2. Agenda Who we are and what we do Origins of the NOW Management System Great economic shift and mass customization Management System components Client results and testimonials Employee engagement Summary Consultants John Bernard’s upcoming book
3. Who We Are Creators of the A Fully Integrated and Closed-Loop Framework to Drive the Proactive and Disciplined Execution of Routine Work and Initiatives
4. What We Do Guide leadership teams through the customization and installation of evolutionary management practices
6. Origins of the NOW Management System John Bernard’s has consulted with diverse global industries Technology, service, distribution, utilities, banking, insurance, manufacturing, health care, education and government More than 100 clients Nike, Baxter Healthcare, Tektronix, PacifiCorp, Kaiser Permanente, and Standard Insurance John has guided leaders and has an impressive track record as an executive Founder/CEO of a start-up professional services firm Senior vice president of a multi-billion-dollar financial services company with responsibilities for 1,000 employees
7. Origins of the NOW Management System Built from John Bernard’s 30-year quest to develop a management system that enables talented people to achieve spectacular results John played a major role in driving Omark Industries (Fortune 1000) to become an early leader in the U.S. quality revolution Lean, Six Sigma and process improvement emerged from these pioneering efforts John then spent two years studying lean, Kaizen and Six Sigma in Japan
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9. Yet, management processes receive the least attention and, generally, are very undisciplined
14. Capitalize on the Great Economic Shift MASS CUSTOMIZATION “Which of our 32 colors would you like your car to be?” MASS PRODUCTION “You can have your car any color you want as long as it’s black” GREAT RECESSION INTERNET 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 2020
15. Shift to Mass Customization Economy The internet gave birth to the Mass Customization era Mass Customization is a fundamental shift in customer needs and expectations because we can now easily access the world’s marketplaces Mass Customization means if we want to compete in the future we have to be nimble enough to customize Mass Customization is a marketplace revolution that demands a corresponding management revolution “This economic crisis doesn’t represent a cycle. It represents a reset. It’s an emotional, raw social, economic reset. People who understand that will prosper. Those who don’t will be left behind.” Jeffrey Immelt CEO, General Electric
16. NOW THEN Managerial Hierarchy Customer Need DRIVER Functional Process Centric ORGANIZATION Centralized Decentralized DECISIONS Big Ideas Micro-Improvements IMPROVEMENT Management Everyone USE OF DATA Ad Hoc, Intuitive Standardized, Fact Based PROBLEM SOLVING Slow Fast SPEED
17. NOW Management System is a Proven Game Changer Management is the most critical process Yet, management receives the least attention and lacks discipline By applying leading-edge models to the process of management, Mass Ingenuity provides a Fully integrated and closed-loop framework to drive the proactive and disciplined execution of routine work and initiatives NOW Management System creates a rapid and sustainable transformation
18. Gain a Competitive Advantage in this Revolution We can no longer afford to manage the “Henry Ford mass production” way We must implement game-changing management practices Installing the NOW Management Systemis our #1 greatest opportunity to significantly improve Employee engagement Customer experience Profitable growth Waste
28. Client Testimonials “By implementing the Mass Ingenuity management system we have achieved across-the-board results beyond anything we had imagined.” — CEO and Dental Director of Major Northwest Dental Association “Wow, what a positive change Mass Ingenuity made in our company! It catapulted us into the future with innovative thinking and great results. The Management System visually proved to our prospects and customers that we were the right supplier for them. The results were priceless! ” — Co-founder and CEO of Electronics Company “The System of Management delivered as promised on increasing employee accountability. Our business is all about deep customer relationships so this benefit is fueling our growth.” —Founder and CEO, Professional Services Firm "In the first three months we have knocked down the silos, began to think like an enterprise, and see future opportunity to become a true outcomes-based agency.”— State Government Director "If I had to do it all over again, I would have implemented a management system framework before I invested in lean throughout the organization.”— State Government Deputy Director
30. NOW Management System Drives Employee Engagement Prioritize and drive the execution of all work by connecting every employee to the key goals and ensuring they have the maximum authority to act on “Every Opportunity, Every Employee, Every Time”
31. Employee Engagement Data ACTIVELY ENGAGED ACTIVELY DISENGAGED 31% 29% 40% Data Courtesy of The Gallup Organization DISENGAGED Failing miserably
32. Ideas Implemented Per Employee Per Year 302 302 300 250 200 150 100 50 0 BANKRUPT Toyota Motor Company General Motors 7 7 June 1, 2009 Filed Chapter 11 1983
33. Micro-Ingenuity and Micro Economics An idea that saves: $2.00 In a process done each day: 10 times By others who do the same work: 12 colleagues Who work each year: 260 days $62,400 savings
34. Why Employee Engagement Matters Research show that high‐engagement companies realized these results when compared to low-engagement companies 19% increase in operating income 13% increase in net income 27% increase in earnings per share Source: Towers Perrin and Peter Crush, “Employee Engagement ROI: Rules of Engagement” Six months after implementing their Management System, one client increased employee engagement 16.67% Despite having a company-wide wage freeze for the prior 9 months
35. Management System Components A Fully Integrated and Closed-Loop Framework to Drive the Proactive and Disciplined Execution of Routine Work and Initiatives
36. Improve Customer Experience Reduce Costs Accelerate Growth FUNDAMENTALS Routine Work BREAKTHROUGHS Strategic Initiatives 7-Step Problem Solving Quarterly Target Reviews
45. Measuring Progress Discipline, accountability; need for action reinforced Facts are out in the open to deal with reality Constraints to goals are clear People prepared and motivated to take effective action Complete visibility of the organization’s performance Accomplishments recognized Opportunity to learn the business and expected behaviors Target Reviews
46. Typical Project Timeline Alignment with CEO Leadership Team Input Decision to Launch FUNDAMENTALS TARGET REVIEWS BREAKTHROUGHS Launch 3 6 9 12 15 18 Months* *Project timeline can be compressed and is dependent upon leadership team availability
47. Summary Significantly alter the performance trajectory of your business Make a move early in the recovery to gain market share in an expanding market Tap into the talent of your people in ways you have always dreamed of Prosper in the biggest shift in a century Note: Discuss with Vince last
48. Leadership Team Note: Vince’s suggestion is to delete this slide and replace with next one on “Consultants.” I don’t agree. Aaron Howard President and CEO John Bernard Founder, Chairman and Author Ed Israel Vice President of Sales Kelly Ferguson Vice President of Professional Services
49. Mass Ingenuity Consultants All project leads are seasoned consultants Spanning all industries and sectors Competencies include Business acumen Executive and management experience Facilitating diverse teams and cultures Trusted advisors
50. JOHN BERNARD Author, Executive, Entrepreneur, Keynote Speaker & Consultant Due Fall 2011
Editor's Notes
All waste combined by sector (includes management waste)Manufacturing 25-30%Service 30-40%Government 40-50%+
Tell Story: 99 Designs…Other Story?************************************Let me lay some foundation to help you understand the revolution that is occurring:The wealth and prosperity of the United States must be credited to a way of doing business the dominated the last centuryMany credit Henry Ford with the management thinking that has become the underpinning of the way we run our businesses today.But along came the internet, and it gave birth to a new era, the era of MassCustomization, a time when through our computers at work and at home we can access the marketplaces of the world.Mass Customization isn’t a fad, it’s a fundamental shift in what the market wants and expects. Mass Customization means if we want to continue to compete we have to be able to customize our products and services to meet the UNIQUE needs of each customer.We’ve all witnessed the decline in manufacturing jobs in this country and watched as they went off to China, Vietnam, South Korea and other developing countries. This was and is the end of the Mass Production era – as Mass Customization now drives our economy.While this transition has been going on for years now, along came The Great Recession -- which I believe history will show was driven far more by this shift than by bad mortgage loan practices. More on that in a minute.
We are in the midst of one the most fundamental changes to our economic system in a century
“To me there is nothing more critical than engaging our 120 talented dentists in creating an extraordinary, patient-focused practice. By implementing the Mass Ingenuity management system we have achieved across-the-board results beyond anything we had imagined.” — CEO and Dental Director of Major Northwest Dental Association“Mass Ingenuity is a company that is easy to brag about! Wow, what a positive change it made in our company and the people who worked there! Despite 25 years in business, we were invigorated by Mass Ingenuity with the excitement of a new business. Mass Ingenuity catapulted us into the future with innovative thinking, great results, and employee growth. The Management System visually proved to our prospects and customers that we were the right supplier for them. The results were priceless! ” — Co-founder and CEO of Electronics Company“I am very impressed with the Mass Ingenuity System of Management delivered as promised on increasing employee accountability. Our business is all about growing deep customer relationships so this benefit is fueling our growth.” —Founder and CEO, Professional Services Firm "In the first three months we have knocked down the silos, began to think like an enterprise, and see future opportunity to become a true outcomes-based agency.”— State Government Director"If I had to do it all over again, I would have implemented a management system framework before I invested in lean throughout in the organization.”— State Government Deputy Director
MANAGEMENT must be viewed as a system, a collection of processes that are core to running the business such that it can successfully deliver in the NOW.I will share with you OUR NOW Management System, but I want to be clear our is not the only solution, but any solution must effectively enable
Permanente Dental…70% in red or yellow….Within a year it was down to 20%
KELLY: John will be sharing with you a preview of content from the book he is writing, Managing in the NOW, Business at the speed of Need. John Bernard brings an unusually practical perceptive to what it takes to create organizations that perform well in the NOW. An experienced entrepreneur, CEO, storyteller and author, I know you will both enjoy and value the time you spend with him this morning.
