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Optimizing Continuous Process Improvement

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Customers and Leadership Are The Keys Optimizing Continuous Process Improvement American Society for Quality – Pittsburgh Section
Transcript

Customers and Leadership Are The Keys

Optimizing Continuous Process Improvement

American Society for Quality – Pittsburgh Section

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

ASQ Community Discussion

• Defining the “business” of their role

• Demonstrate their value to key stakeholders

• Be heard and respected at the executive table

Is Quality Mostly Driven By Customers, Top Management or Technology?

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Regional CEO Survey

What is the top growth challenge you face in the next couple of years?

750 CEO’s

Almost two-thirds completely missed

the point!!!!

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Shared Vision and Blind Spot

Quality Professionals Seek to Increase Value to CEO’s

CEO’s Seek To Increase Value to Stakeholders

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

1. Growth strategy is about “value”

2. Customers define “success”

3. Customer-centric companies involve customers enterprise-wide

4. Continuous improvement is central to that effort

5. Leadership is the key enabler (or disabler)

Five Proven Core Premises

Growth Customer Value Continuous Improvement Leadership

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

1. Strategies Must Generate Real Value

• Must create, optimize and sustain it

• Quality is not the destination

• Cost cutting is not a growth strategy

• Change is an essential outcome

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

2. Success Is In The Eyes of the Customer

VALUE PRICE

• Nobody gets anything until the customer does

• Your products and services don’t pay bills

• Customers can get satisfaction anywhere

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

3. Traits of Customer–Centric Companies

• It’s a mindset, not a department or role

• Every touch point and process is engaged

• Some “one” must manage it, but all must own it

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Multiple Touch Points

Executive Sponsors & Decision Makers

Technical Influencers & Buyers

Receptionists & Gate Keepers

Accounting & Claims

Service & Maintenance

Operations & End Users

Your Customer

Shipping & Receiving

Your Company

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

4. Continuous Improvement is a Strategic Must

• The customer focus and CPI journeys meet

• CPI is a core element in the Ten-Point Framework

• Process Orientation is a critical success factor

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

The Customer Focus Maturity Model © is a product of

Centric Performance, LLC – All Rights Reserved

SUPPLIER’S APPROACH

CU

STO

MER

’S V

IEW

Value-Add

Total Experience

Transactions

Behavior LoyaltySatisfaction

MATU

RITY LEVEL

Leverage

Understand

Measure

MarketsCustomers Value Chain

VALUE CONNECTIONS

Mutual Profitability

Level I

Level III

Level II

Customer Focus Maturity Model ® and CPI

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

The Customer Focus Maturity Model © is a product of

Centric Performance, LLC – All Rights Reserved

SUPPLIER’S APPROACH

CU

STO

MER

’S V

IEW

Value-Add

Total Experience

Transactions

Behavior LoyaltySatisfaction

MATU

RITY LEVEL

Leverage

Understand

Measure

MarketsCustomers Value Chain

VALUE CONNECTIONS

Mutual Profitability

Level I

Level III

Level II

Customer Focus Maturity Model ® and CPI

Detect, Correct & Improve

Design, Integrate & Align

Duplicate & Leverage Inside & Out

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Core Elements of a CE Strategy

1. Strategic Drivers

2. Customer Segmentation

3. Customer Engagement

4. Employee Engagement

5. Training & Tools

6. Process Orientation

7. Joint Workouts

8. Capacity for Change

9. Consequences

10.Committed Leadership

CFMMLevel

I

II

II

III

Customer Focus Ten-Point Framework CFMMLevel

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Customer-Focused Growth Strategies

Customer Focus is a process…not an event. When you treat it as an event…the results are…uneventful!

• Mapping the biz model and underlying processes

• Process is the linkage across silos, turfs and agendas

• Joint Workouts are cross–boundary CPI initiatives

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

SUPPLY CHAINMANAGEMENT

Working the Value Chain

DISTRIBUTION SYSTEMS

PRODUCT DESIGN

QUALITY CONTROL

COOPERATIVE COMPETITION

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

5. Leadership: An Enabler or Disabler

• Three questions for every CEO

• What’s your “true north?”

• The role of a learning culture

• The Consequence Conundrum ©

• Five common C-Level lessons

• Keys to building CPI commitment

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Businesses Need One True North

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Providing Direction

• Clear goals and KPI’s

• Rewards for champions

• Consequences for resistors

• Consistent people decisions

• Don’t bend structure around people

• Don’t bend process around anything

The Consequence Conundrum ©

Expecting X

Rewarding Y

Tolerating Z

True North is Useless Without a Rudder

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Five C – Level Lessons

• Leadership is a full-time job!

• Growth is a marathon, not a sprint

• Don’t miss the minutes by counting the hours

• Resist quick-fixes

• Actions trump words every time

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Building End-to-End Commitment

• Consistent and relentless exec visibility

• Educate everyone on CPI’s business role

• Show every job’s impact or role

• Set expectations that everyone contributes

• Create opportunities for all to contribute

• Consequences for all who do, and don’t

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

Q & A

Wrap Up

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved

About the presenter: Bill Thomas has over 30 years of experience in HR/OD, CustomerExperience Management, TQM and Operations management. Prior to joining Centric, heheld national and global management roles with PricewaterhouseCoopers and DellComputers, respectively. He was the co-architect of PWC’s Service Excellence initiative,and helped design and launch Dell’s Customer Experience effort. He co-authored therecent book “Anticipate: Knowing What Customers Need Before They Do,” and his workhas been featured in CEO magazine, Human Resource Executive magazine, QualityProgress, HR Advisory and others. He can be reached at 866.302.9099 or via email [email protected].

About the company: Centric Performance works with organizations of various typesand sizes to help them accelerate growth and improve results – at the enterprise,business unit, function, team or individual level. We do this by identifying, evaluating andimproving their efforts and performance in four areas proven to create stakeholder value:

• Strategy, Leadership and Organization Effectiveness• Optimizing the Customer Experience

• Human Resource Practices and Processes• Business Transition Planning and Implementation

Further information is available at www.centricperformance.com.

Accelerating Growth…Improving Results

© Copyright 2001 – 2015 Centric Performance, LLC – All Rights Reserved


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