How to build internal Operations Excellence capability at all levels of your organisation?
The organisation was a Business Processing Outsourcing provider who was responsible for finance services for a number of different private sector clients. This included invoice & credit note processing, data maintenance and transfer pricing. The majority of the operations were located in India with 20% serviced from the UK.
Process redesign had recently taken place which had been successful and achieved an efficiency saving of around 15%. Although efficiency had improved, there were backlogs with certain types of work building up while others were serviced promptly. There was also an increase in the levels of re-work coming into the operation with Journals and Credit Note processing 20% higher than the previous year.
Operations Managers and Team Leaders were very focussed on the output of their team members and would often process work themselves when escalations were received from their clients. There was no forecasting or demand understanding across the management team and problems were given to subject matter experts to solve in the UK.
An Operational Assessment was carried out by Reinvigoration to understand the current levels of operational management capability for the India operation. There were 4 areas of Reinvigoration’s 10 categories which scored significantly lower than the others.
These were Visual Management, Management Routine, Planning & Forecasting and Quality Management. A tailored training and coaching approach was created to improve the operational management capability of the off shore management team in these 4 specific areas.
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