The new business economic challenge ……….”Doing more with less”.......
The current economic conditions both global and local now dictate more than ever before that businesses of all sizes and sectors need to focus on being the competitive best in what they deliver or do for their customers, but also strive to “do more with less” as well. Most are finding this to be the only way to survive and succeed.
The burning question is how to approach this productivity issue?
The definition of insanity is doing the same old things and expecting better results… the need to get ready and respond to this business environment and significant productivity gap in Canada will challenge traditional investment and capitalization models and existing financial approaches and resources.
Many businesses have faced stiff competition leveraging offshore supply of products or services but due to exchange, tariffs, transportation and other hidden drivers the actual total costs to go offshore continue to rise.
The solution is not to panic and offshore the heart and soul of your products and services and eventually have no remaining stable base of capability.
The best solution is to close the competitive gap with new strategies and ensure that the local capability becomes much more competitive.
Then a more balanced global sourcing approach can be applied to ensure the correct make/buy decisions and source decisions are made short and long term.
It will demand new thinking and realignment. It will force every business to develop different baseline operating practices that are waste free and inherently LEAN.
Why GO LEAN?........ LEAN tools can attack waste in every step of the business process.
Improved customer service,
Reduced inventory costs
Increased quality Reduced scrap
Improved cash flow
Increased productive manufacturing time
Decreased down time
Reduced lead times
Reduced material management issues
Growth from within the organization
Better utilization of resources, rather than adding resources
The important thing to do is to develop an improvement journey to remove waste in any form across and through your whole business with your own Evolution plan.
Although this economic period and the new post recession journey is difficult it is very possible with the correct help to develop this new type of thinking and get into high gear on this productivity journey.
Study our Positional paper : 6 Steps to Improve Your Business Productivity.