The head office plays a crucial role in initiating process improvement. It is responsible for launching and overseeing the implementation of lean projects or any other process improvement initiatives. The head office sets the direction and provides the necessary resources for these initiatives. It also monitors the progress and ensures that the improvements are sustained over time.
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Studies show that companies embracing process improvement practices enjoy significant improvements in efficiency and costs, "Harvard Business Review"("HBR") reports. The University of North Carolina's Brad Staats and the University of Oxford's Matthias Holweg and David Upton examined 204 lean projects launched from 2012 to 2017 at a European bank with more than 2,000 branches in 14 countries and serving more than 16 million customers. The researchers strived to get to the bottom of why some improvements are sustained and others aren't. To achieve this, they looked at the lean initiative, started by the head office. Here is what Holweg and Upton discovered:
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