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Toward A Knowledge Based Organization, Varanor, 28 Dec 08
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Toward A Knowledge Based Organization, Varanor, 28 Dec 08

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The is a case study of an 11 year implementation of a Training and Performance Improvement Strategy at an automotive parts firm.

The is a case study of an 11 year implementation of a Training and Performance Improvement Strategy at an automotive parts firm.

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Toward A Knowledge Based Organization, Varanor, 28 Dec 08 Toward A Knowledge Based Organization, Varanor, 28 Dec 08 Presentation Transcript

  • Toward a Knowledge – based Organization The Foundation of Operational Excellence and Sustainable Competitive Advantage in the North American Automotive Industry A Case Study Norm Nopper, MA, BBA Director, Varanor International 1
  • Objectives & Topics Obj ti Ti • Background – The Client – Auto Industry Trends: Strategic and Operational – Automotive Parts Industry: Challenges • Client R Cli t Response to Challenges t Ch ll – Become a Knowledge – based Organization • Building a Curriculum for Sustainable Competitive Advantage – Manager/Supervisor Development Program a age /Supe so e e op e t og a – Team Leader Development Program – Employee Skill Development Program • Implementing Support Strategies – Evaluation of Training – Talent Management System • A Few Details • Next Steps/Year 10 and Beyond Toward a Knowledge - based Organization 2
  • The Client Th Cli t • The client is an automotive parts manufacturer specializing in engines, transmissions and fuel systems. It has 8 factories located in North America. • Profile of North American employees: – Each factory has between 150 – 250 front line employees. – Average length of service: 20 years. – Average age: 45 A – Education: • In most factories, less than High School Diploma. • In factories with large populations of recent immigrants Bachelor and even immigrants, Masters degrees. – Language barriers. • Most people speak English as a Second Language. • Substantial number of employees speak little or no English. Toward a Knowledge - based Organization 3
  • Auto Industry Trends: y Strategic • Gl b l S Global Supply D l Development and P h i l t d Purchasing • Developments in Automotive Technology • Changes to the Traditional Automotive Business Model – Need to manage the relentless price pressure from customers. – Traditional Customers (GM, Ford, Chrysler) may exit permanently from automotive assembly. assembly – Need to develop immediate business and long term relationships with non – traditional customers (e.g., Toyota, Nissan, Honda, Peugeot). – Geo – economically, the need to develop business and long term y, p g relationships in countries and regions where existing and emerging automotive companies are establishing manufacturing facilities. Toward a Knowledge - based Organization 4
  • Auto Industry Trends: y Operational • It Integration of Automation and Process Controls into the ti fA t ti dP C t l i t th Production Process • Developments in Process Technology p gy Toward a Knowledge - based Organization 5
  • The Automotive Parts Industry: Challenges • At Automotive P t I d t Ch ll ti Parts Industry Challenges: – Assist our existing customers – Win business with new customers • How? – Traditional Methods: • Lower costs Given the present state of the auto industry, these tactics have proven not • Improve quality sufficient. • Improve delivery – Innovative Methods: This is a core value for organizations that • Ideas/Suggestions are built to last. – from ALL employees Toward a Knowledge - based Organization 6
  • The Automotive Parts Industry: Client’s Response to Challenges •BBecome a K Knowledge – b ld based O d Organization i ti • A Knowledge – based Organization focuses on aligning Five Critical Factors: 1) Making sure the right Information 2) Flows to the right People 3) At the right Time 4) To make the right Decisions 5) To satisfy the right Stakeholders. Toward a Knowledge - based Organization 7
  • A Knowledge – based Organization: The Vision & Philosophy The right Information = Key Metrics The right People = Preparation through Training, Education and Personal and Professional Development The right Time = Engagement; each employee has the confidence to act, and the leadership support; if an employee acts in good faith, but makes a mistake, there will be no negative consequences. The right Decisions = Knowledge Applied The right Stakeholders = Customer Delight Employee Delight Shareholder Delight Do no harm to unrelated third parties Toward a Knowledge - based Organization 8
  • The Vision Th Vi i Present State Future State • Metal “bashing and forming” • Development, assembly and delivery of complete • Component assembly automotive systems • Mass Production • Modern manufacturing • Employees are machine practices (e.g., Toyota operators, assemblers, Production System) cleaners, trades people, etc. • Employees see themselves as fully engaged businesspersons Toward a Knowledge - based Organization 9
  • Building a Curriculum for Sustainable Competitive Advantage Comprehensive Organization – wide learning assessment (Year 8) Launch of Operator Skill Development Program (Year 6) President Announces Competitive Mandate: “To thrive, our company must become a Knowledge – based Organization.” ( g (Year 3) ) Launch of Team Leader Development Program (Year 2) Launch of Manager/Supervisor Development Program (Year 1) Comprehensive Organization – wide learning assessment (Pre - launch) Toward a Knowledge - based Organization 10
  • Curriculum for Sustainable Competitive Advantage Program Focus Employee Skill Development Promote Engagement and Interest in the business; Program Change the front line employee’s view of him/herself: “I am g py a businessperson. I am part owner of MPT, and I produce components, systems and solutions for our customers in the Auto Industry.” Team Leader Development Lead through Influence Program (without resorting to Formal Authority) Management/Supervisor Lead through Influence, and use Authority Responsibly Development Program Toward a Knowledge - based Organization 11
  • Support St t i S t Strategies Comprehensive Evaluation Talent Management Organization – wide learning assessment (Year 8) Participant Learning: Paper & Launch of Talent Evaluation Launch of Operator Skill Pencil and Performance and Succession Planning Development Program Testing (Year 8) T ti (Y Systems (Y St (Year 9) (Year 6) President Announces Competitive Participant Satisfaction Talent Management Mandate: “To thrive, our company must Surveys (Year 1) Systems also served to become a Knowledge – based evaluate Participant a ua a pa Organization.” ( g (Year 3) ) Job Performance Improvement Launch of Team Leader Development Program (Year 2) Launch of Manager/Supervisor Development Program (Year 1) Comprehensive Organization – wide learning assessment (Pre - launch) Toward a Knowledge - based Organization 12
  • Becoming a Knowledge – based Organization: Stages Stage 1: Training Culture – Management views training and development as a critical investment in the future of the business. – Management views soft skills – interpersonal skills, relationship building skills building, emotional intelligence – as critical success factors, on par with technical skills. Stage 2: Learning Culture – Employees view training and development as a critical investment in them. – They actively seek learning and developmental opportunities. Stage 3: Knowledge Based Organization Toward a Knowledge - based Organization 13
  • Implementing the Vision: A Ten Year Journey •D Develop a T i i C lt l Training Culture: Y Years 1 – 5 • Develop a Learning Culture: Years 5 - 9 • Knowledge – based Organization: Years 9 + Toward a Knowledge - based Organization 14
  • Employee Skill Development Program: Sample Course Topics Level 1 1) Understanding Business Operations: Your Job Matters! 2) Effective Communications 3) Team Skills 4) Decision Making and Problem Solving Level 2 1) Six Sigma Awareness 2) Business Values 3) Decision Making & Problem Solving 4) Effective Communication 5) Team Skills Level 3 1) On the Job Training Toward a Knowledge - based Organization 15
  • Team Leader Development Program: Sample Course Topics 1) The Role of the Team Leader 2) Reviewing Job Progress 3) Health, Safety and Environmental 4) Effective Communication 1: Basic Principles 5) Effective Communication 2: Skill Practice 6) ) Coaching Team Members g 7) On the Job Training 8) Team Motivation 9) Leading a Diverse Team 10) Problem Solving & Decision Making 11) Personal Effectiveness (Personality Resources International) Toward a Knowledge - based Organization 16
  • Manager/Supervisor Development Program: Sample Course Topics 1) The Role of the Manager & Supervisor 2) Managing the Employee’s Charter 3) Effective Communication 1: Basic Principles 4) Performance Appraisal and Review Meetings ) pp g 5) Principles of Motivation 6) Fair and Effective Discipline 7) Effective Communication 2: Skill Practice 8) Coaching for Performance Improvement 9) Managing Diversity 10) The Manager/Supervisor and the Law 11) S Successfully M f ll Managing th D t t A i the Duty to Accommodate dt 12) Positioning Managers & Supervisors for Successful Management of the Workplace Toward a Knowledge - based Organization 17
  • Evaluation P E l ti Procedures d • Before Training: – Performance: Talent Evaluation – Knowledge: Pre – test • During Training: g g – Performance: Participant In – class Performance Assessment – Performance: On the job assignments – Knowledge: Module Skill Reviews • After Training – Knowledge: Post – test – Performance: Talent Evaluation •IImmediately upon completion of all program modules di t l l ti f ll dl • Six months after completing the program • Twelve months after completing the program • Thereafter annually Thereafter, Toward a Knowledge - based Organization 18
  • Locking in Progress and Continuing Development • Employee Skill Development Program: El D l tP – Proceed to deliver Levels 2 and 3. – Implement the Training Within Industry courses Job Instruction and Job Methods. • Team Leader, Manager and Supervisor Development Programs: Leader – Continue and reinforce use of Learning Reinforcement tools. • Learning Plans, Journals, on the job assignments. – Continue evaluation strategy; refine and improve its application. – Begin providing evaluation data to factory management. • Factory managers need relevant, accurate information to make staffing decisions regarding their Leadership and Management teams. • Advanced Management Training: – Use and improve the Talent Management/Succession Planning process. – Develop a formal Mentoring program. – Partner with a University to develop an Executive Development Program. Toward a Knowledge - based Organization 19
  • Year 10 and B Y d Beyond d • I year 11, th project was t In 11 the jt transferred t the client. f d to th li t • Today, in – house personnel manage and continue to develop the p p process. For more information, contact f Norm Nopper, nsnopper@varanor.com, or visit www.varanor.com Toward a Knowledge - based Organization 20