World-Class Best Practices

Examples of Key Lessons Learned and Direct Links to All

Published Baldrige and Singapore Business Winners

• The Evolution of Excellence . . . how what worked well before has

changed and what is needed to succeed today

• The value and the limitations of various business excellence

techniques and tools in accelerating organizational improvement

• The role of innovation in accelerating organizational improvement

• Direct access to actionable best practices information from

international award winning organizations

• A demonstration of an Integrated System of Best Practice Processes

for all key processes in most international and national award Criteria.

• The role of Business Excellence Consulting (RE: APO BE Consulting

course) in accelerating organizational improvement

APO:TQI BEST PRACTICE KNOWLEDGE SHARING & ACCESS 2013

Best Practice Knowledge Sharing Objectives

Achieving Competitive Excellence

Achieving competitive excellence requires first understanding what excellence actually is. This is challenging because the definition of excellence is always changing and becomes progressively more difficult to achieve.

If we take a look back over the decades, we can see why this is true and maybe learn something more about better approaches to pursuing organizational excellence.

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

Accelerating Improvement Progression – 1950s

Era Excellence

Focus Methodologies

Process

Focus

1950’s Perception Slogans, Anecdotal

Quotes from CEOs Existing

Accelerating Improvement Benefits

Organizations would advertise and claim to have high quality

products and services even when they did not have high

quality products and services. And this worked to an extent . . .

Perception and Reality

A wise mentor once told me:

“The only real quality is perceived quality.”

My learning is that perception is a requirement for being competitive in the marketplace but it cannot be sustained without real quality which is caused by total organizational excellence

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

Accelerating Improvement Progression – 1960s

Era Excellence

Focus Methodologies

Process

Focus

1950’s Perception Slogans, CEO Anecdotal Quotes Existing

1960’s How to Improve Cost Reduction, Gurus,

Culture Change, Teams Existing

Accelerating Improvement Benefits

• Dr. Juran focus: Cultural change with ‘Managerial Breakthrough’

• Kaoru Ishikawa focus: Teamwork using ‘Quality Circles’

• Dr. Feigenbaum focus: Total Integrated Management Systems

• Dr. Deming focus: Use of Statistical Process Control

Quality Gurus APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT PROGRESSION 2013

Accelerating Improvement Progression – 1970s

Era Excellence

Focus Methodologies

Process

Focus

1950’s Perception Slogans, CEO Anecdotal Quotes Existing

1960’s How to Improve Waste Cost Reduction, Gurus, Focus

on Cultural Change, Use of Teams Existing

1970’s Continuous

Improvement

Gurus, SPC, Process

Variation Reduction Existing

Accelerating Improvement Benefits

• A total Japanese quality image turnaround occurred and

Quality Gurus (e.g., Dr. Deming) became exceedingly popular

• Philip Crosby published ‘Quality is Free’ – which was a

breakthrough in terms of engaging business leaders

Accelerating Improvement Progression – 1980s Era Excellence Focus Methodologies Process Focus

1950’s Perception Slogans, CEO Anecdotal Quotes Existing

1960’s How to Improve Waste Cost Reduction, Gurus, Focus on

Cultural Change, Use of Teams Existing

1970’s Continuously Improve Gurus, SPC, Proc. Variation Reduction Existing

1980’s TOTAL

Improvement

TQM, SPC, Japan Trips, 6

Sigma, Baldrige Criteria Existing

Accelerating Improvement Benefits

Dr. Curt Reimann wrote the ‘Baldrige Criteria’ balancing

perspectives of experts and requiring validation of an effective

systems approach with superior results as a prerequisite for

winning

Accelerating Improvement Progression – 1990s

Era Excellence

Focus Methodologies

Process

Focus 1950’s Perception Slogans, CEO Anecdotal Quotes Existing

1960’s How to Improve Cost Reduction, Gurus, Culture Change, Teams Existing

1970’s Continuously Improve Gurus, SPC, Process Variation Reduction Existing

1980’s Total Improvement TQM, SPC, Japan Trips, Six Sigma, Baldrige Existing

1990’s World-Class

Excellence

TQM, Baldrige, EFQM, Asia,

ISO, 6 Sigma, Benchmarking

Existing

+ New

Accelerating Improvement Benefits

• The Baldrige Award Criteria were rapidly adopted and/or

modified by many other countries worldwide

• A dramatic shift in focus from improving existing processes to

replacing them with new and more capable processes occurred

Accelerating Improvement Progression – 2000’s

Era Excellence

Focus Methodologies

Process

Focus 1950’s Perception Slogans, CEO Anecdotal Quotes Existing

1960’s How to Improve Cost Reduction, Gurus, Culture Change, Teams Existing

1970’s Continuous Improve Gurus, SPC, Proc. Variation Reduction Existing

1980’s Total Improvement TQM, SPC, Japan Trips, Six Sigma, Baldrige Existing

1990’s World-Class

Excellence

Baldrige Criteria, ISO, 6 Sigma, Process Maps Existing

TQM, Benchmark, Reengineering, Best

Practices, Process Models Existing + New

2000’s

to now

TOTAL

Excellence

Lean Six Sigma, Systems of

Integrated Best Processes

Existing +

New

Accelerating Improvement Benefits

Business and Award Models based on similar Integrated

Processes and Systems that enable world-class excellence

Major Business Excellence Models Are they really different?

Baldrige

EFQM Singapore

Dubai MRM

Accelerating Improvement Progression

• Compliance → continuous improvement

• Gurus teach → learn from excellent organizations

• Continuous improvement → breakthrough

• Breakthrough improvement → innovation

• Innovation → ???

• Benchmarks → best practices → best processes

• Best processes → integrated best processes system

• Major awards → frameworks of common processes

25 years of assessments supports common processes and systems

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

TQM

Audits, Tests,

Inspection

P-D-C-A

Awards

Excellence

Criteria

Lean

Systems Integration Knowledge

Management

ISO, Accreditation

Benchmarking

Continuous

Improvement

Best Practices

Workforce Engagement

Six Sigma

The Improvement Puzzle

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

It is not only knowing which improvement techniques are best . . . it is the decision logic of knowing which to use and when to use them

Fastest Rate of Improvement

There are many valuable concepts, approaches and tools for accelerating improvement. However, one must be careful when using them to not lose perspective of the one factor that enables your organization to become the best if you are not the best now or to continue to be the best if you already are the best:

Having the fastest rate of improvement

[3M Lesson Learned]

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

SLOW BOAT to EXCELLENCE

‘Whack-a-Mole’ Syndrome

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

Fastest Rate of Improvement

Achieving and sustaining the fastest rate of improvement requires having an integrated system of “Best Processes”.

So, why not look at the Baldrige Framework from a different perspective?

Why not look at the Baldrige Framework from the perspective of its processes?

APO:TQI ACCELERATING ORGANIZATIONAL IMPROVEMENT 2013

APO:TQI BEST PRACTICE KNOWLEDGE SHARING & ACCESS 2013

Leadership Process

Leadership

System

Strategic

Planning

System

Process

Operations

System

Knowledge

Management

System

Customer

Management

System

Workforce

Management

System

Total

Integrated

Excellence

System

Recruit, Hire, Place, and Retain

Learning and Development

Career Progression

Priority Determination & Decision Making

Succession Planning

Organizational Performance Management

Governance Process

Fiscal Accountability-TransparencyCommunication Effectiveness

Workforce Performance Management

Workforce Engagement Management

Workforce Performance Review

Supplier and Partner Management

Implementation

Process Requirements Determination

Core Competencies Determination

Key Work Processes Determination

Process-System Design-Innovation

Improvement Action

Information Hardware and Software Design

Customer Satisfaction Determination

Customer and Market Segmentation

Product Service Features Determination

Knowledge Management

Knowledge Sharing

Performance & Knowledge Measures Selection & UseData, Information and Knowledge Reliability

Benchmarking and Comparison

EvaluationAnalysis

Work Environment Improvement

Workforce Engagement Assessment

Strategic Sourcing

Strategy Deployment

Resource Allocation and Redirection

Strategic Resource Commitment

Strategic Action Plan Formulation

Risk Assessment

Complaint Management

Strategic Assessment

Strategy Development

Strategic Assumptions Development

Customer Relationship Management

Organizational Sustainability

Customer Support

Baldrige Best Process DNA

Until 1988, the understanding of the importance of

integrating processes and systems resided in only

a few organizations. General Electric was one of

the earliest to think and function using a totally

integrated systems approach.

Dr. Armand Feigenbaum was one of those

responsible for this at GE and he made it the topic

of his Doctoral Degree from MIT. In 1968, he

founded General Systems Company which

provides consulting in this methodology worldwide.

Criteria for Performance Excellence

1 Leadership

1.1 Organizational Leadership Process _______________________________________________________________________________________________________________________________________________________

_____________

a. Senior Leadership Direction

(1) How do senior leaders set and deploy organizational values,

short- and longer-term directions, and performance expectations?

How do senior leaders include a focus on creating and balancing

value for customers and other stakeholders in their performance

expectations? How senior leaders communicate organizational

values, directions, and expectations through your leadership

system, to all employees, and to key suppliers and partners? How

do Senior Leaders ensure 2-way communication on these topics?

APO:TQI BEST PRACTICE KNOWLEDGE SHARING & ACCESS 2013

Criteria for Performance Excellence

1 Leadership

1.1 Organizational Leadership Process _______________________________________________________________________________________________________________________________________________________

_____________

a. Senior Leadership Direction

(1) How do senior leaders set and deploy organizational values,

short- and longer-term directions, and performance expectations?

How do senior leaders include a focus on creating and balancing

value for customers and other stakeholders in their performance

expectations? How senior leaders communicate organizational

values, directions, and expectations through your leadership

system, to all employees, and to key suppliers and partners? How

do Senior Leaders ensure 2-way communication on these topics?

APO:TQI BEST PRACTICE KNOWLEDGE SHARING & ACCESS 2013

Best Practices Examples of Key Lessons Learned and Direct Links

APO:TQI BUSINESS WINNERS EXCELLENCE VIDEOS 2013

Baldrige Business Winners Videos

• Nestle Purina

• Lockheed Martin

• Cargill Corn Milling

• Medrad Medical Equipment

• DynMcDermott Petroleum

• Mesa Manufacturing

• Premier GPO

• 3M

• Merrill Lynch Financial

• Xerox

• Solectron

• Ritz Carleton

• AT&T

• Granite Rock

• Texas Instruments

Leadership Excellence Benefits

Leadership Excellence Criteria

Senior Leaders’ Roles, Governance & Citizenship

1.1 Senior Leadership __ (70 pts.)

• Vision and Values

• Legal and Ethical Behavior

• Creating a Sustainable Organization

• Workforce Communication

• Action Accomplishment

1.2 Governance & Societal Responsibilities __ (50 pts.)

• Governance System

• Senior Leaders’ Performance Evaluation

• Regulatory Compliance

• Societal Well-Being and Community Support

APO:TQI EXCELLENCE in LEADERSHIP 2013

Sets and communicates organizational values

Leaders role model values

Keeps focus on sustainability

Organizational learning and leader development

Governance accountability and transparency

Leader performance evaluation and improvement

Exemplary legal, ethical behavior

Community support

Leadership Accelerating Improvement Benefits

Optimizes Leaders’ Capabilities and Preserves Value of Effective Leaders . . . Video 7 Winners

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

MANUFACTURING

Baxter

HOSPITALITY

Conrad Hotel

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Leadership Best Practices from Business Excellence Winners

Urban Redevelopment

Authority

PUB Singapore Water Agency

Ministry of Manpower

Inland Revenue Authority of Singapore

Best Practices from All Public Sector Winners

City of Coral Springs

City of Irving,

Texas

Singapore Civil Defence Force

Subordinate Courts of Singapore

Leadership Best Practices from Public Sector Excellence Winners

University of Wisconsin - Stout

Montfort College of Business

Richland College

Anglo-Chinese School

(Independent)

Best Practices from All

Education Winners

Institute of Technical Education

Hwa Chong Institution (HCI)

Montgomery School System

Raffles Institution

Leadership Best Practices from Education Excellence Winners

Leaders must:

– Support an integrated and systematic

approach to excellence

– Understand what they support

– Convince the workforce and other

stakeholders they support and

understand – and do it every day

APO:TQI LEADERSHIP EXCELLENCE BENEFITS 2013

Key Life Learning

CEOs Benefits Video

Leadership Best Processes Models

Leadership Processes: __

• Effective Communication

• Fiscal Accountability and Transparency

• Governance System

• Leadership Process __

• Organizational Performance Management

• Organizational Sustainability

• Priority Determination and Decision Making

APO:TQI LEADERSHIP EXCELLENCE 2013

Strategic Planning Excellence

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

MANUFACTURING

Baxter

ELECTRONICS

Motorola

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Strategy Best Practices from Business Excellence Winners

Strategic Planning Excellence Criteria

Strategic and action planning and plan deployment

2.1 Strategy Development __ (40 pts.)

• Strategic Planning Process

• Strategy Considerations (e.g., SWOT)

• Strategic Objectives

• Strategic Challenges and Advantages

• Balancing Stakeholder Needs

2.2 Strategy Implementation __ (45 pts.)

• Action Plan Development and Implementation

• Resource Allocation

• Strategy Performance Measures and Projections

APO:TQI EXCELLENCE in STRATEGY 2013

Balances short & long-term views

Aggressive goal setting

Work is aligned with strategy

Proactively addresses risk

Goals for market and customer needs

Stakeholder involvement

Sustainability and core competencies focus

Plan implementation and organizational agility focus

Strategic Planning Competitive Excellence Benefits

What Line-of-Sight Strategy Alignment Looks Like

Strategy Misalignment

APO:TQI STRATEGIC PLANNING EXCELLENCE 2013

Partially Aligned Strategy

APO:TQI STRATEGIC PLANNING EXCELLENCE 2013

‘Line-of-Sight’ Strategy Alignment

APO:TQI STRATEGIC PLANNING EXCELLENCE 2013

Alignment (aka, ‘Line of Sight’, Integration)

What does alignment look like in a world-class organization?

[Telkom Example]

APO:TQI EXCELLENCE in STRATEGIC PLANNING 2013

Automated Strategic Integration

• Strategic objectives __

• Strategic action plans __

• Strategic advantages/challenges __

• Core competencies __

• Mission, Vision, Values __

• Performance measures __

APO:TQI EXCELLENCE in STRATEGIC PLANNING 2013

Key Learning

Achieving organization-wide strategic alignment can be done using one sheet of paper.

(link)

APO:TQI EXCELLENCE in STRATEGIC PLANNING 2013

APO:TQI EXCELLENCE in STRATEGY – ONE PAGE INTEGRATION 2013

Strategy Best Processes Models Strategy Processes: __

• Alignment of Plans and Targets

• Annual Operating Plan Formulation

• Plan Deployment

• Plan Formulation

• Resource Allocation and Redirection

• Risk Management

• Strategic Assessment Development

• Strategic Assumptions

• Strategic Resources Commitment

• Strategic Sourcing

• Strategy Development __

APO:TQI STRATEGY EXCELLENCE 2013

Customer Focus Excellence

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

ELECTRONICS

Motorola

HOSPITALITY

Conrad Hotel

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Customer Best Practices from Business Excellence Winners

Customer Focus Excellence Criteria

How You Listen to the Voice of Your Customers, Build Relationships, and Identify Opportunities for Innovation

3.1 Voice of the Customer __ (40 pts.)

• Listening to Current and Potential Customers

• Satisfaction and Engagement Determination

• Satisfaction Relative to Competitors Determination

• Dissatisfaction Determination

3.2 Customer Engagement __ (45 pts.)

• Service Offerings Identification and Innovation

• Customer Support

• Customer Segmentation

• Relationship Management including Complaint Management

APO:TQI EXCELLENCE in CUSTOMER FOCUS 2013

Deep market knowledge

Consider customer needs, requirements

Multiple forms of customer support

Customer culture integrated in workforce

Multiple customer listening methods

Effective complaint resolution

High customer engagement and satisfaction

Effective analysis and use of customer data

Customer Focus Competitive Excellence Benefits

What Customers tell you is important is often not what is really important, Multiple listening methods agreeing are used to validate

Key Life Learning

Do not assume that what customers tell you directly and in surveys is important to them . . .

is really what is important to them.

APO:TQI CUSTOMER FOCUS EXCELLENCE 2013

Customer-Driven Excellence [Competitive Excellence Core Value]

“If I had asked my customers what they wanted, they’d have said a faster horse”.

APO:TQI CUSTOMER FOCUS EXCELLENCE 2013

Henry Ford

Customer Best Processes Models

Customer Processes: __

• Complaint Management

• Customer Relationship Management __

• Customer Satisfaction and Engagement Determination

• Customer Segmentation and Knowledge Determination

• Customer Support Management

• Features Determination

APO:TQI CUSTOMER EXCELLENCE 2013

Knowledge Management Excellence

FOOD PROCESSING

Cargill Corn Milling

MANUFACTURING

Baxter

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

DAIRY

PEA Dairy Farm

ELECTRONICS

Motorola

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Knowledge Best Practices from Business Excellence Winners

Measurement, Analysis and Knowledge Management Excellence Criteria

How You Select, Analyze, Manage, Improve Data and Use

it to Improve Your Organizational Performance

4.1 Performance Measurement, Analysis, Improvement_ • Performance Measures Selection, Alignment

• Comparison and Customer Data

• Best Practice Sharing

• Continuous Improvement and Innovation

4.2 Mgmt. of Information, Technology, Knowledge __

• Knowledge Management

• Data and Information Availability

• Hardware and Software Capability and Emergency Availability

APO:TQI EXCELLENCE in KNOWLEDGE MANAGEMENT 2013

Knowledge

Progression

APO:TQI KNOWLEDGE MANAGEMENT EXCELLENCE 2013

“The plural of opinion is not knowledge.” [Dr. Donald Berwick]

Key Knowledge Learning

Ensure that data and information are:

– Complete

– Correct

– Converted into Knowledge

– Shared appropriately

– Immediately available

– Readily usable

[Site Visit and Tata Examples]

APO:TQI KNOWLEDGE MANAGEMENT EXCELLENCE 2013

Use of fact-based decision making

Selection and use of actionable data

Performance measures aligned

Wide accessibility of data and information

Analytical capabilities

Benchmarking of processes & results

Reliable, secure, user-friendly info systems

Knowledge shared internally and with key partners

Knowledge Management Competitive Excellence Benefits

Everything requires knowledge – every decision, every process, every thought

Business Best Practice Metrics

Results Items Best Practice Metrics

7.1 Product, Service, Process & Strategy Results 7.1 Business Metrics

7.2 Customer-Focused Results 7.2 Business Metrics

7.3 Workforce-Focused Results 7.3 Business Metrics

7.4 Leadership and Governance Results 7.4 Business Metrics

7.5 Financial and Market Results 7.5 Business Metrics

APO:TQI RESULTS EXCELLENCE 2013

Knowledge Best Processes Models

Knowledge Processes: __

• Analysis

• Benchmarking and Comparison

• Data-Information-Knowledge Reliability

• Evaluation

• Information Hardware and Software Design

• Knowledge Creation

• Knowledge Management __

• Knowledge Sharing

• Performance & Knowledge Metrics Selection/Use __

APO:TQI KNOWLEDGE MANAGEMENT EXCELLENCE 2013

Workforce Engagement Excellence

Workforce Focus Excellence Criteria How an Organization Engages, Develops, and Manages Its

Workforce and Builds an Effective Workforce Environment

5.1 Workforce Environment __ (40 pts.)

• Workforce capability and capacity

• New members recruitment, hiring, retraining

• Work accomplishment management

• Workforce members capability and capacity change preparation

• Workforce Policies and Benefits

5.2 Workforce Engagement __ (45 pts.)

• Workforce performance engagement

• High-performance, open communication, engagement culture

• Assessment of workforce engagement

• Workforce and leader development

APO:TQI EXCELLENCE in WORKFORCE FOCUS 2013

• Employees do not start every morning wanting to be unhappy

• Determine the causes of their dissatisfaction and take ownership

• Work with employees to fix the causes of dissatisfaction while also balancing the needs of all stakeholders

APO:TQI KNOWLEDGE MANAGEMENT EXCELLENCE 2013

Key Life Learning

Workforce satisfaction and

engagement

Reward for high performance

Training, education and development

Individual and organizational learning linked

Workforce capability, capacity

management

Safe, secure and supportive work

climate

Workforce Focus Competitive Excellence Benefits

Core Value: Having Fun

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

MANUFACTURING

Baxter

HOSPITALITY

Conrad Hotel

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Workforce Best Practices from Business Excellence Winners

Workforce Best Processes Models

Workforce Processes: __

• Career Progression

• Employee Performance Management

• Employee Performance Review

• Learning and Development

• Recruitment

• Succession Planning

• Workplace Environment Improvement

• Workforce Management and Engagement __

• Workforce Engagement/Satisfaction Determination

APO:TQI WORKFORCE EXCELLENCE 2013

Operations Focus Excellence

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

ELECTRONICS

Motorola

MANUFACTURING

Baxter

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Operations Best Practices from Business Excellence Winners

Operations Focus Excellence

How you design, manage, improve your key systems and processes to

achieve organizational success, sustainability, emergency readiness

6.1 Work Systems __ (45 pts.)

• Systems Design and Innovation

• Systems Performance Requirements Determination

• Systems Implementation

• Systems Cost Control

6.2 Work Processes __ (40 pts.)

• Process Design and Innovation

• Process Performance Requirements Determination

• Process Implementation

• Supply Chain Management

• Process Improvement

APO:TQI EXCELLENCE in OPERATIONS FOCUS 2013

Systems Perspective [Excellence Core Value]

“To develop a complete mind . . . realize that everything

connects to everything else.”

[Leonardo Da Vinci]

APO:TQI OPERATIONS FOCUS EXCELLENCE 2013

Systems Perspective [Competitive Excellence Core Value]

“A bad system will defeat a good person every time.”

[Dr. Edwards Deming]

APO:TQI OPERATIONS FOCUS EXCELLENCE 2013

Well-designed processes, systems

Sustainability assurance Continuous process

improvement

Customer and supplier partnering

Productivity from waste reduction

Problem resolution and prevention

Approach to achieve innovation

Operations Focus Competitive Excellence Benefits

Everything is a process or part of a process and Systems are integrated groups of processes

Managing for Innovation

If innovation is defined as new and not adopted then it appears:

• Innovation is a good business strategy if it succeeds

• Innovation is unknown (to the public) when it fails

• Most attempts to innovate fail

• Most people are not innovators at a global level

• Most innovations did not come from an environment conducive to innovation . . . but some do [3M Example]

• Personal perseverance and visionary leadership are often the key drivers of successful innovation

• Thomas Edison: “Genius = 1% inspiration + 99% perspiration”

• Paul: “Innovation = 1% inspiration + 99% Innovation Process

APO:TQI COMPETITIVE VALUE of INNOVATION 2013

Isaac Newton - Thomas Edison - Henry Ford - Wright Brothers - Steve Jobs

Operations Best Processes Models

Operations (Process Management) Processes: __

1. Core Competencies Determination

2. Implementation Process

3. Improvement Action

4. Process Control and Sustainability

5. Process Customization and Acceptance

6. Process Design, Innovation, Development and Delivery __

7. Process Requirements Determination

8. Process Simplification

9. Process Training

10. Processes (Key) Determination

11. Supplier and Partner Management

APO:TQI OPERATIONS EXCELLENCE 2013

Key Life Learning

Over the course of the past 60 years, the improvement methodology used by most excellent organizations is:

Plan – Do – Check – Act

Results Excellence

FOOD PROCESSING

Cargill Corn Milling

RETAIL

Wing Tai Asia Retail

DEFENSE

Lockheed Martin

ELECTRIC

Yokogawa Electric

CONSUMER PRODUCTS

Nestle Purina

PACKAGING

Teckwah

EXPORTER

Qian Hu Corporation

PETROLEUM

DynMcDermott Petroleum

SEMICONDUCTORS

Avi-Tech Electronics

MANUFACTURING

Baxter

HOSPITALITY

Conrad Hotel

MANUFACTURING

Honeywell

FINANCIAL

Caterpillar Financial

RESEARCH & DEVELOPMENT

VACSP

AEROSPACE

Boeing Aerospace

BEST PRACTICES from All

BUSINESS WINNERS

Results & Benchmarks from Business Excellence Winners

Business Best Practice Metrics

Results Items Best Practice Metrics

7.1 Product, Service, Process & Strategy Results 7.1 Business Metrics

7.2 Customer-Focused Results 7.2 Business Metrics

7.3 Workforce-Focused Results 7.3 Business Metrics

7.4 Leadership and Governance Results 7.4 Business Metrics

7.5 Financial and Market Results 7.5 Business Metrics

APO:TQI RESULTS EXCELLENCE 2013

Excellent process, product, service, strategic, workforce, customer,

financial, governance, societal results

Improvement trends for key measures

Results integrated to mission, goals, strategy, stakeholders, processes

Use comparisons/ benchmarks

Results are actionable to improve performance and sustainability

Competitive Excellence Benefits for Results

Accountability to balanced and superior performance for all stakeholders

Business Excellence Consulting

“The Principles for Accelerating

Business Excellence Improvement”

Transforming Assessment Feedback into Performance Excellence

Assessment Feedback Reports only address Phases 1 and 2 of

Organizational Improvement

Transforming Assessment Feedback into Performance Excellence

Transforming Assessment Feedback into Performance Excellence

Managing Change

• Create the environment

• Set the expectations and inspire the minds

• Control the pace of improvement and the limits

of authority

• Gain acceptance by communicating, listening,

and actively participating

• Most importantly, understand the profound

difference between change and improvement

Change and improvement

are not the same thing

Not all changes are improvement

But, all improvements involve change

Every process or system is designed to achieve

results

Performance is a property of a process or

system

Better results require a better process or system

. . . they therefore require change

The best process/system yields the most improvement

Best performance requires best

processes/systems

The core best processes / systems are common for

all organizations

The Profound Difference Between Change and Improvement

Total Integrated Excellence System

Total Integrated Excellence System Link

Closing Agenda

• Questions

• Thank You

• Final Announcements

APO:TQI APPLICATION PREPARATION BEST PRACTICES 2013