Making the Impossible – Possible, with Continuous Innovation
Many senior living communities are facing a crisis – both in finding suitable labor and in carrying out required standard operating procedures for commercial cleaning.
I sat down with Brice Oleson, to discuss his thoughts on solving for this, his approach to continuous innovation, why he feels an autonomous floor cleaning program is the right approach for senior living communities (and similar locations), and how he embarked on an automation journey with SoftBank Robotics America to successfully address labor and operational challenges.
If you are an executive looking for practical answers to automation questions, this article is for you!
HJD: Welcome Brice! It’s great to meet you and thank you so much for agreeing to this interview.
BO: Of course!
HJD: Tell us a little about your background and why this helped as you looked to innovate and automate the commercial cleaning within senior living.
- BO: I have a wide range of experiences to draw on. I joined the US Air Force straight out of school in 1998 and was there until 2004. From the outset you learn that anything is possible.
- I joined FedEx after this, and then Hach Co. ( a Danaher company), in operations roles. This is where I learned the importance of continuous innovation and improvement.
- I also had the great fortune to work for a biotech company as Director of Supply Chain at a time when the cure for Ebola was being rolled out. If you want a challenge, try maintaining the temperature and stability of a vaccine at -80c when you are shipping from the US to Africa. That was one of my most rewarding roles.
- In every role that I’ve had, the common thread has been the ability to achieve positive outcomes from situations that were ordinarily impossible. My experience in these organizations equipped me with the skills to identify and implement automation solutions in senior living.
HJD: You were in the Senior Living industry almost a decade. What are some of the unique challenges facing this sector?
- BO: Senior citizens are the biggest demographic that we have today which means there is a huge business opportunity for senior living communities, but with this opportunity comes a lot of responsibility. We need to provide the best care, attention and experience to residents.
- The industry faces unique labor and operational challenges, including high turnover rates, difficulty in hiring, and the need to maintain high standards of quality, cleanliness, safety and resident care to maintain reputation and therefore, business value.
HJD: How does automation improve operations for senior living communities?
- BO: I am a self-confessed geek and I’m an early adopter of technology. I knew that household robotic vacuums weren’t the right solution for a senior living community – for a start they are a major trip hazard.
- I firmly believe that automation can fill the gaps created by labor shortages. Automation enables companies to take non-value add tasks such as vacuuming and lawn care, carried out with manual labor, and make them more efficient and productive.
- By using autonomous robots, companies can focus the efforts of limited staff on higher value activities that require human interaction, which is especially important in senior living communities.
- At the end of the day, seniors prefer having personal attention and interaction, for example, being served meals, having a conversation or having their hair brushed or their nails painted.
- Senior Living has always been high touch but that doesn’t mean every task including cleaning should be high touch. Having a clean environment is important to senior residents, but they don’t demand that a person does the vacuuming. My advice: employ people to clean the hard-to-reach places and interact with residents. Providing a high-quality service is the best use of employees – in my opinion.
- If you cannot hire, or hire the right people, you are setting yourself up for failure. Automation ultimately leads to better service quality and operational efficiency.
HJD: As someone that has successfully implemented robotic automation at scale across multiple properties, could you share with us your high-level approach? Any hints / tips?
- BO: I would break it down into a few key areas:
- Identify the need: I was managing multiple properties. The first thing myself and the team did was look at the general ledger (GL) accounts to identify anomalies in the costs associated with cleaning and non-use of purchased commitment across communities. There were significant labor costs and variability.
- We reviewed the cost of operations and did some comparative analysis. Often, it’s impossible to get reports about SOP completion, but proof is in visual inspection and resident feedback too. When something like vacuuming is a big variable, across properties, it means it’s being done differently across the various locations and it’s ripe for improvement.
- For this reason, we focused our attention on tasks that could be improved by standardization and automation, such as vacuuming and lawn care.
- Business goals: It’s important that you define your goals and KPIs up front. For example, the standard might be daily vacuuming. If this doesn’t happen, then customers aren’t getting the standard of care they expect which will cause business issues further down the line, including ongoing revenue.
- Technology Partnership: Evaluate technology vendors thoroughly but don’t just focus on the technology. The best outcome for your business is to select a technology partner that enables you to improve. A long term, lasting business partnership that focuses on figuring things out together. Make sure you have trust in their ability and make sure they have the credentials to help you deliver business value. I selected SoftBank Robotics America because they have the proven expertise and were equally committed to scaling the program long-term.
- Customer Success: Your vendor partner needs to have a turnkey program. It’s vital that you have a long-term robotic adoption program that simply works regardless of the capabilities and credentials of the staff you have employed.
- Robotic Adoption: If you are looking to rollout at multiple locations, start with a few important locations first e.g. 3 properties, 3 regions, involve staff, gather data, and improve processes. It is important that you can achieve the consistency and quality required at some key locations before scaling. This helps to build the business case for senior leadership. This enables support for a top-down mandate which is important to ensure consistent adoption and to maximize the business benefits.
- Success! In my experience, the introduction of an autonomous robot for commercial vacuuming use improved cleanliness, allowed staff to focus on high value tasks such as resident experience and improved the life expectancy of the assets – in this case, the carpet. I recall one resident saying that they felt they were “living in the future” – the robot was really popular. Resident reaction also helped to allay any fears that might exist from staff. Senior living can be hugely expensive, so this is also a way for management to provide more reasonable cost of care.
HJD: Success of a project is meeting or exceeding the KPIs that you set at the outset. What metrics would you recommend measuring to determine success of a robotic automation project?
- BO: There are several ways. Obviously, you need to be clear about what the objectives are first, and what is realistic, so that you can set appropriate goals. Typical metrics I have used are cost management, cost per hour of the transformed activity, SOP coverage, improved service quality, resident satisfaction, and increased Net Operating Income (NOI).
- Regular monitoring and reporting are essential to track these metrics as well as the ability to adapt to changes as a result.
HJD: What are some common barriers to automation adoption that you have seen?
- BO: In my opinion, the most common barriers include resistance to change, lack of understanding of the benefits being provided, and concerns about initial costs.
- This is why it is important to have a partner you can trust, a solid customer success and robotic adoption program and clear and frequent communication.
- Clear communication is vital. In most cases, initial objections can be overcome by demonstrating clear financial and operational benefits.
HJD: How did automation impact the quality of service in the communities you had experience with?
- BO: Automation ensures consistent and high-quality service, as robots perform tasks with precision and reliability. This leads to a cleaner and more pleasant environment for residents. Better outcomes for the business and residents.
HJD: What types of financial benefits can be achieved through automation?
- BO: Automation can lead to significant cost savings by modifying labor hours and re-directing focus. Reducing the cost to deliver an activity below sub $10/hr and even below $5/hr in some cases, makes a compelling case to have robots perform the work.
HJD: Are there areas besides commercial cleaning that you believe would be valuable to automate for senior living communities?
- BO: Besides floor care, other areas I think would be valuable include lawn care, dishwashing, and material handling. Each of these can be automated to improve efficiency and reduce labor hours – focusing efforts instead on resident experience.
HJD: How would you summarize your experience?
- BO: Key takeaways include the need for top-down mandates, the role of owners and investors in driving adoption, and the significant financial and operational benefits of automation.
- Owners and investors are crucial as they approve budgets and can mandate the adoption of automation to improve net operating income (NOI) and increase the value of investments and most importantly, improve resident experience and the quality of care.
HJD: What does the future hold for automation in senior living?
- BO: The future looks promising as more organizations recognize the benefits of automation. Continuous innovation and adoption of new technologies will further enhance operational efficiency and service quality.
HJD: Thank you so much for sharing time with me – a fascinating discussion. Thank you!
Interested in learning more about robotic automation at scale? See why companies choose SoftBank Robotics America as their trusted partner to deliver best run operations.
Schedule a consultation here.