Introduction to Yagna

1. Yagna Entrepreneur Success Service LLP
Moving the
Indian
economy
from
Third World
to First!

2. Goal – Increase Cash Flow and Company
Valuation
Owner of Manufacturing Company
Company Turnover - 25 to 500 cr
Company in business for 10 years+
Serving clients in India and Globally*
* Preferable / Not Mandatory
Meet Mr X
Are you Mr X ?

3. Defined
Goal
Measurements
Segmentation
Stable
Operations
Aligned
Software
Fast
Implementation
Aligned and Engaged
Team
Competitive
Edge
Decision
Making
Each Company is a puzzle to be
solved

4. Your Current Reality / Vicious Cycle ?

5. You have tried these ideas?
Increase Capacity ERP/IT System Functional Improvements
Hire Senior
Resources

6. Evaluate the Yagna way
WHY?
Any company can
significantly
improve
in short period of
time
HOW?
Focus on leverage
point / Constraint
WHAT?
Convert untapped capacity
into cash flow

7. Theory of Constraints (TOC) based Approach to
convert untapped Capacity into Cash Flow
Step 1
Identify the
Constraint
Step 2
Decide how
to Exploit the
Constraint
Step 3
Subordinate
everything
else to
‘Exploit’
Decision
Step 4
Elevate the
Constraint
Step 5
Do not let
inertia come
in the way
Go to Step 1

8. Leveraging the TOC Body of Knowledge
1975 1985 1990 1995 2000 2005 2010
Production, Throughput Accounting
– OPT, The Goal, The Race, The Haystack Syndrome
The Thinking Processes
– Jonah Program
TOCEvolutionoverlast35years
Distribution, Marketing, Sales, Management Skills
– It’s Not Luck
Project Management
– Critical Chain
The TOC Holistic Approach
– 8 Video Sessions
TOC & Technology
– Necessary but not Sufficient
TOC & Business Strategy
- Viable Vision / S&T Trees
TOC in Retail
- Isn’t it Obvious

9. YAGNA – Client Engagement Model
Awareness Assessment Adoption

10. Identified poorly
addressed
significant need
of the market
Build capability
to deliver to the
significant need
better than the
competition
Capitalize on the
unique capability
to generate
higher
throughput.
People – Involvement through
Measures
People – Involvement through
Measures
ITSolutions
ITSolutions
Sustain the
increased flow by
managing capacity
enhancement
smoothly.
1 2
4
3

11. Our Clients and Partners
RAMDEVS MOTORS
https://www.demanddriventech.com/about/partners/#asia

12. Case
Study

13. Meet Mr. X
A 3rd Generation Entrepreneur
45-year-old SME
Capital Equipment OEM
Serving clients in India and Globally
Mr. X is the owner of an SME*

14. 1
2
3
4
5
6
Delayed
Deliveries
Start New
order early
Cash Flow
Pressure
Delayed
Vendor Payment
Difficult to
synchronize
full kit
Higher WIP
Life Once Upon A Time

15. Yagna’s Finding
CAUSE
Current belief &
practices – early
start will lead
to ealy
complication
EFFECT
Lack of visibility
of the relevant
information

16. TOC @ work
Identify
Assembly Bays
Decide How To
Exploit
Zero Wait On Assembly Bays
Subordinate
Eliminate bad multitasking
Single priority Across The Company
Full-Kit Before Start of Work
Limited Work In Process

17. Yagna @ work
Controlled
Flow
Planning
Mechanism
Visibility
Review
Mechanism

18. Chaos To Success
In 90 Days
Assembly
Cycle
Time
In 1 Year
Flow
Through
System
Working
Capital
Delays In
Delivery
START
By 40%
By 60% By 60% By 20% 4 Months
By 40% By 30%
From 6
To 3 months
SUCCESS

19. Internal External
Standardization Vendors
Performance Measurement
Incentive Link To
Customers
Rationalized Machine Variety
Fast Delivery For Standard
Machine
Well Defined Sops For All Function
On-time In Full
Throughput
Education And Alignment For Timely
Material Delivery
Performance Scorecard
Faster Payments
Faster Resolution To Customer Request
Customer Communication Formats
Collateral Advantage

20. Spares Function
Marketing:
Unrefusable /Mafia offers
Stores
Hired and trained the Lead
Designed and implemented the
Planning system along
With SOP
Constitutes 5% of the
company's revenue within an
year
Designed mafia offers to create
monopoly
Rolled out the mafia offer based
on delivery commitment
Helped the organize the store
New inventory module
Buffer system
Picture Abhi Baki Hai...

21. “Yagna guys aren’t like those fancy consultants who make
fancy presentations but they actually get onto the shop floor to
get their strategy executed. They deliver more than what they
commit!
They are my business partners.”
- Mr. X, Chairman and MD
Happy Mr. X Speaks

22. INTERESTED?
If you’re excited by Yagna’s revolutionary way
of business and wish to seek partnership
with Yagna Resultants, do get in touch with
us at:
YAGNA
ENTREPRENEUR
SUCCESS
SERVICES LLP.
C-6/2, GERA’S EMERALD CITY,
SITE NO.66, BANER,
PUNE – 411 045
Tel: +91 99220 02351
www.yagnaworld.com

23. Backup Slides
on generic SME
problem

24. Higher productivity = Prosperity
Third World
First World

25. Entities in Indian Economy
Established Large
Enterprises –
Low number + High Value
Start-ups, Micro & Small Entities
High number + Low Value
Opportunity = Existing, > 10
years > 25 Crs, Owner
Managed, Aspiring to Grow
Big 10
Consulting
Firms Target
these

26. ▪ SME’s account for >50% of
Manufacturing output in India.
▪ Many start-ups come into
existence but their survival rate is
dismal.
▪ 20% survive after 5 years and only
4% after 10 Years
▪ Only a small fraction develop into
the high-growth firms which make
important contributions to job
creation.
▪ Such high mortality results in
wastage of scarce resources and
reduces productivity of economy as
a whole.
The Market Problem

27. ▪ An SME owner usually has to
wear many hats -- CEO,
accountant, human resources
manager, purchasing
manager, financial officer
▪ In most of these fields she
lacks adequate management
skills
▪ This usually results in a
number of mistakes,
including poor time
management, inadequate
record keeping and financial
controls, pricing mistakes,
faulty hiring, and so on.
A known fact!

28. SME Owners
spend
considerable
time in fire-
fighting
SME Owner is
hard pressed to
spend time on
planning for the
future or
implement
robust systems
Resources and
opportunities are
wasted
SME struggles to
make ends meet.
Profits are
negligible.
SME finds it
difficult to
attract and
retain talent
Sustaining any
improvement
initiative to its
logical
conclusion is
difficult
SME owners are stuck in a vicious cycle

29. SME Entrepreneur’s Dilemma
A: Do well now
as well as in
future
C: Build for
Future
B: Protect the
current status
D’: Focus on new
initiatives
D: Focus on day to
day fire-fighting
In order to have A, we
must have B
In order to have
B, we must
have D
In order to have
C, we must
have D’In order to have A, we
must have C
Objective
Need
Need
Want
Want

30. An ideal solution would be
A: Do well
now as well
as in future
C: Build for
Future
B: Protect the
current status
In order to have A, we must
have B
In order to have A, we must
have C
Objective
Need
Need
• The current
investment and
employees deliver
far more than earlier
• The cost of the new
initiatives is derived
from additional
income
• The solutions
implemented are
stable.
• A Decisive
Competitive Edge is
created which
ensures future
revenues