When any organisation/company starts working it defines its processes, systems, scheduling based on the Equipment it has, Personnel, Training given to Personnel and the Physical Organisation and Storage available.
However over a period of time there are minor/ major changes in the above parameters and the old processes which were efficient to being with – start becoming slow and inefficient.
It helps to revisit the Business Processes with an objective of:
- Increasing productivity
- Reducing unnecessary time taken to perform activities
- Improving sales and Minimizing cost of selling
- Minimisation of activities which do not add value to your business and customers
- Strong reduction in the amount of dead / slow moving stock
- Reduction in inventory costs
- Standardisation of activities
- Promote Innovation and learning within all levels of the company
This is an exercise in Business Process Re-engineering.