| June 20, 2001 | Volume 1, Issue 25 |
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by Rick Brenner
To solve problems, we change existing policies or processes, or we create new ones. We try to make things better and sometimes we actually succeed. More often, we create new problems — typically, for someone else.
hen we solve one problem by creating other problems somewhere else, we're Dumping. Most of the time, we dump problems without the permission of the people who end up receiving them. Some examples:
Why do we dump?
Shortcomings in accounting systems insulate problem-solvers from the problems they dump. For example, many organizations know the cost of processing requisitions, but few know the cost of preparing them. Since these costs lie outside the Finance department, Finance rarely knows the impact of lowering the petty cash limit, which might actually increase organizational expenses.
In the parking lot example, the gain of spaces is lower than it seems, because visitors now use the employee lot. And since cars now park temporarily in the Fire Lane, there's more risk of fire damage and injury. Unrecognized costs make the parking change less attractive than it seems, but we don't know by how much.
In the product release example, Marketing is free to press for premature shipment, because the increased cost of customer complaints comes not from Marketing but from Customer Service.
Shortcomings in
accounting systems
insulate problem-solvers
from the problems
they dump on othersSometimes there's a positive incentive to dump. In the petty-cash example, we can expect an increase in purchase requisitions, which lowers the average cost of processing them. Cynical financial managers can thus improve their own organizational performance by depressing the performance of their internal customers.
Here are three ways to deal with dumping.
If you can control dumping, dumping gains no advantage. This lets the steam out of much of organizational politics — and we all know how much time we spend on politics.
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