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Mazda Initiatives Mod4

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Mazda Initiatives Mod4

  1. 1. Planning for Success Module 4 Hawaii Employers Council & Marsh and Barnes, Inc
  2. 2. Outcome <ul><li>Each organization attending develops or refines its own strategic plan which can be implemented successfully achieving real and lasting benefits. </li></ul>
  3. 3. Previous Module: 3 <ul><li>How to develop a ‘dashboard’ of measures to monitor your strategy </li></ul><ul><ul><li>Measurement explosion </li></ul></ul><ul><ul><li>The critical few </li></ul></ul><ul><ul><li>Understand variation </li></ul></ul><ul><ul><li>Collecting and defining data </li></ul></ul><ul><ul><li>Presenting data </li></ul></ul>
  4. 4. Review Module 3 Homework <ul><li>What were the key learning points? </li></ul><ul><li>At least two examples for discussion by the whole group. </li></ul><ul><ul><li>One Dashboard </li></ul></ul><ul><ul><li>One Control Chart </li></ul></ul>
  5. 5. Planning for Success: Module 4 <ul><li>How to identify and implement key initiatives </li></ul><ul><ul><li>Linking initiatives to Strategic Objectives </li></ul></ul><ul><ul><li>Overcoming restrainers to change </li></ul></ul><ul><ul><li>Initiatives of interest </li></ul></ul><ul><ul><ul><li>Customer Satisfaction Measurement & Improvement </li></ul></ul></ul><ul><ul><ul><li>Project Management </li></ul></ul></ul><ul><ul><ul><li>Process Management </li></ul></ul></ul><ul><ul><ul><ul><li>Focus PDSA </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Lean </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Activity-based Costing & Economic Value Added </li></ul></ul></ul></ul>
  6. 6. Strategic Projects
  7. 7. Restrainers to Change Force Field Analysis
  8. 8. Customer Satisfaction Measurement & Improvement
  9. 9. ServQual <ul><li>Tangibles </li></ul><ul><ul><li>Appearance, functionality, etc. </li></ul></ul><ul><li>Reliability </li></ul><ul><ul><li>To meet or exceed expectations dependably </li></ul></ul><ul><li>Responsiveness </li></ul><ul><ul><li>Speed of response to customers’ needs </li></ul></ul><ul><li>Assurance </li></ul><ul><ul><li>Knowledge and competence of staff </li></ul></ul><ul><li>Empathy </li></ul><ul><ul><li>Caring, considerate, friendly, etc. </li></ul></ul>
  10. 10. CS Measurement Methods <ul><li>Quantitative </li></ul><ul><ul><li>Telephone surveys </li></ul></ul><ul><ul><li>Mail surveys </li></ul></ul><ul><ul><li>Personal interviews </li></ul></ul><ul><ul><li>Confidence levels and sample sizes? </li></ul></ul><ul><ul><li>Randomness? </li></ul></ul><ul><li>Qualitative </li></ul><ul><ul><li>Focus groups </li></ul></ul><ul><ul><li>Improvement teams </li></ul></ul><ul><ul><li>Complaints, comments and compliments </li></ul></ul><ul><ul><li>Informal interviews </li></ul></ul><ul><ul><li>Mystery shoppers </li></ul></ul><ul><ul><li>Being the customer </li></ul></ul><ul><ul><li>MBWA Anecdotal? Special Causes? </li></ul></ul>
  11. 11. Project Management The Return!
  12. 12. Project Failure - IT <ul><li>Cancelled – 31% </li></ul><ul><li>Troubled – 53% </li></ul><ul><li>Successful – 16% </li></ul>Source: The Standish Group ‘Chaos Report 1995’ and Systems Excellence LLC
  13. 13. Common Causes
  14. 14. PMI Method
  15. 15. Planning Tools & Techniques <ul><li>Outcome Statements </li></ul><ul><li>Critical Success Factors </li></ul><ul><li>Lists </li></ul><ul><li>Templates/Checklists </li></ul><ul><li>Timelines </li></ul><ul><li>Planning Grid </li></ul><ul><li>Failure Mode Effect Analysis </li></ul><ul><li>Gantt Charts </li></ul><ul><li>Critical Path Analysis </li></ul><ul><li>Resource Smoothing </li></ul><ul><li>Plus, plus </li></ul>
  16. 16. Templates <ul><li>Product Description </li></ul><ul><li>Project Charter & Scope </li></ul><ul><li>Project Plan </li></ul><ul><ul><li>Task & Sequence </li></ul></ul><ul><ul><li>Resources </li></ul></ul><ul><ul><li>Budget </li></ul></ul><ul><ul><li>Risk Assessment </li></ul></ul><ul><li>Change Management </li></ul><ul><li>Close Out </li></ul>
  17. 17. Process Management Focus PDSA Lean ABC/EVA
  18. 18. Process Improvement Focus PDSA
  19. 19. Focus PDSA
  20. 20. Lean Toyota - Fifties
  21. 21. Lean
  22. 22. Background <ul><li>Toyota Production System – 1970’s </li></ul><ul><li>Less of everything </li></ul><ul><ul><li>Human effort </li></ul></ul><ul><ul><li>Capital investment </li></ul></ul><ul><ul><li>Facilities </li></ul></ul><ul><ul><li>Inventories </li></ul></ul><ul><ul><li>Time </li></ul></ul>
  23. 23. Consumer Reports – Good Bets <ul><li>Acura Integra Acura RL Acura TL Ford Escort Geo/Chevrolet Prizm Honda Accord Honda Civic Honda CR-V Honda Odyssey Infiniti G20 Infiniti I30 Isuzu Oasis Lexus ES300 Lexus GS300/GS400, GS430 Lexus LS400, LS430 Lexus RX300 Mazda Millenia Mazda MX-5 Miata Mazda Protegé </li></ul><ul><li>Mercury Tracer Nissan Altima Nissan Maxima Nissan Pathfinder Saab 9-5 Subaru Forester Subaru Impreza Subaru Legacy/Outback Toyota 4Runner Toyota Avalon Toyota Camry Toyota Camry Solara Toyota Celica Toyota Corolla Toyota Echo Toyota RAV4 Toyota Sienna Toyota Tacoma Toyota Tundra </li></ul>
  24. 24. Value in Production Operations <ul><li>5% of all activities add value </li></ul><ul><li>35% are necessary non-value adding activities </li></ul><ul><li>60% of activities add no value at all </li></ul>Note: Value added is defined as adding value for the end customers
  25. 25. Muda <ul><li>Through the identification of seven types of waste, Muda makes people aware of the amount of waste in a typical organization and helps them target this waste for reduction or elimination. </li></ul><ul><ul><li>Overproduction </li></ul></ul><ul><ul><li>Waiting </li></ul></ul><ul><ul><li>Transport </li></ul></ul><ul><ul><li>Extra Processing </li></ul></ul><ul><ul><li>Inventory </li></ul></ul><ul><ul><li>Motion </li></ul></ul><ul><ul><li>Defects </li></ul></ul>
  26. 26. Value Stream Mapping <ul><li>Value stream mapping is a more advanced form of flowcharting that identifies non-value adding activities as well as value adding ones. </li></ul><ul><li>The map is usually done at the start of a Lean program to identify Muda or waste. </li></ul>
  27. 27. New Accounting Tools Activity Based Costing (ABC) Economic Value Added (EVA)
  28. 28. Activity Based Costing <ul><li>Costs assigned to product/service processes </li></ul><ul><li>Overheads become ‘direct’ expenses </li></ul><ul><li>Process needs to be understood </li></ul><ul><li>More accurate than traditional accounting </li></ul><ul><li>Much more complex </li></ul><ul><li>Example ICL – Cost of loss of graduate </li></ul>
  29. 29. Economic Value Added <ul><li>Registered Trademark Stern, Stewart & Co </li></ul><ul><li>Maximizes shareholder value </li></ul><ul><li>Calculates true economic profit </li></ul><ul><li>Too complicated for small businesses and questionable strategy (Pittsburgh University) </li></ul><ul><ul><ul><li>Acknowledgement Narcyz Roztocki </li></ul></ul></ul>
  30. 30. EVA Calculation <ul><li>OPBT: Operating Profit Before Tax </li></ul><ul><li>TAX: Federal, State & County Tax </li></ul><ul><li>TCE: Total Capital Employed </li></ul><ul><li>COC: Cost of Capital </li></ul><ul><li>EVA=OPBT – TAX – (TCE x COC) </li></ul><ul><ul><ul><li>Acknowledgement Narcyz Roztocki </li></ul></ul></ul>
  31. 31. Planning for Success: Module 5 <ul><li>How to handle rapid growth, investment in people and succession planning </li></ul><ul><ul><li>Phases of growth and the risks of transition </li></ul></ul><ul><ul><li>How to invest in people </li></ul></ul><ul><ul><li>General and specific succession planning </li></ul></ul><ul><ul><li>Core competencies of leaders </li></ul></ul><ul><ul><li>Understanding the system </li></ul></ul>
  32. 32. Brainstorm – Module 5
  33. 33. Homework <ul><li>Identify initiatives which will have the biggest impact on your Strategic Objectives </li></ul>

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