Measurable Breakthrough Results #1 Reason Why Performance Improvement Programs Fail … and how to avoid it from happening? Welcome to Today’s Session

Measurable Breakthrough Results Most Asked Question I am often asked: "What are the reasons performance improvement programs like Lean and Six Sigma fail and how can we avoid it?

Measurable Breakthrough Results Session Agenda 1.Determine the most common reasons for failure 2.Review the essentials to a successful performance improvement program 3.Discuss how to avoid this from happening to you

Measurable Breakthrough Results 9 Reasons Why Failure Happened Cost Focused Only No Leadership Support No Leadership Support Poor Choice of Strategy Did not change design Few Breakthroughs No Connection to QC/QA No Connection to QC/QA Did not evolve to BPM Did not evolve to BPM No competitive data No competitive data Applied Wrong Method

Measurable Breakthrough Results Embrace Quality, Don’t Fight It Service Features Increase Sales Free of Failure Decrease Costs Goods and services are “fit for purpose” by your customers Goods and services are “fit for purpose” by your customers “Fit for Purpose” Drives Performance PI Focused on Cost Cutting versus Waste Reduction of Quality Does is not sustainable

Measurable Breakthrough Results Understand Universal Principles Time ControlPlan Improve QbD Compliance DMAIC Only knowing one tool or method does not make PI Happen – must understand relationships to others

Measurable Breakthrough Results Learn Leadership’s Role Lack of leadership support over time

Measurable Breakthrough Results Strategy and Projects Aligned Projects Annual Goals Strategic Goals Vision Time 3 Years 1 Year Months Poor Choice of Strategy – selecting the wrong goals sand means to get there

Measurable Breakthrough Results Product & Service Innovation QbD Define Goals & Customers Define Goals & Customers Discover Customer Needs Discover Customer Needs Design Product Design Product Develop Process & Controls Develop Process & Controls Deliver Not changing the design and innovation process while improving operations

Measurable Breakthrough Results Create Breakthroughs in Performance Current Performance A Breakthrough “Breakthrough is a departure from the usual, familiar way, into the unknown.” LSS Define Value Define Value Measure Value Measure Value Analyze Process-Flow Analyze Process-Flow Improve Process-Pull Improve Process-Pull Control Process Control Process No breakthroughs because of poor selection of problems and projects

Measurable Breakthrough Results Assuring Repeatable & Compliant Processes Establish Baseline Performance Identify CTQs Monitor Actual Performance Compare to CTQ Targets Take Action Value Engagement Teams or Self-Managed Teams Value Engagement Teams or Self-Managed Teams No connection to QC/QA

Measurable Breakthrough Results Move to Business Process Management Business Results Strategic Plans Strategic Plans Customer FUNCTIONAL OBJECTIVES FUNCTIONS PROCESS OBJECTIVES Key Process Not moving to larger scale improvement – BPI or process ownership

Measurable Breakthrough Results Use Benchmarking to Sustain Market Leadership Not looking outside to learn from other industries

Measurable Breakthrough Results 9 Reasons Why Failure Happened Cost Focused Only No Leadership Support No Leadership Support Poor Choice of Strategy Did not change design Few Breakthroughs No Connection to QC/QA No Connection to QC/QA Did not evolve to BPM Did not evolve to BPM No competitive data No competitive data Applied Wrong Method #1

Measurable Breakthrough Results 9 Business Essentials Embrace Quality Embrace Quality Leadership’s Role Strategic Alignment Innovation Breakthrough Improvement Control & Compliance BPM Benchmarking Universals Not looking outside to learn from other industries

Measurable Breakthrough Results How To Avoid It 1.On board each leader together and then one at a time 2.Educate them on the right choice of methods and deployment strategy for your organization 3.Do not fall victim to telling them what they want to hear 4. Explain PI in the language if money

Measurable Breakthrough Results Where Are You Headed?

Measurable Breakthrough Results Thank You