Baldrige. Criteria for Performance Excellence. e Program. Presentation by John M. Mullins. Proofpoint Systems, Inc. July 20, 2011

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1 Baldrige i Performance Excellence e Program Presentation by John M. Mullins VP for Performance Solutions Proofpoint Systems, Inc. July 20, 2011 Criteria for Performance Excellence

2 Agenda Introduction Some Success Stories the Winners The Framework and Criteria How to Incorporate Baldrige into Project Management

3 Award Recipients: Manufacturing 3M Dental Products Division Cargill Corn Milling North (1997) America (2008) ADAC Laboratories (1996) Clarke American Checks, Inc. Armstrong Building Products (2001) Operations (1995) Corning Telecommunications Products Division (1995) AT&T Transmission Systems Business Unit (1992) The Bama Companies, Inc. (2004) Boeing Airlift & Tanker Programs (1998) Cadillac Motor Car Company (1990) Dana Corporation Spicer Driveshaft Division (2000) Eastman Chemical lcompany (1993) Honeywell Federal Manufacturing & Technologies (2009) IBM Rochester (1990)

4 Award Recipients: Manufacturing KARLEE Company, Inc. STMicroelectronics (2000) Region Americas (1999) MEDRAD, Inc. (2003, 2010) Sunny Fresh Foods, Inc. Milliken & Company (1989) (2005) Midway USA (2009) Texas Instruments Defense Systems & Electronics Motorola CGISS (2002) Group (1992) Motorola, Inc. (1988) Westinghouse Commercial Nestlé Purina PetCare Co. Nuclear Fuel Division (2010) (1988) Solar Turbines Inc. (1998) Xerox Corp. Business Products & Systems (1989) Solectron Corporation (1991 and 1997) Zytec Corporation (1991)

5 Award Recipients: Service AT&T Consumer Communications Services (1994) AT&T Universal Card Services (1992) BI (1999) Boeing Aerospace Support (2003) Caterpillar Financial Services Corp. U.S. (2003) Dana Commercial Credit Corporation (1996) DynMcDermott Petroleum Operations (2005) Federal Express Corporation (1990) GTE Directories Corporation (1994) Merrill Lynch Credit Corporation (1997) Operations Management International, Inc. (2000) Premier Inc. (2006) The Ritz-Carlton Hotel Company, L.L.C. L (1992, 1999) Xerox Business Services (1997)

6 Award Recipients: Small Business Ames Rubber Corporation (1993) Pal s Sudden Service (2001) Branch-Smith Printing Division (2002) Park Place Lexus (2005) Custom Research Inc. (1996) PRO-TEC Coating Company (2007) Freese and Nichols Inc. (2010) Stoner, Inc. (2003) Globe Metallurgical Inc. (1988) Studer Group (2010) Granite Rock Company (1992) Sunny Fresh Foods (1999) K&N Management (2010) Texas Nameplate Co., Inc. Los Alamos National Bank (2000) (1998, 2004) Marlow Industries, Inc. (1991) Trident Precision Manufacturing, MESA Products, Inc. (2006) Inc. (1996) MidwayUSA (2009) Wainwright Industries, Inc. (1994) Wallace Co., Inc. (1990)

7 Award Recipients: Education Chugach h School District i t (2001) Community Consolidated School District 15 (2003) Iredell Statesville Schools (2008) Jenks Public Schools (2005) Kenneth W. Monfort College of Business (2004) Montgomery County Public Schools (2010) Pearl River School District (2001) Richland College (2005) University of Wisconsin Stout (2001)

8 Award drecipients: i Health Care Advocate Good Samaritan Hospital (2010) AtlantiCare (2009) Baptist Hospital, Inc. (2003) Bronson Methodist Hospital (2005) Heartland Health (2009) Mercy Health System (2007) North Mississippi Medical Center (2006) Poudre Valley Health System (2008) Robert Wood Johnson University Hospital Hamilton (2004) Si Saint Lk Luke s Hospital of Kansas City (2003) Sharp HealthCare (2007) SSM Health Care (2002)

9 Award Recipients: Nonprofit City of Coral Springs (2007) U.S. Army Armament Research, Development and Engineering Center (ARDEC; 2007) Veterans Affairs (VA) Cooperative Studies Program Clinical Research Pharmacy Coordinating Center (2009)

10 7 Categories of the Business/Nonprofit Criteria Leadership Strategic Planning Customer Focus Measurement, Analysis, and Knowledge Management Workforce Focus Operations Focus Results

11 2011 The Role of Core Values and Concepts

12 Core Values and Concepts Visionary i leadership Customer-driven excellence Organizational and personal learning

13 Core Values and Concepts Valuing workforce members and partners Agility Focus on the future Managing g for innovation

14 Core Values and Concepts Management by fact Societal responsibility Focus on results and creating value Systems perspective

15 Baldrige g Criteria Framework: A Systems Perspective

16 Organizational Profile What are your key organizational characteristics? P.1 Organizational Description Organizational Environment Product Offerings Vision and Mission Workforce Profile Assets Regulatory Requirements Organizational Relationships Organizational Structure Customers and Stakeholders Suppliers and Partners

17 P.2 Organizational Situation What is your organization s strategic situation? Competitive Environment Competitive Position Competitive Changes Comparative Data Strategic Context Key business, operational, societal responsibilities, and human resource strategic challenges and advantages? Performance Improvement System

18 Category Point Values 1 Leadership Strategic Planning 85 3 Customer Focus 85 4 Measurement, Analysis, and Knowledge Management 90 5 Workforce Focus 85 6 Operations Focus 85 7 Results 450 TOTAL POINTS 1,000

19 1. Leadership (120 pts.) Senior leaders actions, organizational governance, and societal responsibilities 1.1 Senior Leadership (70 pts.) 1.2 Governance and Societal Responsibilities (50 pts.)

20 2. Strategic Planning (85 pts.) Strategic and action planning, and implementation of plans 2.1 Strategy Development (40 pts.) 2.2 Strategy Implementation (45 pts.)

21 3. Customer Focus (85 pts.) How an organization listens to the voice of the customer and engages its customers Voice of the Customer (45 pts.) 3.2 Customer Engagement (40 pts.)

22 4. Measurement, Analysis, and Knowledge Management (90 pts.) Analysis, review, and improvement of organizational performance Management of information, knowledge, and information technology 4.1 Measurement, e e Analysis, s, and Improvement e tof Organizational Performance (45 pts.) Management of finformation, Knowledge, and Information Technology (45 pts.)

23 5. Workforce Focus (85 pts.) How an organization i builds an effective workforce environment and engages, develops, and manages its workforce 5.1 Workforce Environment (40 pts.) 5.2 Workforce Engagement (45 pts.)

24 6. Operations Focus (85 pts.) How an organization designs, manages, and improves its work systems and work processes and prepares for emergencies 6.1 Work Systems (45 pts.) 6.2 Work Processes (40 pts.)

25 7. Results (450 pts.) Performance and improvement in all key areas Current performance levels, trends, and comparative data 7.1 Product and Process Outcomes (120 pts.) 7.2 Customer-Focused Outcomes (90 pts.) 7.3 Workforce-Focused Outcomes (80 pts.) 7.4 Leadership and Governance Outcomes (80 pts.) 7.5 Financial and Market Outcomes (80 pts.)

26 Q Questions

27 Baldrige-Based Based Award Programs in active state, local, and regional programs For 30 of the state and local award programs:* 327 award applications 2,003 examiners trained 27 Baldrige Award recipients first earned the highest-level award in their states. * As reported to the Alliance for Performance Excellence.

28 2009 Award Recipients If you re considering your own Baldrige quest, please do that.... It s a very rewarding journey. It really brings your team together, th all of your employees. It builds upon success and allows you to strive for continuous improvement in delivering for your customer and then internally driving employee satisfaction and engagement. Anthony Brancato, III, president, Honeywell Federal Manufacturing & Technologies, L.L.C. The veteran is the benefactor of what we provide for our clinical trials, and I think that the Baldrige Program actually enabled us to transform the organization from being good to a great organization, one that is very high h performing. Mike Sather, director, VA Cooperative Studies Program Clinical Research Pharmacy Coordinating Center

29 2009 Award Recipients If you want sustainability in an organization, and you want to go from great to really, really great, you ve got to have some kind of a model... and Baldrige is that model!... MidwayUSA has benefited tremendously from the Baldrige Criteria: Our sales are up over 20 percent per year over the last five years. Our profits are up over 40 percent per year for that same time. Customer satisfaction at 93 percent is at an all-time high. Employee satisfaction, at 82 percent, is at an all-time high also. All the winds are blowing in the right direction at MidwayUSA, and it s all because of our efforts in engaging the Baldrige Criteria. Larry Potterfield, CEO, MidwayUSA

30 2009 Award Recipients The Baldrige journey for us has really never been about winning the crystal. It s about being worthy,... accelerating our performance,.... transforming our organization, making it a better place for our physicians to practice, achieving stronger clinical outcomes,... creating a great work environment, and eventually getting to this vision of ours of building healthy communities. David Tilton, president and CEO, AtlantiCare Baldrige is a commitment to excellence that never ends.... We want to learn every day, we want to be better every day, and Baldrige gave us the framework... to pursue that journey of excellence. Mark Laney, president and CEO, Heartland Health

31 Item Format Item number Item title Item point value Basic item requirements (in item title) Type of information to provide in response Overall item requirements (specific topics to address) Areas to address Multiple requirements (individual Criteria questions) Subheads summarizing multiple requirements Item notes

32 Item Format Item notes have the following purposes: p clarify key terms and requirements give instructions indicate/clarify y important linkages Nonprofit-specific item note (in italics) Location of item description

33 Steps Toward Mature Processes

34 For More Information Criteria booklets Self-assessment tools based on the Criteria Award recipient videos and profiles Case studies Connections to the Baldrige community (301)