Operational efficiency is the process of delivering your products or service to the customer as quickly and as cost effectively as possible without sacrificing customer satisfaction. This textbook definition is pretty simple, right?
However, like a lot of things in this world, the simple definition doesn’t always match the real world. That doesn’t mean you shouldn’t still work to increase your operational efficiency especially when there are definitive steps you can take.
These steps typically reside under the following infrastructure optimization and culture operations initiatives:
Minimize redundancy and waste
Maximize available resources
Make full use of technology
Operationalize your culture
Leverage your HR Partners
Streamline businesses processes
As a whole, the above list can seem daunting but remember that all companies don’t have to take pursue all of the steps at the same time. For instance, right now you could already be using your technological resources to their maximum potential knowing it would be difficult to go any further without spending more money.
Perhaps you have uncovered redundant business processes, misplaced employees, or discovered a weak communications system. Now you can work on a plan to improve operational efficiency by addressing these issues. In these cases, here are some effective measures that can be considered:
Give surveys to your employees, this step alone helps build employee engagement.
Establish KPI’s that measure and monitor important processes, expected results, collective teams, cultural or value driven standards, goals etc
Identify operational costs and examine how to lower them or, at least, accept that they are at a tolerable level
Take an honest look at how your company does business and evaluate it against the metrics of your industry. For example, how long does it take you to deliver a product or service and how do those results compare to your competition? If you feel something is right/wrong, can you prove it with numbers?
Operationalize your culture by creating
You Can Start Right Where You Are
You only have so many resources at hand at any given time. As such, begin with the resources you have and build out from there.
Do not discount the value of having a fresh perspective on your business. There is an inherent bias when people look at their own businesses. They can become defensive instead of looking at things pragmatically. There isn’t anything wrong with this, and it’s not unusual. It’s part of what makes us human.
Bringing in external partners can give you that fresh perspective and another viewpoint that people inside an organization may not have considered.
That’s where Equal Parts Consulting can help. We partner with many businesses helping streamline their processes, hire the right people, placing talent where they are best utilized, and maximizing technology.
Equal Parts will study your company and operations from the ground up. We will bridge the gap between what you want to be done and what is actually being done.
Achieving optimal operational efficiency is obtainable for any business, and we can help you get there. If you would like to see how we can help you or you have questions, we invite you to contact us today.