Improving Performance

The current financial climate has brought the issue of maximising efficiencies sharply into focus.

In reality this should always have been a priority but we get complacent, caught up in other things and are often too busy to take the time to go back to basics.

When times are good we think “Why fix something that’s working” when times are not so good we can panic and take rash measures that don’t really address the problems and might well come back to bite us later on.

We often read about maximising efficiency or lean processing and immediately think about cutting costs. Reducing the price of labour or materials – stripping your costs to the bear minimum. Sacrificing customer satisfaction for cost reduction. But that is far from the case – infact the opposite should be true.


“Lean” processing does not mean providing inferior goods or services. If the processes are properly reviewed and then managed by good leaders they should be designed to focus solely on the end product. The product the customer holds or the service that they experience. Yes – even services can and should be reviewed to reduce waste.

An effective reviewer and / or leader will enter the process with the objective of ensuring that the service / product is enhanced whilst the steps within the process are streamlined to ensure that there is no waste.

It’s easy to be put off by the jargon. The leveraging, the algorithmic theory the synthesized workflows and value stream maps. The truth is, despite all the consulting spin, the smoke and the mirrors, it is a very simple concept.

The first step is to Identify and document all of your process flows from end to end. EVERYTHING.

Analyze each process and ask the following questions:

1. Why are we doing this?
2. What value/purpose does it serve the customer?
3. What are we doing that does not influence or benefit the end result?
4. How can we eliminate that waste?

Map the new process. Pilot it – check that it works.

You do have to be objective. You have to be able to take a step back and not be precious about “your” processes.

Yes, it can help to have someone else with experience to provide input and ideas from outside. But you also have to use the experience within your own business.
You have to look at the process from the customer’s viewpoint. What do they see? What do they want to see? Where is the waste?

We all have waste in our business. The average SME carries between 7 and 12% waste.

In most cases waste exists from day one.

Over time we build in checks and controls and hand-overs which add to the waste. They become part of the ritual. New staff members might ask why we do things the way we do.

“We’ve always done it that way” is generally the response.

The Benefits Of Franchising

Franchising allows you to benefit from the name, strength and support of a market leader to build your own local business.

The first six months in any new business can be both difficult and daunting. But with the support of a nationwide organisation behind you, mentors who have been there and done it all before, associates who can offer advice and guidance, those initial months become much easier.

It is reassuring to know that you are not in it alone. It’s great to be able to pick up the phone and have someone who can offer advice or support whenever you need it.

It is also much easier to capture a market or challenge the existing players with an established name behind you.

Studies have shown that a franchise is more likely to stay in business than a non-franchised business. In fact, over the course of the first year franchises have reported a success rate of 95 percent. In contrast more than 50 percent of new independently owned businesses fail within their first year.

Experience shows that a branded name with tested systems help the franchise business through those early months. Franchising gives you the advantage of increased visibility in the marketplace, better name recognition, the strength of group marketing and a dedicated team of people working to support you.

In most cases a Franchise has already proven that it is viable and profitable. You negate much of the trial and error that comes with setting up a new business from scratch and you can learn from the experiences of others.

Customers like to deal with a name they know and trust. Brand recognition is vital. If you are building your own business it can take years to build that level of recognition and most new businesses cannot wait years to make a profit. When you buy into an established franchise that level of recognition is already there, customers know who you are and what you do.

Setting up a new business is never easy. It takes hard work, commitment and dedication. If anyone promises you a stress free business opportunity - they are probably not telling the truth.

However with the strength of a major organisation behind you, the sound foundations of tried and tested procedures and the support of a team of qualified and experienced indivduals you should experience less stress, more satisfaction - and the profits should materialise more quickly.


Robbie Burns