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Factors For Success In The Workplace
Factors for Success in the Workplace A Paper Prepared for Production and Operations Management Class, MGMT 4318 Charles W. Boisvert 17 February, 1996 I certify that I am the author of this work, and that any assistance I received in its preparation is fully acknowledged. I have cited any source from which I used data, ideas or words, either quoted or paraphrased. I also certify that this work was prepared by me especially for this course. Thesis Sentence This paper will examine the Base Central Test Facilities ability to meet the Four Critical Success Factors while operating under USAF Downsizing and Force reduction initiatives. Table Of Contents INTRODUCTION......................................................................................... OVERVIEW.................................................................................................. WORKCENTER FLEXIBILITY...................................................... Customer Desires............................................................................... New Products and Technologies.................................................................. WORKCENTER QUALITY User Friendly Equipment................................................................... Reliability........................................................................................... Worker Skill and Consistency............................................................ WORKCENTER COST-EFFICIENCY........................................................ Operating Costs.......................................................................... Inventories.......................................................................................... WORKCENTER DEPENDABILITY............................................. Customer Convenience.......................................................................... Trustworthy Service........................................................................... SUMMARY......................................................................................................... CONCLUSION................................................................................................... REFERENCES.................................................................................................... INTRODUCTION We have all seen the TV commercial from New York Life of the man in the office who has his life turned upside down as a result of being laid-off by a company undergoing Downsizing or Re-structuring. Just like that individual many military workcenters have been turned upside down by Downsizing or Force reductions. No matter what you call it, Downsizing, Re-structuring, Rightsizing, Lay-offs, or Re-organizing someone losses a job and someone else has to pickup the slack. What can we at the workcenter level do about it? OVERVIEW Most if not all workcenters in the Military have had their budgets cut with, a “24% real decline since 1990” (NPR, 1993, part 2 p. 12). This has caused the Air Force to look for more cost-effective ways of doing business. Outsourcing of non-core functions (functions not in direct combat or direct support of combat units) is one such way. “DoD (Department of Defense) has identified 50 broad area candidates for Outsourcing, such as Base Operations, Housing, Health service, Training, Transportation” (NPR, 1993, part 2, p. 18) to list just a few. Those workcenters in non-core areas must work to provide a desirable service or risk being eliminated in favor of a more competitive business. This paper will examine the Base Central Test Facilities ability to meet the Four Critical Success Factors while operating under USAF Downsizing and Force reduction initiatives. First of all what are these critical factors and what is the Base Central Test Facility or BCTFs purpose? The BCTFs mission is to act as the interface between the Base, Defense Information System Agency (DISA) and commercial communications companies like AT&T Alascom. We are also responsible for installation, troubleshooting and maintenance of all base data circuits, both on and off-base (DISA 310-70-1, 1992). As to the four factors, well lets discuss them. WORKCENTER FLEXIBILITY Customer Desires: In the past most customers were content to use what we provided to them with little input or feedback. We had what amounted to a monopoly in providing data communications services, as a result we were sometimes not very flexible or responsive. At the local level we often based equipment purchases and installation times on our desires and not those of the customer. This was due in large part to the way communication services were paid. Until its deactivation the Air Force Communications Command (AFCC) paid the bill for all base-level communications, both phone and data. Payments are now paid directly by the customer by way of such policies as Fee-for-Service. This has caused our customers to re-evaluate their needs and to demand better service from us while keeping their costs down. In order to satisfy these desires we have setup workgroups to survey and meet with all of our customers. These groups meet periodically to exchange information on current communications projects and to discuss any future requirements they might have. This has enabled us to fix problems before it's too late and to plan for communications infrastructure upgrades we might need as a result of the future requirements. These groups are composed of personnel at all levels so that both long, medium and short range plans can be formulated. With information from these working groups we can now develop routine and/or low cost technical solutions for customer communications needs at a local level. Those requirements that are high cost or involve multiple agencies are forwarded to Higher Headquarters (HQ). This is still somewhat of a problem since HQ is good at engineering the big stuff but usually forgets to check the small details. New Products and Technologies: Everyday companies are introducing new products, technologies and new ways of doing things. Our customers want to take advantage of these at a good price. In the past it took so long to get new technologies and products out to the field that they were usually out of date when the got there. We still have units receiving 486 computers even though the Pentiums have been out for a while now. Many of these older machines were ordered years ago and are just coming in now. Shorter timelines in getting new equipment are needed. In order to help us accomplish this the DoD has begun to relax many of the policies and rules covering the acquisition of commercial products and services. These new changes we have increased the amount in dollars that can be purchased locally by means of Impact (Workcenter VISA cards) cards as well as broadening what can be bought with them. This has allowed us to purchase many new state-of-the-art items such as Pentium computers, Network routers, Modems, and other types of communications equipment at prices much lower than those charged through more traditional supply avenues. The delivery times are also much faster with days or week's verse's months or years (NPR, 1993). In the past year we have made great use of the Internet, trade shows and meetings with commercial communications companies to discuss new product and service developments. Out of one of these product demonstrations we found a new device developed by the Pairgain Corporation that compress 24 two wire circuits into one two wire circuit. We have been able to suggest this equipment to our cable shop as a very cost-efficient alternative to installing more cables to locations that are full. WORKCENTER QUALITY User Friendly Equipment: Most of us are not rocket scientist, we want hardware and software that we can operate with the least amount of setup time and training. The harder the equipment, software or process is to use the less likely it is that it will be used. Most people would agree that user friendliness is an important aspect of quality. An example of this is the Consolidated Aircraft Maintenance System (CAMS) that is used to document maintenance and ancillary training around the base. This system is so out of date that most people track training elsewhere and only haphazardly update CAMS. As the book says “If a system gives erroneous data at times, people may develop informal methods of getting the data they need and no longer bother to update their input into the formal system, since they no longer use it” (Dilworth, 1993, p. 286). There are many such systems in use around the base that can be replaced by commercial programs that are much easier to use and maintain. These programs can operate on standard computers and cost a great deal less. Now that we have permission to buy such things we are working with our customers to determine exactly what they need so that a complete user friendly system can be designed for them. These systems can range from a basic computer with office type software to systems capable of classified work. After the systems are installed the BCTF will provide all of the necessary training to get customer up and running. We also provide follow-on training and maintenance support for equipment and software not covered by a commercial warranty. Good initial user training benefits us all by building customer trust and reducing the number of trouble calls for routine problems. Reliability: Military communications customers depend on reliable equipment and services probably even more than commercial customers. When you are on the battle field your very life can depend on the reliability of equipment or service provided to you. “Goods (including services) must be reliable and perform for reasonable lifetimes” (Dilworth, 1993, p. 15). The following is an example of a company not in synch with this theme. US WEST, a large phone company serving 15 states Downsized several years ago in order to cut costs and improve service. This quotation from the February 1996 issue of the Boulder Weekly is an example of problems we want to avoid. Terry Bote, spokesman for the Colorado Public Utilities Commission, says the agency has been swamped with complaints about US WEST by Internet users and access providers. However, he says the bulk of the complaints about US WEST still come from new residential customers who can’t get basic service to their homes. He says US WEST has improved its performance at meeting new orders, but is a long way from meeting demand in a timely fashion. (p. 4) For years the DoD has been imposing very strict government standards on commercial companies when buying equipment and services in an effort to assure reliable equipment and services. In some cases it's needed to avoid problems like those above however, in most cases it just drives up the cost. Our military contractors are Downsizing just as we are and must be allowed some leeway with some of these burdensome standards in order to compete. This would enable them to develop and market more items that have dual uses without sacrificing the reliability we need (NPR, 1993). At a more local level the BCTF has been working with many commercial companies to insure that the off-the-shelf equipment we buy is reliable. In the past year we have been testing the Windows 95 software on various systems and configurations. Any bugs or problems we found were forwarded to Microsoft for corrective action. Information from this testing has allowed us to provide our customers with a reliable software package and provided our technicians with the knowledge needed for skillful installation and support. Worker Skill and Consistency: Just as important to the customer as the hardware and software is the service we provide, such as equipment setup, troubleshooting, maintenance and other follow-up actions. The customer expects a consistent level of service from the BCTF every time regardless of the problem. They also expect well skilled technicians that know the systems and project a confident attitude in their abilities. A well-trained technician will be able to meet these expectations. As a DISA facility we follow strict guidelines for training and certification. Technicians must complete a Technical School, Career development courses, and On-the-job facility qualification training before they can be tested for certification. The facility qualifications training generally last for about six months during which time the technician is trained on every aspect of the facility using clearly defined standards and procedures. After completion the commander signs off the training folders and the workers are then qualified to work unassisted in the facility. All technicians are re-certified periodically to assure worker quality. Along with in-house training we also obtain training from outside commercial sources, especially in the areas of commercial-of-the-shelf computers and software. All of these training programs help us qualify our workers in all areas of the workcenter. A multiskilled workforce is a great assist in meeting customer demand. WORKCENTER COST-EFFICIENCY Operating Costs: As DoD and Air Force policies change we have been given more discretion on how to spend money budgeted for workcenter operating costs on such things as office products, tools, equipment and the like. Since our budget is only so big we are always looking for ways to reduce costs in these areas (NPR, 1993). To do this we are again taking advantage of programs like the Air Force Impact card and local form 9 purchases. These programs “empower properly delegated employees to buy common supplies and nonprofessional services directly in an effort to purchase the best value supplies and services” (NPR, 1993, Attch 1). When we needed dial-up modems to upgrade our e-mail system we found that we could save nearly $25 dollars per unit by purchasing them through a mail order company versus normal supply channels. Not only was the cost lower, but delivery time was also reduced. The money saved by this and similar other projects are retained by us to buy things we need, but may not have been budgeted for. Actions like these permit us to make more cost-effective use of the resources we have. In other words, more bang for the buck. Unfortunately these polices only apply to purchases under $2,500, as a result we are unable to take full advantage of all the possible savings to be had if the programs applied to higher dollar amounts (NPR, 1993). Inventories: As a service workcenter, inventories in the BCTF are limited to small amounts of office material for day-to-day use and some replacement parts for communications equipment. We do not maintain permanent inventories of equipment for installation. When a requirement comes up we order what is needed, assemble it and install it as soon as possible. A very small amount may be held as work-in-progress awaiting the arrival of other parts to complete an assembly. The largest single thing that we consider to be inventory is the communication circuits themselves. Since they are leased they usually make up the most expensive part of a communications system. A standard long-haul communications circuit can cost between $500 and $10,000 per month depending on the data rate. Non-standard circuits can cost 50 to 100 percent more. With policies like fee-for-service, charges are or soon will be passed on to the customer. The BCTF however, will continue to be responsible for maintaining inventory control over all data circuits. Our best tool for accomplishing this is the Bi-annual review of leased circuits. During this review we check circuit billing to verify that the charges are correct according to the original contract. We then contact the customer to have them re-validate the need for the circuit. You would be surprised at how many circuits are no longer in use, but are still being paid for. At this time we can either deactivate the circuit or make other modifications to it that the customer may need. Along with the bi-annual review we re-negotiate the leased circuit contract after 5 years. This helps us take advantage of increased competition and possible price cuts in the marketplace. WORKCENTER DEPENDABILITY Customer Convenience: “Customers want to do business with companies that make it convenient and hassle-free to do business with them” (Dilworth, 1993, p. 15). This is true of our customers as well. There is not much we can do about the convenience of our physical location, but we can make our services as convenient as possible by the use of various strategies to influence demand on our time. For activities like Preventive Maintenance Inspections (PMI’s), KG updates and work of that nature we use a Fixed Schedule method of setting up times and dates. For routine installation and maintenance we use an Appointment System. You call us and we setup a date and time convenient for you. For priority installations and maintenance we use a Delayed Delivery type of system where the customer calls our help desk and is placed in queue for the next available technician, depending on the priority of their system. In this area having multiskilled workers really helps, since we can keep everyone gainfully employed at all times. For non-uniform demand periods, such as exercises or after duty-hours we use Staggered Work-shifts schedules or On-call personnel. Even with these strategies we often have customers in queue. Since most of our contact with our customers is by phone, those waiting for service are doing so in their offices and workcenters. Just the same there are people waiting, so it's important for us to track the number of customers and the time they have been in queue. If there are many customers waiting, or the time is getting long, we notify the next higher level in our chain and request additional personnel or re-examination of priorities. While our customers may not be able to go somewhere else they can elevate it to a higher level causing us all a lot of problems (Dilworth, 1993). Trustworthy Service: Trust is an important part of doing business no matter who you customers may be. This is especially true within military units, who must trust one another with their lives at times. Our customers need to trust us to meet their expectations for dependable service and equipment. If we fail to provide dependable service before during or after we install their communication system then we will loss their trust in our ability to do anything we say in the first place. Meeting customer desires, finding and testing new products, providing reliable equipment and consistent service at good prices and most of all having a skilled workforce all work together to foster trust in our abilities. To back this up we also assist our customers in getting help from commercial vendors. To do this we have setup databases of all of the companies we deal with so that we can help the customer with any warrantee work that may be required on commercially purchased equipment. We will also assist with depot provided items if possible. For equipment out of warrantee we can perform repair work (depending on what the item is) or we can assist the customer in getting the repair work done by an outside contractor. SUMMARY Regardless of the fact that the BCTF is a military workcenter it's still important to provide a desirable service to our customers. There are many combat units around the base that rely on our ability to meet the four critical success factors. Our failure to do so could cause them to fail in their mission leading to a cost far greater than lost profits. To make sure we do not fail we must work to lower our Costs, while at the same time raising our Flexibility, Quality and Dependability. In the points above we discussed some of the ways that the BCTF was working to meet those goals. Meeting those goals is a continuos process with much work left to be done. CONCLUSION As we saw in that New York Life commercial the man eventually was turned back upright, with the admonishment that with careful planning disruptions like those caused by Downsizing could be minimized. This applies to entire workcenters like the BCTF as well as individuals. We may never get the personnel back once they are gone, but with a little common sense and the application of ideas and practices like those from this class we can find new ways to meet the Four Critical Success Factors. REFERENCES Alliance for Redesigning Government. (1996). Downsizing -- An Overview. National Academy of Public Administration. Halley, Alexis A: Author Alliance for Redesigning Government. (1996). The Guide to Responsible Restructuring. National Academy of Public Administration. Cascio, Wayne Ph.D.: Author Defense Information Systems Agency. (1992). DCS Technical Control: Operational Policies and Procedures for FCO/NCO’s and TCF/PTF’s. (DISA Circular 310-70-1). DOCP: OPR. Dilworth, James B. (1993). Production and Operations Management: Manufacturing and Services fifth edition. New York, NY: McGraw-Hill, Inc. Laugesen, Wayne. (1996, February). The Internet meets its match: US WEST slows the information superhighway. Boulder Weekly, pp. 4-9. National Performance Review (NPR), (1993, September). Department of Defense: Accompanying Report of the National Performance Review, Office of the Vice President. (DoD Parts 1 and 2). NPR Staff: Author. US General Accounting Office. (1995). Workforce Reductions: Downsizing Strategies Used in Selected Organizations. (Washington, DC GAO/GGD-95-54).

Bibliography

REFERENCES Alliance for Redesigning Government. (1996). Downsizing -- An Overview. National Academy of Public Administration. Halley, Alexis A: Author Alliance for Redesigning Government. (1996). The Guide to Responsible Restructuring. National Academy of Public Administration. Cascio, Wayne Ph.D.: Author Defense Information Systems Agency. (1992). DCS Technical Control: Operational Policies and Procedures for FCO/NCO’s and TCF/PTF’s. (DISA Circular 310-70-1). DOCP: OPR. Dilworth, James B. (1993). Production and Operations Management: Manufacturing and Services fifth edition. New York, NY: McGraw-Hill, Inc. Laugesen, Wayne. (1996, February). The Internet meets its match: US WEST slows the information superhighway. Boulder Weekly, pp. 4-9. National Performance Review (NPR), (1993, September). Department of Defense: Accompanying Report of the National Performance Review, Office of the Vice President. (DoD Parts 1 and 2). NPR Staff: Author. US General Accounting Office. (1995). Workforce Reductions: Downsizing Strategies Used in Selected Organizations. (Washington, DC GAO/GGD-95-54).

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