Managing Service Delivery Processes

Jean Harvey

Description

The quest for value drives customer behavior in the services marketplace. This book focuses on complex service processes, and is written for professionals, quasi-professionals, and technical workers laboring in all spheres, from law to medicine, and accounting to engineering. It draws its theory and examples from these professional services and many more, with hands-on end-of-chapter exercises on all topics. A framework is presented for understanding how a set of shared fundamental beliefs drives the best-in-class professional service organizations in their learning, which is the source of sustained competitive advantage. Products and processes can be imitated or copied, but learning faster than your competition cannot. Processes create the benefits customers want by delivering the service, or by making this delivery possible in one way or another. The notions, methods, and tools presented in this book present readers with a perspective on their work they most likely never envisaged, and which will lead to a marked improvement in their effectiveness.

Sujets

• Business
• Qualité, hygiène, sécurité, environnement
• Total Quality Management
• Gestion et management
• Economics

Informations

• Publié par: ASQ Quality Press
• Date de parution: 07 juin 2005
• Nombre de lectures: 1
• EAN13: 9780873891660
• Langue: English
• Poids de l'ouvrage: 5 Mo

Extrait

Managing Service Delivery Processes

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To request a complimentary catalog of ASQ Quality Press publications, call 800-248-1946, or visit our Web site at http://qualitypress.asq.org.

Westcott,

Managing Service Delivery Processes

Linking Strategy to Operations

Jean Harvey, Ph.D.

ASQ Quality Press Milwaukee, Wisconsin

American Society for Quality, Quality Press, Milwaukee 53203 © 2006 by American Society for Quality All rights reserved. Published 2006 Printed in the United States of America 12 11 10 09 08 07 06 5 4 3 2 1 Library of Congress CataloginginPublication Data Harvey, Jean, 1950– Managing service delivery processes : linking strategy to operations / Jean Harvey. p. cm. Includes bibliographical references and index. ISBN 0-87389-675-0 (pbk. : alk. paper) 1. Business planning. 2. Organizational learning. 3. Management. I. Title. HD30.28.H3814 2006 658—dc22 2005027833 ISBN-13: 978-0-87389-675-7 ISBN-10: 0-87389-675-0 No part of this book may be reproduced in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Publisher: William A. Tony Acquisitions Editor: Annemieke Hytinen Project Editor: Paul O'Mara Production Administrator: Randall Benson

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Printed on acid-free paper

To my wife Carole, for her unrelenting support, understanding, and courage in the face of adversity.

Contents

Major Abbreviations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . x Prefacexi. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Chapter 1 Toward Value and Strategic Advantage through Rigorous Execution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.1 Execution Matters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.2 The DNA of the Learning Organization . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 1.3 Everything That You Do Can Be Viewed as a Process–Anything? Anything! 6 1.4 Structure of the Book . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 1.5 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Chapter 2 The Nature of Value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 2.1 Quality of Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 2.2 The Customer Value Equation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 2.3 Positioning in Professional Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 2.4 Positioning in the Labor Market . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 2.5 Managing the Shareholder Value Equation–EVA . . . . . . . . . . . . . . . . . . . . 47 2.6 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 Chapter 3 The Nature of Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 3.1 What Is a Process? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 3.2 Exploring the Process Space . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 3.3 Chain of Commitment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70 3.4 Processes: At the Heart of Value Creation and Learning . . . . . . . . . . . . . . . 75 3.5 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 79 Chapter 4 Professional Service Delivery Processes . . . . . . . . . . . . . . . . . . . . 83 4.1 Fundamental Notions about PSDPs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 4.2 Exploring the Major Links in the Chain of Commitments . . . . . . . . . . . . . . 93 4.3 Fault Lines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105 4.4 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 106 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 106

vii

viiiContents

Chapter 5 Think Globally, Act Locally . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109 5.1 Strategy in Professional Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 109 5.2 From Strategy to Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 125 5.3 The Learning Organization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 134 5.4 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 136 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 137

Chapter 6 Connecting Value to Processes: The Techniques . . . . . . . . . . . . . 141 6.1 Selecting the Right Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 141 6.2 Review and Clarify Positioning and Operations Strategy . . . . . . . . . . . . . . 142 6.3 Establish Customer Needs and Wants . . . . . . . . . . . . . . . . . . . . . . . . . . . . 144 6.4 Define a Service Package . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146 6.5 Identify Key Metrics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 152 6.6 Identify Processes and Evaluate Their Impact on Key Metrics . . . . . . . . . . . 157 6.7 Select Processes on the Basis of Salience and Performance . . . . . . . . . . . . 159 6.8 Process Mission: The Hinge Between Strategy and Operation . . . . . . . . . . . 167 6.9 Questions and Answers on the Methodology . . . . . . . . . . . . . . . . . . . . . . . 168 6.10 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 170 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 171

Chapter 7 Scoping a Process for Improvement or Design . . . . . . . . . . . . . . 173 7.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 173 7.2 Step One—Identify the Big Y: What is the General Goal Being Pursued? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 174 7.3 Step Two—Determine Related Metrics: What Other Quantities (or Metrics) Are So Closely Related to the Big Y That They Could Potentially Constitute Alternatives to It? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 176 7.4 Step Three—List Potential Processes: What Is Being Done That Has an Impact on These Metrics? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178 7.5 Step Four—Create a Process Metrics Diagram: How Are the Target Metrics and Processes Related? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180 7.6 Step Five—Conduct a High-level Process Performance Evaluation: What Is the Current Performance Level of These Processes? . . . . . . . . . . . . . . . . 182 7.7 Step Six—Create a Cause and Effect Diagram: What Are the Causes of the Problem? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 182 7.8 Step Seven—Identify the Small Y: What Is the Specific Goal Being Pursued in This Project? What Is the Yardstick That Will Be Used to Measure the Project's Success? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 187 7.9 Step Eight—Delimit the Turf: What Is the Perimeter of the Process to be Improved or Designed to Reach the Goal Formulated in Step Seven? . . . . . 188 7.10 Step Nine—Check the Scope: Is the Scope Too Broad? . . . . . . . . . . . . . . . 188 7.11 Step Ten—Review the Scope: How Could the Scope Be Further Reduced? . 189 7.12 A Balancing Act . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190 7.13 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 192

Chapter 8 Managing a Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 193 8.1 Variation and Process Control . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 193 8.2 Process Control—a Systems View . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 199

8.3 8.4

Contentsix

Process Control in Professional Services . . . . . . . . . . . . . . . . . . . . . . . . . . 204 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 222 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 222

Chapter 9 The Learning Cycle . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 227 9.1 The Learning Cycle: Moving Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . 227 9.2 Process Problems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 228 9.3 Change Vehicles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 232 9.4 Process Change Methodologies and Tools . . . . . . . . . . . . . . . . . . . . . . . . . 234 9.5 The Match . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 236 9.6 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 238 9.7 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 238 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 239

Chapter 10 Doing Things Better: Improving an Existing Process . . . . . . . . . 241 10.1 High-level View of the Improvement Methodology . . . . . . . . . . . . . . . . . . 241 10.2 Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 243 10.3 Define . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 244 10.4 Measure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 248 10.5 Analyze . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 253 10.6 Improve . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 270 10.7 Control . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 277 10.8 Understanding the DMAIC Methodology . . . . . . . . . . . . . . . . . . . . . . . . . 277 10.9 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 279 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 279

Chapter 11 Doing Things Right the First Time: Designing a Process That Works . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 281 11.1 High-level View of the Design Methodology and Project Setup . . . . . . . . . 281 11.2 Define . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 285 11.3 Characterize . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 287 11.4 Design . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 295 11.5 Verify . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 309 11.6 Understanding the Design Methodology . . . . . . . . . . . . . . . . . . . . . . . . . 311 11.7 Comparing DCDV and DMAIC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 313 11.8 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 315 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 316

Chapter 12 The Learning Organization . . . . . . . . . . . . . . . . . . . . . . . . . . . . 319 12.1 One Size Never Fits All . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 319 12.2 The Dimensions of the Learning Organization . . . . . . . . . . . . . . . . . . . . . 321 12.3 Levels of Learning Maturity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 330 12.4 Improving Learning Capabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 331 12.5 Using the Process Approach to Improve Single-person Professional Processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 334 12.6 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 337 Exercises . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 337

Bibliography. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 341 Index345. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .