Uploaded by GORDONW63

Intro to OEE

advertisement
An Introduction to Operational Excellence
An Integrated Business Execution System
by Operational Excellence Consulting LLC
1 - May 18, 2020 – v10.0
Top 10 CEO Challenges & Priorities




2 - May 18, 2020 – v10.0
Operational Excellence – A Definition
A Business Strategy: In "The Discipline of Market Leaders“ (1995), Michael Treacy
and Fred Wiersema describe three distinct value propositions or disciplines: Product
Leadership, Customer Intimacy and Operational Excellence.
Market leaders choose to excel in delivering extraordinary levels of one of these
three value propositions, while maintaining reasonable standards in the other
disciplines.
Market leaders will not pursue a diffused business strategy across
two or even all three disciplines, but will continually focus on
their organizational design, processes, technology and
competencies to improve the one particular value discipline that
they want to provide to their Customers better than anyone else.
Organizations pursuing an Operational Excellence strategy, strive
to deliver a combination of quality, price, and ease of purchase
and service that no other organization in their market or industry
can match.
3 - May 18, 2020 – v10.0
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of an
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Operational Excellence can be
achieved and sustained with
the right attitude, the right
mindset, and the right
competencies.
Well designed, efficient, and
effective Management, Value
Chain, and Support Processes
are necessary to deliver worldclass results.
4 - May 18, 2020 – v10.0
Strategy or Policy Deployment
is the process that aligns and
links business strategy and
execution.
Performance Management is
the process that translates
strategic initiatives into
measurable objectives and
goals.
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of a
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Strategy or Policy Deployment
is the process that aligns and
links business strategy and
execution.
5 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Strategy is an expression of what an organization intents to do to get from a
current state to a future state. Strategy is often expressed in terms of a vision
statement, objectives, goals, and initiatives.
 Only 5% of the workforce understands their
company strategy.
 Only 25% of managers have incentives linked to
strategy.
 60% of organizations don’t link budgets to
strategy.
 86% of executive teams spend less than one hour
per month discussing strategy.
Source: Balanced Scorecard Collaborative
6 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Lack of a proper strategy is a serious problem that can result in ad hoc improvements that don't
contribute to the organization’s overall needs.
 Non-Strategy #1: ‘The Wall Placard Strategy’
 Some organizations will go to great lengths to create great Vision and Mission statements, but
then their planning stops there.
 Non-Strategy #2: ‘The Stratospheric Strategy’
 These strategies start in the clouds and they never come down, making them extremely
difficult to make actionable. The result will usually be some nice slick-looking verbiage for the
organization’s website and annual reports.
 Non-Strategy #3: ‘The KPI Strategy’
 When asked to present their strategies, some organizations excitedly pull out a beautiful
PowerPoint slide that states their goals in terms of a metric. Examples are ‘double revenue in
three years’ or ‘achieve 20% margin by 2013’. This is not a strategy.
 Non-Strategy #4: ‘The Govern-less Strategy’
 Some strategies are actually quite well constructed, but they miss one crucial element: a
governance process. A strategy is worthless unless it has a clear process on who will lead the
reviews, what specifically will be covered and what the frequency will be.
7 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Strategic Planning ought to contain two elements:
1. Strategic Thinking, where managers synthesize their strategic vision,
using intuition and creativity. The outcome is “an integrated
perspective of the organization, a … vision of direction.”.
2. Conversion of the vision into actionable steps; “realization” of the
vision.
One of the important purposes of strategic planning is to find productive
and high-leverage directions in which to stretch the organization.
Source: Mintzberg 1994
8 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Phase I – Organize the Process
Phase II – Current State Analysis (CSA)
Phase III – Strategic Vision Elements
Phase IV – Strategic Breakthrough Objectives
Phase V – Strategic Initiatives & Tactics
Phase VI – Strategy Implementation & Review
9 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Strategy Maps or Strategic Grids:
Strategic Focus Area: Increase Shareholder Value
Dimensions or Perspectives
Financials
Revenue Growth of 20% by 2014
Acquire More Customers
Customers
Internal
Processes
Learning &
Growth
Become the Price Leader
Improve Operational Efficiency
Cost Reduction
Program
Knowledge Based
System
Reduce
Non-Core Activities
Training – Lean
Six Sigma
Program
Database Network
on Operational
Performance
Re-Align
Organization with
Core Competencies
Once you have completed the strategic grid, go back and make sure everything fits with your overall
strategy. A set of strategic grids should provide the strategic model for running the business, outlining the
specifics of the strategy. All stakeholders should be able to look at the grids and follow the flow of the
organization’s strategy.
10 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
The Hoshin X-Matrix is a tool that visualizes an organization’s
 strategic objectives,
Policy Deployment Hoshin X - Matrix 2019 - Level 1
Rev: 1.0
Revised: ___ / ___ / ______
Author: ___________________
Status: Draft - Not Released
 strategic initiatives,
 key performance indicators,
Resource Planning
 key projects & action items, and
 human resources requirements
in one simple matrix.
●
○
Primary Responsibility
Secondary Responsibility
●
○
Primary Relationship
Secondary Relationship
The Hoshin X-Matrix enables an organization to easily review the alignment of
its strategic objectives, strategic initiatives, key performance indicators, key action
items and human resources.
The Hoshin X-Matrix, if used properly, improves the likelihood of a successful
execution of the strategic plan.
11 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Organization’s
Annual Strategic
Goals & Objectives
Organization’s
3-5 Year
Breakthrough
Goals & Objectives
12 - May 18, 2020 – v10.0
Organization’s
Strategic Initiatives
& Tactics
Organization’s Human
Resource Allocation
Organization’s Key
Performance Indicator
(Balanced Scorecard)
Operational Excellence – Strategy Planning and Deployment
“I sure wish I’d done a better job of
communicating with GM people. I’d do that
differently a second time around and make
sure they understand and shared my vision for
the company. Then they would know why I was
tearing the place up, taking out whole divisions, changing our whole
production structure . . . I never got this across.”
Roger Smith, CEO of General Motors (1981 - 1990)
13 - May 18, 2020 – v10.0
Operational Excellence – Strategy Planning and Deployment
Strategic Initiatives
Catchball
Annual Strategic
Objectives
Strategic Initiatives
Strategic Objectives
Catchball
14 - May 18, 2020 – v10.0
Strategy Planning & Deployment Training Module
To learn more about effective strategy planning and deployment based
on Hoshin Kanri and Strategy Maps, please review our Strategy Planning
& Deployment Process Training Module.
The Strategy Planning and Deployment Training Module includes:
1. MS PowerPoint Presentation covering our Strategy Planning and Deployment
Process using Strategy Maps and Hoshin Kanri, including Introduction to Strategy
Planning, Organizing the Process, Current State Analysis (CSA), Strategic Vision
Elements, Strategic Breakthrough Objectives, Strategy Maps, Strategic Initiatives
and Tactics, Strategy Deployment Matrix, and Strategy Implementation and
Review.
2. MS Excel Templates for Annual Planning, Criticality Analysis, Force Field
Analysis, Radar Gap Analysis Chart, Strategy Grid Alignment Matrix, Strategy Grid
Correlation Matrix, Project Selection Matrix, Bowling Chart, and Strategy
Implementation Review Table.
3. MS Word Current State Analysis (CSA) Questionnaire
4. MS Excel Hoshin Kanri Strategy Deployment X-Matrix Template
15 - May 18, 2020 – v10.0
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of a
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Strategy or Policy Deployment
is the process that aligns and
links business strategy and
execution.
Performance Management is
the process that translates
strategic initiatives into
measurable objectives and
goals.
16 - May 18, 2020 – v10.0
Operational Excellence – Performance Management
“Balanced Scorecards tell you the knowledge, skills and systems that
your employees will need (learning and growth) to innovate and build
the right strategic capabilities and efficiencies (internal processes) that
deliver specific value to the market (customer) which will eventually lead
to higher shareholder value (financial).”
“Having Trouble with Your Strategy? Then Map It.”
by Robert S. Kaplan and David P. Norton - Harvard Business Review
17 - May 18, 2020 – v10.0
“Tell me how you will measure me, and then I will tell
you how I will behave. If you measure me in an illogical
way, don’t complain about illogical behavior.”
Eli Goldratt – “The Goal”
18 - May 18, 2020 – v10.0
Operational Excellence – Performance Management
Benefits of developing & deploying Balanced Scorecards
organization include:
in an
 Help the management team focus on the execution of their business
strategy
 Focus and align an organization towards common goals and objectives
 Enable an organization to understand the relationship between measures
and performance
 Improve communication of organizational priorities across an organization
 Help employees to understand and focus on organizational priorities and
realize relevant results
 Reduce the number of metrics to the few vital key performance indicators
 Strengthen and formalizing the project selection process to focus on key
capabilities and enablers
19 - May 18, 2020 – v10.0
Operational Excellence – Performance Management Process
Phase I - Strategic Foundation
Step 1: Strategic Alignment
Step 2: Key Strategic Focus Areas & Objectives
Step 3: Strategic Grid & Model
Phase II - Three Critical Components
Step 4: Key Performance Indicators
Step 5: Goals & Targets
Step 6: Initiatives & Programs
Phase III – Deployment Process
Step 7: Integrate
Step 8: Cascade
Step 9: Manage
Balanced Scorecard Development & Deployment Process
20 - May 18, 2020 – v10.0
Operational Excellence – Performance Management
FINANCIALS
How do you want to look to your shareholders? Indicators focus on whether your strategic and
operational plan contributes to your top-line,
bottom-line and/or market share.
Objectives
CUSTOMERS
How do you want to look to your Customers? Indicators focus on the specific measures that
matter the most to your Customers.
Objectives
Indicators
Targets
Indicators
Targets
Projects
INTERNAL BUSINESS PROCESSES
At which internal processes and capabilities do
you want to excel? - Indicators focus on internal
operations that enable Customer satisfaction,
growth and profitability.
Vision
&
Strategy
Projects
Objectives
LEARNING AND GROWTH
What skills and competencies do you need to
implement your strategic and operational plan? Indicators focus on your organization’s ability to
innovate, improve and execute.
Objectives
21 - May 18, 2020 – v10.0
Indicators
Targets
Projects
Indicators
Targets
Projects
Operational Excellence – Performance Management
Dimensions or Perspectives
Strategic Focus Area: Increase Shareholder Value
Financials
Revenue Growth of 20% by 2014
Acquire More Customers
Customers
“Internal”
Processes
Learning &
Growth
Become the Price Leader
Improve Operational Efficiency
Cost Reduction
Program
Knowledge Based
System
Reduce
Non-Core Activities
Training – Lean
Six Sigma
Program
Database Network
on Operational
Performance
Re-Align
Organization with
Core Competencies
For each objective on your strategic grids, you need at least one performance indicator. Can
you have an objective without a performance indicator? Yes, it is possible, but not having a
measurement makes it difficult to manage the objective. It’s best to revisit this objective and
ask the question: Why is this an objective?
22 - May 18, 2020 – v10.0
Operational Excellence – Performance Management
OPERATIONAL EXCELLENCE BALANCED SCORECARD
1
ORGANIZATION: TBD
FINANCIALS
KPI
Champion
Last Name
KPI
5
4
KPI
Name
(Unit)
First Name
CUSTOMERS
3
From:
January 2010
Until:
Current Month:
December 2010
PROCESSES
2
TBD 2010
ORGANIZATION
10
STRETCH
9
8
7
GOAL
8
6
5
4
3
BASE
2
1
0
6
ZERO
WEIGHT
0
RESULTS
2010
TOTAL SCORE
JANUARY
FEBRUARY
12
MARCH
APRIL
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
NOVEMBER
DECEMBER
CURRENT SCORE
For9 each strategic objective on your strategic grid, you
need at least one performance indicator. Can you have
an objective without a performance indicator? Yes, it is
possible, but not having a measurement makes it difficult
4 objective.
7 It’s
5
to 3manage the
10best 2to revisit 3this objective
and ask the question: Why is this an objective?
23 - May 18, 2020 – v10.0
6
Stretch 2010
Goal 2010
Base 2009
Actual
9
1000
700
300
0
11
7
Operational Excellence – Performance Management
Organization’s
Customer Satisfaction measured
through the Net Promoter Score
Production
Customer Satisfaction
measured through Order
Fulfillment Lead Time
Order Management
Customer Satisfaction
measured through Order
Confirmation Lead Time
Customer Service
Customer Satisfaction
measured through First
Call Resolution
Sales & Marketing
Performance measured
through 90-Days
Forecast Accuracy
24 - May 18, 2020 – v10.0
Purchasing
Performance measured
through Material
Replenishment Lead Time
Operational Excellence – Performance Management
Performance Indicators vary according to the Organizational Level.
M1 – Organizational Level – Executive Scorecard Indicator
M2 – Process or Functional Level – VP/Director Scorecard Indicator
M3 – Sub-Process or Departmental Level – Manager Scorecard Indicator
M4 – Task or Activity Level – Work Group Scorecard Indicator
M1
M2
•
Task 1
Task 2
Task 3
Task 4
Process
Outcome
Task 5
Customer
M4
25 - May 18, 2020 – v10.0
M3
M4
M3
Balanced Scorecard Deployment Training Module
To learn more about effective performance management based on the
Balanced Scorecard Methodology, please review our Balanced
Scorecard Deployment Training Module.
The Balanced Scorecard Deployment Training Module includes:
1. MS PowerPoint Presentation covering Balanced Scorecard History & Benefits,
Four Dimensions of a Balanced Scorecard, Balanced Scorecard Development &
Deployment Process, Balanced Scorecard Deployment Challenges & Resolution
Strategies, Balanced Scorecard Template & Detailed Instructions, and Project
Evaluation & Selection Matrix.
2. MS Excel Balanced Scorecard Template and Example
3. MS Word Workshop Agenda & Evaluation Sheet for a Balanced Scorecard
Development Workshop
4. MS Excel Project Evaluation & Selection Matrix to ensure alignment of
Operational Excellence, Lean Management, and Six Sigma projects to the Balanced
Scorecard
26 - May 18, 2020 – v10.0
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of a
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Strategy or Policy Deployment
is the process that aligns and
links business strategy and
execution.
Well designed, efficient, and
effective Management, Value
Chain, and Support Processes
are necessary to deliver worldclass results.
27 - May 18, 2020 – v10.0
Performance Management is
the process that translates
strategic initiatives into
measurable objectives and
goals.
Operational Excellence – Process Excellence
BPI 7
Process Development,
Improvement & Management
A3 or 8D
Systematic & Team-Based
Problem Solving
5. Pursuit
Perfection
4. Establish
Pull
Lean
Principles
3. Create
Flow
1. Define
Value
2. Map Value
Stream
Lean Management
28 - May 18, 2020 – v10.0
Six Sigma Methodology
Operational Excellence – Process Excellence
Function A
Function B
Input
Output
4. Everyone knows only his/her own
function's activities and tasks. As a
result, they make changes which
focus on the function, not on the
overall process performance
29 - May 18, 2020 – v10.0
Function C
1. There is no
complete
description of
the end-to-end process.
2. Functions start to make
documents
of their own sub-processes
for their own
purposes.
3. The function's borders
act as barriers and slow the
overall process, as work is stored at
the entry and exit points to each
function
Operational Excellence – Process Excellence
Sub-Process #1
Input
A1
B1
B2
C1
Sub-Process #2
A2
A3
B3
B4
C2
Sub-Process #3
C3
Function A
Function B
- Competence A
development
- Training
- Resource pool
- Superior relations
- Competence B
development
- Training
- Resource pool
- Superior relations
B6
B5
Output
A4
Function C
- Competence C
development
- Training
- Resource pool
- Superior relations
 Functions become competence centers - supplying
competence and resources to the processes
30 - May 18, 2020 – v10.0
Operational Excellence – Process Excellence
1
2
3
4
5
6
7
8
• Establish the Team
• Describe the Problem
• Develop Interim Containment Actions
• Define and Verify Root Causes and Escape Points
• Choose and Verify Permanent Corrective Actions
• Implement and Validate Permanent Corrective Actions
• Prevent Recurrence
• Recognize Team and Individual Contributions
31 - May 18, 2020 – v10.0
Operational Excellence – Process Excellence
1
Background
Current Conditions
2
6
7
32 - May 18, 2020 – v10.0
3
Goals & Targets
4
Root Cause Analysis
5
Countermeasures
Implementation
Follow Up
Operational Excellence – Process Excellence
Project Management
D
M
A
I
C
Lean = Efficiency
Six Sigma = Effectiveness
is about reducing the lead time of a
process or value stream.
is about reducing the variation in a
process or value stream.
Process
Excellence
33 - May 18, 2020 – v10.0
Operational Excellence – Process Excellence
Process Input:
Process Output:
Strategic and Annual Operating Plan
(Objectives, Goals, Initiatives)
Select the
Right
Projects
• Clarify big picture using
strategic & operating
plan
• Prioritize projects
based on impact,
value, resources,
timing
• Select key projects
with leadership buy-in
• Check accountability business and personal
34 - May 18, 2020 – v10.0
Select and
Train the
Right People
• Ensure the right
leadership and
ownership
• Select the right team
leader & team
• Develop a training
plan
• Dedicate time for
training & application
• Ensure the right
support resources
are available
Exceeding the Plan
Develop and
Implement
Improvement
Plans
• Utilize the right
improvement
methodology for
the right project
Manage for
Excellence in
Execution
• Stay focused
• Frequently review
progress and remove
barriers
• Check real business
impact
• Continuously
communicate
progress
• Link to performance
management and
R&R
Sustain the
Gains
• Implement effective
control plans
• Conduct regular
training focused on the
process
• Review the system
effectiveness at least
quarterly
• Continually identify and
launch new projects
based on strategic &
operating plan
Operational Excellence – Process Excellence
10
100
50
30
20
100
70
30
100
CORRELATION MATRIX
Project Definition
1 Project #1
10
0
5
0
0
3
0
0
3.4
5
0
5
3.5
0
5
1.5
2 Project #2
0
3
0
5
0
0
0
0
0.8
0
5
0
1.5
3
0
2.1
3 Project #3
5
5
10
10
3
3
8
8
6.4
3
8
5
4.9
5
8
5.9
4 Project #4
0
0
10
5
0
0
5
0
2.5
0
0
10
2.0
3
3
3.0
5
10
0
0
1
0
0
3
2.4
10
5
3
7.1
3
5
3.6
5 Project #5
Linking Performance
Management
Ranking 0 = none
3 = low
& Process Excellence
through
5 = medium
focused Project
8= high Selection
10= very high
35 - May 18, 2020 – v10.0
Not Started
On Track
At Risk
Behind Schedule
PROJECT STATUS
TOTAL RISK
10
MANAGEMENT RISK
KPI #8
20
TECHNICAL RISK
KPI #7
5
TOTAL EFFORT
KPI #6
10
DURATION OF PROJECT
KPI #5
15
CAPITAL RESOURCES
KPI #4
10
PEOPLE RESOURCES
KPI #3
20
RISK
TOTAL IMPACT
LEARNING &
GROWTH
KPI #2
Weights
KPI #1
Balanced Scorecard Project Selection Matrix
EFFORT
PROCESSES
FINANCIALS
CUSTOMERS
IMPACT
Operational Excellence – Process Excellence
10
Linking Performance Management
& Process Excellence through
focused Project Selection
9
8
IMPACT
7
3
6
5
4
1
3
4
5
2
2
1
0
0
1
2
3
4
5
6
7
8
9
10
EFFORT
Size of the Ball = Size of the Risk
36 - May 18, 2020 – v10.0
Operational Excellence – Process Excellence
State of Michigan Department of Management and Budget (DMB)
Coordinator Kathe Carter:
"Our management team evaluates potential new programs/initiatives by seeing
how they fit in with our strategy. In the past we would continue stacking new
projects on everyone's plates, but now if it doesn't fit with our strategy we don't
do it." Just as important for the DMB is that "whenever a new project or
initiative is proposed, our people ask 'how does this fit in with our strategy map
/scorecard?' They feel that this connection attaches a higher level of importance
to the initiative."
37 - May 18, 2020 – v10.0
Process Excellence Training Modules
To learn more about the different Process Excellence Methodologies, please review our
Lean Management, Six Sigma Methodology, Business Process Improvement, and 8D
Problem Solving Process Training Modules.
The COMPLETE LEAN MANAGEMENT Training Module Library includes the latest version of all
seven currently publicly available Lean Management training modules with over 900 PowerPoint
slides and many additional templates, worksheets, and forms to support your organization's Lean
Management initiative.
The COMPLETE SIX SIGMA METHODOLOGY Training Module Library includes the latest version
of all six currently publicly available Six Sigma training modules with over 700 PowerPoint slides
and many additional templates, worksheets, and forms to support your organization's Six Sigma
initiative.
The Business Process Improvement (BPI 7) Methodology Training Module includes a MS
PowerPoint Presentation, as well as additional worksheets and templates, covering our Business
Process Improvement Methodology (BPI 7).
The 8D (Disciplines) Problem Solving Process Training Module includes a MS PowerPoint
Presentation covering the Global 8D Problem Solving Process & Tools, a Case Study, and 7
Workshop Exercises.
The A3 Problem Solving Process Training Module includes a MS PowerPoint Presentation
covering the A3 Problem Solving Process & Tools, a Case Study, and 7 Workshop Exercises.
38 - May 18, 2020 – v10.0
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of a
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Operational Excellence can be
achieved and sustained with
the right attitude, the right
mindset, and the right
competencies.
Well designed, efficient, and
effective Management, Value
Chain, and Support Processes
are necessary to deliver worldclass results.
39 - May 18, 2020 – v10.0
Strategy or Policy Deployment
is the process that aligns and
links business strategy and
execution.
Performance Management is
the process that translates
strategic initiatives into
measurable objectives and
goals.
“The rate at which organizations learn may soon
become the only sustainable source of competitive
advantage.”
Peter Senge
“The thing I have learned at IBM is that culture is
everything.”
Louis V. Gerstner, Jr.
40 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
High Performance Work Teams = E
E
*
E
*
3
E
=
=
=
Engage
Educate
Empower
41 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
Proportion of highly engaged
employees experiencing this:
Proportion of low or no engagement
employees experiencing this:
98%
They view their job as important to
the company
22%
99%
They are able to do their best every
day
53%
98%
They have opportunities to learn
and grow
13%
98%
Their manager cares about them
20%
92%
Someone has talked about their
progress
13%
97%
Someone encourages their
development
10%
42 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
Operational Excellence can and can only be achieved and sustained with the right
attitude, the right mindset, and the right competencies.
Empowerment = f (Authority, Resources, Information, Accountability)
Empowerment = 0,
if Authority or Resources or Information or Accountability = 0
Selected Employee
Ongoing Employee
High Performance
Input
Taskforces
Work Teams
The Empowerment
Continuum
43 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
In their book Gung Ho ! – Turn on the People in any
Organization, Ken Blanchard and Sheldon Bowles describe
three distinctive phase of transforming a traditional
organization to an organization based on high performance
work team.
Spirit of the Squirrel
44 - May 18, 2020 – v10.0
Way of the Beaver
Gift of the Goose
Operational Excellence – High Performance Work Teams
Spirit of the Squirrel
WORTHWHILE WORK
1. Knowing we make the world a better place.
2. Everyone works toward a shared goal.
3. Values guide plans, decisions, and actions.
45 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
Way of the Beaver
IN CONTROL OF ACHIEVING THE GOAL
1. A playing field with clearly marked territory.
2. Thoughts, feelings, needs, and dreams are
respected, listened to, and acted upon.
3. Able but challenging.
46 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
Gift of the Goose
CHEERING OTHERS ON
1. Active or passive, congratulations must be TRUE.
2. No score, no game, and cheer the progress.
3. E = m · c2 – Enthusiasm equals mission times cash
and congratulations.
47 - May 18, 2020 – v10.0
Operational Excellence – High Performance Work Teams
While an organization transitions from a more traditional “top-down”
organization to an organization build around high performance work
teams, the role of a supervisor or manager changes to the role of a leader
and coach, with six distinctive capabilities.
Coach
Living
Example
Barrier
Buster
Leader ≠ Manager
Result
Catalyst
Business
Analyzer
Facilitator
48 - May 18, 2020 – v10.0
What is Operational Excellence?
Achieving Operational Excellence requires the successful implementation of a
integrated Business Execution System that effectively and seamlessly integrates the
following four building blocks: Strategy Deployment, Performance Management,
Process Excellence, and High Performance Work Teams.
Operational Excellence can be
achieved and sustained with the
right attitude, the right mindset,
and the right competencies.
Well designed, efficient, and
effective Management, Value
Chain, and Support Processes
are necessary to deliver worldclass results.
49 - May 18, 2020 – v10.0
Strategy or Policy Deployment is
the process that aligns and links
business strategy and execution.
Performance Management is the
process that translates strategic
initiatives into measurable
objectives and goals.
About Operational Excellence Consulting LLC
“In the global and competitive environment of today and
tomorrow, organizations must rethink and reshape their
approach to execution in order to stay competitive.
Operational Excellence is the strategic initiative under which
this process can take shape.”
We work with our clients, primarily smaller and medium-sized manufacturing and service organizations, hands-on and side-by-side to achieve
their strategic and operational goals and objectives through the innovative
application of Operational Excellence principles, methods, and tools.
Email: [email protected]
Phone: +1 (888) 372 – 8705
Website: www.oec-us.com
50 - May 18, 2020 – v10.0
Download