A credit card company innovates faster
A large credit card company found itself too complex to be nimble. When trying to launch new products, their size simply got in the way and it took them too long to get anything done.
They decided they needed to implement optimisation plans across the company. And they knew they needed a vision to do it right.
Q: How does a large company optimise its processes to become more responsive?
A: We showed them how the Component Business Model could help them optimise business processes and capabilities across the organisation.
To start, they identified areas in which they held leadership positions and we already efficient. Then they identified areas where they were behind, where they needed to focus their optimisation efforts.
But each of those areas and business units launched its own optimisation plan, it would still not take into account the larger enterprise. The overall complexity would remain, even if individual areas realised more efficiency. The high cost of integrating these individual areas would negate any efficiencies realised.
How the Component Business Model helped The company needed to look at itself as a whole, and approach their optimisation plans in a new way. We used the Component Business Model to rethink how they might solve their problem across the entire enterprise.
We looked at how activities function, taking into account the people, processes and technology needed for each function. From there we began an optimisation process based on component blocks, regardless of what line of business or process any function was in.
Results The result was that the entire organisation experienced an optimisation process that took into account the enterprise as a whole. Now, with this new, fully optimised and integrated organisation, the company could see real results from streamlining its complexity. They shortened the time it took to get new products to market. They cut the costs involved in getting products launched. And their improved efficiencies enabled them to have greater capacity for new product launches, now and in the future.
