Determining Effective Objectives

Process for determining effective objectives has not been established. (LRQA Audit 15MAR15)

29JUN15: LRQA audit states, "Lag indicators have been set with review of operational data performed on an annual basis, once the figures have been ascertained. No lead objectives were available to set forward objectives and targets pertinent to the company." Further clarification required as our current objectives (as outlined in "Key Performance Indicators" file) include: 1. Target for total volume of Zinc cast 2. Target for total volume of Aluminium cast 3. Target for number of workplace injuries and total time lost 4. Factory staff productivity. Hours worked v volume cast 5. Office staff productivity. Hours worked v volume cast 6. Sales targets for various market sectors. 7. Sales targets for exports. Also, pre-Excel based Management Review Meeting Minutes contained numerous Measurable Objectives. Bob Umstad said that our level of detail was very good, but the time spent collecting, analysing reporting on all of these objectives was too cumbersome for a small business. He suggested we strip it back. Hence the Excel based minutes. New target includes: 1. Increasing sales through www.anodesonline.com.au to $20,000 by end of 2015/16 Financial year. To be monitored monthly. Achieved through Setting Current Baseline data and goals -> Upload new more user friendly website -> Populate website with appropriate catalogue anodes -> Advertise (eg Club Marine), Facebook page. 12/13 = $6,095.30 (1st year, initially set up to clear slow moving stock,popularity increased as new anodes added) 13/14 = $11,306.42 14/15 = $14,800.05 (Website Upgrade + Logo) 15/16 = $20,000 TARGET To be reported in more detail in the next Management Review Meeting. 10AUG15: Long Term Overriding Objectives for Aluminium Anodes. In the mid 2000's RG's objective was to substantially increase the sales of Aluminium Anodes. To achieve this, the following steps were undertaken: - A new purpose built factory was designed and constructed. - An Electric Induction furnace was purchased, installed and commissioned. - ISO 9001 system was set up. - Marketing Strategy undertaken, including Attendance at ACA conferences, Presentation of Tech papers, Visiting Industrial customers, technical drawings of Industrial anodes, website upgrade and catalogue to include greater focus on anodes. Since the mid 2000's we have used the annual purchasing total of Al ingot as a benchmark. Each year setting a new target based on the previous years sales. Refer to "Key Performance Indicators" for year by year analysis. Last year (14/15) our goal was 150 tonne, we achieved 165 tonne. target for 15/16 is 200 tonne. We are on track based on workload over Aug/Sep/Oct. To increase sales to industrial customers we aim to re-vamp the website, which is starting to look out dated. Also, we aim to visit Industrial customers in WA (early 2016??). Other objectives include: 1. Increase sales to Gov/Defence by X%. This will be a target once Adam Bond starts in the office. 2. Increase Export Sales by X%. As above 3. Increase sales to Mining Industry by X% 4. Continue to aim for 0 lost time due to injury. 5. Continue to keep sick leave to below 1% of total time worked.

Verification –
Reported by –Brent Linde
Closed by –Brent Linde
Date closed –July 29, 2015