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Business value added

Page history last edited by Liam James 7 months, 3 weeks ago

Business value added

 

The article describes what business value is and especially how the business value of a particular project or organization can be increased.

 


 

What is business value

 

Business value is a classic old term in economic sciences that refers to the resources and specifics of products and services that add value to a product or service.

 

BVOP broadens the contemporary meaning of the term and adds a broader, yet more specific, understanding of the idea of ​​business value. Reference: Managing business organizations and adding business value

 

Business Value-Oriented Principles Ltd creates examples of business value added to projects, processes, teams and organizations.

 

Examples of business value added

 

Organizational culture

 

Generally speaking, organizational culture is a principle of developing interactions / relationships within an organization (company) based on generally accepted norms of behavior and action within and outside the company. A key concept here is the "value system", and the "values" must be shared by every representative of the company's staff (regardless of their position in the hierarchy). The so-called. 'Core' values, in turn, manifest themselves in established practices and procedures. Their purpose is to unite the human factor (staff) with the organization so that employees feel the organizational goals as their own.

 

Human Resources

 

The HR manager must tailor the practices and interventions to the values ​​of the organization in order to achieve high business results (which is also related to the organizational culture). Organizational culture is also about relationships between managers and employees; the goal is: motivated teams, working effectively, experiencing job satisfaction. It can be said that the skillful management of Human Resources strategically determines the success of the organization's business strategy. Human resource management is known to motivate teams through bonuses (for example), while in the process of human resource development, emphasis is placed on meeting higher needs. Human resources are influenced by factors such as motivation, communication, leadership, leadership (teams), conflict resolution. Properly selected human resources are the backbone of a successful business. Particular attention should also be paid to ways of retaining proven professionals.

 

Usability, utility and value of the products.

 

Usability is a marker of how people can use a given product. Usefulness, in turn, indicates to what extent the external (positive) appearance of the product "overlaps" with the need for it (for the user). Value should be a consequence of usability and usefulness in order to fully justify the need to acquire the product (service, etc.). It could be said that psychological techniques and practices (of "manipulation", in a good sense) are helpful here.

 

Consumer and customer satisfaction. 

 

The above is related to user behavior. Satisfaction could be achieved if one knows the "main benefit" (Kotler) that the consumer is aiming for (and which he / she actually buys). Ie it would be good to advertise and offer not certain qualities of a given product, but the benefit / benefit that the customer will receive (by purchasing the product / service). So many of the potential customers are still turning into real customers. 

 

Quite a few of the satisfied customers turn into "permanent" or "regular" clients. Despite the competition, despite the even lower prices (of the same quality) offered by other companies, these customers remain "loyal" to the first company (because they trust, because there are informal contacts with company representatives, etc.). ).

 

Relationships between business and people

 

Business exists for the sake of the people, ie. society, consumers / customers. Business aims at profit, and in good practice it is not at all costs and not by all means. Processes in society "provide" guidance for the type of business for which there is "hunger"; discerning professionals are finding niches in which there is no business yet. Business culture is not the same across nations, as national culture is important. Society influences, but is also influenced by, the economic, political, environmental, business environment. 

 

Businesses must meet human needs by providing products and services in return for profit. Business strategies should be implicated in HR strategies, leading to (positive) consequences for people. The right HR strategies contribute to successful business practices and vice versa. In recent years, society's expectations have become more and more demanding, and businesses need to develop appropriate strategies to respond to them adequately. In this regard, the role of CSR, corporate social responsibility, is increasingly active. Reference: Business value in organizations and adding business value to projects and products

 

BVOP also defines the following business value topics:

 

  • Workflows
  • Employee behavior, skills and maturity
  • Reduced production processes
  • Time to reach the market
  • Innovation
  • Reducing organization and team surpluses (time, money, work)
  • Human relations
  • Total contribution.

 

Organizational culture

 

Organizational culture provokes people to be proactive, contribute, share and be aware of the business goals of the organization. The six major values ​​are known: direction, initiative, significance, responsibility, identity, independence. In turn, the organizational culture can be weak and strong, and, if strong, employee motivation and effectiveness is high (and vice versa).

 

Modernization and innovation.

 

Without innovation, business is not competitive. If you do not invest in upgrades, you run the risk of losing your business or, at best, losing results. Innovation requires: resources (ie suitable personnel, relevant equipment, knowledge and skills, resources) and the ability (ability) of the company to manage them (adequately). For the economy to work, it is necessary for the technological base of companies to be modern, innovative, with companies constantly investing in the direction of modernization and renewal.

 

People in the organization

 

People in the organization show respect for each other and work productively. Here we base ourselves on a properly implemented policy by the senior management and HR department, but also by each of the managers. The issue is also related to the organizational culture and the sharing of principles and values ​​by each of the staff (regardless of their position in the hierarchy).

 

The number of people leaving the organization

 

The number of people leaving the organization is limited to a minimum. This question is interesting, especially with regard to proven professionals. Sometimes the feeling of being undervalued and not conforming to your professional opinion (not the eg higher salary offered by a competing company) can be a reason to leave. The peaceful atmosphere, the collective spirit, the possibility of open communication, the social benefits, the individual approach, etc. are among the reasons that would keep employees in the organization (because not always higher pay guarantees teamwork and stored nerves).

 

Reduced conflicts

 

Conflicts and negative environments are minimized. This is directly related to item 4. Conflicts may be working, that is, through proper communication, lead to finding the right solution. The negative environment is a factor that is often “fueled” by personal strife and therefore more difficult to overcome.

 

The image of the organization

 

The image of the organization is increasing. With the right staff, a well-prepared management team, a visionary business strategy and financial resources, the company will grow. However, the positive image is also "supported" by factors such as customer feedback, views of counterparties and competitors, the ability to survive in a crisis, the opportunity for professional development of staff, and more.

 

Improvement of personal and professional qualities

 

Everyone in the organization is constantly improving their personal and professional skills. The environment determines self-awareness, the need and desire to grow and cultivate. Stability and prosperity companies offer this "comfort" to "each" of their employees; in general, the processes are interconnected (you are good enough to work with this company, and she is "aware" that she should strive to retain the best professionals, as well as help others in the team "Catch up" ...).

 

Removing obstacles in teams

 

Team members look for and remove obstacles without waiting for management to do so. This is one example of a high degree of good self-government. In order to be possible, the teams should be made up of proven professionals whose managers have 100% confidence in them.

 

Teamwork

 

Management and team members work together to streamline processes and accelerate development time. This point is related to the above, again. Often the situation requires the mobilization of common forces and skills, regardless of the rank of those involved in the process; it also contributes to the 'soldering' of teams and to strengthening the business as a whole.

 

Cost management

 

Business value by costa management is another example. costs are managed and planned carefully. This is accomplished by skilled business executives, supported by appropriate teams (consultants, financiers, marketing and HR specialists, etc.). The right business strategy has information on costs, including contingencies and / or costs that may already increase. Reference: How to add business value to your business organization’s projects

 

Tools and environment

 

The tools and the environment are constantly improving. It can happen if the management is understanding, listens to the opinions of team leaders (who know things in the kitchen) and has the opportunity to invest in such processes.

 

Unnecessary documents

 

Unnecessary documents, processes and communications are avoided. We rely on regulated work meetings, proper communication, open dialogue, the availability of a proven on-line work program (which does not need to be changed, but just upgraded ...).

 

Defect Management

 

The main causes of problems, defects and obstacles are analyzed, tracked and eliminated. In the presence of dialogue between different specialists, Project managers and management, this is acceptable. Moreover, if there is no such analysis, timely elimination of errors / obstacles (which may also be interpersonal in nature, for example) would not be possible.

 

Quality standards

 

Quality standards are followed and implemented without significant waste of time and resources. Standards are set to be followed and followed. Their function is to facilitate the achievement of a good result, in the right way, with minimal effort and time and resources. Each employee should be familiar with the relevant standards and be assured of their practicality.

 

Tire management

 

The fatigue is managed and teams do not spend too much time in trivial tasks. This issue is crucial, but many organizations do not focus on it. The professional “burn-in” can be discussed here, as well as the regularity of team building, as well as the rotational principle of work (where possible). Using optimal approaches to estimation in project management. Reference: Approaches to estimation in project management

 

Documentation and requirements

 

The documentation and requirements are created and maintained in an easy and convenient style so that everyone understands them easily and saves time from unnecessary discussions and misunderstandings. In relation to item 12, I would add that well-structured documentation should only be for the benefit of the teams. If there is an on-line link between departments within the organization, then communication and discussion of a term / paragraph becomes fast (and not so formal).

 

Meetings and discussions

 

Meetings and discussions do not lead to waste of time and always lead to desired results. After the workshop is over, the participants must be satisfied and able to move on safely to the next stage of their activities. The discussion should be substantive, constructive. (If it is known that the discussion will be difficult, it is advisable to have a "lead".)

 

Product Development

 

Product development focuses on the most important goals and needs. Consumer interest could "prompt" how to develop a product, what characteristics of it to refine and / or new ones to emerge, etc. This is generally achieved over time and is not necessarily tied to a higher new product price.

 

All product results, concepts and versions are validated with real users and the risk of an unwanted product is limited. Consumer feedback is important, considering, for example, their social group, age range, habitat (city, village, capital). It would be interesting to hear the opinions of people who do not like the product (what is the reason, do they use a similar product but from a competitor company, etc.).

 

Customer and Consumer Satisfaction

 

Customer and customer satisfaction is steadily increasing. Again, feedback and regular communication with customers are important. The business exists for the sake of the customers and their evaluation is crucial for the development of the product / service. In this case, it is a good idea for the company to provide (not only on holidays) modest gifts and / or vouchers to its regular customers, but also to potential new ones (they can be discovered through research, etc.).

 

Maintaining loyal relationships with partners and competitors. Strong competition keeps us awake, making us even more powerful. The athlete race is useful for both businesses and customers.

 

Inclusion of company products in presentations, television advertisements, brochures. The goal is to reach the maximum number of customers

 

 

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