We often see organizations measuring only the things that are tied to a dollar amount but not the impact of ALL improvements. Let’s take a look at five ways your business can measure the effects of continuous improvement.
1. Product Quality
The quality of your products and services is a huge part of being a successful business. To measure this your business can keep track of the number of products returned, complaints, requests for replacements, etc. Improving product quality is how your business can increase sales and create customer loyalty.
2. Time Savings
A more efficient process that makes it possible for people or resources to do more in a shorter amount of time is a successful improvement. You can measure how much time you are saving by looking at the increased output of any part of a process, given the same amount of time in the day or week. While not all time saving will result directly in a revenue increase, it can free up time for employees so they can do other work, saving your business money in the long run.
The safety of every customer, patient, employee, etc. should always be a high priority for every business. Often, safety concerns are the reason businesses implement a continuous improvement program. Although you can’t simply measure the financial impact of things like “avoided lawsuits” or “would-be missed days of work,” you can still count the safety improvements made and report that number. You can also measure the reduction of costs like liability insurance or workers’ compensation.
4. Customer Satisfaction
It is essential to measure how improvements impact customers. There are several ways you can measure customer satisfaction – you can do anything from surveys and customer ratings on Google to focus groups.
5. Employee Satisfaction
Making sure your employees feel valued and are satisfied with what they do is essential to any business. You can find out how your employees are feeling by doing quarterly or annual employee surveys. Employee surveys are also a great way to find out what specific improvements you can make to increase employee satisfaction.