Most of us are concerned about the troubled economy and the current and future health of our businesses. This is how Chairman Ben Bernanke summed it up in his July 15, 2008 monetary policy report to the Congress: “At present, accurately assessing and appropriately balancing the risks to the outlook for growth and inflation is a significant challenge for monetary policy makers. The possibility of higher energy prices, tighter credit conditions, and a still-deeper contraction in housing markets all represent significant downside risks to the outlook for growth. At the same time, upside risks to the inflation outlook have intensified lately, as the rising prices of energy and some other commodities have led to a sharp pickup in inflation and some measures of inflation expectations have moved higher.”
- Process analysis (process flow mapping coupled with analysis of performance data) will identify inefficiencies that are costing you money. Every process analysis project we have ever implemented has reduced our clients operating costs by at least five times our fee.
- Improvement teams on fast track timetables with high expectations for results will get results. You will get it if you expect it! You should have zero tolerance for lack of teamwork between departments or any other obstacles that slow implementation of improvements. A sense of urgency for results will motivate your improvement teams.
A few recent examples of the results our clients have achieved using these simple tactics:
- A non-profit generated over $100,000 annually by improving the efficiency of payment processing.
- A small materials handling department “found” over $200,000 in lost inventory in one (1) day.
- An operating room saved over $275,000 in annual operating costs by improving procedure time for one (1) surgeon.
These are tough times that require us to take aggressive action to be as efficient as we can possibly be, in all facets of our business. Are you doing what you need to be doing?
