1 Answer | Add Yours
It is very hard to answer this question because we have no idea what our imaginary firm is like or what problems are reducing its efficiency. Therefore, it is very difficult to say what kinds of changes would need to be made.
Therefore, let us look at this in a very generic way. A very important step needed to make a firm more efficient is a good system of monitoring its efficiency and its productivity. This is one thing that we can say that any firm needs (unless it already has one), regardless of the business that it is in. With a good system of monitoring in place, I would be able to see how much productivity is being achieved by the firm as a whole or by individual parts of the firm. This could help tell me if the firm is operating as well as it should be.
In addition, I could carefully examine the process by which our product is made. By doing this, I would be able to see whether there were bottlenecks in the process that could be eliminated. This would be more applicable to a firm that is producing goods than to one that is producing services.
Outside of these things, it is very hard to say what sorts of changes need to be made because we do not know what sorts of procedures are already in place in our imaginary firm.
We’ve answered 319,815 questions. We can answer yours, too.Ask a question