Enterprise Value Stream Mapping and Analysis

Transcription

1 Enterprise Value Stream Mapping and Analysis Stakeholder Value Metrics! March 25, 2002! Presented By:! C. Hallam, J. Mize! MIT LAI! Research Sponsored (Jointly) By <insert funding source>!

2 Customer Value Function to Requirements Reliability Availability Product Performance Product / Defects Service Failure Rate, MTBF Quality Responsiveness Early Involvement Quality of Support Open Communications Trust Risk Sharing Benefit Sharing Viability of Enterprise Product Development Cost Acquisition Cost Operating Cost Support Cost Retirement Cost Retention of Resale Value Relationship with Corporation Cost of Ownership CUSTOMER SATISFACTION 2 - Team Initials/Presenter Massachusetts Institute of Technology! Order Lead Time Product Development Time Maintenance/Repair/Overhaul Time On-Time Delivery Just in Time Capability Cycle Time

3 Supplier Value Training/Assistance with Process Improvement Market Information Supplier Certification Relationship Demand Information Early Involvement (design, development, production) with Design Information Information Sharing Corporation Production Information Product/Process Improvement Technology Sharing Viability of Enterprise Long Term Relationship Corporation's Market Reputation SUPPLIER SATISFACTION Fair Pricing Risk Sharing Equitable Benefit Sharing On-Time Accounts Receivable Growth in Market Share Financial 3 - Team Initials/Presenter Massachusetts Institute of Technology!

4 Shareholder Value Increased Operational Effectiveness????? Earnings/Share Financial Ratios Corporate Profit Share Price Bond Interest Rate Return Corporate Debt Corporate Equity Bond Rating Share Rating Risk Barriers to Entry Market Share Competitors Substitutes Branding Market Position R&D Investment Growth SHAREHOLDER New Product Successes Potential SATISFACTION Track Record Vision Expression Respect (internal and external) Perception of Ability to Perform Executive Leadership Information Availability Goodwill Reputation Regulatory Compliance 4 - Team Initials/Presenter Massachusetts Institute of Technology! External Relations

5 Employee Value Individual Team Lost Time Incident Rate Employee Empowerment Salary Benefits Bonus Skills are valued Safety Environment/OSHA Ergonomics Good Management Relations Timely Communications Two-way Communications Compensation Work Environment Job Security Training Potential for Career Advancement Employability Career EMPLOYEE SATISFACTION Community Relations Company Reputation/Personal Pride Quality of Life External Factors 5 - Team Initials/Presenter Massachusetts Institute of Technology!

6 Societal Value Corporate Tax on Profits Property Tax Income Tax of Employees Tax Revenue Financial Local Sales Tax Charitable Contributions Suppliers Supporting Commerce Secondary and Tertiary Industry Economic Job Potential Attractiveness SOCIETAL Job Security of Industry SATISFACTION Reduction of Emissions Voluntary Efforts Waste Reduction Environmentally Friendly Practices Corporate Quality of Work Environment Citizenship Adherence to Regulations 6 - Team Initials/Presenter Massachusetts Institute of Technology!

7 Union Value Headcount Protection Position Protection Job Security Compensation Benefits Safety Job Classifications Seniority Rights Employment Sharing in Decision Making Contribution to Long-term Corporate Success UNION Instill Sense of Pride in Workforce Power SATISFACTION Strike Threat Capability Encourage Involvement in Innovation Political Action Committees 7 - Team Initials/Presenter Massachusetts Institute of Technology!

8 Corporate Value Revenue Expenses Stock rating Bond rating Profits Growth in profits Other financial ratios Cash flow Ability to raise capital Financial Market Share Barriers to Entry Competition Substitutes Branding Market Position New Product Development Growth Potential Sustainability New Market Development Continuous Improvement Knowledge Management Contribution to Innovation Productivity Turnover Cost (Salaries & Benefits) Employees CORPORATE Safety SATISFACTION Sick/Absent days Loyalty Customer satisfaction Loyalty Sales Timely Accounts Receivable Customers High Quality Low Cost Timely Delivery Suppliers Stakeholder Fewer Conflicts Unions Infrastructure Support Long Term Partnership Society 8 - Team Initials/Presenter Massachusetts Institute of Technology! Political/Public

9 9 - Team Initials/Presenter Massachusetts Institute of Technology!