Business Process Failure
30% of everything you do is waste. Happy?
  • Failure
  • Classify and measure your processes

    The philosophy and methodology is absurdly simple:

    1. Measure every process. e.g. Sending an invoice takes 1 hour at $50 plus postage and stationery $2 = $52.

    2. Classify into four categories - IMPROVEMENT, PASSION, OPTIONAL, SQUANDER - IPOS.

    3. You'll find that you will roughly have:

    Improvement pursuits (2%); Passion pursuits per your Venn (55%); Optional pursuits (13%) and Squandered pursuits (30%)

    4. Eliminate squander and minimise optional.

    If you do not have this, you have failed item VI of the Next Level Thinking test. But, fear not, we can get you to pass the test!

    Details and Navigation
    to home page

    Some really useful examples and situations to avoid.

    Imagine your manager is found to spend the whole day in panic mode.

    They are flat out like a lizard drinking answering staff questions, handling customer complaints, sorting SNAFU's, providing meaningless reports to Head Office. They are meant to be selling 25% of their time and it's 5%. They take an hour for lunch from their 25 hour day and the daily marital bliss planned is a distant memory.

    You work out that around 36% is Squander and that's 14 hours per week * $100 = $72,800 per year.

    Identify the cause and eliminate.

    What is your assessment of squander at AHG?

    A client buys a new Kia.

    The contract: Frankston Kia = Mornington Auto Group (2012) Pty Ltd

    The deposit: EFTPOS - Frankston Mitsubishi; processed in the Mitsubishi service department for a new Kia

    The receipt for the deposit: Jeff Wignall Ford Pty Ltd

    The tax invoice: Frankston Kia = Mornington Auto Group (2012) Pty Ltd

    The bank cheque payable to: Frankston Kia

    The receipt for the bank cheque: Mornington Auto Group (2012) Pty Ltd

    The receipt type: MITS CASH DEPOSIT, when it is not the deposit at all. Says drawer of cheque as the customer when it is a Bank of Melbourne Bank Cheque

    Creates work to reconcile 3 accounts when 1 would do. Squander is 66% for starters. This is Australia's largest car dealer - AHG.

    Westpac announces new operating model June 10, 2015 10:50 AM

    Westpac Banking Coroporation (ASX:WBC) will split its business into two divisions in a bid to simplify banking operations and focus on the customer.

    It's taken them 198 years to work it out. Focus on the customer! Good grief. Now you know why they are so terrible and some bash them accordingly.

    Now it's your turn. What is Francesco Schettino's Disc pattern?

    Here are some clues: Allegedly he was entertaining an off duty staff member.

    Schettino admitted to the court that his reason for sailing close to Giglio -- leading the ship to hit rocks -- was to "impress the passengers." Breaking down in tears, Schettino recalled that January day three years ago. "I died along with the 32 others," he said. And since then, Schettino insisted, he's become a victim, processed by a "media meat grinder".

    In denial - what's the most likely quadrant for that?. In denial. The ends justify the means. In a meeting would likely be a show off....

    Email me if you want the answer!