$612,000 per-year cost savings. | 75% cost reduction
During the 2000 decade, U.S. Army Forces Command needed to mobilize individual soldiers and units for various functions. The 45 to 60 days it took to issue mobilization orders was simply too long. A LSS team studied this process and implemented improvements that decreased the processing time to less than 30 days. The improved process saved the Command more than $150,000 per year.
Problem
In order to mobilize a unit for duty, U.S. Army Forces Command (FORSCOM) must cut a set of orders. In many cases, the Army must mobilize an individual for a specific task or to support a specific unit. This Individual Mobilization Orders (IMO) process took 45 to 60 days from the time a mobilization requirement was identified to the time an order was cut. The individual mobilization orders were processed by multiple organizations such as individual units, U.S. Army Reserve Command, FORSCOM and Headquarters/Department of the Army/Mobilization (HQDA-G3) before finally being published. The time to complete the process included multiple approval steps and rework of information.
Due to the need to support operational commanders during this time of enduring conflict, HQDA-G3 reviewed this process and took notice of the issues surrounding it. Subsequently, a team was formed to address the issues and improve the process. The Deputy G3 took the role of Project Sponsor as defined by Lean Six Sigma procedures and supported the team.
Approach
The team collected process data to capture cycle time, incorrect information, and created a Value Stream Map of the existing process. Analysis of the process identified issues with respect to transfer of information and excess time to review information between multiple commands and organizations.
The team analyzed the current process to define what each organization needed in order to approve and publish individual mobilization orders. These requirements were integrated into the new Department of the Army Mobilization Processing System (DAMPS). Cause and effect analysis identified timeliness of submissions, insufficient guidance documentation and multiple approval loops as being the key contributors to the length of the process. In addition, authorization was provided to specific points of contact within each organization to allow them to edit IMO submissions and to engage in electronic communication. The final change was to automate the transfer and sharing of information between approval entities within each organization to reduce waiting time and provide time to address remaining quality issues.
Results
The above changes were integrated into a new process which was approved and implemented. The Army realized a reduction in process cycle time of 30 percent to below the targeted 30-day processing requirement. The project provided $612,000 cost reduction over four years. This was a cost reduction of 75 percent due to reductions of effort and associated personnel needed to process individual mobilization orders.
