1. SNAP Continuous Improvement Forum Session 1 What is BPR?

2. Housekeeping Items:Housekeeping Items: –Close other programs running on your computer –Submit questions online throughout for Q&A at end of session –Keep phone on mute during webinar; lines will be unmuted during Q&A Speaker: John Beakes, III, MS, MASpeaker: John Beakes, III, MS, MA –Director, Business Process Reengineering –Led successful BPR transformations in Federal, State and local government as well as health care, service & manufacturing industries One Stop Career CentersOne Stop Career Centers State Department of LaborState Department of Labor Veteran’s AdministrationVeteran’s Administration City GovernmentCity Government Hospitals, Health Systems, Offices, Factories, Distribution Centers, etc.Hospitals, Health Systems, Offices, Factories, Distribution Centers, etc. Session Introduction

3. Describe the utility of BPRDescribe the utility of BPR Define the fundamental principles of BPRDefine the fundamental principles of BPR Develop a strategy for applying BPR next steps to Colorado SNAP administrationDevelop a strategy for applying BPR next steps to Colorado SNAP administration Session Objectives

4. BPR is an approach to rethinking and redesigning administrative processes, with the end goal of making the whole system more efficient, collaborative, and responsive to customer needs. What is Business Process Reengineering (BPR)?

5. Guiding Principles

6. Focus on the customerFocus on the customer RespectRespect –Everyone can be a problem solver Continuous improvement mindsetContinuous improvement mindset Relentless focus on the elimination of wasteRelentless focus on the elimination of waste Spend time where value is added for the customerSpend time where value is added for the customer Use dataUse data Guiding Principles

7. Quote from Prior Work “There are no bad people; only bad processes.” - A Maryland State Employee working on process improvement

8. BPR Fundamentals Process Sequence of procedures Consumes resources to change inputs into outputs Process Improvement Asks what causes things to happen Removes activities that do not add value Policy Change Alters steps required in a process New process should be tested to make certain that the policy change has resulted in an improvement

9. BPR Government Success Stories Maryland Science Center School Group Reservations: - 50%+ reduction in Lead Time - <15 minute experience for all - “Wow! This is so much better than last year. You really have it together. You guys are so organized. This runs like a well oiled machine” - Customer 9 Before After

10. Method of redesigning and rethinking business processesMethod of redesigning and rethinking business processes Goal: Improved outcomes through more efficient processGoal: Improved outcomes through more efficient process –SNAP application timeliness –Accuracy –Customer service –Staff performance, morale, retention What is BPR for SNAP?

11. Approach to BPR

13. As-Is Phase – Examine and review the current business processes with local staff membersAs-Is Phase – Examine and review the current business processes with local staff members To-Be Phase – Design a new process using BPR toolsTo-Be Phase – Design a new process using BPR tools Pilot Phase – Test the new process and monitor dataPilot Phase – Test the new process and monitor data Transition Phase – Roll out the new processTransition Phase – Roll out the new process BPR Phases

14. BPR Tools

15. “There is nothing so useless as doing efficiently that which should not be done at all.” - Peter Drucker

16. Value Added & Non-Value Added Value is defined solely from the customer’s perspective (internal or external). Anything that helps the customers is Value Added. Anything that helps the customers is Value Added. ⁻ The customer would be willing to pay for value-added activities. Everything else is Non-Value Added. Everything else is Non-Value Added. ⁻ If the work was not completed correctly the first time, then the work is non-value added.

17. Definition Of Waste Any activity that does not add value to the internal or external customer. 17

18. Types of Waste Waste of correctionWaste of correction Waste of time – batch processing, i.e., monthly closings, weekly billing, monthly collection reportsWaste of time – batch processing, i.e., monthly closings, weekly billing, monthly collection reports Waste of material transportation – unneeded steps, document/data travel distanceWaste of material transportation – unneeded steps, document/data travel distance Waste of movement – unneeded data entry, extra stepsWaste of movement – unneeded data entry, extra steps Waste of overproduction – preparing unneeded reports, reports not read or acted on, multiple copies in storageWaste of overproduction – preparing unneeded reports, reports not read or acted on, multiple copies in storage Waste of processing – excessive sign-offs; too fastWaste of processing – excessive sign-offs; too fast Waste of inventory – transactions waiting to be processedWaste of inventory – transactions waiting to be processed Waste of underutilized peopleWaste of underutilized people

19. Tools to Optimize Work Flow Standardized workStandardized work Quality at the sourceQuality at the source Visual controls and managementVisual controls and management People involvementPeople involvement Batch reduction or eliminationBatch reduction or elimination TriageTriage Pull workPull work Value Stream MapsValue Stream Maps PDSAPDSA

20. Standardized Work Going about all business processes in a consistent way, by all employeesGoing about all business processes in a consistent way, by all employees Minimizes variation in the process and process resultMinimizes variation in the process and process result Adds flexibility since others can perform the same taskAdds flexibility since others can perform the same task No more “Well I don’t know how they do it.”No more “Well I don’t know how they do it.”

21. Quality at the Source People must be certain that the product or information they are passing to the next work area is of acceptable quality.People must be certain that the product or information they are passing to the next work area is of acceptable quality. People must be given the means to perform inspection at the source, before they pass it along.People must be given the means to perform inspection at the source, before they pass it along. Samples or established standards are visible tools that can be used for such purposes.Samples or established standards are visible tools that can be used for such purposes. Source: Lean Enterprise Institute

22. Visual Controls and Management Simple signals that provide an immediate understanding of a situation or condition. They are efficient, self-regulating, and worker managed.Simple signals that provide an immediate understanding of a situation or condition. They are efficient, self-regulating, and worker managed. Examples:Examples: –Schedule or status boards –Color coded files, transactions –Good signage to direct people to areas –Open bins rather than file cabinets Source: Lean Enterprise Institute

23. People Involvement TeamsTeams –With rotation of highly specified jobs Cross trained and multi-skilled employeesCross trained and multi-skilled employees –Who can work many operations within an area and even operations in different areas Expanded responsibilities and authority, i.e., workers become problem solversExpanded responsibilities and authority, i.e., workers become problem solvers Source: Lean Enterprise Institute

24. Batch Reduction or Elimination Completing work and pass on to the next processCompleting work and pass on to the next process Training in smaller groupsTraining in smaller groups Shorter meetings with very specific and limited agendaShorter meetings with very specific and limited agenda Performing any task more frequently (from monthly to weekly, from weekly to daily)Performing any task more frequently (from monthly to weekly, from weekly to daily) Source: Lean Enterprise Institute

25. Impact of Batch Reduction Source: Lean Enterprise Institute

26. Triage All applications do not move through the determination process at the same speedAll applications do not move through the determination process at the same speed If you are working on a first-in first-out (FIFO) basis, ready to work applications are delayed by the applications aheadIf you are working on a first-in first-out (FIFO) basis, ready to work applications are delayed by the applications ahead What criteria can you use to decrease processing time?What criteria can you use to decrease processing time?

27. Push System

28. Pull – Control Work in Progress Don’t assign an application to a process until one goes out—one in-one outDon’t assign an application to a process until one goes out—one in-one out Known as a pull system—when a process step releases an application, it pulls one inKnown as a pull system—when a process step releases an application, it pulls one in Traditional system is a push system—work is pushed into the process, ready or notTraditional system is a push system—work is pushed into the process, ready or not CounterintuitiveCounterintuitive

29. Value Stream Value Stream – all of the steps, value-add and non-value-add, to provide a service from the beginning to end (also called end to end)Value Stream – all of the steps, value-add and non-value-add, to provide a service from the beginning to end (also called end to end) Value Stream Map (VSM) – a picture of the process; a visual toolValue Stream Map (VSM) – a picture of the process; a visual tool

30. What is a “Lean Value Stream?” ValueValue – From the perspective of the customer FlowFlow –No waiting –No rework WorkWork – Standardized –Built-in quality Managing for Improving and LearningManaging for Improving and Learning –Milestones and checkpoints –Learning embedded Source: Lean Enterprise Institute

31. Reasons for VSM Draw the current state to learn about the system from end to endDraw the current state to learn about the system from end to end Learn about the system from the customer’s perspectiveLearn about the system from the customer’s perspective Understand the process from the perspective of others in the systemUnderstand the process from the perspective of others in the system Highlight problems to address in future state VSMHighlight problems to address in future state VSM

32. A Completed Value Stream Map

33. PlanPlan DoDo StudyStudy ActActPDSA

34. BPR Tools These tools are able to capture crucial data and information on current and future processesThese tools are able to capture crucial data and information on current and future processes Tools complement each otherTools complement each other

35. These are some of the efforts SNAP administrations are currently conductingThese are some of the efforts SNAP administrations are currently conducting –Application pull system –Ready to work applications are processed –First contact resolution Sample of BPR Approaches to SNAP

36. BPR is an approach to rethinking and redesigning administrative processes, with the end goal of making the whole system more efficient, collaborative, and responsive to customer needs.BPR is an approach to rethinking and redesigning administrative processes, with the end goal of making the whole system more efficient, collaborative, and responsive to customer needs. Guiding PrinciplesGuiding Principles –Focus on the Customer –Respect Everyone can be a Problem SolverEveryone can be a Problem Solver –Continuous improvement mindset –Relentless focus on the elimination of waste –Spend time where value is added for the customer –Use data BPR Review

37. Questions and Answers

38. IMPAQ International www.IMPAQint.com (443) 259-5500 @impaqint (Twitter) linkedin.com/company/impaq-international facebook.com/impaqint