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Transcript of Berling Associates, Inc. 1 T.E.A.M. EFFORT A Primer on Process Management (A View From The...
1
Berling Associates, Inc.
T.E.A.M. EFFORT
A Primer on Process Management
(A View From The Improvements Team Perspective)
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Berling Associates, Inc.
Introduction
The purpose of this presentation is to provide the reader with an orientation to a T.E.A.M. Effort. T.E.A.M. is an acronym for:
Training ourselves to best do our jobs
Enabling ourselves by acquiring the tools we need to serve our customers
Aligning all of our business processes to serve our customers at a profit
Measuring what we do and continually improve how we serve our customers at a profit
It is a term that is used to describe a company’s effort focused on the improvement of business processes. At its core, this presentation is a primer on process management. There are references in certain pages of this booklet to the Knowledge Store. This is a knowledge management software application which is available from flatbridge, an affiliate of Berling Associates.
This presentation is written as if it is being presented by a company improvement team to its employees.
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Berling Associates, Inc.
Where Do We Want To Go
Integrate the notion of continuous process improvement into our culture, by continually
Training ourselves to best do our jobs
Enabling ourselves by acquiring the tools we need to serve our customers
Aligning all of our business processes to serve our customers at a profit
Measuring what we do and continually improving how we serve our customers at a profit
In the near-term, firmly establish the structures to enable the T.E.A.M. Effort to advance within the company
In the intermediate-term make continuous process improvement an integral part of the way we do business
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Berling Associates, Inc.
1. Invests in people
2. Sets clear standards for performance
3. Has consistent management leadership focused on attaining performance excellence through a focus on continuous process improvement
4. Holds ourselves accountable for our performance
5. Identifies all activities with a process
6. Measures all process inputs and outputs
7. Has every process consistent with outputs acceptable to the users
8. Does it right the first time
9. Approaches our business with a cross-functional team effort
10. Eliminates waste
11. Has a culture where everyone wants to improve how we do things
12. Puts performance excellence as the focal point of all processes
13. Prevents, not reacts
14. Celebrates good efforts
15. Clearly articulates its values and mission
16. Has clear and consistent communication
17. Has no functional barriers
Through T.E.A.M. We Want To Assist In Building A Company That
Where Do We Want To Go
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Berling Associates, Inc.
To Get To Where We Want To Go We Need To Enable Top Management To
Demand Improvement/Demand Results
Demand means a clear expectation of improvement results with clear yardsticks and a feedback process
Say Improvement Is Not Optional; It Is Mandatory
Doing nothing is not an option. What you do to improve is optional. Failure is not an option. We will succeed
Focus the Efforts and Energy of the Organization
You cannot stop or cause a river to flow; you can channel the flow in the most productive way
Change the Structure of the Organization to Align with Processes
No restructure for the sake of change; but reorganize around redesigned work
Reinforce the Right Things When They Speak
Constant communication of the right messages will be important during our journey
Be Serious
Continuous process improvement will enable us to win at performance excellence
What Do You Expect From - T.E.A.M.
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Berling Associates, Inc.
What Is Our Goal
We Want All Of Our T.E.A.M. Efforts To Result In
Long-term continuous improvement
Proper allocation of process resources
Trust in a cross-functional team environment throughout the organization
Major reduction in micro-management
Production of products and services which are consistently improving over time
Production of products and services that exceed the needs and expectations of our customers at a profit
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Berling Associates, Inc.
Where Are We Today
1 2 3 4 5 6 7 8 9 10
Control Leadership
1 2 3 4 5 6 7 8 9 10
Exclusive (mine, I) Inclusive (we, our)
1 2 3 4 5 6 7 8 9 10
Fire Fighting Managing Process
1 2 3 4 5 6 7 8 9 10
Blame People Solve Problems
To Chart Our Progress We Should Measure Where We Are Now
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Berling Associates, Inc.
1 2 3 4 5 6 7 8 9 10
Just-In-Case Just-In-Time
1 2 3 4 5 6 7 8 9 10
Correction Prevention
1 2 3 4 5 6 7 8 9 10
Opinion Data (metrics)
1 2 3 4 5 6 7 8 9 10
Reactive Proactive
Where Are We Today
To Chart Our Progress We Should Measure Where We Are Now
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Berling Associates, Inc.
How We Change
Steps To Change
Will – today, tomorrow will be more than wished and hoped for
Belief – requires knowledge and understanding of tools
Wherewithal –requires resources, know how, and know why
Action – happens when management creates the system
System For Change
Plan – T.E.A.M. work plan for our direction
Leadership – problems caused by managers can be fixed by managers
Information – everyone must know roles and responsibilities
Rewards – what is in it for me; people perform in relation to the way they are measured and rewarded
If the message is not loud and clear, people will go back to doing it the way they have always done it
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Berling Associates, Inc.
Our Goal Is Continuous Focus On Improvement
1. Every manager is member of a management team
2. Each management team manages the processes through the use of SPC charts or other metrics
3. Process improvement team resources are focused on processes that are either out-of-control or not operating at a satisfactory level
4. Performance excellence (quality and productivity) is the focal point of all processes
5. Everyone’s job is continuous improvement to attain performance excellence
6. Every activity is included in a process
7. Every process is defined and mapped with measurable inputs and outputs
8. Every person is trained
9. Every person knows who his/her process interfaces are and what the standards are for inputs and outputs
We Will Look Like This When We Are Focused On Performance Excellence
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Berling Associates, Inc.
Dimensions Of Performance Excellence
Conformance to specifications – hand tool will have the correct weight
Performance – refers to a grade of service, typically the number one way customers think of quality
Quick response – measured in delay or elapsed time, i.e. how long a customer waits on the phone for a “live” voice
Features – elements of our pricing plans
Reliability – failure free operation over time
Durability – how long our product lasts
Aesthetics – beauty and elegance, i.e. of how the tools present before being picked up
Perceived quality – perception based on brand image
Humanity – providing customer/vendor support with the right degree of friendliness, attentiveness, humility, etc
Value – what any one is willing to pay for any of the dimensions above
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Berling Associates, Inc.
What Process Do We Use
The focus of process management is on the management of business processes for long-term continuous improvement, not on supervising people for short-term results
Process management is a methodology for creating and maintaining an organization’s effort so as to deliver performance excellence, continuously
This is accomplished by systematically working with the company’s business processes on a continuing basis
This systematic effort has four phases
Focus AnalyzeDefine Improve
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Berling Associates, Inc.
Identify business concerns and opportunities
Obtain input and determine issues
Prioritize issues
Determine processes that effect the issue
Determine responsibility for processes
Deploy to appropriate area of responsibility
Focus AnalyzeDefine Improve
For a managed process, describe the process
Establish boundaries of responsibility
Identify standards that address requirements
Develop measures with respect to standards
Streamline/standardize the process
Design data-gathering procedures
Collect data
For each measure, is the process consistent
If inconsistent, address special causes
In consistent, evaluate process acceptability
If acceptable, monitor for opportunities
If unacceptable, monitor for opportunities
Maintain continuous feedback
Process Management Highlights
This is how we manage our processes after all of our processes are mapped
What Process Do We Use
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Berling Associates, Inc.
Process Management
A Process is
An activity or group of activities that generate a measurable output
The unique set of activities for which the organization was created
A Process is not
A generic single word for nonspecific activities like
Communicating
Reading
Reviewing
Discussing
Approving
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Berling Associates, Inc.
Focus AnalyzeDefine Improve
Phase One - Focus
This Systematic Effort Has Four Phases
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Berling Associates, Inc.
Identify Issues And Prioritize Significant Processes
Consider the issues, and the process or processes that drive each issue, then assign the issue to a process team
Identify Concerns and Opportunities
Determine Issues
Prioritize Issues
What Processes Affect The Issue
Who Maintains The Process
Assign The Business Issue
Obtain Inputs
DEFINE
IMPROVE
Phase One - Focus
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Berling Associates, Inc.
Identify Concerns And Opportunities
What – actively evaluate the internal and external environment
Why – to
Identify concerns and opportunities requiring action
Identify key issues that impact organizational performance
Ensure all issues are identified in a timely fashion
Start with current business issues
How – by asking
Were we not meeting requirements?
What things, if improved, would have the greatest impact?
What changes are expected?
What changes are today versus tomorrow?
What causes the biggest day-to-day headaches?
What issues do we address over and over?
Where are our competitors beating us?
Where are we beating ourselves?
Focus
IDENTIFY CONCERNS AND OPPORUTNITIES
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Berling Associates, Inc.
Obtain Inputs
What – gather input data from internal or external sources
Why - to
Align processes with standards for performance excellence
Guide and focus improvement efforts
Learn what problems we cause at process interfaces
Learn to set metrics from the perspective of the customer
How
Internal resources – surveys, interviews, frequent visits, etc.
External resources (customers, suppliers, etc.) – surveys, interviews, focus groups, site visits, returns analysis, etc.
Focus
OBTAIN INPUTS
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Berling Associates, Inc.
Determine Issues
What – combine all inputs to form a single list of issues
Why - to
Maintain a balanced perspective
Establish a common understanding of the major business issues
Break down complex issues into manageable segments
How
Ask – what do you mean by ….; what exactly is ……
Ask “why” five times
Focus
DETERMINE ISSUES
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Berling Associates, Inc.
Asking Why Five Times
Ask: Why does it take so long for a customer to be issued a credit for a return?
Answer: A significant amount of research is required before approval can be given to each credit request.
Ask: Why is so much research required before approval?
Answer: When the returns paperwork is received from the Warehouse, there is no authorization number recorded and Credit needs to research it before approval can be given.
Ask: Why does the Warehouse accept a return without an approval number on the accompanying paperwork?
Answer: The Warehouse accepts all returns and sends the paperwork accompanying the return to Credit.
Ask: Why did the customer believe he could return the merchandise in the first place?
Answer: Someone in Customer Support authorized the customer to return the merchandise.
Ask: Why did the person in Customer Support who approved the return not record the return authorization number and associate it with the original invoice?
Answer: There is not business process in place to do that.
The business issue changes from the first question about the time it takes to issue the credit for the return, to the larger business issue that there is not a business process in place for collecting the “right” information, at the right time.
Determine Issues
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Berling Associates, Inc.
Prioritize Issues
What – identify the more critical business issues
Why - to
Focus efforts on most important issues
Start with the most important issues
How
Review facts, inputs, etc. for each business issue
Identify current impact on business performance
Identify what happens if not addressed
Assign a relative importance, i.e. high, medium, low
Focus
PRORITIZE ISSUES
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Berling Associates, Inc.
What Processes Affect The Issue
What – identify the processes that drive the selected business issue
Why - to
Ensure the appropriate processes are being proactively managed and improved
Transition from reacting to issues to improving process causes of the issues
How
Identify the output associated with the selected issue and then identify the process that produces that output
Ask, to address this issue
Where in the organization do we start
What outputs are improved by addressing this business issue, i.e. where is the benefit
Focus
WHAT PROCESSES AFFECT THE ISSUE
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Berling Associates, Inc.
Who Maintains The Process
What – identify who in the organization is responsible for maintaining the process underlying the selected business issue
Why – to ensure that teams manage only those processes they are can directly influence
How – by asking
Does it is process require all or most of the team members or functions they represent to accomplish
Does this process relate to or support this team’s mandate
Is this process linked closely to the business activities of the team
If this process were improved, would this team
Provide the resources
Make the improvements
Initiate the improvement activities
Establish the priority of this process
Does a team lower in the organization have the necessary authority, resources, knowledge, and experience to improve this process
Focus
WHO MAINTAINS THE PROCESS
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Berling Associates, Inc.
Assign The Business Issue
What – determine what team has the proper responsibility and authority for taking action on the selected business issue and for managing the process
Why - to
Ensure that all appropriate teams are working on addressing the identified business issues (some issues impact many teams)
Reach closure within your team on issues so you can move forward
How – identify the appropriate area of responsibility and assign the business issues for analysis
Focus
ASSIGN THE BUSINESS ISSUE
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Berling Associates, Inc.
Focus AnalyzeDefine Improve
Phase Two - Define
This Systematic Effort Has Four Phases
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Berling Associates, Inc.
Describe The Process And Set Boundaries Of Responsibility
Reach a common understanding of process flow, develop appropriate metrics and establish boundaries of responsibility
Describe The ProcessEstablish Boundaries
of ResponsibilityIdentify Standards That Address Requirements
Develop Measures With Respect To Standards
FOCUS
ANALYZE
Phase Two - Define
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Berling Associates, Inc.
Describe The Process
What –
Create a chronological map of the way that work, materials, information, paperwork, etc. moves through a process
Describe how work is currently done or how new processes will operate
Why - to
Provide basis for common understanding of how processes operate
Map interrelationships of process activities in a natural flow of inputs through transition to outputs
Assist in defining boundaries of responsibility leading to identification of internal and external process interfaces
Assist in determining where measures can be applied to analyze processes
Set the stage for process analysis and improvement
How – through process maps and other documentation
Define
DESCRIBE THE PROCESS
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Berling Associates, Inc.
Establish Boundaries Of Responsibility
What – define managerial boundaries within/between organizations
Why - to
Clearly establish primary responsibilities for process management
Understand where responsibilities begin and end
Avoid multiple management processes
How – assign responsibility to those teams which “naturally” own the process due to location in organization, nature of organization responsibilities, etc.
Define
ESTABLISH BOUNDARIES OF RESPONSIBILITY
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Berling Associates, Inc.
Identify Standards That Address Requirements
What - define the standards to quantify process performance
Why – to establish performance criteria to attain performance excellence
Definitions
Customer requirement – a want or need associated with a product or service as expressed by characteristics and specifications
Standard – a quantified representation of expected process performance necessary to meet and/or exceed customer requirements
Define
IDENTIFY STANDARDS THAT ADDRESS REQUIREMENTS
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Berling Associates, Inc.
Develop Measures With Respect To Standards
What – determine what measures will be used to measure the standards for performance excellence
Why
If you do not measure it, it will not improve
Simple metrics help all teams to focus
How
Think like a customer, i.e. quality and service
Think like a business manager, i.e. cost, productivity and yield
Select a few precise metrics that will tell you how a process is performing
Define
DEVELOP MEASURES WITH RESPECT TO STANDARDS
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Berling Associates, Inc.
Focus AnalyzeDefine Improve
Phase Three - Analyze
This Systematic Effort Has Four Phases
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Berling Associates, Inc.
Utilize Measures To Understand Process Behavior With Respect To Requirements
Streamline the ProcessDesign Data Gathering
Procedures Collect DataEnsure Each Measure Is
Consistent
DEFINE
IMPROVEEvaluate Process for
AcceptabilityTake Steps to Address
Process Issues
Phase Three - Analyze
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Berling Associates, Inc.
Streamline The Process
What – analyze and simplify the process
Why – to
Immediately make any obvious improvements
Avoid improving activities that are better eliminated
Enhance an activities that need to be
Identify and eliminate differing methods by creating standard processes where appropriate
How
Evaluate the process looking for: duplication of effort, bottlenecks, rework loops, ambiguous accountability, complexity
Review each activity asking: can it be eliminated, can it be combined, can it be performed somewhere else more effectively, can it be error-proofed, can it be standardized
Modify the process in order to: simplify, augment, eliminate non-value added activities, standardize, reduce throughput time, error proof, eliminate bottlenecks, etc.
Analyze
STREAMLINE THE PROCESS
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Berling Associates, Inc.
Design Data Gathering Procedures
What – determine when, where, and how data should be collected
Why – to ensure data will be collected in an efficient and effective manner
How
Consider the practical aspects of data collection
Who will collect the data
How will the data be collected
How frequently will data be collected
How much data will be collected
How much does the data collection cost
How will the data be analyzed
Are special forms required
Will people need training in data collection
Verify the quality of the data
Analyze
DESIGN DATA GATHERING PROCEDURES
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Berling Associates, Inc.
Collect Data
What – collect, tabulate, and display data according to defined procedures
Why - to
Provide an objective basis for evaluating the consistency and acceptability of the process
Provide base line data of process performance
Provide data to guide improvement activities
How – using tools to gather data, i.e. check sheets, data forms, run charts, control charts
Analyze
COLLECT DATA
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Berling Associates, Inc.
Ensure Each Measure Is Consistent
What – determine if the process is operating in a stable predicable manner with respect with each metric
Why - to
Distinguish between the need to address a special cause and fundamental process improvement
Determine if we can predict the future behavior of the process with respect to each measure
Permit more effective use of process improvement resources by correctly distinguishing between common and special causes
How
Analyze the data with the appropriate methods and proceed accordingly
Be careful not to address symptoms versus underlying causes
Analyze
ENSURE EACH MEASURE IS CONSISTENT
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Berling Associates, Inc.
Evaluate Process For Acceptability
What – compare process performance to the standard established
Why - to
Determine if the process is currently meeting the established standards
Provide information to assist in prioritizing improvement efforts
How
Compare process performance against established standards for each metric
For each metric determine if the process is currently and will continue to meet the standard
Analyze
EVALUATE PROCESS FOR ACCEPTABILITY
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Berling Associates, Inc.
Take Steps To Address Process Issues
What – take appropriate action to identify and eliminate root causes of process inconsistency
Why - to
Prevent the reoccurrence of undesirable process behavior
Identify causes of desirable process behavior and incorporate into standard methods
Achieve consistent, predictable process behavior
How
Apply problem solving techniques to address the process inconsistency
Take action to
Eliminate the cause (bad thing)
Incorporate the cause (good thing)
Analyze
TAKE STEPS TO ADDRESS PROCESS ISSUES
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Berling Associates, Inc.
Focus AnalyzeDefine Improve
Phase Four - Improve
This Systematic Effort Has Four Phases
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Berling Associates, Inc.
Is the Process Acceptable
Improve the Process Identify the Opportunity
Maintain Continuous Monitoring
FOCUS
ANALYZE
Continually Enhance Process Performance
Phase Four - Improve
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Berling Associates, Inc.
Is The Process Acceptable
What – determine if process performance is acceptable to the organization a this point in time
Why – to prioritize improvement efforts
How
For each metric, assess
Feasibility for improving the process
Negative effects of continuing without improving the process
Benefits of improving the process
Consider other activities underway
Decide if the process is acceptable at this point in time; if
Yes – proceed to monitor for future opportunities
No – proceed to take necessary steps to improve
Improve
IS THE PROCESS ACCEPTABLE
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Berling Associates, Inc.
Improve The Process
What – develop and implement plans to address the improvement opportunity
Why - to
Address the identified opportunity with respect to one or more of the standards
Increase customer satisfaction, at a profit
How
Decide what resources are required, i.e. skills, personnel, money, equipment, time, etc.
Decide who should improve the process
If a process team, designate it
Use the problem solving process to close the gap between current and desired performance
Improve
IMPROVE THE PROCESS
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Berling Associates, Inc.
Identify The Opportunity
What – decide if an appropriate opportunity exists for improving an existing process or developing a new process at this point in time
Why – to properly direct and prioritize improvement efforts on a continual basis
How – each organization unit regularly assesses the results of on-going monitoring to decide if any of their processes present an opportunity at this point in time; if
Yes – proceed to take necessary steps to improve
No – proceed to maintain continuous monitoring
Improve
IDENTIFY THE OPPORTUNITY
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Berling Associates, Inc.
Maintain Continuous Monitoring
What
Obtain continuous information monitoring current process performance
Ensure customer needs and wants are continually reflected in performance standards
Why - to
Maintain performance excellence as a mantra
Stay abreast of changing customer needs and wants
Provide current information for prioritizing opportunities
How – each organization unit must gather feedback on a continuing basis either directly or from other sources, i.e. customer surveys, complaint analysis, returns analysis, etc.
Improve
MAINTAIN CONTINUOUS MONITORING
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Berling Associates, Inc.
The Tools We Use
We have a unique set of tools and vocabulary we use as we undertake our process management activities
These tools enable us to have consistency across our documentation and analytical efforts
Process measurements provide a basis for decision making and take work to properly define
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Berling Associates, Inc.
Lexicon Of Our Jargon
Activity - Details of a process which focus on roles and objectives. Questions answered include: Who gets the work done? When is an activity started?
Business Rule - Boundaries or requirements for a process, typically expressed as an If… then… statement. Example: If an order is received before 5:00, then it must be entered into the system that day. Business Rules can delineate responsibility, identify deadlines, and codify reasons behind actions.
Capability Inventory - List of what skills and knowledge is available to an individual filling a position.
Capability Requirement - List of the skills which a person must have in order to perform all tasks associated with an activity, procedure, or work step.
Current State - The way a process is done today, regardless of whether that process is efficient or effective.
Error - Any adverse impact to those dependent on the process, regardless of whether they are internal to Mizuno or external, like the customer. Errors may be potential or actual depending on whether the impact is certain or not.
Future State - The process as it will be after changes are affected to the Current State. The future state is designed to resolve and correct specific Errors.
HR Training - Activities which must take place to narrow any gaps between Capability Inventory and Capability Requirements.
Implementation - Making changes to change a process from Current State to Future State. The execution of a to-do list.
Input - Where information is coming from. An input can be another process or part of a process, a person (such as a customer calling), or a computer system.
We Have A Common Language In Our Process Management And Improvement Efforts
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Interface - Method of exchanging information. This can be via computer communication, telephone, mail, fax, or face-to-face communication. Interfaces can be In or Out, depending on the direction of flow of information.
Metric - Measurement by which a process or part of a process is measured. Must be a unit of time, currency, count, percentage, or amount.
Modification (Mod) - Change to a system, often required by a process change.
Objectives - Goal, or why a process or part of a process is being done.
Output - Information or product created by a process or part of a process.
Procedure - Task level of a process. Procedures are combined to form Activities and are further detailed by Work Steps.
Process Map - Visual representation of a process or part of a process. Used to identify the flow of communication and information flow within a process. Also shows decision points and handoffs between those involved in a process.
Team Leader - Individual responsible for collecting information, mapping, analyzing, and re-engineering a particular process.
Team Member - Individual responsible for documenting the Current State of parts of a process at the activity level and below.
Template - Form used for collecting information about a process or part of a process. The template acts as a reminder of what information will be entered into the system, especially after an interview.
Training Requirement - Difference between Capability requirements and Capability Inventory. Those skills required for a process which are missing.
Work Step - Lowest level of the process hierarchy, focusing on individual physical movements.
Lexicon Of Our Jargon
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Hierarchy For Process Management
Level Focus Example Answers
Group Collection of related processes
Process Relationships and dependencies
Process orders Why?
Activity Roles and objectives Customer calls; CS rep enters an order
Who? When?
Procedure Tasks Confirm customer information
What?
Work Step Physical movement Search on last name; confirm address; confirm call back number
How?
We Have A Common Organization Hierarchy For Our Documentation Of Process
Work Step is the lowest level in the hierarchy, focusing on individual physical movements
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Item Process Group Process Activity Procedure Work Step
Name
Chart
Objectives
Assigned To
Documents
Suggestions
To Do’s
Issues
Notes
Display Order
Triggers
Staff Position
Excel Spreadsheet
Inputs, Outputs, Interface In, Interface Out, Metrics, Errors, Business Rules, Capacities, Description, HR Training
Information We Collect Is Organized Within Our Hierarchy
Hierarchy For Process Management
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Berling Associates, Inc.
Process Maps Document Our Work
Process maps are chronological pictures of the way that work, materials, information, paperwork, etc. moves through the process. These maps are used to describe how work is currently done or to identify how new processes will operate.
Process maps
Provide a basis for a common understanding how processes operate
Map interrelationships of process activities in a natural flow of inputs through transition to outputs
Assist in defining boundaries of responsibility leading to identification of internal and external interfaces
Assist in determining where measures can be applied to analyze processes
Set the stage for systematic process analysis and improvement
To draw these maps we use certain symbols consistently
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Berling Associates, Inc.
Symbols We Use
Flow to/from outside flow
Trigger
Ref.
External reference – this allows links to be made to and from other flows. This other flow should be referenced inside the oval, and there should be a corresponding reference within the other flow.
Starts or kicks off a series of actions. A trigger is often a condition (inventory available) or an action (call from customer support)
Local reference – allows flow to jump across a diagram without the use of long lines. A reference of A jumps to corresponding A reference circle.
Our Symbols Are Our Shorthand
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A task to be completed. Define work done in terms of verb-noun combinations, e.g. scan barcode.
Allows the flow to follow different paths depending on the outcome of the decision or question. May have more than two outcomes.
Summarized action – presents the full details of the action defined elsewhere, with the name indicated here. This allows steps common to more than one flow to be defined once and re-used where necessary.
Action
Decision or Question
Defined Action
Symbols We Use
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Berling Associates, Inc.
Creating The Process Maps We Use
1. Define the process, activity or procedure to be mapped.
2. Assemble the right team members, usually consisting of a process mapper and the individuals who are involved in the process, activity or procedure to be mapped.
3. Establish the boundaries (the beginning and end points) of the process, activity or procedure.
4. Identify the steps within the process, activity or procedure.
5. Determine what is in scope. Identify related processes, activities or procedures, especially focusing on the interface points.
6. List the individual steps.
7. Determine who performs the operation, and list the responsible workers or areas across the top in a separate column.
8. Put the steps in order.
9. Place each step in the appropriate column under the workers or areas.
10. Connect the steps.
11. Assign the appropriate symbols.
12. Review.
12 Easy Steps In Drawing A Process Map
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Berling Associates, Inc.
Interface In
Interface Out
Step 1 Step 2
Step 1A
Step 3
Decision 1
A Clear Concise Visual Of Our Operations
The symbols and words from our lexicon help us to communicate effectively and efficiently
Creating The Process Maps We Use
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Berling Associates, Inc.
Interpreting The Process Maps We Use
Once The Process Map Is Drawn Think About It In The Following Ways
Determine who is involved in the process, activity or procedure
Form theories about root causes of issues with the operation
Identify ways to streamline the operation
Determine how to implement changes to the process
Locate cost-added-only steps
Provide training on how the operation works
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Bottlenecks – Points in the operation where it slows down may be caused by redundant or unnecessary steps, rework, lack or capacity or other factors.
Weak Links – Steps where problems occur because of inadequate training of process workers, equipment that needs to be repaired or replaced, or insufficient documentation.
Poorly Defined Steps – Steps which are not well-defined may be interpreted and performed in a different way by each person involved leading to process validation.
Cost-Added-Only-Steps – Such steps add no value to the output of the process and should be marked for elimination.
Examine Each Division Symbol – Collect data on how often there is a “yes” or “no” answer at decision points marked by diamond-shaped symbols. If most decisions go one way rather than the other, you may be able to remove this decision point.
Examine Each Rework Loop – Processes, activities and procedures with numerous checks generate rework and waste. Examine the activities proceeding the rework loop and identify those that need to be improved. Look for ways to shorten or eliminate the loop.
Examine Each Activity Symbol – Does the step help build a key quality characteristic into the end product? If not, consider eliminating it.
Investigate Those Developing The Process Map –
To see if they have drawn it to represent the process, activity or procedure as they envision it versus the process, activity or procedure as it is.
To see if those developing the map have depicted the obviously illogical parts of the operation. These are often not documented for fear of being called upon to explain why they allowed the process, activity or procedure to be that way.
Investigate The Process Map -
To see all rework loops are documented. Rework loops are either not seen or documented because people assume that rework is small or inevitable.
To ensure that the group developing the map truly understands how the operation works.
Interpreting The Process Maps We Use
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Our Standard Approach For Process Review
Task Co
mp
lete
Identification of Process, Activites and Procedures
1 Identify Process Owner2 Gather existing materials and enter into Knowledge Store3 Conduct appropriate system training with Team Member on entering Process information4 Confirm Process is entered into Knowledge Store5 Identify Activities performed and Objectives of Activities6 Confirm Activity information is entered into Knowledge Store7 Identify Procedures and related information8 Confirm Procedure information is entered into the Knowledge Store
Definition of Detail Work Steps Performed
9 Identify Work Steps for each Procedure10 List supporting information for each Work Step11 Confirm Work Steps and supporting information entered into the Knowledge Store12 List Business Rules13 Confirm Business Rules entered into Knowledge Store14 Complete Capabilities List (Minimum Expectations)15 Identify current metrics and Business Control Processes and make suggestions for enhancements.16 Record current metrics and error definitions at workstep level of Knowledge Store.17 Notify Project Manager that process is complete18 Verify contents of Knowledge Store and conduct QA procedures19 Create and review "Current State" Activity-Level and Procedure-Level Process Map 20 Upload Current State map to the Knowledge Store
A Detailed And Structured Methodology Drives Our Process Review
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Ideas for Change in Process and Identification of Immediate Training Needs
21 Create "Future State" Activity-Level and Procedure-Level Process Map22 Make Process Maps available in Knowledge Store23 Generate Re-Engineering To-Do List in Knowledge Store24 Generate Other To-Do List in Knowledge Store25 Document training requirements in the Training Section.26 Identify major issues to be reviewed with Team Leaders27 Generate Action WorkPlan for each issue28 Add appropriate suggestion/observations/to do's for enhancements.29 Review all documentation with Team Leaders30 Review all supporting materials with Team Members and update as appropriate31 Review and correct "Future State" Map32 Check interfaces in Future State map with other processes33 Test Processes
Review of KS Content and Future Work Plans
34 Review process changes with Team Leaders35 Update Process Maps36 Review To-Do lists37 Review related comments in General Observations database38 Update / create job description on HR site.
Our Standard Approach For Process Review
A Detailed And Structured Methodology Drives Our Process Review
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Process List
List of Activities
Activity SummarySheet
Objectives, Triggers,List of Procedures
Process Summary
List of Processes
Procedure Form
List of Work Steps,Inputs, Outputs,
Interfaces
CapabilityRequirements
Business Rules
CapabilityInventory
Training Needs(Business & System)
Metrics
Errors
Forms andDocuments
Process Mapping
"Current State" ProcessMaps
Process Analysis
Process Improvements
Process Mapping
"Future State" ProcessMaps
Re-engineeringTo-Do List
Other To-Do List
Implementation ofProcess
Improvements
Our Approach Is Process Oriented
Our approach for our initial process documentation and fact gathering is designed to build the Knowledge Store and to identify the “low hanging fruits” for change. It also sets a path for further investigation through its use of Business Issues, To Dos, etc. Additionally, our process lets people begin to become acquainted with process management
Our Standard Approach For Process Review
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Interview Checklist Date:
Interviewer:
Interviewee:
1. Identify Process Owner
2. Gather existing materials and enter into Knowledge Store
3. Conduct appropriate system training with Team Member on entering Process information
4. Confirm Process is entered into Knowledge Store
5. Identify Activities performed and Objectives of Activities as they relate to the procedure
6. Confirm Activity information is entered into Knowledge Store
7. Identify your Procedure and specify related information including job position.
8. Confirm Procedure information is entered into the Knowledge Store
9. Identify Work Steps for each Procedure
10. List supporting information for each Work Step
11. Confirm Work Steps and supporting information entered into the Knowledge Store
12. List Business Rules
13. Confirm Business Rules entered into Knowledge Store
14. Complete Capabilities List (Minimum Expectations)
15. Identify current metrics and Business Control Processes and make suggestions for enhancements.
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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16. Record current metrics and error definitions at work step level of Knowledge Store.
17. Notify Team Leader that process is complete
18. Verify contents of Knowledge Store and conduct QA procedures
19. Create and review Current State Activity-Level and Procedure-Level Process Map
20. Upload Current State map to the Knowledge Store
21. Create Future State Activity-Level and Procedure-Level Process Map
22. Verify Process Maps available in Knowledge Store
23. Generate Re-Engineering To-Do List in Knowledge Store
24. Generate Other To-Do List in Knowledge Store
25. Document the minimum training required to perform the work steps in the training section of the template.
26. Identify major issues to be reviewed with Team Leaders
27. Identify current training needs
28. Generate Action Work Plan for each issue
29. Add appropriate suggestion/observations/to do's for enhancements.
30. Review all supporting materials with Team Members and update as appropriate
31. Review and correct Future Step Map
32. Check interfaces in Future State map with other processes
33. Test Processes
34. Review process changes with appropriate parties
35. Update Process Maps
36. Review To-Do lists
37. Review related comments in General Observations database
38. Update / create job description found on HR site.
Our Standard Approach For Process Review
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Procedure Template Name:Procedure Name:
Number Work Step Input Output Interface With Metrics Business Rules Capabilities Notes Triggers
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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Activity Summary Name:Activity:Objectives:Trigger:
Number Procedure Name Who Performs(position)
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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Errors Identified Name:
Number Error Description Error Type (s)* Error Source
*Error Types: system, process (including communication), training/knowledge, external (i.e. supplier)
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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Issues Identified Name:
Number Issue
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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General Observations Name:
Number Observation
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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To-Do List Name:
Number To Do Assign To/ Follow-up Completion Date
Numerous Templates Are Available To Assist In The Data Gathering Process
Our Standard Approach For Process Review
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Analytical Tools Beyond Maps
Methods Materials Machines
People Environment Measurement
Process Output
A Process Is Some Combination Of The Below
Some combination of methods, materials, machines, people, environment and measurement is used together to perform a service, produce a product or to complete some other task
We focus on variations within each of these elements to understand how to influence process
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Process flow chart – track the flow of the product or service through all steps and stages
Pareto analysis – plot disturbances (i.e. defects, late deliveries, errors) at every point in the process flow; select the worse case (longest bar on the Pareto chart) for further study
Fishbone chart – make the “worst case” the spine of a fishbone chart. Secondary causes become secondary bones connected to the spine. Tertiary causes connect to secondary causes. Begin experiments on extremity “bones”
Histograms – sometimes it is useful to measure a process characteristic – perhaps one of the extremity bones – and plot the measurement data on a histogram. The shape provides clues to causes
Run diagrams and control charts – in many cases it is valuable to plot measured process data for critical characteristics on run diagrams and SPC charts
Scatter diagrams and correlation – when the process is in statistical control, it is time to consider improving it. One way to investigate things to be improved is by changing something and seeing what happens. The changes and the results go on scatter diagrams, to be checked for correlation. A good correlation is a “hit”; it identifies a likely cause and candidate for improvement
Six Primary Tools Of Process Analysis
These tools are not for design and quality engineers, but are for average personnel with a bit of math education
Analytical Tools Beyond Maps
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Prateo Chart
0
2
4
6
8
10
12
14
A B C D E
Type of Problem
Nu
mb
er o
r C
ost
of
Pro
ble
ms
Exp
erie
nce
d
Scatter Diagram
0
2
4
6
8
10
0 1 2 3 4 5 6
Observed Value of Variable 1
Ob
serv
ed V
alu
e o
f V
aria
ble
2
Histogram
0
2
4
6
8
10
12
1 2 3 4 5 6 7 8
Observed Value of Variable
Nu
mb
er o
f T
imes
Ob
serv
ed
Shows magnitude of each of several effects; helps focus effort
Shows distribution of some variable; helps identify patterns
Shows associations between two variables; helps to identify possible cause-effect relationship
Variation in parameter
People Equipment
ProcedureMaterial
selection
trainingmaker
age
supplier
type
time
pressure
Shows possible causes of problem; aids in hypothesis generation
Analytical Tools Beyond Maps
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Statistical techniques (metrics) and concepts are the best methods to help us describe, understand, study, control and eliminate variation
Statistical tools alone do not cause process improvement; they merely communicate information about process behavior and are typically placed on the inputs and outputs from a process
Our management system provides the
Ability to hear what is communicated
The training to understand what is communicated
The instructions about what to do and who is responsible when communications are received
We do this so we can
Produce products or services over time which are consistent
Produce products or services that meet the demands of our users (customers)
Do the above at an economical cost
Analytical Tools Beyond Maps
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Develop Process Measurements
Measures provide
An objective basis for decision making
A baseline for improvement efforts
Agreed upon evaluation standards
Understanding of cause and effect relationships
Views to process capability
Before we establish measures we need to
Understand what it is we want to measure
Understand what it is we are measuring
Understand why we are measuring and what we want to improve
Dedicate resources to develop and maintain the measures
Communicate what we are attempting to accomplish with the measures
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The Details Of Process Measurements
A. Determine a Specific Purpose
1. What is the purpose of the measures?
2. Is the purpose clearly understood by all involved?
3. What will we learn from the measures?
4. How will this information help us with our business issues?
5. Will this information aid future efforts for process improvement?
B. Decide What Part of the Process to Monitor
1. Is it critical to our quality and service goals?
2. Will it tell us if we are improving?
3. Does this variation source have any effect on other process steps?
4. Do we have responsibility for the sequence of activities within the process?
C. Decide Which Process Variables to Monitor
1. What variables effect the operation or service?
2. What are the daily inputs to the process?
3. What expected or unexpected changes, maintenance or stoppages occur in the process?
D. Identify Monitoring Parameters
Who
1. Who will collect the data?
2. Who will write on the process log?
3. Are all shifts involved?
4. Is any training required?
5. Who will coach the people involved with data collection?
What and Where
1. What type of chart or data sheet do we want?
2. Are special forms needed for data entry?
3. Where will the blank data forms be kept?
4. Where will in-use data forms be kept or posted?
5. Is proper workspace available?
6. Who else needs to see this data?
7. Does everyone know how to interpret the information?
8. What corrective actions should be taken?
Development Of Measurements Is A Time Consuming and Thoughtful Process
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E. Determine if Data is Already Available
1. Doe we believe the data available is accurate and representative of the process?
2. Is this effort an unnecessary duplication of something that has already been done?
3. Is available data adaptable to what we want to find out?
4. Can available data provide us a base from which to start?
F. Coordinate Process Improvement with All Areas Effected
1. Has the effort been adequately coordinated with other organizations being effected?
2. Have people from all needed areas of expertise been involved?
3. Has budget authorization for the effort, if necessary, been coordinated?
G. Analyze Data
1. Does the data collector(s) understand and utilize the data?
2. Is the data readily available to anyone involved with improving the process?
3. How often will the group review this information together to formulate action plans?
4. Does the data require any further analysis or calculations?
5. Who will put together any additional information?
6. Who else needs to see this data?
7. Where will used data forms be kept?
8. How will all this information be brought together and stored so that it will be available for analysis or reference?
9. Who should be contacted if a problem or question should arise?
When
1. How often should the data be collected?
2. Do the scheduled time intervals allow the greatest amount of information about the process behavior to be collected?
3. Do the times accommodate all shifts?
4. How many pieces will be checked at each interval?
Where
1. Which process operations will produce needed samples during data collection and monitoring?
2. Why were they chosen?
3. Does any of the incoming material to this machine/process need to be monitored as well?
The Details Of Process Measurements
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How
1. How will measurements be taken?
2. What measuring device will be used?
3. Is all equipment calibrated?
4. Has everyone been trained in measuring with and reading this device?
5. What degree of numerical accuracy is required?
6. What could interfere with or reduce accuracy with measuring or reading?
7. What calculations will be made?
8. How will this information be plotted or charted?
9. Who will double-check accuracy occasionally?
10. How will this information help us to improve the process, the quality of the product or work smarter?
H. Pursue Action Plan
1. What alternative plans of action have been considered to improve the process based on the data?
2. What measurement items have you selected to judge if you are improving?
3. What problem solving tools will be utilized based upon the “story” told by the data obtained?
The Details Of Process Measurements
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How It All Works Together
1. What is the Process?
(Process Map)
2. What is it currently doing?
(Control Chart/Metrics)
3. What do we want it to do?
(Process Operating Consistently)
4. How do we get it there?
(Change the Procedure or Business Rule)
Over time a process in control is stable, subject to only common causes of variation, and predictable
Currently much of our effort is focused at “A”, with our processes in control our focus changes to “B” allowing us to manage the business versus reacting to problems
Define the Process
Investigate Process Behavior
Problem Solve Until Process Is
Consistent
Establish A Project Team To Improve
The Process
Monitor Process For Continuous
Improvement Opportunities
Not Consistent Consistent
Unacceptable Acceptable
Continuous Improvement Loop
The Goal
Introduce Change
Introduce Change
“A” “B” “B”
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What Structure Do We Use To Move Forward
The Management Team is the current Steering Committee for the T.E.A.M. Effort. Over time the steering committee will be reduced in number of members and will report directly to the president.
The T.E.A.M. Leaders Team (TLT) are the operating arms and legs of the Steering Committee. The team is co-led, and for the time being report to the president. In addition to the co-leaders, the team has representatives from most of the major organization units. These representative are the “owners” of the business processes within the organization.
Project Teams will be formed to review and analyze business processes. These teams will typically be cross-functional and will be convened to focus on a particular issue. A T.E.A.M. Leader will typically head this team or will oversee/coordinate its activity.
The work of the Project Teams will typically be scoped and scheduled by the TLT. The range of projects for a rolling six-month period will be maintained by the TLT. This project plan will be approved by the Steering Committee. Ad hoc projects will arise from time to time and can be scheduled by the TLT. The projects will be typically driven by business issues that arise or identified improvements that need to be made.
The organization units as defined in the organization chart do not change. A primary goal of the TLT is to “transfer” knowledge about process management and measurement tools to the members of the organization units. Over time the organization unit personnel will be enabled to do more and more of the process analysis work.
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This is an executive level management team that currently includes the president and his direct reports. Over time the Steering Committee will transition to a smaller team of executive management members, which will report to the president.
This team provides focus for the T.E.A.M. effort throughout and across the organization.
This team creates the organization-wide top level metrics for performance excellence.
This team must continue to visibly change its behavior to demonstrate cross-functional and team management.
This team eliminates “command and control” techniques and installments practices to empower employees.
This team has primary control, overall responsibility for the T.E.A.M. Effort.
This team meets regularly, no less than monthly, to manage its processes.
This team becomes the primary advocate for performance excellence.
This team reconciles vision, mission, strategy, plans, roles within the organization.
Steering Committee
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Steering Committee’s Charter
Build Division Level Management Awareness and Understanding of T.E.A.M.
Become a Vocal T.E.A.M.Advocate
Review and Approve T.E.A.M. Plan
Provide Guidance in the Development of the T.E.A.M. Direction
Become the Exemplar for Cross-Functional Behavior
Assist in Identifying Key Measures of Success for T.E.A.M. and Business
Provide the Resources and Time Commitments for the Plan
T.E.A.M. will flounder if
Steering Committee is not an aggressive advocate
The organization does not sense the level of commitment and the seriousness of the effort
The work of all in the organization toward this effort is not recognized and lauded; (this work is on top of their existing duties)
The T.E.A.M. Effort is owned by the Steering Committee; the T.E.A.M. Leaders are the arms and legs of the Steering Committee
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T.E.A.M. Leaders Team
Made up of the owners of the business processes or their designees
Led or co-led by one or more of the members of the team
This team reports to the Steering Committee and is the execution vehicle for the process management programs of the Steering Committee. As such, this team is responsible for the oversight of the execution of business process improvement activities
Is the conduit for information from the organization units regarding business process improvement and measurement priorities to the Steering Committee
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The Team Leaders’ Charter
Map All Significant Business Processes and Identify Measures Inputs and Outputs
Initiate Data Collection with Metrics and Process Charts
Develop Control Strategies for the Operation of Processes
Obtain Feedback from Interface Points on performance excellence
Allocate Resources for Improvement Based on Feedback on Performance
Develop Measures and Data Gathering Procedures
Reconcile Processes and Measures
T.E.A.M. Leader effort is intensive
These steps lay the foundation for continuous improvement implementation
By taking the organization unit members through this process they will be indoctrinated in the process management and continuous improvement effort
Organization unit members will receive certain training during this period
At the conclusion of this process organization members will be able to assume ownership of the process improvement effort
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Expectations For T.E.A.M. Leaders
The business process owner from his respective organization unit
T.E.A.M. Effort facilitator/coordinator for the process improvement efforts within or associated with his organization unit
Coach
The members of his organization unit helping to identify the most feasible and economically beneficial process improvement projects
The project teams within his organization unit and across the company as they undertake their activities
Internal consultant
Help transfer knowledge about particular business processes to others in the organization
Assist in leading certain project teams in their business process improvement efforts
Trainer
Contribute to training design and development
Help conduct training needs assessments
Teach certain aspects of business process documentation, measurement and improvement
Change Agent/Champion - A general advocate and supporter of the T.E.A.M. Effort and all it entails
Our T.E.A.M Leaders Will Require Development As They Become
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Project Team
These teams are composed of employees with knowledge and multiple skills which are sometimes deeper that the members of the T.E.A.M.Leader Team.
These teams are typically cross-functional in composition and the membership is dictated by the nature of the project to be executed.
The teams include specialists or generalists from across the organization without regard to organization position of the individual. The need of the project tasks drive the skill sets assembled by the team.
The charter of the team is very specific and bounded. The time frame for the life of the team is typically under six-months.
A very specific and measurable team goal is specified.
After achieving the goal the team is disbanded.
As new projects are identified, new teams are constituted.
The work this team does can typically described as: study the process, apply process improvement analysis techniques, innovate a solution, implement changes within the project scope, prove results with measurable data, share their experience.
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Suggested Readings And References
The Quality movement has been prominent in the United States for over 25 years. During that time an uncountable number of articles have been written, many many classes have been taught, and numerous quality teams have made improvements to business processes. As a result, the depth and breadth of reading materials and reference books on the topic of Quality have grown exponentially. The authors of these materials have borrowed from each other as they have documented the approach to and the tools of quality. What has been outlined in this compendium includes ideas and techniques documented by those before us. Please find below a listing of places you might look for additional information on the Quality movement.
Out of Crisis; W. Edwards Deming
Kaizen; Masaaki Imai Guide to Quality Control; Kaoru Ishikawa
Managerial Breakthrough; J.M. Juran
What Is Total Quality Control? The Japanese Way; Kaoru Ishikawa trans. David Lu
The Man Who Discovered Quality; Andrea Gabor
Quality Is Free; Philip Crosby Today and Tomorrow; Henry Ford
Taguchi Technologies for Quality Engineering; Phillip Ross
The Memory Jogger; Goal; Michael Bassard
Measuring Up; Hall, Johnson, Turney
The Change Masters; Rosabeth Kanter
Various Publications; Tennessee Associates
Dynamic Manufacturing; Hayes, Wheelwright, Clark
World Class Manufacturing; Richard Schonberger
Various Publications; Organization Dynamics, Inc.
Building A Chain Of Customers; Richard Schonberger
Market Driven Quality; IBM
Leadership Through Quality; Xerox
Total Customer Service; Davidow and Uttal
The Goal; Eliyahu Goldratt
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Contact Information
Rob BerlingBerling Associates
550 Pharr RoadSuite 212
Atlanta, GA 30305
Tel. 404.365.9836Fax. 404.365.9837
Email: [email protected]