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Increasing Retail Sales and Profits by Tens of Millions of Dollars BFRC BFRC used MVT® to identify actions that can increase sales and profits across their entire 1500+ store operation. BFRC has used MVT® to test ideas that include direct mail, associate activities, in-store sales and service processes, labor allocation, pricing, displays, signage, store layout, verbal and written customer communications, and product assortment. This presentation described how, after two rounds of experimentation, BFRC has identified a specific set of actions that increases sales and profits by tens of millions of dollars. An Improvement in Microscopic Defects That is So Large You Can See It Lincoln Paper Lincoln Paper's #4 paper machine was producing paper that Lincoln's internal competitive testing by visual measurement was ranking as number 7 out of 7 on one of the most important quality parameters - paper formation. After a measurement system was developed, an MVT® was completed in six working days followed by two additional MVT®s to further leverage the improvement. Customers have now recognized dramatic improvement and verified by actual testing Lincoln Paper as being second best. This presentation was by hourly workers and front line supervisors. It provided a great example of how the front line and management worked together to create an improvement that customers are able to see with their naked eye. QualPro's statistical methods have now been expanded to other paper machines at Lincoln Paper. Reducing Chemical Costs While Improving Overall Manufacturing Performance Lincoln Paper The cost of bleachery chemicals required to manufacture paper seemed to rise with no end. Therefore, the need to control chemical usage in order to be competitive in the marketplace became increasingly critical. At Lincoln Paper, they used MVT® to identify actions that not only stopped the increase in total chemical cost but turned it around and resulted in a cost decrease, a total improvement of more than 5%. All test ideas and levels were set within normal operating parameters that eliminated any operating risk and, best of all, they developed a strategy that not only reduced costs but improved overall paper company performance. Increasing Participation in the LifeMasters Disease Management Program LifeMasters The objective was to improve engagement processes leading to higher rates of program participation. LifeMasters' mission is to help individuals achieve and maintain optimal health. Individuals who participate in a disease management program, offered to them at no cost through their health payor, learn how to manage their health leading to better clinical outcomes and quality of life. These shifts in behavior often result in a better quality of life, fewer complications, hospitalizations and ER visits, thus reducing costs for their payors. As a result of applying the MVT® methodology, LifeMasters expects to increase engagement rates which will contribute to improving overall program success. Engaging individuals in disease management programs is an industry challenge. The MVT® project at LifeMasters has resulted in early success in engaging populations previously deemed difficult to engage. Improving Program Participation at Record Speed LifeMasters LifeMasters needed to demonstrate cost-benefit viability for a very important and strategic client in a short timeframe. LifeMasters management team had previously employed multiple efforts to improve their client's member participation in the program, with less than optimal success. QualPro and the MVT® process was employed and participation soared by 31% within four months. The results demonstrated LifeMasters' ability to successfully enroll a very challenging, skeptical, frail, and elderly population. This is an excellent example of how MVT® delivers breakthrough results with a difficult population in a short period of time. Improving healthcare outcomes and lowering costs is an important national issue. LifeMasters and MVT® together are increasing participation in a population that is unfamiliar with disease management and its benefits. Using MVT® Achieve Breakthroughs in Advertising Performance Newspaper Services of America Dave Walker is the CEO for Newspaper Services of America (NSA) and has had previous roles as VP of US Marketing and Advertising for Toys "R" Us, VP of Advertising for Musicland Group, and Corporate Advertising Manager for Circuit City Stores. Dave has extensive experience with MVT® and has seen the value of simultaneously testing dozens of ideas to improve an advertising program. Dave described the critical levers in advertising media and share his experience and vision as to how MVT® can rapidly achieve breakthroughs in advertising performance. When MVT Competes, We Win! Olin - Niagara Falls Olin's plant in Niagara Falls, New York is committed to making MVT® a normal course of business and an everyday tool for technical staff and management. They want MVT® to become "the method of first resort." This presentation described four completed MVT® projects that, in addition to being valued at hundreds of thousands of dollars, are helping Olin Niagara Falls' management to institutionalize process improvement and MVT®. Reducing Raw Material Cost and Increasing Run Time Saves Big Dollars Olin - McIntosh Olin Chlor-Alkali's diaphragm caustic evaporator process involves taking dilute caustic and evaporating off the water to increase the caustic strength. Unfortunately, the multiple effect steam evaporator used to evaporate the water requires very large amounts of steam. In fact, steam is this operation's second highest cost raw material. The McIntosh plant's MVT® project was able to substantially reduce steam consumption and increase run time, significantly reducing the cost per ton of caustic produced. (Non) Explosive Results with Hydrogen, Chlorine, Electricity, and MVT® Olin - Charleston Olin Chlor-Alkali's plant in Charleston, Tennessee needed to increase production of potassium hydroxide to meet increasing customer demand. They are using MVT® to quickly identify how their existing process can make a new product that it was not designed to make. Best of all, this is all being done without interruption of continuing operations and while maintaining Olin's history of safe, reliable operations. Challenges and Successes using MVT® to Improve Case Volume and Physician Office Satisfaction with Block Scheduling Blount Memorial Hospital After completing an initial MVT® project to improve operating room efficiency, the Blount Memorial Surgical Services had a much larger goal in mind: To tackle a major block schedule renovation to improve case volume and physician office satisfaction. This six-month project yielded four factors that produced significant results with a predicted potential to increase case volume by 20%, revenue by 40% and physician office satisfaction by 2.5 points (10 point Likert Scale). This project also highlighted how MVT® can be used to tackle the unique challenges healthcare organizations face in conducting successful performance improvement projects. Implementation of an Outbound Call Center MVT® to Sell More Bank Products Deluxe BECU Deluxe was striving to improve call center performance in a call center operation that provides service to another organization. After executing an MVT® and putting the findings in place, performance of the operation doubled within two months. This workshop looks back at the MVT®, after an entire year of implementation, and showed that Deluxe has continued to more than double the percent of calls connected, percent of calls completed, and sales leads generated for its customer. Unprecedented Double Digit Increases in Portrait Sales LifeTouch National School Studios Lifetouch National School Studios used MVT® to identify breakthrough improvements that could increase the number of purchases for their spring portrait program. In this workshop, Lifetouch project team members described their experience with MVT® and the role it played at Lifetouch, where they identified actions that could provide unprecedented double digit sales increases. They also shared how MVT® enabled Lifetouch to focus on factors that not only increased sales but also identified efficiencies to be gained. Photographer Attraction and Recruitment Lifetouch National School Studios At Lifetouch, seasonal hiring of photographers is a critical part of the school photography program. In spite of previous years' trends of falling up to 20% short in hiring, Lifetouch's three month MVT® effort was able to double the photographer hiring rate, while reducing costs and maintaining personnel quality. Not only were $9 million in opportunity costs saved by preventing managers from having to divert time from other duties, but a larger strategic benefit was gained by having professional, well-trained photographers maintaining the highest standards of school photography. Breakthrough Improvement in Financial Services EFS, Inc. In an increasingly competitive and growing industry, EFS decided to utilize a scientific approach (MVT®) to make a coordinated thrust in their stores across multiple states to grow the loan portfolios and capitalize on this growing opportunity. The Money Stores achieved an increase in loan comps of over 50% matching the predicted improvement and raising their outstanding loan value rapidly to this level early during implementation. During the MVT® testing and implementation the company experienced its highest loan growth in the company's 28-year history. Additionally, breakthrough loan growth in a smaller business was accomplished through the use of store operations, marketing, direct mail, radio, and TV test factors similar to those utilized in much larger businesses. Customer Growth Increased 8% While Increasing Profits $3.4 Million Per Year AutoUSA AutoUSA, a division of AutoNation, is a Third Party Lead Provider that sells internet customers to automotive dealerships across the country. Using MVT®, AutoUSA was able to enhance the effectiveness of its selling activities and reverse a recent slide in customer count. At the same time, pricing was optimized. The result was an 8% improvement in AutoUSA customer growth rate and a positive impact of $3.4 million per year. |
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Since 1982, QualPro has used Multivariable Testing (MVT®) with 1000+ companies to test 100,000+ improvement ideas. MVT® tests between 20 and 40 ideas simultaneously, accurately predicting the bottom-line impact of potential process changes in weeks. Take existing process initiatives, like Six Sigma, to a whole new level. All process improvement tools and approaches (TQM, DOE, Six Sigma, Re-Engineering, SPC) can be enhanced through the use of Multivariable Testing by QualPro.
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