1. The Baldrige criteria are insufficient

    November 9, 2018 by BPIR.com Limited

    Originally posted by Harry Herts on Blogrige

    For people who have known me for years, you probably never thought you would hear me say, “The Baldrige Criteria for Performance Excellence are an insufficient guide for achieving improvement and, hopefully, excellence.” But the statement is true and it is not a new epiphany for me. The Criteria ask how your organization accomplishes everything it needs to do and define what that “everything” is. How has a simple meaning in most contexts: a description of your approach or method. But that is not the full meaning of how, when you are characterizing an organizational process. The full meaning is revealed when the Criteria are combined with the Baldrige Scoring Guidelines which add dimensionality to how. Then the picture is both sufficient and all-encompassing.

    Before continuing the explanation, let me provide context by explaining why I am writing this blog…

    My Email Exchange
    I recently had a very thoughtful email exchange with Bob Scanlon, a long-time Baldrige examiner, senior examiner, and alumni examiner. The basic topic was new and improved process adoption in an organization, process standardization throughout the organization, and adoption of benchmarked processes in large, geographically dispersed organizations (and smaller ones, as well). The basic problem is that well-defined processes are not uniformly and effectively deployed throughout the organization, and improvements are frequently localized or reinvented at multiple places in an organization. Knowledge transfer is poor and a lot of rework or inefficiencies occur. Bob’s thought-provoking question was, are new how questions needed in the criteria to address these issues?

    The Meaning of How
    After giving Bob’s question some thought, my answer was “no.” We do not need new Criteria questions to address these issues. The answer lies in responding to the existing process questions and understanding the meaning of how, which the Baldrige Glossary of Key Terms defines as:

    How
    The systems and processes that your organization uses to achieve its mission requirements. You should include information on approach (methods and measures), deployment, learning, and integration.

    Approach (A), Deployment(D), Learning (L), and Integration (I) or ADLI are the four dimensions of the Baldrige process item scoring guidelines. The proper answer to a how question requires information on the approach, including

    • measures of effectiveness and efficiency
    • deployment of the approach to relevant work units throughout the organization
    • learning through cycles of evaluation and improvement, innovation, and sharing with all relevant work units
    • integration by aligning the approach with organizational needs and harmonizing plans, processes, information, resource decisions, actions, and analyses to support organization-wide goals

    The ADLI dimensions are described in detail in the Baldrige Scoring Guidelines. Organizational maturity, by way of a score, is measured by progress in achieving these four ADLI dimensions. However, the ADLI dimensions are not merely a scoring companion to the Baldrige Criteria; they provide the defining characteristics of the word how. The Baldrige Criteria for Performance Excellence are insufficient if one does not understand the meaning of how and its role in defining process excellence. This meaning and role in performance excellence is described in the Scoring Guidelines. Therefore, they should be used as an integral part of Criteria implementation, even if your organization is not trying to score your level of performance.

    The questions posed in Bob Scanlon’s email are addressed by the deployment and learning dimensions of responding to how.

    The next logical question might be, “Are the Scoring Guidelines also important in answering the results questions in the Criteria?”

    What about Results?
    The same concept of Criteria and Scoring Guidelines complementarity applies to the meaning of what, when asking what are your results. What are your results has a simple meaning in most contexts: tell me your level of performance. To understand the full meaning of what when describing results, organizations should look at the scoring dimensions for results: Levels (Le), Trends (T), Comparisons (C), and Integration (I), or LeTCI (Let’s see our progress). The proper answer to a results question requires information about the

    • level of current performance
    • trend in your performance over time (Are you getting better, worse, or staying the same?)
    • comparison of your organization’s performance to that of competitors, or other similar organizations, or, possibly, best-in-class performance
    • integration, the extent to which your results measures address important performance requirements relating to products, customers, markets, processes, action plans, and organization-wide goals

    Systems Perspective
    When your organization defines and standardizes a process, do you truly define how it will be accomplished? When your organization assesses its results, do you truly measure what has been accomplished? ADLI and LeTCI complement the Baldrige Criteria and permit the systems perspective.


  2. Best Practice Report: Benchmarking

    November 6, 2018 by BPIR.com Limited
    Benchmarking is a process to identify and implement best, better or new practices, with the objective of providing greater stakeholder value and obtaining a competitive advantage. It is a way of discovering the best performance and practices of other organisations, and then learning, adapting, creating, and implementing high-performing practices to produce superior performance results.

    benchmarking is the most effective and widely used way for companies of all sizes to improve performance and gain a critical advantage. Every organisation can learn and improve its business performance, no matter how strong its business model or end-of-year results. Even confirmed global leaders such as Xerox, Starbucks, and PepsiCo confirm the importance of benchmarking to staying one step ahead of their competition.

     
     
     
     
     

    In This Report:

    1. What is benchmarking?
    2. Which organisations have received recognition for excellence in benchmarking?
    3. How have organisations reached high levels of success in benchmarking?
    4. What research has been undertaken into benchmarking?
    5. What tools and methods are used to achieve high levels of success in benchmarking?
    6. How can benchmarking be measured?
    7. What do business leaders say about benchmarking?
    8. Conclusion

    Access the report from here. At the bottom of the page is a PDF version of the report for easy reading. If you are a non-member, you will find some of the links in this report do not work. To join BPIR.com and support our research simply click here or to find out more about membership, email membership@bpir.com. BPIR.com publishes a new best practice every month with over 80 available to members.


  3. Learning from Role Models: Category 6: Operations

    October 29, 2018 by BPIR.com Limited

    Originally posted by Dawn Bailey on Blogrige

    Part of the purpose of Malcolm Baldrige National Quality Improvement Act of 1987 (Public Law 100-107) is to disseminate information about the successful strategies and programs of Baldrige Award-winning organizations that “practice effective quality management and as a result make significant improvements in the quality of their goods and services.” Such sharing by Baldrige Award recipients is done face-to-face and with the option of asking questions of and networking with these recipients at the Annual Quest for Excellence® Conference, as well as at the Baldrige Fall Conference. Baldrige Award recipients also often host sharing days after their wins to share best practices.

    What is Category 6?
    Category 6 of the Baldrige Criteria covers your organizations operations.

    Category 6: Operations
    The Operations category asks how your organization designs, manages, improves, and innovates its products and work processes and improves operational effectiveness to deliver customer value and achieve ongoing organizational success.

    The management of your key products, your key work processes, and innovation can create value for your customers and help you achieve current and future organizational success. In addition, how you ensure effective operations can lead to a safe workplace and patient and student environment. Effective operations frequently depend on controlling the overall costs of your operations and maintaining the reliability, security, and cybersecurity of your information systems.

    Baldrige Award Recipient Best Practices
    Following are some practices shared by Baldrige Award recipients (Momentum Group, MidwayUSA, and Adventist Health Castle) in the realms of quality improvement, process management/performance, supply chain management, and patient-focused delivery of health care. What could your organization learn/adapt?

    Momentum Group
    2016 Baldrige Award Recipient, Small Business

    Momentum Group is a recognized leader in the commercial interiors industry, creating exclusive, design-focused fabrics for customers that include architectural and design firms, and commercial furniture manufacturers. One of its successful programs is its Quality Process Improvement System, which is used as a consistent operating path for initiatives, such as forming a quality leadership team, developing problem solving groups, providing all employees with quality training, and benchmarking and implementing a best-in-class recognition program.

    The system has led to investments in process upgrades that have reduced sample production time by 50 percent and improved sample yield per yard by 20 percent.

    Additionally, Momentum Group identifies six core processes and five support processes and has adapted the Baldrige Criteria to what would work internally for the organization. An annual Baldrige-based self-assessment process is used by all 11 core and support workgroups. Following a prescribed format used for the past 16 years, Momentum Group has each assessment externally reviewed.

    MidwayUSA
    2015 Baldrige Award Recipient, Small Business

    MidwayUSA, an Internet retailer offering “Just About Everything”® for shooting, hunting, and the outdoors, uses the questions of Baldrige Criteria category 6 to guide its goals of delivering stakeholder key requirements, improving proactively, understanding process interactions, becoming sustainable, and managing for innovation.

    A key area in category 6 is supply-chain management. For MidwayUSA, highly effective supply chain management (see image 6.1 Work Processes for the steps and feedback look that the organization follows) has resulted in a nearly 83 percent in-stock product rate, which is difficult to achieve in MidwayUSA’s industry. It has also resulted in an increase in inventory turns (the number of times inventory is “turned over” as measured by the cost of goods sold divided by the average inventory) from 5.2 in 2004 to 7.8 in 2015.

    Process management has helped MidwayUSA maintain a satisfaction rate for its suppliers and partners at or near 94 percent each year from 2008 to 2015, a rate better than the 84 percent achieved by the company’s number one industry competitor.

    Adventist Health Castle
    2017 Baldrige Award Recipient, Health Care

    Adventist Health Castle is a community hospital system that provides inpatient and outpatient care to people who primarily live on the windward side of the Hawaiian island of O’ahu. It is one of 20 hospitals within the nonprofit, faith-based, Adventist Health system headquartered in Roseville, CA.

    Adventist Health Castle sets service and process requirements at top decile whenever benchmarks are available. This has led to a pursuit of quality improvement for the benefit of its customers, “chasing zero” harm to its patients. As a result, it boasts rates from below 1 percent to zero for common hospital-acquired infections (i.e., catheter-associated urinary tract infection [CAUTI], central line-associated bloodstream infection [CLABSI], surgical site infections [SSI], and Clostridium difficile bacterial infections), as well as patient falls. Adventist Health Castle has been a top performer nationally for having had zero CAUTI infections in its inpatient units for the last 3 years and 5 months. Adventist Health Castle’s ICU is performing in the top 10 percent of ICUs nationwide, with a CLABSI rate of zero for four of the last five years.

    The hospital addresses safety through its Environment of Care Committee, Patient Safety Council, daily Safety Huddle, associate education, and inte­grated patient care. For a safe environment, it prioritizes patient safety, regulatory requirements, cost, relationship to its mission/vision/values, and the importance to customers. The Chasing Zero images show some of the steps it takes to ensure safety.


  4. Last chance to participate in Int. Best Practice/Excellence Awards – Closes 9 Nov.

    October 28, 2018 by BPIR.com Limited

    The Global Organisational Excellence Congress brings together a number of prestigious international conferences/awards into one major event. The Congress is being hosted by the Abu Dhabi Chamber of Commerce & Industry and will be held in Jumeirah at Etihad Towers Hotel, Abu Dhabi, 10-12 December 2018.

    The Final Call for applications to three international awards closes on 9th of November 2018. These award events provide you with an opportunity to give a presentation at the Congress on your organisation’s practices, network with other like-minded improvement-driven professionals, and achieve recognition for your excellent work!

    • 6th International Best Practice Competition: The Competition encourages organizations to share their best operational and managerial practices, processes, systems, and initiatives and learn from the experience of others. It provides an opportunity to celebrate the achievements of individuals and teams that have been responsible for creating and/or managing the introduction and deployment of best practices. To submit your entry please download an entry form.
    • 2nd Organisation-wide Innovation Award: This award recognises organisations that have embraced best practice learning and combined this learning with their own ideas and creativity to become highly innovative. The award recognises organisations that excel in inculcating an innovation culture throughout all facets of their operation from the leadership to employees and covering all stakeholders leading to innovative processes, products and services. To submit your entry please download an entry form.
    • 6th Global Benchmarking Awards: To recognise those organisations that have integrated benchmarking into their organisation’s strategy and processes in order to continuously learn and innovate. To submit your entry please download an entry form.

    Have a think about what your organisation does well and submit an entry by the 9th of November 2018.

    Other awards being hosted at the Congress include the APQO’s ACE Teams Award Competition and the Global Performance Excellence Award – refer to these links for their application schedule.

    Join the Global Organisational Excellence Congress Linked-In group

     


  5. EFQM Excellence Award Winners 2018

    October 25, 2018 by BPIR.com Limited

    In the pursuit for excellence 2018 was a very challenging year for many organisations around the world. Business excellence awards are the most prestigious awards any organisation can achieve, it recognises organisations which have demonstrated excellence in all areas of operation. Below are the EFQM business excellence award winners of 2018.

    The EFQM Global Excellence Award to Infineon Technologies Austria AG.

    In addition, seven organisations were recognised as Prize Winners and Highly Commended for their outstanding performance.

    • Dubai Police – United Arab Emirates – Prize Winner in Succeeding through the Talent of People & Sustaining Outstanding Results
    • Sakarya University – Turkey – Prize Winner in Adding Value for Customers & Developing through the Talent of People
    • VAMED-KMB – Austria – Prize Winner in Harnessing Creativity and Innovation & Succeeding through the Talent of People
    • Tarsus Municipality – Turkey – Prize Winner in Leading with Vision, Inspiration & Integrity
    • HLA Hospital Universitario Moncloa – Highly Commended in Adding Value for Customers
    • Mini Assembly, Plant Oxford – United Kingdom – Highly Commended in Achieving Sustainable Results
    • Yangtze optical fibre and cable joint stock limited company (YOFC) – China – Highly Commended in Adding Value for Customers