Strategic Fitness Through Alignment Presentation Structure About TAO Our Clients Preamble –On alignment Defining Strategic Fitness Our offerings TAO Roles Summary The Parable of the Magnet The TAO Team About TAO TAO Reason-for-being Be a partner in creating organisations where every member • Creates value, • Feels valued and •Continuously enhances the organization capability to engage with its context in ways that inspire all its stakeholders TAO vision of the organisation Business Alignment is a function of Organisational Alignment and Business Organisational Strategy Organisational Alignment is a function of Role Alignment and Organisation Design Role Alignment is a function of Personal Alignment and Role & Task Design Personal Alignment is a function of Identity and Life Role Our Clients 4 Our Clients Illustrative Client List TCS Infosys Technologies Infinite Computer Solutions Sun Microsystems… Praj Industries Bolts Condiments Akshya Homes Ingersoll Rand Orient Fashions TATA Indicom Reliance Industries Limited LMW Shahi Exports EPCOS ITC Ltd Texport Syndicate Britannia Industries Murgappa Group SAE Claris Lifesciences Shasun Chemicals & Drugs Stumpp,Schuele & Somappa Springs Alignment and Transformation Alignment and Leadership Alignment and Optimization Optimization Shahi Exports The Basis of the Japanese Management Which requirements should be considered as most important in the present efforts of the government in building Japanese industry? It can neither be capital nor laws and regulations because both are dead things in themselves and totally ineffective. The spirit or willingness set both capital and regulations in motion. If we attach weight to these three factors with respect to their effectiveness, spirit / willingness should be assigned five parts, laws and regulations four parts and capital no more than one part. Kogyo Iken of 1884 - Maeda Masana Preamble On Alignment 11 What is Alignment?-Business Aligner and Innovation Potentials Structure / VOS Business World MVA / CFROI/RSTR 1 2 Internal Realities / VOT Technology world 1 3 4 EVA/ Knowledge Capital / QCD 2 Zones 4 Alignment flow and Institutional practice 3 Problem solving and Evolving practice 2 Insight and stress 1 : Inaccessible Potentials 2 3 3 3 1 2 1 Individuals / VOE Employee world OVA/ Social Capital / ESI External Realities / VOC Market world CVA/ Market Share/ CSI What is Alignment? The Leadership Challenge Creating order & rhythm in the centrifugal and centripetal movements of the 4 zones VOS 1 2 VOT 1 3 2 4 Zone 1: Exploration; Research; Insight; Dream and Discovery Energy Potential. 2 3 3 3 1 VOE Vertical Attunement The Energy for Creating Value 1 2 VOC Horizontal Alignment The Process of Creating Value Zone 2: Dialogue; Experimentation; Practice; Personal mastery; Mental models; Organisational EQ; Coherence and Convergence. Energy source. Zone 3: Problem identification; Problem solving; SEDAC; 6 Sigma; Team Learning; Review and Recalibration. Energy channels. Zone 4: Converting ; Optimising; Delighting; Kaizen; Team work; Control and Co-ordination. Energy Deployment. Unleashing Value through Alignment Sample Actual Results Apparels Transformation Accelerated change through TAO People Leadership Development & Culture Throughput time Cutting C to C time by 60% Chemicals Pharmaceuticals Value Adding Ratio +500% Inventory 3 turns to 14 turns Food Agro R&D processes through DFSS Accelerated Product Development Software Products and Services Quality (Rejects) >20% to <.5% on to ppm Overall Equipment Effectiveness +40% Process Routing >1000 Feet to <20 Feet FMCG Factory Floor Space >50% Reduction New Product Development Faster Development and launch to market and culture building for innovation Engineering Machine tools Strategic Fitness 15 Defining Strategic Fitness Visible Value offerings The symptoms of misalignment Value Stream Zone 3 & 4 Align and optimise Value Chain Sustained Operational Excellence through Value Addition Zone 2 & 3 Design and align Sustained Business Excellence through Value Creation Invisible Source of Value The deep causes of misalignment Value Potential Zone 1 & 2 Dream and design “Work in the invisible world at least as hard as you do in the visible.” – Jalal-ud-din-Rumi Defining The TAO Way Aligning Action Aligning Systems Value Stream Zone 3 & 4 Align and optimise Value Chain Sustained Operational Excellence through Value Addition Zone 2 & 3 Design and align Aligning Minds Aligning Hearts Sustained Business Excellence through Value Creation Value Potential Zone 1 & 2 Dream and design The TAO principle of working with the invisible: Coherence in meaning making leading to convergence in choice making ; Aligned systems, processes and structures creates the platform for empowered and convergent action. Our Offerings 18 Sustained Business Excellence through Value Creation Aligning the Value Creation Process impacting EVA & MVA Morphing the organisation through changing leadership behaviour and organisational culture Is the Organization Responsive to emerging business dynamics? Attunement and Alignment Culture of Commitment Individuals Aligned to Strategy Behaviour Attuned to Culture Strategizing as a process Strategic performance monitoring practices & tactical correction Performance Management as a planning process Synergy through Teamwork Good practices for Conflict Resolution Team Learning and “Camp” Hearts, Minds & Systems Sustained Business Excellence through Value Creation Is the Organization anticipating Change? Converging Mental Models Shared Vision Coherent strategy Is there requisite Leadership Capability to execute the Strategy? Leadership Development Centres Leadership Coaching Is the Organization a Learning Organization? Harnessing Tacit Knowledge Culture of Dialogue Shared expertise Team-Oriented Problem Solving Employee involvement A culture of constant improvement A culture of innovation Hearts, Minds & Systems Sustained Business Excellence through Value Creation Consulting Approach Partnering Organizations in managing transitionOrienting the organization to be anchored in the future and shape the present Translating vision into value offerings Nurturing the Evolution of the Organization Harmonizing Systems and Human Processes to ensure holistic unfolding of the organization Transforming Individual discontent into creative energy Platforms for continuous dialogue Establishing Self Designing Capabilities Developing Organizational models to energize Revenue and Business Models Create Shared mental models to interpret emerging realities and design appropriate action Sustained Business Excellence through Value Creation Organization as is Internal Champions Top Management PMS Teach & Train Coaching Workshop: Shared Road Map TAO Assessment TAO Team Participant observers Diagnosis Based on TAO Tools Questionnaires & Interview Steering Group Measures Projects Organization Future state Strategic fitness Institutionalized learning Self Designing TAO Team TAO Insight, Experience, Tools & Techniques Transformational Outsourcing culminating in a transfer of key know-how Software products designed by TAO to facilitate the process and capture knowledge is under development Case Studies Sugar Industry Transformation from a 40 crore unwanted child to a 350+ crore best practice organisation Food Industry Transformation from a colonial tea garden into a professionally managed model tea company Pharma Industry Turn around of a 25 crore loss making pharma company into a 120 crore profitable company Designing the Organisation for Hi Performance and capability building Software Industry Culture transformation for a software giant through assessment, design of organisational processes for mentoring; Coaching and Leadership development for middle management. Sustained Operational Excellence through Value Addition Consulting approach Partnering Organizations on their journey to becoming world classLean Manufacturing, New Product Development, Lean Factory Design Am I delighting my Customer? Am I understanding customer needs Am I improving my serving process continuously Am I competing effectively in the marketplace? Are the cost and delivery components of my throughput better than competition Am I bringing in new products that beat the competition How does my time to market compare with competition Am I continuously improving my operational capabilities? Am I innovating technology of value creation Am I constantly optimising my cash to cash cycle Action Sustained Operational Excellence through Value Addition Aligning the Value Addition Process impacting P, Q, C, D, S, I, M Morphing the organisation through changing the methods, processes and work culture Aligning Organizational Capability to world class benchmarks Defining the key features of Operational Excellence and Aligning mind sets Establishing the practice of continual improvement Choosing appropriate benchmark frameworks e.g., Deming Integrating Cross Functional Skills towards Effective Problem Solving Teaching Team oriented problem solving methods and tools e.g., SEDAC, Six Sigma and Lean Tool kit Establishing Link Responsibility Focus across the organization Establishing Self Directed Problem Solving Teams Empowering Champions to initiate and implement improvement projects. Sustained Operational Excellence through Value Addition Organization as is Internal Champions & CFT Top Management Workshop: Shared Road Map TAO Assessment Participant observers PMS Teach & Train Six Sigma, SEDAC, Lean Tool kit Coaching Diagnosis Based on TAO Tools And Benchmarks Steering Group Questionnaires & Interview TAO Team TAO Team Measures Projects Organization Future state Strategic fitness Institutionalized learning Self Designing TAO Insight, Experience, Tools & Techniques Transformational Outsourcing culminating with a transfer of key know-how Software products designed by TAO to facilitate the process and capture knowledge Case Studies Manufacturing Sector Transforming a loss making unit of a large multinational company into a best in class model for the industry Redesigning the R&D processes and creating capabilities to deploy Concurrent design and Lean design Operational turnaround through Lean implementation Health Care Work Place Transformation inventory 4 turns to 12 turns, dead investments into 3 crore/year revenue earner with no investments; SEDAC projects leading to a 20% reduction in cost per SKU Apparel Industry Significant improvement in productivity, doubling of capacity through use of Lean Manufacturing and FLAME TAO alignment methodology in one of top 10 export house. Electronic components Industry Lean Transformation making the company a bench mark among its different divisions world wide with a culture of continuous and systematic improvement – substantial improvement in top line and bottom line. TAO Roles 28 Personal Effectiveness TAO brings its considerable experience in process work and problem solving to organisations through its training modules Leadership Coaching Leadership and Role effectiveness through theatre Personal Unfolding and Role Effectiveness Team Oriented Problem Solving Based on an assessment of the needs of the client organisation, these programmes will be customised The TAO Roles TAO Roles in the consulting processes Partner Sutradhar Catalyst Coach Educator A partner in creating organisations where every member of the organisation creates value feels valued continuously enhances the organizational capability to engage with its context in ways that inspires all its stakeholders The TAO Mental Models For Managing Change Aligning the Organization The Organization Maturity Model Model for assessing organization, Benchmarking and Business Planning Aligning Leadership and Roles The Tensegrity Mandala and Role Alignment Model for designing Roles and Organization Structure Aligning Membership and work The Value Adding Position Model for the creation of value and work design Summary 32 Summary Our key focus is on two concepts Alignment & Productivity Alignment is the outcome of a constant quest for Coherence -Where am I? Where are we? Convergence -Why am I here? Why are we here? Correspondence-Who am I? Who are we? Productivity is the outcome of continuous systematic improvement of all practices and processes of the organization Summary TAO is a team of experts in designing, customizing and deploying practices and tools that create and sustain Strategic Fitness through Transformation, Alignment and Optimization Strategic Fitness is the ability of the organization to be experienced as Focused Fast Flexible Friendly Fun These outcomes are achieved through developing internal practices that foster readiness, resilience, reality appraisal, responsiveness, response capability, relationship building and renewal. These Practices in turn are embedded in tools and technology Summary The Parable of the Magnet Any piece of iron can become a magnet. Most do not live up to their potential because their elemental “dipoles” are not aligned. N N S S Summary The Parable of the Magnet To make any piece of iron a magnet, these elemental dipoles are aligned in a N-S direction by rhythmic stroking employing a permanent magnet. Transform Align N S N S N Optimize N S N N S N N S N S S S N S N S N S N S N S S N N S S Summary The Parable of the Magnet The new magnet has a sense of direction. N S It has “long range order” - the ability to attract to itself iron pieces from a distance. Every organisation has this potential if it aligns itself. Summary The TAO Team Chairman Emeritus: Dr. Ryuji Fukuda Board Members: Indira J Parikh; N S Raghavan S Badri Narayana Raghu Ananthanarayanan Gagandeep Singh K S Narendran Vandana Menon Sharbori Gomes Sreedher Kadambi A team of mutually responsive functional specialists with a deep knowledge of human processes Summary The TAO Team TAO consultants invest time and effort in areas other than business consulting Process work – Sumedhas Sustainable Development Development of craft communities Theatre Education Thank You