Efficiency measures resource use in business, maximizing output while minimizing waste, optimizing workflow, and analyzing output-input ratio.

Understanding Process Efficiency

Boosted Productivity -

Benefits of Efficient Processes

Eliminate steps, focus on value, increasing output.

Reduced Costs -

Minimize waste, errors, reinvest in growth or cut prices.

Enhanced Satisfaction -

Faster delivery, higher quality, fewer errors, happier customers.

Competitive Edge -

Ongoing optimization for sustainable advantage over competitors

Types of  Process Efficiency

Process Efficiency -

Compare output to inputs, identify areas for improvement.

Labour Productivity -

Output per labor unit, optimize workforce efficiency.

Throughput Rate -

Output rate in production, balancing speed and quality.

Resource Optimization -

Minimize waste, maximize resource utilization for cost reduction.

Common Causes of Inefficient Processes

Lack of skills -

Lack of training or skills gap hampers process efficiency, causing errors and resource wastage.

Poor Documentation -

Unclear process documentation causes confusion, miscommunication, and inefficiencies in execution.

Shadow Processes -

Gaps in bureaucracy lead to informal "shadow processes," causing inefficiencies and risks.

Lack of Common Terminology

Inconsistent terms hinder efficiency. Shared vocabulary aids collaboration.