Use your work in Part A and Part B of your Course Project, and what you have learned so far in this course to identify a potential Six Sigma project that can benefit the value stream and your organiza

SIX SIGMA PROJECTS

HRIS PROJECTS IDEAS:

• System/Process Enhancements:

  • Online New Hire Paperwork and Onboarding

  • Ancillary Notifications from Hiring Process

  • Online Position Request

  • Report Access for Departments Outside of HR

• Manager Self-Service:

  • Online/Automation of Compensation Increases with Approvals and Workflow

  • Online Terminations

  • Online Position Request

• Employee Self-Service

  • Address Updates by the Employee

  • Name Updates by the Employee

RECOMMENDED PROJECT:

Manager Self Service/Online Terminations - Voluntary

SUPPORT:

Historically, HR has been responsible for knowing when an employee is active or terminated; and when employees resign, managers would just say “go tell HR”. Acme, Inc. has grown significantly in the last four years and HR is not able to monitor employees to the same level of detail that they used to, and employees do not “tell HR” because they already told their manager. This is causing many (voluntary) terminated employees to be overpaid because they are not timely terminated before the next payroll processes – totaling about $53,000 in payroll expense over the last eighteen months. Foreman, Supervisors and Managers have better line of sight to who is (and who is not) employees on their shifts and crews and when employees resign, they will tell their leader first. Acme, Inc. owns the Manager Self Service functionality in our HRIS, Workday, and terminations are three clicks for the leaders to submit for processing. Because voluntary terminations are typically done with some notice to the managers, these are a perfect place to start to drive cost out. These payroll expenses are a 100% avoidable cost and with a system workflow, there will be timely notifications and, once implemented, we will have configurable options available to us to enhance the termination process for other parties that have actions triggered by a termination.

PROJECT CHARTER

PROJECT NAME:

Acme, Inc. US Workday/Manager Self Service Voluntary Termination Process.

PROBLEM STATEMENT:

Over the last eighteen months Acme, Inc. has overpaid $52,160 dollars to voluntarily terminated employees in Acme, Inc. US/Workday – reflecting an overpayment to 30% of our terminated employees.

GOAL STATEMENT:

Reduce overpayment to terminated employees that voluntarily leave Acme, Inc. US/Workday to less than 1% of terminations within six months.

PROJECT SCOPE:

IN-SCOPE:

Voluntary Terminations for Acme, Inc. US employees that are in Workday.

OUT-OF-SCOPE:

Involuntary Terminations, any non-US business unit or any business unit that is not in Workday.

CTQs OF PROCESSES WITHIN PROJECT SCOPE:

No monies paid to an employee that is not earned.

Ex-employees don’t have to pay back dollars due to company error.

No rework or retroactive processing for the HRBP, HRIS and Payroll teams.

KEY METRIC

Less than 1% of terminations to be retroactive and $0 in payroll costs on ex-employees.

EXPECTED BENEFITS:

OPERATIONAL:

Reduce retroactive processing from payroll

Reduce manual work arounds

Reduce risk introduced in manual intervention of employee pay

Tax, Payroll, and Benefit Program Compliance

FINANCIAL:

Cost savings from reduced overpayment in payroll expenses

Hard dollars from the overpayment

Soft dollars from time spent (wages) calculating what to collect

Soft dollars from time spent (wages) contacting and collecting monies from ex-employee

Cost savings from ineligible benefit coverage

Hard dollars from erroneously covering medical expenses

Hard dollars from over-contributing to 401k and match

Soft dollars from time spent correcting and reversing records

MILESTONES:

Using the DMAIC (Define-Measure-Analyze-Improve-Control) method, these would be the project milestones.

PROJECT CHAMPION:

VP, HR and VP IT

PROJECT LEADER:

HRIS Manager

PROJECT TEAM MEMBERS:

HRBP, HRIS, Payroll

AD-HOC MEMBERS:

Recruiting, Benefits, IT, Floor Managers (the “do-ers”)

APPROVED BY & DATE:

VP, HR and VP, IT | 11.15.17