Don’t Wait for Stability: Why Now Is the Time to Strengthen Your Business Foundation

I recently had a conversation about change management, especially with all the moving parts happening in the country right now. Many professionals expressed their hesitation to make any major financial decisions during such uncertain times. However, I've always believed that these are precisely the moments when the most important investments should be made—investing back into your company by taking the time to evaluate your processes, risks, and products or services. Assessing the foundation of your business will always allow you to build a stronger base for future development and growth.

Businesses today are increasingly focused on managing process improvement to remain competitive, reduce costs, and enhance customer satisfaction. Process improvement involves identifying inefficiencies or areas of improvement within organizational workflows and implementing changes that streamline operations. We at Blackfin Group partner with our client partners to help achieve these initiatives to ensure solid groundwork for future growth.

One of the key approaches, for example, is use of Lean methodology. Lean methodology emphasizes eliminating waste and ensuring every step in the process adds value. By focusing on eliminating bottlenecks, reducing redundancy, and enhancing speed, businesses can improve both operational efficiency and product or service delivery.

Another significant framework that our organization uses is Six Sigma, which focuses on improving quality by reducing defects and variability in processes. Six Sigma uses data-driven approaches to identify the root causes of problems and applies statistical analysis to find solutions. This data-centric approach not only improves product quality but also drives better decision-making, ensuring that companies operate at their highest potential.

However, process improvement isn't just about adopting methodologies; it also requires strong leadership and a culture of continuous improvement. Leaders play a crucial role in setting clear goals, aligning teams, and fostering an environment where employees are encouraged to suggest improvements. This cultural shift ensures that process improvement becomes a continuous effort rather than a one-time project. Moreover, businesses must regularly review their processes to stay agile and adapt to changing market conditions.

The other facet of leadership is the development and maintenance of a strong organizational structure which is crucial to the success of a business. A strong organizational structure allows businesses to be more adaptable, ensuring that as the company grows or encounters changes, it can operate smoothly and maintain a clear communication and direction across departments.  It defines how roles, responsibilities, and authority are distributed within the company. It helps establish a hierarchy, ensuring that everyone understands their role and the expectations placed on them. Without a solid structure, companies may face confusion, miscommunication, and inefficiencies that could hinder their long-term success.

I bring up these fundamentals as a reminder of what all leaders probably think about every day but lack the initiative to initiate. I also invite leaders to utilize outside consulting help as a way to remove all assumptions and bring an unbiased view. Again, I maintain that maybe in times of change or transition (or business is just slow) is exactly the time to take a look under the hood and build your company foundation.

Michael Harris is Managing Director and Partner of the Servicing Practice at BlackFin Group. Michael has over 20 years’ senior executive management experience in default servicing and mortgage servicing. He and his team are subject matter in all aspects of servicing strategy, investor relations, process, compliance requirements. Prior to BlackFin, Michael was the President & CEO of Jennick Asset Management and was responsible for developing the pilot outsourced management program for Fannie Mae, Freddie Mac, and HUD while working with the top 10 mortgage servicing and capital markets firms. For more information contact info@blackfin-group.com