How Do You Process More For Less?
How Do You Process More For Less?
Process Improvement allows financial organisations to produce more by reducing costs, minimising risk and releasing capacity. Successful Lean interventions can add significantly to the bottom-line with a minimum of capital outlay – and can be applied to both external and internal customers. It requires the support of senior management and a behavioural shift to a new paradigm – where Better informs every task and each activity.
LBS Partners has developed a 7-phase approach to companies looking to adopt Lean in their service processes, and is designed to remove all unnecessary waste from the value stream.
|Initiating a Process Improvement programme necessitates an understanding of the business and its current state. Analysis of the current state creates a case for change and the scope of the work required to get to the future Process Improvement state. Senior management support is imperative.||Phase 1|
Understanding the customer journey
|Understanding the customer journey is an important step in planning to provide a good customer experience. Making problems visible by using customer journey mapping tools and advanced problem-solving techniques help to continuously improve the customer experience.|
|The use of cross-functional teams to create a vision of where the business wants to be in a Future State – in order to maximise customer value. This will lead to new ways of working.||Phase 3 |
Creating a Future State
|Phase 4 |
Implementation and roll-out
|Training at all levels helps to embed the improvements in the service delivery process. The quality of the training will positively affect the execution of the implementation plan and the sustainability of the improvements accomplished.|
|Successful implementation means a full review of the process – to ensure all involved can understand the benefits, while learning from, and correcting, any unforeseen results. This allows the business to sustain the benefits and look to what further can be achieved.||Phase 5 |
|Phase 6 |
Continuous Improvement (CI) & Alignment
|A Continuous Improvement (CI) culture requires people to consistently challenge the status quo of how processes operate and services are delivered. All Continuous Improvement actions and tasks should be aligned to the strategic goals of the organisation.|
|Customers demand value – so improvements made need to create value for the customer. Successful organisations listen to their customers and make improvements where necessary.||Phase 7|
A large multi-national banking provider was looking to improve its processes in managing credit arrears, while also continuing to meet customer requirements under the Central Bank guidelines.
In conjunction with the Project Team, LBS Partners consultants reviewed the current process using Lean thinking. This involved using tools such as Value Stream Mapping (VSM), to build a clear understanding of the current condition, and the development of a clear, desired Future State. This was achieved by introducing a milestone-based approach and using standard work with clearly defined measurable outcomes.
VSM allowed the team to identify non-value adding activities which lead to the creation of a desired Future State map. The organisation was then able to focus on three key areas:
By introducing a milestone-based method and tracking system, there was clear visibility of ‘how we are doing’ with each customer. This could be measured in terms of delivering results, rather than just reports – and also helped to reduce case backlogs.
The introduction of standard work using an interactive, specifically-developed decision tree, allowed for a common approach. This ensured progression of cases and protection for the company in relation to Central Bank’s requirements.
The implementation of these changes allowed the Management Team to have a clear understanding of the efficiency and overall effectiveness of the case managers within the company. Given the enormous difficulties of the international economy, this helped drive the overall goals of the company in the medium term.
LBS Partners consultants helped provide key management and Lean knowledge/ supports to the project team during the project and implementation phases.