Demand Innovation

What happens when services reach optimum efficiency and further savings are still required? 

APSE Solutions can help by tackling the demand side of the equation. In some instances this might mean shifting the focus from doing things efficiently to avoiding doing them at all. In others it may be about a radical shift in emphasis from reaction to prevention. It might also be about refocusing on a new set of needs to identify untapped sources of income. In all cases it will be about understanding and managing demand.  As we move towards further cuts, this offers a workable solution if resources are reduced below the level required, even at optimum efficiency, to meet genuine underlying demand. 

APSE can provide the following support: 

• Explore the concept of demand innovation.
• Learn and use practical Lean and Blue Ocean Strategy tools to identify new ways of delivering services.
• Develop and implement a demand innovation strategy.
• Practical recommendations on how refocusing demand can open up new income streams.

APSE Solutions has taken tools from Lean Management and Blue Ocean Strategy and adapted them for use in a local government context.  The team have already helped a large number of council service providers to reduce costs, by becoming more efficient and helping them to identify, analyse and change demand.  Get in touch for further information to help manage demand for your service. 

Blue Ocean strategy

Blue Ocean strategy focuses on both new and different demand, which is why it is so useful for public sector managers faced with the challenge of maintaining essential social policy outcomes with dwindling resources. It has been clear for some time that supply side efficiency measures are unlikely to be enough to see us through the next round of cuts and APSE has been exploring the idea of demand management. The idea is to try and change the nature of demand for services whilst still meeting social policy objectives, but reducing cost.

Blue Ocean strategies help with both the thought process that goes into unlocking the ‘value innovation’ needed to achieve this, and also the implementation strategies needed to make necessary changes to service delivery.