Strategic Planning

Speed, Efficiency, and Value: Using Empiricism to Achieve Business Agility

Explore how measuring value and fast feedback loops drive business success.

Kurt Bittner

Oct 07, 2021 • 12 min read

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Business And Strategic Planning

Customer Feedback Integration

Innovation Culture

Lean Startup Methodology

Organizational Learning

Summary

This resource delves into the importance of measuring the value of business ideas and aligning organizational goals with customer satisfaction. It emphasizes the need for organizations to frame ideas as experiments and use fast feedback loops to improve effectiveness. By focusing on value-driven strategies, organizations can better align their efforts with customer needs and achieve strategic goals. Learn how to navigate the challenges of agility and ensure your business delivers real value.

Takeaways

Frame organizational ideas as experiments to rapidly test and improve effectiveness.
Measure the value of ideas to determine their success and avoid wasted effort.
Set strategic goals focused on customer satisfaction to align and motivate teams.
Understand the importance of speed and efficiency in validating and refining ideas.
Use fast feedback loops to quickly adapt strategies and improve value delivery.
Efficiency is focused on eliminating non-value-added activities that prevent a team from delivering quickly, or from delivering as much value as they are capable of.
Organizations create business value when they improve customer experiences. This value may be realized in terms of increased brand value, improved revenue, increased employee satisfaction, or a variety of other measures, but the source of all value is customer experience.
Organizations improve their performance by framing their ideas as experiments that explicitly test the ideas for the value they have to customers. Running these experiments as quickly as possible, and with as little effort as possible, helps the organization to dramatically improve their effectiveness at meeting customer needs.
Organizations that don't measure the value of what they deliver have no idea which of their ideas are good, and which fail to meet customer needs. As a result, much of their time, effort, and investment may be wasted.
Setting strategic goals in terms of value helps an organization be clear about what it seeks to achieve, and helps everyone in the organization align their work toward these goals.
Speed and efficiency are typically important when an organization is certain that what it is delivering has value, because “fast” and “efficient” translate to “more profitable”.