What Is Continuous Improvement? Measuring and Benchmarking a Process

What Is Continuous Improvement?

Textbook Definition

Continuous improvement is an ongoing effort to improve processes, products, or services through small, incremental changes, guided by measurement of current performance and comparison with best practices.

In Plain English

Continuous improvement means regularly timing how the work gets done and making small changes to do it better. Not a big overhaul. One step at a time, measured before and after, every week.

Why Do Good Businesses Fall Behind?

This one happens to the best businesses, not the worst. The method that made them the best slowly turns into the reason they stop getting better. The pride is not wrong. The method is not wrong, either. It just is not the only way anymore, and nobody has checked it in years.

Tools change. Customers change. Competitors change. Two simple tools keep you current: process measurement, which means timing or counting each step so you see where the time goes, and benchmarking, which means comparing your steps to the best way someone else does them. And the people closest to the work often already know a better way. They are waiting to be asked.

Signs you have this problem:

  • You have lost a bid to a newer competitor who was faster or cheaper.
  • You call new tools or methods "gimmicks" without trying them.
  • You have not timed your core process in years.
  • An employee mentions a better way, and you have never asked for one.
  • "We have always done it this way" is a reason you give.
  • Your price keeps rising, but your process has not changed.
Changing how you work does not mean you were wrong before. It means you are still learning. The competitor who wins is usually the one who measured.

What It Looks Like When the Best Way Stops Being the Best

From the Fabled Forest · Chapter 9

Blueprint Bella has built half the forest: the stone bridge, the town hall roof, and a dam she kept in repair for eleven years without a leak. Her motto is famous: measure twice, cut once, measure again. She learned her trade from the best, thirty years ago, and never saw a reason to change it.

Then a new crew with powered drills bid a third less on the dam, and promised it in three days instead of five. Bella called the drills gimmicks. Then she went and measured the new crew's dock on the lake. Three times. It was dead level.

Doctor Owl did not tell her she was wrong. He told her neither of them knew, because she had not measured her own method in thirty years. So they timed it, step by step. Then one of her crew said something he had known for a year.

Bella's story is Chapter 9 of Management and Leadership for Small Businesses, Book 1 of Dr. Paul's Fabled Forest Business School Series.

How to Start Continuous Improvement in 4 Steps

You do not need consultants or software. You need a stopwatch, one process, and your crew.

  1. Pick one core process and time every step.

    Write each step down and time it, the way you actually do it today. The total surprises almost everyone, and so does which step eats the most time.

  2. Ask what has changed since you learned it.

    New tools, new customers, new competitors. Look at the best version of the work someone else is doing. Then ask the people who do the work. They often know already.

  3. Try one improvement on one job, and measure again.

    Change one step. Time it. Check the quality the same way you always do. Keep the steps that are still the best way. Only change the ones that are not.

  4. Make it a weekly habit: one step, every week.

    Every Friday, one step. Time it, ask for ideas, try one. Small gains add up fast, and your team learns that their ideas matter.

Dr. Paul's Insight

The trap to watch for is defending the old way out of pride instead of measuring it. You do not have to throw your method away. Usually most of it is still the best way, and only one or two steps have fallen behind. The numbers tell you which. Without them, you are just arguing with the future.

Worked Example: What One Faster Step Saves Your crew does 40 of the same task a week. Each one takes 11 minutes: 440 minutes total. You time it and find one step, 6 of the 11 minutes, can be done in about 1.5 minutes with a newer tool. New time: 6.5 minutes × 40 = 260 minutes. 440 − 260 = 180 minutes a week saved, about 40 percent, from changing one step and keeping the rest. Figures are an illustration to show the math, not a projection for your business.

Sample: A Process Timing Sheet

Time the process as it is today. Then circle the step that eats the most time and try one change.

Process: Sending a customer quoteTimed: This FridayDone: 10 a week
StepWhat happensTime todayTry this
1Gather measurements and notes10 minStill the best way. Keep it.
2Look up every price by hand15 minSave a price list template: about 3 min.
3Type the quote from scratch12 minStart from a saved quote: about 6 min.
4Owner reviews it5 minKeep it.
5Email it to the customer2 minKeep it.

Today: 44 minutes a quote. With two changes: about 26 minutes. At 10 quotes a week, that is 3 hours back. Sample for illustration.

Video: Time Your Process With a Stopwatch

Video Coming Soon

What Is Continuous Improvement? Measuring and Benchmarking a Process

Dr. Paul times a real-looking process step by step and finds the one change worth making.

Is Your Method Still the Best One?

Chapter 9 · Continuous Improvement

Measure Twice, Change Never: A Beaver's Ceiling

"Bella," he said. "I will not tell you your method is wrong. I do not know if it is. Neither do you. You learned it thirty years ago, and you have not measured it since." He held up the scroll. "So let us measure it. Every step, the way you do it. Then we will know."

What did the stopwatch show, and what had Bella's crew member known for a whole year? Read the rest in Chapter 9. Book 1 of Dr. Paul's Fabled Forest Business School Series.

Get the Book on Amazon →

Continuous Improvement Questions

What is an example of continuous improvement?
A crew times each step of a routine job and finds one step takes most of the time. They try a newer tool on that step only, measure again, and keep the change because quality is the same and the job is faster. Then next week they pick another step.
What is benchmarking in business?
Benchmarking means comparing how you do something to the best way someone else does it, often a competitor or a leader in your industry. It shows you where your process has fallen behind and gives you a target to improve toward.
What is process measurement?
Process measurement means timing or counting each step of a task so you can see where the time, cost, or mistakes actually happen. Without it, owners usually guess wrong about which step is slowing the work down.
Is continuous improvement the same as kaizen?
Kaizen is a Japanese term often used for continuous improvement, especially in manufacturing. The core idea is the same: small, steady improvements made regularly, with the people who do the work involved. You do not need the term or a formal program to use the habit.

Written by Dr. Paul Borosky, DBA, MBA, business consultant, author, and educator with 14+ years and 1,000+ clients served. Curious which step in your process is costing you the most? Dr. Paul works with owners one-on-one.

This page is for general educational purposes only. It is not legal, financial, tax, accounting, or other professional advice. Dollar figures are illustrations. The Fabled Forest and its characters are fictional. For decisions about your own business, consult a qualified professional.