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How To Improve Effectiveness Focused On Added Value

We will define value-added activities as all those that result in something for which the client is willing to pay. That is, they are the tasks that help us to obtain / provide our product directly, resulting in an appreciable transformation desired by the client, thus increasing the perceived value.

In contrast, we have non-value-added activities, which are those with results for which the client is not willing to pay. This type of activity is often called waste, and we can classify it into two large groups.

Types of waste that threaten the effectiveness of the processes

Necessary waste

It refers to all those activities that we cannot avoid, even though they are not generating value for our clients. Some examples are: inventory control, internal transportation and administrative tasks.

Pure waste

Associated with all the tasks that do not generate value and that we could avoid if we improve our processes. Some examples are: inspections, delays and re-processes.

Process effectiveness improvement application case

Attention to the public in a construction trade

Next, we are going to tell you a real case, in which one of our clients raised the need to redesign his business processes to improve the quality of customer service (he received complaints because the waits were very long), and in turn be able to make better use of the available time of your collaborators. He observed that while some were always very busy, others had idle time and could not help with other tasks.

Process description

Certainly the process is relatively simple, where customers entered a sales room where they pulled out a number and waited to be served. Once they were called by one of the vendors, they inquired about the desired products and a budget was drawn up.

If the customer decided to make the purchase, the invoice was printed and taken to the cashier, where a cashier made the payment. Once this stage was completed, the client went to the warehouse to deliver the shipment and waited for his order to be prepared. Finally, the customer entered the dispatch area with his vehicle and the merchandise was loaded.

To analyze this process, a time recording was made and an analytical course chart was drawn up, two tools that we will develop in future deliveries. The result can be seen in the table, where we see a summary of activities, responsible parties and their classification as value-added tasks or waste.…

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