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.

4. Reduce movement of an Input (People, Purchases or Capital)

Reduce movement of people:
Use teleconferencing for meetings to avoid travel

No.	Industry SIC	Year	Notes
1	3577	2004	At Ford Motor, Cisco is helping to network flexible factory lines at four plants, with each plant aware of which parts are on their way from suppliers. Ford hopes to save $2 billion over ten years with flexible manufacturing. It has installed Internet phone service for 2,400 workers worldwide and enabled Web seminars for up to 12,200 people at once.
2	6324	2004	Aetna Inc. is taking steps to cut down the costs of healthcare by turning to medical experts. At Aetna in Ohio, it noticed that too many members went to the ER for things that required doctor attention, but that could be monitored safely at home rather than a hospital. In 2001, it launched a pilot project in Cincinnati that encouraged doctors to send home patients with simple pneumonia, dehydration, or gastroenteritis. An Aetna nurse would visit the patient's home to set up intravenous hydration, antibiotics, oxygen, and 24-hour monitoring devices. Doctors could keep in contact over the phone and still get paid for services. The average episode of simple pneumonia costs $7,155 to treat in the hospital but only $1,650 to treat under Aetna's home program.
3	7378	1994	Before redesign, after a customer called the nearest service branch, a reporting technician would be dispatched to diagnose the problem and would usually return to the branch to get any needed parts. After redesign, in about 80% of calls, an expert diagnosed the problem over the phone. Parts would be delivered the following morning.
4	8011	2007	China's one million rural doctors have limited medical education and little knowledge of Western medication. Haoyisheng.com has set up video classes in small villages and cities which go over the basics of diagnosing and treating patients. During the rule of Mao Zedong, doctors were given basic training but as care was privatized in the 1980s, this training came to an end. The curriculum will fulfill Beijing's new requirements for medical training. Diagnostics have improved amongst doctors who have completed the course.

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