Organizational Excellence In Chile


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Organizational Excellence In Chile

  1. 1. Organizational Excellence in Chile Jorge Román 11th Annual Northern Illinois Quality Conference -NIQC Naperville, Illinois , November 3, 2008
  2. 2. Session Overview <ul><li>ChileCalidad </li></ul><ul><li>National Quality Award </li></ul><ul><li>Chilean Model of Excellence </li></ul><ul><li>A Journey to Excellence in two organizations </li></ul><ul><li>Summary </li></ul>
  3. 3. Snapshot of Chile <ul><li>Chile is located in southwest South America, stretching far south to Antarctica. Its westernmost point is Easter Island, located in the Pacific Ocean, 3,760 km. from the Chilean coast. Measures 4.329 kilometers in length </li></ul><ul><li>Population: 16.4 millon </li></ul><ul><li>GDP (2007): US$ 164 billion </li></ul><ul><li>Income per capita (2007): US$ 9,975 </li></ul><ul><li>Unemployment rate (2007): 7.1% </li></ul><ul><li>GDP growth (2007): 5.1% </li></ul><ul><li>Projected growth (2008): 4.2% </li></ul>
  4. 4. A Competitive Edge <ul><li>In the 2006 World Competitiveness Yearbook , published by the Institute for Management Development (IMD), Chile took 24th place out of 61 economies, ranking just behind United Kingdom, New Zealand and Malaysia and ahead of Israel, Germany and Belgium. </li></ul><ul><li>The Yearbook analyzes over 300 criteria that determine a country's ability to provide an environment that sustains the competitiveness of enterprises. </li></ul>
  5. 5. ChileCalidad <ul><li>ChileCalidad , National Centre of Productivity and Quality, invites workers, businessmen and public services to face up to Chile’s competitive challenges. </li></ul><ul><ul><ul><li>Promote quality awareness </li></ul></ul></ul><ul><ul><ul><li>Recognizing quality achievements of the Chilean Organizations </li></ul></ul></ul><ul><ul><ul><li>Mission: </li></ul></ul></ul><ul><ul><ul><li>“ To promote a movement in the country by continuous improvement and innovation in managing public and private organizations, raising their quality and productivity and strengthen their working relationships”. </li></ul></ul></ul>
  6. 6. ChileCalidad <ul><li>ChileCalidad offers support to companies and organizations to innovate their management through the application of models, tools and teaching practices that have proven their effectiveness and efficiency throughout the world. </li></ul><ul><li>ChileCalidad puts the emphasis in the organizations’ necessity to improve their management and labour relations in companies and public services throughout the country. </li></ul>
  7. 7. <ul><li>Projects: </li></ul><ul><li>Awards and recognitions (National Quality Award) </li></ul><ul><li>Gradual System of Continuous Improvement = Sistema Escalonado de Mejora Continua (SEMC) </li></ul><ul><li>Decent Work and Work of Excellence </li></ul><ul><li>Social Responsibility ( Comité Espejo and RS , Social Responsibility for SME) </li></ul><ul><li>Training and Formation in systems of management of excellence </li></ul>ChileCalidad
  8. 8. National Quality Award <ul><li>The program recognizes quality, since 1996, service in the business, education, and public services sectors and was inspired by Malcolm Baldrige Quality Award-USA </li></ul><ul><ul><li>17 organization have been received a public recognition for the last 11 years. </li></ul></ul><ul><ul><li>120 examiners, 7 judges and 1 Director </li></ul></ul><ul><ul><li>Every year the President give the Award in a prestigious and honor ceremony. </li></ul></ul>
  9. 9. <ul><li>Organizations that apply for The National Quality Award are judged by an independent board of examiners. </li></ul><ul><li>Recipients are selected based on achievement and improvement in eight areas, known as the Chilean Model of Excellence Criteria </li></ul>National Quality Award
  10. 10. Chilean Model of Excellence 1. Leadership 3. Workforce focus 4. Strategic Planning 5. Process Management 7. Social Responsibilities 8. Results 2. Customer and Market Focus 6. Measurement, Analysis and Knowledge Management
  11. 11. Chilean National Award Winners 1997 1998 1999 2000 1998 2000 2001 2001 2002 2004 2005 2005 2005 1998 2001 2004 2006
  12. 12. What Does The Chilean Model of Excellence do for you? <ul><li>Ensures continuous improvement </li></ul><ul><li>Enables Teamwork </li></ul><ul><li>Common language </li></ul><ul><li>Knowledge Sharing </li></ul><ul><li>Motivates employees </li></ul><ul><li>Improves business results </li></ul>
  13. 13. <ul><li>“ Quality is never an accident. It is always the result of intelligent effort” </li></ul><ul><li>John Ruskin, 1819-1900 </li></ul>
  14. 14. <ul><li>A Journey to Excellence in two organizations </li></ul>
  15. 15. <ul><li>Excellence Management Model </li></ul><ul><li>inside BancoEstado Microempresas (BEME) </li></ul>
  16. 16. <ul><li>2007 </li></ul><ul><li>BEME’s Quality Award </li></ul>BEME´s Quest for Excellence <ul><li>2006 </li></ul><ul><li>ISO-9001 </li></ul><ul><li>Kaizen </li></ul><ul><li>2005 </li></ul><ul><li>Six Sigma </li></ul><ul><li>Certifications </li></ul><ul><li>2002 </li></ul><ul><li>Quality Management </li></ul><ul><li>Excellence Model </li></ul><ul><li>1996 </li></ul><ul><li>Quality in Service </li></ul>2008 “ BSC Hall of Fame”
  17. 17. <ul><li>One of the 10 best companies in Social Responsibility. </li></ul>2005 <ul><li>Great Place to Work, 2005: </li></ul><ul><li>24th place in “The Best Companies to work in Chile”. </li></ul><ul><li>National Quality Award </li></ul><ul><li>Winner in 2005, Large Scale Organization Category. </li></ul>2006 <ul><li>Ibero American Quality Award, 2006 </li></ul><ul><li>The only one chilean enterprise recipient in 2006. </li></ul><ul><li>1st public enterprise recipient in South America. </li></ul><ul><li>Great Place to Work, 2006: </li></ul><ul><li>5th place in “The Best Companies to work in Chile”. </li></ul><ul><li>1st place in “Equal employment Opportunities for men and women”. </li></ul>
  18. 18. 8. Milestones 2007 <ul><li>One of the top 100 “The best Companies to work in </li></ul><ul><li>Latin America”. </li></ul><ul><li>Award given by Great Place To Work in Mexico, 2007. </li></ul><ul><li>Great Place to Work, 2007: </li></ul><ul><li>3rd place in “The Best Companies to work in Chile”. </li></ul><ul><li>International Asia-Pacific Quality Award, 2007 </li></ul><ul><li>World-Class Organization Category, as well as Tata Chemicals Limited. </li></ul>2008 <ul><li>BSC “Hall of Fame” </li></ul>
  19. 19. <ul><li>Excellence Management Model </li></ul><ul><li>inside Gerdau Aza </li></ul>
  20. 20. Gerdau <ul><ul><li>One of the world’s lowest cost steel companies </li></ul></ul><ul><ul><ul><li>Strong cost position as a result of diversified production processes and multiple raw material sourcing </li></ul></ul></ul><ul><ul><li>Strong foreign currency generation </li></ul></ul><ul><ul><ul><li>Large export base </li></ul></ul></ul><ul><ul><ul><li>International subsidiaries </li></ul></ul></ul><ul><ul><li>Ranked 14th globally by steel output for year 2005 with an output of 13.7m tons </li></ul></ul><ul><ul><li>Relevant market share and diversified product range through downstream and service centers </li></ul></ul><ul><ul><li>Gerdau S.A. shares are listed on the São Paulo, New York and Madrid Stock Exchanges </li></ul></ul>
  21. 21. Gerdau Aza-Chile <ul><li>Tradition of 54 years of existence. </li></ul><ul><li>Largest producer of reinforcement bars and rolled profiles of Chile. </li></ul><ul><li>Leading recycler of steel scrap. </li></ul><ul><li>US $ 300 million billing 2007. </li></ul><ul><li>600 people. </li></ul>
  22. 22. Gerdau Aza´s Quest for Excellence <ul><li>2002 </li></ul><ul><li>Iberoamerican Quality Award </li></ul><ul><li>Great Place to Work </li></ul><ul><li>2000 </li></ul><ul><li>Adoption of Six Sigma Methodologies </li></ul><ul><li>National Quality Award </li></ul><ul><li>1984 </li></ul><ul><li>Beginning of the Gerdau </li></ul><ul><li>Standardization System </li></ul><ul><li>1999 </li></ul><ul><li>Gerdau Quality Award launched </li></ul><ul><li>( based on National Quality Program excellence criteria) </li></ul><ul><li>ISO 9001:2000 </li></ul><ul><li>2004-2008 </li></ul><ul><li>RSE </li></ul><ul><li>Great Place to Work </li></ul><ul><li>ISO-14001 </li></ul>
  23. 23. Summary <ul><li>Culture of Excellence </li></ul><ul><li>Benchmark </li></ul><ul><li>People </li></ul><ul><li>Competitive “Chile a better country” </li></ul><ul><li>Comunication, comunication, comunication… </li></ul><ul><li>A Culture of Excellence </li></ul>
  24. 24. <ul><li>“ A culture of excellence is essential to get </li></ul><ul><li>breakthrough results” </li></ul><ul><li>Jim Collins </li></ul><ul><li>“ Good to Great” </li></ul>
  25. 25. <ul><li>Thanks! </li></ul><ul><li>Questions? </li></ul><ul><li>[email_address] </li></ul>