In modern business, efficiency is no longer merely a buzzword, but a cornerstone for success. The cost of inefficiency in the workplace, can have wide consequences. These extend beyond the obvious frustrations of missed deadlines and incomplete projects. In this article we’ll look at some of the issues and why tackling inefficiency is important for success and business development.
At its core, inefficiency drains resources. Time is the most valuable asset in any business, but is often squandered when processes aren’t streamlined. Picture the hours lost navigating poor workflows, searching for misplaced documents, or attending unproductive meetings. The effects of these seemingly minor inefficiencies translate into substantial loss of productivity over time.
Better Technology and Tools Needed
According to a OnePoll study. ‘on average 26% of an employee’s day will be wasted on avoidable administrative chores, unnecessary tasks and outdated ways of working.’ 38% of the surveyed group saying they ‘were reliant on manual processes’ and 48% believing that ‘they would be more productive if they were given better office technology and tools.’ (https://the-cfo.io/2019/06/19/how-inefficient-processes-waste-nearly-a-third-of-employees-time/)
The financial toll of inefficiency can be eye-opening. When employees are bogged down with clumsy processes, the cost of labour increases without a direct rise in productivity. Redundant tasks and a lack of coordination can seriously dent a business’s bottom line.
Employee morale is another casualty of the workplace when inefficient practices are concerned. Constantly battling with dated systems and processes can lead to frustration and burnout among employees. A demoralised workforce is not only likely to not perform at their best, but this can also lead to a high turnover rate within the team.
According to British Business Bank. ‘the cost of recruiting in the UK is estimated at an average of £3000 per employee.’ (https://www.british-business-bank.co.uk/finance-hub/tips-on-hiring-new-employees/)
Quality of Work
Inefficiency also poses a threat to the quality of work delivered. When time is wasted navigating through complex procedures or correcting errors stemming from a poor process, the intended product or services are likely to suffer consequently. The compromise in quality not only effects customer satisfaction, but can also damage the reputation of the business and brand. We are in an era where customer dissatisfaction can easily be shared, and public feedback can have significant implications on maintaining existing customer relationships and generating new business.
According to Smart Money People 69% of the 2000 people surveyed. ‘would change their mind on a purchase after reading a negative review.’ (https://smartmoneypeople.com/news/post/customer-review-statistics)
Applying Business Efficiency & Customer Success
Addressing inefficiency requires a strategic approach. Investing in technology to automate repetitive tasks, streamlining communication channels and promoting a culture of continual improvement are important steps. Workforce Management Apps such as HumanFacta and mobile data collation apps such as EasySmartForms can help ease the administrative burden.
In conclusion
Regularly addressing, and most importantly optimising workflows, can prevent the accumulation of long-term neglect in business processes. By giving your workforce the correct tools, they can complete the job to a higher standard, and you safeguard the business whilst improving bottom line. More than anything else, having a system that allows you to capture the correct informative data allowing you to understand, how your workforce is spending its time & using it more efficiently, is imperative. A continuous review of business operations methods & processes with relative real-time information will enable significant performance improvements throughout any business.
