LensReading which lens this session carries.

End-to-end outcomes · the gaps between functions

Handoff economics

Six mapped cross-function flows contain 25 handoffs — the moments work stops being one function’s problem and becomes another’s.

$3.5m
a week, between functions

What the money between functions is actually spent on

$3.5m a week, split three ways

Waiting at the boundary$2.9m · 85%
Items held at a hairline between two functions, priced at the modeled holding rate.
Typed in a second time$323k · 9%
The receiving system does not accept the sending system’s key, so somebody re-keys it.
Sent back for rework$210k · 6%
The receiving function rejected the item and the sending function did it again.
These three are an exhaustive split of the $3.5m: every dollar attributed to a boundary sits in exactly one of them, and no other cost is attributed to a boundary at all. What happens inside a function is not counted here. Cost to serve is modeled from the touches the ledger recorded, not billed from a timesheet. Every touch is priced at 11 minutes of a person at a loaded 58 dollars an hour, and every stage carries 1.10 dollars of system cost and 0.42 dollars of inference. Handoff cost is priced separately: waiting is held at 0.90 dollars an item an hour, rework at 34 minutes, and duplicated data entry at the re-keying minutes recorded against that handoff. Change any of those six rates and every dollar on these pages moves.

By flow

Six flows, and where each one leaks

A flow is a named piece of work that crosses functions on its way to somebody outside the group.

Intent to Commitment

5 handoffs · 2 gates · none measured

$704k/wk
MarketingSalesRGM ⏸Legal ⏸FinanceThe customer
Marketing → Sales
no owner named · modeled
23.6 h$133k
Sales → RGM
Beatriz Salgado · modeled
25.5 h$34k
RGM → Legal
no owner named · modeled
2.5 d$124k
Legal → Finance
no owner named · modeled
43.2 h$201k
Finance → The customer
no owner named · modeled
36.1 h$211k
1 of 5 handoffs here has a named owner; the other 4 do not. The longest wait in this flow averages 2.5 d.

Supply Disruption Response

4 handoffs · 2 gates · 1 measured

$411k/wk
ProcurementSupply Chain ⏸FinanceLegal ⏸Site operations
Procurement → Supply Chain
no owner named · measured
34.1 h$175k
Supply Chain → Finance
no owner named · modeled
27.7 h$46k
Finance → Legal
no owner named · modeled
3.0 d$117k
Legal → Site operations
no owner named · modeled
47.3 h$74k
No handoff in this flow has an owner, so nobody is accountable for the $411k a week it spends between functions. The longest wait in this flow averages 3.0 d.

Hire to Productive

4 handoffs · 1 gate · 1 measured

$717k/wk
HRIT ⏸AdminFinanceThe line manager
HR → IT
Grace Mutiso · measured · disputed
27.7 h$296k
IT → Admin
no owner named · modeled
33.4 h$188k
Admin → Finance
no owner named · modeled
31.9 h$167k
Finance → The line manager
no owner named · modeled
22.9 h$67k
1 of 4 handoffs here has a named owner; the other 3 do not. The longest wait in this flow averages 33.4 h.

Defect to Disclosure

4 handoffs · 3 gates · none measured

$465k/wk
Customer ServiceEngineering ⏸Legal ⏸MarketingThe regulator ⏸
Customer Service → Engineering
no owner named · modeled
32.6 h$95k
Engineering → Legal
no owner named · modeled
3.1 d$186k
Legal → Marketing
Colm Brennan · modeled
2.2 d$159k
Marketing → The regulator
no owner named · modeled
2.0 d$25k
1 of 4 handoffs here has a named owner; the other 3 do not. The longest wait in this flow averages 3.1 d.

Invention to Investment

4 handoffs · 2 gates · none measured

$693k/wk
R&DLegal ⏸EngineeringFinance ⏸The investment committee
R&D → Legal
no owner named · modeled
3.1 d$187k
Legal → Engineering
no owner named · modeled
21.3 h$141k
Engineering → Finance
no owner named · modeled
43.6 h$245k
Finance → The investment committee
Nils Andersen · modeled
31.6 h$119k
1 of 4 handoffs here has a named owner; the other 3 do not. The longest wait in this flow averages 3.1 d.

Source to Settle

4 handoffs · 1 gate · 1 measured

$481k/wk
ProcurementSupply ChainFinance ⏸AI GBSThe supplier
Procurement → Supply Chain
Diego Fuentes · measured · disputed
34.1 h$164k
Supply Chain → Finance
no owner named · modeled
34.8 h$141k
Finance → AI GBS
Sofia Kalogeropoulou · modeled · disputed
21.1 h$49k
AI GBS → The supplier
no owner named · modeled
32.9 h$127k
2 of 4 handoffs here have a named owner; the other 2 do not. The longest wait in this flow averages 34.8 h.

Every handoff, priced

25 boundaries, most expensive first

BoundaryFlowItems/wkMean waitp90 waitReworkRe-keyedCost/wkOwner
HR → ITdisputed
wait observed on assembled chains
Hire to Productive8,90027.7h39.1h8.1%51%$295,817Grace Mutiso
Engineering → Finance
wait modeled from the flow design
Invention to Investment5,51443.6h91.1h5.0%41%$244,962nobody
Finance → The customer
wait modeled from the flow design
Intent to Commitment5,33236.1h89.3h5.0%49%$211,472nobody
Legal → Finance
wait modeled from the flow design
Intent to Commitment4,48243.2h131.2h9.4%45%$200,693nobody
IT → Admin
wait modeled from the flow design
Hire to Productive5,44033.4h91.5h5.4%18%$187,628nobody
R&D → Legal
wait modeled from the flow design
Invention to Investment2,54974.8h230.0h5.8%24%$186,904nobody
Engineering → Legal
wait modeled from the flow design
Defect to Disclosure2,61474.7h152.9h4.6%15%$185,628nobody
Procurement → Supply Chain
wait observed on assembled chains
Supply Disruption Response4,80034.1h54.0h4.1%51%$174,751nobody
Admin → Finance
wait modeled from the flow design
Hire to Productive5,21931.9h60.8h7.6%12%$167,271nobody
Procurement → Supply Chaindisputed
wait observed on assembled chains
Source to Settle4,80034.1h54.0h4.1%13%$163,913Diego Fuentes
Legal → Marketing
wait modeled from the flow design
Defect to Disclosure2,83252.2h143.7h3.0%49%$158,561Colm Brennan
Legal → Engineering
wait modeled from the flow design
Invention to Investment5,23621.3h67.5h10.6%29%$141,490nobody
Supply Chain → Finance
wait modeled from the flow design
Source to Settle3,82734.8h68.0h15.1%13%$141,287nobody
Marketing → Sales
wait modeled from the flow design
Intent to Commitment4,90423.6h60.7h7.8%47%$133,464nobody
AI GBS → The supplier
wait modeled from the flow design
Source to Settle3,13232.9h86.8h8.5%64%$126,809nobody
RGM → Legal
wait modeled from the flow design
Intent to Commitment2,03660.5h124.5h12.3%50%$124,455nobody
Finance → The investment committee
wait modeled from the flow design
Invention to Investment3,50731.6h82.5h4.6%49%$119,190Nils Andersen
Finance → Legal
wait modeled from the flow design
Supply Disruption Response1,69673.0h155.0h6.1%18%$116,535nobody
Customer Service → Engineering
wait modeled from the flow design
Defect to Disclosure2,96632.6h93.3h4.1%17%$95,404nobody
Legal → Site operations
wait modeled from the flow design
Supply Disruption Response1,53747.3h99.5h9.6%51%$74,013nobody
Finance → The line manager
wait modeled from the flow design
Hire to Productive2,33922.9h45.7h13.7%54%$66,763nobody
Finance → AI GBSdisputed
wait modeled from the flow design
Source to Settle2,15621.1h47.2h6.6%12%$49,101Sofia Kalogeropoulou
Supply Chain → Finance
wait modeled from the flow design
Supply Disruption Response1,37627.7h54.4h8.7%39%$45,553nobody
Sales → RGM
wait modeled from the flow design
Intent to Commitment1,19225.5h71.1h6.0%31%$34,382Beatriz Salgado
Marketing → The regulator
wait modeled from the flow design
Defect to Disclosure48648.0h100.3h11.4%35%$24,915nobody

The re-keying tell

Where no correlation key survives the boundary

$323k a week goes on typing the same data into a second system. That figure is the clearest operational evidence for the limitation stated across this whole layer: the reference a document carries in one system is not accepted by the next one, which is exactly why 22 of these 25 boundaries cannot be timed and why most assembled chains had to be matched on party and timing rather than on a key.
AI GBS → The supplier
64%
Finance → The line manager
54%
Legal → Site operations
51%
HR → IT
51%
Procurement → Supply Chain
51%

What is measured and what is asserted

Read this before quoting any figure above

A handoff counts as measured only when at least twenty assembled chains actually cross that boundary in the sampled week, so its wait is a real observation. 3 of 25 clear that bar, carrying $634k of the $3.5m. The other 22 are priced from the flow design and prove nothing about the business.

Volumes are grossed up fifty times from a two percent sample, so 88,872 items a week is a scaled figure, not a count. The holding rate, the rework minutes and the re-keying minutes behind every dollar on this page are modeling assumptions rather than measurements. Cost to serve is modeled from the touches the ledger recorded, not billed from a timesheet. Every touch is priced at 11 minutes of a person at a loaded 58 dollars an hour, and every stage carries 1.10 dollars of system cost and 0.42 dollars of inference. Handoff cost is priced separately: waiting is held at 0.90 dollars an item an hour, rework at 34 minutes, and duplicated data entry at the re-keying minutes recorded against that handoff. Change any of those six rates and every dollar on these pages moves.

The single most expensive boundary is HR → IT at $296k a week on 27.7 h of average wait, and it is one of the measured ones. 3 of these boundaries are the subject of an open argument about who owns the delay.

Actions

What is waiting on a person

A handoff is the moment work leaves one function and becomes another function’s problem.

Operations

What this desk is allowed to start

A surface that only reports is not operable.

Trigger and bound

This page can price what happens between functions: how long work waits at each of the 25 handoffs, how often it comes back, how often it is typed in twice, and what that costs in a week.

Live observability

What the record shows right now

The weekly cost of the 25 handoffs decomposed into the 3 things that are actually paid for, in dollars, summing to $3.5m …

Current distribution

3,470,961 dollars a week

Waiting2,937,53485%
Duplicated entry323,1809%
Rework210,2476%

Is policy and strategy coming to fruition

Whether the written intent is holding here

$3.5m a week is spent between functions rather than inside them, and 19 of 25 handoffs have nobody accountable for it.

Not holding on the record

The doctrine behind the cross-flow layer is that work crossing functions should have one owner for the whole crossing, not two owners for the two halves.