Insights With Trent Munday

Your Systems Can Break At Minimal Capacity Too #1432

Informações:

Synopsis

It's important for every business to understand its breaking point. How far can it go before its systems and process start to crack? Because when that happens, a business starts to fail to deliver on its promise. Most companies tend to approach this from an angle of maximum capacity. How many widgets can we make before the machines burn out? How much revenue can generate with our current sales force? How many customers can we handle in our restaurant for dinner service? But your systems and processes can break at minimal capacity levels too. If you're only running at 35% capacity, chances are you'll have less staff working. Even though that staffing level could be ok based on the demand, it may also mean you have less flexibility if something goes wrong - which it often does. Thus, it's important to consider a minimal capacity scenario when assessing your breaking point. #systemsandprocesses #breakingpoint #scenarioplanning