicing of commodities. Chapter 2 is devoted to a critical examination of the facts. Inefficiencies which are the result of lack of co-ordination and integration between departments, and incomplete procedures, are highlighted. Chapter 3 gives a detailed description of new and improved procedures together with a summary of anticipated cost savings resulting from each change. The Epilogue gives consideration to the all important aspect of human relations and quality of personnel with regard to the implementation and maintenance of systems.