5 ways to manage and improve operational efficiency
In the world of business, operational efficiency is more than just a buzzword—it's a critical factor that can make or break your business’s success. But what exactly does operational efficiency look like in practise, and how do you measure and manage it effectively?
Already in this series we’ve taken a closer look at the fundamental components of operational efficiency, and we’ve shared examples of the metrics you can track and monitor to help you keep an eye on how efficient your business is.
Once you’ve set your sites on improving efficiency, and perhaps implemented one or two key projects to give your efficiency a boost, how do you keep the momentum going?
Operational efficiency isn’t a set and forget goal, but keeping it top of mind doesn’t have to be hard.
Here are our top 5 tips to embed ongoing operational efficiency improvement in your business.
Create a culture of continuous improvement: Regularly encouraging employees to identify and address inefficiencies will help to foster a culture of continuous improvement within your organisation. Give space at team meetings to air grievances, or create a suggestion box for team members to share thoughts, ideas, and frustrations around process improvement.
Leverage and integrate technology: Invest in technologies that can automate repetitive tasks, provide real-time data for decision-making, and enhance communication within the organisation.
Build knowledge capital: Leveraging the right technology for your business is only part of the process. Well-trained employees are more efficient - and when equipped with the right tools that’s the real recipe for success. In addition to regular technical / on the job training, ensure you keep your team up to date with the latest tools and best practices, and across any procedural changes that might be relevant in how they complete their tasks day to day.
Measure and benchmark your progress: Compare your efficiency metrics to industry benchmarks, or at the very least against your own results. This can help you identify areas where you may be falling behind and need to improve.
Audit your processes regularly: Conduct regular process audits to identify areas for improvement. Engage employees at all levels to get their insights and feedback.
Process mapping is a great activity to give you visibility over the key processes and systems in your business, and your Key Business Process Map is the perfect blueprint for continual process improvement. Done well, your Key Business Process Map should display the core systems, processes, and steps that your business uses internally and externally, allowing you to systematically pick your next improvement project and visualise the value that various tasks provide to your clients, your team, and your business.
Don’t have a Key Business Process Map for your business?
You can’t win a race if you don’t know where you’re going, so work with us to run a Key Business Process Identification workshop and let’s give you a roadmap to a podium finish.
In this 2 hour session we’ll map out the Key Business Processes in your business – internal and external:
We’ll challenge you on what’s working well, and where we see opportunities for efficiency and process improvement, and
We’ll help you to identify your biggest opportunity for improvement and give you a roadmap to address the pain point.
After the session you’ll have a document you can use with your team to support ongoing continuous improvement.
This is a great starting point if you know you have opportunities to work more efficiently, but you need a helping hand in bringing a plan to life and implementing improvements.
Interested? Reach out to us to chat about how we can help you find your operational efficiency sweet spot.