Vatti Corporation Ltd., established in 1992, has been focusing on the kitchen appliance sector for 26 years. The company has consistently made product innovation its strategic focus, growing from a well-known listed company in China into a globally influential brand. Today, Vatti Group's marketing and services have expanded into multiple countries and regions worldwide.
With a high-quality global supply chain and a professional R&D team, Vatti has become a Chinese brand that stands proudly on the global stage. The company’s product range includes cooktops, range hoods, water heaters, dishwashers, steam ovens, ovens, sterilizers, kitchen cabinets, water purifiers, and back-of-house kitchen appliances, catering to the diverse needs of various consumer groups. Vatti has achieved dual-brand operations under the Vatti and BaiDe brands, serving a broader range of household users from urban to rural areas. The company has also been honored with the National Industrial Design Center and National Recognized Enterprise Technology Center.
The company's current process management capabilities are insufficient to meet the requirements of future global competition and development.
Limitations in Process Architecture
The current process architecture does not fully reflect a "customer-centered end-to-end" design, leading to low capabilities in meeting customer needs, creating customer value, integrating resources, and coordinating resources effectively.
Insufficient Differentiated Resource Allocation
The company’s multiple product lines and sales channels share the same process value chain, leading to inadequate differentiation in resource allocation. As a result, strategic resources are not being used effectively to create value.
Challenges in Operational Efficiency and Organizational Capability
The company's operational efficiency and organizational capabilities face significant challenges, and these two aspects depend entirely on the operational effectiveness of its process management.
Difficulty in Focusing on Management Lines and Levers
Currently, the company’s systems and processes are isolated, with unclear relationships and causal connections, making it difficult to solve pain points and leading to a disorganized approach.
Process Architecture Development: Established the Vatti process architecture from L1 to L3, with 10 L1, 65 L2, and 223 L3 processes, totaling 417 processes.
Organizational Optimization: Based on the 1-3 level business architecture, performed targeted organizational matching analysis and optimization, including group control models, product line operation mechanisms, key business and management functions, decision-making mechanisms, and optimization of the authorization system. Recommendations were made for an organization and decision-making model based on the end-to-end process (e.g., three key decision-making committees, marketing organization restructuring, and R&D project team formation).
Process Optimization Path and Plan: Developed an optimization path and implementation plan for the next 1-2 years, which was incorporated into the annual performance assessment of each business and process department, with a mechanism for execution review.
Sustainable Process Management Mechanism: Established a leading process technology, standard, and methodology system.
Process Documentation: Developed process system documents for strategic development to execution, marketing, and R&D, including process maps, process descriptions, templates, and operation manuals.
Interface Relationships and IT Optimization: Designed an overall process interface relationship diagram and proposed IT optimization plans.
Internal Control Mechanisms: Introduced internal control mechanisms such as SACA, integrating them into the company’s management and assessment mechanisms.
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