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Governing for Results 13 - Washington State Digital Archives

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Department of Licensing<br />

Vessel Decal/Tab Return Rate Improvements<br />

In 1991 the rate <strong>for</strong> "returns" of Vessel decals and validation was at 24%. This<br />

meant that 24% of the decals and tabs produced <strong>for</strong> distribution were destroyed<br />

once returned because they weren’t sold. Tom Richardson, our supply officer,<br />

established control charts in order to monitor the process and gather data to<br />

indicate areas <strong>for</strong> potential process improvement. He gradually began to cut<br />

back on the amount of decals and tabs that were delivered to our customers --<br />

more closely matching demand with the supply of decals and tabs. It took time<br />

<strong>for</strong> our customers to become com<strong>for</strong>table with the cutback in supplies (or surplus<br />

stock) being delivered. In 1994 it was decided that a 12% return rate would be<br />

acceptable. However through Tom’s ef<strong>for</strong>ts he was able to reduce the return rate<br />

to the present 4.6%.<br />

<strong>Results</strong><br />

★ A savings of $7,980 as a result of going from the "acceptable return rate" of<br />

12% to the actual return rate of 4.6%.<br />

★ An imputed savings of $32,000 when comparing the high return rate of 31%<br />

in 1991 to the current rate of 4.6%.<br />

★ Reduction in the time spent by staff (Agents and sub-agents) in identifying<br />

and inventorying tabs designated <strong>for</strong> return to Department of Licensing<br />

(DOL).<br />

★ DOL staff time saved not having to per<strong>for</strong>m the "de-assigning" function <strong>for</strong><br />

expired inventory (assignment of tabs to counties and then to agents/subagents).<br />

For example, in King County the returned inventory decreased from<br />

500,000 tabs to 70,000.<br />

Team Name: Vessel Tab/Decal Return Rate Improvement<br />

Team Members: Tom Richardson<br />

CONTACT: Tom Richardson, (360) 902-3831<br />

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