ASQ – Grand Rapids
The Benefits/Challenges of a Global Quality Effort
GLOBAL
OPERATIONS
2015
Chris Bardeggia
Vice President, Global Quality & Lean
ASQ AGENDA
THE BENEFITS/CHALLENGES OF A GLOBAL QUALITY EFFORT
• Why Go Global
• How to Move to Global
• Benefits
• Challenges
GLOBAL
OPERATIONS
2015
QUALITY WHY GLOBAL
WHY GO GLOBAL
BUSINESS PERSPECTIVE
•
You will have more customers
•
You will have access to a larger talent pool
•
You will have more profits
•
You will become more efficient
•
You will iterate faster and create more products
•
It’s the future
GLOBAL
OPERATIONS
2015
WHY GO GLOBAL
QUALITY PERSPECTIVE
How do we
measure
quality
globally?
How do we
give customers
a consistent
experience
How do we
partner?
How do we
achieve
alignment?
How do we
leverage
scale?
How do we
structure?
How standard
is TOO
standard?
How do we
focus the
organization
What needs to
be different if
we act global?
???
GLOBAL
OPERATIONS
2015
QUALITY HOW TO MOVE TO GLOBAL
HOW TO MOVE TO GLOBAL
ALIGNING THE PIECES
•
Networking
•
Strategy
•
Structure
•
Talent
•
Metrics
•
Processes
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
NETWORKING: ASSEMBLING THE RIGHT PLAYERS
Executive Quality Council
Objective:
Frequency:
Duration:
Docs:
Members:
•
•
•
•
•
•
•
•
Strategic direction +
decisions
2x/Year
90 Minutes
Pre-Read >6 Pgs
13
CEO
SVP OPERATIONS
•
Chief of Operations
•
VP Americas
•
VP EMEA
•
VP Asia Pacific
•
VP Quality
VP LEGAL
VP ENGINEERING
VP MARKETING
VP SALES - AMERICAS
VP SALES - EMEA
VP SALES – ASIA PACIFIC
Quality Performance Steering Team
Objective:
Frequency:
Duration:
Docs:
Members:
•
Performance review +
improvement actions
1x/Quarter
60 Minutes
Convergence Charts
26
GLOBAL: Quality, Metrics, Legal, Product
Engineering, Technology, Architectural
Products, Wood, Strategic Products, Coalesse,
Seating, Furniture, Project Management,
Supplier Quality, Turnstone, Procurement
Global Quality 3.0 Team
Objective:
Frequency:
Duration:
Docs:
Members:
•
•
•
•
Americas: Operations, Manufacturing
Engineering, Quality, Channel Development,
Order Fulfillment, Logistics
•
EMEA: Operations, Quality
•
ASIA PACIFIC: Operations, Quality
•
•
•
•
•
•
•
•
Strategy development +
implementation
1x/Month (FTF/Quarter)
1-4 Hours (as needed)
Plans/Progress
22
Quality:
Global, Metrics, Supplier Quality,
Systems, Americas, EMEA, Asia Pacific,
Reliability
Engineering: Global, Resident Engineering,
Brand, EMEA
Procurement: Supply Chain Development,
Supplier Development
Legal: Global
Project Mgmt: Global
GM: Seating
Labs: Global
Logistics: Americas
Process Engineering: Global
Order Fulfillment: Americas
Specials: Americas
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
STRATEGY: GLOBAL QUALITY 3.0
KPI
FY14 (Baseline)
FY15 (+1 year)
FY16 (+2 years)
FY17 (+3 years)
Metrics
Regional (internally focused)
Global (internally focused)
Global (customer-focused)
Global (customer-focused)
Defect Codes
Plant/Region level
Global alignment
Defect code logic trees (pilot)
App with defect code logic trees
Goal Deployment
Top-down
Top-down guidance + catchball
Catchball with data
Catchball with data + actions
Goal Management
Focus on past performance
Convergence: focus on gap to goal
Advanced analytics: application pilots
Advanced analytics: predictive
Poke Yokes
Focus on implementation
Focus on effectiveness
Focus on improved effectiveness
Focus on optimization
Alert Management
Local processes
Global process
Permanent corrective action focus
Permanent corrective action excellence
PD&L Deliverables
No data on “How done” risk
20 Keys Pilot
20 Keys implementation
Predictive equation of performance
PD&L Quality
Not predicted
Predicted at every Phase
Predicted at every Phase
Prediction accuracy
Lab Testing
Tribal knowledge; BIFMA +
Validating prioritized tests
30% validated tests
100% validated tests
Reliability
Reactive; problem-solving
Proactive; influencing tests
Proactive; owning test plans
Robust; influencing designs
FMEA
Not standard; component-focused
Standard; product-focused
Global, formal DFMEA to PFMEA link
Excellence; driving design activities
Compliance Tests
Regional; inconsistent
Regional; inconsistent
Global, prioritized on risk not volume
Global, driving Reliability
Test Kitchens
Regional
Global
Global; focused on data
Global; system improvements
1st Piece Signoffs
Local standards
Global standards
Global standards; discipline
Global standards, traceability
Supplier Quality
Incoming inspection; locally managed
Supplier recovery; glocally managed
Global supplier excellence framework
Systemic, supplier excellence
Problem-Solving
Intuition-based
Data-based
Global competition to drive effectivenes
Global competition to evolve standard
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
STRUCTURE: GLOBAL QUALITY
North
America
Metrics
2
Product Dev &
Launch
+ Supplier Quality
+ Reliability 6
Systems
+ Alert
Management
3
EMEA
Asia Pacific
Metrics, Dealer Scorecards,
Defect Codes, LASER,
Accountability, QOR
20 Keys, Reliability Targets, FMEA,
Test Plans, Supplier Excellence,
50% DPPM New Products, MBR
Alert Management System, Risk,
Global Compliance Test Plan,
ISO9001 Audits, Field Actions
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
STRUCTURE: GLOBAL QUALITY (LEVEL 2)
Quality
Director
Plant 1
Quality
Manager
Plant 2
Quality
Manager
Plant X
Quality
Manager
Lean
Leader
PD&L,
Supplier Quality,
Reliability
Metrics
Systems
QE
Lean
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
TALENT – CURRENT STATE
Local
Opening
Local
Opening
Local
Talent
Local
Talent
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
TALENT – FUTURE STATE
10%
Global
Opening
10%
Attraction
Acquisition
Development
Retention
Promotion
Quality
Talent
Internal Talent
External
Talent
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
METRICS (EXTERNAL)
Symptoms …
Language & terms hard to understand
Reporting the news
Not actionable
Actions …
Operations workshop
Alignment on what’s important
Metric definitions
Expectations
Tools to improve
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
METRICS (INTERNAL)
September, 2014
FY15 - Period 7
Arch Solutions MBR
Arch Solutions DPPM - Shipped Previous 12 Months
45,000
4.00%
40,000
3.50%
35,000
Period 7
Actual
3.00%
30,000
DPPM:
2.50%
25,000
2.00% Functional Owner DPPM
20,000
1.50%
15,000
1.00%
10,000
5,000
0
Mar
16,448
18,240
21,031
1.88%
FY14
FY15
Goal
R&A
Apr
7,968
14,713
21,031
2.57%
May
9,384
5,045
21,031
1.20%
Jun
40,337
7,979
18,020
1.46%
Jul
22,415
6,209
18,020
2.25%
Aug
23,574
6,788
18,020
3.78%
Sep
19,909
4,780
15,010
1.93%
Oct
38,049
0
15,010
Nov
30,398
0
15,010
Dec
9,237
0
12,000
Jan
14,351
0
12,000
Feb
9,472
0
12,000
Manufacturing
Engineering & Mkting
0.50%
Logistics
0.00%
Procurement
SFT
Specials
Other
FYTD
Goal
Actual
4,780 15,010
PYE
Goal
8,911 18,797 20,236
Period 7
FYTD
DPPM
% Contrib.
DPPM
% Contrib.
PYE
2,128
646
794
94
81
323
714
45%
14%
17%
2%
2%
7%
15%
5,567
1,008
1,067
194
395
341
339
62%
11%
12%
2%
4%
4%
4%
13,549
3,469
1,324
63
1,191
351
289
FY15 P7 Performance Explanation
•
•
•
•
ArchSol category continues strong performance based on extensive work in FY14
35 pcs, feature strips not staying in place - Interim corrective action in place
24 pcs various specials errors
21 pcs - wrong color sent - operator error
Period 7
Cost of Non-Quality:
Arch Solutions Pieces Defective & Convergence Line (Active & Complete)
Actual Def. Qty
Target Achieved Period
Convergence Qty
FYTD
Actual
Goal
Actual
Goal
PYE
1.93%
0.68%
2.04%
0.68%
2.49%
Active Convergence Projects
Target Achieved in:
1,400
Project
1,200
1,165
1,000
835
800
600
574
478
400
295
200
294
338
355
P6
P7
0
0
0
0
0
P8
P9
P10
P11
P12
0
PYE Ave/Mo.
P1
P2
P3
P4
P5
1 SAW Paint Color
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
Product Line
Plant
Privacy Walls
Athens
Defect Code / Descrip.
2250 - MFG - Finish Coverage
Impact
Period
6
Impact 10000
Qty
287
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
PROCESSES
Global Lean Quality Report Inventory
Priority
1
1
1
3
n/a
2
n/a
1
1
3
3
3
3
2
2
2
Schedule
Description
Incoming Orders/lines, Say Yes,
Delivery Perf., DPPM dashboard.
DPPM, R&A, Projects - Plant View
DPPM, R&A, Projects - Category View
Customer Focus
Report/Dashboard Name
Customer Satisfaction
Accountability Meeting
Plant MBR
Category MBR
QOR
Say Yes
Perfect Orders Delivered
Perfect Orders - Shipped
Splits (quantity)
Splits PPM
LASER/QR Volume
Responsiveness
Customer Satisfaction
Score
Dealer Report Card
Customer Focus
Customer Shot Clock
Systems Approach
Systems Approach
Alert Management
Alert Management
Comprehensive customer/dealer
report (dppm, perf order, etc.)
Number of "Alerts" by region
Number of "open" Alerts - Status
"R" Group
Leadership Meetings
Leadership Meetings
Leadership Meetings
Leadership Meetings
Customer Focus
Customer Focus
Customer Focus
Customer Focus
Customer Focus
Customer Focus
Customer Focus
Customer Focus
Freq.
W
P C P C P C
P
C
P
P
M
M
W
Shipped complete, DELIVERED on-time
Shipped complete, SHIPPED on-time
Number of claims filed per month
Time to respond - dealer claim (G001)
Updated: 20-Aug-14
Scope
FY'15 Q3
FY'15 Q4
FY'16
EQC APAC EMEA SCNA GLB AP E NA G AP E NA G AP E NA G Status
P
C
P
P
P
C
P
P
C
W/M/Q/YTD
APAC EMEA SCNA
W/M/Q/YTD
W
W/YTD
M
M
APAC EMEA SCNA
P
P
P
P
P
P
APAC EMEA SCNA GLB
APAC EMEA SCNA
AP E
E
AP
G
AP E NA
APAC EMEA SCNA
adhoc
Q
Q
Y
Y
H
E
E
AP
AP
AP E
AP E
G
H
H
H
NA
AP E
APAC EMEA SCNA GLB
AP E
P C P C P C P C
P C P C P C P C
AP E NA G
AP E NA G
G
Pcs shipped by category-EMEA/APAC
Requires definition
Data on delivery at customer
AP E
APAC EMEA SCNA
Modification of existing NA report
Comments
AP
COMP
Data availability AP and EMEA
Data availability AP and EMEA
LASER hold for CIC
Requires definition
SCNA changes complete…dealer
validation.
Data requirements/availability
Requires definition
Requires definition
GLOBAL
OPERATIONS
2015
HOW TO MOVE TO GLOBAL
PROCESSES
GLOBAL
OPERATIONS
2015
QUALITY BENEFITS
BENEFITS
GLOBAL VERSUS REGIONAL
Networking: Leverage of TRUE best practices … One system to evolve … Global conversation … Sense of belonging
Strategy:
Clarity … Leverage … Integrated … CEO-Level … Branding
Structure:
Standardized … Opportunities … Strategic evolution … Role clarity
Talent:
Opportunities … Pull versus Push … Experiential vs role-based learning … Global development
Metrics:
Aligned to customers … One language … Leverage of knowledge … Meaningful … Integrity
Processes: Alignment to business … Alignment to metrics … Scale
GLOBAL
OPERATIONS
2015
QUALITY CHALLENGES
CHALLENGES
GLOBAL VERSUS REGIONAL
Networking: Language … Time Zones … Availability due to Matrix
Strategy:
Focus … Alignment … Proactive vs Reactive
Structure:
Fiefdoms … Economies of Scale … Justification
Talent:
Paradigm shift … Talent “protection” … Inertia
Metrics:
Transparency … Understanding … Competing methodologies … Conformance vs creativity
Processes: Energy … Level of variation … Tradeoffs
GLOBAL
OPERATIONS
2015
GLOBAL
OPERATIONS
2015
THANK YOU