Understanding Business Systemisation

September 10, 2019 | Posted by David Preston 

Systemisation means to streamline your business and business processes. It is an amazing way to implement favourable changes within your business model and structure so as to ensure improvement in the overall productivity and performance. The positive impacts of Systemisation are felt across all levels from top to bottom tier of management and from suppliers to end-consumers. It not only minimises occurrences of problems by eliminating salient obstacles in achieving short-term and long-term business targets. However, streamlining your business is a time-consuming, expensive, and difficult to accomplish process if you don’t already know how to accomplish it appropriately and effectively. Here is all you need to know about accomplishing systemisation seamlessly.

How To Accomplish Business Systemisation:

Systemisation is a step-by-step process, and each step has its importance. The following section will describe all the steps that lead to apt and appropriate accomplishment of systemisation.

1. Assessing Current Business Processes

It is imperative to understand what the business is all about and obtain information/knowledge about all the stakeholders and people involved in the business. The current systems will be assessed through CQS to gather information about how information is relayed within the business (i-e either verbally, documented or digital communication). The assessment will be carried out on a company-to-company and industry-to-industry basis whereas businesses can be categorised into two different types- product markers and service providers. Although both types vary considerably but there are some common processes that are part of every business and every organisation tends to focus on all or some of these processes. These include:

• Supply procurement
• Research on products/services
• Product manufacturing
• Customer identification
• Marketing of product/services
• Customer approaching the company or vice versa
• Value delivering/distribution to customers
• Obtaining customer feedback
• Responding to complaints/suggestions/queries from customers

The next step commences after CQS identifies the areas of business that need more focus.

2. Division Of Sub Processes

Experts opine that whether it is personal life or professional, multiple small targets are easier to achieve than a big one because it makes achieving goals easier and keeps the business on track, ensures optimal motivation among workers and offers continual sense of achievement. Planning, monitoring, and controlling one big target/goal/objective would not be feasible as it would be resource consuming, time consuming, and somewhat frustrating as well. Every business process is critical for its success; therefore, it is not favourable to neglect any minor/major aspect associated with it. Hence, the concept of ‘span of control’ is part of every organisational structure. CQS can determine staff roles and can assign key functions, responsibilities/duties, and performance measures to promote accountability. This is followed by division of tasks among employees and sharing workload and risks to help employees perform their job with much more dedication and peace of mind. By dividing a single business process into various sub-processes and workers into different teams, systemisation can be achieved.

3. Converting Latent Knowledge Into Explicit Knowledge

Business is more than a profit-generating structure; it is an excellent learning source and each stage of its development offers valuable information and knowledge. Therefore, all kinds of good and bad situations/experiences that the employer and employees go through are important because when there are problems you will strive to think for probable solutions. In this regard, you will have two options, that is, either refer to previous strategies that turned out to be successful in a similar situation or assess your competitors’ strategies adopted to counter similar situation. In case the problem is unique, you need to think of a new plan/strategy. Nevertheless, any knowledge is important as it saves time, energy and money and sometimes you may get the answers of all your problems through it. Knowledge is any management-oriented business’s key factor and an intellectual asset that must be guarded carefully.

4. Creation Of Sops (Standard Operating Procedures)

SOPs are vital to ensure systemisation within an organisation. Proactive organisations always document their business processes to achieve consistency. There are two kinds of quality namely high quality and consistent quality, and an SOP is important to guarantee consistent quality. Repeat performance, over time, can generate certain loopholes or errors and resolving them can lead to making the process high quality. A CQS will document all your SOPs into a thorough, easy-to-access manual to help in increasing employee productivity and efficiency. There are certain characteristics of an SOP, which include:

• Incorporation of Technology: a business’s success depends upon its SOPs; therefore, it shouldn’t be devised hurriedly. An SOP should be created using CQS as it will be cost-effective and will minimise efforts at the employees’ part while ensure procedural efficiency and effectiveness.
• Research: Whatever CQS documents should be supported by research to ensure authenticity of the information. Internal employees can review the initial draft and give their input to improve processes in terms of ease, resource usage, quality, and effectiveness.
• Continuous Improvement: Once technological incorporation and research is done, you need to monitor the SOPs continuously to ensure that these are in accordance with the industry standards. This may even help in excelling at industry standards by incorporation of better strategies/ideas but the key is to assess the processes regularly to identify and eradicate any underlying loopholes timely.

5. Monitoring/Assessing Implementation:

No matter how flawless and viable a devised plan is, all your efforts will be wasted if it fails at implementation stage. A system’s strength, reliability, and effectiveness can be judged only if it is successfully implemented. Therefore, you must ensure that nothing is taken for granted by you or your team at this stage.

6. Policy Renewal:

The need to renew policies will arise eventually because nowadays, business environment is highly dynamic in nature and whoever doesn’t accept change can face extinction. Hence, you shouldn’t assume that all your processes are perfect at any given point and should renew the policies as long as the business exists. This can be achieved through CQS, which will update your policies regularly according to the socio-economic, industrial, political, and legal requirements. Long-term survival of your business can only be achieved through keeping it up-to-date to keep the company in a systematic mode and encouraging a resistant culture within the organisation.

Benefits of Systemisation:

There are many benefits of systemisation, which include:

• It eliminates the element of uncertainty because the entire workforce has a distinct set of skills, knowledge, and experiences, but this can only help them deal with uncertainty in a limited way. Conversely, CQS encourages systemisation and develops SOPs using employee experiences both within and outside the organisation to obtain collective knowledge. Collective knowledge minimises the scope of uncertainty.
• Systemisation can lead to reducing the rate of resource consumption. When businesses get numerous options, business personnel may adopt trial-and-error based methods. Such methods are resource consuming. But, CQS helps employees in adopting the best possible strategies/techniques to complete certain tasks without consuming resources beyond their recommended level.
• Systemised workplaces are more productive than non-systemised ones since workers don’t need to process information manually and decision-making is also substantially simplified. Hence, more work is finished in less time.
• Employee burden is considerably reduced through systemisation and they feel less pressured, which leads to increasing their efficiency level and helps them feel higher sense of achievement and motivation.
• Enhanced customer satisfaction is yet another benefit of systemisation. Implementing SOPs is important in ensuring higher customer satisfaction. Customers are key stakeholders in any business and all the operations/strategies/processes are directed towards achieving customer satisfaction, which can be easily ensured through systemisation.

Conclusion:

Systemisation is necessary in the current, highly competitive business environment. It helps entrepreneurs and organisations streamline processes, make complex tasks simplified, and ensure maximum productivity, efficiency, job satisfaction, and worker motivation. Organisations that do not systemise timely have to deal with day-to-day problems on a regular basis, which proves to be detrimental for the success and stability of the company. It happens because the focus is shifted from achieving the long-term goals of the business to resolving the minor issues that could easily be prevented through systemisation. This may lead to affecting the credibility of the company in the industry and market, which would only help your competitors and they will become the beneficiaries of your ignorance to systemisation and start giving you tough time. You may even end up withdrawing the business altogether, such is the impact of systemisation on a business’s stability and survival.

On the other hand, if you have implemented SOPs and procedures across the organisation, you can easily prevent your competitors from becoming a greater threat to your business’s success. You can even outshine your rivals simply by incorporating technologically advanced systems and designing SOPs to enhance efficiency at the workplace. Systemisation is ideal for not only small but medium and large sized businesses alike. It basically informs about which area needs improvement and which should be given priority through streamlining all the processes of the business. The primary goal is to ensure that every process runs smoothly, and profitability and customer satisfaction is guaranteed. It is like setting your business on auto-pilot mode. CQS is the answer to all your business related issues, so why waste any more time? Put the systems to work through CQS today.