You can’t get rid of complexity entirely, but you can master it!
Consumers and industrial customers are increasingly expecting individualized products. Meeting such customer needs often leads to an overflowing product portfolio. At the same time, new and complex processes and structures arise and companies find themselves moving away from the lean organization that took so much work to implement. Unmanaged product portfolio expansion rarely leads to higher overall margins. Most cost accounting systems do not take into account the real cost of complexity. The real profit margin of your expanded portfolio is lower than you think. Sales increase, but the overall profit margin falls. Profitable growth is not achieved. Most companies lack an efficient complexity management.
Camelot can help you identify complexity in your business and eliminate the part your customers are not paying for.
Our proven approach for complexity management provides answers to five central questions:
- Which products, services and customers actually contribute to profitability?
- Which products, services and customers drive complexity and costs?
- How do we eliminate the complexity not paid for by customers?
- How do we organize ourselves in order to master the remaining complexity?
- How do we ensure that targeted level of complexity is sustained?
Answering those questions enhances complexity management to mastering complexity.
Camelot Complexity Diamond
Complexity is manifold and occurs in many different aspects, In the end it is all about managing complexity along the whole business!
Based on our experience working with leading companies from the process industry and managing complexity we developed a comprehensive methodology to identify and tackle complexity at all levels – the Camelot Complexity Diamond (CCD).