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Presented by Ramli Abu Hassan

Managing Director of DPS

In collaboration with Professor David Drennan

Managing Director of GPM International (UK).

The 12 Ladders To World Class Performance:

how Your organisation can compete with the best in the world.

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Contents:

1.What is “World Class” ?

2.The 12 Ladders to World Class Performance

3.Explanation of each Ladder with all the 5 Levels of Performances.

4.What’s Next ?

The 12 Ladders To World Class Performance:

how Your organisation can compete with the best in the world.

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1.What is “World Class” ?

Definition:World Class means “being able to compete with the best in the world at what you do.”

The 12 Ladders To World Class Performance:

how Your organisation can compete with the best in the world.

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1.Where to find “World Class Companies?eg.

+ Annual Fortune Global 500 Listing (Ranking in terms of market size and financial performance.)

World Class Cos’:Walmart,General Electric,Intel,Microsoft,British Petroleum,Petronas,Toyota,

Samsung,Sony and others.

The 12 Ladders To World Class Performance:

how Your organisation can compete with the best in the world.

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1.What customers see as truly world class ?

Product qualityValue for moneyReliabilityGood serviceInnovation

The 12 Ladders To World Class Performance:

how Your organisation can compete with the best in the world.

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World Class Companies are not marvellous at everything !

List of Performance Measures used by World Class Companies:Customers:

+order to delivery time/waiting time; right first time; on time in full delivery etc..

customer complaints; phone response time; customer survey scores etc..

Employees:

+sales per employee; profit per employee; staff turnover; employee survey scores etc..

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World Class Companies are not marvellous at everything !

Continuation….Financial Performance:

+return on capital /assets; profit percentage on sales; share price;unit costs; investor returns etc..

Market performance:

+ market share; product innovation; sales growth etc..

Internal efficiency:

Sales per square foot; profit per square foot, costs of quality; added value time vs process cycle time; overall machine efficiency etc..

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The 12 Ladders to World Class Performance (WCP)

Ladder No.1: Aligning Management Objectives

Ladder No.2: Customer Focus

Ladder No.3: Organizing the Workplace

Ladder No.4: Visible Measurement Systems

Ladder No.5: Managing for Quality

Ladder No.6: Eliminating Waste

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The 12 Ladders to World Class Performance (WCP)

Ladder No.7:Best Operating Practices and Continuous Improvement

Ladder No.8: Teamwork

Ladder No.9: Staff Empowerment and Involvement

Ladder No.10: Rewards and Recoqnition

Ladder No.11: Purposeful Communications

Ladder No.12: Continuous Learning

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Ladder No.1: Aligning Management Objectives

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Managers give orders; workers only do as much as they have to.

+Some people don’t know who their boss is.

+Objectives are not written; the goalposts seem to keep moving.

+Managers say: “We don’t need objectives,we know what to do.”

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Ladder No.1: Aligning Management Objectives

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary Performance

Eg.

Level 5 (World Class)

+Measurable objectives are agreed annually in every department

+Teamwork and cooperation are expected at every level

+People work to achieve the goals even under changing conditions

+100 % of objectives are achieved or exceeded by year end.

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Ladder No.2: Customer Focus

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Employees think sales and marketing look after customers.+Managers believe they are ‘professionals’and already know what customers want.+Many managers and staff don’t think thay have customers.

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Ladder No.2: Customer Focus

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary Performance Eg.Level 5 (World Class)+Regular surveys and focus groups keep company “in touch”+Visible service improvements made year on year.+Cycle time,order to delivery,reduced by 80%+Complaints under 0.5 % and at an all time low.+100% of orders delivered in full and on time.

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Ladder No.3:Organizing the

Workplace

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Scrap items,litter and tools are left scattered around.+Walls,windows,floors and machines are dirty.+The yard,car park and outside areas are untidy.+Employees are sloppy dressed,desks and workstations are untidy.

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Ladder No.3:Organizing the

Workplace

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+The workplace is habitually clean and well organised.+Work areas and the flow of operations is easy to see.+Storage sites and quantities are clearly marked.+Staff know automatically when to re-order.+Teams earn top scores even during surprise inspections.

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Ladder No.4: Visible Measurement

Systems

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Only general company wide measures used.+Departments tend to keep performance measures to themselves.+Lack of hard data means much has to be done on “gut feel”+Some departments think their work is not measurable.

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Ladder No.4: Visible Measurement

Systems

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Company realises that measurement is the only way to sustain continuous improvement.+Senior management or visitors are able to tell from displayed data how any departments is performing at any time.

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Ladder No.5: Managing for Quality

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+People think that production is everything.+They think it is the operator’s job to make products and someone else’s job (the inspector’s) to catch mistakes.+Pay systems emphasise quantity rather than quality.+The primary drive is to “get stuff out of the door.”

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Ladder No.5: Managing for Quality

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+The abnormality rate is tracked ie.deviations from normal rather than the defect rate.+The entire company has instilled mistake proofing devices.+The abnormality rate is down to 0.1%+Customer complaints are down to zero.

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Ladder No.6: Eliminating Waste

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Managers think that being busy means they are productive.+Things are rushed,people turn up late at meetings,etc..+When you talk to them about improving the systems they use,they say “We’re too busy working for all that!”

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Ladder No.6: Eliminating Waste

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+The actual work ration is at least 85%+The whole company is purposely organised to minimise waste.+Stock-holding of raw materials,in-process work,and finished goods-is the lowest in the industry.+Even new employees can follow procedures easily.+New processes are designed to maximise added value activity.

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Ladder No.7: B.O.P.s’ and

Continuous Improvement

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Staff don’t want to get involved in improvement activities.+They say things like:”why should we?”,”What’s in it for us?”,or “That’s management’s job.”+Suggestion boxes are little used or ignored.

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Ladder No.7: B.O.P.s’ and

Continuous Improvement

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Employees avearge more than four improvements ideas a month.+More than 85% of employee ideas are implemented.+Teams tackle more than four major projects a year.+Benchmarking visitors show company among “best in class.”

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Ladder No.8: Teamwork

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+People think of themselves as just doing a job,not in a team.+Cooperation between work groups is patchy,there is rivalry and points-scoring between teams.+Workers don’t act as a team with management-it’s difficult to make changes without suspicion or opposition.

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Ladder No.8: Teamwork

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Teams exist everywhere,and have become a way of life.+Self-directed teams are set up and working effectively.+The versatality in teams means they cope with changes well.+Teams celebrate achievements and expect success.

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Ladder No.9: Staff Empowerment

and Involvement

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Employees don’t want any rsponsibility; they want managers to be responsible for everything.+Managers want employees just to do as they’re told.+Few,if any,team involvement meetings are held.

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Ladder No.9: Staff Empowerment

and Involvement

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Individuals agree self-set objectives and do self-appraisal.+Teams set and meet their own improvement objectives.+They both meet and beat their customers’ expectations.+Teams are involved in recruitment ,equipment purchase,area layout ,producing their own budgets ,etc..

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Ladder No.10: Rewards and

Recoqnition

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+The company pays only as much as it has to get staff.+Pay systems are complicated and unpublished.+Overtime is frequent,often to cover ad hoc problems.+Anomalies exist and complaints frequently arise.

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Ladder No.10: Rewards and

Recoqnition

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Staff have a ‘no redundancy’ undertaking.+Above average pay attracts and retains the best staff.+Appraisals encourage continuous improvement and continuous learning.+Recoqnition system regularly encourages the behaviours the company wants to see.

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Ladder No.11: Purposeful Communications

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Work team meetings are patchy or non-existent.+The grapevine is strong; notice boards are poorly cared for.+There are constant complaints about poor communications.+People say,”Nobody tells us anything.”

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Ladder No.11: Purposeful Communications

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+Company uses a variety of communication channels well ie.meetings,notice boards,paper,computer and video.+Matrix calender of coomunications shows all communication channels and who does what,when.+Surveys show steadily improving communications scores.

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Ladder No.12: Continuous Learning

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 1 (Ordinary Performance)+Employees are not enthusiastic about learning new skills.+There is minimal induction training,little off-the-job training.+Experts are generally opposed to sharing their skills with others feeling their jobs would thereby be threatened.

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Ladder No.12: Continuous Learning

The 5 Levels of WCP (Level 5 is World Class and Level 1 is Ordinary PerformanceEg.Level 5 (World Class)+The company realises that continuous skills training turns their people into a competitive ( and their only) appreciating asset.+Minimum of five days off-the-job training for everyone every year.+Larger companies operate an in-house University.+Continuous learning has become a way of life.

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What’s Next for Your Journey Towards World Class ?

DPS Proposal to YOU:

+Attend a 2 day training/workshop session to understand the “12 Ladders to World Class Performance.”Top Management and all levels of management are recommended to attend this training.

+Conduct a “Mini Audit” using the World Class Score Card to know “Where We Are Now” (Your Company / Organisation)

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What’s Next for Your Journey Towards World Class ?

DPS Proposal to YOU:

+ Do and Act on your Action Plan (Team Objectives Meeting or TOM’s Approach) to take your organisation / company to move to your next level of performance that have the most value to you and your customers.

+Continue your efforts towards becoming a World Class organisation / company no matter how long it takes and maintain it all the time,no matter what it costs(investments) or challenges that come ahead.

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We at DPS can be contacted as follows:

Name of Company: Diversified Promotion & Service Sdn.Bhd.

Contact Person: Ramli Abu Hassan-Managing Director

Mobile: + 6-019-2537165

Tel:+603-55412936

E-mail: ramlipromoter@yahoo.com

revolusiaksi@gmail.com

Websites: uk.groups.yahoo.com/group/dpsworldclass

www.linkedin.com/in/ramlipromoter

www.youtube.com/pramleeelvis

Postal address: 19 Jalan 18/40,40200 Shah Alam

Selangor Darul Ehsan ,Malaysia.

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THANK YOU FOR YOUR ATTENTION.

WASSALAM.

THE END.