Patent ID: 8401891
Filing Date: 2013-03-19
Classification: G06Q

Abstract:
1. A computer-implemented method of evaluation of a cost of poor process opportunity (COPPO) for a plurality of steps of an activity, the method comprising: calculating a cost per step, through the use of a processor, for each of the plurality of steps based at least in part on an average time per task and a full time equivalent (FTE) rate, wherein the average time per task is calculated by multiplying a FTE by step value for each step by the average time of the FTE, wherein the FTE by step value for each step is the number of FTEs performing the step per a time period, wherein the FTE rate is an average rate for a group of FTEs associated with each of the plurality of steps, wherein the FTE rate includes fixed costs associated with the group of FTEs associated with each of the plurality of steps, wherein the group of FTEs associated with each of the plurality of steps are employees that are used for each of the plurality of steps within the activity, and wherein the cost per step equals the average time per task multiplied by the FTE rate; determining, through the use of the processor, for each of the plurality of steps, whether a step is a non-value-add step; setting, through the use of the processor, a COPPO for the step equal to the cost per step when the step is a non-value-add step; setting, through the use of the processor, the COPPO for the step equal to the cost per step multiplied by a cost of poor quality (COPQ) target percentage when the step is not a non-value-add step; calculating a total cost of poor business process, through the use of the processor, by summing the COPPO for each of the steps in the activity; and displaying, through the use of the processer, the total cost of poor business process relative to a total cost for each of the plurality of steps, wherein the total cost of poor business process and the total cost for each of the plurality of steps are displayed as the non-value added cost.