DDC KPO | Blog

SMART KPO

How to make Knowledge Process Outsourcing exactly right for you

Ode to Corporate Amnesia

The Prologue

Cash comes and goes, and so does knowledge. Cash Flow… Knowledge Flow? While Cash Flow will always be on the minds of business leaders and stakeholders, is the same importance ever given to the acquisition and loss of knowledge? Without enough knowledge in the business, it is vulnerable to failure from lack of intellect to solve problems, to lead teams, and to convince new customers to buy; it must then look outside for expertise to bring plans and sales to fruition — just as it may turn to inward investment as a means to grow, or survive. Look after knowledge as you look after cash.

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Cut Costs — Raise Productivity

A Quest for Operational Excellence is a Chance to Concentrate Expert Minds

I attended an IQPC Operational Excellence (OE) event recently, and was struck by its widely applicable themes, even though the case studies were drawn from Oil & Gas — quite naturally, since the venue was Aberdeen. An OE initiative makes space for new ideas, it was explained. For a company, the initiative offers hope that the struggle against loss-making and inefficiency can be overcome, heralding a brighter future based on good practice, good vibes, and hence resilience against market stresses. But, we learned, in our two days of insightful presentations and roundtable discussions, the OE initiative places heavy responsibility on leaders to create the right environment, not for management to drive a revolutionary cart through existing structures, but to give the workforce at all levels space to express themselves — especially those evangelists of change within.

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KPO as Part of Corporate Strategy

Establishing the Bond of Trust

In my first three blog posts I showed the arithmetic behind Knowledge Process Outsourcing (KPO): how Necessary Evil Time is transferred methodically from in-house experts to outsourced knowledge workers. This frees up time up for the experts to focus on their core competencies so that their ‘outputs’ — in the form of, say, analysis, project management and operational decisions — are increased in number and reduced in unit cost. Knowledge workers in effect enable the experts to create greater wealth for their employers in a more cost-effective manner.

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Experts: Are You Held Back by Dull Tasks?

Knowledge Workers Can Make Your Day

In my blog posts Necessary Evil Time and Experts: 25% More Output a Day, experts were identified as people invested with specialist skills and knowledge involved in core business processes: planners, designers and inspectors; engineers, technicians and scientists; analysts, editors and technical salespeople; and so on. I set out the underlying arithmetic behind Knowledge Process Outsourcing (KPO), which liberates experts in businesses where data is primal to products and services, and to market position. In summary, what a company needs to do is:

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