All posts by David Vicentin

What Should Companies Focus on to Grow?

By David Vicentin

Nowadays, one of the buzzwords in companies is growth. Companies want to be better today than yesterday, and tomorrow even better than today. But the challenge itself is not the need for growth rate. The challenge is related to how to achieve continuous and sustainable growth over the years in a scenario which constantly changes.

Several studies have been done analyzing the sources of growth, especially related to companies and countries. Centuries ago Adam Smith, David Ricardo, Thomas Malthus studied the elements which can influence growth in countries. These studies provided very rich knowledge when applied to companies of different sizes and industries.

It’s interesting to see how people explain growth. If you ask a company leader “What do you need to grow?” the answer might be “New investments.” If you ask “What kind of investments?” most will answer “New equipment.” If you want to be more specific and ask a colleague what should be done to increase sales, production or profit, he may respond “Buy new technology.” “Equipment or technology” may be correct, but it represents only one component of the answer.

Growth can also be explained based on the variables of Physical Capital (K), Labour (L) and Technology (T). So the idea behind this approach is a formula as represented below in which Y represents the results for each company in terms of revenue, output or even profit.

Y = f(K, L, T)

That means that a company output is influenced by different variables and not only technologies. The interesting point about this reflection is that one answer will not solve everyone’s problem. For over 15 years, working in different industries, my team and I were able to increase companies’ results 90% of the time, with ZERO investment in new technologies. So, what’s the miracle?

The answer is People. The eyes and expertise of a Consultant or a Coach can help your company, in a short-time frame, identify opportunities to increase productivity, quality, and much more. If we take a closer look at the Labour part above, we can identify new sources of growth. For example, labour can be seen not only as how many people you have under your organization but it MUST include knowledge acquired over time. Ask yourself: how is your team expanding their knowledge and understanding of methods and techniques over time? There are different ways of learning and once you create a learning organization you’ll start to benefit from it.

And if you’ve achieved the desired results, what’s next? Sustain the results. Whether the environment changes or not, it is important to have the right people (with the right knowledge) to respond properly to those variations. Training and “learning by doing,” as Agile proposes, can be very useful strategies to achieve long-term results.

In summary, growth is possible when you have the knowledge to achieve it. Consult experts and engage people toward your purpose and you’ll see the results.


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Leveraging Six Sigma Projects with Agile Techniques

Six Sigma is a methodology which has been used for more than 30 years to deliver great strategic and financial results. It has brought significant results for industries and companies from different industries.

I am a Master Black Belt in Six Sigma, and for the past 15 years I have trained over 5,000 people and conducted projects for many companies in South America, North America, and Europe.

Globalization has shortened the distance between customers and business, requiring more speed and adaptability from companies to sell their products and services.

Through a combination of training and consulting in Six Sigma, my team has been supporting organizations to embrace projects towards variability reduction as well as waste elimination to increase customer satisfaction. Millions of dollars have been saved, and we have satisfied our stakeholders.

The reward for our success was that project opportunities came flowing in, yet we were challenged to complete projects even faster and better than before. How could my team do that? We needed to figure out a way together. More and more frequently we were collaborating with our customers and stakeholders to understand exactly what was important. We were inviting the team, analyzing many possibilities, rethinking our approach and then implementing the new framework.

The business environment forced new techniques to achieve different results. I realized that if I challenged our team at the planning meeting stage, we would find new ways to reach the goal (most of the time utilizing a better approach than before). Even if, during the process, we encountered a roadblock, we were able to involve the team to find a creative solution. We found we could do almost anything because we had created an environment of trust.

All along, our stakeholders were aware of what was happening, and they were encouraging the team to keep using the ‘new strategy.’ We stopped wasting our time with delays, dropped the useless documentation, while always ensuring that people were seen as more important than the process. Because of this, we were already delivering results faster than expected and had started the process of becoming Agile.

David Vicentin, Director of Business Development, BERTEIG

Lean Six Sigma Master Black Belt, Coach, Trainer and Agile practitioner, has more than 15 years in management consultancy experience delivering operational excellence and Agile implementation across various businesses. His experience and capabilities have taken him to Spain, United States, Mexico, Brazil, UK and Canada. David’s enthusiasm and practical coaching experience have allowed him to mentor senior managers to achieve sustainable results. An Industrial Engineer with a Masters degree in Economics and Finance, David is able to create an environment of learning in various fields of work.


Affiliated Promotions:

Try our automated online Scrum coach: Scrum Insight - free scores and basic advice, upgrade to get in-depth insight for your team. It takes between 8 and 11 minutes for each team member to fill in the survey, and your results are available immediately. Try it in your next retrospective.

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