SCHOOL BOARD NEWSBULLETIN - May/June 2010

Let's promote business efficiency for schools
by Chris Balkema

Chris Balkema of Channahon is a board member in Minooka CHSD 111.

The vast majority of employees have a strong desire to succeed in their jobs. The idea of working hard to accomplish goals is almost part of human DNA. At this level, it is insignificant whether an employee works for a private company, a non-profit organization or government body — most want to perform well at work.

However, the performance levels of public and private organizations vary widely.   In Good to Great, author Jim Collins shares stories of companies, such as Walgreens and Gillette, that have performed extraordinarily well in their industries. These companies have a simple, clear concept of what their purpose is and why they exist.

Another common thread across these organizations is how seriously they take efficiency. An efficient company that builds a product continuously looks for ways to improve the quality of that product while reducing the cost to develop, manufacture and sell it.

In the same way, an efficient school system continuously looks for ways to improve the quality of the students’ education while reducing the cost of providing that service.

Almost all organizations, public or private, have a mission statement. Usually, a corporation exists to deliver value to its shareholders in terms of profit.

School systems exist to deliver an educational service to the community at the lowest possible cost to taxpayers. Many times that last phrase, “at the lowest possible cost,” triggers differing emotional reactions from people depending on their vantage point.  

Board members and district personnel all understand what would happen to the quality of the student’s education if teachers were eliminated as a cost savings, therefore causing the student/teacher ratio to dramatically increase. However, fixed-income residents worry how they will be able to pay their property tax bill (approximately 70 percent goes to school districts) and make financial ends meet.

A large part of the answer lies in the ability of public organizations to drive efficiency targets with the same level of effort that corporations have done for many years. Continuous improvement processes such as 6 Sigma, Total Quality Management and the Malcolm Baldrige National Award emphasize the need for cross-functional teams within the organization. These teams are challenged to follow a prescribed methodology that allows them to continuously improve and streamline processes. As improvements are implemented, the organization can deliver a higher quality of service at a lower cost.

If a company receives a batch of defective material from a supplier, it can reject those materials for a refund. If a school receives a problematic student who costs the system extra time and money to manage, the district can’t send the student back home and refuse to provide educational services. However, cross-functional teams (administrators, teachers, deans, superintendents) can be challenged to apply structured quality improvement processes to ensure specialized services are delivered in the most efficient manner.

Using 6 Sigma methods, teams follow a structured process divided into five sections (define, measure, analyze, improve and control).   During the define phase, the opportunity is defined. For example, the goal may be to reduce the cost of the student registration process or to shorten the time that it takes for parents to register students.

During the measure phase, all aspects of the existing process are measured and data is collected on current performance levels. In the analyze phase, the team analyzes the collected data to determine how the process can be improved or redesigned.  

As the team moves to the improve phase, the redesigned or streamlined process is implemented and the team monitors the results. The control phase is where the team ensures that efficiency increases realized during redesign are embedded into the new process.

Small projects may consist of three or four team members and the duration of the project is one or two weeks. Large projects may consist of 10 or 15 members and last six months.  

One of the most positive aspects of the 6 Sigma process is the synergy that exists within the cross-functional teams. Many times they feel a great sense of accomplishment as they are empowered to make changes to processes and programs that individual employees would not be able to do.

The engagement level of employees almost always rises as they are empowered in these teams and that translates to a happier and more energized workforce. The levels of creativity that often emerge from these teams can be breathtaking as ideas are debated and tossed about during the initial phases of a project. Team members and other employees will make statements such as, “I never looked at our process from that perspective,” or “Why have we always done it like that?”

Organizations have saved millions of dollars as a result of 6 Sigma team collaborations. Many corporations have long recognized the fact that there is no end to process improvement. Creativity flourishes as teams are empowered to continuously improve and streamline processes that reduce cost.

Since most public organizations have yet to tap into these efficiency goldmines, the amount of “low hanging fruit” in terms of cost savings that could be realized is very large.  

Taxpayers are the shareholders of our local school systems. They deserve to understand the value of the educational services that are being delivered to the community.

By using continuous improvement processes, school systems will be able to provide data and feedback to the community showing how they are delivering the highest quality of service at the lowest cost.

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