Lowering the process cycle time
Processes take a given input and produce an output of value to the organization. A lower process cycle time is about reducing the time it takes to complete the process from start to finish, with the primary goal of being able to run through the process more quickly and therefore produce value sooner.
Long process cycle times or unpredictable process cycle times can impact customer experience, as customer expectations are inconsistently met or missed. They also carry with them potentially significant financial costs where contractual obligations specify delivery according to a timeline with financial penalties attached to breached agreements. One area where long or unpredictable cycle times really matter is in the supply chain or procurement and asset management space where a long cycle time may mean very real increases in the financial risks, such as in the impacts on working capital or supplier payments.
Causes of long cycle times