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UNIDO Educational Software for Business Performance Measurement, Management, Benchmarking and best practices in continuous improvement, capacity for trade, exports, investments and access to markets, development of knowledge capital
The UNIDO Pharos software suite is an introductory educational yet operational set of IT tools for entrepreneurs of Small and Medium Enterprises, business consultants and vocational training professionals. It does not require special knowledge and skills for running, facilitates business planning, performance management, measurement and benchmarking as well as preparation of effective decisions by simulation of outcomes, including innovations. The suite is effectively used in enterprise practice, business consulting in countries, quick enterprise audit and vocational trainingand executive education.
The UNIDO business performance software supports preparation and implementation of ISO 9001 (Sections "Establish monitoring and measurement processes" and "Carry out monitoring and measurement activities") and ISO 9004 (Sections "Measurement and analysis" and "Continual improvement"). It facilitates continuous improvement practices in enterprises by the following:
Measuring business results
Identifying problematic areas having measurements data, describing the issues
Determining the causes
Formulating optional solutions which can potentially solve problems and bring improvements
Evaluating the improvement decision options including impact of uncertainties and risks by simulating the major outcomes
Selecting the best (most effective) option corresponding to strategic business goals
Monitoring the implementing of the decision
Comparing the achieved results with initial assumptions.
The software implements the following concepts:
minimizing data being collected while maximizing meaningful results
maximum simplicity for easy applications by managers and enterprise specialists with minimum level of relevant knowledge, skills and qualifications
prompt indication of a problem when appears
allowing in-depth analysis of problems when necessary
using of data available by some third party software and databases e.g. accounting, quality management, production management, sales, etc by importing and exporting data
benchmarking of performance and reporting to assist management in implementation of in-house analysis as well as in presentation of their business results to third parties (e.g. investors, banks, customers, industrial associations, etc.)
simplified simulation of the major decision options using actual enterprise results for improving financial results, planning, production, introduction of innovations and new technologies, developing responses to market changeand globalization
facilitating business management learning and knowledge capital development stimulating managers in achieving measured sustainable improvements in their businesses.
The Pharos package provides unique combination of design concepts, underlying methodology, simplicity of operation and acceptability by SMEs. It had been successfully applied for improving productivity, quality, competitiveness and managerial capacity in various international programmes by UNIDO since 1999 providing simple IT tools for entrepreneurs to ensure sustainable enterprise growth from start-up to up to the level of 200-300 employees.
There are 3 software components in the package as follows:
PHAROS - Business Navigator
Produce Plus
Financial Improvement Toolkit (FIT)
The extensive complementary user reference and training materials are included into the package along with the software supporting learning and implementation.
The applications
In-bound
Measuring / benchmarking business results for introducing continuous improvements (e.g. as applied in Colombia)
Simulating the results of major decisions against normal pattern of activities (what if we do buy new machine, establish new production line, replace old products with new ones, etc)
Monitoring of business results by industrialists
Preparing benchmarking reports for presenting business developments over time to prospective investors / banks (including traceability of results compared to indexes for local cluster, region, country or world, positioning against others)
Out-bound
Evaluating candidates as prospective suppliers for support and upgrading for large national or multinational corporation (the issue was brought up by Ecopetrol management in 2003)
Monitoring of the suppliers compliance to productivity, quality, financial sustainability standards by regional / national governments, national or multinational corporations
Selecting enterprises for regional investment promotion and/or modernization programme (e.g. new large factory planned such as tractor, car manufacturing, etc)
Monitoring of investment results by investment institutions, development banks, etc based on collection of monthly benchmarking reports from enterprises
Evaluating of results and monitoring of various productivity and competitiveness improvement programmes
Policy making
Analyzing enterprise group results for controlling implementation of investment products and policies
Obtaining real-time data for policy making support (including the example you mentioned regarding observing the results of new law in 6-12 months)
Inter-regional comparisons: traceable performance of industrial sectors, clusters, regional industry against others in country, continent, world), its dynamics and correlation with various upgrading programmes undertook and resources used
Industrial performance monitoring regional service (Pharos upgrade project)
PHAROS - Business Navigator
PHAROS -Business Navigator is simple and easy to use however comprehensive PC software package for measuring, monitoring and benchmarking business performance of enterprises accordingly to business strategies and relevant targets. It helps upper and middle level enterprise management, entrepreneurs and consultants introducing continuous improvement into business, increasing productivity, competitiveness, efficiency and sustainability. Based on comparison of the actual business results to targets which are set by a manager, Pharos allows managing of 25 key business performance indicators. The quick evaluation of results is made by reviewing six major lighthouse indicators Costs, Performance, Quality, Competitiveness, Product and Customer sales. The set of indicators was selected by UNIDO to concentrate on information which is most important for a manager. The Pharos-lighthouse-colors allow simple interpretation of actual enterprise status as follows: Green is "Very Good" (or better than planned), Yellow is "Acceptable" and Red is "Unacceptable". While transforming complex enterprise performance information into the clear and simple vision of a company as a whole, Pharos is integrated with manufacturing performance management software “Produce Plus” providing detailed production, costing and quality data.
Enterprise benchmarking and business self-assessment tools based on PHAROS database are supported by add-on benchmarking module, presenting 7 main business indicators such as Net Profit (Pre Tax), Expenses Overall, Sales Revenue, Added Value Overall, Added Value per Employee, Labor Ratio, Overall Equipment Efficiency. The changes in values of these indicators can be quickly analyzed by selecting any reference date prior to the selected date. All indicator graphs including radar and time series are available in two business report formats: brief and detailed which includes particular indicator time series.
The software can be used as a simple decision simulation aid providing evaluation of optional production scenarios by varying major production variables like particular product output, adding new or canceling old products, acquiring new machines, establishing new production facilities, etc. The enterprises obtain effective yet simple and inexpensive means and experiences to monitor their performance, develop managerial skills and internal policies facilitating continuous improvement in productivity, competitiveness, quality, customer relations and e-business incentives.
Pharos does not require knowledge of theoretical business concepts or proficiency in personal computers. The software provides executives as well as shareholders, investors and business consultants with easy way for quick evaluation of company performance over time. Pharos is excellent executive education and training aid for learning of information technology application to business management and can be used in practical exercises representing real business environment as well as business gaming in various existing vocational training courses.
PHAROS software became an important component of enterprise service package offered within the SME Training Programmes to improve productivity, competitiveness and sustainable growth. The package includes training and certification of managers, software suite licenses for installation in enterprises, on-site assistance to enterprises for several months by local consultants as well as pre- and post-programme audit of results based on benchmarking reports.
The software allows users to monitor the enterprise performance and update its database in one language (e.g. Spanish or Russian, etc) and have reports and graphs in another language. It facilitates presentation of business results to international investors and investment promotion programmes.
Additional information regarding the programmes can be found here. The national consultants, upgrading specialists and entrepreneurs can be trained in training workshops in Vienna, Austria or locally.
Pharos - Business Navigator is a part of the UNIDO Pharos software suite for entrepreneur training support.
Produce Plus is simple and easy to use, yet sophisticated PC software to measure, monitor and benchmark production performance which is suitable for all levels of management.
Produce Plus' six major traffic light indicators - Production, Quality, OEE, Performance/Efficiency, Costs, and Labour Performance - make it possible to compare current results with previously defined targets. The indicators were selected to concentrate on the most important production information for managers.
The traffic light colours provide a quick overview of the current status of a business: Green means "good" or "better than expected", amber is "acceptable" and red is "unacceptable". If a potential problem is identified, the user can access more detailed reports from Produce Plus's Global Reports Menu. From here, many more detailed reports can be viewed on screen and printed, to identify the area where problems may be occurring.
Produce Plus has many key features that are useful to any manufacturer, but are especially vital to many SME's. The main Produce Plus functions allow you to accurately cost line manning, total production, individual products and proposed new products.
It can provide managers with accurate ex-factory costs for each of their products at specific work rates and labour compliments. This cost takes into account raw materials, packaging, direct and indirect labour and allocated overheads. This function alone can be critical in assisting a company realise its true costs of production.
The software can hold information on different types of production, not only for products that are manufactured on a hand or machine line, but also for continuous or intermittent batching processes.
Produce Plus collates data on work rates for different processes and allows you to enter validation records for each work rate. The software will tell you how many samples should be taken to ensure a high degree of confidence in the calculated work rate.
Produce Plus is a unique practical training tool and is included in UNIDO training workshops and upgrading programmes for enterprises. The Introduction to Performance Measures course covers the methods of how to calculate:
·Overall Effective Efficiency
·Effective Line Performance
·Line Running Efficiency
·Line Utilisation
·Labour Performance
·Overhead Recovery
·Standard Labour Cost and Compliment
These concepts are then explored using the Produce Plus software tool within a factory or with case study data.
Training courses are also available on the software and data collection methods alone, without covering the background to the calculations. Produce Plus provides a business with an industrial engineering capability in a simple and easy to use tool. The software is an excellent training tool that can be used to raise the awareness of production management.
Produce Plus is integrated with the PHAROS - Business Navigator as a part of Pharos software suite. PHAROS provides the user with a general overview of overall business performance and compliance to selected strategies, whereas Produce Plus provides a more focused look at production and efficiencies.
FIT, the "Financial Improvement Toolkit", is a simple PC software assisting company managers in analysis and improvements of annual financial assets. Efficient use of the financial assets is one of the main components of good business performance, success and competitive position in the market.
FIT presents 23 standard financial indicators based on a yearly income statement and a yearly balance sheet data. FIT assists managers by:
Providing a coherent view of the financial situation of an enterprise over time
Monitoring the factors of financial health, which determine a company's profitability
Providing managers with decision support to improve the use of limited financial resources
Facilitating the process of continuous improvement of enterprise performance
Making possible prompt review of business results in the standard format known to financial specialists and investors without special audit
Having the initial data entered in one language and results presented in English thus facilitating uniform financial analysis practices
Supporting Basel II standard implementation for credit risk assessment
The calculated financial ratios are considered in evaluation of enterprise ranking accordingly to Basel II standard requirements on assessment of credit risks and widely used in investment analysis.
The software allows user monitoring the financial performance and updating database in one language (e.g. Russian or Spanish) while having reports and graphs available in another language. It facilitates easy and simple presentation of financial results in standard terminology to international investors and investment promotion programmes. FIT is a part of the UNIDO Pharos software package.
BEST - Business Environment Strategic Toolkit
BEST, which is short for "Business Environment Strategic Toolkit", is a PC software decision support tool based on modern business concepts (revenue and market oriented) and the set of original innovative economic indicators as business performance measures.
The software allows transforming your company's strategic objectives into a coherent set of performance measures meeting the manager needs in market economies. The software provides management with hints for strategic and operational enterprise management, scenario analysis tools allowing in-depth consideration of the optional developments in production, price setting and investment analysis.
The BEST philosophy is based on the idea of continuous improvement of enterprise business performance. Continuous improvement is reviewed as identification of those areas that most need attention of a manager. The Pharos software suite inherited major concepts implemented in BEST software.
MCCT - Measurement Control Chart Toolkit
MCCT, which is short for "Measurement Control Chart Toolkit", is PC software tool assisting managers in their routine activities related to handling measurement systems at the enterprises.
MCCT allows monitoring usage of the devices and systems, their planned certification and uninterrupted measurement process, provides for measurement data analysis and identification of potential problems in quality of production and necessary actions.
The software provides significant improvement in keeping track of measurement quality, easy analysis of complex measurement data from various devices and systems, and quality assurance monitoring. In addition, it enables managers and engineers to enter and view the results of certification of each measurement device and to make statistical data analysis for rejects. It supports implementation of section 7.6 CONTROL MONITORING AND MEASURING EQUIPMENT in ISO 9001.
The UNIDO Business Performance Management Software can be purchased by direct orders to GOLEM or UNIDO or through authorized distributors & training partners. It is provided to participants of the Training Programmes as wellas trainees of UNIDO Training workshopsas a component of the service package.
Mr. Gerardo Patacconi, Unit Chief, Productivity, Quality and Enterprise Upgrading Unit, Trade Capacity Building Branch (TCB), phone: +43 (1) 26026-3605, email: G.Patacconi@unido.org
Mr. Ali Badarneh, Industrial Development Officer, Productivity, Quality, Enterprise Upgrading Unit, Trade Capacity Building Branch, tel.+43(1) 26026-3871, email: A.Badarneh@unido.org
The software design has the following managerial objectives in mind:
…"Have it just at my desk, always ready to provide quick insight and measure my business performance keeping sometimes sensitive issues under my personal control.
Easy using for brief overview and in-depth analysis.
Providing real picture of the enterprise at a glance, facilitating truly "right for us" decisions taken in continuous improvement process.
Support my learning of measuring, benchmarking and managing our business performance to improve it.
