In recent months I’ve met several managers, running departments (operations, marketing, HR, IT), all working for different companies (Sectors include: retail, banking, manufacturing, IT) who at some point have all said a very similar thing;
“one of my problems is, my department isn’t seen as adding value, we’re seen as a cost centre”
So my questions are
- where is the value created in organisations these days?
- does it matter that the departments believe they are seen as cost centres?
- If you subsitute the word profit for value does this help?
- Should it matter that we understand where value is created? is knowing costs enough?
Any views or examples (positive or negative) on this greatly appreciated in the comments below.