Perkins Safety and Claims Department

TECH 50800 ProjectBank Card Procurement ProcessMeasure PhaseDate: Oct 29, 2014Dave Shoffner

Brief Review of Project Charter(Problem and Goal Statement)Problem: The issue or problem is the amount of time required for the purchase of an item via the BC process. The time between identification of a need and the purchase of the item or service and the time spent on preparation of the purchase constitute the issue. The function of BC procurements is done by a person known as a BC Holder. This duty is collateral or secondary from their primary assignment.

The impacts or pain of the issue are:1) Consumes time from the stakeholders: Requestors, BC Holders and Approving Officials/Reviewers2) Lowers morale because the process is time consuming and perceived as arduous3) Lowers productivity because research is slowed or stopped when waiting for needed items and time is spent on a collateral duty, not primary duties.

Goal: Reduce the amount of time from identification of need to purchase and time spent on preparation for items being acquired using the BC process so staff will have more time to work on primary duties and research activities will be delayed less. The time reduction goal is one day fewer from the identification to purchase interval and 5 minutes from the preparation of the purchase. The project is estimated to take 11 weeks.

Brief Review of Project Charter(Project Scope)The process being reviewed begins when a researcher identifies a need for an item and ends when the BC holder has a completed PR and may place the order. Within the scope of this process are the steps of definitizing the item to be purchased, finding an appropriate vendor, assignment of funding, obtainment of review approvals, and final approval. Receipt of the item, record of verification, and cost allocation are not within the process being reviewed. There are no funds available to the project and the mandated computer systems will be utilized.

Brief Review of Project Charter(Stakeholder List)Principle StakeholdersChampionRequestorPerson with need for item to be purchasedBC HolderPerson who makes the purchaseApproving OfficialApproves the purchaseBC Program Analyst Manages the BC Program & HoldersSecondary StakeholdersIT DepartmentHealth & SafetyPropertyBudgetHR (training)

SIPOCSuppliersInputsPROCESSOutputsCustomersRequestorPurchase Request (PR)Receive/Generate PRComplete PRRequestorBC HolderEmailFind Vendor if No RecommendationBC HolderApproving OfficialPhone CallRoute for ApprovalBC Program AnalystBC Program AnalystVendor RecommendationRoute for ReviewsFCOIT DepartmentCriteria/GuidelinesRoute for FundingHealth & SafetyInformationPlace OrderPropertyBudgetHR (training)Vendor

Voice of the Customer Analysis(SWOT) No changes from previousStrengthsAuto routing system - select who needs to review and system auto cycles through themInfo buttons built into the formPrompts if certain types of purchases are enteredWeb-Based: easily accessible from remote work locations (work from home) and approving officials in different geo areasElectronic purchase log for BC holdersOne system for getting approvalsAbility to enter own request, not required to send to another personHas all fields necessary for processing requestsIntegrated well with financial data systemWeaknessesMust manually select approving official and reviewers even if usually the sameFunding code numbers are not sequential; more difficult to do searchersPressing back arrow will "lock the PR and it is no longer accessible; must start over the entire processAfter each order function, cannot move directly to the next, goes back to home screenSome requests come with incomplete info, requiring time to "fill the gaps" (ex: justification for a special piece of equipment)Does not automatically move to an alternate approving official if the one selected is out of the officeOpportunitiesProgram allow users to set defaultsFeedback from users to webdesignersAuto forward to alternate reviewer when promary is out of officeGenerate spending reportsLive links imbedded in system for mandatory sources, search enginesList of most commonly used vendorsTickler reminders at each level if action has not been takenResponse goals or timeframes for approving officials/reviewers (ex: 2 days or 24 hours)ThreatsNo mechanism or capacity to do web changes (no contract vehicle, funds, etc.)System may change in the future; less efficient version, not user friendly, no info or built-in prompts

CTQ Tree(s)(Timeliness)

CTQ Tree(Timeliness)

Process Map

Process Observation WorksheetProcess Obeservation WorksheetStep -->12,34,5678910NumberDate Need IdentifiedTime for Market Research (min)Date (if different than previous)Time to Generate Request (min)Review Time by DD or BCDate (if different than previous)BC Holder Review Time (min)Purchase Code# approvals req'dDate Pre-Approvals CompleteApproving Official Review Time (min)Date (if different than previous)FCO Funding Time (min)Date PR CompleteTotal Time Spent on Processing (min)Elapsed Time (day)12345678910

ChecksheetThe Process Observation Worksheet is a better way of collecting the data needed because it records times and durations for individual process steps.Since the Checksheet is used for collecting qualitative process output data such as compliance and adherence data, it will not be used.

Spaghetti DiagramProcess is electronic and does not require movement to different locations to collect parts and assemble.Spaghetti Diagram not being done for the process.

ScheduleWeek ofTask22-Sep29-Sep6-Oct13-Oct20-Oct27-Oct3-Nov10-Nov17-Nov24-Nov1-DecMilestones1234567891011DEFINExxxxProject CharterMEASURExxxxxMeasurement DataANALYZExxxxID: Barriers & Time Consuming StepsIMPROVExxxSteps & ideas to reduce timeCONTROLxxMethods & Training

Data CollectionThe data being sought is two fold to encompass the two time items desired to be reduced (overall time-days and processing time-min)Because there is an existing bankcard system, the team is trying to use a business objects tool to extract or mine data that will minimize the time required for data collection (overall time). The following two slides show some of the data retrieved. The difficult part of using this data is to ensure it is consistent with the data being sought by the Process Observation Worksheet and all the parameters are represented.The processing time in minutes is not available in the bank card system and will have to be collected.

Database Mined Data

Database Mined Data

Next StepsNext the team will:Finalize CTQ treesDetermine the Key PIVsVerify the Observation Worksheet will provide the data soughtAnalysis of data collected