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D & I Value Model

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This Diversity and Inclusion Value Model expresses the value of diversity and inclusion in the language of Lean and Six Sigma. It demonstrates the organizational and individual measures of success of a successful D & I process.

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D & I Value Model

  1. 1. THE DIVERSITY AND INCLUSION VALUE MODEL <ul><li>Creating Customer Value Through Diversity and Inclusion </li></ul>Quantum Associates, Inc
  2. 2. D & I Value Model… …the components of a successful D & I Process <ul><li>At a high level Y= f(x)...where x 1 to x n are the elements that affect Y </li></ul><ul><li>Workforce demographics </li></ul><ul><li>Promotions </li></ul><ul><li>Separations </li></ul><ul><li>Hiring </li></ul><ul><li>Climate surveys </li></ul><ul><li>Employee surveys </li></ul><ul><li>EEO complaints </li></ul><ul><li>Grievances </li></ul><ul><li>Employee Turnover </li></ul><ul><li>Disciplinary actions </li></ul><ul><li>Business objectives </li></ul><ul><li>Outcome metrics </li></ul><ul><li>Customer response time </li></ul><ul><li>Productivity </li></ul><ul><li>Profitability </li></ul>Organizational Measures Of Success <ul><li>Career Goals </li></ul><ul><li>Experiences </li></ul><ul><li>Networks </li></ul><ul><li>Education </li></ul><ul><li>Talent </li></ul><ul><li>Skills </li></ul><ul><li>Mentoring </li></ul><ul><li>ERG’s </li></ul><ul><li>Interdependent Teams and Projects </li></ul><ul><li>Self- and Cross Accountability </li></ul><ul><li>Current Job Goals </li></ul><ul><li>Performance Execution </li></ul><ul><li>Skill Development </li></ul>Individual Measures Of Success Quantum Associates, Inc D & I ∫ = Organizational Composition + Organizational Culture + Organizational Performance
  3. 3. Measure Organizational Performance <ul><li>According to Gallup Workplace Studies diversity and inclusion leads to employee engagement which creates better performance in the following KPIs </li></ul><ul><li>Profitability </li></ul><ul><li>Talent Acquisition/ Turnover </li></ul><ul><li>Customer Satisfaction </li></ul><ul><li>Productivity </li></ul>Baseline each of the metrics before D & I implementation and measure during and after sustained implementation. Quantum Associates, Inc Profits Before After Talent Acquisition/ Turnover Costs Before After Internal & External Customer Satisfaction Before After Productivity After Before
  4. 4. Components of each Metric Metrics co-developed by Gloria Cotton and Willie Carter Quantum Associates, Inc Talent Acquisition and Turnover Costs Disciplinary Actions Recruitment Employee Turnover Customer Satisfaction EEO Complaints Morale Legal Concerns Grievances Productivity Innovation
  5. 5. Impact on Profit Quantum Associates, Inc Innovation Morale Grievances Legal Concerns Recruitment Employee Turnover PROFITS Productivity Customer Satisfaction Talent Acquisition & Turnover Costs
  6. 6. Linking Lean to D&I Process <ul><li>Current Organizational process </li></ul><ul><ul><li>Evaluate current state for customer value creation </li></ul></ul><ul><ul><ul><li>Create Complexity Value Stream Map and identify non-value-added (NVA) activities </li></ul></ul></ul><ul><ul><ul><li>Identify cost impact of removing NVA activities </li></ul></ul></ul><ul><ul><li>Redesign process –create waste free future state </li></ul></ul><ul><ul><ul><li>Simplify process by removing NVA (waste) </li></ul></ul></ul><ul><ul><ul><li>Establish quantitative metrics and ways to monitor progress </li></ul></ul></ul>Quantum Associates, Inc Lean D & I
  7. 7. Linking Lean to D&I Process <ul><li>Future Organizational Process </li></ul><ul><ul><li>Design process around speed and simplicity and creating internal and external customer value </li></ul></ul><ul><ul><li>Establish quantitative and qualitative metrics and ways to monitor progress </li></ul></ul>Quantum Associates, Inc Lean D & I
  8. 8. Goal: Simplify the D & I Process Current State Red = Non-value-added steps Blue = business non-value-added steps Green = Value-added steps Future State Lower Work In Progress (WIP), non-value-add cost and lead time Ideal State Lowest WIP, non-value-add cost, and lead time Quantum Associates, Inc
  9. 9. The Impact of the Eight Lean Wastes on Managing People <ul><li>Overproduction: Producing work or providing a service prior to it being required or requested. </li></ul><ul><ul><li>Training employees far in advance of applying the newly learned skills </li></ul></ul><ul><li>Waiting: Waiting for anything, people, signatures, or information </li></ul><ul><ul><li>Waiting to work together or postponing team formation to accomplish a higher level of business performance; lack of empowerment, trust and appropriate authority </li></ul></ul><ul><li>Motion: Extra steps taken by people. Any movement of people or information which does not contribute to adding value to the product or service </li></ul><ul><ul><li>The wasted motion of focusing on people flaws and weaknesses rather than their strengths; not utilizing or developing strengths; creating negative competition </li></ul></ul><ul><li>Transportation: Transporting something further than necessary; movement of work that does not add value </li></ul><ul><ul><li>Scattered or unplanned routes connecting knowledge and application of the knowledge; not knowing or leveraging current resources </li></ul></ul>Quantum Associates, Inc
  10. 10. The Impact of the Eight Lean Wastes on Managing People <ul><li>Over-processing: Putting more effort into work than is required by the internal or external customer </li></ul><ul><ul><li>Spending too much time creating barriers to intellectual discourse and team problem solving; using a “one-size-fits-all” approach in product development and marketing </li></ul></ul><ul><li>Inventory: Excess inventory that is not required for current customer use </li></ul><ul><ul><li>Excess/misdirected/incomplete information that do not directly support work being performed. </li></ul></ul><ul><li>Defects: All the processing required in creating a defect and the subsequent activity required to correct it </li></ul><ul><ul><li>Behavioral defects caused by disrespecting the differences in people </li></ul></ul><ul><li>Underutilization of People: Not utilizing people’s skills and talents to the fullest extent possible </li></ul><ul><ul><li>Not cross training employees; not knowing the skill, etc., having an environment where it isn’t safe to reveal strengths or needs </li></ul></ul>Quantum Associates, Inc
  11. 11. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Define the operational objective before beginning to design your organization </li></ul><ul><ul><li>Determine how you want the process to work </li></ul></ul><ul><ul><li>Actively drive organizational values throughout the organization that address how individuals will work together </li></ul></ul><ul><ul><li>Understand the activities, connections, and flows (org, dept., and individual) of your processes </li></ul></ul><ul><ul><li>Build your organizational design around the most efficient ways to make those connections and flows work </li></ul></ul>Quantum Associates, Inc
  12. 12. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Design your organization around the process that you want </li></ul><ul><ul><li>Prioritize the process flow around stable and predictable outcomes </li></ul></ul><ul><ul><li>Create behavioral competencies for each role that demonstrate organizational values; link to performance standards and measures </li></ul></ul><ul><ul><li>Clearly understand the supporting activities and connections within the work. </li></ul></ul><ul><ul><li>Design your organizational structure, and the roles and responsibilities, around an understanding of the process, including exceptions and problems within the process. </li></ul></ul>Quantum Associates, Inc
  13. 13. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Develop teams as a supporting structure </li></ul><ul><ul><li>Teams in a lean environment need the following: </li></ul></ul><ul><ul><ul><li>A common drive provided by vision, mission, metrics, and goals; Link departmental, team, project and individual VMMG to those of the organization </li></ul></ul></ul><ul><ul><ul><li>A common language, common principles, and common tools while acknowledging, honoring and leveraging differences </li></ul></ul></ul><ul><ul><ul><li>They need to design the work around them, addressing all technological, learning and communication style needs (vs. visually alone) so that there is high agreement about what work must be done and how it should be done — and immediately exposing problems so that they may be resolved. </li></ul></ul></ul>Quantum Associates, Inc
  14. 14. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Establish and communicate the metrics </li></ul><ul><ul><li>These metrics should support daily decision making </li></ul></ul><ul><ul><li>The metrics should point in a steady and consistent direction toward achieving the ideal state </li></ul></ul><ul><ul><li>Develop metrics that address all language, technology and learning & communication style needs </li></ul></ul><ul><ul><li>Communicate the metrics with visual dashboards posted prominently in your organization </li></ul></ul>Quantum Associates, Inc
  15. 15. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Communicate across boundaries </li></ul><ul><ul><li>Improve your communications, particularly across boundaries such as departments, function, culture, language, generation and other organizational and human diversity dimensions </li></ul></ul><ul><ul><li>Process focus takes priority over functional focus </li></ul></ul><ul><li>Clarify and communicate each employee’s role </li></ul><ul><ul><li>Clarify each of your employee’s roles and responsibilities and clarify link to project, team, departmental and organizational vision, mission, values, metrics and goals </li></ul></ul><ul><ul><li>Maintain role clarity as these roles dramatically change during the lean transformation </li></ul></ul>Quantum Associates, Inc
  16. 16. Proposed Solutions for Eliminating the Waste of Our Human Resources <ul><li>Acknowledge and celebrate successes </li></ul><ul><ul><li>Make sure objectives remain clear so your employees will feel, experience and be able to articulate accomplishment </li></ul></ul><ul><ul><li>Clearly define quantitative and qualitative milestones linked to the VMMG, communicate progress toward them, and celebrate successes along the way. </li></ul></ul><ul><ul><li>Develop and align reward and recognition systems appropriate for defined milestones </li></ul></ul>Quantum Associates, Inc
  17. 17. The D & I Cost Assessment <ul><li>Objective of the Assessment </li></ul><ul><ul><li>Develop a baseline of D & I costs </li></ul></ul><ul><ul><li>Tool to assess non-value-added activities (waste) in D & I process </li></ul></ul><ul><ul><li>Follow on study to measure improvement in D & I cost elements </li></ul></ul>Quantum Associates, Inc
  18. 18. The D & I Cost Assessment <ul><li>Step 1: Selecting a D & I Cost Assessment Team </li></ul><ul><ul><li>Choose a cross-functional team of 5-8 members representative of the organization or each of the departments to be assessed, as well as an accounting team member to help quantify the costs. </li></ul></ul><ul><li>Step 2: Conduct D & I Cost Team Overview </li></ul><ul><ul><li>The overview will minimally consist of: </li></ul></ul><ul><ul><ul><li>Review of standard list of cost element definitions </li></ul></ul></ul><ul><ul><ul><li>Examination of the detailed cost elements within the chosen categories </li></ul></ul></ul><ul><ul><ul><li>Determining departmental examples of D & I activities and processes that illustrate the cost elements </li></ul></ul></ul><ul><ul><ul><li>Methods/techniques for collecting D & I cost data </li></ul></ul></ul>Quantum Associates, Inc
  19. 19. The D & I Cost Assessment <ul><li>Step 3: Planning the Assessment </li></ul><ul><ul><li>Prepare an organization or departmental listing of D & I cost elements </li></ul></ul><ul><ul><li>Establish accounts for these elements (optional) </li></ul></ul><ul><ul><li>Select interviewees for each department </li></ul></ul><ul><li>Step 4: Kick-Off Meeting </li></ul><ul><ul><li>Hold meetings for each department being assessed to explain the purpose of the study, the type of information the team wants to collect, and answer any questions. This is essential for creating buy-in by the departments prior to conducting the assessment. </li></ul></ul>Quantum Associates, Inc
  20. 20. The D & I Cost Assessment <ul><li>Step 5: Conducting the Assessment </li></ul><ul><ul><li>Team members work with respective departments to complete D & I cost assessment by interviewing the selected candidates and record data collected. </li></ul></ul><ul><li>Step 6: Compiling and Analyzing the Information </li></ul><ul><ul><li>Compile the data collected on the departmental worksheets. Develop material cost and expense information needed to measure the waste and non-value-added activities driven by D & I process. </li></ul></ul><ul><ul><li>Classifying the various cost elements into controllable and uncontrollable categories </li></ul></ul>Quantum Associates, Inc
  21. 21. The D & I Cost Assessment <ul><li>Step 7: Presenting the D & I Cost Assessment Results to Top Management </li></ul><ul><ul><li>After the D&I cost information is collected and analyzed the results should be presented to top management. The presentation should be structured as follows: </li></ul></ul><ul><ul><ul><li>The purpose of the assessment </li></ul></ul></ul><ul><ul><ul><li>Assumptions used in the assessment </li></ul></ul></ul><ul><ul><ul><li>Results of the assessment </li></ul></ul></ul><ul><ul><ul><li>Actions needed to be taken </li></ul></ul></ul><ul><ul><ul><li>Benefits to the organization if action is taken </li></ul></ul></ul><ul><ul><ul><li>Bottom line impact of the information </li></ul></ul></ul>Quantum Associates, Inc

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