1

Six Sigma Interim Management Recruiting Process

Measure Phase

2

DMAIC Checklist

StepsSteps D M I CA

Define Measure Analyze Improve Control

Prioritize Customer and Customer CTQsDefine Process Defect Opportunity (Baseline DPMO)Determine Estimated Financial OpportunitySIPOC & High-Level Process MapForm the TeamDocument Project CharterEnter Project into Prompt, Timesite, Opx Project Tracking ToolCreate MS Project Work Plan & Timeline

• Detailed Process Map – “As Is”

• Identify Input Variables (x’s)

• Assess Data Availability

• Develop Data Collection Plan; Collect Data

• Conduct Measurement & Process Capability Analyses

• Practical & Graphical Application of Data

• Translate Data into Information

Prioritize Input Variables & Root CausesUse Data to Verify the Input Variables & Root CausesSelect Input Variables & Root Causes for ImprovementComplete Financial Benefit ForecastTranslate Information into Knowledge

Establish Relationship between Output Measures and Input Variables Y=f(x)Identify Potential SolutionsSelect a Solution (Input Variable/ Root Cause)Detailed Process Map – “To Be” Develop Improvement PlanLaunch Pilot;Track Pilot Results

Refine & Finalize Improvement Plans Based On Pilot ResultsDevelop Controls for Improved Process Develop Control & Business Transition PlanInstitutionalize Complete Financial Benefit Validation

ToolsToolsProject Charter TemplateBenefit Tracking WorkbookVOC/CTQ TreeSIPOC ModelProcess MappingGRNR ModelStakeholder AnalysisMS Project Work Plan (GANTT Chart)

Gage R&RFishbone DiagramDot Plot & Box PlotPareto & HistogramProcess MappingValue/Non-Value Added Process MappingControl Charts (Xbar Chart)Kano Model

Cause & Effect MatrixHypothesis Testing Correlation & Regression AnalysesInterrelationship DiagraphBenchmarkingBenefit Tracking Workbook

Gap AnalysisFMEADOE Process MappingInfluence Strategy

Dashboard & MetricsBenefit Tracking WorkbookControl ChartsControl & Business Transition PlanStandard Operating Procedures (SOP’s)

3

Team Charter

Resource Plan

D M I CA

General Information Tollgate Review DatesTollgate Plan Actual

(mm/dd/yy)

Define

Measure

Analyze

Improve

Control

28-JUN-10

05-DEC-10

14-MAR-11

25-APR-11

27-JUN-11

11-JUL-10

05-DEC-10

DD-MMM-YY

DD-MMM-YY

DD-MMM-YY

Recruiter Lead

Director

CEO

Business:

Leaders For Today-Perm

Leaders For Today-Interim

Core Process: Business Development Project Management Information Solutions Quality Assurance Marketing Finance Other: Recruiting

NameCBT

Trained%

Time

Recruiter x 15%

Recruiter x 15%

Recruiter x 5%

Recruiter x 5%

Recruiter

Recruiter

Recruiter

Project Lead (GB/BB):

Project Coach (BB/MBB):

Project Champion:

Team Members:

Sign-Off Date

Define

Measure

Analyze

Improve

Control

CEO

CEO

Champion

Champion

Champion

08-JUL-10

29-NOV-10

DD-MMM-YY

DD-MMM-YY

DD-MMM-YY

4

Team Charter

D M I CA

Business Case (Including High Level Benefit Analysis):

• The 2010 year to date contract fill rate, from January 2010 through October 31, 2010 is 37.8% with the average cycle time from receipt of j interim job order to job placement of 3.5-10.5 calendar days.

• The Client’s critical variables include the quality of submitted candidate and the minimum cycle time for the submit and hire processes.

• Recruiting depends on meeting client expectations, breaking down communication barriers and producing a quality candidate matched to the client’s job need.

Specific Goal Statement:

• Achieve a 10% increase in the submit to contract fill rate with a 30% reduction in the contract placement cycle time by end of 1Q 2010.

In Scope:

• Quality of candidates submitted to clients

• Job order to candidate submission time

• Specific wait times between Business Development & recruiter/Candidate & recruiter/recruiter & client

• Offer/candidate negotiation

• Quality of client relationship

• Job order prioritization

Out of Scope:

• Speed of client feedback• Client cancellation of job order• Number of agencies working on the job order • Extension of current contract length of 10.63 months to XX• Price• Master Service Provider (MSP)mass job orders due to low profit margin

Definition of a Defect for This Project:

• Cycle time of Job Order receipt to Contract Hire in excess of 28 calendar days.

• Submit to contract fill rate in excess of 4 submits for each placement (25% success rate).

• Leaders For Today, LLC is an interim management and permanent placement organization that relies heavily on the recruitment of specialized candidates and interim management placements to achieve business results. In order to achieve these results, the right candidate must be matched and submitted at the right time for the right job opening.

• Since many contract positions are highly specialized, recruiters work in a very competitive job market for job openings and candidates.

• Any process that takes too long to hire a qualified candidate may result in loss of the candidate, the job opening or clients’ longer term business.

• The 2009, year to date contract fill rate is 37.8% (industry fill rate=30%).• As of October 31, 2010, Leaders For Today, LLC is at 100.7% of the revenue

goal for 2010.

Specific Problem Statement:

5

SIPOC

D M I CA

Start Boundary

End Boundary

Initial clientcontact

Job orderclosed

Suppliers Inputs Process Outputs Customers

Business Development

Referrals

Client

Candidate

Job order

Client specific requirements

Resume/CV

References

Receive job order

Qualify job order

Source candidates

Qualifying & Interviewing Candidates

Submit candidates

Follow-up feedback with

client

Schedule client interviews

Follow-up and feedback

Offer/Placement

Qualified candidate

Interview

Offer

Job order closed

Client

Candidates

6

Customer CTQsD M I CA

Customer Sample CommentsKey Output CharacteristicsImportant to Customer (CTQs)

Client I want communication on a daily basis either by phone or email.I want to be updated every 48 to 72 hours.Communication is most important. Getting updates concerning requests and not having to call to find out what the status is important.

Consistent Communication

Client I got to review resumes ahead of time and candidates were tested ahead of time.Leaders For Today, LLC has responded in a timely manner with good candidates.I’m struggling between getting [candidates] quickly or quality.I want to see the two week timeframe to get the temp started reduced to one week.

Timeliness

Client Ultimately it’s the quality of the candidate because I’ve gotten poor quality in a hurry before and that doesn’t really do me any good.I’ve been fortunate to get qualified candidates for all three offices.

Quality Candidates

Clients Utilize Contract Services To Hire Specialized Niche Skills

7

Customer CTQs

D M I CA

Customer Sample CommentsKey Output CharacteristicsImportant to Customer (CTQs)

Candidate I want to be updated.Communication is most important.Quick response from client/Leaders For Today, LLC

Consistent CommunicationTimeliness

Candidate I need to know the company profile, pay rate, how much travel and the job description.

Company profilePayTravelJob description

Candidate Ultimately it’s the quality of the company, job description and pay.

Quality of the Job

Contract Candidates Seek Unique Opportunities

88

Process Map

D M I CA

BusinessDevelopment

StaffingManager

Lead Recruiter

Recruiting team

Hiring Manager

Candidate

1. Receive job order

2. Assign Lead Recruiter

Qualify position with BD

3. Post and source

job

4a. Submittal packet QC’d and sent to

client

Discuss challenges with

BD

Submittal packet prepared and sent to lead recruiter

4b. Job requalified

?

5b. Job order is closed/

BD or Lead Recruiter?

5. Coordinate interview schedule

6. Hire candidate/

Close job order

Roadblocks Identified on Define Process Map

9

D M I CA

Process Timeline*

Job Order Received

Job Order Qualified

Sourcingbegins

Recruiter pre-

screenscandidate

Schedule Interview with Client hiring

managerFeedback

Client through BD

Offersubmitted to Candidate

Offeraccepted

and contracts executed

Wait time up to 72 hours

80128 hours

Re-qualify Job Order?

72.5360.5 hours

*Timeline to be establishedfrom data collection in Analyze Phase

121169 hours

Excessive Wait Time Identified

10

Fill Rate Cause and Effect

Procedures CandidatesWork Instructions

Company FitConfirm ID and History

Interview

Submittal Package

Background check

Check References

Contracts

Post Jobs

Margin

Activity Report

Flexibility

Travel, In-house, rate

Skills

Time in service

Availability

Responsive to Lead Recruiter

Motivation

Signed Candidate Contract

Fill Rate Issues

Lead Recruiter Process

ClientRO

AD

BLO

CK

*

Define the job order

Salary Negotiations

Requalification of Job Description

LR works directly with Client

Referrals

Sourcing Different Venues

Individual Spreadsheets

Pipeline of candidates

LR directly with Client

Job Description

Company Reputation –History-Attractiveness

Rate and location

Requalification of Job Description

Time constraints

Responsiveness to queries

Signed Client Contract

* BD works with client

11

Non-Value-Added Wait Time Identified

Value Enabled 1 1 1

Non Value Added

1

Offer/ background check/ coordinate Start date /benefit

review1.25 hours

Old

N/A8 hours* includes rework

0.33 hours 0.25-0.5hours 0.25 hours0.08

hoursSame 8.0-9.5 hours

Wait TimeBackground check

120 hoursOld process

N/A 120 hours 8 hours 360 hours 80 hours N/A 168 hours 960 hours 972 40.5

423 17.5

Totals (Hours)

Totals (Days)

Process Step

1. Receive

job order

2. Assign LR/ LR qualifies

job order

3. Post source/

screening

4a. Submit candidates

5a. Schedule interview

5b. Job order

closes6. Hire/placement

4b. Requalify job if needed

Sub totals

Value Added 1 1 1 1

Work time

0.5 hours 5-6 hours 0.33 hours 15-30 minutes 0.25 hours0.08

hours8.0-9.5 hours

413 hours72 hours 72 hours 5 hours 72 hours 72 hours N/A

Quick Fix: Lead Recruiters Now Interact Directly With Client

NewProcess

12

New Process MapD M I CA

Business Development

Lead Recruiter

2 Lead Recruiter is assigned and qualifies the

position with Client

3Lead recruiter

posts and sources

job

4 Submittal packet

prepared and sent to client

5 Coordinating

interview scheduling

6 Hire candidate and close the job

order Recruiting team

Client 1 Receive job order

Job descriptions is carefully redefined as a job match filter

Client reviews submitted candidates

Approve candidate?

Lead Recruiter Qualifies Job Order And Collaborates With Client

13

Baseline Fill Rate

• YTD, overall data from Applicant Tracking Database (SendOuts) results in the following baseline.

32.6% yield1 Sigma value

37.8% yield1.125 Sigma Value

12.3% yield 0.25 Sigma Value

14

CTQ Performance Standards D M I CA

Clarify Data CTQ Performance Standards

CTQ Measure

Data Type

Operational Definition

Segmentation

Factors

CTQ Performance Charactristics

LSL

USL

Target

Allowable

DPMO

Fill rateContinuous

Overall success rate of number of submits to number of placements per job order

Client

Tim

e

Recruiter

position 20%

N/A 33% TBD

Reduce Cycle Time

Continuous

Calendar days of job order opening to placement of candidate

X X X X N/A30 day

s

21 days

TBD

QualityContinuous

Overall success rate of number of submits to number that are interviewed

X X X X35%

N/A 45% TBD

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Healthcare Leadership for Times of Change

www.LeadersForToday.com

508 927 6890