Driving Strategy Development: The SIPDE Model January 31, 2005 Kimball Bullington, Ph.D., P.E....
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Driving Strategy Development: The SIPDE Model January 31, 2005 Kimball Bullington, Ph.D., P.E. Associate Professor of Operations Management Middle Tennessee State University Stanley Bullington, Ph.D., P.E. Professor of Industrial Engineering Mississippi State University
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Transcript of Driving Strategy Development: The SIPDE Model January 31, 2005 Kimball Bullington, Ph.D., P.E....
Driving Strategy Development: The SIPDE Model
January 31, 2005
Kimball Bullington, Ph.D., P.E.Associate Professor of Operations ManagementMiddle Tennessee State University
Stanley Bullington, Ph.D., P.E.Professor of Industrial EngineeringMississippi State University
What is a Strategy?
Strategy – A plan for achieving organizational goals.
The Corporate Strategy should support the Corporate Mission.
The Operations Strategy should support the Corporate Strategy.
The Functional Strategy should support the Operations Strategy.
Strategy should give our customers confidence in the quality, reliability, and safety of our products and/or services.
Strategy Constraints
1. Scan2. Identify3. Predict 4. Decide 5. Execute
The SIPDE Driving Model
1. Scan – Detect motion ahead2. Identify3. Predict 4. Decide 5. Execute
The SIPDE Driving Model
1. Scan – Detect motion ahead2. Identify – Looks like a ball3. Predict 4. Decide 5. Execute
The SIPDE Driving Model
1. Scan – Detect motion ahead2. Identify – Looks like a ball3. Predict – A child could run out!4. Decide 5. Execute
The SIPDE Driving Model
1. Scan – Detect motion ahead2. Identify – Looks like a ball3. Predict – A child could run out!4. Decide – Slow down immediately or
stop or be prepared to swerve5. Execute
The SIPDE Driving Model
1. Scan – Detect motion ahead2. Identify – Looks like a ball3. Predict – A child could run out!4. Decide – Slow down immediately or
stop or be prepared to swerve5. Execute – Foot off the gas, two hands
on wheel, foot to brake and begin slowing
The SIPDE Driving Model
1. Competitors2. Politics3. Corporate & functional strategies4. Management expectations5. Measures6. Customer expectations7. Current performance8. Current supply base
SIPDE Model: Scan Looking for change
1. Scanning requires a knowledge of which measures are critical.
2. Scanning requires confidence in the measures.
SIPDE Model: Scan Looking for change
1. What are the major issues?2. What is the rank of the issues?3. What are the causes of the issues?
SIPDE Model: Interpret Which changes are significant?
1. Which of the issues will be most important? (Pareto Analysis)
2. Which issues have the greatest opportunity for adding value? CED
3. Which issues have the greatest opportunity for causing pain? CED
4. What will actually happen? Levels of certainty – RPN?
SIPDE Model: PredictWhat are the consequences of the most significant changes?
1. Develop objectives and tactics to address the most important issues. Cause-and-effect diagrams
2. Verify that all of the objectives and tactics address strategic issues.
3. Verify that all strategic issues are addressed.
SIPDE Model: Decide
1. How can we ensure that the strategy is accomplished?
2. Validate that the execution addresses the issues.
3. Ensure that personal objectives are tied to strategy / tactics.
4. Ensure that performance measures are headed in right direction.
SIPDE Model: Execute
Driving Strategy Development: The SIPDE Model
January 31, 2005
Kimball Bullington, Ph.D., P.E.Associate Professor of Operations ManagementMiddle Tennessee State University
Stanley Bullington, Ph.D., P.E.Professor of Industrial EngineeringMississippi State University
