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Optimization is the foundation for innovation. The ‘hook’ is people are interested and impressed with achievers. Leaders want to know your accomplishments and how you ‘did it’. From an educational perspective, the show develops paths for achievement in service, manufacturing, and government. Why are you Better! Show you ‘Care’!
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Getting Back to ‘Start-up’, (And Business Growth!)
Lean CIWhat is the ‘Fountain of Youth’? For people, it is ‘Health and Vitality’. For business, it is the ‘Start-Up’ (i.e. ‘Entrepreneurial Spirit’, ‘Profit Potential’ and ‘Imagination’). Business is the foundation of all ‘Civilized Society’. The development of ‘specialization’ enabled humans to buy what was not their ‘specialty’. Still, businesses have a life cycle: Startup, Growth, Maturity…. Maintenance. Successful businesses (like humans) eventually need to ‘reinvent’ themselves. ‘New technology, Novel Features and Relevant Applications’ (plus ‘Systems Optimization’) play an important factor in determining customer success of a product and business.
The ‘Key’ to business is that humans always consider the possibility that ‘maybe there is something better’! That ‘unknown’ which might deliver on health, fitness, intelligence, and satisfaction. (After the ‘biology and psychology’ of existence plays out, what else is left? (i.e. Business). Even artistic and humanitarian ‘not for profit’ must ‘Live’, at least, via a ‘Break-Even’ scenario. (Else, the entity is ‘short-lived’). And, so, for humans, New, Novel and Relevant is part of the ‘Path and Psyche’ of survival. The ‘system of business’ might even be said to be the foundation of all ‘purposed civilized human life’.
‘New Technology, Novel Features and Relevant Applications’ are the ‘key elements’ for ‘New Business and Product creation’. (The ‘why’ of success!). Even with ‘existing’ products and markets, capturing ‘additional market share’ requires a ‘new, novel and relevant’ marketing angle. The ‘why’ for the consumer to ‘purchase’ your product vs. the existing option. (Again, the ‘unknown potential‘ is delivered from your ‘pitch’ about your ‘better’ solution).
The ‘Start-up’ is a ‘unique’ phase in business. It is a moment to ‘get it right’ and capture ‘market share’ before the inevitable ‘competitors’ see profit-potential and copy your idea. The ‘start-up’ phase allows development of ‘unique features’ and ‘market niche’. For companies that have reached the potential stagnation point at the ‘Plateau of Maturity’, this is the critical juncture to either develop (
or buy) new products and new market share. (or both!). (i.e. necessary new revenue and profits delivered from ‘Business Growth’).
‘Value and business development’ are not ‘easy’ achievements. It takes time, effort and wise investment strategies to deliver ‘Business Success’. Though, ‘lessons’ from ‘lack of development’ will spur ‘creation’ of ‘new products and systems’. Voyeursdo study and ‘learn’ from ‘business successes and failures’. So, again, in life, as in business to ‘re-invent’ is to live! Though it must be remembered, successful ‘Start-up’ businesses ‘Optimize Systems’ and deliver better ‘Customer Expectations’ with ‘New Technology, Novel Features and Relevant Applications’ which develops required ‘Business Growth’!
Todd Adams
OBR Optimization Engineering: Lean Six Sigma CI, ERP Software Development, Quality Systems Enhancement, Business Process Improvement, CI Project Work. www.OBREngineering.com; POC: Todd Adams, Todd.Adams@OBREngineering.com; (424) 241-0290.
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Solving Your ‘Greatest Constraint(s)’ Will Lead to ‘Business Growth’!
Lean CIWhat is the ‘Greatest Constraint‘ holding your business from ‘Exponential Growth‘? Sales, Production, Expenses, Supply chain? Since the business ecosystem is all ‘Interconnected’, significant changes to one ‘area’ will require updates to ‘associated’ areas. As an example, increases in sales will require more production capacity or services rendered. Some questions must be considered: Can Production handle the ‘new’ rate? Can the increase in production occur without a detrimental effect on Quality? Can the ‘Efficiency Systems’ handle the production increase? The point being, if you solve your ‘Greatest Constraint(s)’, can your system adjust accordingly?
There is a ‘Theory of Thought’ on production constraints which has merit. Largely popularized by Eliyahu Goldratt’s ‘Theory of Constraints’ which theorizes that focusing ‘Improvement Efforts’ on the ‘greatest constraint(s)‘ can lead to ‘MassiveGains‘ in productivity. From this perspective, it is ‘worth the effort‘ to consider the ‘list of constraints’ and constructively manage efforts at ‘prioritization and solutions‘.
Discovering your systems greatest constraint(s) works in conjunction with today’s Lean‘Value Stream Map’ (VSM) approach to systems optimization. A VSM plots out the ‘Process Steps’ from product request to customer delivery. Each Process Step identifies the metrics of ‘Lead Time’ (to include ‘queue time’ prior and post the ‘process step’), ‘Process Cycle Time’ (Time to complete the operation) and ‘Percent Correct and Accurate’ (Quality Level). Basically, with a Value Stream Map you are looking at the ‘efficiency’ and ‘quality’ of the entire system at each ‘step’ in ‘Production or Service delivery’.
A current ‘VSM view’ will uncover system constraints. The ‘VSM Team’ approach provides ‘insight’, ‘discovery’ and ‘agreement’ on system ‘hindrances’ (constraints). ‘Current system constraint’ solutions set up the creation of a ‘Future’ system’.
Time is always a ‘limiting factor’. It is the one constant constraint across all production. From this metric, additional constraint variables can be considered. Quality, automation, expenses, efficiency, supply chain, sales…. From the VSM view, the team can identify and prioritize ‘system constraint(s) with solutions’ in terms of ‘time and cost’ for implementation. Planning for improvement requires real time and cost calculations. The factors of ‘Low Cost’ and ‘Ease of Implementation’ raise the priority of improvements on the ‘to do‘ list. Improvements can be divided into ‘Just do it’ (less than one day), ‘Kaizen Sprint’ (one week or less), ‘Project’ (three months or less) or ‘Parking Lot’ (beyond three months).
All conceivable production constraints can be categorized. Setting long-term company direction has a special top-level view and approach. It is important to consider company strategy development in a time frame of one to three years. Many ‘Lean’ practitioners use the ‘Hosin Kanry’ methodology to ‘hone in on’ current tasks required for delivery of company strategy. The constraint solutions discovered in the ‘Value Stream Analysis’ give credence to your business strategy.
Discovery and resolution of system ‘constraints’ ‘sets the stage’ for clarity on new business development with a ‘Blue Ocean’ view. (Create untapped markets for new product consideration). Discovery of current ‘production constraints’ leads to ‘Clarity of Thought’ and implementation of ‘solutions‘ to improve business systems. This improvement in operations and sales leads to ‘Business Growth’!
Todd Adams
OBR Optimization Engineering: Lean Six Sigma CI, ERP Software Development, Quality Systems Enhancement, Business Process Improvement, CI Project Work. www.OBREngineering.com; POC: Todd Adams, Todd.Adams@OBREngineering.com; (424) 241-0290.
As the Famous Sales Guru Grant Cardone says, 10X your OBSESSION!
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The Necessity of ‘Systems’ for ‘Business Growth’!
Lean CIIt may seem obvious to the logically trained that ‘Systems‘ are needed, but to the ‘Free Spirit‘, ‘rules and regulations’ seem only to ‘Stifle Innovation‘. Well, both viewpoints have merit! You must know your objective. The main ‘objective‘ of business is to be successful at Return on Investment. One important part of ROI success is ‘Business Growth‘. From a ‘Production‘ view, ‘Systems’ are ‘key‘ to develop processes which can be ‘honed‘ into efficiency and quality metrics that deliver available ‘Production Capacity‘. There are constraints, but from an ‘Arial View‘ properly ‘developed systems‘ deliver basic ‘Production Success‘.
The ‘take-away‘ is that ‘systems are necessary‘ to discover available ‘Production Capacity‘. Efficient systems will have been ‘iteratively‘ analyzed to deliver ‘better and better’ metrics. This may seem obvious to the ‘aficionado’ but when you are ‘in the trench’ with manual and semi-manual systems, ‘resistance and confusion‘ can be obstacles which circumvent improvement. (Quantitatively, ‘efficiency improvement‘ is defined by ‘Cycle-Time‘). The ‘rubber meets the road’ when ‘quantitative cycle-time metrics‘ set the ‘standard‘. Again, your ‘Systems’ will provide the ‘process’ and ‘cycle-time’ will set the ‘production rate’. Current ‘Capacity‘ can then be ‘utilized‘ before ‘costing for expansion‘ needs to be considered.
‘Innovative products‘ are the ‘main’ deliverable for ‘Research & Development‘. Though there are ‘Systems‘ for R&D, R&D builds random ‘think-time‘ into the development equation. It does take ‘time to think‘. Uniquely, ‘think-time’ cannot be defined by ground level ‘efficiency metrics’. (Trying and failing is part of the ‘Innovation’ process). Efficient ‘Production Systems‘ do not have obvious ‘think-time’ built into the process. Team-based operations allow associates ‘time to suggest‘ improvements in ‘Performance Huddles‘ prior and post to operations. That is the beauty of the ‘Efficient Production System’: A company culture of ‘Feedback Communication‘.
Communication allows associates time to contribute ‘Improvement suggestions‘ which can be team and/or individually rewarded. It is difficult to motivate and keep motivated ‘manual’ and ‘semi-manual’ systems. One solution is to develop finite ‘tasks‘ at a ‘sustainable rate‘ with position ‘rotation‘ to alleviate ‘stress‘. Your ‘Company Culture‘ will reinforce the ‘why‘ for Continuous Improvement. (i.e. Business Survival!). ‘Time to Think‘ is part of the innovation process. It is important to develop ‘Feedback Periods‘ for ‘Systems Improvements‘ in both Production and R&D areas of operations.
The ‘Bottom-Line’ for ‘Systems Development‘ is that ‘Cycle-Time’ and ‘Quality Levels’ must be optimized to reach ‘Production Perfection‘. Discovery of the ‘right production process‘ is the challenge for ‘Optimization Engineering‘. The path to ‘Success‘ may vary but always involves ‘associates and stakeholders‘. This is where ‘Value Stream Maps, Kaizen Sprints, Plant Floor Layout, Automation, ERP System Development, Standard Work, New Equipment and System Integration Projects’….. can ‘enlighten ideas‘ for ‘innovative systems‘ to deliver required ‘Services and Products‘ plus ‘Customer Delight‘. There are always ‘constraints‘, but that is the ‘Optimization Challenge‘. (If Continuous Improvement was easy, everyone would figure it out!). ‘Continuous Improvement System Development‘ will lead to ‘Business Growth and Company Survival!‘
Todd Adams
OBR Optimization Engineering: Lean Six Sigma CI, ERP Software Development, Quality Systems Enhancement, Business Process Improvement, CI Project Work. www.OBREngineering.com; POC: Todd Adams, Todd.Adams@OBREngineering.com; (424) 241-0290.
As the Famous Sales Guru Grant Cardone says, 10X your OBSESSION!