Six Steps to Increase Productive Capacity

Before you can consider increasing productivity, you need to increase your productive capacity.

Here are six simple, I didn't say, "easy", steps to do just that...

1. Identify the type of demand placed on your organisation. Collect and analyse the calls through your switchboard, your call centre, direct calls to employees, email enquiries and so forth. A month's worth is all you need. Sort into categories or types. You will finish this step with a set of demand types.
2. Analyse the frequency of demand in each category. As you collect the information about each type of demand, count how many times each type occurs. You will finish this step with type and frequency of demand.
3. Divide the types of demand into value-creating and value-destroying. You'll need to exercise some judgement here but the rule of thumb is that if a customer calls and asks you to do something, you are creating value for the client. If the call is a follow-up call asking when something will happen, or why it hasn't, it is destroying value. This step will show you how much of your time is spent destroying customer value.
4. Identify the questions that make up 80% of value-creating demand. Ensure that all people who receive calls or emails can answer these questions on the spot, i.e. they don't need to refer to anyone else. This will result in an increase in productivity, in terms that mean something to your clients.
5. Identify the questions that make up 80% of the value-destroying demand, or waste. Take each of these and conduct a root cause analysis. Find out why they occur and take whatever steps are necessary to ensure that they do not happen again. Eliminating the cause of value-destroying demand increases productive capacity. No capital costs, no technology investments, just stop doing things that add no value. Simple, and free!
6. Monitor and adjust as necessary. You don't want to create the most efficient complaints process in the world. You want to eliminate the need for one...