Continuous Improvement in the Workplace: Top Tips

The desire to improve business operations and processes is universal. The process of continuous improvement in the workplace helps to achieve better, more efficient outcomes. 

We’re going to look at the importance of continuous improvement in the workplace and how to initiate the continuous improvement process.

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What is Continuous Improvement?

Continuous improvement is a strategy by which businesses constantly review their processes and practices in an effort to make them more effective and reduce waste. 

Initially, the notion of continuous improvement got its start within the manufacturing industry, whereby companies were looking to streamline processes. Nowadays, the methodologies and practices are applied across all industries. 

The great thing about practicing continuous improvement is that it becomes a part of your company culture. As a result, your team members and stakeholders are more inclined to be proactive about making incremental improvements to better the business overall. 

What are the Benefits of Continuous Improvement?

Continuous improvement in the workplace serves many advantages, and not just for the business owner. Ultimately, when processes are more smooth and efficient, stakeholders, employees, and customers alike get to reap the benefits, which include:

1. Increased Efficiency

Streamlined workflows, with less waste and bottlenecks, translates to increased efficiency and boosted productivity. 

2. Enhanced Employee Engagement

Along with processes, continuous improvement also includes people and relationships. Employees get to experience stronger collaboration and communication, which makes for a happier and more engaged workforce. 

3. Less Waste

Removing defects and redundancies eliminates waste, which can also work to decrease costs and better allocate resources. 

4. Improved Innovation

By optimizing processes, your business can stay ahead of the competition and effectively implement new and innovative ideas with agility. 

What are the Types of Continuous Process Improvement?

Within any organization, there are two main types of continuous process improvement to consider, namely: 

1. Incremental Continuous Improvement

As the name hints, incremental continuous improvement is focused on making small adjustments. 

For example, when an issue arises, you’d want to locate the source and immediately find a solution. Incremental changes may not feel like a lot when you do them, but over time and continuously, they can have a large, positive effect on the business. 

Small changes also tend to be simpler to implement than widespread adjustments, so it’s a great way to improve while limiting feelings of overwhelm. 

2. Breakthrough Continuous Improvement

Breakthrough continuous improvement, on the other hand, is the act of making sweeping and large changes to a business process. Given the nature of the change, it’s best to include the entire team and review the process together before implementing adjustments. 

While breakthrough continuous improvement changes will take more time to implement, they are likely to be more noticeable. 

What are Continuous Improvement Examples?

No matter what continuous improvement examples we will look at, it’s important to note that there’s one function that affects all others within any type of business, and that’s your finance function. 

That’s why implementing finance automation solutions can have such a sweeping, positive effect on organizations as a whole because it touches every other aspect of a business. 

That being said, let’s check on some examples:

1. Process Optimization

A popular type of continuous improvement is to optimize a business process. A good way to get started is to use process mapping, or to visualize the process to identify areas of weakness. Then, it’s time to come up with potential solutions and test out their effectiveness. 

This is particularly important in finance where finance automation tools can help remove manual processes, reducing costly errors, saving time, and allowing greater insights for business decisions. 

2. Staff Training

Perhaps your team is so used to working the way that they do that staff training and development gets overlooked. It’s always a good idea to have a staff training refresh to ensure everyone is aligned with how to perform their duties. 

How to Create Continuous Improvement in the Workplace?

Businesses that want to instill a sense of continuous improvement in the workplace can do so by supporting certain practices on a day-to-day basis:

1. Be Inclusive

The goal is to improve organization-wide, which means that it’s best to include everyone in the process. For changes to take shape and actually work, it will require buy-in and for the entire workforce to be on the same page. 

That’s why it helps to involve everyone from the get go, even in the brainstorming and identification phase. 

2. Promote Encouragement

People perform better when they are recognized for their contributions. By promoting encouragement and inspiration, you can help to reduce fear and backlash on the health of your employees. With adequate support, employees will be able to reach their own personal and professional goals. 

3. Review Progress

To ensure that continuous improvement efforts are moving in the right direction, they must be measured and overseen. Without constant reviews, who will know what’s working versus what needs extra attention?

 It’s best to utilize metrics and analytics rather than guess about outcomes. To do so, you can leverage the aid of software solutions that provide analytics and reports about your business’ functions. 

How to Improve Your Workplace with Continuous Improvement?

Improving your workplace with continuous improvement is achievable for anyone who puts their mind to it. 

1. Solicit Feedback

Asking for regular feedback is one of the best ways to learn and improve. By designing a work environment that is accepting and supportive of feedback, you can open the door to new ideas. 

Everyone will also feel comfortable bringing up any issues or sharing potential initiatives for continuous improvement. Active listening is required here, which means that you take notes, hear what others have to say, and take action thereafter. 

2. Choose Manageable Improvements

It’s great to have big goals and desires for sweeping change, but starting too big can end up being demoralizing if the outcome isn’t what you had hoped for. That’s why it’s recommended to choose manageable and small improvements. 

By doing so, you can set yourself up for success and also work off the momentum of the positive outcomes that you get to experience. It’s also important to set measurable goals that are time-bound, so that you can assess the adjustments that have been made. 

How to Measure the Effectiveness of Continuous Improvement in the Workplace?

One of the most common questions when implementing continuous improvement in the workplace is how to know if it’s working or not. 

Quantitative and qualitative metrics are key. KPIs, or key performance indicators, provide evidence. With the right tools in place, you can elicit these metrics with ease. 

From a qualitative standpoint, it will involve the aid of your team yet again, as well as customers potentially. You can gain information from engagement surveys and employee feedback sessions, for example. 

How to Maintain Workforce Interest in Continuous Improvement?

Since continuous improvement is an ongoing effort, employees may be interested from the start and then lose interest overtime. To combat the fade out, it can help to:

• Provide ongoing training 
• Solicit feedback 
• Offer rewards and recognition 
• Engage employees throughout the process 

When employees feel like they have ownership in the process and outcome, they are more likely to remain engaged and enthusiastic. 

What are the Challenges of Continuous Improvement in the Workplace?

Any type of change can spark up some challenges sometimes. It’s understandable, but by being prepared for what you can expect, you may be able to nip some hurdles in the bud. 

• Resistance: For some, the idea of change can be scary. Many employees may resist adopting new ways of doing the same thing, especially when new technology is involved. The best way to reduce the chance of resistance is to clearly communicate the benefits and reasons for the change in the first place. 

• Training: If you want everyone to adopt new ways of doing business, it’s paramount they receive proper training and support. Any lack of resources or time could cause tension. 

What are the Stages of Continuous Improvement?

The stages of continuous improvement are easy to remember if you can remember this acronym: PDCA. 

PDCA stands for:

1. Plan

Firstly, you must identify the opportunity for improvement. It’s possible to do so by brainstorming together, reviewing analytics, and/or using process mapping. 

2. Do

After you’ve decided the point of focus, it’s time to come up with some solutions. Before you enact them on a broad scale, it’s best to test them on a smaller scale. 

3. Check

Checking the outcome of the solutions is next. This way, you can make sure something is working before spending more time, effort, and resources towards its execution. 

4. Act

Once you’ve found the fitting solution and improvement, then you can act by deploying it organization-wide. 

What are Continuous Improvement Methods?

With the framework of continuous improvement in mind, it’s good to know the methods by which you can ensure its success. There are several to choose from, so we are going to share three of the most known and practiced: 

1. The Lean Method

Initially developed within the manufacturing industry, the Lean methodology provides a framework that is focused on the elimination of waste. To accomplish this, businesses can remove activities that don’t add value and optimize processes. 

2. Six Sigma

Six Sigma is centered around the removal of defects within a process. The goal is to perfect results such that there’s only a defect rate of 3.4 errors per million opportunities. 

3. Total Quality Management (TCM)

Total Quality Management, as you may have guessed, is about the quality of a product or service, with the desire to meet and even exceed customer expectations. 

What are the Steps for Continuous Improvement?

In order to achieve continuous improvement, consider the blueprint outlined below that showcases each step to take:

• Assess Your Current State: Begin by reviewing your current processes. Process mapping is a useful tool at this stage. 
• Identify Any Issues: Make note of where the process hits snags. Ask questions like: what happened, where, when, and what were the consequences? 
• Devise a Solution: Create a plan to remedy the issue. This will consist of brainstorming, and it’s best to get everyone involved to see the hurdle from multiple perspectives. 
• Implement a Solution: After choosing the best course of action, it’s time to put it to the test by implementing it. 
• Evaluate the Results: Did the solution achieve the desired outcome? If so, move forward with it. If not, try again. 
• Standardize the Process: With a successful solution in place, make it the standard by clearly defining and communicating the updated process. 

Wrap Up

Continuous improvement in the workplace is a strategy, mindset, and culture that’s worthwhile to adopt. If you’re ever stuck questioning which department would serve as a good place to start your improvements, consider beginning with finance. 

Since finance and accounting impact the overall business, decision making, and of course, the bottom line, it’s the best place to get started for making the most impactful positive results. With the addition of finance automation software continuous improvement can be seamless.