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Bussiness process optimalisation

An ineffective business processes = insolvency

As it is made clear by research carried out in developed countries, the average lifespan of more than 60% of business organizations amounts to five years, and nearly 80% remain in the market for no more than ten years. In connection with the unstable situation in global markets, this trend is most likely to become even more pronounced. The following statement is a perfect depiction of this state of the matters: ”there are two kinds of companies existing in the market: those which are bound to go bust and these which may yet be saved.” Such a phenomenon is a constant stimulus, which makes it necessary for the companies to keep up with changes all the time. Market situation, competition or political situation are the instances of numerous factors exerting influence upon the functioning of enterprises. In such conditions, it becomes necessary to take action, adjusting companies to the constantly-changing environment. Upon the basis of J. Womac’s experience, we assume that ”there has never been anything so perfect that it could not be made even better.”

A little bit of theory

The functioning of every single company is based upon the flow of people, information, materials and capital. The above-mentioned resources are governed by particular structured processes. Ongoing technical development, and also the dynamical character of changes in the environment, make it necessary for a company wishing to remain competitive to constantly monitor its processes and adjust them to the reality of the market. An activity directed at making processes occurring in a company more efficient is called optimizing business processes. LOCC supports its Customers in optimizing strategic business processes by means of consulting in the field of improving operational efficiency, the reduction of costs, organizational changes and also the identification and correction of ineffectiveness in the crucial areas of the functioning of a company. Below, the fragment of the analysis of the value stream in one of large manufacturing companies has been presented.

Process Optimalisation

The result of our efforts is the substantial reduction of costs (even by as much as several tens per cent), improvement in quality and meeting deadlines, which, as a consequence, means the greater satisfaction of the Customers and increase in the profits obtained by the company.

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