M3 L2 Mastering the Value Stream

Summary

The video script introduces the 'Copus' exercise, which emphasizes a customer-first approach to operational excellence. It encourages businesses to identify their customer segments, understand their needs, and realign operations to deliver value effectively. The exercise involves mapping out ideal processes, defining desired outputs, identifying necessary inputs, and evaluating supplier reliability. It promotes a shift in perspective to ensure all operational strategies are customer-centric, with a focus on value creation from the customer's point of view.

Takeaways

• 📈 Start with a 'Value Stream' exercise focusing on customer needs and operational strategies.
• 🔄 Implement the 'Copus' exercise, which stands for Customer, Output, Process, Input, and Supplier, to flip the traditional approach and start with the customer's perspective.
• 👥 Identify different customer segments and understand their specific needs and what your organization does to meet those needs.
• 📝 Define the desired outputs by translating customer needs into tangible products or services.
• 🛠️ Map out the processes and skills necessary to achieve the desired outputs, identifying challenges or unnecessary steps in the current processes.
• 🔍 Work backwards from the final product or service to map out the full process, ensuring efficiency and effectiveness.
• 📋 Determine the necessary inputs for processes, considering quality, quantity, and timeliness.
• 🔑 Identify key suppliers for each input and consider their reliability, quality, and alignment with operational goals and customer needs.
• 🧩 Use a 'parking lot' to note exciting new ideas and concerns that arise during the exercise for later consideration.
• 🔄 Keep the customer at the center of operational focus to ensure value creation from their perspective.
• 🚀 After completing the exercise, expect to identify points of concern in your current organization for future improvement.

Q & A

What is the purpose of the COPUS exercise?

The COPUS exercise is designed to help organizations focus on customer needs and experiences as the primary focus of their operational strategies. It stands for Customer, Output, Process, Input, and Supplier, and it starts with the customer and works backward to ensure that operations are aligned with delivering value to the customers.

How does the COPUS approach differ from the CYOC approach?

The COPUS approach starts with the customer and works backward, unlike the CYOC (Customer, Your, Output, Customer) approach which begins with the supplier and ends with the customer. This ensures that customer needs and experiences are the primary focus of operational strategies.

What is the first step in the COPUS exercise?

The first step is to identify the different customers that the organization is serving, understand their needs, and what they value. This involves writing down the customer segments and focusing on their specific needs and how the organization meets those needs.

What is the purpose of the 'parking lot' in the COPUS exercise?

The 'parking lot' is a space to note down exciting new ideas that come up during the exercise. It ensures that curiosity is satisfied and ideas are recorded for later consideration, without disrupting the main focus of the exercise.

What should be the focus when identifying customer segments in the COPUS exercise?

The focus should be on the current organization or the first few strategic pillars, not on future innovations. It's important to get hands-on and avoid making assumptions, possibly by verifying information with customers directly.

What is the second step in defining the desired outputs in the COPUS exercise?

The second step is to define what the organization should deliver to meet customer needs effectively. This involves translating customer needs into tangible products or services and writing down what the organization wants to provide to each customer segment at the desired quality level.

How should the processes be mapped in the COPUS exercise?

Processes should be mapped by working backwards from the final product or service, identifying the steps needed to achieve the desired outputs. This helps in identifying challenges in current processes or unnecessary steps and allows for the consideration of the ideal processes required.

What is the significance of determining necessary inputs for processes in the COPUS exercise?

Determining necessary inputs ensures that processes are well-supported and can operate smoothly. It involves listing the materials, services, information, or resources needed for each process, considering quality, quantity, and timeliness.

How should suppliers be considered in the COPUS exercise?

Suppliers should be mapped out for each input identified, considering their reliability, quality, and alignment with the operational goals and customer needs. This helps in ensuring that the inputs for the processes are sourced effectively.

What is the final step in the COPUS exercise as described in the script?

The final step is to look at the suppliers that provide the necessary inputs, mapping out key suppliers and considering their reliability and alignment with operational goals and customer needs.

What is the expected outcome of completing the COPUS exercise?

Completing the COPUS exercise is expected to reveal points of concern in the current organization's operations. These insights should be noted in the 'parking lot' for future action, and the exercise should lead to a shift in perspective towards organizing operations with a focus on customer-centric outputs.