Process optimization pays off for companies - it helps them to increase their efficiency and productivity by optimizing their workflows. But what does this actually look like? To illustrate this topic, we have prepared some examples of process optimization for you.

Examples of process optimization: Case 1

In this example, we look at the management of customer contracts. Here it is important that all contract data is up-to-date, correct and complete.

The first step is to analyze the process. To do this, it is worth defining the process restrictions. In our specific example, these could be:

• Contract data must be maintained in the recording system and comply with data protection guidelines
• Contract data must be protected against possible attacks on the IT infrastructure

When the company acquires a new customer, a number of tasks need to be carried out. Currently, these tasks are processed manually. The sales team enters the information about the customer, including the contract, into the CRM system. They then send an email to the customer service team, the accounting department and the marketing team.

The customer service team needs to assign an account manager, the accounting team needs to organize the invoices and the marketing team needs to send out a welcome package. The process relies solely on sales remembering to contact all relevant groups and these relevant groups remembering their tasks.

The initial optimization of this manual process could be to automatically trigger a workflow at customer sign-up that sends notifications to each group along with the basic information needed to complete their tasks. Once each group has completed their task, they click 'Completed' in the workflow.

Here you can create this process using the appropriate software, test it and then evaluate it after a set period of time. Ideally, you should ultimately find that the process has become more transparent and faster than your previous method. 

Examples of process optimization: Case 2

A large family-owned heating repair company needed a way to automate their customer service. However, as a family-run business, they were struggling to find a solution that would save them time while maintaining the unique, personable support they provide to their customers.

The solution was a custom CRM system. The platform had an intuitive user interface that provided a customized approach to customer interaction and service, while tracking and recording data in a secure location.

After deploying the new application, the company saved more than two hours per day (one full working day per week) per employee on administrative tasks. Plus, they were still able to provide the personalized support their customers love and expect.

Examples of process optimization: Case 3

Now let's take a look at a food manufacturer. It was constantly suffering from an unacceptable number of chargebacks from its retail customers. But what was going on?

It turned out that their products had an expiration date on delivery - this was bothering the retailers because it meant they didn't have a maximum selling time.

In the warehouse, the problem was that the pallets of products were not stacked according to the best-before date. This was ultimately the biggest challenge: the warehouse simply did not select the right pallets for delivery at the right time and the grocer had to constantly accept chargebacks as a result.

The solution was relatively simple: when the product came out of production and was placed on a pallet for storage, a label with a barcode was printed and placed on the pallet - the label contained the date by which the pallet had to be dispatched, along with other information. Forklift drivers would scan this label and could immediately identify which pallet to pick in order to fulfill orders by date range.

Should I really optimize my processes?

Are you unsure whether your company should optimize its processes? You ask yourself: Does it really make sense to tweak something if it is working well at the moment?

• Ask yourself the following questions:
• Are there processes that take too long?
• Are your employees still making mistakes when following processes?
• Are there bottlenecks or places where workflows get bogged down?
• Do any of the processes have unnecessary steps? Could you eliminate parts of the process and the process would not lose effectiveness?
• Have you found that you are not achieving the desired results with your business processes?
• Could your company's processes be improved in any way?

If you answered “yes” to any of the above questions, your company has a legitimate reason to optimize its processes not just once, but on a regular basis!

In a way, the question “Is process optimization right for me?” is a hypothetical one: only if all your business processes are already optimized at the highest level and down to the smallest detail, there is nothing more to do! But if there is room for improvement, something needs to be done about it.

At new direction GmbH, we implement these and similar solutions quickly and reliably. If you have any questions or specific concerns, please feel free to contact us directly.