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

8 November 2024

Optimisation potential: Use KIROI step 6 for your department

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Recognising and exploiting Optimisation potential is a decisive success factor for every department. The sixth step of the KIROI model in particular opens up a wide range of opportunities to sustainably increase performance. Through targeted analysis and implementation of improvements, processes can be accelerated, resources used more efficiently and synergies created within the organisation. In this article, you will learn in a practical way how you can Optimisation potential systematically in your department and utilise them profitably.

Recognising optimisation potential - a starting point for sustainable development

Potential for optimisation often arises in areas where activities are redundant, time-consuming or error-prone. Many companies report that administrative processes, for example, have been significantly improved through automation and digitalisation. For example, one sales department has optimised data management by introducing a digital CRM system, as a result of which quotation processing is faster and more targeted.

Similarly, HR departments benefit from the use of digital HR management platforms that make application and recruitment more efficient. The use of real-time data analyses makes it possible to identify and tackle bottlenecks in resource planning at an early stage. There is also enormous potential for restructuring work processes in production. An example from production illustrates how improved line organisation and the use of lean methods minimise waste and increase productivity.

These diverse use cases make it clear that recognising Optimisation potential is an ongoing process that should be organised through systematic analysis and employee involvement.

KIROI step 6: Practical realisation of the identified potentials

In the sixth step of the KIROI approach, the focus is on the targeted implementation of improvements. A methodical approach in several stages is recommended here:

  • Prioritisation of the identified potential based on cost and impact.
  • Involvement of the teams concerned through workshops and feedback rounds.
  • Introduction of suitable technologies or process changes.
  • Continuous monitoring and adjustment of measures to ensure target achievement.

In one marketing department, for example, the introduction of an automation tool for sending newsletters not only reduced the workload, but also enabled opening rates to be systematically analysed and improved. Similarly, the implementation of a digital tracking solution in a logistics department increased transparency in the supply chain, leading to faster response times in the event of disruptions.

BEST PRACTICE with one customer (name hidden due to NDA contract) In a technical department, process mapping was used to identify a recurring approval step that was slowing down the speed of the project. After targeted revision and redistribution of tasks, throughput times were significantly reduced and employee satisfaction increased.

Technological aids as support for optimisation potential

Modern technologies are essential tools for the strategic use of optimisation potential. The integration of automation software, AI-supported analysis processes or cloud-based collaboration tools enables departments to speed up processes and increase the quality of their work.

For example, one sales department has increased its planning accuracy by using predictive analytics in the sales forecast. Independently of this, digital workflows have been introduced in financial accounting, which have reduced manual sources of error and significantly shortened approval processes. Chatbots and automated ticket systems also make it easier to respond quickly to concerns in customer service, resulting in greater customer satisfaction.

Employee engagement as the key to realising potential

A key lever for exploiting optimisation potential is the active involvement of employees. Employees often provide valuable input, as they know processes from their own experience and can make suggestions for improvement.

For example, by regularly involving different teams in feedback rounds, an IT department adapted the support process in such a way that the processing time for enquiries was almost halved. In a production department, the establishment of a Kaizen team led not only to individual processes being improved, but also to a continuous improvement culture being established.

My analysis

The systematic recognition and utilisation of Optimisation potential represents a valuable opportunity to make departments more efficient and competitive. KIROI Step 6 offers a structured framework for implementing recognised potential in a targeted manner. Practical examples from the areas of sales, production and service show the positive effects that even small changes can have. The combination of technological support and the involvement of employees creates sustainable improvements. This not only saves costs, but also increases the satisfaction of those involved.

Further links from the text above:

Optimisation potential - awork
Optimising your own department - how does that work?
Optimisation potential - definition and methods
Examples of process optimisation - digiloth
Optimisation potential - REFA Lexicon

For more information and if you have any questions, please contact Contact us or read more blog posts on the topic Artificial intelligence here.

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#compliance #DigitalisationSports club #Ethical guidelines #KIROI model #Employee participation #Sustainability #Optimisation potential #Process optimisation 1TP5Corporate culture #Chains of responsibility

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