CONTINOUS IMPROVEMENT CIRCLE (CIC)

AS A TOOL TO INCREASE KNOWLEDGE MANAGEMENT

AND IMPROVEMENT CULTURE

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CIC
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By :

1. Marina Satya - 8309001JA

Human Resource Planning Department

2. Hikma Pratama – 8108012JA

Commercial Department

3. Indriana Pratiwi - 8308001JA

Acounting Depatment

PT PEMBANGKITAN JAWA BALI

HEAD OFFICE
Background
In recent years the term Knowledge Management more often we hear, especially
in big companies that are constantly development. The importance of knowledge
assets felt by PT PJB and reflected in the Strategy Map of PT PJB to implement
the balance score card. In learning and growth perspective it seems that the
asset information is one asset that must be managed together with the human
and organizational assets. This shows that with good management of human
resources, organization and information, it can support the achievement of other
perspectives in corporate strategy of PT PJB (internal perspective, customer
perspective and the latter is the financial perspective).
Knowledge Management is closely related to increase company productivity, and
can help companies to achieve the vision and mission. The ideals of PT PJB is
reflected in company's vision is to become the electricity provider with world-
class standards, required to conduct continuous improvement and find new
innovations that can improve corporate performance.
There are many forms in the application of knowledge management in the
company. One way is to establish Continuous Improvement Circle (CIC). CIC is
one form of sharing knowledge through group discussions, which is more
focused with the objective and sharper results. Through the CIC activity is
expected to be useful to improve employee skills and knowledge, can increase
improvement activities and ultimately to contribute to the growth of the company

What is CIC?
CIC is a group of workers ( 6 – 10 persons) commonly from the same
department who have regular meeting to identify problems, conduct analysis,
provide solutions and implement those solutions. The CIC structure is:
• Facilitator, who serves as an advisor and also as a liaison if the CIC team
needs interdepartment relationship.
• Team leader
• Member
CIC Application Method
There are 8 main processes in the CIC that must be done by the team in the
preparation of an improvement program:
1. Determine problems.
2. Determine the improvement target,
3. Situation and conditions analysis of 4M1E (Man, Method, Material,
machine, Environment).
4. Determine the root causes, generally using a Fishbone diagram, with 5
Why analysis
5. Plan a solution.
5. Do Implementation and Evaluation
6. Make Standardization,
7. Determine further improvement plans
This application process will take at least 4 months.

Benefit Developing CIC For The Company

CIC will have a very significant impact to the company such as:
• Improve problem solving ability of workers
• Improve employee morale because they were given the opportunity to
develop their potential to produce something for the progress of the
company
• Company can find out the level of quality human resources
• Integrate the improvements in accordance with the corporate needs and
performance targets
• Increase knowledge management
How to Motivate Employees to Participate In The CIC
To motivate employees in the implementation of the CIC, the management
should :
• Determine the amount of improvement (CIC Solution implemented) to be
donated by a department within a Key Performance Indicator (KPI)
department and KPI sub department.
• Provide problem solving training to employees.
• Hold CIC competition at least once in 6 months..
• Provide reward for winners of the CIC competition.
• Give meeting fee as an incentive for improvement efforts (up to 10 times
for 1 themes)

CIC Make “Improvement Culture”

CIC here is not only about how the company gets a certain amount of benefit in
the improvements made by a group, but more than that CIC competition will
assess of how a group can solve the problem. The largest portion of the CIC
assessment is on how the group was able to find the root of problems, so that the
CIC process is indirectly charged participants a deep analysis capability and
reliability to be able to determine the root causes and develop effective and
efficient solutions.
The impact of the number of CIC groups formed will develop problem solving
ability of employees quickly, and this will greatly affect the pattern of employee
work habits. KPI management requires department to have CIC group and
implement the solutions that will help and develop the culture of improvement.

CIC and Knowledge Management

CIC will greatly impact on increase knowledge management within the company.
This can be seen from:
• The method of application require all improvements to the standardization
to strongly support the preservation of knowledge. The procedures
developed will be automatically entered into the database that accessible
 to all workers. The standardization ensures that the new knowledge can
be used as a reference for workers in the process of working and maintain
such knowledge in the company.
• Problem solving in the CIC must be written down and filed it into bank of
knowledge that will help the learning process of other employees.
• CIC consists of several people that will be excellents transfer of
knowledge between the members of the existing CIC.

CIC Integrated With Key Performance Indicator (KPI) Of Management

In the CIC, any feedback or ideas for improvement should support the programs
established by management and align with management strategy. The results of
this group must be linked directly with each KPI of department. So its application
is more focused and more easily applied by each employee in the department.
In the CIC application, “determine problem” is based on Pareto Problem that
become barrier to achieve KPI management. Whereas in point 2, setting
improvement targets are aimed to support the achievement of KPI management.
Thus, the CIC will greatly contribute to the achievement of performance based on
a scale of priorities and needs of the company.

Conclusion
CIC is a tool that can be used by management to increase improvisation that is
integrated with corporate performance targets. CIC can indirectly be knowledge
management resources that will collect best practices carried out by employees
in a standardization that will be the reference work pattern of employees. CIC
implementation will increase improvement culture along with the development of
the best problem solving method.