All parts of the system; with the components in the system that enable the system.
A simple way to understand your program using a generic way to define the companies risk or strategy.
Components that make up system
- Make and Model of a Car or Vehicle
- Supplier traveling South to build the vehicle
- Feedback loops through engineering and marketing who developed the supply and demand.
- Exit criteria for South bound movement to Northbound supply.
- Drivers the demand; acquiring the ready vehicle as part of the revenue stream (driver enters the highway traveling North).
- Fast Lane - Is the program targeting moving current inventory to make room for a maturing new line?
- Middle Lane - Are you targeting a maturing offer to move into the fast lane?
- Slow Lane - Does your program promote the right skills for every new offer or competitive advantage?
Transparency and Accountability measures.
Did the program meet and retain the correct lanes of travel based on the industry definition?
Did the supply meet the demand and therefore the model was fair?
When a gap exist in a balancing loop you have a plan to adapt to the gap.
- Current state
- Desired outcome or condition
- Gap between these two
- How you are responding to the gap
We can assume that traveling South entails the parts of the system that your program relies on and this should include the way you've developed the sales plan and the sales forecast.
You are working with your partners in engineering and marketing to ensure the forecast will have a feedback loop into any improvements.
Objectives of the program; fairness, recognize high performance, provide transparency, hold people accountable.
Assume you are promoting a make and model of a car; you are targeting ALL drivers and you are going to measure the effectiveness based on the car entering the highway.
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APQC Business Process Framework