kt p roblem s olving and d ecision m aking

KT KT PPROBLEM ROBLEM SSOLVING AND OLVING AND DDECISION ECISION MMAKINGAKING

24 August 201045/F RET Conference Room

ON THE JOB APPLICATION

““Delay in JS.com Invoice Processing”Delay in JS.com Invoice Processing”

An application of the SAPADAPPA methodology in invoice processing of JS.com

Efirey M. Vizcarra Jobstreet.com Philippines, Inc

KT PSDM Process Application

CHALLENGECHALLENGE

BACKGROUND OF THE PROBLEMBACKGROUND OF THE PROBLEM Jobstreet.com uses two system in recording sales transaction, Intranet and Platinum. Both can generate an invoice but only Platinum invoice are send to client because it is BIR registered.In the end of 2009 JS.Com has total sales force of around 50 people and now it has 74 and continuously growing.The invoice processor assigned in JS.Com is only one which 90% of her time is focused on invoicing.The TAT for invoice processing of JS.Com Platinum invoice is 2 days but currently we are delayed by 2 more days.There is also separate invoice processor assigned for JS Select but due to the low number of transaction only 20% of his time was focused on invoicing while the remaining the remaining 80% is for other operational activity.Todate, we are processing P1,500 invoice per month or an average of 70 per day from 56 in 2009.Per our time and motion analysis we need 12 mins to process and print one Platinum invoice.


I. Situation Appraisal

II. Problem Analysis

III. Decision Analysis

IV. Potential Problem Analysis

Problem Solving & Decision Making ProcessProblem Solving & Decision Making ProcessProblem Solving & Decision Making ProcessProblem Solving & Decision Making Process


SITUATION APPRAISALSITUATION APPRAISALSITUATION APPRAISALSITUATION APPRAISAL

A. List Concerns

B. Set Priority

C. Plan Next Steps

D. Plan Involvement


THREATS and OPPS

SEPARATE AND CLARIFY

Delayed in Jobstreet.com invoicing

Processing of Platinum Invoice is delayed by 2 days from TAT in 1st half of 2010

Increase in volume of transaction in 1st half of 2010

Incompatibility of Platinum systems with sales intranet system

Increase TAT of OR issuance

Increase operational activity in Bills Payment identification

Key in all tax information in OR like VAT, EWT and Zero Rated

Motivation of people

Implement new KPI parameters

Revisit current incentive scheme

Enroll staff in seminar and trainings

I.A. List ConcernsI.A. List Concerns



I.B. Set PriorityI.B. Set Priority

CONCERNS CI FI TF AVE


H H H H

Increase in volume of transaction in 1st half of 2010 M M M M


H H H H

Increase operational activity in Bills Payment identification

M M M M

Key in all tax information in OR like VAT, EWT and Zero Rated

M M M M

Implement new KPI parameters H H H H

Revisit current incentive scheme L L L L

Enroll staff in seminar and trainings M M M M



SITUATION APPRAISALSITUATION APPRAISAL

I.C&D. Plan Next Steps and Plan InvolvementI.C&D. Plan Next Steps and Plan Involvement

CONCERNS AVE Proc NEXT STEPS WHO WHEN


H PA Gather more information

Sheena August 28

Set PA meeting Yolly and Sheena

August 28


H DA Validate data Francis August 24

Set DA session Francis and Vangie

September 6

Implement new KPI parameters

H POA Set POA meeting Grace August 25






Problem Solving & DecisionMaking ProcessProblem Solving & DecisionMaking Process


PROBLEM ANALYSISPROBLEM ANALYSIS

A. Describe the Problem1. State the Problem

2. Specify the Problem

B. Develop Possible Causes Using Knowledge and Experience and/or Distinction and Changes

C. Prove the True Cause1. Test Possible Cause

2. Identify Most Probable Cause

3. Verify True Cause

D. Think Beyond the Moment1. Extend the Cause

2. Extend the Fix



II.A.1. State the ProblemII.A.1. State the Problem

Processing of Platinum Invoice is delayed by 2 days in 1st half of 2010


Problem Statement: Processing of Platinum Invoice is delayed by 2 days in 1st half of 2010


II.A.1. State the ProblemII.A.1. State the Problem

IS IS NOT Distinctions Changes

WHAT

Object1. Jobstreet .com Platinum Invoice processing time

Jobstreet Select Invoice processing time

Number of Invoice Transaction

Increase in number of sales people in Jobstreet.com in Q1

Deviation2. Delay by 2 days from TAT

within TAT Person who process the invoice is different

No changes were identified

WHERE 3. At Invoice Processor At Invoice Final Approver

Operational activities of Invoice processor

Implement compliance audit in Q1

WHEN First 4. Quarter 1 Before Number of Invoice Transaction

Increase in number of sales people in Jobstreet.com in Q1

Since 5. Continuously Sporadic

In the cycle 6. During the matching of documents

During the final approval of invoice

Different in operational process

No changes were identified

EXTENT

How Many Objects 7. Almost 30% More or less

What is the size 8. 70 More or less

How Many Deviations9. # of GAP? need more data

N/A

What is the trend 10. Increasing Stable



II.B. Develop Possible CausesII.B. Develop Possible Causes

1. One invoice processor for JS.Com

2. Too much manual operational process to invoice one transaction

3. Increase in volume of sales transactions

4. Non submission of sales order documents



II.C.1. Test Possible CausesII.C.1. Test Possible Causes

Possible Causes 1 2 3 4 5 6 7 8 9 10 11

1. One invoice processor for JS.Com

/ / / / / / x

2. Too much manual operational process to invoice one transaction

/ / / / / / x

3. Increase in volume of sales transactions

if if if / / if x

4. Non submission of sales order documents / / / / / if x


Increase in volume of sales transactions.

II.C.2. Identify Most Probable CauseII.C.2. Identify Most Probable Cause



1. Check when in Q1 actually increase the number of sales people

2. Compare the number of invoice process in 2009 against 2010 YOY

3. Compute for the time and motion analysis of invoice processing

II.C.3. Verify True CauseII.C.3. Verify True Cause



1. Extend the Causea. Check if the new sales hired

are assigned to new businesses

b. Check if the increase in sales is due to seasonal

c. Check if the increase in sales is due to low price

2. Extend the Fixa. Check on how we can simplify

invoice processing

II.D. Think Beyond the MomentII.D. Think Beyond the Moment







Problem Solving & Decision Making ProcessProblem Solving & Decision Making Process


III. DECISION ANALYSISIII. DECISION ANALYSIS

A. Clarify Purpose1. State Decision

2. Develop Objectives

3. Classify Objectives

4. Weigh the Wants

B. Consider Alternatives 1. Develop Alternatives

2. Evaluate the Alternatives

C. Consider Risks

D. Make a Decision


Select A Way To Meet The TAT of Invoicing for Jobstreet.com

DECISION ANALYSISDECISION ANALYSIS

III.A.1. State the DecisionIII.A.1. State the Decision


OBJECTIVES M/W

Meet the 2 days TAT M

Completeness of sales ordering document W-10

Increase speed in invoice processing W-9

Skills of Invoice Processor W-8

Cascade of invoicing policy to sales W-7


III.A.2,3,4. Develop & Classify Obj., and Weigh the WantsIII.A.2,3,4. Develop & Classify Obj., and Weigh the Wants


1. Hire additional processor

2. Utilize JS Select processor to assist

3. Automate invoice processing


III.B.1. Develop AlternativesIII.B.1. Develop Alternatives



III.B.2. Evaluate AlternativesIII.B.2. Evaluate Alternatives

OBJECTIVES M/W Hire Additional Processor

Utilize JS Select

Processor

Automate Invoice

ProcessingMeet the 2 days TAT M Go Go Go

Completeness of sales ordering document

W-10

10/100 10/100 10/100

Increase speed in invoice processing

W-9 8/81 8/81 10/90

Skills of Invoice Processor

W-8 9/72 8/64 10/80

Cascade of invoicing policy to sales

W-7 10/70 10/70 10/70

TOTAL 323 315 340


Hire Additional Processor Automate Invoice Processing

If new hire can’t understand the process immediately then invoice will be delay

H

H

If the systems breaks down then invoice will done manually

H

H

If employees productivity decreases then cost to invoice increases

M

H

If there are delays in the implementation of the automation then the delivery of the invoice will be interrupted

M

M

Alternative “Hire Additional Processor” is too risky given its advantages. Therefore, I choose “ Automate Invoice Processing”


III.C. Identify RisksIII.C. Identify Risks


Automate Invoice Processing


III.D. Make DecisionIII.D. Make Decision






Problem Solving & Decision Making ProcessProblem Solving & Decision Making Process


A. Identify Potential Problems1. State the Action

2. List Potential Problems

B. Identify Likely Causes

C. Take Preventive Actions

D. Plan Contingent Action and Triggers

POTENTIAL PROBLEM ANALYSISPOTENTIAL PROBLEM ANALYSIS



Automate Jobstreet.com Invoice Processing to achieve TAT in 6

months

IV.A.1. State the ActionIV.A.1. State the Action


Potential Problem Probability Seriousness

Downtime of Computer Server H H

System glitch of the program H H

Difficulty of the process L M

Security of the program M L


IV.A.2. List Potential ProblemsIV.A.2. List Potential Problems



IV.B & C. Identify Likely Causes & Take Preventive ActionsIV.B & C. Identify Likely Causes & Take Preventive Actions

Potential Problem Likely Cause Preventive Actions

Downtime of Computer Server

Intermittent internet connection

Get secondary internet connections

Power failure Back up system

System glitch of the program

Not properly test

Do parallel test before goes liveSystems

Incompatibility


Potential Problem Contingent Action TriggersDowntime of Computer Server

Invoicing will stop Slow internet connections/Power failure

System glitch of the program

Invoice will set to error Sales ordering data did not match with printed invoice


IV.D. Plan Contingent and TriggersIV.D. Plan Contingent and Triggers


FINAL RESULTSFINAL RESULTS

(What results were achieved? What were some key learnings from the experience?)

I’m become more creative and innovative in solving a problem which resulted positively as expected. Sometimes the common answer to our problems is not the best possible solutions. The systematic and unique methodology of SAPADAPPA helps me develop and improve my PSDM and questioning skills .


Thank You!Thank You!

kt p roblem s olving and d ecision m aking

Documents

com platinum invoice

invoice processing of

separate invoice processor

kt problem

problem analysisiii

recording sales transaction

volume of transaction

decision analysisiv