Operational Efficiency

end-to-endRunning a business or IT projects is about more than just meeting deadlines on time. As time progresses, you should be able to demonstrate quantitative improvements on how well the business or project is being managed. One good indicator is the notion of Operational Efficiency. Operational Efficiency is not just a buzzword – it is the actual ratio of the amount of Resources invested on a particular operation vs. the actual Yield for Resources gained by the business. The Resources are typically denoted as people (fulltime equivalents), time/effort or money (cost).

The Roadmap

CURRENT STATE – YOU ARE HERE

hard-workYour employees are working harder every year.

Every year, the ‘Balance Sheet’ makes you:

  • Layoff additional employees
  • Relocate Resources
  • Increase your Offshore Resources

Every year, your staff recommends:

  • Organizational changes
  • Lease vs. Buy Options on equipment
  • Additional software, etc.

Every year, the “cost of doing business” continues to rise…

You’re not sure whether the Silo-Effect is hurting your bottom line – Silos may be a good idea on a farm, but the ‘Silo-Effect’ can silently be costing you serious money. Furthermore, the ‘Silo-Effect’ is often pervasive – if you find it in one Organization, chances are that it also occurs in others.

DESIRED STATE – OPERATIONAL EFFICIENCY PLAN REALIZATION

planYour desired state should contain an environment in which there is interoperability for projects within and across Organizational/Geographical boundaries. If there are individuals working on the same kind of information (e.g. Customer data), then they should have the same vision regarding the management of that information, regardless of their work Organization/Geographical location. Although it is true that you do not want to stymie creativity and personal growth, the methods used to reach the endpoints of your Strategic Roadmap for Operational Efficiency must include the type of rigor that engineers use at manufacturing facilities to determine Yield. The GITS brand of Data Governance includes specific methods for connecting Organizational Units, Applications and Functional Areas. The GITS Methodology facilitates an environment of Interoperability, which leads to Operational Efficiency. GITS can provide you with resources and training/training materials that will provide you with multiple options for achieving Operational Efficiency.

When was the last time that your managers discussed current and future improvements regarding Operational Efficiency? Maybe it’s time to give the GITS Methodology a try.