001 a strategy for productivity
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This document discusses business process improvement as a strategy for productivity and competitiveness. It outlines key steps in business process improvement including understanding how the business makes money, aligning processes with business objectives, creating baselines to measure current performance, identifying opportunities for improvement, and emphasizing a culture of continuous learning and engagement. The ultimate goals of business process improvement are to enable better decision making, improve operations, enhance production flow, and drive sustainable excellence.
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001 a strategy for productivity
- 1. 1 Business Process Improvement A strategy for productivity and competitiveness
- 3. Objectives 3
- 4. Objectives 4
- 7. 7 How the Business Makes Money Revenue – Expenses = Profit
- 8. 8 Business Process Improvement Business Analysts connect to a Value Proposition through Value Delivery = Processes
- 9. Alignment with core business processes 9
- 12. 12 Good Business Processes….. Enable you to make better business decisions and implement them faster Help to improve and control your operations Improve your production flow
- 13. Suppliers Inputs Process Customers Requirements Step 1: Outputs Step 2: Step 3: Step 4: See Below Step 5: SIPOC
- 14. 14
- 15. 15
- 16. Lifeline of Crown Pavilions 16
- 18. 18
- 19. 19
- 20. 20
- 21. 21 Production Maintenance Quality Engineering Production Control Purchasing Sales Admin. 1 OEE/F ocused Improv ement 2 Autono mous Mainte nance 3 Planne d Mainte nance 4 Trainin g & Skills 5 Initial Phase Manag ement 6 Quality Mainte nance 7 Admini strative Work 8 Safety & Enviro nment
- 22. Production Maintenance Quality Engineering Production Control Purchasing Sales Admin. 22 Involvement of Each Department By Pillar (Example)
- 23. Involvement of Each Department By Pillar (Example) 1 OEE/ Focused Improvement 2 Autonomous Maintenance 3 Planned Maintenance 4 Training & Skills 5 Initial Phase Management 6 Quality Maintenance 7 Administrative Work 8 Safety & Environment 23
- 24. Activity Management : Example of Activity Board 24 Objectives: 0 TPM Progress Line-2The People The action plan The Results OEE Casting Updated on XX/XX by NB Breakdowns/month Process failures/month The Schedule The achievements The Master Plan Methodology F.A. The team The Chart The Layout Involvement Competencies
- 25. Well-defined and Well- managed Processes 25
- 28. It’s all about the business 28
- 29. It’s all about the business 29
- 32. 32 Creating a Functional Review Process “Standardized” template – unique story Creates a baseline (efficiency and effectiveness) and metrics Each functional area presents to Sr. Management
- 33. Creating a Functional Review Process Feedback memo with approvals and direction Inputs to Operational Plans and Goals 33
- 34. Content 34
- 35. Content 35
- 36. Content 36
- 37. Content 37
- 38. 38 Context of Organizational Fit Description of Services Develop Acquire Install Administer Process* Retain Product Client Client and Service Claims Client Enabling Processes
- 39. 39
- 41. Business Process Improvement 2010 - a capacity review of this team will begin – metrics, skill set, tracking of time & volumes – to right size team 41
- 42. 42 Volume and Staffing 0 2 4 6 8 10 12 Staffing 0 500 1000 1500 2000 2500 3000 Volume Staff 10 10 10 10 7 7 7 7 6 Volume 2848 2529 2057 2729 2248 2102 1767 2467 2064 Q1 '05 Q2 '05 Q3 '05 Q4 '05 Q1 '06 Q2 '06 Q3 '06 Q4 '06 Q1 '07
- 43. 43 Metrics – Provider Loads Provider Loads - Service Timing 90.00% 92.00% 94.00% 96.00% 98.00% 100.00%1Q '05 3Q '05 1Q '06 3Q '06 1Q '07 Time Percent Actual Goal
- 51. 51 The Importance of Culture and People Emphasis on the people – great people can execute a great work How we do work is personal Workforce engagement Strong change management
- 52. 52 Sustainable Operational Excellence Culture It’s all about the people soft V hard stuff Top down and bottom up Quick wins
- 53. 53 Sustainable Operational Excellence—Culture Shift “Learning to see” – New thinking – New skills – New tools, sources of knowledge
- 58. 58 Resources www.bptrends.com “Lean Enterprise Value,” Murman et. Al “Business Process Change,” Paul Harmon “Business Process Management, Profiting from Process,” Roger T. Burlton http://lean.mit.edu
Editor's Notes
- SIPOC stands for suppliers, inputs, process, output, and customers. You obtain inputs from suppliers, add value through your process, and provide an output that meets or exceeds your customer's requirements.Supplier-Input-Process-Output-Customer: Method that helps you not to forget something when mapping processes.
- 1-corner braces 2-post 3-hand rail 4-uper rail 4- 5-
- Materials Available-No Design Foundation Order Item 01-Curtains Order Item 02-Curtains Order Item 03-Roof tile Item 04-cushions Item 06-Pillows Task-shop floor Task-shop floor Task Task Task Installation Task Task
- SIPOC stands for suppliers, inputs, process, output, and customers. You obtain inputs from suppliers, add value through your process, and provide an output that meets or exceeds your customer's requirements.
- Fit into enterprise value streams (also know as core business processes).
- Every story is unique. Business rational for decisions. Staffing models don’t count—bottom up numbers. Time studies. Discussion points for the example: Overall mgmt to producer ratio 1:6; Quality review to producer 1:7; Productivity gap = 9.7 FTE Total hours available in most recent month = Total staff x Work days x 8 hrs/day Total hours of overhead = (A+B+C+D+E+F) x Work days x 8 hrs/day Total hours available for production = Total hours available – Total hours of overhead Remaining labor for direct production (FTE) = Total staff – (A+B+C+D+E+F) Standard work time (hours) = (Volume per month x Work time in minutes) / 60 Production Efficiency = Total standard work time / Total hours available for production Non-productive time (productivity gap) = Total hours available for production – Total standard work time Overall Efficiency = Total standard work time / Total hours available
- 1-variation 2-Waste