Posted by: JC Gatlin | January 16, 2011

PDCA of the Month – “Increasing Traffic” – December 2010

Sometimes people tell me, “Problem Solving projects aren’t really meant for the Sales People.”  Or “Getting sales involved in PDCA will distract them from selling.” (I know what you’re thinking… Huh?) This PDCA is a great example of the Sales Team using the problem solving tool to not only improve — but INCREASE — sales. It proves, when done correctly, lean tools work on every level of the organization.

This PDCA has a lot going for it: It was initiated by two Sales Professionals working together in a model home. (Translation: TEAMWORK) They’ve defined both a sales problem and a sales goal. The Sales Professionals are thinking strategically. And they’re not letting themselves be victimized by circumstance. Or in this circumstance, location. The only constructive criticism I’d offer is that the Goal Statement should have a firm date; they want to average 8 units of traffic per month every month by March 31st — not just average 8 for the 3 months identified in the Goal Statement. Got to say though, great job! Can’t wait for the follow-up!

© January 2011 Homebuilding Partners, Inc.   twitter-logo

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Responses

  1. Hi JC

    Very good practical problem solving example. I hope the countermeasures work well. During the critical step of Check, how will you measure not only the end-of-month results but the process and the changes you made to get the results? In other words, how will you know that any results are not just luck, normal variation or a pick up in traffic due to time of year, condition of the economy, or a chance traffic diversion into your neighborhood?

    Thanks for sharing and keep up the good work.

    • Thanks for the response! It looks like the PDCA set a baseline saying that the surrounding communities are recieving roughly 60% more traffic than the Sales Professional’s community. They attribute that to better locations and visibility. So if market conditions naturally improve traffic, all four communities should feel an increase. But even if all communities are getting higher numbers, there will probably still be a 60% gap. If that gap shrinks, then they should be able to contribute it to their actions. These Sales Professionals are setting a numeric goal rather than percentage, as it probably feels more tangible to them.

  2. Thanks for sharing simple yet powerful message on closing the X gap to improve Y.
    X= cause
    Y= aim/goal


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