Factory Systems is a company located in Columbia, South Carolina specializing in statistical Process control (SPC) software and hardware. IQ was engaged to develop tools to help in the transformation process from a small business to a corporate platform that could form the basis for significant growth.

Budgeting and Planning

In this effort, IQ first developed an Integrated Planning Model that articulated the relationships between the various sales/product thrusts and the resources required to generate any given level of sales and profit. Such a model is ideal for examining and managing the many factors that influence success in any area of the enterprise. The challenge is to begin to capture the information necessary to tighten up the level of knowledge about the business.

Managerial Accounting

As a result of the development of the Integrated Planning Model, it became clear that the current chart of accounts was not adequate to reflect the detail of sales and operational costs to determine the sources of threats and opportunities. IQ made recommendations regarding these changes which were implemented. The power of the IPM to clarify inadequacies in the chart of accounts as well as related accounting procedures is one of its most important aspects.

Sales Management

IQ also developed a sales effort pipeline model designed to show that the ultimate sales of the organization as a function of a constantly changing portfolio of sales opportunities., each of which can be represented by an estimate of the potential dollar amount of the sale and the probability of closing the sale. Such a program, which is more and more a part of all top-line sales management programs, encourages management to recognize that the total of all sales projects must be considerably greater than the ultimate sales realized be that effort. It also encourages management to explicitly manage the factors that influence the probability of closing the sale.

Development of Sales Tools

In an attempt to demonstrate the value of statistical process control to new potential customers, IQ developed a “lean” manufacturing simulator that interfaced with the Factory Systems SPC software. In such a way that a manufacturing facility could could be designed and run and the statistical output captured. Then the statistical parameters could be changed, ostensibly as a result of a process improvement activity, resulting in a direct measure of improved profitability. Such a tool not only serves as a sales tool, but also a training tool with which manufacturing managers can get a direct feel for the meaning of the various statistical parameters typically utilized by SPC programs

IMS Quantum specializes in the marriage of operational factors with financial considerations to create Integrated Planning Tools that allow management to appreciate and optimize a variety of tradeoffs inherent in complex management situations.