Strategy squared

Value stream mapping is a key tool used within lean improvement programs - although the activity usually utilizes paper and pencil to construct the maps there are various software tools available to assist in the activity - below you’ll find a list of some of the tools available (with links to thier homepages). Think we’ve missed any? Feel free to add your suggestions in the comments section below.

VSM Software List

EVSM - Featuring “drag & drop” value stream mapping, analysis and management capabilities. Includes functionality to draw the value stream map whilst conducting detailed analysis of the findings.

Leanview - Fully integrated lean process design solution developed to help businesses of all types and sizes cost-effectively design, evaluate and implement lean processes for improved operational and financial performance.

SigmaFlow - provides lean analysis along with multi-level value stream maps to do what-if improvement scorecarding, determine effective cycle times and more.

Breezetree - Many business process modeling tools let you layout your process them dump the data to Excel for analysis. FlowBreeze VSM will cut out that middle step, automating the process in Excel.

Igrafx - iGrafx® software is the perfect solution for converting maps created by ‘walking the floor’ into electronic format for easy sharing, archival and management. iGrafx offers the leading process visualization and modeling tool to help organizations achieve business process excellence. With state-of-the-art diagramming capabilities, Lean professionals can easily create Value Stream Maps; pick charts, SIPOC diagrams, and more.

Comments(0)

Undoubtedly one of the most important aspects of modern business is effecient and effective processes. As a result process mapping has become one of the defacto tools of office life.

Surprisingly there is a broad variety of process mapping techniques and tools that can be drawn on - all with differing techniques and benefits.

This page will house an evolving list of Process mapping resources available on the www, ranging from traditioanl activity mapping through to value stream mapping and flow process modelling techniques.

Techniques

Value stream mapping - Resources, tools and techniques on Value Stream Mapping.
Process mapping tutorials - various tutorials in Process Mapping
Deployment Flowcharts - Using swimlanes to get the best from process mapping

Tools

Homepage for MS Visio - Process mapping software

Comments(0)

While it may come as little surprise UK supermarkets look set to go under the microscope for reported tactics against thier suppliers. The UK’s sundaytimes reported in August 2007 that supermarket suppliers were suffering financially as a result of pricing practices and disengagement strategy.

A recent survey by Grant Thornton found that most suppliers believed that supermarkets weilded too much power and worryingly 83% stated that an increase in insolvency was likely and that pricing pressures from these large buying organizations was key.

While this is unsurprising, the stickier challenge is just what to do about it. Many small shops face increasing competition from major stores with local “cornershop” style outlets (Tesco’s Extra stores for example) this leaves the smaller local retailer unable to compete on price and on the slippery slope of losing customers.

One option is formal sanctions against the supermarkets, but it appears unlikely that a head of steam will be built up by the supplier community as to an extent they will be biting the hand that feeds them and many fear retaliatory moves.

While this battle rumbles on - what of the consumer. While the significant buying power of larger organizations helps lower price - the lack of diversity and “community” touch that local small shops bring is significant and as the supermarket landscape becomes homogenized by the large corporations expect some “voting with feet” from joe public.

Comments(2)

It’s somewhat surprising these days in the world where business planning strategy has become such an important facet of everyday business life that IT tends to get such a raw deal when it comes to planning. While Information Systems (or IS) strategy is nothing new - many organizations claim to have a IS strategy, whilst failing to ensure that it is aligned with the overall business strategy.

A common failure is that typically such strategies require ownership and initiation by the senior board, however,often the production of the IS strategy becomes sidelined and fails to link in with overall business targets and critical success factors with the production of the strategy being delegated to a suitable departmental manager.

A successful IS strategy is not one that is simply documented - but one that describes deliverables and manages risk whilst delivering benefit to the organization. This usually requires a holistic view of an organization that simply can’t be achieved from a departmental level.

When it comes to contents, there is no cast iron rule as to what constitutes an Information systems strategy, however there are a number of areas that are usually considered - these include:

Business plan drivers
What elements of the Business Strategy require support from the IT Strategy. How does the IS strategy ensure compliance with the business strategy.

Scope/Targets
Often IS strategies become intrinsically linked with improvement projects - these may be to improve efficiency, competitiveness, customer satisfaction for example - the strategy document should clearly outline the scope that the deliverables/targets will cover.

Governance
IS Strategies usually define a set of rules that the business will operate within, what KPI’s and CSF (Critical success factors) are important to satisfactory delivery.

Technology
Setting the standard and type of technology that will be used in the enterprise - this often forms a rationalization project to consolidate certain activity onto a standard technology toolset (e.g. database type).

People
The strategy will also often cover people management including standards and development, training, succession planning

Costs
The strategy will endeavor to set a cost for the delivery of the targets - this may often be in the form of a business case or cost justification.

IS strategies usually requires a mandate - this usually necessitates sign off and ownership by a suitable accountable executive (perhaps a CIO). The strategy should be reviewed and monitored routinely to report against deliverables and ensure that the strategy is still suitable.

There are also typically a number of challenges associated with the development of an IS strategy these are:

How to define and measure tangible benefits
Lack of understanding of senior executives
Political conflicts within an organization
Existing IT investment which may not meet requirements.
High costs
Internal Resistance to change

Comments(0)

2007 has been a challenging year for BA. The airline was hit with a fine of around £266m (or around $500m) for colluding with competitors over a fuel surcharge levied at it’s passengers. In other terms BA was caught price-fixing. The fine was the largest ever fine by the UK’s Office of Fair-trading, this was then followed by a fine by the American Department of Justice.

So what does this mean for the consumer? Well for starters where prices are higher than they should be – where there is proof of cartels - legislation is in favor of the consumer. Whilst it was not a class action that bought about the fine, BA judged their consumers incorrectly and suffered as a consequence

So does this show that consumers matter? Well partly – the financial markets greeted the results with barely a whisper and BA executives greeted the news with equal disdain but the very fact that a fine was issued shows protection of the consumer is at the heart of industry.

How BA’s trade will suffer as a result of the fines remain to be seen – there is also the small issue of a possible class action suite to recover passenger costs. Will trade swing to their competitors? Maybe – Willie Walsh – BA’s chairman remains robust challenging the overall impact on their consumers but in the cut throat competitive nature of the airline industry the news will undoubtedly have some impact - even if only from a marketing perspective.

Interestingly enough another business strategy can be learned from this escapade. Virgin Atlantic gained immunity by going to the authorities first. Using the rule Virgin gained the upper hand and whilst they didn’t escape the claws of the press completely scott free Virgin had won the battle of the headlines in that they were all targeted at BA. The lesson here? If you’ve got something to say – say it before your competitors!

Comments(0)