If your products are truly the best on the market and they have been all the rage for years, you can rest assured that everyone will patiently await your next release. Why should they spend money on let’s say a decent smartphone now, when they can buy yours in a couple months time to show to friends and family? Unfortunately for most businesses this scenario reads like a fairytale. It takes time, vision and the best assets in every department to get to this level that only few world famous companies have managed to achieve.
All other businesses carry the heavy burden of competition. If you do too, it’s crucial you bind your customers to your brand before your peers do. For this you need relevant, individualized and consistent customer communications and exceptional operational efficiency.
Many of today’s companies, however, are too technology-driven, forcing business users to heavily rely on IT because the communication tools in place are too complex for them to use themselves. This severely increases deployment time-to-market of customer communications and impedes operational efficiency.
What is operational efficiency? Operational efficiency is the measure in which a company is able to provide customers with its services or products in the most (cost-)effective way, without the loss of quality. Operational efficiency is made up of different aspects (resource utilization, production, distribution and inventory management*) and usually improved by continuously streamlining these internal processes to cut excess costs.
Operational efficiency is all about minimizing redundancy while making the most of the different resources, technology and business processes that create the most added value.
Wasting time on small adjustments to customer communications is a cardinal sin, as this lengthens the time-to-market. Saving time and expenses while increasing the revenue should be the main goal. Eventually, reducing costs by boosting operational efficiency delivers an increase in profit margins or more success in markets where competition is tougher. Also, small businesses must excel in terms of operational efficiency if they wish to compete with big companies that can depend on greater economies of scale and bargaining power.
*Kokemuller, N. (2016, October 26). What Is the Meaning of Operational Efficiency? Retrieved April 4, 2019, from https://smallbusiness.chron.com/meaning-operational-efficiency-67982.html