THE NEED AND DETERMINATION OF TIME DATA FOR OPERATIONS MANAGEMENT IN THE SERVICES DELIVERY ENVIRONMENT SAIMAS' 27th Annual Conference “ACHIEVING ORGANISATIONAL AGILITY” 26 OCTOBER 2017 Eddie Morrison , Consultant/Trainer, Process Chain Solutions Kelebogile Madiba , Lecturer, Operations Management, Tshwane University of Technology (TUT)
Content ... 1. Introduction 2. Operations Management in Government 3. MTM Data System for Office Work 4. Data creation 5. Advantages of the application 6. Lessons learned 7. Discussion / Questions
Need for time determining in Services Sector Why necessary? • Increasing economic importance of tertiary sector (administration and services) but also rising work costs in these sectors. • Demands for productivity improvement and changes in the administration sector will be the same as the production sector had already managed at the beginning of the 90s. • In administration there is significant potential to improve efficiency and quality.
Need for time determining in Services Sector • Since the early 1990s, economic growth in South Africa has been driven like in the rest of the world mainly by the tertiary sector – which includes wholesale and retail trade, tourism, government and communications. • South Africa is now moving towards becoming a knowledge-based economy, with a greater focus on technology, e-commerce, financial and other services.
Need for time determining in Services Sector • Initial situation: relevance of the service sector in RSA Primary sector 9% Secondary sector 26% 65% Tertiary sector (Source: DTI, 2010) • Most important economic sector with annual growth of about 4%, 65% of the GDP, 63% of employment, 74% of capital formation • Main source of economic growth: necessity for the increase in productivity even in service sector to maintain the competitive situation and also service delivery
Content ... 1. Introduction 2. Operations Management in Government 3. MTM Data System for Office Work 4. Data creation 5. Advantages of the application 6. Lessons learned 7. Discussion / Questions
Operation Management in Government Department of Public Service and Administration (DPSA) was tasked with identifying and researching solutions to bridge the gap between strategy and delivery of services. The non-existence of operations management principles in governmental institutions was identified as the root cause of the service delivery gap.
Operation Management in Government The purpose of the Operation Management Framework (OMF) is to assist governmental institutions to plan, structure, execute and continuously improve their operations for the effective and efficient delivery of services. In terms of the Public Service Regulations of 2016, the DPSA now requires governmental institutions to establish an OMF consisting of the following: ➢ A service delivery model ➢ Managed and mapped business processes for all services ➢ Standard operating procedures for all services ➢ Service standards for all services ➢ A published service charter
Operations Management Value Chain National MTSF and Delivery Annual Operations Strategic Plan Development Plan Agreement Plan • Organisational Functional Assessment • Service Delivery • Productivity Model Management • Service Delivery Improvement Plan • Learning & Knowledge Management • Forecasting of operations • Business Process • Planning of Management operations • Standard Operating • Control of operations Procedures • Adjustment of • Service Standards operations and Service Charter • Organisational Design Leading the Public Service to Higher Productivity
DETERMINATION OF TIME DATA FOR ADMINISTRATIVE PROCESSES Mandate from DPSA • In the case of business processes the DPSA stipulates that indicators must be identified for measuring the efficiency and effectiveness of business processes. • Targets for improvements in this regard must be set, the indicators must be measured, and plans for improving business processes must be developed and implemented. 10
Productivity management in the service sector: Productivity management in the service sector: Transfer of industry proven tools and methods To indirect areas From Manufacturing Information work/Operations Production/Operations • information search • assemble & manufacture • creation of information • operations technology • information processing • process technology • providing information ➢ Transformation of ➢ Documents, reports material to goods and forms
Productivity management in the service sector: If you can‘t measure it you can‘t manage it.“ (Kaplan & Norton, 1996) The question is how accurate the standards must be?
Productivity management in the service sector: • Companies have to think about smart working methods rather than the trendy (sometimes impractical ways) methods • Secret of productivity improvement: engineered standard time and labour performance control system • IE´s must follow a balance between maintaining a commitment to the basic traditional tools and rolling with the evolution • For real productivity improvement it is sometimes better to return to traditional measurements Source: instead of modern methods like Kaizen or Lean Industrial Engineer, Management member forum, Mar • But there is no right or wrong way to improve the 2009; 41, 3; Docstoc productivity pg. 24
Work Measurement Tools for Indirect areas In actual practice, work measurement can be done by various techniques including activities such as: Predeter- Time Study mined Time Activity Systems sampling Work Bench- Others Measurement marking Tools Mathe- Estimates matical calculations Self logging
Content ... 1. Introduction 2. Operations Management in Government 3. MTM Data System for Office Work 4. Data creation 5. Advantages of the application 6. Lessons learned 7. Discussion / Questions
MTM Building Block System for Office Work The M ethods Method T ime Determines M easurement the Time! MOS is the MTM Building Block Systems for Offices Describe present & future work process based on MTM- Norm performance
MTM Building Block System for Office Work MOS is a third (3rd) general level MTM system. MOS is complementary to other Management Services/ Industrial Engineering charting and analytical techniques; it does not replace them. MOS should be used after broader techniques have established the general Necessity and Purpose, Place, Sequence, Person and Means of the tasks to be evaluated.
MTM Building Block System for Office Work MOS Basic Operations Handle Code TMU Get and Place e.g. turn page, tear off sheet, HA 40 objects open or close, get or put away Handle tools get and place e.g. pen, stamp or similar and put away HB 60 2 sheets combine, 1 sheet allocate, count per 10 units, Combine/Sort HC 85 sort per sign and sheet Mark stamp with ink-pad, underline HD 60 Label apply adhesive label HE 200 Work Tap, fold, punch, cut, connect, take apart HF 100 Open/Close rocker lever, ring binder, folder/metal fastener HG 190 mechanism Insert or Remove / per sheet or set, (also folder without mechanism) HH 75 sheet Insert or Remove / per sheet or set, with open or close HI 210 envelope without folding up
MTM Building Block System for Office Work MOS Basic Operations Screen actions Keyboard press single key SA 10 Mouse position and click SB 20 Basic value orientate on screen SC1 55 search and find position Pos. single-stage SC2 75 Select and click with Pos. multi-stage search directory SC3 240 mouse Mask select pull-down menu SC4 40 Scroll gradually SC5 170 format selected text, Edit Format SD 380 several lines Use of these table values without thorough training in MOS will lead to erroneous results.
MTM Building Block System for Office Work Mental functions simple Register, text selection known range MA1 70 Search for and Find difficult Specific page, text section unknown range MA2 170 Word, number per 3 digits sign MB1 10 character per 3 letters Read line A4 MB2 70 Word, number per 3 digits, character per 3 sign MC1 20 letters Check line A4 MC2 140 Word, number per 3 digits, character per 3 sign MD1 40 letters Compare line A4 MD2 300 symbol Digit, letter, character ME1 25 Write - hand word Including transfer ME2 150 Use of these table values without thorough training in MOS will lead to erroneous results.
MTM Building Block System for Office Work MOS – Standard Operations Process - Information Data field Continuous text page A4 Small Medium Large 1 - 12 13 - 30 31 - 100 Code Quarter Half Total characters characters characters 1 – 2 words 3 – 5 words 6 – 15 words Class A B C D E F Read VA- 20 50 130 630 1 190 2 380 Check VB- 40 100 260 1 260 2 380 4 760 Compare VC- 80 190 530 2 700 5 100 10 200 Use of these table values without thorough training in MOS will lead to erroneous results.
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