fcb webinar: the story of a process centered organization

The Story of a Process Centered Organiza6on

Webinar Roundtable Discussion: July 22, 2015

With Butch Peterman and Tanya Patrella Manufacturing with Heart

CBN CLEARANCE CONTROL

•  HISTORY, MARKETS, FACILITY, FUTURE

•  Rolls-Royce •  October 22, 2012

The Story of a Process-Centered

Organization

Manufacturing with Heart, Inc. Copyright 2015

Gallop Reports 100 million people hate their jobs

Formula for Holistic Transformation

•  Core Belief – People can be trusted •  Culture - Leadership & Everyone Development •  - Align Actions & Policies to Core Beliefs •  Organization - Process-Centered Organization (PCO) •  Technology - One, open, shared database


Background

1971 to 1992 Abrasive Technology – the 1st 20 years

1992 Consciously Creating an Environment of Trust

1993 Move to the Work Bi-Annual, Company-Wide Update Meetings

Lunches with President (small groups)

1994 Incentive Compensation Program Associate Concept

1995 $2k Capital Funds per Department Associate Involvement, Teams & Links


Background

TEAM

INDIVIDUAL

LINKS

ORDER SHIP


Background

1996 Leadership Development for Management Group (Center for Creative Leadership)

Reengineering Seminar (Michael Hammer) 1997 Personal Development – All Associates

(MBTI, SBI, FiroB, Communications-101) Visual Manufacturing System

(One, open, shared database)


Background 1998 Customerize With PRIDE

(Personal Responsibility In Daily Efforts) 2001   Order Fulfillment Associates have a Task Priority Report

for daily work schedules

Focus on the use of Language


Trust in People

Organizational Structure was Limiting


Tipping Point

November 14, 2001

Changed from hierarchy to

process-centered organization


Classic Corporate Structure

Vice President

CEO


BUSINESS PROCESS ORGANIZATIONAL CHART

COACH CENTER OF EXCELLENCE PROCESS PROCESS ENGINEER

ASSOCIATE DEVELOPMENT AND RESOURCESCOMPLIANCEFINANCE

INFORMATION TECHNOLOGYMRP

QUALITY ASSURANCE

MACHININGASSEMBLYFINISHING

MARKETING SALES

CUSTOMER SERVICE

RESEARCH, DEVELOPMENT & ENGINEERINGPRODUCT ENGINEERING

BUSINESS STRATEGYBUSINESS

LEADERSHIP

ADMINISTRATION

PRODUCTION

CUSTOMER COMMUNICATION

ENGINEERING


Process Engineers

+ Coaches

Dual Servant Leadership

Model


PROCESS is where you do your tasks

Each Process has a PROCESS ENGINEER


Process Engineer Tasks •  Define & monitor process metrics for throughput, productivity,

cost and quality that balance the needs of Associates, Company and Customers.

•  Teach and coach team members on the process •  Assess, monitor and evaluate performance on process tasks

along with the coach according to the IADP Process •  Continue to analyze and communicate the current and future

needs of the process •  Work with other process engineers and teams to align processes,

resources and capital with the goals of Business Strategy •  Understand the PCO and be able to facilitate learning of the

cultural system to all associates •  Develop actions to meet annual Business Roadmap and goals


CENTER OF EXCELLENCE is your skill base

where you find support for: - individual development - best practices, and - training for similar skills

Each COE has a COACH


Coach Tasks

•  Know, Understand, Support & Assist the implementation of short-term & long-term business strategies for Associates

•  Document problems and support resolutions of conflicts •  Hire, Assign & Separate Associates as Process Teams require •  Coach, Counsel, Support, Build Relationships, Inspire, Educate,

Provide Training, Mentor and Discipline with input from Process Engineer

•  Work with PE's and Associates to develop & monitor Individual Associate Development Plans (IADP) in line with Business Strategy & Process Goals as defined by the IADP Process

•  Continually work to support and improve understanding of Human Resources guidelines and compliance

•  Understand the PCO and be able to facilitate learning of the cultural system to all associates

•  Develop actions to meet annual Business Roadmap and goals


Business Strategy Process

Determine strategies for changing global conditions affecting the Company

Sustain: Core values, vision, mission and objectives Sound business strategies Viable Leadership, Organizational Structure and Culture Strong core capabilities Direction, alignment, and commitment across the company

Move the organization toward interdependency


Individual Associate Development Plan (IADP)

Company & Process

--Tasks, Expectations & Behaviors

Associate Responsibilities


Business Process & Communications Flow

SUPPORT

PRODUCTION MARKETING PRODUCT ENGINEERING


Business Process & Communications Flow

AD&R

Machining>Assembly>Finishing Marketing, Sales & Customer Service

Product Engineering

BUSINESS STRATEGY

QUALITY ASSURANCE

COMPLIANCE

IT MRP

FINANCE

RD&E


Collaborating for the Future

Today is the beginning of a never-ending journey Everything is not “ready” on purpose YOU can help define the future of the organization YOU can be a part of the change process


Problems along the way…

Some couldn’t make the transition Titles & Authority Process Owner Task Expert


Results from PCO Implementation and Culture Development

Key Business Metrics Improve Annual Productivity up 5% to 10% Annual Incentive Compensation Bonuses up to 20% Annual Customer Complaints down 5%-10% Voluntary Turnover down 75%

Cultural Improvements Associates more involved in daily decision-making Greater engagement, collaboration and accountability More flexible, agile and innovative environment More smiles & a strong sense of community Cultivated a positive and productive workplace


Evolution Continues Meeting the Needs of the Diverse Workforce

Shaping the World Around You AT University Social Media / Videos - External: Telling the story (products/applications/use) - Internal: Intranet / Training Learning Center Sustainability Process Work-Life Balance Process https://www.youtube.com/watch?v=eHehZOJ54vM

Core Belief - People can be trusted Culture - Leadership & Everyone Development - Align Actions & Policies to Core Beliefs Organization - Process-Centered Organization (PCO) Technology - One, open, shared database


Formula for Holistic Transformation

Questions?

Upcoming FCB Courses and Events

Event Description Process Redesign A comprehensive, four-‐day Hammer Cer;fica;on class on business process

redesign

Boston, September 15-‐18

Reengineering Innova8on

A three-‐day, advanced course on building the key processes that can deliver a steady stream of breakthroughs


Process Owners in Ac8on

A three-‐day Advanced Cer;fica;on class on business process management for process owners and those in similar roles


Power of Process A two-‐day Hammer Cer;fica;on class on process frameworks and methods

Boston, November 16-‐17

Leading Transforma8on A three-‐day Hammer Cer;fica;on class on process governance and based on the PEMM™ process maturity model

Boston, November 18-‐20

Master Class: Measurement

A one-‐day advanced Master Class (sea;ng is limited)

Boston, November 18

Adop8on of Fast-‐Cycle SoFware Processes

A two-‐day, best-‐prac;ce sharing event, hosted by Na;onwide at their Columbus, OH Headquarters

September 9-‐11

Con8nue the Discussion Online

LinkedIn Discussion Groups

1.   Process: Business Process Roundtable

2.   Enterprise: ConInuous InnovaIon

3.   Individuals: Change Agents in AcIon

For More InformaIon FCB Partners

Lindsay Field, Program Director

617 245 0265 [email protected]

fcb webinar: the story of a process centered organization

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process engineer tasks

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