Policy, Strategy

and Goal
Deployment
Integrating TQM into the policy and strategy

Develop a shared vision and mission for

1 the business /organization .
T h e r ea r e s i x b a s i
Develop the mission into its critical success
c steps for ach 2
fac tors (C SFs ) to c oerc e and move it
ieving this and forw ard .
3 Define the key performanc e outc omes as being the
providing a good quantifiable indicators of success in terms of the mission
and CSFs .
foundation 4
Understand the c ore proc ess and
gain proc ess sponsorship .
for the
Break down the core processes into sub
implementation 5
processes , activities and form improvement teams
around these.
o 6 Ensure proc ess and people alignment through
f TQM. a polic y deployment or goal translation
proc ess .
 Step 1 - Develop a L E A D E R S H IP P O L I C Y
STRATEGY
shared vision and
mission for the
business/
organization .
Once the top team is reasonably clear
about the direction the organization
should be taking it can develop mission
and vision statements that w ill help to
define proc ess - alignment, roles and
responsibilities . This will lead to a co -
ordinate
proc essesflow of analysis
that crossesof and traditional
areas at all levels , w ithout
functional formal struc tures , titles , and
systems
changingwhich can create
resistance .
Figure 4 . 1 Vision f r a m e w o r k f o r a n
organization
 The mission
statement
is:

A n expression of the aspiration of the

organization ; The touchstone against w h i c h all
action or proposed actions c a n be judged ;
Usually long term ;
Short term if the mission survival .
 Typical
content
includes a
statement of:
The role of c ontribution of the business or
unit The definition of the business
Your distinc tive c ompetenc e
I ndic ations for future
direc tion
Some questions that
may be asked of a
mission statement are,
does it:

Define the organization’s

role ? C ontain the need to be
fulfilled :
- I s it w orthw hile / admirable ?
- W ill employees identify w ith
it ?
- How w ill it be view ed
externally?
Take a long term view, leading to, for example, commitment to a new product
service development , or training of personnel?
Take into account all the stakeholders of the organization ?
Step 2 – Develop the ‘mission’
intoits critical success
factors (CSFs) to coerce and
move it forward.

The development of the mission is clearly not enough to ensure its

implementation. This is the ‘danger gap’ which many organizations
fall into because they do not foster the skills needed to translate the
mission through its CSFs into core processes.
The CSFs may now defined – what the organization must accomplish to
achieve the mission, by examination and categorization of the impacts. This
should lead to a balanced set deliverables for the organization in terms of:

Financial and financial performance;

Costumer/market satisfaction;
People/market satisfaction;
Environmental/societal satisfaction.
Some examples of
CSFs may clarify that
understanding:

We must have right-first-time suppliers. We

must have motivated, skilled workers.
We need new products that satisfy market needs. We
need new business opportunities.
We must have best-in-the-field product quality.
Senior manager in large
complex organization
may find it necessary or
useful to show the
interaction of divisional
CSFs in an impact
matrix.

Figure 4.2 Interaction of corporate and divisional

CSFs
 A typical C S F d a t a s h e e t f o r completion b y o w n e r s is s h o w n in Figure
4.3.

Step 3 – Define the

key performanc e
outcomes as
indicator
being the squantifiable
of success in
terms of the mission and
CSFs

of The
the mission and ,C S Fbut
organization s provide the
they must
supported by whatbe measurable key
performance outc omes (KP O ) that are
tightly and inarguably linked. The KPOs
will be used to monitor progress and as
evidence of success for the organization,
in every direction, internally and
externally.
Step 4 – Understan d
the core process
and gain process To ensure that proc esses are
listed
they ,should be in the form of verb
sponsorship
plus object, such as research the
market, recruit competent staff, or
The core business processes describe
manage supplier performance .
what usually is or needs to be done
The core processes identified
so that the organization meets its
frequently run across ‘ departments ’ or
CSFs . As with the C S F s and the functions , yet they must be
mission each process which is measurable
necessary for a given C S F must be .E ach core process should have a
identified, and together the processes sponsor, preferably a member of the
listed must be sufficient for all the management team that agreed the
C S F s to be ac c omplished . CSFs .
The task of a sponsor is to:
- Ensure that appropriate
resources are made available
to map. Investigated and
improve the process;
- Assist in selecting the
process improvement team
leader and members;
-Remove block of the team’s
progress;
-Report progress to the senior
management team.
Figure 4.4 Process / CSF
Matrix
 Step 5 – Break down the core processes into sub processes,
activities and tasks and form improvement teams around these

Once the organization has defined and mapped out the core
processes, people need to develop the skills to understand how the
new process structure will be analyzed and made to work. The very
existence of a new process teams with goals and responsibilities will
force the organization into a learning phase. The changes should
poster new attitudes and behaviors.
 An illustration of the
breakdown from mission
through CSFs and core
processes, to individual
tasks may assist in
understanding the
process required.

Figure 4.5
Breakdown of core processes into
sub processes, activities and tasks.
Individuals , t a s k s a n d t e a m s – having broken d o w n the p r o c e s s e s into sub
processes , activities and tasks in this w a y ; it is n o w possible t o link this with
the Adair model o f a ctio n - center ed leadership and teamwork .

P e r f o r m a n c e m e a s u r e m e n t a n d m e t r i c s – o nc e the pr oc e ss e s have been

analyzed in this wa y , it should be possible t o develop metrics f o r measuring t he
p e r f o r m a n c e o f the processes , sub processes , activities , and tasks . These must be
meaningful in t e r m s o f the inputs and outputs o f t he processes , and in t e r m s o f the
cust ome r s and suppliers t o t he processes .

I t is hoped that this illustration will help the reader

to:

U n d e r s t a n d t h e b r e a k d o w n o f p r o c e s s e s into sub p r o c e s s e s , activities a n d tasks .

U n d e r s t a n d t h e links b e t w e e n t h e p r o c e s s b r e a k d o w n s a n d t h e task . Individual a n d
t e a m concepts.
Link t h e hierarchy o f p r o c e s s e s w i t h t h e hierarchy o f quality t e a m s .
Begin t o assemble a c a s c a d e o f f l o w c h a r t s representing t h e p r o c e s s b re a k do wn s , which
c a n f o r m t h e basis o f t h e quality m a n a g e m e n t s y s t e m a n d c o m m u n i c a t e w h a t is going
on t hro ug ho ut t h e business .
Understand the way in which metrics must be developed to measure the true
performance o f t h e p ro c e s s e s , a n d their links w i t h t h e c u s t o m e rs , suppliers , inputs a n d
outputs o f the p r o c e s se s .
S t e p 6 – Ensure p r o c e s s a n d people alignment through a
policy deployment o r goal translation pr o c e s s .

One of the key to integrating excellence into the business strategy is a formal ‘goal translation’ or ‘policy
deployment’ process. If the mission and measurable goals have been analyzed in terms of critical success factors and core
processes, then the organization has begun to understand how to achieve the mission.

Figure 4.7 The goal tran sl at i on p r o c e s s in p r a c t i c e

 Deliverables

T h e d e l i ve r a b l e s a f t e r o n e planning c y c l e o f t h i s p r o c e s s in a b u s i ne s s will b e :

1.An agreed framework for policy /goal deployment through the business.
2. Agreed mission statement for the business and, if required, for the business units/division.
3. Agreed critical success factors C S F s with ownership at top team level for the business units/division.
4. Agreed key performance outcomes KPOs with the targets throughout the business.
5. Agreed core business processes , with sponsorship at top level.
6. A corporate CSF / business unit C S F matrix showing the impacts and the first ‘ what ’ s / how ’ s
‘deployment.
7. A w hat / how C S F / proc ess matrix approac h for deploying the goals into the organization
through process definition, understanding , and measured improvement at the business unit level.
8. Focused business improvement , linked back to the CSFs , with prioritized action plans and involvement
of employees .
STRATEGIC AND OPERATIONAL PLANNING

The s t r a t e g i c a nd operational p r o c e s s describes;

Provide the seniormanagement team w ith the means to manage the

organizationand strengths and weakness through the change process .
Allow the senior management team members to have a clear understanding and to achieve
agreement on the strategic direction, including vision and mission.
Identify and document those factors critical to success ( CSFs ) in achieving the strategic
direction and the means by which success will be measured ( KPOs ) are targeted.
Identify, document and encourage ownership of the core process that drive the business.
Reach agreement on the priority processes for action by process improvement
teams, incorporating current initiatives into an overall, cohesive framework.
Provide a framew ork for suc c essfully deploying all goals and objec tives through
organizational levels through a tw o - w ay ‘c atc h- ball’ proc ess . all
Transfer the skills and knowledge necessary to sustain the
process.
THE DE PL O Y M E NT OF POLIC IES A ND STRATEGIES

S o m e c o m m o n t h e m e s e m e r g e f e w e r t h a n six
he a d i n g s :

Costumer / market
Shareholders / major
stakeholders People
Processes
Partners /resources
Society