Critical examination
Critical examination is a method study technique that can be applied to any job to produce significant improvements in:
- Productivity
- Efficiency
- Quality
It can be used to examine current ways of working, and to improve them. A critical examination is carried out by asking a series of systematic questions about how and why a particular job is currently performed, and about how else it could be done.
In a critical examination, questions are asked about the:
- Purpose
- Place
- Timing
- Person
- Methods
These are the four questions about each of these aspects of a job:
- What is the current situation? These questions are designed to discover the facts about the 'what', 'where', 'when', 'who' and 'how' of a job.
- Why is done this way? These questions concern the fundamental need for each aspect of the job.
- What else could be done? These questions look for alternatives to each aspect of the current situation. They call for creative thinking to suggest alternatives to the current way of carrying out the job - asking 'what else could be done?', 'where else?', 'when else?', 'who else?' and 'how else?'
- What should be done? These questions call for analytical thinking, to evaluate the creative alternatives, and to make a choice.
A successful critical examination requires:
- Good information about what is happening
- An open mind and creative thinking about what could happen
- The expertise to evaluate any creative suggestions that arise
It helps if you have the co-operation of all those who are concerned with the job you are examining - especially the people who actually do the job each day. The creative thinking part of the critical examination can benefit from group brainstorming.
A proper critical examination is a thorough exercise, which will look at all aspects of how a job is carried out. To get the most benefit from it, you should approach the job with an open mind. If you already have a particular solution in mind when you begin the exercise, try not to let it blind you to other alternatives.
Critical examination - a case study
Here is a critical examination of a particular job at a garage, or filling station, selling fuel to motorists. This garage is a typical medium sized UK outlet, with eight self-service pumps for fuel and a shop selling a range of goods, from oil and screen-wash to newspapers, confectionery and soft drinks.
We are going to look at one small job at the garage, the process of collecting payment for the fuel that the motorists purchase.
A. Purpose
What is achieved?
The company receives prompt payment for the fuel that the motorists have purchased. The amount of fuel purchased is metered, and an accurate bill is presented. Motorists give the company cash, or a credit card authorisation.
Why is it necessary?
Payment has to be levied in some way; otherwise the company will go out of business.
What else could be done?
The fuel could be provided free. The fuel could be paid for in advance, say on a monthly basis.
What should be done?
The company needs to levy payment in some form (in order to stay in business). There may be a number of different methods of payment - including credit accounts that are paid in advance or in arrears - but they will all involve some kind of transaction between the customer and the company at the time of purchase in order to verify the amount of fuel bought and the amount of money owing.
B. Price
Where is it done?
Payment is made in the shop, at the cash register.
Why is it done there?
All cash (for change) is currently kept there. Credit card reading machines are kept there. In addition to fuel, motorists may make other purchases from the shop, such as newspapers, snacks, novelties etc. and pay for everything together. One person can staff the till and take payment for all the sales.
Where else could it be done?
Fuel could be paid for in the forecourt, at the pump. Fuel could be paid for at a kiosk or a window opening onto the forecourt. Fuel could be paid for in advance, or arrears - but some kind of system would still be needed to confirm the amount purchased on each visit.
Where should it be done?
There are benefits in having it done in the shop - a low level of staffing is required, and motorists may also make incidental purchases. But some customers may appreciate it being done on the forecourt, if this reduces the amount of time the transaction takes - especially if they have to stand in a queue.
C. Timing and sequencing
When is it done?
After the fuel is pumped into the customer's car.
Why is it done then?
So that an accurate bill can be raised, based on the metered amount of the purchase.
When else could it be done?
It could be done before the fuel is pumped, if the pumps can be set to deliver fuel worth a specific sum of money. It could be done at the end of the month, or the week, but an accurate account would still be needed of the amount of fuel purchased.
When should it be done?
Some corporate customers might be attracted by a monthly bill. In some circumstances, payment in advance and delivery of fuel worth a certain amount may be appropriate (for example at times when the garage is unattended).
D. Person
Who does it?
The cashier in the shop. There is currently one till and the shop is staffed by one or two cashiers depending on the time of day.
Why do they do it?
They make the pumps available to customers and have a print out of the amount of fuel that has been purchased. They also serve other customers making purchases from the shop.
Who else could do it?
It could be done by staff on the forecourt. They could take cash payments and make change. They could direct customers who wish to pay by credit card into the shop to the cashier, or accompany them into the shop and take payment, or use handheld credit card readers to take payment on the forecourt.
It could be done by machines connected directly to the pumps, which either take cash in advance or credit cards in advance. In the case of credit cards, they would charge the card for the amount of fuel purchased and issue a receipt.
Who should do it?
There are advantages in the current system - but some customers may appreciate being able to pay more quickly on the forecourt. Forecourt staff may also be able to help some customers, and make the experience of buying fuel at this garage more attractive. On the other hand, the use of machines to take payment at the pumps could mean we can offer a 24 hour service without 24 hour staffing.
Method
How is it done?
Payment by cash or credit card, in the shop, directly after purchase.
Why is it done in that way?
Reasons already noted above: efficient use of staff resources; encourages other purchases from the shop; not (usually) inconvenient for the customer.
How else could it be done?
Opinions noted above: payment on forecourt to staff member or through a machine; credits could be noted in the same way in the case of a monthly (or weekly) contract.
How should it be done?
Possibilities noted above - further investigation of the costs of the alternatives to be carried out.
Conclusion
You can see that some alternative ways of carrying out this simple job can be explored by using this systematic technique. There is some natural overlap in the answers, as certain options emerge. The question of what should be done will depend on many things - particularly the aims of the company and the resources available to it. In making decisions about what should happen, the company will, quite naturally, consider:
The cost and efficiency of operations
The quality of service to the customer
In some cases the best decision might be the one that reduces costs (and improves efficiency). In other cases a company might increase costs in order to improve the quality of service to the customer.