Demand is the greatest lever for improvement in transactional service organisations. But typically managers know nothing about demand, at least nothing that’s of value to them in improving the system.

Managers will know about volumes of demand and sometimes they will know about types of demand, but usually these ‘types’ are classified from an internal organisational point of view.

The most striking thing that conventional managers don’t know is anything about failure demand, yet, it can consume as much as eighty percent of their capacity.