As we leave September and the nights grow longer here in the UK, many organisations are awaiting the Spending Review due to be published on 20 October. I was at a Business Link event last week and this was one of the main topics of conversations. There is understandably much concern and trepidation around due to the potential impact of the spending cuts.
As you will have seen from the news, many public sector organisations are already starting to make cuts in spending and people resources due to their reduction in finances. Many private sector organisations have been undertaking this for some months already.
So what are you doing to start working more efficiently and effectively? We will need to do this in order to soften the blow of any cuts. I also believe that we all have a responsibility to do this. And don’t underestimate how much you can save. A 2007 survey by the Proudfoot Consulting (Guardian 22 October 2007) covering 2,500 businesses over four years and across 38 countries, demonstrated that the cost of wasted time to UK businesses is £80bn per year, equivalent to 7% of its Gross Domestic Product. The ‘worst offender’ causes of inefficiency were found to be:
- Inadequate workforce supervision (31%)
- Poor management planning (30%)
- Poor communication (18%)
- IT problems, low morale, and lack or mismatch of skills (21%)
Recently I delivered a Leadership and Management Programme within an organisation. It took place on a number of days over a period of 4 months. It was great fun and I was a little sad when it ended as I had developed some lovely relationships with many of the very keen and talented delegates.
At the end of the Programme, the delegates delivered presentations as to what they had learning and, most importantly, how it was making a difference in their workplaces. Where possible, I assisted them to convert their achievements into cash or efficiency savings.
One person explained how they had stopped staff from coming to the line managers and asking questions (unless business critical) and as an alternative the managers held ‘surgeries’ for such questions three times a day. This saved on the time of all concerned and allowed for more uninterrupted work. A by-product of this was that staff then started to sort out their own minor problems, thus saving even more time. Over the period of a year, based on the finding of the first month, they were due to make over £15,000 of efficiency savings due to the time they were saving.
One saving I have always been keen to make is through not having ‘Any Other Business’ on meeting agendas. If you have 10 people attending a meeting, and all work for £16 per hour (including on-costs), every 15 minutes of the meeting costs the organisation 2.5 hours staff time or £40. By cutting the AOB section, it means that people have to plan more effectively for what they want in the meeting, other delegates can plan for the item and the Chair can make the meeting more focussed.
And all these activities have knock-on effects that can help to develop a more mature organisational culture. The surgeries example has led to staff sorting out their own issues and therefore thinking for themselves more effectively, which will create a more Adult and self-sufficient environment. Losing the AOB means that staff start to plan more effectively, and this skill will then be transferred elsewhere. So, the increased efficiency leads to increased effectiveness.
So, as I said earlier, what are you doing to work more efficiently and effectively? Or, more pointedly, what changes will you introduce this week?
Please let me know – I’d be really interested to hear other ideas.
Paul
