Theory of Constraints Handbook - James Cox Iii [477]
[D]: Action to achieve B: The Shipping Clerk is allowed to call the customer for shipping details.
The suggested tactic in D is not too bad, but is not allowed according to the procedure stated in box D′ and it may cause the negative implications that the procedure tries to prevent.
[D′]: The blocking procedure: Only the Customer Account Manager makes all the calls to the customer.
[C]: The need that is taken care of by the procedure in D′: Maintain good customer relationships.
Customers do not like having many people from their supplying companies call them and deal with different aspects of the products or services customers purchase from them. Therefore, we expect that if the Shipping Clerk calls the customer, he or she will be annoyed (as indicated by the storyline).
[A]: The objective: High level of customer service.
The Cloud is presented in Fig. 24-6.
FIGURE 24-6 An example of a Fire-Fighting Cloud.
In summary, the sequence and the questions for building the Fire-Fighting Cloud are shown in Table 24-5.
Step 4: Check the logical connections and upgrade.
Conduct the regular logical checks of the Cloud arrows.
Check that this problem puts you—the manager—in direct conflict with your system (sometimes even the one that you have put in place).
Check that the action in D jeopardizes C.
Check that the procedure or tactic of D′ jeopardizes B.
Upgrade the Cloud.
Step 5: Surface assumptions.
Raise the relevant assumptions for all the arrows of the Cloud.
The assumption underlying A-B and A-C are needed to re-establish the importance of both needs. They are necessary conditions for the high level of performance of the area under the manager’s responsibility. The assumptions should support the manager’s intuition of why he has to deal with the fires.
TABLE 24-5 Sequence and the Questions for Building the Fire-Fighting Cloud
The C-D′ assumptions support the reasoning for the system that was put in place to achieve C. The current procedures support the smooth running of the organization. Procedures are there to ensure the quality, consistency, and effectiveness of processes within the company. Therefore, the majority of the assumptions are strong and positive. However, as good and comprehensive as the procedures are, they do not cover the full spectrum of possible situations.
Hence, B-D assumptions reveal situations in which the existing procedures are weak.
aPlease note that we use the term “system” in this case to denote something that is beyond the need of the person (the Shipping Clerk in this instance) raising the problem and it must be within the area of the responsibility of the manager (Customer Service) who is handling the fire-fighting problem.
D-D′ assumptions reveal the reasons for the conflict. Usually they point at the rigidity of the procedures to the extent that they cause harm to business needs and toward the lack of coverage in the procedures for dealing with emergencies and special situations.
Example:
C-D′ Assumptions:
In order to [C] Maintain good customer relationships, all people of the Customer Service Department (including the Shipping Clerk) MUST follow the procedure that D′ only the Customer Account Manager makes all calls to the customer BECAUSE. . . .
We have a policy of “single point of contact” [just stating the source of the employed procedure].
The customer gets irritated and confused when contacted by different people from the company [explains the logic that has brought the company to have this procedure].
Anyone other than the Customer Account Manager will confuse the customer.
B-D Assumption:
The Customer Account Manager may be out of reach and the shipping instructions are not clear. (This is a special case where the two conditions happen at the same time. If only one of these conditions would happen, then there would be no problem.)
D-D′ Assumptions:
The procedure clearly states that in any situation “No one is allowed to contact the customer but the Customer Account Manager.”
The procedure does not cover