Sunday, December 28, 2008

Business Builder Bob - Reliable Processes #2

What is a Reliable Method?

Reliable processes are made up of Reliable Methods. Here are some characteristics of a reliable method.
1. It has an owner.
2. It is believed to be the best way to do the activity in terms of cost, quality,
safety, efficiency, etc.
3. It has a measurable outcome.
4. The reason for using the reliable method is understood.
5. It is continuously improved.

Take a look at the 5-6 most important processes in your business. I asked you to give this some thought in the first blog on this subject. Do any of them meet all of these criteria.

Most methods come up short due to point #5 - continuous improvement or point #3 - a measureable outcome. If your method has a measurable outcome, then it is possible to experiment with changes that you think will improve the process. It is the nature of a competitive market to continuously improve.

The whole concept of a reliable method breaks down if there is not a baseline way to do the activity and a measurable outcome. If you don't have measurements for your 5-6 most important business processes, can you come up with one? A simple measure is better and more likely to be done on an ongoing basis.

Don't worry if you don't know how to get to a reliable process from where you are. We will walk through some techniques in the next couple of posts.

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