Buy

Share

Do

Understanding Service Needs

To examine the context of service delivery in local government To examine how we can understand service needs To look at techniques for understanding service costs and demand

patterns To revisit stakeholder consultation in the light of political initiatives

such as Localism and the Big Society To examine stools for service delivery optimisation

Objectives

This programme is the 1st Module in a series covering every aspect of the Do Buy Share approach

Completion of all the modules will provide the knowledge required for the ILM Level 3 Award in Service Improvement

A work based assignment is required to be awarded the qualification

Further details will be available on the Do Buy Share website A link will be mailed to you shortly

Links to other procurement programmes

Contract Relationship Management

Contracting

Solution Provision

Commercial Assessment

Identity Service Need5 Modules

Benchmarked to:

National Occupational Standards for Purchasing

Full attendance plus completion of assessment leads to ILM Level 3 Award in Service Improvement

Learning Materials

Programme supported by Workbooks and elearning via iLearn

Dedicated Client service manager

Change

Evolution? Revolution? Adaption?

Machiavelli“There is nothing more difficult to take in hand,

more perilous to conduct, or more uncertain in its

success, than to take the lead in the introduction of

a new order of things”

Sir Winston Churchill

“To improve is to change;

to be perfect is to change often”

Where are we now? SPECTRE ANALYSIS

• Social

• Political

• Economic

• Customer

• Technological

• Regulatory

• Environmental

“We trained hard, but it seemed that every time we were beginning to form up

into teams we would be reorganised. I was to learn later in life that we tend to meet any new situation by

reorganising, and a wonderful method it can be for creating the illusion of progress, while producing confusion, inefficiency and

demoralisation.”

Caius Petronius AD 66

Single loop learning tries to keep up!

Double Loop Learning – seeks to create

Demand MappingHow can we make the service fit the demand?

Understanding patterns in demand

SMART resourcing

Thinking outside the square

RUN chart or Time series analysis

Use to examine patterns in a a service or process and play back to the delivery team to identity frequency, scale, trends and ownership.

Use to examine patterns in a a service or process and play back to the delivery team to identity frequency, scale, trends and ownership.

Service demand

0

1

2

3

4

5

6

mon tue wed thur fri sat

Day of week

Nu

mb

ers

Business Process Mapping

• What does the service look like?• What happens first, what happens next?• From the providers view• From the Customers view • Get input from all and get people to draw simple flow charts• Compare them, discuss the differences• Decide what it needs to be against what it is now (Gap

analysis)• Draw the improved process

The Service Chain – looking for the weak links

The Kano Questionnaire

What value is added at each stage of the process?

Triaging work

• Cost of 5 minute interview with middle manager in an interview room

• Cost of dealing with transaction by email

• Cost of dealing with transaction by phone

• Cost of dealing transaction by website

+C

OS

T-

-SP

EED

+

The Pareto Principle

80% of queries handled at 1st point of contact20% escalated

The Concept of Fast FixesOrganisations may have several departments that have direct interaction with the customer.

These include :

– Those on the front line - 1st level support

– Those who try to fix the problem initially – 2nd level support

– Those to whom the problem is sent if it can't be fixed- 3rd level support

– Managers who may get involved if the customer is irate

– Design for minimum customer handling – Why can’t the first point of contact fix the problem ?

Golden rules of Focus or User Groups

• Make sure group is representative• Convenient venue for the participants• Ideally around 10 – 12 • Around 90 minutes long• You’ll need a facilitator and note taker • Open questions – one at a time to speak• Around 6 topics- let participants know what they are in advance• Send copies of notes and thanks afterwards

• Make sure sample is representative

• One side of A4 printed on yellow paper

• Minimum questions to increase response, ideally 10

• Measure degrees of satisfaction and dissatisfaction (disagree strongly/disagree/agree/agree strongly)

• Use 4 tick boxes per question - simple language

• Allow room for comment

• Design for easy compilation of results

Golden Rules of Surveys

23

A Questionable QuestionnaireSuppose that a summer camp director had prepared the

following questionnaire to use in interviewing the parents of prospective campers.

1. What is your income to the nearest £100 ?People don’t usually know their income to the

nearest 100 nor do they want to reveal their income that closely. Moreover, a researcher should never open a questionnaire with such a personal question.

2. Are you a strong or weak supporter of overnight summer camping for your children ?

What do strong and weak mean ?

24

A Questionable Questionnaire 2 3. Do your children behave themselves well at summer camp?

Yes ( ) No ( )Behave is a relative term. Furthermore, are ‘yes’ and ‘no’ the best

responses to allow for this question? Besides, will people want to

answer this? Why ask the question in the first place?4. How many camps mailed literature to you last April ?

This April ?

Who can remember this?

5. What are the most salient and determinant attributes in your evaluation of summer camps ?

What are ‘salient’ and ‘determinant’ attributes? Don’t use big words

6. Do you think it is right to deprive your child of the opportunityto grow into a mature person through experience of

summer camping?A loaded question. Given the bias, how can any parent answer

‘yes’

Impressions

About your organisation

What would you like your customers

to say about your organisation and

the way it deals with them ?

About You

What would you like your customers

to say about you and the way you

deal with them ?

Behavioural Standards for Barpersons

• Acknowledges customers arriving at the bar within 30 seconds

• Smiles and greets in a polite and friendly manner Serves customers in strict order of arrival

• Works from left to right in each segment of the bar

• Serves right drink with right change in 3-4 minutes

Why do customers leave?–What the research says

14% are attracted by other suppliers (where they have a choice)

14% are dissatisfied

with the service itself Sources : British Quality Foundation

Institute for Customer Service

68% are dissatisfied with

the indifferent attitude of

just one member of staff

Individual behaviour makes the

It is a myth that service quality is the major influence on customer satisfaction – it’s just one!

Every individual makes a significant impact customer experience & on the organisations service reputation

difference!

Why are people and organisations

often resistant to change?

The Transition Curve

1. SHOCK

Shock overwhelmedmismatch betweenhigh expectations

and reality

6. NEW MODELS

InternalisationSeeking understandingwhy things are different

Not until people get out of activitydo they understand their lives better

5. EXPERIMENTATION

New behaviours, new approachesTendency here to stereotype

i.e. the way things should be doneLot of energy

Begin to deal with new realityLot of anger and frustration

4. LETTING GO

"Letting go of past" comfortable attitudes and behaviours

3. FRUSTRATION

Awareness that change is necessaryFrustration phase

How to deal with change

2. FALSE HOPE

Temporary retreatDisbelief

7. NEW BEHAVIOUR

Incorporate meaningsinto new behaviours

TimeBeginning of transition

Understanding how some senior managers feel

• It’s best not to give information about ‘work in progress’

• It’s best not to say, “I don’t know”.

• Don’t be the bearer of bad news.

• Don’t give information unless absolutely necessary.

• Secrets must be guarded

• The average employee cannot handle difficult information.

• Information should be dispensed on a “need to know” basis

Transition Period Issues• Uncertainty and anxiety felt about the eventual outcome of the

change

• People asking questions to which managers do not have the answers

• Resistance if the change seems threatening

• Rumour

• Uncertainty and ambiguity about roles and responsibilities Maintaining the initial surge of energy and enthusiasm for change

• Constant re-appraisal of objectives and priorities

• People looking for opportunities & advantages

• Planning the desired future state

• Difficulty maintaining morale and commitment

• Physical upheaval

• Maintaining comfort zones

Force Field Analysis - Lewin

RESTRAINING FORCES

DRIVING FORCES

DESIRED STATE

PRESENT STATE

UNDESIRED STATE

Understanding Driving & Restraining Forces

behaviourCues trigger leads to Pay-Offs

What's in it for me? Pay-Offs

The behaviourist approach - Skinner

Freeze/Unfreeze/Refreeze

If you were a water molecule......

Understanding how it feelsUnderstanding how it feels

External & Internal Research and feedback

Present state – Desired future state

External trends and driversSPECTRE

(Pestle)

STAKEHOLDERAnalysis

& Research

GAP analysisSWOT

Where are we now?

Where do we need to

be?

Moving from the Present state to the Desired state through empowerment.

Using a practical model to drive change

Strengths What have we got that is good? What do we do well? What advantages do we start with? What do we like?

Weaknesses What don t we do well? What problems are there? What disadvantages do we start with? What don’t we like?

Opportunities Build on strengths Correct weaknesses Take precautions against threats Turn opportunities into objectives

Threats What internal or external matters could adversely aff ect us?

Strengths What have we got that is good? What do we do well? What advantages do we start with? What do we like?

Weaknesses What don t we do well? What problems are there? What disadvantages do we start with? What don’t we like?

Opportunities Build on strengths Correct weaknesses Take precautions against threats Turn opportunities into objectives

Threats What internal or external matters could adversely aff ect us?

Where Are We Now ?Using SWOT Analysis dynamically to

plan the change

The Moebus Strip – puts us all on the same side

‘‘People do not resist their own ideas’People do not resist their own ideas’

- Rowley & Rogers- Rowley & Rogers

The ADKAR Model – shifting to fast download for maximum

speed of adoptionThe components

• Awareness of the need for change• Desire to support and participate in the change• Knowledge of how to change• Ability to implement new skills & behaviours• Reinforcement to sustain the change

Fast Download gets Fast Download gets 50% speed up in 50% speed up in

adoptionadoption

(Prosci Consulting study of 1600 companies in 20 countries)(Prosci Consulting study of 1600 companies in 20 countries)

Where Are We Going?

“Our ongoing mission, toseek out new worlds and new civilisations. To boldly go where no onehas gone before!”

Rich PicturesWhat does your ideal future look like?

WHY

£VFM

WHEN

WHOFOR

WHATType ofservice

HOW

WHOProvides

WHERE

Just Schools Wider

Special Needs

Day Care

Other (Courier)

Local Groups

After School

School Trips

RISKS

ConsultStakeholders

Other Seniors

Pupils

Other BCC Clients

Parents

Others

Older

Special

Other

Pupils

All

Attended Class

Statutes

School Age

Nursery

Primary

Secondary

Time

am/pm

BreakClause

Length ofContract

Monitoring

Quality

Cost

Service

Efficiency

Charging Policy

Bus Pass Issues

C.P.A.

Benchmarking

Grants

Charge/Lossof demand

CRB/Legal/Hts

ContractFailure

Service

Quality

Finance

ContingencyPlan

Wider

Strike

Ind bus/driver

CPASchool/

School Groups

Partnership County/DistrictOther

Alternative

Rural/Urban

Lease or Buy

..Or Standalone

Maintenance/Repairs

Insurance

Running Costs

Drivers

Buses

Additional contract(to existing)

CRBNo.of Drivers

No.of AttendantsDisabilities

Health & Safety

Infrastructure No.of Buses

Yellow Buses

Infrastructure Issues

Snow/gritting

Size of Bus& Roads

Drop off points

Traffic Priority

Bus Stops

CPA LTP Targets

Environmental CommunityPupil Safety

Rural Areas

© Cherith Simmons Management 2006

Yellow Bus Diagram

Tools for Change – Lean Six Sigma• Lean• Born out of manufacturing but applicable to service

delivery, processes and systems• Coined in 90’s• Mostly derived from the Toyota production system• Focuses on eliminating the 7 wastes

• Six Sigma• Developed by Motorola in 1986 but drawing on many other

established approaches from the previous 50 years

• Can be applied to manufacturing or service industries

• Designed to reduce error and waste, improve service and reduce cost

• Involves all stakeholders

Inspired by the work of Dr Deming

The PDCA cycle•Plan •Do •Check •Act

Develop problem

description and project goals

Collect customer data

Review historical data

Map the current process

Set up a team and define its

remit

Identify critical quality

requirements

Evaluate current

measurement system

Develop a better one if

found wanting

Collect data

Identify process steps that add

value

Identify root cause for

problem areas

Target waste

Prioritize root causes

Map the future state

Develop potential solutions

Review best practice and

adopt if sound

Set criteria for selecting solutions

Pilot solutions

Roll out solutions

Define Measure Analyse Improve Control

Document the new process

Map the process

Set up monitoring &

review

Train staff

Identify lessons learned.

DMAIC – Improving existing processes or services

Poor quality

= Defects

In service

Rework TravelOver

supplyAccess

The 7 WastesThe 7 Wastes

Waiting Inventory Complexity

More supply than

demand

Cost of delivery

- Reduce

Idle stock,Kit, or space

InternalOr

external delay

Dead time

-Reduce

ComplexNot

neededUse

triage to fix

The 5 ‘whys’An example:

• My car will not start. (the problem)

• Why? - The battery is dead. (first why)

• Why? - The alternator is not functioning. (second why)

• Why? - The alternator belt has broken. (third why)

• Why? - The alternator belt was well beyond its useful service life and has never been replaced. (fourth why)

• Why? - I have not been maintaining my car according to the recommended service schedule. (fifth why, root cause)

Case study – Practice Nurses

• 12 Nurses from 12 practices buy 3 brands of dressings Their combined stock takes up 500 square feet of storageAnnual wastage runs at 15%How could they use a Six Sigma approach to improve efficiency and save money

• 12 Nurses from 12 practices buy 3 brands of dressings Their combined stock takes up 500 square feet of storageAnnual wastage runs at 15%How could they use a Six Sigma approach to improve efficiency and save money

CTQ Tree – Critical to Quality

Short waits

Happy Patients

Easy access

Cared for

Get Well

Friendly staff

GoodComs..

Staff

Materials

Resources

Methods

The Fishbone or Ishikawa Diagram

Measures

Workplace

Problem

Maps cause and effectMaps cause and effect

Robustification

• No – George did not invent it!• It’s a quality process where you

make your service less prone to random variability

• How would you make sure your delivery drivers had equal skills and did not waste time on delivery runs?

Choosing between directions

• How can we make objective choices about which change options to pursue?

• Some tools• Cost benefit plus• PICK charts• Decision Matrices

Cost Benefit Analysis to compare alternatives

• What delivers the most cost effective solution?

• Cash benefits?

• Plus + Time costs?

• Plus + Transaction costs between options?

• Plus + Are we triaging service delivery at most cost effective level?

• Plus + Are Social benefits relevant?

Low Pay Back High Pay Back

Easy to do Possible Implement

Hard to do Kill Challenge

When faced with multiple improvement ideas a PICK chart may be used to determine the most useful. There are four categories on a 2*2 matrix;

horizontal is scale of payoff (or benefits), vertical is ease of implementation.

PICK Chart

The solution MUST

contain these

elements

It would be a BETTER solution

with these elements

The best solution delivers all Essentials and scores highest on Desirables

Essentials

Desirables

Compare and score

Some tools for Service Design -Kepner TregoeAnalyze to develop and design alternatives, create a high-level design and

evaluate alternatives to select the best design

What does the ideal solution

look like?

Questions?Questions?