Reduce Unique ICDs by Redesigning the Product or the Process

The objective of this activity is to reduce the number of ICDs by reducing the occurrence of an ICD in producing a unit of Output, or by reducing the number of separate ICDs used in the Output. A unique ICD is one of the key activities in the work center's contribution to the final product (O). It is separate and distinct from any other activity in the work center. For example, the fastening of a part onto a subassembly and a quality control check of the subassembly would be unique ICDs.

B. Redesign the process of producing the ICD or Output

Change the process used to produce the ICD or Output to eliminate activities.

5. Reduce errors in process

Reduce later repairs:
Fix component to prevent subsequent repairs

No.	Industry SIC	Year	Notes
1	0	2002	Southwest Airlines and JetBlue are providing live agents at the beginning of their customer service lines in order to differentiate themselves. GMAC Mortgage is adding agents to avoid complaints about automation. Amtrak and Schwab are using voice-recognizing robots to make it easier for customers.
2	0	2006	Radiation therapy used to consist of blasting cancer cells, and the surrounding area, with a high dose of radiation. To improve the process, Varian Medical added imaging technologies, like X-rays and CT scans, to the radiation device. Analysts equate it to a "rifle with a scope." Although the feature adds $400,000 to the cost, a majority of orders are adding it.
3	1521	2004	Since instituting new customer care procedures and more careful contractor training programs two years ago, KB Home homebuilder's warranty claims are down 90%, while lawsuits and legal expenses have fallen 20%, even though the company is building 25% more homes
4	2300	1985	So What! Uses a quality-inspection staff of 30 workers to check garments as they arrive at main plant. Claims to have reduced defects rate to .1%.
5	3572	1997	Adaptec has been encouraging other software developers to exchange discs with them with the goal of finding and correcting UDF incompatibilities, wherever they appear.
6	3949	1991	Coleman's just-in-time system requires that production stops when a problem arises. Workers are forced to act on the problems instead of shuffling them away.
7	4210	2008	A growing number of companies are implementing driver safety programs for employees in an effort to save lives and their bottom line. The Network of Employers for Traffic Safety (NETS) has developed a 10-step program to minimize crash risk. The steps help employers ensure hiring capable drivers and that only eligible drivers will get behind the wheel on company business. Employees are properly trained and supervised, company vehicles are properly maintained, motor vehicle costs are kept at a minimum.
8	4512	2004	It's the little things that add up to big savings, but can annoy customers as well as employees. Ryanair Holdings PLC is setting new standards on finding savings. In exchange for very low fares, passengers on Ryanair will find its new planes lacking some amenities that many have come to expect as standard features, such as seat pockets. Ryanair is also locking seats in one position, so they can't recline. That way it won't have to repair chairs that break. Another savings is that the seats are made of leather, which is easier to clean, saving the company about $178,000 a year.
9	5812	2007	Wendy's consolidated ordering at 16 stores, installing a call center designed to handle drive-through orders for all of its stores. As a result, orders were more accurate and order takers had the time to up-sell customers on additional items. While the program is expensive, the company is marketing the service to other restaurants which distributes the cost.
10	6324	2008	Centers for Medicare & Medicaid Services and other private insurers are starting to refuse payment for hospital errors. Hospital Tenet Healthcare recently signed contracts with United Health and WellPoint to get bonus payments for better patient outcomes.
11	6722	2004	In a world once dominated by Wall Street stock-trading houses like Citigroup Inc. and Goldman Sachs Group Inc., Fidelity Investments and other big money managers now hold most of the cards. Fidelity has cut its mutual-fund trading costs by hundreds of millions of dollars per year. One of Fidelity's key tactics is persuading brokers to commit their own capital on many Fidelity trades. When a broker commits capital, it in effect buys shares from Fidelity, then tries to sell them on the market. That can leave brokers swallowing losses when a stock keeps falling.
12	8062	2006	To reduce errors, hospitals are prescribing innovative designs. In the labor delivery room of the new St. Joseph's Hospital facility, patient bathrooms were moved from the traditional place along the headwall of the bed. The bathroom doors now open away from visitor traffic, on the opposite wall, making it safer. Next to each room is a glass-fronted alcove with a computer, allowing nurses to order drugs or enter medical data while the patient is constantly in view.
13	8062	2008	Hospitals are hiring physicians known as nocturnists, who work only night shifts, to avoid substandard care on nights and weekends. New policies are also being put in place to improve communications at the hand-off between day and night shifts. Some hospitals advertise higher salaries and shorter working hours for nocturnists.
14	8071	2006	Hospitals are moving to cut dangerous lab errors through improved specimen collection and efficiency. At the UCLA Medical Center, there were 16,000 errors out of the 4.29 million blood specimens taken in the 26-month period which ended last August. In 2003, UCLA reorganized its phlebotomy service to provide blood-drawing technicians around the clock, freeing nurses and other staff from having to draw blood in evening hours when they're distracted by other tasks. It also automated some parts of its specimen processing and began using an electronic error-reporting system. The new systems helped reduce all errors, especially mislabeled specimens, which are the hardest to detect.

<<Return to Reduce Unique ICDs in Process