Standardization can make you stupid

Now don’t get jealous, but I am enjoying ten days on the wonderful Island of Sal (one of Islands of Cape Verde). It’s 26C degrees and sunny!

Ok, so now you think, why write a blog when you are on holiday? Well, I have to share an experience with you one of my travel companions had with the Tour operator.

Standards are key for continuous improvement

As you might know I find standardization for work important. They tell how to do something in a standardized way. It enables us to learn from one another and basically is one of the foundations for continuous improvement (e.g. how can you improve a process if everyone has a different way of executing the steps?)

I noticed however, there is a downside to this.

The downside of holding on to standardization

The following happened; my friend called the organization as she wanted to take a later flight. She had paid for her original flight, so no money lost. Firstly, they tell her it is possible for a ‘change fee’ of Euro 200. My friend was ok with that and was going to be called back with the confirmation.

Ten minutes later she gets a call from the same person that it is possible, there are seats on the flight, but she had to pay ‘the change fee’ of Euro 200 (as mentioned before) but also a ’rebooking’ fee of Euro 250. Obviously, my friend was not amused. She replied the rebooking part was never mentioned during the first call, but she was told about the extra ‘change fee’ and actually already agreed to this. She asked if there was an alternative. The answer was: You can buy a new ticket which will cost you Euro 520. She was told nothing could be done, as this was the standard procedure.

Standards might cost money

She decided to not change flights and just leave on her original flight. I just did some calculations regarding the value add it would have had for the tour operator. She already paid the original ticket so an extra open seat on her original flight is already paid for (theoretically they could have even booked someone else on that flight). Secondly if they had said yes and they would have earned Euro 200 on a flight where seats were most probably empty, so their standard cost them at least Euro 200!

So, if we apply standardization, we should first note there is deviation, look for its root cause, either stick to it or decide that you deviate in this specific case. You might even think of adapting the standard, but that is a different discussion. Now you are going to receive a complaint letter someone has to deal with this etc., etc….. By being more flexible they could have made Euro 200.

From a sunny beach the lesson I learned is to not mindlessly apply standards, always challenge the standard, look at the possible benefits and risks and then decide.

Anyway, I will buy her an extra drink tonight……..least thing I can do!

Greetings from a nice sunny Island.