Post on 05-Oct-2018
VEHICLE IMPOUND FACILITY
DENVER SHERIFF DEPARTMENT
Vehicle Investigations & Auction Prep Process RIE
June 23 - 27, 2014
VEHICLE INVESTIGATION & AUCTION PREP PROCESS
Dates June 23-27, 2014
Executive
Sponsor
Captain Coyle
Process
Owners
Sergeant Zarnow
Team Lead Scott Johnson
Facilitators Jerraud Coleman &
Emily Lauck
Team Members: Renee Chavez, Tonya
Chapman, Aaron Feese, Scott Johnson, Phil
Mangeri, Ed Valenzuela
3 Simpler Business System® 11.0 ©1996-2010 Simpler Consulting, L.P. All Rights Reserved
Why Change is Needed
• The auction process results in the release (by sale) of approximately 20% of the vehicles impounded into the facility, but results in roughly 50% of the revenue generated by the VIF.
• The current process is cumbersome and has too many redundancies and defects. There are existing performance metrics, but they need to be evaluated and the current performance is not being validated by data and metrics.
Vehicle Investigations & Auction Prep Process
Metric Baseline
Total Vehicles Impounded per Year: 12,000
Total Vehicles Sold at Auction per Year: 2,500 – 3,000
Avg. # of Vehicles per Sale 110 Vehicles
Avg. # of Days a Vehicles Stays at VIF Before Selling at Auction (Cycle Time):
39 Days Holds Add Indefinable Amount of Time Junkers “Float” (May Not be Sold Right Away)
Avg. # of Pieces of Paper Printed During Process: 12,000 per Year (500 Pieces of Paper per Auction)
Avg. # of Holds per Year: ~ 1,000 at Any Given Time
Customer Window (Mandatory Waiting Time Until Vehicle Eligible for Sale):
240 Hours (30 Days)
Cost per Vehicle Prepped per Auction: $15.18
Amount of Touch Time Employees Spend Investigating/Prepping a Vehicle:
Deputies: 42 hours ASA’s: 11 hours Command: 16 hours Others (Forklift Operator, Cashiers): 5 hours TOTAL: 74 hours per Auction 1,776 hours per Year
INITIAL STATE
INITIAL STATE
Value # %
VA 15 17
BNNVA 16 19
NVA 57 64
TOTAL 88 100
Initial State Process Map
Vehicle Investigations & Auction Prep Process
Metric Baseline Target
Total Vehicles Impounded per Year: 12,000 12,000
Total Vehicles Sold at Auction per Year: 2,500 – 3,000 2,500 – 3,000
Avg. # of Vehicles per Sale 110 Vehicles 110 Vehicles
Avg. # of Days a Vehicles Stays at VIF Before Selling at Auction (Cycle Time): 39 Days 38.3 Days
Avg. # of Pieces of Paper Printed During Process: 12,000 per Year (500 Pieces of Paper per Auction) 6,000 per Year (250 Pieces of Paper per Auction)
Avg. # of Holds per Year: ~ 1,000 at Any Given Time 1,000
Customer Window (Mandatory Waiting Time Until Vehicle Eligible for Sale):
240 Hours (30 Days) 30 Days
Cost per Vehicle Prepped per Auction: $15.18 $13.63
Amount of Touch Time an Employee Spends Investigating/Prepping a Vehicle:
74 hours 66 hours
FUTURE STATE
FUTURE STATE Future State Process Map
•88 Steps in Current State
•70 Steps in Future State
•Key NVA Steps Eliminated:
• OSI History Printing
• Unbatching and Automating of Sale and Add-on List
• Elimination of Extra Quality Control Check
• Emailing not Faxing Final Sale List to CAO, ACS, and DMV
GAP ANALYSIS/ASSUMPTIONS
•14 Wastes Identified
•9 Addressed = 64%
The 8 Wastes Analysis The Voice of The Customer
Fishbone Diagram
GAP ANALYSIS/ASSUMPTIONS
Communication Circle
Barriers to a streamlined and
efficient auction prep process
Ideal State Comic
GAP ANALYSIS/ASSUMPTIONS
1. Seamlessly integrate & update all operating systems so that there’s no
duplication of effort/docs across the process
2. Get a front loader
3. Eliminate Saturday and Sundays at the VIF
4. Generate more revenue for the General Fund – happier public/customers
If we… Then we Expect…
1 Create shared folders on the shared drive for the Add-On Sale List
Real-time tracking and more accuracy
2 Eliminate the first printing of OSI history Less paper waste (at least 12,000 pieces per year)
and time savings (15 minutes per day)
3 Create a production board We expect others to visually know where we are
in the auction prep process
4 Eliminate the #’s on the top of reports More efficiency and less waste in the process
5 Use a larger magnifying glass Less eye strain and fewer defects/mistakes
6 Change the way we check and mark reports To eliminate an extra quality check
7 Change the number and size of binders More space, the elimination of paper, and to save
more time overall
8 Email the final sale list to the City Attorney’s Office and ACS
To eliminate processing time and waste (paper, etc.)
9 Cross-train others to complete the Ward Lucas check on Sunday before the sale
More accurate and updated verification of vehicle ownership
10 Send Purchasing the Auction Documentation via Inter-Office Mail
Eliminate 85 minutes of motion, transportation costs, and wear and tear on the vehicles
BRAINSTORMING
Number Experiment Anticipated Effect Adopt
Y/N 1 Reduce # and size of binders More space, the elimination of paper, and to
save more time overall Y
2 Create a production board
We expect others to visually know where we are in the auction prep process Y
3 Bigger font or adding magnifying glass We expect others to visually know where we
are in the auction prep process Y
4 Create shared folder Real-time tracking and more accuracy Y
5 Reduce printing of OSI histories Less paper waste (at least 12,000 pieces per
year) and time savings (15 minutes per day) Y
6 Email the final sale list to the CAO and ACS To eliminate processing time and waste (paper,
etc.) Y
7 Stop writing numbers on the top of reports More efficiency and less waste in the process Y
8 Change the way we check and mark reports To eliminate an extra quality check Y
9 Cross-train to complete Ward Lucas on the Sunday before the sale
More accurate and updated verification of vehicle ownership Y
10
Send Purchasing the Auction documentation via Inter-Office Mail
Eliminate 85 minutes of motion, transportation costs, and vehicle wear and tear
Y
EXPERIMENTS
Action Items Owner Due Date Status
1 Eliminate the First Print of OSI
History Team June 27th Complete
2 Eliminate the Numbers on the
Top of Reports Team June 27th Complete
3 Change the Way We Check,
Mark, Report Team June 27th Complete
4
Cross-Train Others to
Complete Ward Lucas on
Sunday Before the Sale
Team June 27th Complete
5 Email Final Sale List to CAO,
ACS, and DMV
Ed, Renee,
Tonya, and
Phil
June 27th Complete
6 Use a Bigger Font or Better
Magnifying Glass Renee June 27 Complete
7 Create Shared Folders for Add-
On and Sale Lists
Aaron &
SGT.
Zarnow
June 27 Complete
ACTION PLAN
Action Items Owner Due Date Status
8 Create a Production Board Aaron and
Scott July 27th In Progress
9 Reduce Number and Size of
Binders
Renee, Phil,
Ed, Tonya July 27th In Progress
10
Send Purchasing the Auction
documentation via Inter-Office
Ed, Renee,
Phil, Tonya July 27th Complete
ACTION PLAN
80% of Action Plan
is Complete!
PRODUCTION BOARD
15
Real-Time Status in the Auction Prep Process
Automated Real-Time Add-On List Created in the Shared Drive
Standard Work
EFFICIENCY SAVINGS
18
Metric Baseline Target Savings
Avg. # of Pieces of Paper Printed During Process:
12,000 per Year (500 Pieces of Paper per Auction)
6,000 per Year (250 Pieces of Paper per Auction)
1.2 Cases of Paper at $52.26/Case = $62.71
Amount of Touch Time Employees Spend Investigating/Prepping a Vehicle:
74 hours per Auction 1,776 hours per Year
66 hours per Auction 1,584 hours per year
8 hours per Auction = $170.80 192 hours per year = $4,099.92
Gasoline Costs to Deliver Bills of Sale to Purchasing (Fuel Efficiency = 8 Miles/Gallon)
8.8 miles roundtrip x $2.93/Gallon = $3.22/Auction
0 miles roundtrip $77.28 per Year
Total Soft Dollar Savings: $4,099.92 Hard Dollar Savings: $139.99
What did you learn?
• There’s always room for improvement
• When everybody comes together we can accomplish a lot
• Our current state is 188 inches long and our future state is 168 inches long (20 inch difference)…
• The event wasn’t as stressful as we thought it would be
How do you feel about the whole
event?
• It was very productive and enlightening
• It was an eye opener
• The event was enjoyable
• We got to hang out with the Sergeant
What will you do differently going
forward?
• Continuously improve the process
• Look for more ways to automate the system of computers
• Have more of an open mind
INSIGHTS
FACILITATOR INSIGHTS
20
Facilitator Insights
•This team is one of the bright spots in the City & County of
Denver
•Was very impressed by the teams’ camaraderie, collaboration
and use of the lean tools
• The team has leaned their process and made some very
valuable steps
•This team has built a great foundation to continuously improve
upon
•The voice of the customer resonates with this team as their
central driver
• This team is full of leaders governed by the right thing to do
rather than fear
SPECIAL THANKS
Consultants Michael Joyce
Colleagues Danny Christ, Michael Schaefer,
Penny Price, Pete Padro
Executive Sponsor Captain Coyle
QUESTIONS?
APPENDIX
Investigations Auction Prep Process RIE
June 23 - 27, 2014
Cost for Employees to Investigate and Prepare a Vehicle for Auction
Employee Classification Average Hourly Salary Touch Time per Auction Salary Cost per Auction (Ave. Hourly Salary x Touch Time)
Deputy Sheriff
$31.74 Current: 42 Future: 41
Current: $1333.08 Future: $1301.34
Clerk (ASA IV)
$19.87 Current: 11 Future: 4
Current: $218.57 Future: $79.48
Forklift Operator (Heavy Equipment Operator)
$ 23.75 Current: 1 Future: 1
Current: $23.75 Future: $23.75
Cashier (ASA IV) $21.13
Current: 4 Future: 4
Current: $95.00 Future: $95.00
TOTAL: Current: 74 Future: 66
Current: $1,670.40 Future: $1,499.57
METRICS
Prep Cost Savings per Vehicle Prep Cost Savings per Auction Prep Cost Savings per Year
$1.55 1.55 x 110 = $170.83 170.83 x 24 = $4,099.92
Current State Cost ($15.18) – Future State Cost ($13.63) = $1.55
74 Hours – 66 Hours = 8 Hours 8 Hours x 24 Auctions = 192 Hours/Year
2013 Auction Revenue:
$3,118,750.00
2013 Vehicles Sold at Auction:
2,634
Average Sale Cost of Vehicle
at Auction: $1,184.04
Sample Breakdown of Vehicles Pulled From Sale After Marking
Sale Vehicles Marked Vehicles Pulled After Marking
05/21/2014 121 21 •14 Releases •1 Fleet Conversion •1 New Owner ID’ed by Release Section •2 for Year •2 for Command •1 Ward Lucas
06/04/2014 145 17 •10 Releases •1 Certified Letter Not Sent •2 for Year •3 for Command •1 MOS Review
06/18/2014 170 19 •10 Releases •2 New Addresses ID’ed by Release Section •1 Fleet Conversion •5 for Year •1 Ward Lucas •2 Active Holds
METRICS