Operational Improvement / Excellence
Why pursue Operational Improvement and strive for Operational Excellence?
It is impossible to accurately estimate the value of the effort an organisation invests in strategic marketing. Gross margin is the primary driver for recovering this investment.
Our experience is that the first and second line Supervisors who directly influence the cost of production (and hence gross margin) are seldom given adequate tools to ensure that they will be effective and successful in their role.
Our capabilities
Operational efficiency analyses
Plant maintenance efficiency analyses
Asset Management review
Reliability assessment
Performance management
Supervisory effectiveness
Activity observation / Time and motion analyses
Productivity assessment
Shift structure and work volume analyses
Management operational system analysis / implementation
Continuous improvement
Supervisory and work flow observational analyses
Management control system techniques and tools
The tools we use
Our approach
Outcomes
Improved throughput
Organisations wishing to increase their throughput rates need to consider two questions beforehand. One, will their market buy the additional items they deliver? And two, is there sufficient financial benefit in delivering the extra items in the first place? If both the answers are `yes’, then throughput improvements are a meaningful goal.
Improved margin
Margin in a business is often expressed as a percentage of revenue. In many cases it is applied at many levels including gross profit, net profit, contribution etc. In all these cases it is a measurement of a value, typically profit within a context of an industry accepted formula.
Reduced operating costs
Operating costs, often referred to as OPEX, is the category of expenses in a business that occur as a result of its normal business operations. A key objective in what we deliver is to assist management in determining how operating expenses can be reduced without significantly affecting the business’ ability to compete.
Improved return on assets
Assets in a business are often expressed as items of economic value to that business, for example: cash, inventory, equipment, computer systems, real estate, goodwill, patents etc. Assets in an accounting sense fall into tangible (physical and measurable) and intangible (conceptual and complex to measure).
Our recent clients
The right start makes all the difference to your project
One of the biggest causes of failure for change programs is the lack of understanding of the issues, by all stake holders. It is not uncommon for sponsors to adopt the approach of ‘we know what the problems are, now just fix them’. This is starting from Stage 2; ‘we know what we don’t know’.
This approach will certainly gloss over the root causes of the issues and alienate the people dealing with those issues on a day to day basis and whose support is vital for the resolution of each issue.
Our approach ensures our clients start from the position of ‘we don’t know what we don’t know’ (Stage 1), and in doing so, maximise the return from their investment in change.
We can also help you with the following
The combination of an understanding of the operation, organisation and market sector brought by our Clients, together with our ability to quickly understand a process, its enablers, and its obstacles, and then how to optimise it, proves consistently to be a powerful and attractive service offering.