SMOKE Process Make time for the work that matters Simplify Move Optimize Keep Eliminate

Paradigm Your reputation for producing excellent results will mean you will be given more and different kinds of work to do. Quick Solution Knock off the good work. Start disappointing people with significantly poor performance.

Make time for what matters What does everyone want but is impossible to attain? Get as much as 20% of your day back Eliminate or delegate unimportant tasks Replace them with activities that add more value

Leverage tools/ Build competencies SMOKE Process Objectives Gather data on Members tasks/activities Identify opportunities for improvement and time savings CI = JV Way ….. Always looking to be more efficient….”Superlative Performance” SMOKE brings visibility, tracking, recognition Free up time to leverage tools and build competencies Opportunities Leverage tools/ Build competencies Productivity

Results Month-End Close Process reduced by 33% in 2016 Marketing Spend Reporting Process 2 days to 2 hours per month AR/Trade spend accounting: productivity increase of 45% (over 4 years) 6.3k transactions to 11.6k with same number of Members Supply Chain removed 1 FTE by eliminating/simplifying non-value added tasks

Process Steps Member takes a “first pass” at their weekly tasks prior to work week Member adds/revise based on actual tasks/time Member adds in ad-hoc tasks that happen on a monthly/quarterly basis Submit individual forms to data consolidator (Coach, Facilitator, etc) Individual forms are consolidated to master worksheet Review and update sub-teams by Member (based on Coach’s preference) Team meeting: Look for easy wins Identify opportunity that will require projects Assign action owners

Member SMOKE Steps Member takes a “first pass” at their weekly tasks prior to work week Member adds/revise based on actual tasks/time Member adds in ad-hoc tasks that happen on a monthly/quarterly basis

Member SMOKE Steps Walk through each task/activity and ask 4 key questions

How Valuable is this activity? Suppose you’re updating your coach or a senior executive about your performance. Would you mention this task? Would you be able to justify spending time on it? The answer to this leads to identifying whether the task is value added or not

Value Added (VA) Activity An activity that transforms or shapes information or raw material to meet customer requirements. Value Added Tests (must answer ‘Yes’ to all below): The customer must recognize the value and be willing to pay for it The product or information must physically change during the process The activity must be done correctly the first time Purpose Introduce the Concept of Value Added Activity Key Points Introduce the definition of Value Added Activity as shown on the first sentence of the overhead. Explain that a good test for Value Added involves three tests. Review the three criteria listed under the second bullet. Remind the class that all three must be true for an activity to be considered value added.

Non-Value Added (NVA) Activity Any activity that consumes time, resources and/or space, but does not add value. Activities that do not meet all three criteria. Some non-value added work may be necessary. All waste is Non-Value Added. If a ‘portion’ of an activity is Value Added break it down further. Purpose Introduce the Definition of Non-Value-Added Activity Key Points Explain the definition of Non-Value-Added Activity by reading the first sentence on the overhead. Review the other criteria that help define Non-Value-Added Activity listed on the two bullets on the overhead. Remember that activities have to meet all three-test to be considered Value Added. Just because an activity is determined to be Non-Value Added, it does not mean that we can just stop doing them. We need to look at the process and determine why it is being done that way and how we can change the process to eliminate it. There will always be some NVA activities in our processes, but the company that is the most competitive will be the one with the smallest amount.

Seven Wastes of Business Processes Waste of Transactions Waste of Reconciliation Waste of Errors Waste of Reporting Waste of Meetings Waste of Waiting Waste of Processing

Questions to Determine Action How essential is this activity You have time in your day to complete a few tasks, is this one of the few? Personal Value In your dream job would you keep this task or jettison it? Delegation or outsource Can you delegate this task and maintain the value and quality? Or can only you do this tasks?

Assign the Tasks into Categories Simplify Short-term process improvement. Move Off-load opportunities (tasks that can be delegated with minimal effort). Optimize Long-term redesign (work that needs to be restructured or overhauled). Keep You and your customer see the value in this task and you are the best person to work on it. Eliminate Quick kills (things you can stop doing now without upsetting anyone).

Member SMOKE Steps Final review and submit individual forms to data consolidator (Coach, Facilitator, etc)

Individual forms are consolidated to master worksheet Review Individuals sheets for not following process (e.g. words where hours should be) Review and Update Sub-Teams (based on Coach's Preference) Review reports for accuracy Gut check

Report examples

4.5 hours of opportunity identified

7 hours of NVA Only 4.5 Hours of actions

Report Options Individuals Sub-groups Entire Team E.g. Finance: AR, AP, Cost Accounting E.g. Coaches, front line Entire Team

Layered Reporting

Team and 1:1 Meetings Review reports Look for easy wins Look for themes and overlap Identify opportunity that will require projects Document planned improvements Assign action owners Schedule follow-ups

Lessons Learned Have a planning meeting before with Coach Review the work type categories Assign sub-groups Short kick-off with entire team Directions (DO NOT MANIPULATE) Definitions Expectations (timeline, accuracy, etc.) Action planning meetings Make sure they happen Great planning with poor execution is the best way to kill the SMOKE process in the future

Lessons Learned Keep the process simple and easy to follow Can get very complicated if you let it Some Members will track minute to minute Timeline is critical If the process lingers people will lose interest