Wednesday, December 7, 2016

Article 84. A Special Approach to Reform of the Federal Government

This is a hard approach to reform (replacing Article 82 My standard reform approach) for special conditions where over-staffing is suspected of being 30% or more. This approach first uses OIG Analysts to right-size a prioritized list of operations and processes in the Department with proper staffing, then builds a bottoms-up manpower budget with staff reductions. This is followed by the implementation of Enterprise Lean facilitated by OIG Analysts.  The reform approach in Article 82. applies to departments with suspected over-staffing of up to 20%. For an example of the hard approach in private industry see Article 17. Example of My Experience with Alexander Proudfoot.

The recent discovery of the DOD’s hiding of $125 billion in waste sheds new light on the Federal Bureaucracy.  The Federal Bureaucracy rules were designed to prevent corruption but has gotten out of control favoring bureaucratic growth.     Over the years the DOD Bureaucracy has grown to waste $125 billion from lack of proper management.  

Organizing for Reform
I have recommended that the Office of Management and Budget (OMB) be the primary source of the Government reform effort.  Headed by the US Inspector General (a newly created office) reporting directly to the OMB. Office of Inspector General (OIG) Analysts provide the boots on the ground for the implementation of reforms instead of temporary Outside Consultants saving $millions.  The OIG organization will be a permanent watch dog and management tool for the Federal Government. See Article 52.  Establishment of a Government Wide United States Inspector Generals Office

I have recommended in Article 82 that the government should be simplified before implementing Reforms to prevent reforming work that is going away.  Now with the discovery of massive waste in the DOD and other Departments trying to simplify by identifying government waste before starting the reform procedure  appears to be a waste in itself since much of government is doing nothing. With this knowledge I am altering my approach to implementing reforms by having the departments identify and prioritize the work they do so that reforms can begin immediately in these processes by beginning the building a bottoms-up manpower budget.

The Phases of the Special Government Reform Process
1. Organize for Reform
Implement the New Office of US Inspector General and the OIG organization.
First duty ask all Federal Government Departments to work with OIG Analysts in providing a prioritized list of all high level absolutely necessary activities and processes performed by the Department.  The Effectiveness Test should be applied to the prioritized list those activities not meeting the test should loose funding.

2. Training of OIG Analysts
The Reform Consultant and special trainers will insure that the necessary training of the activities of OIG Analysts has been done and that they can determine the correct staffing level through Work Measurement. The collected data from the documentation will be kept on a spreadsheet by the OIG Analysts and summarized in a database where all of the Department’s functional data are stored.  The data can be collected in electronic tablets using a spreadsheet program specifically designed for this process.  All tablet spread sheets will be continuously updated using a special Google App (application).  The Trainers will also provide on the job training of OIG Analysts in the collection of this data and all reform steps.

3. Implementation of the General Reform Model 
Right-sizing of each Departments prioritized activities will begin immediately by the OIG Analysts assigned to that organization.    
A. The OIG Analysts will use work measurement and time-study of these activities and processes to determine the hours spent in doing this work. This will be the start of a bottoms-up manpower budget. 
B. When this portion of the bottoms-up budget is completed all remaining activities of the Department are subject to scrutiny.  Those deemed necessary are assessed and added to the manpower budget.  All other activities are ignored and deemed as unnecessary.
C. The manpower budget is then adjusted to show the number of personnel required.  Savings are Identified when required personnel is subtracted from the Departmental manpower. (draining the swamp).
D. This is followed by the implementation of Employee Enterprise Lean Teams using OIG Analysts as facilitators to get further gains in efficiency.  The Teams after gaining some experience will permanently replace the Bureaucratic organization with a Team Management organization.

4. Staffing Adjustments 
This is the period of time for the reduction of redundant government staff.  Redundant staff must be removed from the work environment to allow a balanced work load.  Retraining employees to fill needed vacancies is pursued.  Where departmental staffing can be reduced layoffs or temporary reassignments should be completed within a month. Early retirement is suggested for eligible employees.

5. The Training and Organization of Employee Enterprise Lean Teams
I recommend that Enterprise Lean Training Consultants be brought in providing training seminars for the OIG Analysts and other Training staff (Train the Trainer) for employee training.   Lean Facilitators (OIG Analysts) will receive special training. The objective of this training is to get employees organized into work teams and excited about improving government.

6. Review of Lean Team Results and Collection of Lean Data
After a period of about two months most Functional (low level) Lean Teams, those that were organized and trained by OIG Analysts acting as Facilitators, should have their Value Stream Analyses completed.  The number of occurrences of the function over time, is obtained from a daily log kept by each Lean Team, provides the basis for an accurate budget.

7. Organizational Reform
In the final step of the General Reform Model, the Reform Consultant will begin the process of organizational reform by replacing the Bureaucratic organization with a Team Management organization with top management managing the Department’s activities through Group Teams with each managing several Functional Teams.  The Lean Teams at the Functional level will become self managed Functional Teams. There is some flexibility in how this process actually occurs but it is necessary in order to eliminate the problems caused by the Bureaucratic organization.  The important advantage in changing from a Bureaucratic organization to a Team Managed organization is that the savings continues annually for years from continuous improvement without a return to the old bureaucratic sometimes toxic environment. Additional reductions in management staff are expected.

With reductions in staffing comes a greater need for property management a task the Federal Government does not do well.  The OIG could apply their expertise to this need. For other Activities of the OIG see Article 49. The Effectiveness Test, a Tool for Reforming Government

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