By Marcel Knepper
An efficient business operation is crucial for companies to maintain their competitiveness and achieve sustainable success. Process optimization plays a central role in analyzing, improving, and maximizing workflows. However, understanding the practical implementation of process optimization and the benefits that arise from it is the key.
Implementing Process Optimization: How to Proceed
Process optimization begins with a thorough analysis of the existing business processes, carefully examining all steps and activities required to achieve a specific goal. Visualizing and documenting the processes in detail helps identify weaknesses and bottlenecks that hinder smooth execution or waste resources.
Once the weaknesses have been identified, it is time to make improvements. This includes simplifying process steps, reducing unnecessary tasks and automating repetitive activities. Leveraging modern technologies and tools can increase efficiency and minimize sources of errors. For example, implementing software solutions enables the automation of manual data processing steps, thus saving time and costs.
Another crucial aspect of process optimization is the involvement of employees. They are the ones who work with the processes daily and can provide valuable feedback. Regular communication and collaboration make employees important partners in the optimization process. Their expertise and experience enable them to identify problems and develop innovative solutions.
Tips for Process Optimizers
Here are some concise tips for process optimizers which can implemented tomorrow:
- Analyze processes thoroughly: Understand current processes, identify bottlenecks, and inefficiencies.
- Involve stakeholders and employees: Collaborate with those who work with the processes daily for insights and feedback.
- Leverage technology and automation: Use modern tools to automate tasks and increase efficiency.
- Do not stop improving: Continuously review and evaluate optimized processes for ongoing improvement.
Process Optimization in Practice
In the textile industry I had a project for reducing costs for the machinery. One goal was reducing a setup process from 6 to 4 days in order to reduce machine downtime. As a first step the customer was made aware that the majority of the knowledge for optimization (80-90%) was already present within their company. Subsequently, in a workshop that intentionally fostered a relaxed and positive atmosphere, selected methods were applied to analyze, redesign, and simplify the process. The result was remarkable: The machines could be set up in just under 2 days, significantly faster than expected.
Initially, the entire process remained in conceptual phase. However, an extensive testing phase of nearly 5 months demonstrated the successful practical implementation of the identified optimization potential, despite a few challenges.
Such successes are by no means uncommon in my 15 years of experience as a process optimizer. However, the principal difficulty lies with the managers themselves as they often believe they can do everything themselves. Consulting can help here. Riding a bicycle can be self-taught without much danger, driving a car can be practiced in the backyard, but learning to fly should be done with an experienced pilot.
Top Challenges in Process Optimization
Process optimization presents several significant challenges that must be addressed in a professional and effective manner. The primary obstacle lies in resolving uncertainties, which often emerge during the sales process. Prospective clients naturally question the benefits of implementing optimization strategies, and as a consultant, it is our responsibility to address and dispel these doubts promptly. Additionally, it is not uncommon for doubts to persist throughout the entire project, arising from various stakeholders. Therefore, maintaining honesty and transparency throughout the engagement is of paramount importance.
Another critical challenge is maintaining focus during the optimization process. As one delves into analyzing the existing processes, numerous areas for improvement become apparent. However, attempting to address all issues simultaneously can be overwhelming and counterproductive. It is crucial to adhere to the initially defined goals and prioritize solving the main problems identified during the project. By doing so, we can ensure that the optimization efforts remain efficient. It should be noted that losing focus during the optimization process can lead to a significant loss of efficiency, up to 30%.
Moreover, sustainability poses another noteworthy challenge in process optimization. Typically, such projects span a duration of 6 to 12 months. Once the first two challenges of addressing doubts and maintaining focus are overcome, the third challenge arises in ensuring that the optimized processes continue to benefit the organization after the project’s conclusion. Viewing this as an opportunity for ongoing support can foster strong client relationships, but it is also essential to witness our customers’ long-term success. Ensuring their sustained progress and growth not only contributes to our satisfaction as consultants but also establishes a foundation for future collaborations that build upon previous achievements, rather than starting from scratch.
In summary, navigating the challenges of process optimization requires a steadfast commitment to transparency, focus, and sustainability. By diligently addressing doubts, adhering to defined goals, and fostering lasting relationships with our clients, we can achieve meaningful and enduring improvements in their operations.
Digging Deeper:
Nonaka, Ikujiro; Takeuchi, Hirotaka (2012): The Knowledge-Creating Company: How Japanese Companies Create the Dynamics of Innovation
Womack, James P.; Jones, Daniel T. (2013): Lean Thinking.
About the Author
Marcel Knepper, CEO of Rotmilan Consulting GmbH, began his 16-year lean journey in agriculture, concurrently pursuing industrial engineering studies. Now, he leads a team of consultants specializing in process optimization and cost-saving solutions. You can contact him via Rotmilan GmbH or LinkedIn Marcel Knepper.
