Helping businesses and proprietors alike facilitate change for Excellence

Capturing "Voice of the Customer" lays the foundation for a company (of any size) to deliver real value to its patrons.  Since the customer is the only one who can define the quality and value of a product or service, this Lean VOC strategy enables businesses to find ways of integrating additional value into their offerings.  Incorporating client preferences can allow a business to exceed expectations and continually improve its products or services by focusing specifically on what holds the most value. Thus, any business activity or step in a process is said to be “value-added” if it ultimately benefits the customer, is something they truly want and thus willing to pay for. Lean methodology can be applied to analyze the value streams and determine how much waste is created during the delivery of products and services.  With any waste that is then removed, any improvements that are made or any resulting operational savings; the additional value can be then passed onto the customer.  Win - Win.

Being effective is not the same thing as being efficient.  Efficiency is the ability to do something or produce something without wasting time, energy, and money.  Simply put, it means doing things correctly and is mainly focused on processes or procedures. Effectiveness however, means doing the correct things in the correct way at the correct time.  Its approach is focused on the desired result, quality over quantity.  Effectiveness is about success. To measure effectiveness the focus must first be on the customer to define the quality objective; what is the ideal offering from their perspective?  The metrics of success must be tied directly to this quality definition.  Ask yourself what it is that you are trying to accomplish and next develop the key performance indicators (KPIs) that can track your progress.  It is very important to track numbers holistically and manage by data-backed evidence.  In that regard, Lean methodology assures more than just elimination to inefficiencies, rather it offers a systematic approach to continuously improve overall performance.

"Trimming the fat" and becoming Lean is a continuous journey of improvement; not a final destination. At its very core, Lean Engineering aims to eliminate waste while creating more customer value.  Non-value-added waste reveals itself in many forms including but not limited to excessive waiting, motions, paperwork, inventory, overprocessing or underutilization of employee talent which all put a massive stain on our most precious resources; time, money, and human energy.  Time is a resource that once lost, can never be recovered. It requires constant safeguarding in today’s world.  We’ve all heard the saying ‘Time is money,” so it is true that saving your time correlates to saving your money.  Moreover, removing waste affords a business to get more done with less effort and resources, thus improving efficiency. The key then to sustaining streamlined operations and cultivating both customer and employee satisfaction is to remain organized.  One step at a time.

Establishing a Lean enterprise goes beyond the idea of saving resources and enhancing customer value.  It is about creating an agile business, one which is adaptable for embracing perpetual change, has streamlined processes, puts the customer at the forefront of every decision, and is effective in its pursuit to operational excellence.  The latter part being crucial (and so often overlooked) for yielding maximum financial gain. Only when effectiveness is considered can true profitability begin. Consequently, focusing solely on any one component of the “trifecta” equation (above) won’t guarantee improved profit margins. Meaning that being efficient alone doesn’t always spawn profitability.  For example, is it useful to streamline mass production of any product if the demand is low or customers don’t see the value?  Likewise, is it beneficial to hurl out more customer surveys if the feedback isn’t the driving force for decision making? Or is it a fruitful use of time to generate more reports if no one is reading them?  No, there must be equilibrium in focus to make a lasting impact to the bottom line (aka Net Profit).