Five frogs are sitting on a log.
Four decide to jump off.
Question: How many are left?
Answer: Five. (Because there is a difference between deciding and doing.)
There are a lot more people “deciding” to implement Activity Based Management (ABM) than there are people actually “doing” ABM. A January 1999 survey of people who attended 1998 American Management Association ABM workshops shows:
- 22% are “doing” ABM. They successfully self-implemented after the workshop.
- 74%“decided” to implement ABM but deferred it to 1999.
- 4%could not get senior management to “decide” or “do”.
A similar survey was performed of those organizations that purchased an ABM Self-Implementation Toolkit. Each ABM Toolkit contains PC-software, tutorial, an Activity Dictionary, step-by-step instructions plus an ABM & ABC case study with data disk. That survey shows:
- 50%are “doing” ABM. They successfully self-implemented ABM & ABC in less than 120 days.
- 50%“decided” to implement ABM but deferred it to 1999.
What can we learn from these two surveys?
- In contrast to 5 years ago, managers no longer question the potential benefits of ABM.They have decided that they need ABM to support improved decision-making and continuous improvement.
- Your chances of ABM success are greatly enhanced if you purchase an ABM Toolkit … 50% versus 22%.
- One ABM Toolkit user shared the following comments regarding their implementation: “We have recognized that certain activities are costing us more than we realized. ABM has inspired a “team” approach by our management to bring about changes to non-value activities that will positively affect our bottom line. ABM has made us a “team” on a common goal.”
Be an ABM doer!