New Frontiers in Business Intelligence

Nari Kannan

Starbucks, Lean Process Improvement and IT!

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There was an interesting article in the Wall Street Journal recently about Lean Process Improvement at Starbucks stores:

Latest Starbucks Buzzword: 'Lean' Japanese Techniques is an interesting article that outlines how Starbucks implemented Lean Process Improvements in many of their stores.

 

Like keeping the Cream Dispenser nearer where it is needed in daily operation for Baristas or cutting down on time spent by Baristas walking back and forth behind their counters by rearranging things behind the counter in new ways!

Very interesting, especially since they were able to see productivity improvements and more importantly, improving their customer satisfaction scores!

What is important here is that here are some solid examples of process improvements, cuts in waste of human effort, time and resources that the mainstream public can probably relate to and understand easily!

What does this have to do with IT and software applications used within companies? A lot! Some of these observations, measurements and improvements were possible easily since they were easier to make.

If you were to ask the same kinds of penetrating questions about IT in general, the results can be shocking!

Every delayed, cancelled IT project just wasted lots and lots of money, human effort and most importantly, Time! Every feature implemented with a lot of Requirements Analysis, Design, Development and Testing but not being used at all is a colossal waste of money and the scale can be staggering at times!

Like the FBI Upgrade That wasn't!. $170M wasted on a large project which may have been replaced now with an equally expensive project. It will be interesting to track how the project or projects that replaced this failed project are doing currently!

Making coffee is such a small activity with a much more limited economic impact when compared to something like an IT project above!

IT projects, especially Software Development Projects, especially large ones have such a lot of risk and potential for wasted effort, resources and money!

Unless the right and appropriate methodologies are matched to the kind of software development needed for each situation (Believe me, experienced project managers will concur that every software development project is unique in some way and needs tweaking if you want success!).

Would be interesting to explore Software Development projects with a Lean Approach like Starbucks has done. I bet you can find savings in many unexplored corners of Software Development that you thought you never had!

Continual improvement is an unending journey. - Lloyd Debens

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The U.S. Air Force is actually using Lean Six Sigma techniques for both process assessment and software development projects. There are two full case studies on this at http://bit.ly/BxhgI. Click the PDF buttons to download the files - no personal info required.

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Nari Kannan's blog explores how new approaches to business intelligence can help organizations improve the performance of business processes--whether these processes are creative or operational, internally-focused or customer-facing, intra-departmental or across functions.

Nari Kannan

Nari Kannan started and serves as the CEO of appsparq, a Mobile Applications development company based in Louisville, KY with offices in Singapore and India. Nari has over two decades of experience in computer systems development, translating product and service strategy into meaningful technology solutions, and both people and product development. Prior to this, he has served as both Chief Technology Officer and Vice President- Engineering in six successful startups, two of which he co-founded. He has proven experience in building companies, engineering teams, and software solutions from scratch in the United States and India. Prior to this, Nari started Ajira Technologies, Inc., in Pleasanton, CA, where he served as Chief Executive Officer for more than six years. While at Ajira, Nari was instrumental in developing service process management solutions that modeled, monitored, and analyzed business processes, initially targeting the Business Process Outsourcing (BPO), Telecom, and Banking verticals in India, and Finance, Insurance, and Healthcare verticals in the United States. Prior to this, he served as VP-Engineering at Ensenda, an ASP for local delivery services. He also served variously as Chief Technology Officer or VP-Engineering at other Bay-Area venture funded startups such as Kadiri and Ensera. He began his career at Digital Equipment Corporation as a Senior Software Engineer. Nari has a long involvement with Customer Support and other customer facing processes. At Digital Equipment Corporation he was involved with their 1800 person customer support center in Colorado Springs, Colorado. He was tasked with coming up with innovative tools to help customer support people do their jobs better. He holds a U.S patent for a software invention that automatically redirected email requests for customer support to the right group by digesting the contents of the request and guessing at which software or hardware support group is best equipped to handle it. At Ensera, he led a 45 person team in developing an internet based ASP service for handling auto insurance claims, coordinating information flow between end-customers, Insurance companies, Repair shops and Parts suppliers. Ensera was acquired by Mitchell Corporation in San Diego. Nari holds a B.S. degree in Physics from Loyola College, and an M.B.A degree from the University of Madras in Madras, India. He graduated with a M.S. degree in Computer Science from the University of Massachusetts at Amherst in 1985. Contact Information: Nari Kannan. Email: nari@appsparq.com Mobile: 925 353 0197. Website: www.appsparq.com View more .

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