WHY PROCESS IMPROVEMENT Laura Jankovich Process improvement video

WHY PROCESS IMPROVEMENT? Laura Jankovich

Process improvement video (Mc. Donald’s) ■ https: //youtu. be/j. Tageuh. Pf. AM

Overview ■ Education, Career, and Family ■ History of Process Improvement ■ Available Process Improvement tools ■ Potential Challenges ■ Importance of “Continuous” Process Improvement ■ Group Discussion: Success Stories in Your Areas 3

Education, Career, and Family § 1991 - Bachelors of Science in Accounting from Mississippi College § 1992 - Entered Federal Service as GS-7/12 auditor at Eglin AFB, FL § 1994 - Tyler Jankovich at Eglin AFB § 1996 - Promoted to GS-13 Auditor Manager at Wright-Patterson AFB, OH § 1998 - Chris Jankovich at Wright Patterson AFB § 1999 - Voluntary downgrade to GS-12 to Shaw AFB, SC § 1999 - Certified Public Accountant 4

Education, Career, and Family (cont) § 2000 - Certified Internal Auditor § 2000 - GS-13 Audit Manager at QLQ, Wright Patterson AFB, OH § 2002 - GS-13 Budget Analyst at HQ AFMC (4 months) § 2002 - GS-14 Supervisory Auditor with DFAS Internal Review at Columbus, OH § 2003 - Zach Jankovich in Kettering, OH § 2005 - GS-15 with DFAS in Indianapolis, IN § 2008 - MBA from Strayer University 5

Education, Career, and Family (cont) § 2009 - SES (Tier 2) with DFAS as the Director, Internal Review § 2010 - SES (Tier 2) reassignment to be the DFAS CFO § 2012 – Applied for a downgrade (Tier 1) and selected to be the US Army in Europe G 8, Wiesbaden, Germany 2014 – Selected (Tier 2) as the Deputy Assistant Secretary of the Army, Financial Operations, Pentagon, Washington DC § § 2015 – “Back Home” with the AFAA 9 positions, 13 years with the Air Force, 10 years with DFAS, 3 years Army, 3 civilian career series; proudly serving our military for over 26 years – a truly rewarding adventure each and every day! 6

https: //youtu. be/j. Tageuh. Pf. AM 7

History of Process Improvement ■ Late 13 th century - Traced back to medieval Europe –craftsmen organized into unions called guilds ■ Early 20 th century – Manufacturers integrated quality processes into daily operations ■ 1947 – Industrial Organization for Standardization – Created to develop unified standards for 156 countries, based off Greek word ISOS – meaning “equal”, thus the term ISO ■ Strategic Plans – updated periodically, pace the change but not stagnant ■ Standards make a huge contribution to our lives, although often that contribution is invisible; unless they are not being followed or working properly 8

Available Process Improvement Tools ■ Lean Methods: – Remove non-value added waste – Thus, improving speed or process lead time ■ Six Sigma Methods: – Grounded in the DMAIC methodology – Attacks variation – Thus, improving quality ■ Combined Lean and Six Sigma: – Faster cycle times, decreased costs, and improved quality – Thus, more satisfied customers 9

Available Process Improvement Tools (cont) Define: Describe the problem quantifiably, visualize the process, and understand customer needs Measure: Understand the process and its current Analyze: Identify the true root cause(s) that has the biggest Improve: Brainstorm and develop improvement solutions to Control performance impact on process performance attack root cause(s) Control: Implement the solutions and sustain the gains 10 9

Potential Challenges ■ Resistance to change ■ Takes too long ■ Too busy – no time to do process improvement AM PM Draft 1 w/edits Draft 1 a Draft 1 b w/edits Draft #1 c w/edits Draft 1 c Draft #1 d Draft #1 e Directorate AG Draft j 1 b Re ct Drafte 1 b Draft 1 c Draft #1 e DAG Approve Draft 1 c Draft #1 d w/edits Prepare Draft #1 c Red Folder Draft #1 c w/edits Draft 1 a w/edits AAG AGA AD Draft #1 e Prepare Red Folder Draft #1 d Prepare Red Folder Approve Draft #1 e Draft 1 e to client Draft #1 d w/edits Front Office 11

Importance of Process Improvements ■ Nothing is perfect ■ We all have good ideas ■ Nothing stays the same ■ Standard processes = efficient and effective operations ■ Everything is a competition ■ We strive to continually improve ■ Flip phone to smart phone Manual to Automatic Transmission 12

Importance of Process Improvements (cont) ■ Why Continuous Improvement Is Implemented - Organizations dedicated to continuous improvement recognize the importance of these actions for strengthening the quality of a product, improving customer satisfaction, and for improving efficiency, productivity, and profits. ■ Standards make a huge contribution to our lives, although often that contribution is invisible; unless they are not being followed or working properly. ■ National Defense Strategy - Lines of Effort: – Increase readiness & build more lethal, resilient and agile force – Strengthen alliances – Reform business practices and culture ■ Audit is one of the many tools available for improvement 13

Group Discussion: Success Stories in Your Areas ■ Week of 13 August 2018 – Front Office – – – Letter – missing information Budget update – number variance Project update – number variance Travel voucher – missing information Final report format – vary among division Audit report – number variance 14

Words to Live By 15

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French Fry Example Components • Input Measures (an ‘X’), measure the quality and quantity of the inputs into the process Suppliers § § § Farmer Servers Paper Company Food Company Electric Company • Process Measures (an ‘X’), measure the effectiveness of the process to convert Process Inputs into Process Outputs Process Inputs § Potatoes § Customer Order Ticket § Oil § People § Equipment § Paper Goods § Condiments § Electricity Input Metrics (X) § Accuracy of order § Staff expertise § Server responsiveness § # of servers Start Order taken from customer End Fries at table • Output Measures (the ‘Y’), measure the performance of the completed process, as experienced by the Customers and the Business Outputs § Completed Order Ticket § French Fries Customers § § § Server College kids Faculty Locals Truckers 1. Take Order 4. Package 2. Prep/Cook 5. Signal server 3. Season 6. Serve Fries Process Metrics (X) § § § # fries over/under cooked Time to receive order Time to season fries Time to package fries Wait time for server pickup Amount of fries cut for cooking Output Metrics (Y) § Order accuracy § Time from order placed to served § Cost of order of fries Quality Speed Cost