In any economic climate, a company’s most important objective is ensuring that the cost of doing business does not overshadow any returns it derives as a result. When margins are robust, companies can afford to invest heavily in technologies that may not immediately produce visible returns, but can be counted on to reap benefits several years down the line.
However, when these margins become razor thin and the future looks uncertain, companies must quickly adapt their strategies and invest in only the projects that can provide an immediate return on investment. With companies seeking new IT approaches for achieving faster (almost immediate) ROI, many have begun looking for partners that can incorporate Lean thinking in their Nearshore development projects.
Based on the manufacturing model Toyota successfully leveraged as it achieved market dominance, Lean IT provides a systematic approach to simultaneously improving cost, quality, speed and agility.
Experience shows that it is possible to improve cost, quality, speed, and agility of Nearshore projects at the same time, but the recipe is not easy. The client must start by seeking out a partner well-versed in the guiding principles of Lean thinking, one that can translate these principles into specific actions that apply to the client’s business reality. The beauty of Lean is that it is simple. It doesn’t involve memorizing acronyms or buying off-the-shelf solutions. It simply requires critical thinking and a willingness to accept certain principles that may seem unconventional at first, but will, when applied correctly, ultimately deliver greater value to the client’s business.
In my next installment of this post, I’ll delve deeper into the Lean concept to demonstrate just how Lean can deliver for the client results that go beyond mere cost savings.