Updates
More than just Survival through “Lean Continuous Improvement”!
Our customers will have significantly less money to spend (including the publicly funded sector, following the next election) in the foreseeable future.
This will drive a significant downward adjustment in consumer and organisational spending patterns; possibly by as much as 30% for a significant period of time.
The natural responses to this dramatic collapse in demand are:
- cutting programmes,
- sales of surplus assets,
- redundancies, wage freezes and short time working,
- sourcing of cheaper materials/products and
- discounted sales of surplus products
However necessary these might seem to be, in the short term, these actions are not a long term fix. They will impact negatively on “value add” in your own organisation and will reduce employee morale and engagement.
The challenge that needs to be met right now is - how your organisation can learn to deliver increasing value to customers (patients, council tax payers, students etc) and still make a reasonable margin (operate within significantly reduced budgets) while selling (delivering) your products and services at up to 30% lower prices (costs) or delivering more and higher quality public services with less resource.
The only way to make an adjustment of this scale in your organisation is by engaging all of your employees in continuous improvement.
Looking at organisational activity though the magnifying glass of lean continuous improvement and engaging all of your people as part of your organisation's “improvement engine” will begin to deliver the fundamental change you require. It will also identify a significant number of additional possibilities for delivering more value through your existing (or a reduced number of) employees.
Lean continuous improvement is one of our key competencies – talk to us about how it can become one of yours.
© Copyright People Assets Ltd January 2010
