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Process Performance:

Roadmap to Better Results

October 10, 2013

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address all questions during the Q&A session at the end of
todays presentation.

Links to the slides and recording will be made available


and sent to all attendees via e-mail.

2013 APQC. ALL RIGHTS RESERVED.

Process Performance:
Roadmap to Better Results

Business Excellence Webinar


October 10, 2013

Webinar Presenters

APQC
Chris Gardner, senior advisor
Travis Colton, senior consultant

Intel Corporation
Tom Jefferson
Mike Dugas

Abbvie

Dave Birkford

2013 APQC. ALL RIGHTS RESERVED.

APQC
APQC is a member-based,
501(c)3 nonprofit specializing
in benchmarking, measurement, process
improvement, knowledge management.
APQC helps organizations use tools and
techniques to rapidly identify, prioritize,
and execute successful process
improvement initiatives.

2013 APQC. ALL RIGHTS RESERVED.

Process The Big Picture

Process is how we do work!


1. A process is enabled through people and technology
2. Improved performance is from improving processes
Making
processes flow
smoothly

2013 APQC. ALL RIGHTS RESERVED.

The Seven Tenets:


Core to Process Management
Proven practices of high performing,
process-managed organizations
Guiding principles enable strong process capability

2013 APQC. ALL RIGHTS RESERVED.

Please rate the effectiveness of your


organizations process improvement
initiatives.
1.
2.
3.
4.

Excellent
Good
Fair
Poor

2013 APQC. ALL RIGHTS RESERVED.

Step 1: Understand Value Creation

Start at the strategic level


Cascade downward throughout
the organization
Enterprise-level strategies
Operating unit objectives
Processes and programs
Staff activities

Have accompanying measures for each


component of the value chain.

2013 APQC. ALL RIGHTS RESERVED.

Value Path

Business Outputs
Production cycle
time
Production error
rate

Process
Performance

2013 APQC. ALL RIGHTS RESERVED.

% on time
delivery
First time quality
yield

Greater schedule
adherence
Improved product
quality
Business Goals

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Step 2: Identify Performance Gaps


Targeted Level of Performance

Current Level of Performance

2013 APQC. ALL RIGHTS RESERVED.

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Performance Assessment

2013 APQC. ALL RIGHTS RESERVED.

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Best Practices

Best practices are methods and techniques


that consistently produce results superior to
other methods.

A best practice is used to achieve superior


performance.

Remember:
No best practice is best for everyone
or every situation.
No best practice remains best for very long
People keep finding better ways to do things.

2013 APQC. ALL RIGHTS RESERVED.

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How does your organization set


performance targets?
1.
2.
3.

External
comparators
Internal
historic data
Both internal
and external
sources

2013 APQC. ALL RIGHTS RESERVED.

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Practitioner Discussion

Tom Jefferson and Mike Dugas Intel

Dave Birkhold Abbvie

Topics

What have been the main factors that has caused


your organization to use benchmarking as part of
your process improvement efforts?
What are the two main benefits or value that has
been derived from this work?

2013 APQC. ALL RIGHTS RESERVED.

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Step 3: Execute Improvement Initiative

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Scoping the Process Improvement

A. Be specific

B. Scope creep!

C. In and out

D. Expectations

2013 APQC. ALL RIGHTS RESERVED.

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Understanding & Managing the Change

Ending

Transition Zone

New Beginning

Uncertainty
Uncertainty
Excitement

Commitment
Commitment
Creativity
Innovation

Anticipation

Confusion

Frustration
Reservation
Denial

Anxiety

Ambivalence
Exploration
Exploration

Adapted from Managing Transitions,

2013 APQC. ALL RIGHTS RESERVED.

Unsure

Resistance
Confusion

Skepticism
Skepticism

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Accomplishment
High Energy
Learning
Relief

Which is the most crucial element for


success with improvement initiatives?
1. Good planning
2. Effective

monitoring and
proper
adjustment
3. Good change
management
2013 APQC. ALL RIGHTS RESERVED.

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The Cost of Not Knowing

2013 APQC. ALL RIGHTS RESERVED.

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Roadmap to Improving Performance


Making best practices your practices help eliminate unnecessary activities,
simplify and standardize processes and leverage automation
opportunities to drive towards top performance
Move to Top
Performance

Process
Improvement

Adopt Best
Practices

Determine the
Opportunity

Process
Assessment

Best Practice
Assessment

Benchmarking

Benchmarking, Best Practice, and Process Assessments help organizations


define the opportunity and develop a roadmap to top performance
2013 APQC. ALL RIGHTS RESERVED.

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Cost of Not Knowing

Good decision making starts with credible


information (e.g., benchmarking content).
Know where to focus your improvement
initiatives.
Reduce the risk of false starts
and misdirected effort.
Know where and how to open
the door of breakthrough
improvement and long-term
business success.

2013 APQC. ALL RIGHTS RESERVED.

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Assessment Survey
Understand your organizations ability to
obtain information to support improvement
initiatives. Take APQCs self-assessment survey.
www.apqc.org/custom-benchmarking-services

2013 APQC. ALL RIGHTS RESERVED.

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Questions?

2013 APQC. ALL RIGHTS RESERVED.

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123 North Post Oak Lane


Houston Texas 77024-7797
1-713-681-4020
1-800-776-9676

www.APQC.org

2013 APQC. ALL RIGHTS RESERVED.

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Thank you!

2013 APQC. ALL RIGHTS RESERVED.

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