Innovate

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Achieving Excellence
from ISO 9001 and Innovation
World Quality Day
Kingston, Jamaica, November 2011
www.petermerrill.com
The World is Changing

Market Place…Asia

Demographics…Aging

Technology…Digital

Environment…Warming
It is not the strongest that survive,
nor the most intelligent,
but the one most responsive to change.
- Charles Darwin
2
Innovation

In – nova – tion
In a new way

The Process of Converting

New Knowledge into
New Products or Services
to enable
New Ways of doing things




3
Learn from your Management System
Plan
Act
5. Leadership
(Management
Responsibility)
6.
Resources
Do
8
Measurement
+
Improvement
7. Operations
(Product
Realization)
Check
4
Learn from your Management System
Plan
Act
5. Leadership
(Management
Responsibility)
6.
Resources
Do
Innovate
8
Measurement
+
Improvement
7. Operations
(Product
Realization)
Creates
Knowledge
Check
5
9001 and Innovation for Excellence
5. Management
Responsibility
6. Resources
Management
5.4 Planning
5.6 Management Review
6.2 Human
Resources
8. Measurement,
Analysis and
Improvement
8.2 Monitoring and
Measurement
8.3 Control N/C Product
8.4 Analysis of Data
8.5 Improvement
7. Product
Realization
7.2 Customer Related
Processes
7.3 Design and
Developmen
t
7.4 Purchasing
7.5 Production/Service
Operations
6
9001 and Innovation for Excellence
5. Management
Responsibility
6. Resources
Management
5.4 Planning
5.6 Management Review
6.2 Human
Resources
8. Measurement,
Analysis and
Improvement
8.2 Monitoring and
Measurement
8.3 Control N/C Product
8.4 Analysis of Data
8.5 Improvement
7. Product
Realization
7.2 Customer Related
Processes
7.3 Design and
Developmen
t
7.4 Purchasing
7.5 Production/Service
Operations
7
Innovation – The People
‘Creators’ find Opportunities
Creator
Connecter
‘Connectors’ link to Solutions
Strategists make Decisions
Strategic
Planners
‘Developers’ make it Practical
‘Doers’ get to Market
Doer
Developer
8
Know you Strengths…
Creator, Connector, Developer, Doer?
1
I ‘Connect the Dots’
I get things done
I like Possibilities
I bring things ‘down
to earth’
2
I need to
understand
I make things work
Everything has a
good and bad side
There has to be a
right answer
3
Don’t tell me what
to do
Give me facts not
theory
I create choices
I like to analyze data
4
A Concept must be
sound
I like ‘energy’
Don’t fuss with
details
I like precision
5
I think things
through
I take risks
I like to hear about
problems
I focus
6
I like the big picture
I find a way that works
I want to own the
problem
I am thorough
7
I like to define the
problem
I push for acceptance
I find out the facts
I Plan
TOTAL
TOTAL
TOTAL
TOTAL
Go to www.petermerrill.com for
i) an e copy of this assessment
ii) a pdf explaining each role
9
Competence (6.2) in ISO 9001.


assess the aptitudes of your people
where will they make their best contribution
‘Creators’ find Opportunities
‘Connectors’ link to Solutions
Strategists make Decisions
‘Developers’ make it Practical
‘Doers’ get to Market
10
Innovation – The Process
Creating New Ideas
and
Radical Solutions
Find the
Opportunity
Connect to
the Solution
Select
the
Solution
Execute
Make it
User Friendly
11
The Innovation process links to 9001

Identify the opportunity (8.2.1, 8.3)

Connect to potential solutions (8.4, 8.5)

Selecting the preferred solution (5.6)

Developing a working solution (7.3, 7.4)

Deliver the solution to the customer (7.5, 7.2)
12
Change Creates Opportunity –
‘Creators’

The World is changing

Know where your customers feel ‘pain’.

Change Product not Customer

Find ‘Green Field’ Market Space

Polo, Cirque, Christy

Necessity is the mother of Invention - Plato
13
Customer Satisfaction Monitoring (8.2.1).

Find where your customers feel ‘change’

FDIS - “satisfaction and/or dissatisfaction”.

Stop asking questions like



‘are you satisfied with our product, delivery etc.’
Start asking questions like

‘what are you having difficulty getting done,

‘where are you wasting time’
Ask for your own products/services

… also for those of your competitors.
14
Non Conforming Product or Service (8.3).




Another source of input to the IMS,
Repeated failure here
Clear candidate for Innovation.
Process Innovation
also

S.C.A.R.s
15
Connecting to the Solution – ‘Connectors’

Define the problem

Connect to new environment…Ford

No sudden epiphany… Archimedes

Many Solutions - “One is not enough”

Sacrifice the Sacred
If I had an hour to save the world
I would spend 55 minutes defining the problem and
5 minutes finding the solution. - Einstein
16
Define the Problem - Data Analysis 8.4

Data Analysis of

customer satisfaction (8.2.1) and

product and service failure (8.3),

Define - what customer can’t get done or

Process failure which leads to


product and service requirements not being met.
Data analysis –

Understand the Problem.

Define the Problem
17
Continual Improvement - 8.5

Conceptual solutions;

Simple Problem solving methodology such as


I-Ching, TRIZ or “5 Why’s”.
Methodology which

takes you ‘out of the box’,

engages other people inside and outside the organization

not something done by folks in the quality department.

Key element in connecting to an innovative solution

Need a “Learning Culture”
18
Communities of Innovation

Networking


Collaborating


Exploring, Interacting and Observing
Building Trust
Experimenting

Embracing Failure, Capturing ‘Lessons Learned’
“The only competitive edge an organization has
is the ability to learn faster than the competition”.
Arie de Guess in Peter Senge’s book ‘The Fifth Discipline’
19
Get lots of ideas

Best solutions from collective knowledge.

Connect with other environments and industries.

For each idea you also need data on


time, cost and risk for implementation.
Risk assessment - external as well as internal
“The best way to get a good idea is to get lots of ideas”. - Linus Pauling,
20
New Idea - Manage External Risk

Hurdles to ultimate user.

New product or service - new supplier


not a conventional source…I-Pod
Four new suppliers

three at 90%, one at 40% probability of delivering

probability of success; 0.9 x 0.9 x 0.9 x 0.4 = 29%
21
New supplier evaluation (7.4 – 8.2.2)

New supplier evaluation (7.4)

Use your internal audit capability (8.2.2).

We evaluate a supplier’s QMS ….

Not just their product or service

Know how well your supplier is managed

Mitigate any risk.
22
The Innovation Cycle
Find the
Opportunity
Connect to
the Solution
Select
the
Solution
Get to
Market
Make it
User Friendly
23
Strategic Planning - The Tipping Point





Data and Information to make decisions
Assess the risk on those solutions we select
Set Strategy….Time, Skills, $
Narrow focus
Monitor change from ‘loose’ to ‘tight’
"If you see a bandwagon...... -its too late"
- James Goldsmith
24
Management Review (5.6)

Management Review at least quarterly.

If not - then not managing QMS.

Where you select the solutions

Selections made based on good risk data.

Decisions must be documented.

Where you monitor progress.
25
Make it User Friendly – Developers




Make it “user friendly”…Kahneman
Fast and Not secretive
Involve the customer
Someone, somewhere will be …..

working on the same problem as you.
Genius is 1% inspiration and 99% perspiration
– Thomas Edison
26
Design and Development 7.3







Largest element of ISO 9001 and
Aims to force rigor and discipline.
Too many slow down…
Slowness caused by…
Concept design work executed at this stage
Should be in the ‘Connector’ stage
i.e. Prior to selecting solutions.
27
Development 7.3

A well defined project plan (7.3.1)

Time line needed and

Well defined Design Review stages (7.3.4).

Review Output (7.3.3) and Verification (7.3.5)

Feed back to Management Review

Resource issues need to be addressed.
28
Execution – Doers






Best ideas don’t always make it
‘Early Adopters’ looking for “opportunities”.
Value Proposition
Marketing Partner?
Speed…Bell and Gray
Game changes at final stage.
The best way to predict the Future is to create it
– Peter Drucker
29
‘Benefit’ to the customer 7.2.1




Focus on features in the design stages
Remember reason for starting innovation?
This ‘reason’ is the ‘benefit’ to the customer
‘Value proposition’ 


address benefits to the customer
Address the customer’s pain.
Focus on customer requirements –

Close the loop
30
Innovation Management

Other 9001 requirements can be drawn in

I focused on those which are critical.

System thinking - vital for successful innovation

If Innovation not integrated into QMS


it will die.
For Innovation Management

Create framework using key elements of 9001

Create a ‘Learning Organization’
31
The Path Forward

Assess your Organization


Have your people self assess


e-mail pm@petermerrill.com
go to www.petermerrill.com
Project Plan

e-mail pm@petermerrill.com
32
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