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Malcolm Baldridge National Quality Assurance Award

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  2. 2. MALCOLM BALDRIGE  The Malcolm Baldrige National Quality Award recognizes U.S. organizations in various sectors for performance excellence.  The Baldrige Award is the only formal recognition of the performance excellence of both public and private U.S. organizations given by the President of the United States.  It is administered by the Baldrige Performance Excellence Program, which is based at and managed by the National Institute of Standards and Technology, an agency of the U.S. Department of Commerce.
  3. 3.  Up to 18 awards may be given annually across six eligibility categories: a) Manufacturing b) Service company c) Small business d) Education e) Healthcare f) Non-profit
  4. 4. MALCOLM BALDRIGE  The Baldrige Award is named after the late Secretary of Commerce Malcolm Baldrige, a proponent of quality management.  He was a very big proponent of quality management at a time when quality was not a large issue.  He helped draft one of the early versions of the Quality Improvement Act .  In recognition of his contributions in showing the importance of quality, the award was named after him.
  5. 5. REASONS FOR THE ESTABLISHMENT OF THE MALCOLM BALDRIGE QUALITY AWARD  Government officials saw that quality improvement was no longer an option for American business, but a necessity.  Many businesses did not think quality was an important issue.  Others knew that it was important, but did not know where to begin the improvement process.
  6. 6. HOW CAN THE AWARD BE USED TO HELP AN ORGANIZATION?  The criteria for winning the award are very demanding and simply trying to align a company to them is highly beneficial.  It can be used as a motivational tool for workers to rally behind a common goal.  Simply by competing for the award an organization sees the importance of quality in their business.
  7. 7. HOW AN ORGANIZATION IS CHOSEN AS A MBNQA WINNER  55% of evaluation is based on how the organization is run, 45% on the basis of performance.  Every major part of the organization is accessed.  Continuous improvement and reevaluation is very important.
  8. 8. CORE VALUES & CONCEPTS  Visionary leadership  Customer-driven excellence  Organizational and personal learning  Valuing workforce members and partners  Agility  Focus on the future  Managing for innovation  Management by fact  Societal responsibility  Focus on results and creating value  Systems perspective
  9. 9. CRITERIA FOR PERFORMANCE EXCELLENCE FRAMEWORK  Leadership  Strategic Planning  Customer and Market Focus  Measurement, Analysis, and Knowledge Management  Human Resource Focus  Process Management  Business Results
  10. 10.  From top to bottom, the framework has the following basic elements 1. Organizational Profile –  Organizational Profile (top of figure) sets the context for the way your organization operates. Your environment, key working relationships, and strategic challenges serve as an overarching guide for your performance management system. organizational
  11. 11. 2. System Operations –  The system operations are composed of the six Baldrige Categories in the center of the figure that define your operations and the results you can achieve.  Leadership (Category 1), Strategic Planning (Category 2), and Customer and Market Focus (Category 3) represent the leadership triad. These Categories are placed together to emphasize the importance of a leadership focus on strategy and customers. Senior leaders set your organizational direction and seek future opportunities for your organization.
  12. 12.  Human Resource Focus (Category 5), Process Management (Category 6), and Business Results (Category 7) organization’s represent employees the and results its key triad. Your processes accomplish the work of the organization that yields your business results.
  13. 13.  All actions point toward Business Results—a composite of customer, product and service, financial, and internal operational performance results, including human resource and social responsibility results.  The horizontal arrow in the center of the framework links the leadership triad to the results triad, a linkage critical to organizational success.  Furthermore, the arrow indicates the central relationship between Leadership (Category 1) and Business Results (Category 7). The two-headed arrow indicates the importance of feedback in an effective performance management system.
  14. 14. 3. System Foundation –  Measurement, Analysis, and Knowledge Management(Category 4) are critical to the effective management of your organization and to a fact-based system for improving performance and competitiveness. Measurement, analysis, and knowledge serve as a foundation for the performance management system.
  15. 15.  http://www.youtube.com/watch?v=eQ8CQ_VKuTs