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:
Provide portable tools for field work

No. Industry SIC Year Notes
1 2000 1990 Sara Lee let go 40% of its data entry department in the early 1980s after giving delivery staffers hand-held computers that could feed orders and billing data into a computer automatically.
2 2096 1990 Frito-Lay has given hand-held computers to all of its 10,000 delivery people. The data they collect feeds a system that helps the company manage production, monitor sales and guide promotional strategy.
3 3669 2002 Newly affordable wireless technology, especially handheld, is changing the way companies manage their business. It can be used to keep track of inventory and it is especially helpful at sites with no wiring set up.
4 3845 1993 At GE Medical Systems, field engineers were lugging around on each service call a trunkful of manuals that weighed about 200 pounds. While on the job, they'd have to make several trips to their cars to check procedures or get information. The remedy was to issue laptop computers with CD-ROM readers that would allow them to carry all their reference materials right to the job site. Productivity went up 9%.
5 3990 1991 Diagraph Corp uses laptops for sales staff to exchange information and have instant access to central offices. Has greatly speeded the processing and shipping of orders.
6 5141 1997 The company's salespeople are equipped with a hand-held computer system that allows customers to automatically re-order products and automates certain functions such as inventory management.
7 6211 2007 Businesses are boosting productivity by using customized applications on their BlackBerry or wireless phones. Benefiting from the expansion of cellular networks, workers can connect to the web and remote database without a laptop or an internet connection. These services are particularly useful for sales and service people. ING Group employees use Blackberries to look up client information and close sales on the spot, sending the database electronically.
8 7372 2004 Many salespeople now use laptops to make tricky estimates of individual transaction costs as well as to use engineering, finance, or accounting resources. This development allows them to generate transaction-level cost and revenue figures, which they can use to calculate their return on investments in sales. McKinsey has seen bottom-line improvements of up to 15% and top-line sales growth of 30%-60%, suggesting that it pays to bring a little more science to sales.

<<Return to Reduce Unique ICDs in Process