Delivering value through process improvement

By ExecutiveBrief Staff

People and tools are important, but without good processes both could go to waste. Look into how you do things now before it's too late.

In the routine of the day-to-day, we often lose sight of the more important things as we keep our business running and our customers satisfied. “What needs to be done” and “Why it needs to be done” are critical pieces of the whole business process puzzle. But there is one more piece that is most critical: “How it needs to be done.”

You’re a customer yourself, so you know what turns you on and what doesn’t. Every day at least one company has the opportunity to meet, exceed, or fall short of your expectations; and it might seem like nothing, but the value you give to that encounter carries tremendous implications. Your experience with how a company does things can turn into repeat business, or a one-time sale with a side order of negative word of mouth.

Here’s one example that might strike close to home:  You buy a fairly expensive mobile phone, only to discover moments later that it doesn’t turn on. You understand that these things happen, so you get on the phone with the phone manufacturer’s Customer Support, and you are told that the battery needs to be replaced. From this point on, the way the company handles your situation can really make or break your experience with the product.

If they get your details and let you know that in two days’ time you will receive a new battery at no cost to you, then that would probably make up for the initial frustration you had with the product. You might even consider buying another product from the same company because they handled your concern quite simply.

Now if Customer Support told you that in order for you to receive a new battery, you need to send in a copy of your receipt, wait a few days for confirmation, you send in the old battery for them to check before they approve release of the new one, you might not include this company on your list next time you go shopping around for a new mobile phone. In this second scenario, the poor way the company handled your case has led you to decide never to buy a product from that company again.

There are three basic components in every business.  The first component are the people who make the decisions and perform the tasks. The second component are the tools (like computers or power drills) that are needed to perform the tasks. The third component is the connection that ties the people and tools together in a meaningful way so that tasks are completed, and thereby clients are satisfied.

This third component refers to all processes that are performed as part of operations. People and tools are important, but ultimately it is the way you do things that determines how effective your people or the technology you employ will be. Without good processes, the best people and the most efficient machinery go to waste.  Looking into and improving how you do things can help you in the two areas where you need it the most—cost and client satisfaction.