Bench Marking

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The process visioning

Organizations spend a lot of time developing vision


and mission statements.
Mission is the overall guiding direction of how an
organization will work towards its vision.
Vision is the articulated powerful and preferred
"future state" image of where the organization wants
to be.
The visioning process is most effective when derived
from inspiration rather than manipulation.
Employees become insincere and suspicious about
these statements when they feel manipulated and left
out, but committed to making it work when they are
inspired by being part of the process.
Successful visioning ignites continuous development
and learning in organizations.
Benefits
Unites employees around a common dream
Links the work of different departments
Creates a framework for decision making
Establishes the foundation for planning
Examines the present business state
Identifies inconsistencies in business
The visioning process is an ideal and central strategy
for facilitating organizational renewal. The very
strategies and ideas that make an organization
successful today can cause it to fail tomorrow.
Renewal is a natural part of the larger business cycle.
Visioning can significantly influence the performance
of the organization if dedicated attention is paid to
the complex and lengthy process.
Dedication towards visioning
Creating alignment between individual and
organizational values, mission and vision
Having staff from all levels and a diversity of
departments (as well as representative stakeholders )
actively participate and give feedback about the
process
Acknowledging that visioning is emotional and will
evoke conflict
Ensuring that an effective process is in place to
facilitate conflict
Questions to aid Visioning:

How do we get to the preferred future state?


How will we know we've arrived?
What will help us? What will delay us?
What strategies and programs are needed?
What's working (we should keep doing)?
What's not working (we should stop doing)?
How will we check our progress?
How will we conduct the implementation?
What are the implementation phases?
What have we learned up until now?
Bench Marking
Identify the process

Design and Scope process and team-


implement improved
process

Analyse study results Map,understand and analyse th


process-

Collect information Refine process: change


the obvious

Design benchmarking
study
Comparison can be done between
different depts within a division
Different divisions within a company or organisation
Different organizations within the same industry
Different organizations in different industries
Benchmarking is not restricted to
few activities
Budgetary or financial performance
Customer service deliverysystems and measures
Productivity measures
Use of technology
Planning and project management practices
Human resource management
Financial control systems
Benchmarking Methodology
Identify your problem areas .
Identify other industries that have similar
processes
Identify organizations that are leaders in these
areas
Survey companies for measures and practices -
Visit the "best practice" companies to identify
leading edge practices -
Implement new and improved business practices
Cost of Benchmarking
Visit Costs
Time Costs
Benchmarking Database Costs
Business Process Redesign is "the analysis and design
of workflows and processes within and between
organizations" (Davenport & Short 1990). Teng et al.
(1994) define BPR as "the critical analysis and radical
redesign of existing business processes to achieve
breakthrough improvements in performance
measures."
Business process redesign
Systematic redesign:
Identify and understand existing process and then
work through them systematically to create new
processes to deliver desired outcomes
Clean sheet approach:
Fundamentally rethink the way that the product or
service is delivered and designed new processes from
scratch
Where to start
Some guidance can be found by utilising
The performance-importance matrix
The learning star
Evaluate the cost of quality
-Cost of failure which includes rework and
scrap ,Warranty claims ,customer complaints and loss
of customer goodwill
-The cost of appraisal which includes inspection,
measurement and testing
The cost of training which includes the cost of
training the employees about the importance of
quality level
Upfront design work –more expensive
If undertaken will reduce the cost of the product by
eliminating the causes of failure and warranty claims
4.Psychological factor or hassle factor
Low morale and stresses staff affect the quality

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