Articles

Time Is One Element We Can’t Affort To Waste

The need to take cost out of processes is critical. And time is a key component of cost.

During 2003, which is the 100th anniversary of the incorporation of the Ford Motor Co., it is valuable to visit some of the guiding principles Henry Ford used in making both his company and his country successful. My reference point for this is a terrific book called Henry Ford’s Lean Vision by William A. Levinson.

“Time waste differs from material waste in that there can be no salvage. The easiest of all wastes, and the hardest to correct, is the waste of time, because wasted time does not litter the floor like wasted material.” – Henry Ford, 1926.

It’s really obvious isn’t it? Yet the problem we are confronted with is complicated by the fact that we can’t see time that’s wasted.

“Not one hour of yesterday, not one hour of today, can be bought back.” – Henry Ford, 1922.

In the 80s, the continuous improvement cycle was a significant item in work processes with simplification and cost effectiveness the hallmark. This was driven, in part, by the high interest costs that caused a reexamination of the distribution business models that were in use. Today with the current market conditions, it’s worthwhile to bring back that focus.

Time wasted is hard to see. I agree. This is why time management in processes should be an item that’s constantly under review and continuous improvement. And yet there are some simple things I see in most dealerships that are serious time consumers. Let’s start with an easy one: The parts order process for service departments.

In most dealerships the mechanic walks from his work station to a parts ordering area. This ordering area is typically out of sight for the mechanic from his bay and also out of sight for the shop foreman from his workstation. We’ve put all manner of tools in the parts ordering area to make the job easier and more accurate for the mechanic. A paper library, microfiche, CD’s or computer screens to access service manuals to facilitate ordering the right parts. We have a parts department employee available to help in the parts order process. This parts employee enters the information for the mechanic directly into the dealerships computer system. The mechanic then waits while the parts department processes his order and gives the mechanic the parts and then he returns to his work area.

Now if we look at this process critically there is a lot of “time wasted". And it’s expensive time because the mechanical skills we need are in short supply.

To eliminate wasted time we can:

  • Have parts order stations on the shop floor
  • Have the mechanic enter the parts he needs directly into the parts system
  • Have the parts department deliver parts to each mechanic at the mechanic’s work station

Here are some other time tested ways we can eliminate wasted time:

In the 70s, we developed order processes that allowed mechanics to place parts orders by telephone. They called into a call center where order entry clerks took the orders and entered them into a computer system. The time savings are huge.

We then developed systems to deliver the parts, and pick parts up at the end of the job, that allowed the mechanic to stay in his work bay rather than walking around. The time savings are huge.

Finally the process shifted such that the mechanics themselves were able to enter the orders into the computer system without anyone else involved in the process. The time savings are huge.

So what do you think? Do you do all or any of these things in your shop parts ordering process? Do you have processes and systems that “waste” your mechanics’ time?

About CED Magazine

Kim Phelan

Kim Phelan, Executive Editor, CED Magazine

Construction Equipment Distribution is published by Associated Equipment Distributors, a nonprofit trade association founded in 1919, whose membership is primarily comprised of the leading equipment dealerships and rental companies in the U.S. and Canada.

With CED, content is king. No fluff, no advertorials – CED just gives AED members what they want to read: business information, industry and association news, plus fresh, original and useful feature articles that they share with their management teams. Our subjects range from rental, product support, sales strategy and customer service to technology, construction markets and legislation – and much more.

August, 2003

CED Magazine

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