Horngren’s Cost Accounting A Managerial Emphasis, Canadian 9th edition soluti...
EFQM& Lean: Together in Harmony
1.
2. Lean and the EFQM Excellence Model are 2 complementary tools. In the following
presentation you’ll find a description of both tools and an overview of how they work
together.
3. Return on investment
1. Shareholders Optimise profitability
Sustainable financial growth
Value-adding products & services
2. Customers Excellent service
Clearly defined long-term strategy
The right Partners & Suppliers
Robust internal processes
Leaders who inspire trust
Opportunities to develop & grow
3. People Work / life balance
Pride in Organisation
Brand reputation
4. Society Ethical behaviour
Transparent communication
4. In sum, we work for all these stakeholders. Of course, we can’t deliver everything that
everyone wants all at the time. We need a dialogue, we need to prioritise, we need to
continuously evolve. The EFQM Excellence Model is a framework organisations
implement to drive continuous improvement, bringing together all the components of
your management system (i.e. leadership, HR, Sustainability and customer results).
Through assessments against the EFQM Model, you focus on what really matters, on
what really is driving results. You will identify opportunities to grow and you’ll make
sure to make the best strategic decisions. Finally, our framework is holistic. The Model
works as an embralla that covers a number of tools (such as ISO, balanced
scorecard, etc.) to ensure that all initiatives don’t operate on a stand-alone basis, but
rather interlinked or parallel towards the same goal.
5. Lean is widely used as an approach for improving process performance and enhancing
the value added to the customer and other stakeholders, not just in manufacturing
but increasingly in the services sector.
Lean is a practice that considers the expenditure of resources for any goal other than
the creation of value for the end customer to be wasteful, and thus a target for
elimination. Working from the perspective of the customer who consumes a product
or service, "value" is defined as any action or process that a customer would be willing
to pay for.
6. The EFQM Model and Lean have a common background in Total Quality Management:
People centric: Not only are customers a primary consideration, but everyone
connected with the organisation is a part of the equation.
Long term view: TQM is a long term process. It can take up to 5 years to fully
convert a company to TQM methodology. Every year the mission statement is
reviewed and revised.
Customer focus: An organisation needs to satisfy external but also internal
customer needs (providing information, quickly responding to questions, creating
surveys, etc.)
Performance oriented: Focus on proactive problem solving and continuous
improvement.
Continuous improvement: TQM is mainly concerned with continuous
improvement in all work, from high level strategic planning and decision-
making, to detailed execution of work elements on the shop floor.
7. Where the EFQM Excellence Model is used to determine a company’s strategic
direction or to assess the success of the current strategy implementation; Lean is
used to structure the development and the delivery of the improvements highlighted
within an EFQM assessment. Lean works best with direction and vision, something
that the EFQM model helps to provide.
Identifying performance gaps &
EFQM opportunities to improve
Lean Structuring the delivery of improvements
8. Cause Effect
Leadership People Processes, People Results Key Results
Products&
Understanding it’s Services Aligning people
To be agile through about people: measures and
changes engagement and lean/strategic goals
empowerment
Balance short- and
long-term results
Management’s
support to people’s Strategy Customer Results
proactivity (middle Aligning lean goals
management’s and to strategic Customer oriented Business oriented
supervisor's buy in) objectives improvement improvement
measures measures
Business focus
Not limiting to
Communication and kaizen events nor to
Change management lean six sigma one- Society Results
Partnership & of-a-time projects
Resources
Lean leadership/
management
Learn Improve Change
Top management’s commitment
9. Avenue des Olympiades, 2
1140 Brussels, Belgium
T: +32 2 775 3511
@: info@efqm.org
www.efqm.org
We’d like to thank Prof. Vittorio Cesarotti, from the Universita degli Studi di
Roma, for his valuable contributions to this document.
10. EFQM is committed to help organisations drive improvement through the use of the
EFQM Excellence Model, a comprehensive management framework used by over
30 000 organisations in Europe. For the last 20 years, we manage the development of
this Model, incorporating the experiences and learning from these organisations to
ensure it reflects reality.
To help you implement our Model, we provide training, assessment tools and
recognition. But our real talent comes from gathering good practices and integrating
those within our portfolio. EFQM, a not-for-profit membership Foundation, aims to
share what works, through case studies, online seminars, working groups, conferences
and thematic events. We nurture a network of world-class organisations and their
leaders who share our passion for business excellence.
We believe that the EFQM Model is a common framework that helps us all to improve
our businesses. Sharing our member’s enthusiasm, their motivation and the results
they achieve; that is what we work for at EFQM.
11. The EFQM User Guide
Using Lean within the EFQM
Framework
Available free for members on
our Knowledge Base.
Editor's Notes
The EFQM Excellence Model is a framework to drive and stimulate continuous improvement. It brings together all the different components of your management system (i.e. leadership, HR, Sustainability, customer results partnerships, etc.), giving you an overview of your current strengths and opportunities to grow. You will identify which actions are driving your results, and which areas need more attention.The EFQM Model guides you to take the best strategic decisions.The Model is pragmatic and practical: it is developed by organisations for organisations.It is notpre-scriptive: organisations have the freedomtochoosewhat is best fortheir company.It is holistic. The EFQM Model works as anumbrellathatcan cover a number of tools (such as ISO, balanced scorecard, etc.) toensurethatallinitiativesdon’toperate on a stand-alone basis, but rather interlinked or parallel towards the same goal. More than 30,000 organisations around the globe use the Model to engage their stakeholders in their development and growth. 84% of our members say using the Model helps their organisation improve.