by Velu and Elias
In an evolving and ever changing technology driven world, it’s pertinent to keep pace with such changes by continuously optimising the processes in the corporate business world.
Only those corporate, who are dynamic, innovative and proactive will be able embrace such changes and withstand the tide of time.
Thus is highly a prerogative that we gear up to work towards improving the company processes to reach the goals by an optimum usage of available resources.
Objective of Business Process Optimisation
To standardise and simplify the processes, we need to
- To improve efficiency by reducing cycle time
- To optimise the cost
- To reduce the risk, losses and wastage for the company
- To streamline personnel and their jobs with the processes
Why is it required?
In a growth phase of an organisation, the processes set during earlier stages become irrelevant or obsolete over a period of time, as new roles, responsibilities, offices, verticals, etc are created on a continuous basis. Invention of new technologies and tools make old processes outdated. Hence processes need to be reviewed on a continuous basis and make them parlance with the new structures of the company and its technology.
What needs to be done?
We need to review our current processes:
- To identify the bottlenecks,
- To identify scope for elimination of wastage of men, material and money,
- To innovate and come up with solutions to optimise the process
- To standardize and automate
Identify | Eliminate |
Innovate | Automate |
Areas to be addressed
- Procurement of products and services
- Customer contracts for sale/rate confirmations
- Invoicing to customer
- Credit control
- Collection
- Cost booking
- Vendor payment
- Job closing
- Transport contracts
- Labour contract & deployment
How it has to be done
- Based on the four steps in process optimisation (Identification, Elimination, Innovation & Automation), a process champion team consisting of experts is appointed, who studies the current processes and comes out with a reviewed and revised draft of a standardised process document
- A proposed document is presented to management for review and approval
- Atomisation of approved existing processes and new process are to be consulted with IT team for developmental requirements.
- Formalised final draft of the proposal is presented to the Management team for further review and approval.
- Action plan for Implementation and training the people have to be prepared.
This is just one way of optimising process in the company, explained in a very simple way, that focusses on reducing cost and improving efficiency and productivity.
There are more ways of optimising company’s processes that are relevant, time-bound and easy to execute.
More Information, Pls reach out to the Team at Managing Next (support@managingnext.in or elias@managingnext.in)
This article is co-written by Velu and Elias
About the Writers
Elias Moses is a Senior Business Strategist, Researcher, Corporate and Leadership Trainer, Orator, Columnist and an Entrepreneur. He is also the Founder and Managing Director of a growing reality firm in south India. The author can be contacted@
email: elias@manovsis.com, linkedin: www.linkedin.com/in/eliasmoses
Velu A is a Chartered Accountant and a Management Expert with 18 years of professional experience in areas of strategic planning, budgeting, MIS reporting, fund raising. He is a CFO of a limited Company of great legacy in India