Industrial Insights

Business Process Optimization: Blessing in a Disguise for Pakistan

With an ending of craftsmanship era, human interaction along subsequent machinery has started making tides in increasing the productivity to meet customer demands. History testify that many big companies emerge out of small business owners like Bata & Toyota. So, why is there always a pursuit of improvement at the global level among industries at Global level or domestic level i.e: Pakistan.? One can easily correspond to the answer of this question by referring to China, of how they build their mark on the world. Once disputed nation, now leads the world in terms of GDP & technology. China has now become a benchmark when it comes to processes streamlining, bulk ordering or getting the products assembles. Whether its apple or Samsung, alike many big giants are getting their products being crafted in china and then shipped to the global locations as per supply chain route.

Inclination to Process Optimization

To take charge as a market leader, one must be flexible enough and adaptable with a need of the time i.e.: continuous process improvement. The time has come to abandon the traditional mindset and start following the golden path carved by strategist and global empire holder players. Here are some of the facts elaborating where we are and where the world is playing current moment,
a) China added 2 wind turbines daily while we are facing power load shedding.
b) Germany has gone completely on renewable resources and billing is going in negative ratio over there while we are not focusing on renewable resources.
c) Google parent company Alphabet has worth almost more than $400 billion dollars, while we don’t have a single such entity.
d) Latest fast and furious movie earn more than $1 billion dollar while we don’t have even a single mega project of such level
e) International world is hefting towards optimizing techniques like Lean six sigma while our conventional business mindset is getting us knocked out of the game.
f) World is connecting worldwide with internet and online learning and etching is opening a new road of prosperity while as per World Bank stats only 10.9% population is using internet.

Pakistani companies are trying its best to stand out in competition but due to firefighting issues and the absence of optimization mindset, are facing backlashes. Below are some astounding facts (cited from Pakistan Bureau of Statistics) depicting a sort of variation among the production patterns in different sector of our industries?
• Variation in paper industry.

• Oil companies possess different number of oil and gas fields buy by looking at the graph one would be amazed to see UEPL owns the most of them but still lacks in being oil leader. This is variation.

• Cement industry is showing variation too and a constant inline pattern. Why aren’t we focusing in the big picture by collaborating our efforts in wastage’s mitigation?

• Total cotton cloth production is also showing variation, depicted in image below.

BPO Adaption

BPO is a strategic approach designed to eliminate inefficiency and reduce costs, leading to better business results. Business Process Improvement solutions may be narrow in scope or may be used for broad, enterprise-wide initiatives.
It can be initially adapted by changing our mindset from corrective approach to proactive approach, while digging in deeper the causes of process deficiencies. Below is a flow for initiating BPO,

Conclusion

The time is knocking at our doorstep to heed the changing patterns before it’s too late. The best way to get started with improving a business is to hire a consultancy company which can enrich you with the low hanging fruits firs and then going for complex ones.

P.S: Upcoming articles will span over the Business s process optimization tools and techniques