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An Introduction to Continuous Improvement Management

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In business development today, the concept and implementation of continuous improvement management is a powerful tool in improving business efficiency and profitability.
Continuous Improvement is not something you can learn in one course, but a business concept and an approach to management that encompasses every aspect of the business function and every employee.
Continuous Improvement originated in Japan within their highly competitive car manufacturing industry.
The increasing competition in their product markets meant they needed to provide the very best possible product and services...
and to do this continuously.
Continuous Improvement means exactly that.
Its aim is to provide the customer with products and/or services which continually improve to give the customer added satisfaction every time he buys from you so that he remains loyal.
That is, he finds it more agreeable to buy your product (even if it is more expensive than the competition's product) because he gets increased satisfaction or additional services from you when doing so.
Increased satisfaction can be gained in many ways and covers everything from a better made or more durable product, a more adaptable product, better and faster delivery, shorter lead times, additional delivery services that competitors do not provide etc.
When we talk about these added services or improved products we use the phrase 'adding value' to the product.
In other words making it worth the customer's time to do business with you rather than someone else because your product or service has added value...
continuously.
From the marketing point of view new ways of providing customer satisfaction must be found and this has led to the introduction of geo marketing for large multi-nationals who supply products worldwide.
Both the customer and the supplier benefit through improved supply logistics.
But geo marketing can be seen as a way of adding value to the product by providing a better service to the customer.
By organising delivery logistics better, the client finds it more convenient, faster and cheaper to buy from you than elsewhere.
In any company Continuous Improvement to succeed it must work from the manufacturing floor right up to the Chairman.
Everyone in the company is trained and encouraged to make suggestions for improvement in what they do and how they do it.
If the company procedures can be improved this in turn gives better customer service and satisfaction as well as improvements all round for the employee.
Cellular Manufacturing Continuous Improvement frequently involves manufacturing personnel working in groups of (say) five personnel.
Each would be trained to work on five different technical machines, these machines would then be grouped together and the personnel could decide amongst themselves how it would be laid out and who would work on what machine and when.
A cell team leader would be elected from within the cell to oversee their work.
The team leader would be changed every few weeks so that everyone had an opportunity to lead the cell.
The men could make alterations to the layout of their cell and request improvements to their machinery if they felt it was needed.
Continuous Improvement is a concept to provide the end result of improved customer satisfaction but it involves every employee in every business function from sales, ordering, manufacturing, despatch, warehousing and logistics.
Working together to improve the product has its own reward in opening up the possibilities of opportunity for multi-skilling, personal development and achievement.
A successful continuous improvement programme can take several years of training to implement across all business functions, but the benefits are huge for both the company and employees.
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