Efficiency – Step 4: Train & Implement

Today we see the fourth and last step to becoming faster, slicker, and efficient – Train & Implement. If you have missed the first three steps, read them here: step 1, step 2, step3 

Train & Implement 

One of the biggest mistakes businesses make when implementing new systems and software is to skimp on the training. The business owner (you) will try to save a few pounds by removing or cutting right back on the training. Often the training just consists of a technician loading it onto users’ PC’s and the technician gives the user a ten-minute ‘this is how you use it’ demo. The true power in these systems is normally the little time hacks and shortcuts. Please don’t make this mistake. Instead, look to find a way to have ongoing training and updates. We all use software differently and often when you sit with someone, you’ll see them do something and go “Wow, how did you do that?” One little hack can save hours of work for many people each month, how much is that worth?   

Review   

Better Never Stops…  

When Mercedes win the F1 World Championship do they stop developing their car and team?   

Of course, they don’t. Their ultra-competitive environment dictates that in the next race every team will step up to try to beat them. Their business is constantly innovating and improving.  Again, I want you to have the same mindset and approach. Just because you’ve done one round of improvements it shouldn’t stop there; it must be a continuous cycle: 

From the new processes you’ve implemented what were the expected improvements? Once these have settled down and embedded, what has actually happened, and therefore what are the new results? How can you improve these? Remember, faster slicker.  

• You should constantly strive for continuous improvements and better efficiencies. Bring key people together each month to keep the continuous improvement momentum going. Get the whole team brought into the philosophy by involving them: 

• Implement a staff suggestion scheme and ideas board to get them feeding ideas in. Some of these ideas may be off the wall, but sometimes these are the ones that trigger the really great improvements.   
• Run process improvement workshops in small teams to get them to re-invent what they do.  
• At the start of every day get your team to ask, “What went well yesterday? What didn’t go so well? What can we improve today?”  
• Work with your customers and suppliers and ask the same question, “How can we take time and complexity out of our shared processes?” 

Summary  

As I wrap up this chapter I’ll share with you a couple of case studies of how I’ve used this approach with my clients.    

The first is a window, doors, and conservatory company.   

With the business owner and a key manager, we set out on a mission to review all the processes within the business. We took over the boardroom for two days and during that time invited at least one person from each department to take us through what they did on a daily basis. Remember, the reality is king.  

Each person also brought in copies of all the paperwork and sales or operational materials they would use. Once completed, we were shocked by the number of forms and process steps. We found the customer’s name was written or typed 12 times. 

Now, let’s say it takes ten seconds to gather and write a customer’s name, and they dealt with over 1,500 customers per year. So: 1500 x 12 x 10 / 60 = 3,000 minutes or 50 working hours spent each year writing a customer’s name. The other issue is the potential to write it incorrectly and there’s nothing worse than getting someone’s name wrong.   

By re-mapping the processes, and removing duplication, we saved two days in the process and dramatically reduced the number of forms. In the longer term, we managed to reduce headcount by two and provide a better service to customers.   

The second case study is a remanufacturing company.   

The company employed 21 people and remanufactured around 18,000 units a year. We knew their business needed improving as the number of non-productive staff, versus the productive staff, was far too high which of course had a significant impact on their profitability.  

With the business owner and his team, we mapped all their current processes and gathered up all the current paperwork. They have a computerized sales and stock management system but, beyond that, no operational management system. Without manually counting or gathering information they had no instant data which could tell them the operational performance of the business; never knew at any one time how many jobs they had in the process, their productivity levels, parts used or stock levels, etc. They used an antiquated web-based ordering control system to generate job cards and at least five different spreadsheets and numerous paper forms, which were typed back into spreadsheets.   

They also have around 2% of units (360 units) returned each year under their no quibble warranty, these were replaced without testing or question in a straightforward exchange. But, if a labor claim was submitted, these were individually tested and a salesperson would spend two days a month replying to the customers to confirm whether it was valid or invalid, once an internal test procedure was conducted.   

We re-mapped the processes and, using Google Sheets and AppSheet, we created an operational management system we called Team Universal. This centralized all the data, removing all of the other spreadsheets and duplication. Using technology, the sales and stock management system ‘talks’ to Team Universal, which in turn also ‘talks’ to the courier management system. Most of the required data is only entered once and carried through the process. We also reviewed the warranty process. An online form is now submitted by customers and the majority of the process is automated or completed by a warehouse operative. All in all, we saved at least five days of administration per month, reduced the headcount by three people, and increased productivity by 25%. The investment in technology was around £10,000. As you can see from these two examples, a great deal can be gained from this approach.   

How much could you save in time, cost, complexity? And how much could you gain in a better customer experience?  

Just because you’ve always done it this way don’t get constrained by your past and don’t allow your business to become fat, lazy, and clumsy.   

I want you to accept that what you’ve got here is great and works but, to move forward, the business needs to evolve. Look at your business with a fresh pair of eyes and tap into the entrepreneurial mindset you have. But is going to take courage and time investment to drive the improvements to keep your business ahead of your competitors. If you stand still for long enough you will become a dinosaur and get left behind at a great rate of speed.