The Waste of Knowledge Disconnect

Jayven Rappa's picture

The Waste of Knowledge Disconnection is the Root Cause of Bad Client Experiences and costing you at the top and bottom line.

This is an in-depth review of the underlying models that empower professional service organizations to achieve the full benefits of the Lean Digital Business.

For the past 10 years, Trutelic has empowered clients to achieve aspirational goals with the use of our Trulogic business methodology creating a Lean Digital Business; in service sectors including, broker-dealers, RIA firms, insurance carriers, independent agencies, legal firms, and consulting firms.  One of the critical elements that exists in each client engagement is “Knowledge Disconnection” that is so frequently tied to bad client experiences in their journey through marketing, sales, or service fulfillment.

Explaining “Knowledge Disconnection”:

“Knowledge Disconnection”, credited to Toyota is a critical “waste” that must be avoided.  The idea behind this waste is not fully understanding what the client needs, and consequently wasting resources on things they don’t want and failing to deliver on the things they do.

At the core of the TruLogic methodology and with Lean Management Systems is this belief that the “voice of the customer” is what matters most, which is to say, we must know ”what they expect to receive as value.”  To be a Lean organization, the people, processes, systems, and continual improvement methods exist to ensure the firm focuses its time and resources only on “value add” activities.  This focus on “value add” and reduction of “non-value add” both supports the top line objectives, however also drives efficiency into the bottom line financial performance.  

These concepts are an amazing lifeline for service organizations who constantly find themselves trapped in margin compression as the rates they can charge are reducing, while the expectations of the client value are growing.  

There are some amazing tools like the Kano Model that speak to the idea of having an intimate knowledge of the customer needs, and Lean thinking plays a vital role in the process.  Often when you read through Lean manuals or speak to Lean consultants there is a flurry of talking points about the idea of customer intimacy, but how to achieve it is rarely described.  The fact is, without client input, you may still be the fastest to deliver, most fairly priced, and even the best quality in your service area but still go out of business due to lack of ability to connect with clients and prospects that ultimately drive profitability.

One of the best tools we’ve seen, is the use of pre-meeting emails. This process is focused on value and asks each client and prospect, 48 hours prior to the meeting, “What are the 3 things THEY would like to accomplish, discuss or achieve during our time together…”  This creates an environment where the client sets the agenda for each meeting and feels completely engaged throughout the on-boarding and life cycle of the relationship.  It goes to the heart of the Trulogic methodology that we developed to keep firms firmly focused on "value" at every step of their experience, which creates top line value creation.

Unfortunately, if you are disconnected from the client value expectations then you may not look any different from others and the basis for the decision to hire you/your Firm becomes/stays “product and price.” 

In this digital age we operate in, it’s critical to do the work to stay connected with client expectations and that is done simply by continuing to ask questions, pay close attention to the support calls, and look objectively at top line performance.  Once the initial plan is set, it’s just a matter of the right system to support the daily work to stay connected and use the voice of the client to drive change.  This focus is proven to ensure that “waste of knowledge disconnect” stays far away from your Firms top and bottom line for good!

At Trutelic, Inc. our mission is to help our clients make certain they're able to sustainably stay focused on delivering value, with the least amount of waste possible.  We achieve this outcome for clients by helping them clearly define the value and then subsequently develop the digital platform that focuses their time on value creating activities with the minimization of DOWNTIME.  Our platform is driven by four key engines, the Trutelic iOP™, Recommended Day™, Trutelic Beacon™ (CMS), and the powerful Athena Business Cloud™.  We offer business solutions within marketing, sales, service all supported by a Lean support, operations and supervisory hub.  We have proven experience and expertise with professional service firms including financial services, accountants, and consulting firms who leverage our hybrid service model to break their organizations "out of the box!”.  Learn more about Lean Digital Transformations on our website