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September 2, 2009

Ideas on Performance Measures for Service

Many books on service improvement for public services tell us that the target driven approach is wrong. Few seem to come up with alternative measures of the capability and effectiveness of the service. Here are some ideas of mine; I’d welcome other people’s thoughts:

 

– Flow. We need to measure the total flow time in the process, and the amount of that time that is lost to waiting etc (waste). This gives a broad measure of improvement.

 

– Throughput. Measure the actual throughput of the process and the variety day to day, hour to hour etc.

 

– Demand. Again we measure the level and variation of demand. This may not be the same as throughput if the process cannot cope with all the demand. It is also important to distinguish between “failure demand” and “service” demand.

 

– Quality. The internal and external (excapes/ complaints) failure rate of the process.

 

– Customer Value. We need a measure of the value that the service is delivering though I am not sure what this might be. I am not at all in favour of “customer satisfaction scores” for all sorts of reason.

 

– Continuous Improvement. By how much have we improved this month ? This could be linked to flowtime and other measures.

 

– Capacity. It is important to understand (or at least estimate) the capacity of your bottleneck resource(s) in the process.

 

Other ideas ?