Today, more than ever, it is crucial that companies are able to best streamline their processes, resources, and people. At Applied Performance, we help you streamline numerous factors, including how to effectively order and control materials to best control inventory and space or manage accounts payable systems, to name just a few.
To Applied Performance, the scariest statistic we have come across is that 90% of advice given to businesses on how to streamline is WRONG! Why is this? Well, companies often focus on how to best automate (IT and apps) what you do, often suggesting delegating or outsourcing items. While these steps are important, rarely are companies give the advice to ask WHY DO YOU DO steps X, Y and Z and does it make sense from your customers’ perspectives?
First we ask what is really necessary, what absolutely needs to happen, what is the minimum your company requires to happen and what are the bits of the process your customers really want to pay for and what are all the bits they are not interested in?
We eliminate and simplify first, then we look at how IT, new equipment, subcontracting or whatever (preferably cheap) works best
Second we ask what to measure. If your main concern is material control, we can look at how much material to hold as stock. If it is accounts payable, it could be looking at what percent of accounts are collected within 30 days. And so on!
If we don’t measure the area your concerns are, we can’t ask if performance is better than before “streamlining” and then we are not able to indicate how Lean – productive / profitable – your business could you be.
Once we’ve asked the questions and measured where you are currently at, we are then able to build your customized Lean strategy based on your resources, people, unique issues, and so forth.
To learn more about a different, more effective approach to streamlining your business, call us at 403-470-1659 to start the conversation!
(1) Review of the top 10 google.ca links for “streamlining your business” July 2013