PSI management : Company-wide expansion by converting to amount

Company-wide deployment is not possible with PSI management that does not see the forest by looking at trees.

In many companies, PSI (Production, Sales and Inventory) is used by practitioners for production planning, purchasing planning, and inventory planning in units of quantities.

Single item management is sufficient, but in order to expand company-wide, monetary conversion is essential.

What is PSI management to see both trees and forests?

Cash out continues until the purchase, production, sales and sales proceeds are collected in the business.

In Western companies, business management also grasps the flow of money and goods for transactions during the month, pays close attention to cash trends, and issues instructions accordingly.

However, for many Japanese companies, only the results at the end of the month are counted. And it seems that there will be no intervention for overproduction / purchase unless the cash flow becomes difficult.