The Process Time Ratio (PTR) serves as a key metric for evaluating the efficiency of various processes within service calls. It is calculated by dividing the time dedicated to a specific process by the total time spent on all processes during a service call, then multiplying the result by 100. The formula for PTR is given as:
PTR = ( Time spent on specific process / Total time spent on all processes during the service call ) × 100
For example, if a process takes 20 minutes and the total time for all processes during the service call is 100 minutes, the PTR would be 20%.
The components of this definition are:
- Specific process time: The duration of an individual process within the service call, like resolving a customer’s complaint.
- Total time for all processes: The cumulative time for all activities during the service call, from initial customer contact to issue resolution.
PTR offers insights into the proportion of overall service time consumed by each activity. A high PTR indicates a time-intensive process, potentially highlighting a bottleneck, while a low PTR suggests the process occupies less service time.
Analyzing PTR helps organizations identify time-consuming processes that may require streamlining or optimization, such as simplifying tasks, automating operations, or enhancing staff training. The ultimate aim is to enhance service call efficiency, leading to quicker resolutions, elevated customer satisfaction, and potentially lower operational costs.
Further analysis and application of PTR include:
- Analytical Insights:
- Granularity: Enables detailed analysis of service operations to identify inefficiencies.
- Comparative Analysis: Facilitates trend identification and performance variation over time or across different processes.
- Strategic Applications:
- Resource Allocation: Guides resource distribution to improve high-PTR process efficiency.
- Performance Benchmarking: Establishes performance standards and improvement targets.
- Continuous Improvement:
- Process Improvement Cycle: Forms part of an ongoing cycle to enhance process efficiency, often aligned with Lean or Six Sigma methodologies.
- Feedback Loop: Integrates analysis results into process redesign and training for data-driven improvement.
However, challenges such as process complexity and the balance between time efficiency and service quality must be considered. While some processes may inherently have a higher PTR due to their complexity, focusing solely on time reduction can compromise service quality.
Let’s explore how the process time ratio aids in enhancing process efficiency through two scenarios:
In Scenario 1, there are two service calls to consider. The first call is swiftly handled by a service technician in one day, whereas the second call involves a three-day parts order, followed by the technician completing the task in one day. In this scenario, the parts ordering process is identified as the key area for process improvement due to its higher process time ratio. Specifically, the process time ratio for the parts order is 60%, calculated as 3 days for the parts order divided by 5 days total for both calls (3/5).
- Call 1:
- Service order received
- Service technician completes the job (1 day)
- Service order concludes
- Call 2:
- Service order received
- Parts order (3 days)
- Service technician completes the job (1 day)
- Service order concludes
Process Time Ratio (PTR) for “Parts order” = (3)/(1+3+1) = 60%
Process Time Ratio (PTR) for “Service technician completes the job” = (1+1)/( 1+3+1) = 40%
For Scenario 2, there are again two calls, with both involving parts orders and service technician tasks. The parts orders take one and two days, respectively, while the service technician requires three days for each call. Here, the service technician’s task is highlighted for process improvement due to its significant time consumption, with a process time ratio of 67% (calculated as 6 days for technician work divided by 9 days total across both calls).
- Call 1:
- Service order received
- Parts order (1 day)
- Service technician completes the job (3 days)
- Service order concludes
- Call 2:
- Service order received
- Parts order (2 days)
- Service technician completes the job (3 days)
- Service order concludes
Process Time Ratio (PTR) for “Parts order” = (1+2)/(1+3+2+3) = 33.3%
Process Time Ratio (PTR) for “Service technician completes the job” = (3+3)/(1+3+2+3) = 66.6%
Through these scenarios, the process time ratio effectively highlights the critical areas needing improvement for better process efficiency.
In summary, PTR is an essential performance metric that helps organizations understand and improve their operational efficiency, leading to better service delivery and customer satisfaction, thereby contributing to organizational success.