Benefits of Lean Business Processes

Manufacturing companies often train employees in using lean manufacturing techniques. This is essential when we want to remove waste, related to labor, equipment, processes and operations. By eliminating waste, we should be able to make the entire process more efficient. It means that we should be able to increase the overall cash flow. Our company should also be able to deliver products properly the way customers want it. The lean manufacturing process should allow companies to produce the proper number products in the most efficient manners. The cost of labor, equipments and productions can be significantly reduced to increase the overall bottom line of our company.

If equipments are more efficient, it will be much easier for us to obtain return on investment. With lean manufacturing, both customers and company can win. The lean manufacturing process will result in lower cost manufacturing and lower overall prices for customers. In this case, the lean techniques should help us to remain competitive in the industry. Lean techniques could also be implemented in top processes and operations, so the overall effects can trickle down to other departments and tasks. When seeking to eliminate efficiencies and waste, we should start with the top line processes.

Benefits of Lean Business Processes

Other than the lean manufacturing process, we should also get lean sales and marketing. In essence, we should make sure that our products and services can be introduced to any prospective customers. Many businesses pursue traditional avenues when it comes to marketing, such as by having mass advertising and hiring more salespeople. Having additional marketing resources don’t guarantee that we can get extra good results. Traditional marketing methods often work, but many times they don’t always work properly. It could be frustrating spending so much money on investment efforts only to lose it.

If we insist on using traditional marketing methods, we should consider their accountability and efficiency. Although lean marketing methods are more efficient, it doesn’t mean that we will get fewer clients due to reduced marketing volume. We should be aware that traditional marketing methods have some drawbacks. As an example, marketers don’t concern themselves whether buyers will pay for the products and services in full. In this case, we should make sure that the marketing plan is intended for one goal, that is to encourage higher cash flow. Just because a product is purchased, it doesn’t mean that we will get the money.

One big problem is that the marketing team may fail to understand the business goals correctly. This could happen if the overall definition of marketing is inadequate and short-sided. In this case, we should be able to redefine the marketing purpose. It means that we should be able to leverage and optimize all of our marketing assets. This is possible if we have properly implemented the lean marketing techniques. Marketers should be able to track the overall progress and waste can be minimized to the lowest levels. This will also allow companies to survive any financial recession.