Fixed Ops Magazine - 2020 Vol17 06 - 28
what does this look like in practice? Engaged employ-
We believe there is a better way: it is possible to achieve
ees, delighted customers, and a profitable business.
both great customer service and high productivity.
HOW TO MEASURE PERFORMANCE
Consider first the relationship between staffing and
If the purpose of employee scheduling is to harmonize the time needs of customers, employees, and the
business, how do we go about measuring performance
against this standard? Let's start with how to recognize the error states. Then we can turn to measures of
customer service. In general, low staffing yields poor
customer service, and high staffing enhances it. But
for a given level of workload, there is also a point of diminishing returns, where additional staffing no longer
contributes significantly to better service.
success.
Envision your nearest oil change center. Somewhere
around mid-afternoon, employees are standing around
looking at their phones because there is insufficient
customer flow to keep them busy. This is a point in the
day when the business is overstaffed. But then just an
hour later, the cars start to back up outside the bays.
With a sudden surge of customers, employees are no
longer able to keep up and the customer experience
suffers. Just an hour after being idle, the business is
unable to keep up with demand.
These two symptoms, overstaffing and understaffing,
often occur together due to the fluctuating demand
of a service business. It is difficult to predict workload
peaks and valleys, causing a location to have too many
employees one hour, and not enough the next.
These paired error states cause measurable negative
impacts on several aspects of the business. First, overstaffing leads to excessive labor costs due to having
employees on the clock when there is insufficient
workload to generate revenue. Second, understaffing
leads to customer dissatisfaction due to excessive wait
times and rushed service at the peaks of demand. And
finally, employee engagement suffers due to both the
peaks and valleys: the stress of excessive workload
and the boredom of inadequate work. High cost, poor
customer service, and unhappy employees-not what
any of the stakeholders want!
Many businesses try to address one of these symptoms at the expense of another. For example, some
focus primarily on delivering at low cost and therefore
consistently understaff despite the impact on customer service. Others overstaff to offer a premium customer experience but incur high labor costs.
28
On the flip side, consider the relationship between
staffing and productivity. Here, reducing the number
of employees to complete a certain amount of work
(moving from right to left on the staffing axis) will
generally increase productivity. But here, too, comes
Fixed Ops Magazine - 2020 Vol17 06
Table of Contents for the Digital Edition of Fixed Ops Magazine - 2020 Vol17 06
Fixed Ops Magazine - 2020 Vol17 06 - 1
Fixed Ops Magazine - 2020 Vol17 06 - 2
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