1. Are We Wasting Our Time?

2. In 2009, our average Front Line employee received over 40 hours of training. More than half of that training was… unnecessary Let’s do some quick math…

3. How Much Does One Hour of Training Cost? It takes anywhere from 40 hours to 300 hours to create one hour of training. But that’s a drop in the bucket compared to our biggest cost…

4. How Much Does One Hour of Training Cost? One hour in training equals one hour of not doing the job… Multiply that by our 5,000 employees on the Front Line, and one hour of training costs us 5,000 hours.

5. One hour in training equals one hour of not doing the job… Multiply that by our 5,000 employees on the Front Line, and one hour of training costs us 5,000 hours. How Much Does One Hour of Training Cost? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 5,000 hours

6. What Could You Do with 100,000 Hours? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? Click here for answer! Q:How many minutes is that?Q:How many phone calls could we handle? Click here for answer!

7. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? A:48 FTEs for one year.A:Just under $900,000. What Could You Do with 100,000 Hours? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 Q:How many minutes is that?Q:How phone calls could we handle? A:6,000,000 minutes.A:1,200,000 patients serviced. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? Click here for answer! Q:How many minutes is that?Q:How many phone calls could we handle? Click here for answer!

8. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? A:48 FTEs for one year.A:Just under $900,000. What Could You Do with 100,000 Hours? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 Q:How many minutes is that?Q:How phone calls could we handle? A:6,000,000 minutes.A:1,200,000 patients serviced. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? Click here for answer! Q:How many minutes is that?Q:How many phone calls could we handle? Click here for answer!

9. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? A:48 FTEs for one year.A:Just under $900,000. What Could You Do with 100,000 Hours? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 Q:How many minutes is that?Q:How phone calls could we handle? A:6,000,000 minutes.A:1,200,000 patients serviced. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? Click here for answer! Q:How many minutes is that?Q:How many phone calls could we handle? Click here for answer!

10. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? A:48 FTEs for one year.A:Just under $900,000. What Could You Do with 100,000 Hours? 5,000 hours per hour of training x 20 hours of unnecessary training 100,000 labor hours wasted in 2009 Q:How many minutes is that?Q:How phone calls could we handle? A:6,000,000 minutes.A:1,200,000 patients serviced. Q:How many Full Time Headcount is that? Q:How much money (payroll) is that? Click here for answer! Q:How many minutes is that?Q:How many phone calls could we handle? Click here for answer!

11. Let’s see how unnecessary training happens… Meet GENERICORP…They manufacture and sell the Widget 9000

12. Click on each area to learn their basic role. When you’re finished exploring, go to “The Floor.” Management / Human Resources establish overall policies and are in charge of compensation & benefits.

14. “IT” manages computer equipment and systems, including job support and knowledge management.

15. “The Floor” at Genericorp is where the Data Entry team enters all customer orders into the system.

16. Recruiting attracts, interviews, & hires all employees, including the Data Entry Techs.

17. Training designs, develops, & delivers training to the employees.

18. The Data Entry Manager noticed that almost all “multi-orders” (an order for more than one product) are not being entered – they’re being rejected and sent to the Specialist Team. With current backloads, this will delay customer orders by as much as two weeks, which will then impact the Call Center with customer complaints. Click the Manager to learn how he solves this problem

19. Click the meeting to take a closer look The Data Entry Manager went to the Training Team to ask for help. Let’s take a closer look at that meeting…

20. How can we help you today, Bob? My Data Entry Techs aren’t processing their multi-orders correctly – they need training… I can take them offline for 2 hours on Friday for a class. We’d be happy to put a course together for your team – we’ll get started on that right away. Thanks for your flexibility! Let me know how we can help you and your team. Click the Training Manager to return to the Training Department

21. The Training Team collected all the information in the User Guides and Manuals. Next, they took some screen captures and created a slide deck to support their course. On that Friday, the first four sessions were delivered at HQ. By Monday, all the other sites had started their training. Over the next four weeks, all 800 Data Entry Techs were re-trained in multi-orders. Click on the classroom doors to return to the Floor.

22. After returning to the floor, Data Entry Techs were given an additional week to ramp- up on their multi-orders. After that, “post-training” numbers were collected and compared to their pre-training numbers… Click on the Manager to see the results

23. Click on report to close Multi-Order Error Rates Pre-Training 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Post-Training 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% ZERO IMPACT!

24. Hmmm… so a week to develop the course, three weeks to deliver the course to 800 Data Entry Techs across the company. That’s 1,600 hours of Data Entry time away from job with ZERO impact. What do you think went wrong??? Click on the Manager to return to the meeting with Training Discuss what you think when wrong with your group. When you’re ready, follow the instructions to continue.

25. Remember when the Data Entry Manager went to the Training Team for help? Let’s see how that meeting SHOULD have gone… Click the meeting to take a closer look

26. The Data Entry Manager went to the Training Team to ask for help. Let’s take a closer look at that meeting… How can we help you today, Bob? My Data Entry Techs aren’t processing their multi-orders correctly – they need training… I can take them offline for 2 hours on Friday for a class. We’ll be happy to help you out. First, though, how do you know it’s a training issue? Uh… what else could it be? Discuss with your group. What else could be causing this problem? When you’re ready, click anywhere to continue with the presentation. Click on the Training Manager to see what else could be causing the problem

27. Performance Problem If the employees have the desire or attitude to perform the task correctly, but simply lack the knowledge or skill to do so, it’s a training issue. If the employees have the desire or attitude to perform the task correctly and actually have the knowledge and skills to do so, it’s a resource issue (systems, performance support, etc.). If the employees have the knowledge and skills to perform the task correctly, but lack the desire to do so, it’s a motivation issue. If the employees don’t have the knowledge or skill to perform the task correctly and have no desire to learn how to it, it’s a hiring/selection issue. Discuss situations where any of these situations were the root cause of a problem you were asked to solve with training. When you’re done, click anywhere to continue.

28. If the employees have the desire or attitude to perform the task correctly, but simply lack the knowledge or skill to do so, it’s a training issue. If the employees have the desire or attitude to perform the task correctly and actually have the knowledge and skills to do so, it’s a resource issue (systems, performance support, etc.). If the employees have the knowledge and skills to perform the task correctly, but lack the desire to do so, it’s a motivation issue. If the employees don’t have the knowledge or skill to perform the task correctly and have no desire to learn how to it, it’s a hiring/selection issue. Motivation Resources Selection Training

29. The root cause of any performance problem can typically be traced to one of these four quadrants divided by two axes: knowledge and attitude… Motivation Resources Selection Training KNOWLEDGE ATTITUDE

30. Motivation Resources Selection Training KNOWLEDGE ATTITUDE 010 0 First, plot the employees’ knowledge of how to perform the job or task on a scale of 0 to 10.

31. Motivation Resources Selection Training KNOWLEDGE ATTITUDE 010 0 Next, plot the employees’ attitude, or desire to perform the job well.

32. Motivation Resources Selection Training KNOWLEDGE ATTITUDE 010 0 Now, draw lines to determine where the points intersect. This is the quadrant where the root cause lives.

33. Motivation Resources Selection Training KNOWLEDGE ATTITUDE 010 0 In this case, the employees know how to do the job correctly (Knowledge rating = 7) and have the desire to perform the job well (Attitude rating = 7). These ratings intersect in the Resources quadrant.

34. I’m a CPA with 10 years of experience – running reports is a critical part of my job. Our old accounting system doesn’t support all of the new Federal Regulations, so now our reports aren’t meeting the new requirements. Click on the appropriate quadrant for this problem See it you can determine the root cause of these problems…

35. I’m a CPA with 10 years of experience – running reports is a critical part of my job. Our old accounting system doesn’t support all of the new Federal Regulations, so now our reports aren’t meeting the new requirements. See it you can determine the root cause of these problems… That’s right! High knowledge and high attitude. This is a resource problem (i.e., the system needs to be upgraded to meet the new regulations).

36. That’s incorrect High knowledge and high attitude. This is a resource problem (i.e., the system needs to be upgraded to meet the new regulations). I’m a CPA with 10 years of experience – running reports is a critical part of my job. Our old accounting system doesn’t support all of the new Federal Regulations, so now our reports aren’t meeting the new requirements. See it you can determine the root cause of these problems…

37. I don’t see why I should learn how to do this job well. I took this job because I was told there was a great opportunity to get into management, so I really shouldn’t even be here much longer. Click on the appropriate quadrant for this problem

38. See it you can determine the root cause of these problems… I don’t see why I should learn how to do this job well. I took this job because I was told there was a great opportunity to get into management, so I really shouldn’t even be here much longer. That’s right! Low knowledge and low attitude. This is a selection problem (i.e., a job should offer advancement opportunities, but hiring someone who doesn’t want to do the job they’re being hired for is a recipe for disaster).

39. See it you can determine the root cause of these problems… I don’t see why I should learn how to do this job well. I took this job because I was told there was a great opportunity to get into management, so I really shouldn’t even be here much longer. That’s incorrect. Low knowledge and low attitude. This is a selection problem (i.e., a job should offer advancement opportunities, but hiring someone who doesn’t want to do the job they’re being hired for is a recipe for disaster).

40. See it you can determine the root cause of these problems… Look, I’m supposed to offer at least two new products or services on every call, but that will increase my call time. I don’t get paid based on what I sell – I get paid based on my low call times. That’s why I don’t pitch new products, and my numbers are pretty good! I’ve got this whole thing figured out! Click on the appropriate quadrant for this problem

41. See it you can determine the root cause of these problems… Look, I’m supposed to offer at least two new products or services on every call, but that will increase my call time. I don’t get paid based on what I sell – I get paid based on my low call times. That’s why I don’t pitch new products, and my numbers are pretty good! I’ve got this whole thing figured out! That’s right! High knowledge and low attitude. This is a motivation problem (i.e., the company is punishing the desired behavior and rewarding the undesired behavior).

42. See it you can determine the root cause of these problems… Look, I’m supposed to offer at least two new products or services on every call, but that will increase my call time. I don’t get paid based on what I sell – I get paid based on my low call times. That’s why I don’t pitch new products, and my numbers are pretty good! I’ve got this whole thing figured out! That’s incorrect. High knowledge and low attitude. This is a motivation problem (i.e., the company is punishing the desired behavior and rewarding the undesired behavior).

43. See it you can determine the root cause of these problems… Resolving our customers’ problems is very important to me – I’ve been doing this job for three years, and I have very high customer ratings. The company just rolled out this new system and gave us a 15 minute demo on how it works. I just can’t seem to get the hang of it. Click on the appropriate quadrant for this problem

44. See it you can determine the root cause of these problems… Resolving our customers’ problems is very important to me – I’ve been doing this job for three years, and I have very high customer ratings. The company just rolled out this new system and gave us a 15 minute demo on how it works. I just can’t seem to get the hang of it. That’s right! This one was a little tricky – low knowledge (with the new system) and high attitude. This is a training problem (i.e., the 15 minute demo doesn’t seem to have been enough to prepare the employee for success).

45. See it you can determine the root cause of these problems… Resolving our customers’ problems is very important to me – I’ve been doing this job for three years, and I have very high customer ratings. The company just rolled out this new system and gave us a 15 minute demo on how it works. I just can’t seem to get the hang of it. That’s incorrect. This one was a little tricky – low knowledge (with the new system) and high attitude. This is a training problem (i.e., the 15 minute demo doesn’t seem to have been enough to prepare the employee for success).

46. Let’s go back to the Floor and explore what’s really going on in our original case… Click the mods to learn the results of the observations

47. Let’s go back to the Floor and explore what’s really going on in our original case… Click the conference room to learn the results of the focus groups Observation Findings: The Data Entry Techs process a single order in approximately five minutes with no errors and no struggling. When a multi-order appears in their queue, the typical response is to create an intentional error on the entry, then forward it to the specialists. The specialists, working with the same systems, are able to process the multi-orders without errors, taking about five minutes per sub- order, in some cases, taking as long as 30 minutes to complete a multi-order.

48. Let’s go back to the Floor and explore what’s really going on in our original case… Focus Group Findings: The Data Entry Techs explained that they know how to complete a multi-order – it’s the same basic process as completing a single order. However, they complained that they are compensated according to how many orders they enter per hour. Since processing a multi-order takes longer to complete, but only counts as one order, they actually lose money (and can get reprimanded) by completing multi-orders.

49. ATTITUDE Motivation Employees are rewarded for undesired behavior and punished for desired behavior. Resources The system does not support multi-orders, so only specialists can perform the task correctly. Selection The company is not recruiting properly skilled Data Entry Technicians.. Training The employees have not been adequately trained on multi- orders. See if you can plot the root cause… KNOWLEDGE 010 0 Based on your observations & focus groups, plot your findings and click on the most likely root cause.

50. Motivation Employees are rewarded for undesired behavior and punished for desired behavior. Resources The system does not support multi-orders, so only specialists can perform the task correctly. Selection The company is not recruiting properly skilled Data Entry Technicians. Training The employees have not been adequately trained on multi- orders. See if you can plot the root cause… KNOWLEDGE ATTITUDE 010 0 Based on your observations & focus groups, plot your findings and click on the most likely root cause. Excellent! The Data Entry Techs have high knowledge, but low attitude. This is a motivation problem. Digging deeper, you can see that employees are actually being rewarded for not processing their multi-orders (the undesired behavior), so training is not the right solution.

51. Motivation Employees are rewarded for undesired behavior and punished for desired behavior. Resources The system does not support multi-orders, so only specialists can perform the task correctly. Selection The company is not recruiting properly skilled Data Entry Technicians. Training The employees have not been adequately trained on multi- orders. See if you can plot the root cause… KNOWLEDGE ATTITUDE 010 0 Based on your observations & focus groups, plot your findings and click on the most likely root cause. Incorrect. The Data Entry Techs have high knowledge, but low attitude. This is a motivation problem. Digging deeper, you can see that employees are actually being rewarded for not processing their multi-orders (the undesired behavior), so training is not the right solution.

52. Let’s see how the problem finally got resolved… IT adjusted the system to count each sub-order as a separate order. The Data Entry Manager worked with Management to approve an adjustment to compensation. Management agreed to count each sub-order as a separate order. The system enhancement didn’t impact how the process worked, so no training was required. Instead of training, the system enhancements were discussed and demonstrated at the weekly team meeting. Recruiting explains how Data Entry Techs are now compensated.

53. So, will YOU use the PAQ? Before you try to solve a problem, work to understand its root cause… Using the PAQ helps you solve the problem the first time. This saves time and money, and helps keep our people on the job.