Home > Case Studies > Austin DSP Case Study
In Case Study 0001 we learned that a clear understanding of the metrics by a DSPs leadership team is imperative. We were able to identify that the DSPs issues were not in the effort of the leadership team because everyone on the team was committed to being successful, but what success looked like for the organization hadn’t been clearly identified.
DSP owner had issues with his quality metrics. He was unsure how to determine the cause of customer reported DNRs (Did Not Receive Packages) & how to coach drivers to reduce the number of customer reported DNRs, increase positive customer feedback, reduce negative feedback, increase the % of Delivery Associates with Fantastic ratings, and how to increase tenure amongst Delivery Associates.
The solution was in the details and required deep diving into all of the company metrics for signs of noncompliant work. We followed/traced driver routes, implemented corrective action ride-alongs, implemented processes, systems and procedures to prevent bad habits that lead to DNRs. We also completed daily 1 on 1 coaching sessions with delivery associates, trained the client’s leadership team, implemented new delivery associate orientation, standardized stand ups, and implemented a standard driver training program known as Professional Delivery
Within 1 week we saw a 39% reduction in DNRs, 21% reduction in customer complaints, a 7% increase in positive customer feedback and achieved a fantastic plus scorecard. Within 2 weeks we saw an 84% reduction in DNRs, 59% reduction in customer complaints, a 18% increase in positive customer feedback and achieved a fantastic plus when compared to week 0. This company has now been on a 2-year streak of receiving fantastic plus scorecards and now routinely achieves the number 1 scorecard rating when ranked alongside all other DSPs within the region. This has resulted in the DSP receiving over $312,000 in SLS incentives per year.
To achieve success we approached the problem by reverse engineering the process. This entailed clearly identifying what success looked like and defining the KPAs (Key Performance Actions) for each contributor on the team. By identifying the actions needed to yield successful scorecard metrics we were able to define the KPIs (Key Performance Indicators) required by each individual contributor to consistently yield Fantastic Plus scorecard ratings. Clearly communicating and coaching the KPAs led to a better understanding by everyone on the team and as their understanding increased their performance indicators drastically changed for the better.
In conclusion, Case Study 0001 proved that to achieve a desired output (Fantastic Plus Scorecard) it is necessary to identify the correct inputs that yield the desired output. Fortunately, part of the solution was already available for us and that was the metrics that Amazon provides for every DSP owner. However, understanding how to succeed at each metric required living in the details. We went deep into acquiring detailed understanding of the metrics impacting the scorecard starting with the heaviest weighed metrics first.
Once we had the detailed understanding of the metrics such as DNRs we were able to identify the necessary actions to improve each metric and, in the end, we were able to succeed at providing this DSP owner with a system to consistently achieve Fantastic Plus Scorecard ratings. One additional thing we learned that depending on how much impact the wrong inputs have affected an organization’s culture, it may be necessary for that company to rid itself of some bad apples.
Ultimately the scorecard requires complete buy in from each individual contributor and when there is a demand to change habits, you will find individuals resistant to the necessary change. Understanding the change necessary to achieve a Fantastic Plus Scorecard could lead to increased Delivery Associate Turnover is imperative. Knowing that this result is highly probable allowed for us to develop a hiring system that allows a companOMS - FOOTERy to remain reliable to its customers as it makes the transition to better overall company performance.
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