Performance Comparisons – The Value Adding Capability of Time Based Organisations.
Those readers who have opted to measure the value adding capability of their organisations using my time based framework will now be able to see the amounts of waste and untapped potential that exists. The high waste driver will undoubtably be non value adding time. For the avoidance of doubt, I will reiterate my research findings – When a product, service or health patient are tracked through the entire inputs to outputs processes, value adding touch time is usually less than 15% of the calendar time consumed.
Sectors analysed are £500,000 to £28 Billion Groups, All manufacturing types from small machines to aircraft. UK local government services to central government agencies. Tracking health patients. In all cases and situations, the common weakness has been found to be low value adding capability and long throughput times.
CEOs, Directors and Managers are failing to grasp the importance of identifying waste and reducing costs at this critical cost sensitive point in 2022. If they could become Time Based, they would reduce costs and improve customer service levels. Time based analysis is driven by the value adding employees and never fails to identify waste in all its forms.