Abstract

When the accounting department of a major telephone company was directed to reduce annual expenses by eight to ten percent, they accomplished the goal by streamlining processes rather than cutting jobs. Their process started with a relationship map depicting the full range of work of the department and its stakeholders. Training was provided for leaders of the process improvement, project team, and steering teams. Teams defined and mapped the ideal process and specified measures. They then critiqued and revised the process and formulated recommendations. With the revision implemented, a 50-step process was pared down to 24 steps. This streamlining was enhanced by a reduction of 45 percent of the staff through normal employee attrition, early retirement, and work realignment, with no layoffs. An outline of changes and results, along with lessons learned, conveys the success of this case study.