Have you ever wondered why some sports teams are always at the top while others struggle to stay afloat? The key is not always having the best players, but rather having a team that constantly trains to improve.
Just like a sports team, your business needs continuous training to reach its full potential. Continuous improvement is the training that will transform your business into a champion.
But what exactly does this training entail? Here are 4 key points to understand continuous improvement:
1. Immersion: Understanding how to improve what already works
One way to implement continuous improvement is to observe and improve strategies that have already proven effective in your industry. For example, Toyota, a pioneer in Lean Manufacturing, implemented the Kaizen method to make small, constant adjustments to its processes, optimizing each step of the workflow without major investments in infrastructure, as seen in this Harvard Business article.
Image courtesy of Toyota.
How to apply it: Analyze the current processes in your company and look for small areas of improvement that can be implemented quickly. Hold regular meetings with the teams to identify opportunities for improvement in project management. Spaces such as Dailys, Weeklys and Check-Points facilitate the planning and execution of progressive changes in the processes.
2. Adaptation: Not all strategies are useful for everyone
Innovation can also arise by adopting strategies from different sectors. A relevant example is Hilti, which adopted the subscription model of the automotive industry to offer tools under a leasing system, which allowed it to differentiate itself in a saturated market. In this abstract from Harvard Business School, they explain how Fleet Management was the differential adaptation.
Image courtesy by Hilti.
How to apply it: Observe how other industries solve problems similar to those of your business. Could you adapt a service model or methodology to your processes? This technique allows your company to not only improve operationally, but also innovate in its value proposition for customers.
3. Execute: Moving from theory to practice
Innovation can come from combining elements from different sectors. SpaceX, for example, combines advanced manufacturing techniques and agile development methods in its design of reusable rockets, such as Falcon 9 and Starship, achieving continuous improvements in efficiency and cost reduction.
Image courtesy of SpaceX.
The company maintains an accelerated learning and improvement cycle, adapting its technology quickly with each test. To delve deeper into this concept, we recommend the article Science-based practice: an essential epistemological contributor to the co-production of healthcare.
How to apply it: Encourage collaboration between teams from different departments so that they are inspired and experiment with ideas from various sectors. The key is to establish an environment where creativity and continuous improvement are integrated. Organize workshops for employees to explore how to implement ideas from other fields into current processes.
4. Adoption and Culture: The Learning Curve
Creating completely new strategies is the most complex form of innovation, but also the one that can have the greatest impact. General Electric, for example, redesigned its GE90 engine to improve efficiency and sustainability, using the “Power by the Hour” subscription model to optimize costs and services, as Bain & Company points out in its text: Choosing the Right Pricing Model for Equipment as a Service.
Image courtesy by GE Aerospace.
How to apply it: Promote a business culture where questioning the established is encouraged. This includes conducting in-depth analysis of processes and questioning basic assumptions.
A useful tool at this stage is Design Thinking, which facilitates the development of innovative solutions by approaching problems from a user-centered perspective.
Implement and constantly measure key business indicators
Continuous improvement is not just about making changes, but doing so quickly and efficiently. In today’s business environment, the ability to adapt and execute is crucial to compete and grow. Remember that the goal is always to add value to customers, reduce costs, and foster an organizational culture where innovation is constant.
Do you want to know more about continuous improvement?
At Blaster, we can help you identify and develop the most appropriate strategy for your business. Contact us today for a consultation!
