Introduction
The form of the organizational structure that the company owns or is intended to contain, if it is being formed, with all its vicissitudes and legal documentation to be presented must be thought out.
In fact there are many ways to adapt in one way or another, each organization that wants to give to the project.
For micro-enterprises or SMEs inclusive, many times the business plan can be presented as a possible single-taxpayer or, in fact, companies may even exist irregularly formed ones.
Regarding the latter, it is necessary to note that this type of company as a “legal person” responds with everything they own and…, what they do not own as well. Since if they are left with debts, this is transmitted to all partners and / or will follow their heirs.
Legally, the non-registration and the treatment of an irregular company transform the liability of the partners into unlimited and solidary, each partner (in fact) is responsible for the total.
It is clear then that the different forms of associations are required by and so as not to risk “materially” more than what is contributed.
The most usual and convenient associations for the type of companies mentioned are SRL and SA (Limited Liability Company and Limited Company).
Cooperatives are not mentioned as convenient, but… it is another option.
It is important to emphasize at this point that you have to do it knowing and thinking that you are going to manage an investment. On the one hand, if it is something financed, the money is generally given to administer physical “people”. It is for this reason that a dedication is required in the presentation of the organization.
Understanding that, you could understand when you say that it is not that you are investing in an idea or a product to be developed only, but that you invest in "people", in fact they are the ones who will manage the company and therefore, if there is financing, they will manage the money received from investors.
Then I give a personal version of a company's current organization. An organization chart must be put together and detailed. Complete curricular data must be submitted for each of those listed in it.
Everything related to the company must be mentioned and also one by one to each individual who complies with the direction, execution and administration of the company, with luxury and curricular detail.
Something is wrong here…, that's why there are so many irregular situations that last in a country like ours where companies armed with all the law fail after having received a fabulous credit from an entity (generally official) while the armed punctures resist storms.
Organizational structure
Key executives and technicians
This is one of the points in which the choice must be carefully and I will indicate some concepts that I consider important in the development of the presentation.
A company has relevant positions in terms of the powers to produce changes in: production, purchasing and contracting, personnel administration (HR), finance, sales, etc.
These positions must be filled by those who know how to do it.
1. Functions within a company.
- to. Sale.b. Production.c. Administration d. Financing. E. Accounting f. RR. H H.
to. Sale.
- It is the raison d'être of any company. It must meet two objectives
1. Creation of demand
- Promotion / advertising processes. Price reduction. Discounts. Customer credits.
2. Sell.
- Organization of an efficient sales system in coordination with production.
b. Production.
Process consisting of technical aspects necessary to obtain the product to be sold.
There are all kinds of specialization at the engineering level. For:
- 1. Choice of the process to be used.2. Location of machines to be used 3. Provision of machines, raw materials, supplies and materials to be used 4. Production scheduling 5. Production control 6. Human Resources Training.
At this point there is something very important. There is a natural process in humanity that is called innovation.
Only with the proper training of companies' human resources can we change point one to continue in the production / sale process, always trying to perpetuate ourselves in being able to provide solutions to problems.
c. Administration.
The administration itself, of the company, in its entirety will be developed later, given its importance and transferability to all other tasks. It represents a fundamental pillar in the company. Without an administration, it cannot work well. Whatever a company manages, it must be managed by suitable people or professionals.
It must also be dealt with separately, due to the criticality of the choice, from the point of view that they are the investment managers.
d. Financing.
It is very important and only for this reason it may be necessary to separate it from the rest of the operations.
It goes without saying that without funds it is not possible to advance, with few funds one advances with many obstacles. It happens that everything is part of the great administration.
In the company, it is not a matter of putting together a flow of funds to present to future investors, but it should take into account all possible processes, such as sales, credits, subsidies, etc. Of course all these tasks, without being the one who manages these portfolios. Moreover, many times the one who plans and executes the financing does not manage even the cash (Treasury). Since you have the mandate to do it and you have to fulfill it. It only has the degree of freedom of time.
There is a whole structure of financial engineering that generally, for the beginnings of the companies are captured by third parties, such as, mainly, banking entities. It is necessary to note that the potential investors are entities that "in this matter" consider themselves experts and often try to capture this part of the management of a growing company, with the clear objective of carrying out the work that they will give them. your profit and, in the process, control your own investment and then close the deal.
and. Accounting.
The accounting in charge of the registry that allows to control even the smallest detail the assets of the company and I only know how to read a balance sheet. It is an activity of accountants. For a small micro-enterprise, an accounting firm can be hired, which can be very expensive (it will charge even to make a letter to the DGI, AFIP or RENTAS) or, a professional can be hired to carry out the tasks in the company itself.
F. RR. H H. Human Resources.
It is one of the most distressing points of a company, they are the ones that generate the most problems.
Leaving aside what is indicated in point 6 of Production (would correspond more to production).
Professionals who are specialized in doing (engineer), accounting control and registration (accountants) as well as professionals specialized in litigation (lawyers) are generally seen working in a company.
Despite the fact that there are not a few people who make problems to industrial structures and many companies have numerous losses for this reason, so much so that some must be closed due to insurmountable inconveniences in this area.
Few relationship specialists are seen working in companies.
There are professions that settle the behavior of people.
Given the usual problems, the most advisable in these cases is to try to cover the sector with two pillars in training, a teacher, a profession that has knowledge of psychology and didactics and / or a nurse, for the necessary tasks of great care in Health, with knowledge of first aid and a good collaborator in administrative tasks concerning not only occupational medicine.
Extra comment: as I see, the clinics that are managed by doctors, professionals very well prepared but…, not for the administration exactly.
On the other hand, the nurses are. But…, where did you see, in Argentina, an administrative "university professional" nurse, head of a doctor. And…, so we walk.
Administration
Regarding the current administration.
At this point, thanks to the development of information technology and software. Each and every one of the computer elements necessary for the registration and control of current production are studied and developed by professionals, whether small or large-scale. The professionals responsible for solving logical problems in administrations are systems engineers and / or analysts. The most powerful analysis tool they use is the operations flow diagram.
It happens that this specialty (of systems analysts) is currently misinterpreted due to its close relationship with computing. The systems analysis specialty is long before computers appeared. Once the ideal circuit of the process to be followed has been analyzed, an opinion is issued and each one in the organization must continue to fulfill their role, with the proposed changes. It is not “necessarily” as they say, that if this is applied, “X” men will be changed by computer to do their job.
So, having the company organized, carrying out the process is easy. When you know exactly what to do, you don't have to go wrong. Someone who worked a lot for private and public organizations is: Peter Drucker.
Regarding computer programs.
Everything that is business, with or without manufacturing requires organization and is a great market that many software developers mainly target. Large machine manufacturers such as IBM "International Business Machines" today only manufacture business computers and software for them.
The same Microsoft, which has already added the abbreviation "small bussines" to its office suite, as always, without leaving the classic MS Word sheets, Excel spreadsheets and presentation slides. in PowerPoint.
There is a great offer of these themes, very versatile, in continuous improvement with the intention of approaching the best for the client. Typical of innovation and development, and also…, having many are low cost.
Within the administrative organization is the accounting, but this has no secrets, since long ago the Fray Franciscan, collaborator of Leonardo Da Vinci, "Luca Pacioli" published the accounting accounts treaty by double entry.
As I said, you have to know how to read the balance sheets. Not many do, I think this happens because current specialists try to "not be like this", it is not difficult at all. They complicate things for the worse, I would say, to assert their specialty. But hey, we'll see how this will change. It reminds me that the religion of before, intended that the Bible was not read (because it was only for specialists) being that it was proclaimed that it is a message from God for all men.
Now we will see something to determine where is the problem that makes the use of engineers for the development of companies limiting.
First of all I would like to express that it is not my idea specifically what is expressed here, that professionals in different areas should be those who manage their corresponding responsibilities.
Peter Ferdinand Drucker: He became interested in the growing importance of employees who worked with their minds rather than with their hands. He was intrigued by the fact that certain workers came to know more about certain subjects than their own superiors and colleagues, even though they had to cooperate with others in a large organization. Drucker analyzed and explained how this phenomenon challenged the traditional current of thought on the way in which organizations should be managed. His concepts such as "privatization" and "entrepreneurship" -in their current conception- are used globally today. In his work The New Realities, Drucker highlights the insufficiency of the State as an agent of "social redemption" and shows that only the productivity of a nation can generate equity among its people.
Back to the Administration point.
It is clear that everything that is done in the company must be administered and controlled not only by the owner (or shareholder) but also by the government.
It is all united by this operation that is also accounting, which is in charge of registering, not only accounting, financial movements, etc., but also the internal and external movements of the company, such as, mainly, production, which It is what matters most to the owners.
Although for operational purposes, it is controlled by the corresponding area, its administration for accounting is independent of production needs and should be done in one way or another.
The administration is in charge of buying / selling / monitoring / care, etc., both for the products manufactured and for the raw materials, supplies and materials necessary for operation.
It is also in charge of managing the funds for RR human resources. H H. (Wages) and all cash movements (treasury) etc.
Regarding the professionals who would manage a company, I detail my concepts in the next point.
Repeating a comment already made in a previous letter, we analyzed an entity type SA
This recognizes by maximum authority the shareholders' meeting. The assembly designates a board of directors, a group of people in whom the management of the company (shareholders or not) trusts, who in turn are led by a board chairman.
For proper operational management, the board designates the president of the executive committee.
Manager of managers or CEO. All the management activities of the different areas depend on him, but above all, his task is always focused on achieving the efficient and economic administration of industrial production.
There is an entire university structure of undergraduate and postgraduate preparation for aspiring CEOs who are focused on: Business and business administration (MBA), Sales (marketing). Etc. And, there is also a wide coverage for those interested in the tasks of companies on site, such as doing things, are those who prefer engineering degrees.
Unfortunately, given the preconceived training from the start of the projects, there is a direct relationship between the administrators and those who record the events, given that the professional base formed in economics and finance is predominant.
I will explain why I mention the word unfortunately.
The separation of the "engineering" specialty from the vast majority of these activities is notable.
It happens that there is not, it is not noticed that there is still, a direct relationship between the person responsible for doing, the one who is professionally prepared to do, the engineer and the other two areas of the companies.
The instructive legal bases for the formation of official companies, such as: SME Instruction Manual, do not mention at all in their requirements, the need for engineering advice, since logic shows that the participation of many of the engineering careers.
In other words… necessary tasks are mentioned for accountants / lawyers, etc., but not for engineers.
Engineering is absolutely necessary. I reiterate, we do not speak directly of that, but think only of what is said, for example, when it is required to modify something in the administration "because it does not work properly", we speak of "re engineering". What's more, when you talk about achievements in finance you say: Financial Engineering. But I insist…, the boys who manage these managerial positions are specialists related to the economic administration of finances or, as you want to call the administration given by specialists in business, economics, accountants, graduates, lawyers, etc.
I reiterate what was said in my writings on projects. It is as if everything focused on the concepts expressed in the old definitions of the word project, taken for granted in training, including university training, by people related to economics and finance and legal specialties.
The choice of people for administrative positions is focused on obtaining an optimal administration of scarce economic resources to solve problems tending to satisfy a human need. Being healthy is getting someone prepared to solve problems, nothing more.
Problem resolution.
I insist that there is a specialty for each sector of the company.
In an organization everyone knows what to do and there should be no problems. Everything is fine if everyone works organized. This does not mean that critical and urgent situations appear.
It happens that if these critical situations occur repeatedly, as much as it seems normal, it should be understood that the organization as a whole is not well. There is some problem.
We already know (in common parlance) that to solve problems, you need to "figure it out."
Things are solved "doing" conveniently only if they are with knowledge of cause and effect and, in this, in relation to production, engineers are trained in houses of high studies.
The companies managed with the current criteria mentioned above, are prepared to record the facts but they are not prepared to do justly and, if problems occur even less, since they are also not prepared to solve problems.
There are divergences based on secondary / university and / or postgraduate technical preparation regarding business management. Basic technical training can and should be given in secondary (full adolescent training) and / or it may be suitable, with experience, but you must understand what is being done.
Of course you also have to understand accounting. I understand accounting, I am received in high school with the title of Commercial Expert given in the business school No. 13, Juan Bautista Alberdi. Tres Isletas, Chaco. I recognize processes and records.
It always reverberated in my mind that registration is something subsequent to the fact itself, it must be done first so that it can be registered later. But it is precisely the fact that really mattered to me and, I think it really matters to those who do, fundamentally in addition to the owners of the companies. In other words, we must wait for it to occur, record it and check that it has been done accordingly.
The economy is linked to accounting and it to registration. Accounting is responsible for the smallest detail of all the assets of any company before the owner and the law.
Notable divergences.
It is necessary to highlight some issues that conceptually, at least for me, make the failure of companies with potential success.
I have already mentioned above the remarkable, at least in Argentina, those who run the companies are generally professionals prepared to register (accountants) and / or litigate (lawyers).
Professionals trained to do (engineers) are minimally appointed to relevant positions.
On the one hand, there may be at least restraints on actions. But mainly it slows down the much-needed and also mentioned industrial evolution action to be able to stay on the market. See point 6 of production, when I talk about innovation.
But on the other hand, such damage is done to the entire industry of this country through the use of spurious concepts called financial bicycles that scares any entrepreneur.
Something is wrong here because Argentina cannot get out of its anachronistic state as a granary of the world having the capacity to industrialize its products.
Although the world accounting presents a general balance but…, so that they are separated into three: patrimonial, economic and financial.
Presented in this way, it is capable of distributing profits when companies are going bankrupt, it is somewhat inconsistent.
Such a balance allows to grow in debt with profit taking. Example: from interest on loans granted, which are recognized as possibly uncollectible.
Other typical case of example that occur with these balances are given by companies looking for the bankruptcy path to get out of debt (at least the owners), increasing debts by taking loans from people who trust them, such as being suppliers, employees etc. There are cases of companies that paying their purchases, initially, with credit to 2 (two) weeks, 14/15 days, with various accounts lengthening payments, they get credit of up to 180 days, 6 (six) months, from suppliers, then they start not paying wages and the dance continues. Of course they recognize all kinds of debts, they do not hesitate to recognize the large amounts and costs of losses in lawsuits. It happens that…, they don't pay either.
Everything indicates… it is the road to bankruptcy, but the balance does not denounce it. And those who see the path smoothed out simply work for it and no one expects an accounting / financial advisor to testify against the company for which they work. This was the case globally in 2009.
What to do.
Now, it happens that I also understand engineering., I am an Agro-industrial Engineer received at UNNE. I had already realized that I liked doing when I was studying the subject of merceology at the business school, this subject is not widely recognized and is absolutely of great importance in life itself.
Getting to the point. For a company the main thing is to sell "trying to perpetuate itself through innovation".
It happens that to sell you have to have or do. Once sold, you have to dedicate yourself to selling more.
On the one hand it is feasible, the creation of demand is placed among the sales objectives.
But on the other hand you have to understand what happens with this, always doing more of the same, lack of innovation. It happens that the time comes when: it fills up or tires. If necessary, unless it is an element of basic elementary needs such as bread, it will not be sold any more. And, there the problems begin.
So in order to continue sales, trying to perpetuate itself in the market. The concept of innovation appears clear and resonant and for this, gentlemen, you have to invent yourself.
Doing and innovation.
Most innovations fail. And companies that don't innovate disappear Henry W. Chesbrough. (from www.gestiopolis.com, to my email)
Not only did this lead me to write in different essays, the verbiage leads me to mention things like:… through innovation, man finds the path of his mission in this world, reaching its fullness with the contribution to achieve the perfection of a imperfect world.
Talking about innovation, with knowledge of cause and effect, requires knowing the entire manufacturing process of an element in a company and, there seems to be an engineering focus, in the knowledge of doing.
In the recognition of being able to determine the necessary changes, which on the one hand are expected without the negative impact on the product and, on the other hand, are needed to be able to perpetuate in the manufacture of a product that a globalized world requires constant innovations.
This I understand (not only me) the administration should not be conducted by people with economic or legal knowledge, it is something that can easily lead to the constant detriment of the product.
For example: Processes named (wrongly for them) of productivity that, I insist; Economists mistakenly wanted to manage it and, by reducing costs, they tried to reduce expenses to produce the same.
In some cases, the product quality collapse, losing irrecoverable customers.
This loss of clients has worried me for a long time about the concept. In a conversation I had with an accountant from a large store, he told me, this has been more than 30 years ago. He said that his vision of the business was to worry about buying well and cheaply. Regarding the sale put any person. I remembered him after many years when they began to swarm the businesses of the all type for two pesos. They offer everything, less quality, just like a street vendor "ciruja" established with a business on the corner of the neighborhood.
This way you lose real customers, only those who buy in transit.
It happens that in times of crisis there are so many people in transit (with few resources) that the business survives regardless of the customer. And, if this is projected into production, we cannot claim much, since it would be thought that the same is sold. But it is bad. And if it is of poor quality, it is bad and ready. From there we cannot claim anything good.
That is not what I am looking for with this treatise. What I'm looking for can be summed up in Let Engineers Manage Businesses.
Men of economics and law, economists / lawyers are not professionally prepared to do, they do not know how to do things, they are prepared to record or litigate things done, not to do them.
Doing is for engineers and they have to be allowed to work on it.
They must figure it out and we already know that what genius begins only work ends.
There are reasons that indicate the engineer as responsible for planning and doing, with knowledge of cause and effect. Recording it depends on the accountant.
I always like to read to those who did something, mainly by business administration, people like Peter Drucker, of whom I already mentioned some texts.
This comment that I am going to make regarding the topic currently dealt with is from someone who did so much that when he published his autobiography (in 1983) he sold seven million copies in the US alone, expanding throughout the world, translated into six languages. (As a "hardcover" book, it is only surpassed by The Bible and Juan Salvador Gaviota.) He is a world-renowned American and, what I want to comment on, he said for his country at a time when the market in which he operated with absolute ease was hit by the penetration of Japanese brands. Lee Iacocca said to the United States something that for Argentina today is the harsh reality:
"What I admire most about Japanese society is that while we have one lawyer for every ten people, they have an engineer. The best way to tease the Japanese is to send them all our lawyers. " Big. But hey, for now there is still a long way to go before Argentina releases the power to run companies, administrative economists and lawmakers.
Another twist to professionals who don't know how to do that. It is clear that all the movements and actions carried out must be documented.
This is so because only in this way can an irregularity be determined, knowing that it is the assets of the company. It's bad.
The administration always tries to avoid subtractions and establishes an order to immediately locate any movement or item that you want to control is the order of the day with accounting.
The responsibilities indicated for the different tasks should depend on the specialist.
The accounting tasks, the factual records, by the way are closely linked to fiscal controls, the controls that governments make to collect the corresponding taxes, but above all it is where the owner must control to see mainly the loads of expense and / or profit and loss accounts.
In this case, it is an accountant, a graduate in economics, a master's or a doctorate in business, or not, etc., who would be indicated as a necessary professional to advise the employer or owner of the company.
Also in the event that there is any litigation, the one that should advise you would be a solicitor, lawyer or doctor (if you have a doctorate) in law. Given that in our Argentina your sponsorship is unfailingly required in the event of any litigation or judicial presentation, everything must go with the signature of a lawyer.
Now… yes, to make, even if it is a house where a judge might live, it can be done by the bricklayer on the corner who just finished second grade, or to make massive food, anyone capable of baking can do it or roast in the house. Passing orbits of health, it would be the same as the one who can attend to your child's illness is the one who practices curanderismo…, it is understood, those who do so are not professionals.
In business jargon, the basic concept is that it is about hiring these professionals to “pay less taxes”, trying to avoid them as efficiently as possible.
Of course (protected by law) the advisor, the one who knows where the trick is, cannot be expected to testify against his client.
It is something like when a scammer goes to jail, he must have his own defender who must be in charge of defending him, not harming him, with the hope included of avoiding conviction.
I think this is all said. This often exceeds responsibilities and limits the hiring of professionals who are truly prepared for the operational management of productive organizations.
This is our beloved Argentina
