Key recommendations to adapt and capture value by 2022

Companies have had to face various complex scenarios along with a higher level of economic and social uncertainty. Faced with this, the great challenge is to adapt and, at the same time, generate value. A good way to move forward, if not the most reliable, is by increasing productivity, which allows generating the necessary resources to respond to the new demands generated.

Juan Francisco Ortiz, executive of Orca Business Consulting, details the common factors and the adaptations that companies must make in order to increase productivity in this new normality that we will be facing during 2022.

 

1.It can be achieved by catalyzing an external entity that reviews the company's processes, incorporating a fresh look and without the organization's own biases. In addition, new disciplines can be incorporated into decision making. The pandemic we are currently facing has forced us to incorporate health perspectives into processes that previously did not have professionals from these areas incorporated. Many organizations have realized that these fresh views not only help solve health problems, but can help optimize processes by adding new perspectives. It's time to add value to daily operations with other disciplines. It is important to emphasize that these two paths work best in a complementary way.

 

two.Being part of the production: Reviewing the daily operations in the field, whenever possible, is a powerful tool that has been neglected by many organizations. Whether it is a process room, a sales room or another place, depending on the productive sector, it allows you to be part of the generation of value, and leads to best practices, generates continuous improvements and encourages the raising of early warnings.

 

3. Review salary and incentive structures: Since capacity has currently been reduced and there must be a distance between people, the processes must be reviewed and modified accordingly. This new scenario can lead to shifts with a smaller number of collaborators, in relation to those projected in the process design.  Those who work each shift must be more productive to achieve the expected outputs. This goal is achieved through incentive systems, where many times they are not aligned with the primary objective of production, so it is highly recommended to periodically review remuneration and incentives, in order to keep people satisfied and aligned with what is being searched for at that moment.

4. Greater flexibility: In previous years, rigid processes were generated in order to achieve greater production. Currently in all productive sectors greater flexibility must be had, even when sacrificing part of the productive maximum. Given the new conditions, where the shift systems suffer forced casualties, due to capacity, quarantine or close contacts, which can reduce the potential of attendees to a shift, in the long term, a more flexible operation allows a more stable and predictable production over time, reducing the productive variation that can be generated by factors external to the process itself.

John Francis Ortiz

Orca Business Consulting Executive