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DESIGN ∙ TRANSFORM ∙ RUNDESIGN ∙ TRANSFORM ∙ RUN

Visual Management Boards in Finance function

Almas Khan

26/11/15

DESIGN • TRANSFORM • RUN 2© 2014 Copyright Genpact. All Rights Reserved.

1. How is application of Operational Excellence different in Finance

2. Different constituents of a VMB

3. Key enablers for a successful VMB implementation

4. VMB leading to bigger opportunities

Agenda


Strategic lay of the land in Finance with regards to Operational excellence ….

Generally not a focus area for Operational Excellence programs – more focus in Operations

Usually green fields

Limited knowledge of Operational Excellence in Finance

Leadership needs proof of effectiveness


Challenges

Varied range of emotions about Operational Excellence in Finance

What’s OE?!

We don’t have a

process

Its all ad-hocOE is for

operations/

manufacturing

o Limited culture of improvement

o Silos within teams

o Knowledge workers not process driven – reports creation, analysis/insights, advisory

o Small teams (2-5 people) with multiple processes

Go go go … no

time for data or

analysis

People

Reactions


Challenges

Manual process and limited systems

o Cyclical nature of work

o Multiple handoffs and reviews

o Rework is given

o ~20% ad-hoc work

o Limited data on process performance

Process Systems

o Limited workflow systems – heavy excel usage

o Multiple sources of data

o Limited governance on input data

o Limited visibility of work being performed

Monthly Yearly


Tools for the challenges

Multiple tools to tackle multiple challenges – usually Lean tools in Finance

Challenges OE Tools

Silos, unclear priorities, no workload management,

limited process performance data, visibility of tasksVMB

Multiple handoffs and reviews VSM

20% ad-hoc work VMB, Ad-hoc tracker and analysis

Unclear expectations, roles and responsibilities,

handoffs, reviewsOperating model, VSM, RACI

Cyclical nature of work Shift the peaks of work


VMB


What is visual management?

Visual Management is defined as follows:

Visual Management provides real-time information on work place status by a

combination of simple, effective visual information aids that allow employees to understand

their influence on the organization overall performance hence allowing the employees

to improve their performance.

Source: http://www.shmula.com/visual-management-what-is-in-it-for-me/10143/


VMB

Constituents of a VMB

Workload

managementKPI’s

Continuous

improvement

Behaviors

Multiple constituent of an effective VMB underpinned by behaviours


Workload management

Manage workflow Clear priorities and

accountabilities

Early warning

system

Visibility of work

being performed

and progress

Feels more like a team now

knowing what others are

working on

By people By task By due date

3-4 iterations of VMB

Focus on tasks in the short term

Not a to-do list


Workload management (Add-on)

People management


KPI’s

Frequent tracking

Customer 1

Customer 2

Customer 3

Customer 4

3-4 KPI’s based on current issues

• Functional

• Waste related

Gauge of team performance

Now we can link an

improvement to a KPI that

makes a difference

By customer By functional goals Tracking progress

Team performance – not individuals

Change KPI once performance has improved

What does customer think of your performance?


Continuous Improvement

Track the improvementsImprovement ideas visible

with clear ownership

Is this idea improving a KPI?


VMB Enablers


Behaviors

Leader always

involved

10 minute Daily huddles – even

during busy periods

All team members

present on time

Rotate facilitators

Its about the teams performance

– not individuals


Behaviors

Manage the change Make time for the improvementTeam owns the board

not just the leader

visual management boards in finance function management boards in finance function almas khan...

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