Improvement tools for public libraries
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The document discusses various service improvement methodologies that can be used to analyze and enhance the efficiency and impact of services. It begins with an overview of an audit of tools currently used by authorities in the West Midlands region. It then discusses seven ways to save and improve services, including shaping demand, optimizing resources, and changing policies. The document provides more details on efficiency improvement tools like Lean and impact measurement frameworks like customer surveys and social return on investment analysis. It emphasizes the importance of understanding customer needs and measuring outcomes to demonstrate the value created by services.
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Improvement tools for public libraries
- 1. Service improvement methodologies Sarah Wilkie 30th March 2012 ©RedQuadrant 2012 Sarah Wilkie 07884 198812 sarah.wilkie@redquadrant.com SCL WM 30.03.12
- 2. Agenda • Use of improvement tools in West Midlands Library Service (the audit) • Seven ways to save and improve • Overview of some tools: Improving efficiency (Lean and all that) Measuring impact (frameworks, customers and peer review) • Bringing it all together SCL WM 30.03.12
- 3. Audit Tool # authorities using ACE self-evaluation framework 1 Business Improvement Package (CLG) 1 Culture & Sport Improvement 4 Toolkit (CSIT) Customer Insight 5 Customer Service Excellence (Charter Mark) 3 Inspiring Learning for All Framework (GSOs and GLOs) 6 Lean 5 Local Outcomes Framework for Culture and Sport 3 Logic Frameworks Peer Review 4 Social Return on Investment 1 Any other (please list) 1 (Balanced Scorecard) SCL WM 30.03.12
- 4. A useful framework for thinking about Service Improvement 4
- 5. Seven ways to save and improve 5 Organisational structures 2 3 4 1 Demand Source 6 Process Contact /project Resources 7 Policy RedQuadrant Savings Framework™ © RedQuadrant, SCL WM 30.03.12 2010-2012
- 6. 1 Shape demand: effect behavioural change in residents, reduce Seven failure demand ways to Create economies of flow: match capacity and contact points 2 save and better to demand improve 3 Reduce waste in the system: re-engineer processes or develop a more continuous lean whole system to reduce waste of all types Optimise resources: buildings, people (better scheduling, 4 less downtime, the right contracts and management), IT and other assets 5 Gain economies of scale: group or share activities and services Optimise procurement: procure volume, shape the market, 6 reduce or standardise specification, share services, outsource, use the third sector, or multiplying effects RedQuadrant Savings Framework™ 7 Change policy: stop, ration, reduce eligibility, delay, or charge © RedQuadrant, for a service 2010-2012 SCL WM 30.03.12
- 7. Efficiency improvement tools SCL WM 30.03.12
- 8. Efficiency improvement tools • Systems thinking • LEAN • Six Sigma • Activity based costing • Business Improvement Package (CLG) SCL WM 30.03.12
- 9. …8 years ago…this dilbert appeared SCL WM 30.03.12
- 10. What’s in a name? • Lean / systems thinking are just trade names • The good news is, there is something underlying it • Guides to where to look can help: We should think about the right change approach for the circumstance, not for our ideology Use seven ways to save and improve in organisations – but we don’t always get to follow the hierarchy SCL WM 30.03.12
- 11. Systems thinking • What do we mean by “systems thinking”? Focusing on the “end to end” process from the customer perspective and understanding all interactions along the way Eliminating / reducing 'failure demand‘ Minimizing “hand-offs” in the process Focus on only doing added value work Basing decisions on economies of flow, rather than economies of scale SCL WM 30.03.12
- 12. Lean Thinking fundamentals (Womack) 1. Specify value – define value from the customer’s perspective and express value in terms of a specific service 2. Map the value stream – see the whole process that brings a service to the 1 2 customer 3. Establish flow – highlight how the process flows from start to finish for the customer 5 3 4. Implement pull – can we get the customer what they want when they want it in the quantities they desire 4 5. Strive for perfection – there is always room for improvement A principle-driven philosophy and set of practices and approaches focused on creating flow so that all effort adds value from the customer’s perspective SCL WM 30.03.12
- 13. Seven rules of thumb and two principles 1. Work from the facts – not ideas or theories Pragmatic and effective – 2. Engage and empower – the ‘boundary’ staff to deliver method and mindset not effective processes and continually improve, customers rules and tools. Get to feed back and improve the organisation savings fast, prototype 3. Change management approaches and develop a and demonstrate to responsive organisation – ‘three levels of fix’, change belief and ‘prevention not cure’, ‘no blame’ behaviour. 4. Start from purpose – understand the purpose and vision Target perfection – of the organisation, and the role of each process in construct systems that delivering this build capacity and 5. Understand demand – customer purpose when they capability, and pull the access core processes amount of resource required – and no more. 6. Create flow from the start – decrease unnecessary contact, increase necessary contact Remember, good service 7. Build process and structures to meet demand – use the delivery costs less! needs of the process to determine organisational, systems, and other infrastructure changes SCL WM 30.03.12
- 14. More about flow Lean Flow Flow is typically disrupted in many A developed flow is less services: disrupted: Queueing Disempowered staff Checking & • Smooth reporting • Customer focused Long processing routes • Meets organisational IT problems requirements Quality problems, • Efficient rework • Uninterrupted Hand-offs and split Backlogs • Shortest lead time teams • Waste intolerant SCL WM 30.03.12 • Right first time
- 15. Three key benefits of Lean • It makes information about how the organisation is actually working more visible for boundary (frontline) staff, managers and Members alike • It shifts thinking from top-down command and control to ‘outside in’ from the customer purpose • It helps all parties to truly understand the issues which are preventing high quality performance SCL WM 30.03.12
- 16. Lean in Merton Libraries SCL WM 30.03.12
- 17. Lean in Merton Libraries Library Stock Team To Be Requests from Unity to Merton In stock Send email Update A Merton All libraries Book Go into Issue Package Document in Update to Merton shared Unity Library emails update Unity arrives at Unity to book in book and Post book items Libraries request back to say request Stock team inform Galaxy place in and count up supplied who hold spreadsheet they will send spreadsheet. from a them that system box for DX books for book stock of for libraries book Check Merton we have Courier courier and book to to update. spreadsheet library book document in check their NEW STEP daily for when it DX pick up shelves REPLACIN updates. arrives book G EMAILS NEW STEP REPLACING EMAILS Check every Download Check in Merton Library Await Other Merton day receipt of and print Galaxy for emails back to further Library emails request from request and availability inform that the emails from to say not in another library check its for of Merton book is not is other stock not in LLC via Merton Stock stock Merton Unity libraries database Out of stock Go into Unity to inform them the book is not in stock SCL WM 30.03.12
- 18. Merton procedures manual: missing stock – not recorded Customer Title is added to shelf-check list at Book is not found on Book does not searches for a holding library shelf but is not marked arrive for the book on as missing on the customer, as it viewpoint and Shelf-checks need to be done catalogue. is no longer in finds it throughout the day or at least 3 existence on times a day. They can be made This adds no value to the shelves. faster by ensuring that books are this customer and shelved quickly and correctly. wastes the time of Volunteers can make a big both future customers difference to this. Also check the and staff. The customer Customer will now feel date that the book was last seen. If makes a that their time recent the book may be on the reservation has been returns shelf. If over two years the for the book wasted and book may not be on the shelves on viewpoint will be anymore. disappointed. This can be Book is not found on shelf and is therefore avoided! marked as missing on the catalogue This does not add value to this customer but does add value to the next! If the catalogue is updated it will mean that we can give customers the correct information first time and they are not disappointed when they reserve a non-existent item. SCL WM 30.03.12
- 19. Time-driven ABC approach ABC – Council B “Improved” Parking ABC – Council A Permit Unit Parking Permit Unit Traditional Measurement Check applicant details: Check applicant £60 Salaries: £200 details: £60 Input application details: Equipment: £40 Input application £10 details: £40 Supplies: £60 Confirm payment: £10 Analyse Confirm payment: £50 e.g. compare Overhead: £100 Process payment: £10 against best Process payment: £50 TOTAL: £400 Print permit £100 practice & Print permit £100 benchmarks Send permit: £100 Send permit: £100 TOTAL: £290 TOTAL: £400 ABC gives you more granularity to Focusing on improving “payment” function make cost improvement can lead to some real savings. How have decisions. Traditional Council B reduced costs in application mechanisms = “cuts” e.g. salaries checking? ABC gives you more granularity in your expense structure and helps to tie costs to activities. Comparison at this level allows you to identify what processes can be improved (with what enablers i.e. SCL WM 30.03.12 I.T.) and therefore what savings be made
- 20. Time-driven ABC approach Requires only two parameters to be known: Costs per unit of Estimation of unit time capacity of activities Employee costs / employee How much time it takes to minutes worked complete each type of activity Activity based process cost: costs per unit x unit time SCL WM 30.03.12
- 21. Impact measurement tools SCL WM 30.03.12
- 22. A range of impact tools Frameworks & toolkits: Customers: • ACE self-evaluation • Customer Insight framework • Customer Service Excellence • Culture & Sport (Charter Mark) Improvement Toolkit (CSIT) • Inspiring Learning for All Framework (GSOs and GLOs) Plus: • Local Outcomes • Peer Review Framework for Culture and • Social Return on Investment Sport • Logic Frameworks It all depends what you want to measure – and why SCL WM 30.03.12
- 23. Frameworks & toolkits • ACE self-evaluation framework ACE currently reviewing • Culture & Sport Improvement Toolkit (CSIT) Designed to bring various parts of sector together Useful in allowing councils to measure and compare across different areas of culture and sport Provides a consistent approach – but not tailored to specific services • NEW! LGA self-assessment tool for libraries • Local Outcomes Framework for Culture and Sport: demonstrates the links between culture and sport activities and the achievement of better outcomes, e.g. o children & young people o the economy o health and wellbeing o older people o safer communities o strong communities • Logic Frameworks SCL WM 30.03.12
- 24. CUMBRIA COUNCIL PLAN KEY PRIORITIES Poverty challenged in all its forms The most vulnerable Chances in Life improved for receive the support they the most disadvantaged in need Cumbria ASPIRATIONS FOR CUMBRIA ECONOMY ENVIRONMENT A thriving economy where poverty is A high quality and sustainable challenged in all its forms environment in which people can move around easily and safely CHILDREN AND YOUNG PEOPLE INDEPENDENT, SAFE AND HEALTHY LIVES A great place to be a child and grow up in; a place where Individuals enjoy an independent and happy life, young people are able to live happy and productive safe from harm, with more control over their life lives; a place where young people will want to live and and a say in decisions which affect them work in the future LIBRARY OUTCOMES SUPPORTING THE COUNCIL PLAN KEY PRIORITIES More people gaining new Library Services contribute to knowledge and skills through sustainability and cohesion of access to Library services communities across Cumbria Increased participation Increased participation Library Services become Increased health and by children, teenagers by adults in Library a key customer interface well being benefits and families in Library services for County through the provision of services Council/Council services Library services SCL WM 30.03.12
- 25. Customers • Customer Insight: “only by understanding what is really important to people can a service be efficient and effective” Expectation within CAA that local authorities and their partners can demonstrate that they: o understand community needs, especially those of vulnerable groups o are seeking to improve customers’ experience of services and tailor services to local needs Not in itself a tool – provides guidance on tools and how/when to use them • Customer Service Excellence (Charter Mark): Driving continuous improvement Developing skills Formal accreditation SCL WM 30.03.12
- 26. ROI measures the effectiveness of each investment • Return on Investment (ROI) is a straightforward financial tool that measures the economic return of a project or investment. ROI measures the effectiveness of the investment by calculating the number of times the net benefits (benefits minus costs) recover the original investment. ROI has become one of the most popular metrics used to understand, evaluate, and compare the value of different investment options. ROI = Net Value (Benefits – Costs) X 100 % Costs SCL WM 30.03.12
- 27. SROI – Social Return on Investment An approach to understanding and managing the value of the social, economic and environmental outcomes created by an activity or an organisation. • Measures and accounts for the value created by activity • Includes the values of people that are often excluded from markets in the same terms as used in markets, that is money • Places a monetary value on outcomes A fictional example: • A Books on Prescription service costs £1,000 to provide (remember, activity-based costing will give you a robust figure here) • It has been demonstrated to reduce GP visits in the area by 10%, which equates to 100 visits, each of which would have cost the NHS £20 • The SROI is therefore 100x£20 = £2,000, twice the cost of providing the service SCL WM 30.03.12
- 28. Why do an SROI? SROI can help you improve services in a range of ways. It can help you: • Understand the social, environmental and economic value created by your work • Maximise the positive change you create and identify and manage any negative outcomes arising from your work • Reconsider which organisations or people you should be working with, or improve the way you engage with your stakeholders • Find ways to collect more useful, better quality information SCL WM 30.03.12
- 29. Peer review • Developed by IDeA (now Local Government Improvement and Development) • Adapted by MLA for use in the cultural sector – first for libraries (three day reviews), later across the sector (light-touch one day reviews) • Not currently on offer as an externally-supported activity specifically for this sector, but LGA developing new approach to Peer Challenges SCL WM 30.03.12
- 30. Bringing it all together Key messages: • Choose the right tool for the job • Consider the culture of your organisation • Efficiency and effectiveness go hand in hand • Consider your messages • Measure what matters SCL WM 30.03.12
- 31. Thanks for listening ... ... and a plug! Sarah Wilkie sarah.wilkie@redquadrant.com 07944 198812 SCL WM 30.03.12
Editor's Notes
- Thank you for inviting meI hope the presentation I will give will be useful to you in providing an overview of some service improvement tools and methodologies.However, two warnings:40 minutes is barely long enough even to skate over the surface of this topic. Lean alone could be a whole day’s session – or moreMy knowledge of some of the tools is fairly limited as I’ve not had the opportunity to put all of them to use by any means
- Here’s what I propose covering in this sessionGoing to look at what is currently happening here in the WM in terms of service improvementWill offer you a useful framework for thinking about improvement across the breadth of any service, developed by RQWill provide a brief overview of a number of the tools, which for the purposes of this presentation I’ve divided into those that focus mainly on improving efficiency, and those that focus more on measuring impacts and driving improvementAnd will talk a little about how you select the right tool for your needs
- No return from five authoritiesSome tools focus on measuring impact in order to drive improvementOthers on making service more efficientAnd yet others, on improving awareness of customer needsLink is that increasing efficiency frees up resources to focus on most impact-full activityHere in WM Lean is the most used efficiency tool, but a variety of methods are used to measure impact. Most usually it seems that this work is being done across cultural services rather than in the library service in isolation
- NB moves forward on clicks – two per point madeThis framework starts from the p[remise that any service process can be thought of as a system – and it is this thinking that underpins and defines systems thinkingIn this model ---Work comes in from outside the system …… and is identified at the point when a customer interacts with your service. In the case of a library service, most of this will be at the point of contact in a library building, but it could also be when a member of staff has taken the service out to the customer, or could be created by contact with a partner who for the purposes of this framework can be seen as a potential internal customer. Other examples of the internal customer can be seen, for example, in your stock services, for which the libraries are the internal customerThis point of contact triggers the need for some sort of activity to deliver what the customer wants – issuing a book, running an event, answering an enquiryTo do this you need resources – staff, materials, equipment, buildingsYou deploy and manage these in a structured way – staff structure, network of buildings, etcAnd you also have to procure them – buying stock, recruiting staff and so onFinally, what you choose to offer in response to the demands on your service is determined by policy – your stock policy determines what materials you provide, your business plan prioritises what services you run, etcIn considering efficiency, most people tend to focus on numbers 3-6, but all of these provide opportunities to streamline your service while remaining focused on delivering outcomes for your customersYou canShape the demandMake your flow more economicalCut out waste in your processesOptimise your use of resourcesGain economies of scaleProcure more efficiently and effectivelyChange your policiesLet’s look at each of these in a library context
- I’m going to focus on Lean, an example of systems thinking, as that appears to be the one in most use in the region and is also the approach I know a little more about, as it’s favoured by RQ
- Lean and ‘systems thinking’ are concepts which have come to mean ‘all things to all people’. At worst, they can be the blind and dogmatic application of a set of tools that have solved problems in a DIFFERENT organisation, in a DIFFERENT sector, in a DIFFERENT culture, at a DIFFERENT time. At best, Lean can be: A way of getting real, useful information from the work itself A rigorous approach to whole-organisational change An approach to empowering and enlisting frontline staff in the process of change A model for integrating demand with organisational design and strategy, with a new approach to leadership and a culture focused on delivery
- What do we mean by “systems thinking”? We meanFocusing on the “end to end” process – from the Customer (internal / external) perspective and understanding all interactions with the process along the wayEliminating / reducing 'failure demand' (demand caused by a failure to do something or do something right for the customer)In a library context, that could be dealing with errors in handling requests, so the item supplied does not meet the customer’s needs and has to be re-ordered, or dealing with issues arising from poorly functioning IT, or with complaints about wrongly-sent overdues, and so on. Minimizing “hand-offs” in the process – get the work to where and who is best placed to deliver the outcome – this often means empowering frontline staffFocus on only doing added value work – not “tick in the box” activities that add no valueBasing decisions on economies of flow, rather than economies of scale – we will touch on flow in a minuteActivities add value Ifthey increase the worth of the service or product to the customerOr the customer experiences it and wants it.Anything else is not adding value, so unless it is essential to support value-added activity it should be stripped out of the process
- three key benefits to a lean systems thinking approachBUT We believe it is critical not to codify and blindly follow method, but instead to adapt it to suit your service and your purpose. So I want to share a few examples of how it has been used in another library service, Merton in south London
- How stock services is organised – a classic example of using Lean to review and improve flowStaff used to each do a separate task, conveyor belt style. On paper, this would appear to be an efficient systemThese staff were themselves involved in the Lean review, identifying the blockages to flow in their workNow each do all tasks on an item – reduced wasted time moving items along the conveyor, increased staff satisfaction with job as more varied
- They also looked at how they handle requestsThe chart shows where opportunities have been spotted to streamline the process – by working with staffThe red boxes are processes that they determined could be eliminated, through the addition of those fewer processes in the blue boxes.
- One example of a “to be” process map from Merton’s procedures manualAnthony would be happy to share more about their approach to Lean – I can give you his contact details later
- To apply activity based costing you only need to know two thingsHow much it is costing to pay the member of staff involved (remember to include on-costs), and how long it takes themSo if a member of staff is paid £10 per hour and the activity takes 10 minutes, the unit cost is £1.66By calculating this and bench-marking with others, you can identify where your service is relatively expensive and look for opportunities to reduce costs without impacting on service quality. How are the comparator authorities managing to do it more cheaply? What is different about their processes?You can also be more sure that when applying for external funding, including through commissioning as we’ll be discussing later, you budget accurately for the total cost of the activities concerned
- Talk about some of these but in less depth than I did about Lean, as audit results suggest that you are more aware of these and many of you using several
- ACE self-evaluation frameworkACE currently reviewing – not clear if many public libraries currently using – Jessica could maybe tell us moreCulture & Sport Improvement Toolkit (CSIT) is being used a lot in this regionDesigned to bring various parts of sector togetherUseful in allowing councils to measure and compare across different areas of culture and sportProvides a consistent approach – but not tailored to specific servicesDeveloped from range of tools being used at the time in different service areas, and was updated and simplified last yearNot an external assessment scheme with badges etc – designed to support self-assessmentOnly an IMPROVEMENT tool if you ACT on that assessmentI’ve not yet had chance to look properly at the newly-published LGA self-assessment tool for libraries, but it appears to have some things in common with the Culture & Sport toolkit, in that it provides a framework for self-assessment. It is based on the conclusions of the Future Libraries Programme, and interestingly is as the name suggests library-specific. It’s not yet clear how this will be received in local authorities where the drive was, a few years ago when I was more involved, towards cross-sectoral tools that were considered more efficient (no need to learn about lots of different methodologies) and allowed better comparison across a range of services.A local outcomes framework is designed to demonstrate the links between culture and sport activities and the achievement of better outcomes in an area, such as those listed.Is thus more outward-looking than the CSIT, which tends to focus more on performance, processes and leadershipA logic framework meanwhile is usually developed for a specific project, review or evaluation, and reflects the particular aims of the project concerned. E.g. I’m currently working on the evaluation of the SCL National Information Offer pilots and have developed a logic model based on the aims and objectives, with a focus on the key strands of support for health, learning and financial outcomes
- Cumbria have used the Culture & Sport Improvement Toolkit in the past. Bruce Bennison shared some thoughts with me:As a process we found it very valuable, enabling us to concentrate on improvement using an external validator and 'mentors’. In retrospect I wonder whether we would have the space and time now to pursue such a programme in the environment we now find ourselves.My experience of these tools tends to be in the realm of the arts and culture generally rather than Libraries specifically. However the application of the Outcomes Framework is readily transferable and indeed we have used that for a refresh of our service plan this coming year. The slide shows the Outcomes Triangle from that refresh
- Looking now at some tools to support increased focus on customersNeither of these is specific to our sector Customer insight is a tool for local government. It was developed in 2008 as a response to CAA. The aim was to enable councils to redesign services in ways that save money and improve customer satisfaction.Its underlying principle was that only by understanding what is really important to people can a service be efficient and effective.Not in itself a tool – provides guidance on tools and how/when to use themCustomer Service Excellence is non sector-specificIt is designed to operate on three distinct levels:1.As a driver of continuous improvement. By allowing organisations to self assess their capability, in relation to customer-focussed service delivery, identifying areas and methods for improvement;2. As a skills development tool. By allowing individuals and teams within the organisation to explore and acquire new skills in the area of customer focus and customer engagement, building their capacity for delivering improved services;3. As an independent validation of achievement. By allowing organisations to seek formal accreditation to the Customer Service Excellence standard, demonstrate their competence, identify key areas for improvement and celebrate their success.In this last, differs from most of the other tools we are discussing today, in that you achieve an outward, generally recognised, badge of achievement
- Another tool in fairly common use is Social Return on Investment or SROIIn business, Return on Investment (ROI) is a straightforward financial tool that measures the effectiveness of the investment in terms of the economic returnBut of course most public library activities, and indeed most local government ones, do not produce a direct economic return. Instead, to measure the value of what we do, we must look at Social Return on Investment
- Social Return on Investment (SROI) is an innovative way to measure and account for the value you create with your work.It offers an approach to understanding and managing the value of the social, economic and environmental outcomes created by an activity or an organisation. It seeks to include the values of people that are often excluded from markets in the same terms as used in markets, in order to give people a voice in resource allocation decisions. It is distinct from other approaches in that it also places a monetary value on outcomes, so that they can be added up and compared with the investment made. This results in a ratio of total benefits (a sum of all the outcomes) to total investments. For example, an organisation might have a ratio of £4 of social value created for every £1 spent on its activities.Libraries might seek to express that social value in various ways, depending on the service element, including health benefits, employability and so on
- Why do an SROI?SROI can help you improve services in a range of ways. It can help you: understand the social, environmental and economic value created by your work; maximise the positive change you create and identify and manage any negative outcomes arising from your work; reconsider which organisations or people you should be working with, or improve the way you engage with your stakeholders; find ways to collect more useful, better quality information;And of course put a monetary value on the work which can help in accessing funding, developing partnerships etc
- Off slideLGA’s new approach is designed to be highly flexible. The focus of the peer challenge is worked up with each council individually, allowing flexibility to focus on priorities, outcomes and ambitions that are important locally. It appears to focus on the whole council, rather than specific services. The LGA say that “Peer challenge can be delivered for a single council, for two or more authorities, for example, with shared management arrangements or a county and one or more of its districts; for a group of councils in a sub-region; or with partners. In short, whatever most meets the council's needs.”I would be interested when we talk later to find out if a more library-specific peer review offer might be of interest to the sector
- In summaryChoose the right tool for the job – decide WHAT you want to measure and WHY, before choosing HOW. E.g. if you want external recognition, Customer Service Excellence will give you that badge. If you need to drive down costs without impacting on service quality, consider Lean. If you want to argue the economic value of your services, use SROI. This is simplistic of course, but gives you a starting pointALWAYS take into consideration the culture and leadership within the service you are trying to change. Leadership attitudes, the way they work and make decisions set the tone and culture for everyone else to work to. If leadership is not on board and encouraging the change, the team trying to make the change will always be pushing uphill.Efficiency and effectiveness go hand in hand – although sometimes constrained by circumstances, the aim is to increase efficiency as well as improving services, and the bottom line is not to increase it at the expense of good servicesConsider the messages you want to be able to give out in advance – e.g. from ACE/SCL NIO work re trusting librariesFinally, we need to measure what matters to local people and communities, not just what matters to usAnd we need to always remember that the primary purpose of measuring performance should be to enable continuous improvement in delivering outcomes for those communities, NOT because you have to fill in a form or meet a target for its own sake.