Thursday, August 18, 2011

So, How Good Are Your Processes?


08/16/2011
Posted by Harry Hertz, the Baldrige Cheermudgeon

I think we all assume that we have good processes for accomplishing our work in today's competitive environment. We all follow a logic chain somewhat similar to the following quoted on the FMC Technologies web site:"Poor quality results in product waste and a dissatisfied customer. Manufacturing systems that cannot produce on-spec products consistently without generating product waste unnecessarily sacrifice profits. And worse, shipping off-spec products frequently results in product returns, while generating a dubious reputation. These factors not only have an immediate drag on profits, but a lingering impact on the ability to keep and attract new business as well." While written for manufacturing, this logic chain is easily adapted to all sectors.

So, why did only 49% of employees and 47% of leaders of a cross-section of U.S. organizations agree or strongly agree with the statement: "We have good processes for doing our work?" And why did 72% of employees, but only 53% of leaders say that work products meet all requirements? I invite you to speculate on the reasons!

But before you speculate, the results for these two statements represent just two out of 40 statements from our "Are We Making Progress?" and "Are We Making Progress as Leaders?" surveys. Periodically we ask Baldrige examiners to complete the surveys for their home (employing) organizations. We have recently completed that study with our 2011 Board of Examiners and are reporting the full data on our web site. While only a snapshot in time, the survey results represent a broad cross section of U.S. organizations and give a sense of current perceptions. The data are based on input from 173 employees and 294 leaders. Some additional data are discussed in the August Insights on the Road to Performance Excellence column.

So, how do you explain the results on process quality from the survey? And how does your organization compare to the cross-section of U.S. organizations on all 40 questions? Please let me know your opinion!

Posted by Harry “The Baldrige Cheermudgeon” on 08/16/2011 at 07:41 AM in Baldrige Director, Baldrige Examiners, Baldrige News, Operations Focus, Performance Results | Permalink

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