Satisfactory performing agency desires to become a high-performing agency by improving: (1) PHAS scores (2) delivery of services and, (3) reducing operating costs.
Parkland's Role
Identify and address the areas of highest impact. Work with senior management to develop a sound game plan and timeline that seamlessly interlocks with the agency's vision. Lead and facilitate the project implementation.
Keys to Success
Interactive and Team Based: working collaboratively with frontline employees and senior management to create tremendous project buy-in throughout the entire agency.
Timely and Accurate Reporting Metrics: establishing vehicles for the quick dissemination of the drivers of productivity and value.
Lean Thinking: immediate and permanent elimination of all non-value added activities.
Implementation
Occupancy & Section 8: A critical aspect of lean thinking is "kaizen". Kaizen challenges employees to find creative solutions to problems without using additional capital. AMHA employees, utilizing techniques taught in kaizen training, configured a new occupancy enrollment program and implemented it in less than ten days. A similar approach was utilized in implementing new procedures for Section 8 that helped them overcome stagnant utilization rates.
Inventory Management: Beginning with the belief that "virtually all inventory is waste", Parkland helped AMHA redefine how they view and manage inventory. Using SKU stratification & rationalization analysis helped the agency dramatically reduce on-hand inventory and to consider the eventual elimination of its central warehouse. Replacing their previous system with a just-in-time drop-shipping program reduced carrying costs by 90%.
Maintenance Organization: Warehouse and Maintenance personnel were removed from predetermined categories and reorganized to mirror the flow of work. Redeploying personnel into value-added positions led to significant improvement in PHAS scores with no additional cost. For example, skilled trades were moved into area teams, which dramatically reduced work-order response time and resulted in a 45% increase in available work time.
Reporting Systems: A lean and high performing agency is only as good as its reporting systems. Timely and accurate reports that reflect the mutually agreed upon goals for each department were implemented in key areas throughout the agency. Employees and managers were trained to use these "flash reports" as an early warning detection system, measuring variances against the goals on a daily and weekly basis.
Results
Improved PHAS scores. Currently operating at "high performer" level.
New resident applicant waiting time reduced from 67 days to zero.
New resident applicants processed increased 112%.
Section 8 vouchers increased 346%.
Section 8 utilization increased from 87% to 99%.
Reduced inventory levels by 80%.
Redeployed 90% of warehouse personnel to value-added positions.
