Benchmarks and quality management PowerPoint presentation Unit 333 (M&L 11): Manage team performance Benchmarks and quality management

Aims and objectives The aim of this lesson is to: explain the use of benchmarks in managing performance explain a range of quality management techniques to manage team performance describe constraints on the ability to amend priorities and plans. The objectives are for you to: understand the management of team performance.

What is benchmarking? Benchmarking identifies the best way to produce the best service provision or product. The aim is for the organisation is to adopt the best practice and thereby improve its: efficiency effectiveness quality of products quality of service delivery or all of the above. Benchmarking is also a useful tool for measuring standards within a company. Standards are set by the company, this is the “Benchmark”, companies can then use this to quality assure their own processes, products or services. Benchmarking is also used to measure a company against its peers, ie HSBC against NatWest. Large organisations use benchmarking to set the level of pay for senior executives, eg when Tesco is looking for a new Chief Executive they will look at the pay and bonus from a range of other companies similar to itself such as Asda, Sainsbury's etc to set the level of pay.

Why benchmark? Benchmarking within customer services allows organisations to compare their performance with another organisation, identify the differences and then adapt their delivery to improve. Benchmarking within customer services consists of four steps: Obtain a detailed understanding of existing customer service delivery. Analyse the customer service processes of others. Compare the different models. Implement the steps necessary to close any gaps. Benchmarking looks at how others achieve their performance levels and examines the processes they use. There are many different approaches to benchmarking from quality measurements to comparisons with other organisations. Within customer services benchmarking can be achieved through conducting survey’s and then comparing the results with other customer facing organisations. Many organisations have an approach tailored to their own organisational goals and business needs. Understand their own delivery of customer service. Analyse against a similar organisation, identify the gaps. Plan how these gaps can be achieved. This will include setting new targets and goals. Implement process to improve the organisations performance. Benchmarking can also be used within an organisation to compare the performances of teams within the organisation itself. For example, Tesco could benchmark its different divisions, comparing their turnover and profits by divisions is an example of this. Within each division benchmarking could also be used to compare the teams practices and procedures, this is often the case when conducting audits on teams to confirm compliance with the organisations policies and procedures.

Principles of total quality management There are three basic principles to total quality management: Focus on the customer. Understand the process. All employees committed to quality and excellence.

Focus on the customer Identify the customers, both internal and external, needs and expectations. Set the performance standards of your customer service delivery to meet these needs and expectations. Customers needs can be identified through the use of: Focus groups Customer surveys Sales figures Analyse the data and set the standards of customer service delivery to meet the needs and expectations of your customers. Remember you must also balance the needs of the organisation when setting the performance targets.

Understand the process The process of delivering good customer service must be understood by all. Commitment to continuously improve is required from all within the organisation.

All employees are committed to excellence and quality Employees are committed to a culture of quality. Communication and team work is effective. Skills are developed. Employees are committed to a culture of quality. Within customer services the adage of ‘The customer is always right’ is adopted by many organisations to remind employees of the organisational need to meet the customers needs and expectations. Communication and team work is effective. Communication within customer service delivery is key. If employees do not know what their organisations offers or goals are how can they help achieve them? Skills are developed. Employees skills are developed through the provision of good training and experience in delivering the organisation’s goals.

Quality management techniques Performance Measures and standards Benchmarking Process analysis and re-engineering Continuous improvement Employee involvement People development Performance measures and standards. The process of collecting, analysing data for the improvement of delivery of service by an organisation. These findings can be written into standards for all employees to achieve. An example of a performance management standard is the ISO 9000 group of internationally recognised standards. Benchmarking Benchmarking identifies the best way to produce the best product. The aim is for the organisation is to adopt the best practice and thereby improve its: efficiency effectiveness quality of products quality of service delivery or all of the above. Process analysis and re-engineering This is the analysing of processes within and organisation and then redesigning the process to meet the organisational needs for improvement. Within customer service delivery this may be an analysis of the after sales services provided by the organisation. Does this meet the customers and organisational needs, if not redesign the process to improve. Continuous improvement Continuous improvement within the customer service sphere is centered on continually delivering improved products or services to your customers. This will support customer loyalty and the overall performance of the organisation. Employee involvement When employing any quality management system it is imperative that employees, at all levels, are involved in the process from the planning to the delivery of the improvements. People development The development of the employees is a must if a quality management system is to improve the quality of delivery or products / services. When delivering any people development it must be remembered that development of senior management should be the initial focus, they will then drive the development of the rest of the workforce.

Amending priorities and plans Authority Influencing skills Policies Finance Team members Authority When managing any customer service team the level of authority provided to the team leader will impact on his or her ability to implement and drive changes to the delivery of the service or product. Influencing skills The influencing skills of the team leader are imperative if the team leader is to lead his or her team in any changes. Influencing skills are also required to influence those outside of their team, such as management or other teams, is to be successful. Policies Organisational policies will impact on any changes to priorities and plans of a team. Within customer services if a new plan is man a service point with reduced manpower then the organisations lone worker policy may prevent this. Finance Delivery of any new service or product will always be affected by any financial constraints placed on the team by the organisation. Team members Team members will always impact on amending any policies and plans by an organisation. Team leaders must influence, drive and lead their teams to ensure organisational goals are met.

Summary Benchmarking Total quality management Quality management techniques Amending priorities and plans

Assessment

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