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©2014 FCB Partners. All rights reserved.
Webinar Roundtable
Discussion
July 9, 2014
Process Innovation Capabilities
Diagno...
1©2014 FCB Partners. All rights reserved.
Today’s Purpose
 To learn from you while sharing our current hypotheses
 To be...
2©2014 FCB Partners. All rights reserved.
Why a New Tool? What’s Different Now?
 In the past few years, we’ve seen an eno...
3©2014 FCB Partners. All rights reserved.
White Collar Salt Mine?
 70% don’t have regular time for creative or strategic ...
4©2014 FCB Partners. All rights reserved.
What Would a Perfect Process Diagnostic
Tool Look Like?
5©2014 FCB Partners. All rights reserved.
What Would a Perfect Process Diagnostic
Tool Look Like?
 Help link process acti...
6©2014 FCB Partners. All rights reserved.
Therefore, our PICD Purpose Is:
 Identify and diagnose, simply and quickly, the...
7©2014 FCB Partners. All rights reserved.
The Operating Model
Performance
Performers Platforms
(hard and soft)
Purpose
Pow...
©2014 FCB Partners. All rights reserved.
Individual Process
9©2014 FCB Partners. All rights reserved.
Process-ness
 Design
– is there a complete, explicit, and integrated E2E design...
10©2014 FCB Partners. All rights reserved.
Individual Process Example
Competitive
Disadvantage
Competitive
Parity
Best in ...
11©2014 FCB Partners. All rights reserved.
Process: Purpose
 Is the vision for the future-state clear?
 How clear is the...
12©2014 FCB Partners. All rights reserved.
Process: Power
 Is there explicit and aligned role clarity (between
process an...
13©2014 FCB Partners. All rights reserved.
Process: People
 Are the performer role definitions explicit and clear?
 Are ...
14©2014 FCB Partners. All rights reserved.
Process: Platforms
 Do the management systems fit the process?
– compensation,...
15©2014 FCB Partners. All rights reserved.
Process: Performance
 What are the actual outcomes?
– results/products/numbers...
©2014 FCB Partners. All rights reserved.
Enterprise
17©2014 FCB Partners. All rights reserved.
Enterprise Purpose
 Is there a clear and differentiated enterprise mission
and...
18©2014 FCB Partners. All rights reserved.
Enterprise: Process
 Is there a well defined and tested process model?
 Are a...
19©2014 FCB Partners. All rights reserved.
Five Types of Processes
Core
Enabling Strategic Sensing
Governing
ST Success
LT...
20©2014 FCB Partners. All rights reserved.
Process Suites
 Core
– E2E supply chain
– new product development
– customer a...
21©2014 FCB Partners. All rights reserved.
Process Suites …continued
 Strategic–Strategic Planning Process
 Governing
– ...
22©2014 FCB Partners. All rights reserved.
Enterprise Level Power
 Are there active and senior process leaders?
 Is ther...
23©2014 FCB Partners. All rights reserved.
Enterprise: People
 Are there sufficient positive cultural behaviors?
– ambiti...
24©2014 FCB Partners. All rights reserved.
Enterprise: Platforms
 How excellent is the organization’s data
management?
 ...
25©2014 FCB Partners. All rights reserved.
Enterprise Performance
 Actual results vs. plan and vs. strategy
 Innovation ...
26©2014 FCB Partners. All rights reserved.
Would an Updated Process Innovation
Diagnostic Be Useful?
 What’s been your ex...
27©2014 FCB Partners. All rights reserved.
Continue the Dialogue
Host Date Subject
October 15 Institutionalizing Operation...
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Process Innovation Capabilities Diagnostic Tool - Working Draft

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Designed to be simple amd practical, this tool should be relevant to everyone interested in improving process performance. This Process Innovation Capabilities Diagnostic is built upon a comprehensive operating model called the 6 P's. These six dimensions form the structure of the diagnostic:
purpose
process
power
people
platforms
performance

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Process Innovation Capabilities Diagnostic Tool - Working Draft

  1. 1. ©2014 FCB Partners. All rights reserved. Webinar Roundtable Discussion July 9, 2014 Process Innovation Capabilities Diagnostic Steve Stanton
  2. 2. 1©2014 FCB Partners. All rights reserved. Today’s Purpose  To learn from you while sharing our current hypotheses  To better understand the market’s needs and uses of process diagnostics  To get feedback on PICD’s: – overall structure – basic elements – sub-elements  To improve the tool  And, to do all of this within one hour!
  3. 3. 2©2014 FCB Partners. All rights reserved. Why a New Tool? What’s Different Now?  In the past few years, we’ve seen an enormous technology evolution in costs and capabilities  There are major demographic changes, i.e. the rise of knowledge workers  The battle between today and tomorrow is intensifying  There’s growing disenfranchisement of performers (next page)  Meanwhile, the intensity of competition makes process outcomes even more crucial  And, we now have years of experience with ‘process’—both good and bad
  4. 4. 3©2014 FCB Partners. All rights reserved. White Collar Salt Mine?  70% don’t have regular time for creative or strategic thinking  66% don’t have the ability to focus on one thing at a time  50% don’t have a connection to their employer’s mission  49% don’t have a sense of community at work  46% don’t have the ability to prioritize their work  40% don’t have the ability to disengage from work Source: A 2013 survey by the Energy Project of 12,115 workers worldwide
  5. 5. 4©2014 FCB Partners. All rights reserved. What Would a Perfect Process Diagnostic Tool Look Like?
  6. 6. 5©2014 FCB Partners. All rights reserved. What Would a Perfect Process Diagnostic Tool Look Like?  Help link process activity and process improvement to improved business performance  Facilitate quick and simple self-administration  Focus only on key leverage issues, no attempt to be comprehensive  Help bridge the gap between process and ‘all other’  Reflect contemporary issues--both problems and solutions  Identify solutions clearly
  7. 7. 6©2014 FCB Partners. All rights reserved. Therefore, our PICD Purpose Is:  Identify and diagnose, simply and quickly, the primary drivers of Process Performance, focusing on the key, control-able levers of change  Provide clear direction for corrective action  Ensure alignment around all aspects of the business model  Provision process re-designers with the complete set of integrated factors than need to be changed and kept in alignment
  8. 8. 7©2014 FCB Partners. All rights reserved. The Operating Model Performance Performers Platforms (hard and soft) Purpose Power Process
  9. 9. ©2014 FCB Partners. All rights reserved. Individual Process
  10. 10. 9©2014 FCB Partners. All rights reserved. Process-ness  Design – is there a complete, explicit, and integrated E2E design? – have all SIPOC elements been identified? – is the VOC (external) loudly heard?  Improvement – has the E2E design been significantly improved recently? – is there active BM/BP? – is the ‘Toolkit’ complete? – is data-driven diagnosis ongoing?  Linkages – how well have the interfaces with other internal processes been identified, designed, and improved? – how well have the interfaces with other external processes been identified, designed, and improved?  Documentation – is the process documented completely? – are process standards in place, and how complete is conformance to stated standards?
  11. 11. 10©2014 FCB Partners. All rights reserved. Individual Process Example Competitive Disadvantage Competitive Parity Best in Class World Class Design What design? All process completed Improvement Not recently Ongoing with standard tools Innovative and competitive advantage Linkages Unmanaged All internal interconnections explicit and clear All internal and external connections explicit and managed Documentation What documentation? • L1 • Standards identified • All levels documented • Standards enforced • Variations as purposeful experiments
  12. 12. 11©2014 FCB Partners. All rights reserved. Process: Purpose  Is the vision for the future-state clear?  How clear is the linkage to strategy?  What is the quality of the metric architecture?  How clear is the level of performance expectations?  Are the customers (internal and external) well understood?
  13. 13. 12©2014 FCB Partners. All rights reserved. Process: Power  Is there explicit and aligned role clarity (between process and other axes)?  Do process leaders have time to think?  Are there explicit and aligned decision rules and rights that are in use and have compliance mechanisms?  Do process forums exist and are they in operation?  Do process leaders have or have access to traditional sources of organizational clout?
  14. 14. 13©2014 FCB Partners. All rights reserved. Process: People  Are the performer role definitions explicit and clear?  Are the performers equipped to execute the process with excellence?  Do the performers have the right levels of skills, knowledge, and capabilities? – business understanding – process knowledge  Do the performers exhibit the appropriate behaviors? – outcome orientation? – collaboration and teaming? – discipline and creativity? – analytics and customer empathy? – are they appropriately engaged? – do they have time to think?
  15. 15. 14©2014 FCB Partners. All rights reserved. Process: Platforms  Do the management systems fit the process? – compensation, incentives, etc.  Is the physical environment appropriate?  Does the process leverage new technologies well?  Does the process exploit traditional technologies?
  16. 16. 15©2014 FCB Partners. All rights reserved. Process: Performance  What are the actual outcomes? – results/products/numbers – product service evolution  Is the baseline established?  Current performance – vs. peers – vs. LY – vs. target
  17. 17. ©2014 FCB Partners. All rights reserved. Enterprise
  18. 18. 17©2014 FCB Partners. All rights reserved. Enterprise Purpose  Is there a clear and differentiated enterprise mission and vision?  Is there a clear, differentiated and well understood business strategy?  Is there a clear stakeholder preference scheme in place?  Does the metric architecture support the strategy?  Are there sufficient innovation-funding mechanisms and platforms in place?  Is the day-to-day whirlwind under control?
  19. 19. 18©2014 FCB Partners. All rights reserved. Enterprise: Process  Is there a well defined and tested process model?  Are all process suites complete?  Is there a high functioning strategic planning process in operation?  Is there an active project optimization process?  Is there an active process management process?  Do process standards have compliance, adjudication, and escalation mechanisms?  Are there defined sensing and responding processes or sub-processes?
  20. 20. 19©2014 FCB Partners. All rights reserved. Five Types of Processes Core Enabling Strategic Sensing Governing ST Success LT Success Sustained
  21. 21. 20©2014 FCB Partners. All rights reserved. Process Suites  Core – E2E supply chain – new product development – customer acquisition – demand stimulation  Enabling – IT – HR – Legal – Risk – Finance – Safety
  22. 22. 21©2014 FCB Partners. All rights reserved. Process Suites …continued  Strategic–Strategic Planning Process  Governing – process management process – project optimization process – budgeting process – talent management process • Sensing Sub-processes – customer – competitor – technology – demographic, geopolitical – self assessment
  23. 23. 22©2014 FCB Partners. All rights reserved. Enterprise Level Power  Are there active and senior process leaders?  Is there a clear process accountability?  Are there sufficiently empowered process forums?  Is there clear, active, and effective dimensional coordination (RACI)?
  24. 24. 23©2014 FCB Partners. All rights reserved. Enterprise: People  Are there sufficient positive cultural behaviors? – ambition, striving, humility, collaboration, data-driven, empirical  Are the organization’s values realized and lived?  Is there long-term capability planning for critical skills and capabilities?  Is there change ‘agentry’ available in appropriate quality and quantity?  How engaged is the workforce?
  25. 25. 24©2014 FCB Partners. All rights reserved. Enterprise: Platforms  How excellent is the organization’s data management?  How well does the organization exploit new technologies?  Are all incentives aligned with strategy?  Do the management systems support the strategy?
  26. 26. 25©2014 FCB Partners. All rights reserved. Enterprise Performance  Actual results vs. plan and vs. strategy  Innovation results
  27. 27. 26©2014 FCB Partners. All rights reserved. Would an Updated Process Innovation Diagnostic Be Useful?  What’s been your experience with process maturity models? – positive? – less positive?  Are today’s best practices captured in the maturity model?  Are your burning issues addressed in the maturity model?  How might a process diagnostic provide value to you and your organization?
  28. 28. 27©2014 FCB Partners. All rights reserved. Continue the Dialogue Host Date Subject October 15 Institutionalizing Operational Excellence: Continuously Improving the Customer Experience Roundtable Discussion October 16 Process Innovation Research Report and Discussion October 17 Sustaining Process Thinking Roundtable Discussion 1. Chicago Meetings October 15-17 2. LinkedIn Discussion Group Continuous Innovation We’d love to talk with you about this topic. Let us know and thanks! 3. Research Interview

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