Service Design provides a range of prototyping techniques to help build better/ new operating models. It was presented from Auckland to the New Zealand Chapter of the Service Design Network in May 2020.

1. @SDNetwork www.service-design-network.org

2. @SDNetwork www.service-design-network.org
Stephen Mckernon
A u c k l a n d C o u n c i l | S e r v i c e D e s i g n L e a d
s t e p h e n . m c k e r n o n @ a u c k l a n d c o u n c i l . g o v t . n z
T h u r s d a y 2 1 s t M a y , 2 0 2 0
THE JOY OF PROTOTYPING
OPERATING MODELS

3. Service design – prototyping & practical theory
‘Thinking’ ‘Doing’
Tools & Sticky Notes
Front office
“CX”
Stickdorn & Schneider (2012) Service Design Thinking
Prototyping & Iteration
Back office
Operational
Stickdorn, Hormess et al. (2018) Service Design Doing

4. How to approach operating models
Staff/businessefforttoaddresstasks>>
Complexity/ size of customer tasks >>
‘Business Overwork’
• Too much business effort/ not enough customer effort
given level of complexity
• E.g. too slow, quality too high for customer
• Not enough business effort/ too much customer
effort given level of complexity
• E.g. too fast, quality too low for customer
‘Business underwork’
Task A
Very simple task
Minimal effort
Task C
Complex task
Significant effort
Task D
Very complex task
Very intensive effort
Task B
Simple task
Thorough effort
Task-effort equation:
l For business
l For customer
l [And other things like demand, volume, revenues]
Key
q Optimal - green line
q Accepted variation - yellow line
q Risks & wastes - red area

5. How things get complicated
what’s the work, and who does it, & where problems get fixed
Front office work - customer
Touchpoint ↔ Journey ↔ Tools ↔ Channel
Back office work - business/ staff
Processes ↔ Structures ↔ Operating Model ↔ Strategy
Create work for customer
Create work for business
Increase speed, improve quality, control data
Reduce costs, improve convenience, build benefits
Defines the work done

6. Things that might be signs of operating model issues
The way you fearlessly interpret the
current state
1. Digital offerings
2. Customer & staff experience
3. Business process
4. Operating data
5. Ecosystem
The way you bravely approach the
future state
1. Intent
2. Strategy
3. Targets
4. P-types on paper
5. P-types in real world
6. Measuring & reporting results
Things that might be signs of operating model issues
The way you fearlessly interpret the
current state
1. Digital offerings
2. Customer & staff experience
3. Business process
4. Operating data
5. Ecosystem
The way you bravely approach the
future state
1. Intent
2. Strategy
3. Targets
4. P-types on paper
5. P-types in real world
6. Measuring & reporting results

7. l Show digital touchpoints
l Ask about customer understanding
or ease of work
Signs in digital offerings - current state
Private Bag 92300, Auckland 1142 | aucklandcouncil.govt.nz | Ph. 09 301 0101Page 1 of 1 AC3306 v8
2 May 2018
Jian Feng Cao
2 Ferner Avenue
Mount Albert
Auckland 1025
Dear Sir/Madam
Swimming pool number: SWP20021323
Address: 236 Access Road Kumeu 0891
Area office: Orewa
Letter of intent to carry out inspection of pool barrier
Under the Building Act 2004 (the Act) it is the responsibility of the owner or the pool operator to ensure
that every residential pool that is filled or partly filled with water has physical barriers that restrict access to
the pool by unsupervised children less than 5 years of age.
This letter is to advise you that your residential or small heated pool barrier is now due for inspection. The
Act requires such inspections occur on a 3 yearly basis. The Act also enables a pool owner or operator to
choose who will inspect their pool barrier; this may be Council or an Independently Qualified Pool
Inspector (IQPI).
If you wish to continue using Council for this service please call the number below to arrange an
inspection. Please refer to the Auckland council website for full list of our fees and charges
http://www.aucklandcouncil.govt.nz/en/aboutcouncil/allfees/pages/buildingcontrolfeesandcharges.aspx
It is important that you maintain your residential pool barrier to ensure that it remains compliant.
Auckland Council has developed guidance information to assist you to understand the legislation which
can be found on our website by searching for ‘swimming and spa pools’
If you wish to be present and confirm a time for this inspection, or there is difficulty with accessing your
property because of security gates or dogs, please contact the undersigned team applicable quoting the
above swimming pool number. If you do not arrange a time, our inspector will attend an inspection within
the month.
Pools North West Support Team Pools Central South Support Team
DDI: 09 484 7237 DDI: 09 353 9143 or 09 353 9120
poolsnorthwest@aucklandcouncil.govt.nz pools@aucklandcouncil.govt.nz
If you wish to use an IQPI please visit www.mbie.govt.nz it would also be appreciated if you could let us
know that you have selected this option.
Yours faithfully
Pool Fencing
Building Support Team
BUILDING CONTROL

8. l Show customer/ staff journey
l Ask about purpose or ease of work
Signs in customer & staff experience - current state
û
Understand
inspection
û
Inspector travels
& inspects
û
Inspector travels
& re-inspects
û
Set up data,
schedule &
mail notices
û
Close data
& accounts
û
Process results,
set fails schedule
û
Process results,
send invoice &
pass certificate
û
Prepare
gate & fences
û
Handle queries
& bookings, set
final schedule
û
Pay invoice &
get pass certificate
û
Fix gate
& fences
û
Attend
inspection
Fail
Pass
Pass
Admin Inspector Customer
û Pain point
û
Attend
inspection

9. Swimming Pool Inspections VSM Current State_V0.2_24 April, 2018
INSPECTION PROCESS TRIGGERs:
1 Building Consent CCC is required; a pool as part of the build; a pool inspection needs to take place
2 Letter of Intent is sent to the pool owner advising that an inspection is due (bulk print weekly based on the last inspection date)
3 Re-check (follow up inspection where it has failed previously)
RunDailyReport(rawdata)
Advise Team Lead
Review & allocate
back to Officer (via
allocation process)
STEP 1 - BOOK & CONFIRM
Business Group: Regulatory
Support Officer
High Level Tasks:
1. Check Inspector's Outlook
calendar
2. Check for an existing Inspection
record/update
3. Book in SAP
4. Confirm with Customer (verbal or
email)
NO
YES
CUSTOMER
Receives a Letter of Intent (LOI)
14 days notice
Contact numbers in the letter
Options:
1. Ignore and AC will schedule
2. Book and Inspectionwith AC
3. Engage IQPI (advise AC)
BC Call Centre:
General Inspections-Pools
Email and Phone
Call Centre (handshake call)
[2 Sites: Central/South & North/West]
IQPI
recheck
STEP 2 - ALLOCATION &
SCHEDULE OF INSPECTOR
Business Group: Regulatory
Support Officer
High Level Tasks:
1. Convert data to Excel Spreadsheet
(Spreadsheet 1)
2. Convert data to Regional Inspector
view 'Day Sheet' (Spreadsheet 2),
incl. :
FT or Day
Supporting info
STEP 3 - INSPECT
Business Group: Pool Assessor
High Level Tasks:
1. Receipt of Day Sheet
2. Check:
Has it been done
Supporting information
3. Adjust Day Schedule
4. Attend site & inspect (incl. photo)
5. Complete Checklist; leave a copy
with the owner (incl. requirements if
failed)
6. Upload photo to U:/
NO
YES
Pass?
STEP 4 - RECEIPT OF CHECKLIST
Business Group: Regulatory
Support Officer
High Level Tasks:
1. Receipt Checklist
2. Tick off on Day Sheet
3. Enter into SAP (incl. IQPI)
4. Scan Checklist & photo & attach to
Inspection record
5. Change status
6. *Manually enter data for unbooked
Inspections
7. Invoice Customer (pass or fail)
Process ends
(until triggered again)
STEP 5 - FAILED INSPECTION
Business Group: Regulatory
Support Officer
High Level Tasks:
1. SAP Updated
2. New date scheduled
*IQPI - Confirm success or failure. If
fail, need to confirm if IQPI will
complete or they are handing back to
IQPI
Receives
NO
YES
IQPI
option?
IQPI
Inspects
Recheck Report
1 x FTE 'mop up' raw data (complex,
duplicates, disputes, etc.)
Non-compliant pools (e.g. > 100 days)
1. Rechecks scheduled
2. Backlogs managed
[Expecting volumes to grow]
Volume:
Transaction Time: Estm. 2 mins
Volume:
Transaction Time:
Transaction Time: Estm. 3 mins
(30% New property; make changes - Add7 mins)
Volume: 6 in18 months
Transaction Time: Variable
Transaction Time:
Transaction Time: Estm. 10 mins
(80% Sold 2 Party Change - Add 4 mins)Transaction Time: 30 mins (ex travel)
Volume: 9,100 (calculation: 17,500 inspections with 52% failure)
Transaction Time: Estm. 5-6 mins
1. Call Centre & BC Call Centre
volumes - TBC
2. BC Call Centre time - TBC
Time to run report &
Allocation (Step 2) - TBC
(R'Chee Saipele)
Who runs Re-check
report - TBC
?
l Show end-to-end process
l Ask about work amounts
Signs in business process & data - current state

10. Inspections
perWeek 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99
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67+ wks avg
- 15+ weeks
behind
100+ wks
to catch up
with present
operating
model
l Show operational activity/ results
l Ask about improvement capability
Modelling swimming pool inspections - current state
Key
Support days for data cleanse, mailout, deal with fails
Inspector days for first inspections
Inspector days for re-inspections
Support days for set up, mailout
Assuming 15 inspectors
Inspections
per Week 1 2 3 4 5 6 7 8 9 9 10 11 12
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Signs in operational model’s results - current state

11. How to sneak up on a much better operating model
The way you fearlessly interpret the
current state
1. Digital offerings
2. Customer & staff experience
3. Business process
4. Operating data
5. Ecosystem
The way you bravely approach the
future state
1. Intent
2. Strategy
3. Targets
4. P-types on paper
5. P-types in real world
6. Measuring & reporting results

12. Set customer-focused intent
l Metaphors help envision higher-
value experiences
l Look for ways to get people
conceptualising operating models
that enable desired experiences ...

13. Set customer-focused strategy
Staffefforttoaddressrequest/task>>
Complexity/ size of customer request/ task >>
• Too much work done given level of complexity
• Loss of efficiency in business
• Decreased speed for customer
• Cost risks to business
• Not enough work done given level of complexity
• Loss of effectiveness in business
• Decreased quality for customer
• Quality risks to business & customer
Customers C/ Tasks C
Complex tasks
Thorough effort
Customers D/ Tasks D
Very complex tasks
Very intensive effort
Customers A/ Tasks A
Very simple tasks
Minimal effort
Customers B/ Tasks B
Simple tasks
Good enough effort
l Prototypes to reduce risk,
inefficiency, waste & variation,&
optimise the optimal
l Look for ways to segment
customers &/ or work to help
streamline operating model

14. Set prototypes & targets
Get
notice
% booking &
attending
inspection
% passing
1st inspection
% checking &
fixing fences
% with security
anxieties
% with safety &
1st pass anxieties
% with price/
time priorities
% clean
contact details
áâá
Specific
date & time
Child safety
values
1st pass
discount
Customer triggers metricIntervention Customer action metric
Data
cleansing
á
l Focus on pivotal changes to leverage operating model shifts
l Beware silver bullets, low-hanging fruit & quick wins = avoidance!
Customer
milestone
Customer
metric
Change

15. 28 weeks 45 weeks30 weeks
Prototype operations ‘on paper’ - future state
l Prototype options & results
l Look at implications carefully e.g. productivity vs resourcing

16. l Focus on pivotal elements, small-scale, real-time, providing robust data
l Celebrate staff learning, embrace failure & resolve in next iteration
Prototype ‘live’ service delivery - future state

17. Actions
1. Area-based operating model reset
2. Digital customer comms reset
3. Data transfer & invoicing reset
Results
1. Staff effort â, experience á
2. Staff & service productivity á
3. Customer effort â, experience á
4. Pass rate below target - customer still not
motivated - improve comms
Measure & report results - future state
4.5

18. The joy of prototyping operating models
Keep your prototyping …
l Focused on things you don’t know to keep it high-value
l Interactive to see actual work required by service
l Systemic to see who does it/ how it’s done over time
l Focused on a customer intent to imagine, inspire & enable
l With customers & staff to make it robust & iterate on learning
l Targeted & measured to see actual performance & gains

19. @SDNetwork www.service-design-network.org