Skip to main content

From Value To Profit

One of the commonly bandied about phrases is 'added value'. This has led to a number of analyses to be done for businesses when considering how they can make improvements. If the improvement actually delivers a real benefit then it can be considered to add value, for example:

If you save someone's time on doing something, but don't get them to do something else that makes profit then you haven't realised a benefit - you are still paying them the same.

On the flip side if you reduce shift working / overtime thanks to an improvement then that is a real saving.

If the improvement allows you to do something strategic, but that doesn't ultimately make your business a better place to work or create more profit then you haven't made an improvement.

I hope you can see that once you have identified an improvement and worked out its potential to benefit the business then you need to find a way to use this extra capacity / capacity to increase the profits of your business. It is too easy to slide back...

Smartspeed Consulting Limited
Taking the frustration out of on time delivery.

Popular posts from this blog

Where to start with Kaizen, if you just aren't sure

Kaizen is a great word. It is a word that can unleash the potential of both a business and an individual. Kaizen means more than just continuous improvement. It is a word that is linked to: Confidence Growth Exploration Courage Many people I speak to, that are new to improvement projects, aren't sure if they are on the right path when it comes to embracing the spirit of Kaizen. If you are also one of these people then let me share with you a few thoughts that can help you feel at ease about starting and leading change. Start with your concerns A great place to start your improvement life is with anything that isn't right. Getting your concerns out into the open really is the first step for most of us. If you aren't happy with something, raise it. This isn't only a great place to start, but something that you shouldn't give up. Whenever a standard is not being met, or not even defined, get vocal and then do something about it. Start small The intention of Kaizen is

Stimulating Kaizen opportunities - the 'mechanical' way!

I often end up in conversations about how to stimulate Kaizen ideas and opportunities. If you have read my other posts, you will know that I split the improvement journey into two halves. For many people, the initial Kaizen focus is all around fixing things that are wrong / not working properly. Once you get past this point you need something else to focus and motivate you to generate improvement opportunities. The two halves of the Kaizen journey The discussion that I often end up in, is the one around the imagination quandary. People talk to me about not being creative, or not being inspired to come up with improvement ideas. Do you ever feel this way? It seems that there is a popular view that some people are creative and some aren't. Great Kaizen ideas are not just the product of 'creative' people. There are lots of ways that you can generate improvement ideas without having to sit on a mountain top cross legged waiting for inspiration. Finding a 'mechanical' w

Kaizen projects: being honest about being off track

Projects, especially improvement projects, have a tendency to get off track. There is often a clear distinction between projects for customers and projects for ourselves. If our improvement projects fall behind then our customers won't be barking at us; it is no wonder that if something is going to slip it is our Kaizen endeavours. For some people this can be a tough conversation to have. No one wants to be a 'failure' and pride often gets in the way. In my experience it seems that it is believed to be far more credible to ignore the requirement to improve than to admit that we aren't making progress. So, if you find yourself (and your business) in this situation, what can you do about it? Let me share with you two options to increase the visibility in your business around progress with projects and four options to help get your projects back on track. Increasing visibility Ok, no more hiding the status of Kaizen activities . This also means no more being precious about