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AIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

20 February 2025

Mastering department optimisation: Step 6 to top ideas with KIROI

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Mastering department optimisation: Step 6 to top ideas with KIROI


Systematic departmental optimisation is a key to sustainable corporate success today. Many organisations struggle with inefficiencies in their departments and do not know how to reduce them in a targeted manner. This is precisely where the innovative KIROI Step 6 method comes in. It offers a structured way to streamline work processes and at the same time unleash the creativity of your teams. Departmental optimisation goes far beyond simple cost savings. It's about creating space for innovation and involving your employees as active agents of change.[1] With the right methods and a clear strategy, you can transform your departments.

Why departmental optimisation is indispensable today

Companies are under constant pressure to become faster and more efficient. The demands of the market are constantly growing. This is why departmental optimisation is increasingly becoming a strategic necessity.[2] If you do not actively work on your processes, gaps will arise. These gaps cost time, money and motivation.

In the financial sector, for example, unoptimised processing of loan applications leads to delays. Customers switch to the competition. In logistics, inefficient warehouse management results in unnecessary costs. In the healthcare sector, poorly organised administrative processes cause frustration among patients and staff.[3] Departmental optimisation addresses precisely these challenges.

But it's not just about efficiency gains. Modern departmental optimisation also opens up opportunities for real innovation. Keeping your processes lean creates space for creativity. Your teams can concentrate on value-adding activities. This leads to better results and more satisfied employees[1].

The proven methods of department optimisation

Before you start working with KIROI Step 6, you should be familiar with the classic methods of departmental optimisation[2], which form the basis for successful optimisation projects.

Lean management and continuous improvement

Lean management is a classic method of departmental optimisation and is aimed at streamlining. The method reduces waste and maximises efficiency.[2] A manufacturing company uses lean methods to reduce waiting times in production. Optimising the material flow significantly reduces throughput times.

Continuous improvement (CIP) works according to similar principles. It emphasises small, constant improvements instead of big leaps.[2] A logistics company uses CIP to make small optimisations on a daily basis. Employees regularly contribute their ideas. This results in a massive increase in efficiency over the course of a year.

In an IT service centre, departmental optimisation through CIP led to a 35% reduction in average processing time. The employees recognised inefficiencies during their work and suggested improvements.

Six Sigma for data-supported departmental optimisation

Six Sigma is a method that utilises data and statistics[9] and focuses on reducing errors and deviations. A plastics manufacturer uses Six Sigma to reduce reject rates in the injection moulding process. Systematic measurements and analyses are used to identify sources of error[13].

In the banking sector, Six Sigma supports departmental optimisation by standardising administrative processes. Credit applications are processed faster and without errors. A pharmaceutical company uses Six Sigma to optimise quality control processes. The number of faulty batches is measurably reduced.

Six Sigma follows the DMAIC cycle: Define, Measure, Analyse, Improve, Control[9], which enables structured and traceable departmental optimisation.

Analytical methods of departmental optimisation

The Ishikawa diagram helps to identify the causes of problems.[7] A sales team uses this method to find out why customer orders are delayed. The analysis reveals several factors: unclear communication, lack of resources and technical bottlenecks. This provides a clear overview for departmental optimisation.

The morphological box combines different attributes and their characteristics.[3] A design studio uses this method to generate new solutions. Systematic combinations give rise to innovative ideas that would otherwise have been overlooked.

The 5 Why method asks „Why“ five times to get to the actual cause.[2] A customer service centre uses this to find out why complaints are increasing. After repeated enquiries, it becomes clear that the training is inadequate. This becomes the starting point for departmental optimisation.

KIROI Step 6 as a catalyst for innovative departmental optimisation

KIROI Step 6 focuses on idea generation and evaluation[4], which is the core of modern departmental optimisation that combines efficiency with innovation. While traditional methods analyse and optimise processes, KIROI Step 6 goes one step further[6].

The method utilises structured creativity techniques and analytical tools at the same time. This results in ideas that are not only theoretically meaningful, but also practically realisable[4], which is the decisive difference to pure brainstorming without structure.

How KIROI Step 6 supports departmental optimisation

KIROI Step 6 offers a proven concept for systematic idea generation[4] The process is divided into several phases. Firstly, objectives are formulated openly. The team then generates ideas without restrictions. This is followed by evaluation using methods such as the morphological box or Ishikawa diagram[4].

An IT service provider establishes agile teams with the help of KIROI Step 6. These teams work on new solutions in short feedback cycles. Departmental optimisation thus becomes a continuous process instead of a one-off project[4].

A logistics company uses KIROI Step 6 together with lean methods. The result: waiting times are reduced and at the same time creative suggestions are made by employees. The combination is powerful[4].

A manufacturing company relies on CIP together with KIROI Step 6. Employees contribute their suggestions for improvement and help with the systematic evaluation. This strengthens the commitment to departmental optimisation.

BEST PRACTICE with a customer (name hidden due to NDA contract): One company introduced KIROI Step 6 in three departments simultaneously. First, the goals of departmental optimisation were defined together. Then interdisciplinary teams systematically generated ideas. The most promising ones were filtered out using the morphological box. The result was not only 15 specific improvement measures, but also a culture of continuous innovation. Employee satisfaction increased by 28 per cent.

Practical steps for implementing departmental optimisation

The implementation of departmental optimisation follows proven phases[1]. This structure helps to maintain an overview and achieve measurable results.

Phase 1: Analysis and target definition

First, thoroughly analyse the current situation. Where are delays occurring? Where is time wasted? Where are error rates high?[1] A sales team documents how long various tasks take. This shows that the preparation of quotations takes too long.

Then define clear goals for departmental optimisation. One realistic goal could be: „Create quotations in 24 hours instead of 48 hours.“ Another: „Reduce the error rate from 8 per cent to 2 per cent.“[1] A finance team defines the goal as: „Speed up invoice verification by 30 per cent.“

The project organisation is also clarified in this phase. Who is responsible? What resources are required? How will communication take place?[5] Clear project management is crucial for successful departmental optimisation.

Phase 2: Brainstorming with KIROI Step 6

Now KIROI step 6 comes into play. Moderated brainstorming sessions bring the team together.[4] Objectives are formulated openly. Every idea is welcome, no matter how unconventional it may seem.

A production team collects 50 ideas for improving the shift handover. A customer service centre generates 30 suggestions for reducing waiting times. An HR team develops 25 ideas to speed up recruitment processes.

This is followed by the evaluation. Which ideas are feasible? Which ones bring the greatest benefit?[4] The morphological box helps here: Each idea is evaluated according to criteria such as cost, benefit and effort. This creates priorities.

A logistics company identifies three top ideas: (1) automating labelling, (2) redesigning the warehouse layout, (3) optimising route planning. These are now being pursued further.

Phase 3: Implementation and control

The most promising ideas are now being implemented[3] on a test basis to minimise risks. A customer service centre tests a new telephony software with one shift. If it works, it is rolled out step by step.

The measurement is crucial. Has the processing time been reduced? Has the error rate fallen? Have costs fallen?[3] A finance team measures the improvements on a weekly basis. This quickly shows whether a measure is working.

One production company documents all results. The reject rate fell from 5.2 per cent to 2.1 per cent. The throughput time was reduced by 23 per cent. These measurable results make the departmental optimisation credible.

If the test was successful, the new process becomes the standard.[3] However, departmental optimisation does not end there. It becomes routine: regular reviews, small adjustments, continuous learning.

Success factors for sustainable department optimisation

Many optimisation projects fail not because of poor methods, but because of a lack of involvement of people. This is why success factors are often human, not technical.

Interdisciplinary teams are key.[4] A pure IT team will develop different ideas than a mixed team with sales, production and IT. The diversity of perspectives leads to better solutions. A hospital brings together doctors, nurses, administration and patients. This results in ideas that really work.

Transparent communication is vital. Employees need to understand why departmental optimisation is taking place[5] What are the reasons? How do they benefit? One industrial company explains: „We optimise in order to remain competitive. Every workplace benefits from this.“ This reduces resistance.

Management must be behind the project. Without management support, departmental optimisation becomes a Sisyphean task. Resources are lacking. There is no time. One sales manager deliberately reserves 10 per cent of working time for improvement projects. This shows that it is important.

Small successes should be made visible. When the first implemented idea leads to measurable improvements, this motivates everyone. A logistics company

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#3Printing #Additive manufacturing #Cost savings #Sustainability #Innovation #Department optimisation #BigData #compliance #Data intelligence #Ethical guidelines #Idea generation 1TP5InnovationThroughMindfulness #kiroi #artificial intelligence #LeanManagement #Sustainability #SmartData 1TP5Corporate culture #Chains of responsibility

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