Aligning to the Voice of the Customer at Three Levels Guy W. Wallace, CPT ISPI Conference – Boston April 13, 2003

This Encore Session Was presented at last years ISPI conference in Dallas and was rated in the Top 10 of all concurrent sessions Requires audience participation Involves four, quick, 2-person exercises Although we didn’t quite get finished with the fourth exercise last year

Session Performance Context . . . and your ISD/HPT System’s purpose, size, organization, complexity, and culture . . . Depending on your enterprise’s purpose, size, organization, complexity, and culture . . . . . . getting aligned to the Voice of the Customer (VOC) can be relatively easy - if you are smaller or your focus is narrower Your situation is less complex 2 Graphics: of one supplier listening to one customer; and many suppliers listening to many customers very difficult - if you are larger and your focus is broader Your situation is more complex B3

Session Objectives At the conclusion of this session, you will be able to Describe the three levels of Voice of the Customer for alignment purposes Identify the impacts of poor alignment at each level Assess your organization’s alignment to the three critical “voices” Identify strategies and tactics for improving your alignment Use the model as a jump-starter for assessing your own organization’s alignment to the “voices of your customers” after the session B4

Session Agenda Session Open Quick Orientation to the 3 Level Model Level 1: Enterprise–Governance and Assessment Exercise Level 2: Functional–Advisory and Assessment Exercise Level 3: Process–Project and Assessment Exercise Last Exercise: Assessing Your Overall Alignment Issues and Targeting Areas to Improve Session Summary & Close Add man standing on left side

Session Presenter Intro Guy W. Wallace, CPT Guy W. Wallace has been in the T&D field since 1979 and an ISD consultant since 1982. His clients over the years have included 32 of the Fortune 500, plus NASA, BP, Novacor, and Siemens. He has analyzed and designed/ developed training and development for almost every type of business function and process. He is the author of three books, more than 40 articles, and has presented more than 40 times at international conferences and local chapters of ISPI, ASTD, at IEEE, Lakewood Conferences and the Conference on Nuclear Training and Education. He has served on the ISPI Board of Directors as the Treasurer (1999–2001) and will become the president of ISPI in April 2003. His biography is listed in Marquis Who’s Who in America. Guy W. Wallace, CPT

Audience Survey What is your function’s role? HPT and/or ISD What, in your ISD/HPT function, is your role? Leadership or Management/Supervisory or Individual Contributor What is the number of ISD/HPT staff in your ISD/HPT function? Less than 5 Between 5 and 10 Between 10 and 50 Between 50 and 100 More than 100 How many distinct customer segments does your ISD/HPT function serve? Only 1 Between 2 and 5 Between 10 and 20 More than 20 B2

Quick Orientation to the Model Alignment at three Levels of “Voice of the Customer” Level 1: Enterprise–Governance Level 2: Functional–Advisory Level 3: Process Performance/Performer–Project These can each be approached both formally and informally. We are presenting a “formal” approach; which can be made “informal” if that is appropriate to your situational context.

Quick Orientation to the Model (continued) Governance Board Senior Executives PERMANENT GOVERNANCE AND ADVISORY Enterprise Level 1 ABC Advisory Council DEF Advisory Council GHI Advisory Council XYZ Advisory Council Training Council(s) T&D Representatives Functional Level 2 Project Steering Team Analysis Team Design Team Etc. TEMPORARY SUPPORT (AS REQUIRED) Process Level 3 VOC Alignment Levels Level 1: Enterprise–Governance Level 2: Functional–Advisory Level 3: Process Performance/ Performer–Project B3

Level 1: Enterprise–Governance Aligning with the Enterprise voice of the customers at Level 1 means . . . You are “wired” into the more critical, strategic needs of the enterprise, and your contribution and results are seen as adding value Your enterprise leaders are “governing” your ISD/HPT focus and providing timely and sufficient resources They influence “what” and “when”, but not usually “how” to conduct the project They own the “business decisions” inherent in ISD/HPT program management, planning, and project conduct B1

Level 1: Enterprise–Governance (continued) How to align Informally . . . when your situation is less complex Enterprise leaders can be interviewed in their offices or at lunch/dinners, and the business issues and needs solicited and feedback gathered on prior effort Formally . . . when your situation is more complex A “Board of Governors” can be formed to formally meet to set strategic direction, review functional needs, allocate resources, and review results Or you can get on the agenda of any routine meetings of the enterprise executives for their input, decision-making, and results review B1

Level 1: Enterprise–Governance (continued) Level 1 alignment could look like this in a formal mode Governance Board Senior Executives PERMANENT GOVERNANCE AND ADVISORY Enterprise Level 1 ABC Advisory Council DEF Advisory Council GHI Advisory Council XYZ Advisory Council Training Council(s) T&D Representatives Functional Level 2 B1

The Signals and Costs of Misalignment at Level 1 Signals for you ISD/HPT project “priorities” are constantly changing Leadership wonders out loud “what they are getting” for all of the resources consumed in ISD/HPT efforts People and money resources are often cut for ISD/HPT projects and function Costs to the enterprise Projects are not targeted at Critical Business Issues Projects don’t achieve forecasted or any ROI and EVA® goals Budget cuts and staff reductions may defer problem resolutions EVA = Economic Value Add * EVA is a registered trademark of Stern Stewart & Company)

Exercise 1 Self Assessment: Level 1 Alignment Review the Session Assessment Worksheet – Pages 2-3 “Top Row” Take 2 minutes and quickly interview a neighbor and assess the alignment of their ISD/HPT System with their customers at Level 1 . . . and then spend 2 minutes discussing your situation Prepare to “read out” what you’ve learned about the other person’s situation and their alignment/misalignment status

Level 2: Functional–Advisory Aligning with the Functional voice of the customers at Level 2 means. . . You are “wired” into the more critical, strategic needs of the functions (or business units/customer segments) within your scope, and your contribution and results are seen as adding value Your functional leaders are “prioritizing” your ISD/HPT efforts and providing timely and sufficient oversight and support They influence “what” and “when”, but not usually “how” to conduct the project They own the “business decisions” inherent in ISD/HPT planning and project conduct B1

Level 2: Functional–Advisory (continued) How to align Informally . . . when your situation is less complex Functional leaders can be interviewed and their needs solicited in one-on-one meetings, lunches/dinners, etc. Formally . . . when your situation is more complex A set of Advisory Councils can be formed to set priorities for functional needs, request resources, staff project team teams, and review results Or you can get on the agenda of any routine meetings of the functional/business unit directors and managers B1

Level 2: Functional–Advisory (continued) Level 2 alignment could look like this in a formal mode Governance Board Senior Executives Enterprise Level 1 PERMANENT GOVERNANCE AND ADVISORY ABC Advisory Council DEF Advisory Council GHI Advisory Council XYZ Advisory Council Level 2 Functional Training Council(s) Project Steering Team Analysis Team Design Team Etc. TEMPORARY SUPPORT (AS REQUIRED) Process Level 3 T&D Representatives B2

The Signals and Costs of Misalignment at Level 2 Signals to you The ROI and business case/reason for conducting the project is murky Projects don’t have the support or sponsorship necessary to get appropriate resources for the project Project target audiences and their management wonders out loud “What they are getting” for all of the resources being consumed (SME time, etc.) Who asked for this Costs to the enterprise ISD/HPT resources targeted at non-strategic/low-impact needs within the function and significant ROI and EVA are foregone Projects are dropped mid- stream for other priorities, and the investment costs are wasted

Exercise 2 Self Assessment: Level 2 Alignment Review the Session Assessment Worksheet – Pages 2-3, “Middle Row” Take 2 minutes and quickly interview a neighbor and assess the alignment of their ISD/HPT System with their customers at Level 2 . . .and then spend 2 minutes discussing your situation Prepare to “read out” what you’ve learned about the other person’s situation and their alignment/misalignment status

Level 3: Process/Performer–Project Aligning with the Process/Performer Voice of the Customer at Level 3 means . . . You are focused on the “process performance-based” awareness, knowledge, and/or skill needs of target audiences, as well as other human and environmental variables, and your contribution and results are seen as adding value by the users of your products/services Master performers and subject matter experts (SMEs) are contributing to your analysis, design, development, and pilot-test efforts, and are thus “governing” your ISD/HPT content and providing timely and sufficient resources They greatly influence the “what” of content; but not usually “how” to conduct the project B1

Level 3: Process/Performer–Project (continued) Aligning with the Process/Performers at Level 3 . . . Informally . . . when your situation is less complex Leaders and managers, as well as master performers and subject matter experts, are recruited and interviewed for analysis, design, development, and pilot-testing needs on an as-needed basis Formally . . . when your situation is more complex Project Teams can be handpicked by the Functional Advisory Councils for project efforts committed to deliverables and schedules, and formally organized into teams, such as Project Steering Team Analysis Team and Analysis Review Team Design Team and Design Review Team Development Team Pilot-Test Team B1

Level 3: Process/Performer–Project (continued) Level 3 alignment could look like this in a formal mode ABC Advisory Council Functional Level 2 Project Steering Team Project Steering Team TEMPORARY SUPPORT (AS REQUIRED) Process Level 3 Analysis Team Design Team Etc. B1

The Signals and Costs of Misalignment at Level 3 Signals to you A lack of customer involvement/support from credible master performers and subject matter experts in project analysis, design, development, and pilot- testing efforts Post-deployment evaluations suggest that the design and content isn’t feasible, accurate, or complete Costs to the enterprise Rework and repilot-testing time and budget for ISD/HPT deliverables due to them being inaccurate, incomplete, or inappropriate Inefficient use of field and staff support in project efforts as SMEs and Master Performers Inefficient use of ISD/HPT professionals

Exercise 3 Self Assessment: Level 3 Alignment Review the Session Assessment Worksheet – Pages 2-3, “Bottom Row” Take 2 minutes and quickly interview a neighbor and assess the alignment of their ISD/HPT System with their customers at Level 3 . . . and then spend 2 minutes discussing your situation Prepare to “read out” what you’ve learned about the other person’s situation and their alignment/misalignment status

Targeting Your Own Improvements Based on your previous assessments of the alignment of your T&D system with your customers at three levels, where do you think you should spend your initial energies at improving any of your current or future misalignments . . . and why? Please comment on “What you think you could/should do” for better alignment at what level? How will you go about it given your situation?

Session Summary Aligning to the Voice of the Customer at Three Levels

Session Objectives Review At the conclusion of this session, you should now be able to   Describe the three levels of Voice of the Customer for alignment purposes Identify the impacts of poor alignment at each level Assess your organization’s alignment to the three critical “voices” Identify strategies and tactics for improving your alignment Use the model as a jump-starter for assessing your own organization’s alignment to the “voices of your customers” after the session

and good luck back on the job! Session Close Please Complete ISPI’s Session Evaluation Thank You Enjoy the conference and good luck back on the job!

Additional References/Resources Additional readings and an assessment tool are available on the EPPIC Web site Performance Modeling for lean-ISDSM lean-ISD via the PACT Processes for T&D lean-ISD White Paper Targeting EPPI – Enterprise Process Performance ImprovementSM http://www.eppic.biz Add gopher more image in place “Gopher” more at eppic.biz

Facilitator Contact Information Guy W. Wallace, CPT EPPIC Inc. Enterprise Process Performance Improvement Consultancy Inc. Phone: (630) 898-9752 Fax: (630) 898-9758 Mobile: (630) 730-6195 E-mail: guy.wallace@eppic.biz