DOING IT RIGHT IS CHEAPER

I decided to scan my immediate environment here in Victoria Island (V.I), Lagos for any lessons worth learning on efficient service delivery and its impact.

The local council after prolonged abandonment of a road stretch on about 2KM somewhere in V.I finally decided to construct drainage and lay asphalt in a move to repair the stretch. From the initial work done, it seemed they had done a proper assessment and found the root cause to the incessant degradation of the road over the years -usually soon after major rehabilitations. After one year of man hours, capital, and scarce resources, the job was declared completed. Unfortunately the unexpected happened, right in November a defiant rain poured; asphalt washed away, drainage collapsed, manholes got filled up and the entire stretch was not motor-able. Typically, the contract was re-awarded as usual to a expatriate constructions firm that spent another year to do a very thorough job. Drainage reconstructed and covered up appropriately, road tiles well laid, inter-drainage connector and underground reinforcement properly fixed.

Picture from http://www.omaxeindia.in/page.php?page=Road%20Construction

What that has happened in the spate of two and a half year which was used to construct 2 KM stretch is nothing short of:

1. Millions of dollars wasted from tax payers funds on the entire first project

2. 2 and a half years inconvenience to road users (customers)
3. Lost revenue on other projects that could not be serviced due to the engagement of reources of the first project.

The real cost of this avoidable mess is hardly quantifiable.

I guess doing it right the firt time (part of te seven habits of highly effective people) is actually about 60% cheaper than not.

Thanks for reading ( pls leave a comment)

Your friend.

Titus

ERROR-FREE PROCESSING IDEAS

           

Hello Folks,

Talking about day-to-day transactions, I have noticed over the years how business leaders take process improvement initiatives like SS and Lean with a pinch of salt. Often times, transactional processes are designed without proper understanding of the end point. Scores of millions is lost yearly on avoidable wastes that are either embedded or generated by the business. This time around I'd like to focus on designing process for an error-free transaction processing.

I have itemized a number of ideas for anyone interested in implementing some ideas on error-free processing.

Picture from www.improsys.in

IDEA 1 - Think of AUTOMATING repetitive activities using light computer apps like MS Access or off-shelf apps - nothing hypertek.

IDEA 2 - ELIMINATE HUMAN INTERVENTION where possible (very similar to idea 1)

IDEA 3 - For repetitive transactional processes, insert CONTROL steps that will limit errors like maker, checker approval

IDEA 4 - Where automation is not feasible, consider OPTIMIZING CONTROL steps that will eliminate error from processes like job rotation, shifts periods, job deliniation.

IDEA 5 - Where possible PREVENT processors from making errors using system capacities. This is called POKA-YOKE (Error Proofing). e.g. Design your Customer Information Systems to take only appropriate figures on texts and not both - thereby eliminating mistakes of putting erronous texts in date field.

IDEA 6 - Design your CONTROL to be BEFORE the PROCESS or at worst part of the process and not after the process (post moterm). This helps processors to own the audit/control thereby developing the subconiousness to do things right

IDEA 7 - SET achievable STANDARD for acceptable error rate using benchmark analysis and train processors on it.

IDEA 8 - MEASURE error rate of your processes using the six sigma methodology (or any better method if you know one)

IDEA 9 - REWARD error free processing. Put your money where your mouth is.

IDEA 10. This is the most important one - OBTAIN MANAGEMENT COMMITMENT. and stakeholders buy-in.