Management Functional Assessment Model brochure 2015

1. INFORMATION BROCHURE 2015
full package
Management
unctional
ssessment
Model
CHANGE MANAGEMENT TOOL

2. 2MFA Model© Dmitry Maslov 2003-2015
Management
unctional
ssessment
Model
move from vertical to horizontal view in decision making
taming the energy of the functional management
transition path to quality and excellence

3. 3MFA Model
Dear colleagues, business leaders, change mak-
ers, quality professionals, and HR-specialists,
We have designed a new management tool to
help you attain and/or maintain a sustainable competi-
tive advantage via converting the energy of traditional
functional management in your organisation to the
energy of quality. You will open new horizons moving
from vertical to horizontal decision making process
and making new steps to excellence.
The Management Functional Assessment (MFA) Model can be con-
sidered as a quality, excellence and change model. It is developed upon
previous works including that of Frederick Taylor, Henri Fayol, Edwards
Deming, Tito Conti, and self-assessment models of the Baldrige Excellence
Framework and the EFQM Excellence Model.
Being a TQM model, MFA is based upon six functions of manage-
ment: forecasting and planning; organising; motivation; control; co-
ordination; and communication. Using the MFA Criteria for self-
assessment you can enhance the quality of your management systems
through continuous learning, innovation, and improvement.
The MFA has been designed to aid managers in determining the key
activities to be addressed in order to improve corporate efficiency and ef-
fectiveness within a framework of obtaining all stakeholder satisfaction in-
cluding your employees.
The MFA Methodology has been produced as a result of international
cooperation between Russian, British and Australian researchers. I pro-
posed The MFA concept in 2003, later two my colleagues, Prof. Paul Wat-
son (UK) and Dr. Nicholas Chileshe (Australia), joined the work.
Nowadays the MFA Model is used in organisations of various size and
industries, including construction, transport, service, public sector and
many others. We do hope to find you among them.
Dr. Dmitry Maslov
Foreword

4. 4MFA Model
Contents
Introduction..............................................................5
Competitive-Orientated Management........................6
Management Functional
Assessment Model (Concept) ....................................8
MFA Criteria description ..........................................10
Forecasting & Planning ....................................................... 10
Organising ........................................................................ 12
Motivation......................................................................... 14
Control ............................................................................. 16
Co-ordination .................................................................... 18
Communication.................................................................. 20
MFA Estimation Part................................................21
MFA Self-Assessment Methodology .........................24
Diagnostic Express-Assessment ........................................... 24
Two-Sided Assessment ....................................................... 26
Deployment of MFA Model:
Issues and Advantages ...........................................32

5. 5MFA Model
Introduction
For organisations to attain and/or maintain a sustainable competitive ad-
vantage they require a competitive orientated management system. Our ap-
proach should address key concepts such as leadership, personnel and devel-
opment.
The behavior of an organisation’s leaders creates a clarity and unity of
purpose within the organisation and an environment in which the organisation
and its people can excel.
The full potential of an organisation’s people is best released through
shared values and a culture of trust and empowerment, which encourages the
involvement of every employee. This necessitates a holistic approach to people
and their operational systems and organisational structure.
Organisational performance is maximised when it is based on the man-
agement and sharing of knowledge within a culture of continuous learning, in-
novation and improvement.
Organisations perform more effectively and efficiently when all interrelated
activities are understood and systematically managed and decisions concerning
current operations and planned improvements are made using reliable infor-
mation.
Proposed Management Functional Assessment Model recognises that
sustainable excellence in all aspects of performance is based on the manage-
ment functions of forecasting/planning, organising, motivation, control, co-
ordination and communication. 25 different management function and 100 fo-
cus areas are correlated with corporate profitability and stakeholder satisfac-
tion.
The MFA Model helps organisations to transform energy of traditional
(functional) management to improvement energy which is based on total quali-
ty principals and concepts of excellence.
The MFA Model has been designed to aid managers in determining the
key activities to be addressed in order to improve corporate efficiency and ef-
fectiveness.
Organisational two-sided assessment methodology on the MFA Model base
gives an opportunity to define, if managers thinking corresponds with employ-
ees opinion, helps to identify zones of polarity and unity of judgments inside
the collective and shows efficiency of changes in this or that area.

6. 6MFA Model
Competitive-Orientated
Management
Management Functional Assessment Model forms part of
“Competitive-Orientated Management”. This is a system of
management designed to gain and sustain a competitive corpo-
rate advantage by way of continued internal and external self-
assessment and an improvement driven agenda.
The concept of Competitive-Orientated Management may be
represented as a tetrahedron (see Fig. 1). It is based upon
three principles of competitive achievement, leadership, person-
nel and development. The emphasis should be placed on the
attainment of a “Sustainable Competitive Advantage”.
Leadership: The role of senior management is critical to
the success of any change process and leadership has to be
demonstrated. All employees have to be given the time and
skills to make a useful contribution towards the drive for a sus-
tainable competitive advantage.
Personnel: Employers have to be motivated to engage in a
corporate culture directed at stakeholder satisfaction. Senior
management must not forget that employees are also stake-
holders. Thus they should remember to engage in “consulta-
tion” before “implementation” in corporate plans. This aspect
allows staff to contribute to the decision making process. Cul-
ture is a vital aspect for consideration and a morphogenic cul-
ture should be the aim of senior management
Development: The development of an organisation re-
quires the consideration of both business processes and envi-
ronmental issues/aspects. Therefore environmental scanning
has to be deployed in order to establish external influences and
may be done by SWOT and PEST analysis. This should be linked
to the RADAR concept for the techniques to be effective.

7. 7MFA Model
Competitive-Orientated
Management
Competitive-Orientated Management Core Concept
Sustainable organisation
and competitiveness
DevelopmentLeadership
Personnel
Management
System
Figure 1:

8. 8MFA Model
Management Functional
Assessment Model (Concept)
Management Functional Assessment (MFA) Model is based
upon the six key functions of management:
Forecasting & Planning
Organising
Motivation
Control
Co-ordination
Communication
The first five functions are encapsulated within a framework
of an effective and efficient system of communication (sixth
criterion).
In order to have efficient and effective management system
the Deming Plan-Do-Check-Act (PDCA) cycle should be
employed as depicted in Figure 2. Two issues are of vital
importance. First “Cycle Time” – how long does it take for
information to circulate around the loop? Secondly, the quality
of the information in the loop. High quality information
circulating regularly leads to efficient and effective management
system.
Five functions correspond to five criteria which form the
MFA framework. Each criterion consist of five assessment
categories, each category has four focus areas. Thus MFA
framework includs 5 criteria, 25 assessment categories and 100
focus areas (see Fig. 2, 3).

9. 9MFA Model
5. Co-ordination
1. Forecasting &
Planning
2. Organising 3. Motivation
4. Control
6. Communication
PDCA cycle
Management Functional Assessment Model
Figure 2:
Structure of the MFA Model framework
Figure 3:
Criterion (1-5)
Five assessment categories (1.1 - 5.5)
Four focus areas (1.1.a – 5.5.d)

10. 10MFA Model
MFA Criteria description
“Forecasting & Planning” is
concerned with determining the
shape of future strategy; its function
is to answer three questions:
where is the company now in
terms of its vision and mission?
where does it want to be as
part of its future corporate plans?
how is the company to achieve
set aims based upon forecasts?
1. Forecasting & Planning
1. Forecasting
& Planning
Setting the objective and strategic
planning process in motion 1.1
1.21.5
1.4 1.3
Gathering and analysing information
related to clients and markets
Detailing
business-processes
Gathering and analysing
information related to
competitors and benchmarking
Resources planning

11. 11MFA Model
1. Forecasting & Planning
Focus areas
1.1. Setting the objective and strategic planning process in motion
a. Organisation has the general philosophy, core business principles and values
are corresponding with company’s philosophy.
b. Strategic and operational aims are clear and interrelated, review and update
regularly for each stages of business-process and for each employee.
c. Strong and weak areas of organisation’s activities are determined. Improve-
ment plan is designed.
d. Organisational activities correspond to social requirements.
1.2. Gathering and analysing information related to clients and markets
a. Organisation strongly focuses on customer needs and expectations.
b. There is an organisational system which collects customers’ complaints and
wishes, requirements.
c. Organisation has detailed customers’ database, and uses it in planning and
managing activities.
d. Marketing system concentrates on attraction new customers and simulation
repeated purchases to increase of a share of regular customers.
1.3. Detailing business-processes
a. Organisational processes are defined and confirmed with documents.
b. Inputs, outputs, owners and resources are identified for each process.
c. Detailed business-process helps to satisfy internal customers and improve
quality of each process.
d. Resources are effectively distributed between all processes.
1.4. Gathering and analysing information related to competitors and
benchmarking
a. Organisation regularly monitors market and its competitors.
b. Information about competitors, their strong and weak areas, is learnt, ana-
lysed and used for planning own improvement initiatives.
c. Best practices, including world and industrial, are gathered, analysed,
adopted and included in strategic and operational plans.
d. Organisation uses benchmarking to find new effective approaches and in-
crease of competitiveness.
1.5. Resources planning
a. An organisational system of suppliers’ selection is established.
b. Investments for business process are effectively attracted.
c. Material, human, finance and other organisational resources are distributed
strongly according to accepted plans.
d. Information computer technologies are widely used for resources planning.
ERP-system is launched within organisation.

12. 12MFA Model
MFA Criteria description
“Organising” is one of the
main managerial tasks. Busi-
ness-processes are to be or-
ganised with a concentration on
maximising effectiveness and
efficiency.
2. Organising
2. Organising
Creating an appropriate
organisational structure 2.1
2.22.5
2.4 2.3
Establishing authority and
responsibility for all personnel
Creating a self-learning
organisational culture
(morphogenic)
Developing a value system
based upon enhancing
performance
Deployment of new
technology linked to
corporate
enhancement

13. 13MFA Model
2. Organising
Focus areas
2.1. Creating the correct organisational structure
a. Organisational structure is clear and understandable.
b. Organisational structure reflects business-process framework.
c. Organisational structure is designed to support learning and improvement.
d. Organisational structure is flexible and suitable for deploying accepted plans.
2.2. Establishing authority and the responsibility for all personnel
a. Zones of authorities and responsibility are determined for each employee.
b. There are internal documents which fix and regulate zones of the employees’
authority and responsibility.
c. It is precisely determined, who, when, where and how should act at the each
stage of the business-process.
d. Employees’ authorities and responsibility are not only on paper – it is an es-
sential part of daily organisational activities.
2.3. Creating a self-learning organisational culture (morphogenic)
a. Quality management principals are implemented spread within.
b. Daily organisational activities are supplemented improvement activities.
c. Teamwork principles are widespread within organisation.
d. Previous saved organisational knowledge and experience are accumulated,
learnt, analysed and applied to improve organisational processes.
2.4. Developing a value system based on enhancing performance
a. It is clear understanding of importance to satisfy customers among manag-
ers and employees.
b. Relations between personnel and customers are regulated by employees’ in-
structions and behavior models for each kind of situations.
c. Relations with partners and suppliers of organisation are organised effective-
ly to create value for customers.
d. Support processes are organised effectively and helps to create new values
for consumers.
2.5. Deployment of new technology linked to corporate enhancement
a. Organisation learns and deploys new business approaches to enhance its
performance.
b. Marketing system is established, considering specific features of producing
product (service): sales, pricing, advertising, additional services, etc.
c. Quality of products (services) increases by know-how and new technologies
in design, production, sales, advertising, additional services, etc., that enhanc-
es organisational performance results.
d. Organisation widely uses new information, telecommunication and computer
technologies in its operational and supported activities.

14. 14MFA Model
MFA Criteria description
“Motivation” has many as-
pects both intrinsic and extrinsic.
3. Motivation
3. Motivation
Developing a co-operative
culture based upon stakeholder
satisfaction
3.1
3.23.5
3.4 3.3
Ensuring staff have the skills, re-
sources and competences to per-
form set tasks
A consideration of per-
sonal needs linked to
self-actualisation
Engagement in processes,
increase areas of
responsibility and self-
monitoring
Results satisfaction -
feedback on
performance in a
timely manner

15. 15MFA Model
3. Motivation
Focus areas
3.1. Developing a co-operative culture based upon stakeholder satisfac-
tion
a. Top-managers lead improvement activities within organisation upon stake-
holders' requirements.
b. There is positive working atmosphere within organisation.
c. Organisation has corporate values, aims, mission which focus on stakehold-
ers satisfaction.
d. Organisation's leaders take part in corporate activities, personnel training
and developing.
3.2. Ensuring staff have the skills, resources and competences to per-
form set tasks
a. Skills, knowledge, experience and qualification of employees are evaluated.
b. A system of professional training is established in organisation.
c. Employees are encouraged for self-education and training.
d. A system of employees’ hiring, selection and rotation is established within
organisation to correspond strategic aims and business-process requirements.
3.3. A consideration of personal needs linked to self-actualisation
a. Low levels of personal employee’s needs (accordingly with Maslow Pyramid -
physiological and safety needs) are satisfied.
b. Employees have needs connected with developing communications and self-
actualisation.
c. Organisation's leaders adequately evaluate needs of employees.
d. An estimation system of employees’ needs is launched in organisation.
3.4. Engagement in processes, increase areas of responsibility and self-
monitoring
a. An atmosphere where the employees can show initiative and improvement
thinking is created within organisation.
b. Teamwork (like “quality circles”), informal communication among employees
are encouraged within organisation.
c. Employees realize their responsibility for quality of their work.
d. Contribution of each department or separate employee in organisation suc-
cess (failure) is evaluated.
3.5. Results satisfaction - feedback on performance in a timely manner
a. A system of employees’ satisfaction is established within organisation.
b. Managers understand interrelation between employees’ satisfaction and cus-
tomers’ satisfaction.
c. Employees recognition system is established within organisation.
d. Financial results of organisation correspond with employees' salaries and
bonuses.

16. 16MFA Model
MFA Criteria description
“Control” is dependent upon constant feed-
back from each stage of business-process,
checking against quality specifications and
measuring against performance indicators. A
correct monitoring system allows for an
increase in the efficiency and effective-
ness of organisational activity. Organi-
sations must consider feedforward of
information for effective control.
4. Control
4. Control
A monitoring system for each
key stage of business-process4.1
4.24.5
4.4 4.3
Measuring
performance
levels
Determining customer
satisfaction levels
Determine the efficiency and
effectiveness of resource
utilisation
Conduct a
comparative analysis
between set targets
and actual results,
leading to
appropriate actions

17. 17MFA Model
4. Control
Focus areas
4.1. A monitoring system for each key stage of business-process
a. Quality management is established within organisation.
b. Business process as whole and each process in particular have criteria for
quality measurement.
c. Quality control procedures are existed, and responsibility is determined.
d. Information about processes' defects is collecting in accepted forms and
analysing in quality reports.
4.2. Measuring performance levels
a. Statistic methods are used to evaluate business-process within organisation.
b. A set of quantitative criteria is established measure business-process.
c. Qualitative information about organisational processes is measured.
d. Organisational performance measurement is on the continuous base.
4.3. Determining customer satisfaction levels
a. Criteria of customer satisfaction (dissatisfaction) with products (services) are
established.
b. Feedbacks of different types with customers are conducted.
c. Customers are welcome to state their claims, complaints and opinions about
product (service) which organisation produces.
d. Customer satisfaction surveys are conducted continuously by organisation.
4.4. Determine the efficiency and effectiveness of resource utilisation
a. Organisational resources (human, material, power, financial etc.) distribution
is controlled systematically.
b. Organisational resources are controlled on each separate process.
c. Quality of organisational resources is according to international, state, in-
dustrial and internal standards.
d. Employees’ safety requirements are satisfied within organisation.
4.5. Conduct a comparative analysis between set targets and actual re-
sults, leading to appropriate actions
a. Key strategic results and business-process productivity are measured within
organisation.
b. Actually processes results are conformed to previously set targets.
c. Organisational activities correspond to established principles and corporate
business philosophy.
d. Targets-results analysis helps to precede appropriate actions within organi-
sational business-process.

18. 18MFA Model
MFA Criteria description
“Co-ordination”: The analysis of
deviations on business-processes and
updating of the current plans in a holistic
manner based on feedback and feedfor-
ward is a critical point in co-ordination.
Again this can only be fully attained by
the application of the Deming PDCA cy-
cle.
5. Co-ordination
5. Co-ordination
Unity of all other functions
5.1
5.25.5
5.4 5.3
Establishing effective internal
communications
Developing a conflict
solving system
Updating of deviations:
revision and possible reco-
ordination of other
resources
Ensure effective
Information
management

19. 19MFA Model
5. Co-ordination
Focus areas
5.1. Unity of all other functions
a. Forecasting & planning, organising, motivation and control make intercon-
nected management system within organisation.
b. Management system of organisation focuses on continuous improvement
and enhancement of quality of processes.
c. Principles of management system are fixed in the corporate documents.
d. Management system is clear and understandable for the staff.
5.2. Establishing effective internal communications
a. Departments and other organisational units communicate well.
b. Internal relations within organisation are regulated with documents.
c. Organisational structure is flexible and adaptable for interfunctional activities
and project management.
d. Information, telecommunication and computer technologies are widely used
for internal communications.
5.3. Developing a conflict solving system
a. Organisation's leaders are skilled in Conflict management.
b. Organisation has an effective policy of changes and resistance taming.
c. Employees understand and shear corporate values, aims, mission and core
business principles.
d. Energy of the informal leadership uses to solve conflicts within organisation.
5.4. Updating of deviations: revision and possible reco-ordination of
other resources
a. A system of fast-response on the customers’ complaints and requirements is
created in organisation.
b. The Plan-Do-Check-Act cycle (Deming PDCA cycle) is implemented for con-
tinuous improvement within organisation at each stage of business process.
c. Each employee is appreciated to introduce an improvement to business pro-
cess.
d. Employees have basic skills in quality management (Control Charts, SPC,
7 statistical tools, etc.)
5.5. Ensure effective Information management
a. Management system is based upon facts and actual information.
b. Information management is a valid part of the whole management system.
c. Information flows are organised effectively within organisation.
d. Telecommunication and computer technologies increase quality and sustain-
ability of information.

20. 20MFA Model
MFA Criteria description
“Communication” is the link and the life blood of corporate
activity and its effectiveness is measured within the context of
the five other functions.
6. Communication

21. 21MFA Model
MFA Estimation Part
The MFA Estimation Part is composed of 5 functions (Fig.
2) of management criterion each with five sub basic categories
as illustrated in Table 1 which indicates the assessment catego-
ry.
Criteria Assessment category Max
1. Forecast-
ing / Plan-
ning
1.1 Setting the objective and strategic planning process in motion 4
1.2 Gathering and analysing information related to clients and markets 4
1.3 Detailing business-processes 4
1.4 Gathering and analysing information related to competitors and benchmarking 4
1.5 Resources planning 4
Criterion total 20
2. Organis-
ing
2.1 Creating the correct organisational structure 4
2.2 Establishing authority and the responsibility for all personnel 4
2.3 Creating a self-learning organisational culture (morphogenic) 4
2.4 Developing a value system based on enhancing performance 4
2.5 Deployment of new technology linked to corporate enhancement 4
Criterion total 20
3. Motiva-
tion
3.1 Developing a co-operative culture based upon stakeholder satisfaction 4
3.2 Ensuring staff have the skills, resources and competences to perform set tasks 4
3.3 A consideration of personal needs linked to self-actualisation 4
3.4 Engagement in processes, increase areas of responsibility and self-monitoring 4
3.5 Results satisfaction - feedback on performance in a timely manner 4
Criterion total 20
4. Control 4.1 A monitoring system for each key stage of business-process 4
4.2 Measuring performance levels 4
4.3 Determining customer satisfaction levels 4
4.4 Determine the efficiency and effectiveness of resource utilization 4
4.5 Conduct a comparative analysis between set targets and actual results, lead-
ing to appropriate actions
4
Criterion total 20
5. Co-
ordination
5.1 Unity of all other functions 4
5.2 Establishing effective internal communications 4
5.3 Developing a conflict solving system 4
5.4 Updating of deviations: revision and possible reco-ordination of other re-
sources
4
5.5 Ensure effective Information management 4
Criterion total 20
Total Management Estimation (TME) 100
MFA Scoring System: Estimation Part
Table 1:

22. 22MFA Model
The total management estimation (TME) helps to define a
Level of Management Maturity (Table 2)
Level TME Assessment
I (0~20)
 No methodology or system, management purposes
are not defined. For further development it is nec-
essary to reconsider core business principles.
II (21~40)
 Management has the potential for development.
Managers should develop their leadership skills, de-
fine organisational purposes clearly and develop a
strategy based on TQM principles.
III (41~60)
 Management systems are in evidence. It is neces-
sary to pay attention to the optimisation of business
processes and improvement of quality at each
stage. Perfecting a control system and taking into
account the importance of stakeholders.
IV (61~80)
 Constant quality checks within the management
system take place. Utilisation of external bench-
marking in order to improve corporate perfor-
mance.
V (81~100)
 The maximum outcomes in all areas of corporate
activity are reached; the management system is
benchmarked and monitored in a drive for continu-
ous improvement.
The presentation of the analysis can be more easily com-
municated to all staff via the application of a communication
MFA pentagonal profile as depicted in Figure 4. The scores can
be plotted upon the profile and a corporate profile established.
This process will also demonstrate where organisational effort
should be placed. As an example, Figure 5 contains some fic-
tional data plotted on the profile.
MFA Levels of Management Maturity
Table 2:

23. 23MFA Model
Communication MFA Pentagonal Profile
Figure 4:
Fictitious Company Plotted on the Pentagonal Profile
Figure 5:
Forecasting
/ Planning
Motivation
Control
Organising
Co-ordination
 Prof. P.Watson
8.94
11.57
9.30
11.17
13.67
20 points 20 points
20 points 20 points
20 points
communication profile
Forecasting
/ Planning
Motivation
Control
Organising
Co-ordination 20
 Prof. P.Watson
15
10
5
5
10
15
20
5
10
15
20
5 5
1010
15 15
20 20

24. 24MFA Model
MFA
Self-Assessment Methodology
The MFA Diagnostic Express-Assessment is a “survey-
based” approach to self-assessment, which requires managers
to complete a questionnaire with a number of statements, rec-
ognized as focus areas within management system.
The present questionnaire consists of about 100 state-
ments, which correspond with MFA focus areas. The statements
are grouped according to the 25 assessment categories and 5
criteria of the MFA Model. Managers are asked to indicate their
degree of agreement of disagreement of each statement in rela-
tion to their organisation on a binary scale (1 point – “Yes.
Agree” 2 points – “No. Disagree”). In addition to agreement, re-
spondents are also asked to rate the importance of each state-
ment (1 point – “Yes. Important” 2 points – “No. Unimportant”.
So all the statements are evaluated in the two dimensions –
agreement and importance. An example of statements from
questionnaire is below in Table 3
Statement
Agree? Important?
Yes (1) No (0) Yes (1) No (0)
a. Organisation has the general philosophy, core business princi-
ples and values are corresponding with company’s philosophy.
b. Strategic and operational aims are clear and interrelated, re-
view and update regularly for each stages of business-process
and for each employee.
c. Strong and weak areas of organisation’s activities are deter-
mined. Improvement plan is designed.
d. Organisational activities correspond to social requirements.
MFA Express Assessment Questionnaire
Table 3:
Diagnostic Express-Assessment

25. 25MFA Model
We suggest of the survey approach for self-assessment as
an “easy to use” tool – the MFA Improvement Matrix which
helps to achieve a common understanding of organisation’s
problems and identify the most important improvement areas in
management system.
In the example provided in Figure 6, the most important ar-
eas to improve are in the right lower corner of the matrix. These
are the areas that are perceived to be most important to the or-
ganisation and where the organisation does not perform well.
On the other side, left upper corner characterizes with low im-
portance while the organisation performs quite well. The com-
pany should instead discuss if too many resources are used in
these areas.
MFA Improvement Matrix
Figure 6:
AGR
IMP
0
0,5
1
0,5 1
Areas
to improve
1.2.a
1.4.b

26. 26MFA Model
MFA
Self-Assessment Methodology
The organizational two-sided self-assessment of the man-
agement system on the Management Functional Assessment
Model base is conducted with questionnaire survey.
The feature of this two-sided assessment approach is two
groups of the respondents: managers and employees. The form
of the questionnaire is identical to both those groups. The objec-
tivity of results is achieved by involvement in survey 100 % of
managers and not less than 50 % of the employees.
The questionnaire is divided into five groups according to
criteria of the MFA Model. Twenty five questions correspond to
25 assessment categories (Table 4).
Each question has 5 variants of the answer and possibility
to choose only one. The evaluation scale is as follows: min –
0 points, max – 4 points.
In scoring 0 - 4 the following criteria should be used:
0 No activity demonstrated
1 Activity not consistently utilised
2 Activity utilised but dependent upon the situation
3 The activity is deployed permanently and systematically
4
The activity is deployed permanently and systematically, moni-
tored and reviewed via benchmarking for improvement
Two-Sided Assessment

27. 27MFA Model
Criterion / Question
1. Forecasting & Planning
1. Are the organisational aims clearly established in the mission statement?
2. Is there a mechanism for gathering and analysing information and data about
the customers?
3. Are the zones of powers and responsibility strongly determined within the or-
ganisation?
4. Does the organisation engage in gathering and analysing information relating
to its competitors?
5. Are resources (materials, manpower, money, management, information) ra-
tionally distributed within the organisation?
2. Organizing
6. Is there an appropriate and visible organisational structure?
7. Are there documents and standards within organization which regulating func-
tions and zones of powers and responsibility for separate divisions and each
employee?
8. Are conditions for improvements and development created at the company?
9. Is the process of products (services) production organized effectively?
10. Are produced products (services) attractive to the customer?
3. Motivation
11. Does the organization have a visionary leadership and strong executives?
12. Are conditions for employee training and development created within the or-
ganisation?
13. Are the personal needs of the employees satisfied?
14. Do employees take part in organizational improvement actively?
15. Are employees satisfied with results of their work?
4. Control
16. Is there an evaluation system of produced goods or services and business-
process quality within the organisation?
17. Is there an evaluation system of received results within the organisation?
18. Are customers’ opinions and requirements taken into account in the organisa-
tional activities and plans?
19. Is there an effective evaluation of resources within the organisation?
20. Do received results correspond with established aims and plans?
5. Co-ordination
21. Is there is an effective management system in the organisation?
22. Are internal links between divisions clearly established within the organisation?
23. Are there activities on settlement and prevention of conflicts carried out at the
company?
24. Is there an updating and clarification of aims and plans made at the company?
25. Is the Information collected in a timely manner and sufficient detail to inform
valid corrective actions?
MFA Two-Sided Assessment Questionnaire
Table 4:

28. 28MFA Model
Calculation of Criterion Total (CT)
CT = 
5
1n
WiXi
where W - Score of the attribute (Min = 0 and Max = 4);
n - Number of divisions in item scale.
So, maximum score of each of five criteria - 20 points and
the bench score for whole management system is 100 points.
Calculation of Total Management Estimation. TME helps
to define Level of Management Maturity (Table 2)
TME = 
5
1n
CT
where the TME is the sum of the criterion total (max possible = 100).
The advantage of two-sided assessment is an opportunity to
define, if managers thinking corresponds with employees opin-
ion. Average managers evaluation (Iman.av.) of five criteria is
compared with an appropriate average employees evaluation
(Iemp.av.). And the Management Adequacy Index (MAI) is
calculated under the following formula as shown in equation 3.0
where MAI - Management Adequacy Index;
IMAN.AV. - Average managers evaluation;
IEMP.AV. - Average employees evaluation;
4 - Max score.
The Management Adequacy Index shows the level of ac-
cordance between managing decisions and its perception by
employees. The value of The Management Adequacy Index var-
ies from “-1” up to “1”. The manager can define whether the
management decisions in different ways are effective or not
(Fig. 7).
Equation 1.0
Equation 2.0
Equation 3.0

4
II
MAI
EMP. AV.

MAN. AV.

29. 29MFA Model
Zone of adequate estimation of management enables (-0.1  0  0.1)
This zone characterizes adequate perception by the employees of managerial
decisions, managers and employees are guided by identical principles in work that
promotes harmonious development of organization. Managers, using such situation,
have good chance to improve business - process.
Zone of underestimation estimation of management enables (-1 < -0.1)
The underestimation zone reflects insufficient leadership of managers. There
are hide opportunities for improvements for management system. Employees eval-
uate performance higher than managers. It is necessary to use this situation for
updating management policy and start improvement process.
Zone of revaluation estimation of management enables (0.1 < 1)
Zone of revaluation reflects divergences of opinions of managers and employ-
ees concerning business activity in this field. In this case majority of the adminis-
trative decisions can collide with internal resistance of employees, and all planed
improvements will be absolute inefficient. Critical issues for management are fol-
lowing:
Revealing the reasons of discrepancies, analysis of categories, where the
maximum divergences in an estimation are traced;
Set more close contact with staff;
Measure of an employees' satisfaction;
Strengthening corporate culture.
The Management Adequacy Index
Figure 7:
-1.0
0
0.1
1.0
1 2 3 4 5 … 25 Question №
Adequate
estimation
Revaluation
Under
estimation
-0.1
MAI
…

30. 30MFA Model
The important element of our self-assessment methodology
is the Index of Inside Employees Consent (IIEC). The In-
dex of Inside Employees Consent shows polarity of judgements
of employees. On each problem the dispersion of employees as-
sessment is defined.
The Index of Inside Employees Consent settles up under the
formula in equation 4.0
where IIEC - Index of Inside Employees Consent;
n - Number of the employees in the survey;
IEMP. - Employee assessment;
i - Number of the question.
The analysis of employees’ responses with index IEC use
enablers to define zones of polarity and unity of judgements in-
side the collective.
Zone of unity (0 - 1) means equivalence of employees’
judgements on the given problem.
Zone of polarity (1 - 4) speaks about absolute polarity of
employees’ judgements.
The categories, on which employees have given an equiva-
lent estimation, have greater potential for realization of effective
changes, since managers and employees think the same way.
The categories from the zone of polarity require analysis of the
reasons of disagreements, otherwise any improvement plans
will be inadequately perceived by employees, and the productiv-
ity of changes will low, or the effect will be negative. The further
analysis of survey results assumes revealing correlations be-
tween factors of adequacy of management and factor of the
consent in collective. The basic problem of a final stage of a
self-assessment is the exact definition of efficiency of changes in
this or that area. Analysis tool here is a Matrix of Areas of
Improvement Abilities (Fig. 8)
2
2
.
2
. )()(
n
IIn
IEC
iempiemp 
 Equation 4.0

31. 31MFA Model
Depending on in what of zones the point with coordinates
(MAI; IIEC), the degree of Improvement Abilities is defined. We
select four Areas of Improvement Abilities:
1. Effective – the efficiency of improvements is high.
2. Sure – high probability of improvement.
3. Available – all improvements requires detailed prepara-
tion and preliminary analysis of factors.
4. Problem – improvements should begin only after deep
study of unsatisfactory MAI and IIEC.
Matrix of Four Areas of Improvement Abilities
Figure 8:
Improvement
-1,0
-0,9
-0,8
-0,7
-0,6
-0,5
-0,4
-0,3
-0,2
-0,1
0,0
0,1
0,2
0,3
0,4
0,5
0,6
0,7
0,8
0,9
1,0
0 1 2 3 4
Effective improvements
Sure improve-
ments
Available im-
provements
Problem improve-
ments
MAI
IIEC

32. 32MFA Model
Deployment of MFA Model:
Issues and Advantages
The application of the MFA Model will address the key deploy-
ment issues shown in Table 5 and empower the resulting benefits.
Key Deployment Issues Resulting Benefits
Process improvements A clear understanding of how to deliver value
to clients and hence gain a sustainable com-
petitive advantage via operations
Attaining an organisation’s
objectives
Enabling the mission and vision statements to
be accomplished by building on the strengths
of the company
Benchmarking Key Perfor-
mance Indicators (KPI’s)
Ability to gauge what the organisation is
achieving in relation to its planned perfor-
mance (Plan, Do, Check, Act)
Development of clear, concise
action plans resulting in a fo-
cused policy and strategy
Clarity and unity of purpose so the organisa-
tion’s people can excel and continuously im-
prove
Integration of improvement
initiatives into normal opera-
tional activities
Interrelated activities and systematically man-
aged with a holistic approach to decision mak-
ing
Development of group/team
dynamics
People development and involvement. Shared
values and a culture of trust, thus encouraging
empowerment in line with a post-modernist
company
“Desirable increase of efficiency and profitability will be shown by fi-
nancial results. Now it is obvious that our new approach to management on
the self-assessments basis made company start improvement process on
the system principles. Our business grows, and it is more difficult to man-
age, therefore decision to apply Functional Assessment Model was accepted
with an aim to design an effective SYSTEM of management. The Sustainable
management system is one of major competitive advantages and key fac-
tors of success in business”.
Ernest Belokorovin, CEO, “Morservice Ltd.”, Russia
MFA Two-Sided Assessment Questionnaire
Table 5:

33. 33MFA Model
For more information contact Dr. Dmitry Maslov
E-mail maslow@bk.ru
LinkedIn https://ru.linkedin.com/in/academicmaslow