Some 60 per cent of companies questioned revealed plans to automate more business processes this year, and invest more in technology.There was also a strong desire to outsource more processes in order to reduce manpower costs, with half of all businesses wanting to bring in outside suppliers to take on functions normally carried out in-house. The trend has been dubbed as the journey towards becoming a “size zero enterprise”, by Philip Letts, CEO of blur Group. Read more research from blur Group:
- App development myths and trends hold companies back
- The importance of being authentic in business
- Business speak “infuriates” Britons
1. Zero inefficiencyIn business, success is not about how many people you employ – it’s about how much money you make. Make revenue per employee one of your most critical KPI’s.
2. Zero passangersWork out who in your company creates value, who supports them and who is just part of the machinery. Aim for zero overhead staffing. In other words, everyone should create value not simply be a passenger.
3. Zero baggageRedraw your organisation chart, but this time look at the way your suppliers and other non-payroll resources fit in. Outsource everything except your soul, the management guru Tom Peters once exhorted. As well as the savings on statutory payments associated with employment like. Aim for zero additions to payroll over next 12 months.
4. Zero property costsSeriously consider moving. Look at comparative costs in less popular neighbourhoods. Office costs in London’s West End are the most expensive in the world. Look at properties half the size. Who could work remotely? Who could desk share? Read more about property costs:
- Understanding the lease
- How to avoid the black hole of office costs
- Why you need to look outside Britain
5. Zero unprofitable customersDon’t be distracted by customers who take up your time and resources but contribute little in revenue. The customer is king but so is cash.
6. Zero technophobiaMake those technology changes you’ve always been meaning to. Move your business into the cloud, get fully mobile and automate some of the functions currently handled by people. Get yourself a more radical technology strategy, accelerate innovation cycles and add a zero to your R&D budget.
7. Zero budgetsConsider zero-based budgeting where budgets are not based on previous years, but start afresh from zero. Start from scratch every year and you will soon find savings.
8. Zero stockBorrow from Toyota’s just-in-time manufacturing process so that you only buy stock when you need it. Translate stock to people and make sure you’re not carrying passengers. Imagine how this could work for your business. Aim for zero stock.
9. Zero wasteLearning about lean business – the reduction of waste. Put sustainability at the heart of everything you do and hire a chief sustainability officer. And don’t forget that this is not about working harder – just smarter.
10. Zero dead timeBan all but the most important meetings. They are the biggest drain on productivity and create a culture of delegation. Make sure the meeting you are about to have will earn the company more money than it spends in time lost by all the participants, including travel. By Shané Schutte Image source
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