Companies looking to innovate and succeed in today’s complex business world are increasingly recognising that simplifying their business is a strategic imperative.
As companies grow, they realise that the systems and processes that were right when the business was smaller, and which have been bolted together over the years, are no longer sufficient to support their growth. They cannot adequately scale up to meet the demands of additional customers, increased numbers of employees, or new product offerings. Over time, businesses also tend to create more complicated and involved processes, perhaps to work around their somewhat disconnected IT systems. This can create inefficiencies, drive up costs and reduce the agility of their operations.
If these sorts of barriers have slowed down your business simplification efforts, then you’re not alone. The Knowledge@Wharton white paper, “Business Simplification: the Unmet Strategic Imperative” notes that companies fight these sorts of impediments, from resistance to change for fear of lost jobs, to lack of time to implement new policies, processes and IT systems.
Often, simplification projects stall because they don’t start off simple in the first place. Sometimes the best way to start is to focus on one or two processes and to empower the staff involved in those processes to simplify their daily tasks. With precise objectives and incentives tied to performance outcomes, the project is more likely to succeed.
This approach to simplification transforms both the people and the culture from the bottom up. In turn, this paves the way for acceptance of more widespread company initiatives that may require a more top-down approach or even wholesale changes driven by the implementation of new technology. Staff get to see first-hand that they are simply adopting a more straightforward way of working that reflects proven business procedures. They can also see and feel the benefits straight away.
Are there any opportunities to simplify your business? Once you’ve read the white paper, if you want to find out how SAP Business One can help to simplify your operations, please call us for more information on 020 8819 9071 or contact us using the website form.