core values & concepts for performance excellence
DESCRIPTION
excellence preformanceTRANSCRIPT
Page 1 of 15
T UTHOR
Suresh Lulla, a distinguished alumnus of IIT Bombay, has made a mark through his work in the field of Quality.
A veteran professional with over 45 years of experience as a management consultant, trainer, speaker and author.
He was tutored and mentored by Dr. J M Juran, ‘the father of Quality’, who along with Mahatma Gandhi and Ramakrishna Bajaj form the trinity of his role models. (He jokes that one thing he has in common with them is a bald head.)
He founded India’s first dedicated Quality Management consulting firm, Qimpro Consultants, in 1987. Since its inception Qimpro, has helped save over Rs. 175 billion (or Rs. 17,500 crores) for organisations across industries.
In 2004, Mr Lulla was awarded the Indian Merchants Chamber (IMC) Juran Centennial Medal for his pioneering contribution to quality practices in India. He is the Chairman, IMC Quality Awards Committee which adjudges the IMC Ramkrishna Bajaj National Quality Award as well as the IMC Juran Medal.
Click here to know more about him.
© Qimpro Consultants Pvt. Ltd., 2014
This e-book is published by Qimpro Consultants Pvt. Ltd. It is free for download and personal use only. Any reproduction of this work in whole or in part in any form without the express permission of the copyright holder is strictly prohibited.
Page 2 of 15
Y OREWORD
DEMYSTIFICATION OF THE IMC RBNQA CORE VALUES & CONCEPTS
The IMC Ramkrishna Bajaj National Quality Award (IMC RBNQA) performance excellence model is about catalyzing organizations to become "trustworthy" in the eyes of all stakeholders – national and international. Since inception, in 1995, the IMC RBNQA Trust has focused on this objective, coupled with "customer protection", the mission of Shri Ramkrishna Bajaj. The consequent interpretation of the evolving criteria associated with the model, has therefore been consistently viewed through these two filters. This is the key differentiator that has made the IMC RBNQA unique in the Asia Pacific region.
Over the years, the IMC RBNQA criteria have evolved from Managing for Quality to Quality of Management; and from Managing for Improvement to Managing for Innovation. This is consistent with global trends for performance excellence. The metamorphosis is spectacular. It ensures no finishing line even for the trophy winners.
While the criteria have changed, the Core Values underlying the IMC RBNQA have remained constant. They will continue to be so since they are the soul of the performance excellence model.
This e-Book aims to demystify the IMC RBNQA Core Values.
SURESH LULLA Founder & Managing Director, Qimpro Consultants Pvt. Ltd. Chairman, IMC Quality Awards Committee 25 April 2014
Ramkrishna Bajaj
Page 3 of 15
j ISDOM
“The concept of meeting customer needs is ancient, but customer focus is a recent term. The new emphasis (or reemphasis) is traceable to the increased competition in quality.”
Dr J M Juran
A History of Managing for Quality
Page 4 of 15
\ MC RAMKRISHNA BAJAJ NATIONAL QUALITY AWARD
CORE VALUES
A few common themes or core values underlie many of the items and categories of the IMC RBNQA criteria. This e-Book aims to demystify each of the core values.
Adopting the core values within or without the IMC RBNQA framework will yield results: The interrelated concepts presented in this e-Book are built around the following core values:
Visionary leadership
Customer-driven excellence
Organizational and personal learning
Valuing workforce members and partners
Agility
Focus on the future
Managing for innovation
Management by fact
Societal responsibility
Focus on results and creating value
Systems perspective
Page 5 of 15
i ISIONARY LEADERSHIP
Every effective organization starts with a visionary leader. Dr A P J Kalam, Ratan Tata, Kumar Mangalam Birla, Harsh Mariwala, Dr E Sreedharan, Dr S S Badrinath, Dr Devi Shetty to name a few. Globally, examples abound: Steve Jobs, Bill Gates, Jack Welch, and more.
They have had clear visions of what they want their organizations to become.
They manage to translate that vision into organization-wide strategy with interdependent goals.
The values of an organization that define its culture are linked to the values of the leadership team and all functional and profit-center heads.
The commitment of the leadership team to the IMC RBNQA process is a key criterion for success.
Page 6 of 15
V USTOMER- DRIVEN EXCELLENCE
Being customer-driven or customer-focused should be a core competency of an organization. While this is something most organizations talk about, very few do well.
The foundation of a customer-driven organization is continuous market research that generates knowledge on customer perceptions and customer expectations; also the factors that influence customer buying behavior.
Quality of products and services, as perceived and expected by the customer, is no longer a differentiating factor.
Market / customer research is complex because customers and potential customers often have difficulty articulating what is most important to them.
The frustrating part of trying to be customer-driven is that customer needs and priorities are a moving target.
The frustration is compounded when organizations are dealing with digital customers as well as google customers.
Customer-driven is a must to bear the fruits of customer loyalty.
Page 7 of 15
b RGANIZATIONAL AND PERSONAL LEARNING
Organizations and employees need to continually improve their knowledge and skills and have ways of sharing lessons learned with each other.
Stephen Covey in ‘The 7 Habits of Highly Effective People’ refers to this as SHARPENING THE SAW.
The most under-employed asset of an organization is the knowledge resident in the people.
Large diversified organizations have a great opportunity to learn from one another by adopting structured internal benchmarking.
Structured internal benchmarking can also ignite creative thinking in individuals.
Along with organizational learning, the IMC RBNQA criteria also focus on individual learning.
The theme of continual learning is embedded in almost all the IMC RBNQA criteria.
Each approach & deployment item asks for evidence of evaluation and improvement of processes and approaches showcasing evidence of learning.
Talented employees stay in organizations so long as they are learning.
Page 8 of 15
i ALUING WORKFORCE MEMBERS AND PARTNERS
An increasing number of organizations today rely on employees and suppliers or partners for success. They confine their operations to core competencies.
Organizations that depend on the latest manufacturing equipment for success are diminishing.
Although work is outsourced to partners the accountability for performance is clearly with the organization in the eyes of the customers.
Since the process that starts with customer requirements and ends with output delivery is ONE in the eyes of the customer, although ownership shifts to multiple partners, it is important that everyone working on a process be treated with the same significance.
Organizations must treat all members of the process, wing to wing, as a big family.
Page 9 of 15
T GILITY
Agility means that the organization can quickly adapt to changing competitive, technological, or customer factors.
Although it is important to have a strategic plan, organizations often require tactical plans a few months forward. Agility is required to think tactics in a competitive environment.
Agile organizations have supreme competency in the product development process. Their process performs faster, better, cheaper and different. It is difficult for competitors to replicate this process.
Organizations that have customer obsession in their DNA, and core competencies in product development, can cope with diminishing product life cycles.
Being the first in the market place has the advantage of prior franchise. There is no better advantage.
Page 10 of 15
Y OCUS ON THE FUTURE
Focus on identifying future customers, markets, technologies, and other factors that might impact the business.
Doing a good job on today’s requirements and today’s products may not ensure an organizations long term survival.
Part of the job of senior executives is to search out new opportunities for the business.
Opportunities might consist of companies to buy, others to partner with, new markets to enter, or new products or services that might expand a company’s offerings.
Increasingly, digital customers are demanding door step delivery; and communication is replacing transportation.
In a SWOT analysis, focus on Opportunities and Threats.
Page 11 of 15
` ANAGING FOR INNOVATION
The foundation for innovation is creative thinking.
Innovation is translating a creative idea into an end offering.
Innovation is not just the job of R&D.
Employees in all functions need to be encouraged to be creative and innovative in problem solving.
Risk taking and innovation are cultural values that are hard to find in many large organizations.
Organizations have become large and successful because some creative and innovative people had a great idea at one time.
Large organizations tend to lose that entrepreneurial spirit as the founders retire and the size of the corporation increase.
Leaders should nurture a culture whereby employees are not afraid to generate ideas.
Page 12 of 15
` ANAGEMENT BY FACT
This is probably the most difficult of the IMC RBNQA core values to follow.
Facts = Data.
The IMC RBNQA criteria expect an organization to be more data driven in how they run their enterprise.
Organizations must systematically gather data on the right variables, and analyze the data with the right quality tools, in order to facilitate decision making and problem identification.
Analyzed Data = Information.
The analysis of data should entail multi-tool analysis.
Selecting the right performance measures should be a scientific process, linked to strategic goals.
There should be a balance between leading and lagging indicators.
There should be a balance between hard and soft measures.
Page 13 of 15
f OCIETAL RESPONSIBILITY
An organization’s leaders should stress on responsibilities to the public, ethical behavior, and the need to consider societal well being and benefit.
Because the IMC RBNQA judges expect winners to be role models for the world, it is important that the organization focuses on ethics and the protection of public health, safety and environment.
Organizations should emphasize resource conservation and waste reduction at the source.
Organizations should not only meet all laws and regulatory requirements, but should go beyond compliance.
Managing societal responsibilities requires the organization to use appropriate measures and leaders to assume responsibility for those measures.
Page 14 of 15
Y OCUS ON RESULTS AND CREATING VALUE
The IMC RBNQA criteria expect a balanced focus on all kinds of results: Customer Satisfaction; Product Performance; Process Performance; Employee Satisfaction; Financial Performance; Market Performance; Leadership Performance.
Emphasis is on balance between short-term and long-term performance, ensuring long-term survival and success.
About half the points in the IMC RBNQA are based on results achieved.
Effectiveness precedes efficiency.
Results oriented organizations need to show flexibility in pushing for different results from time to time, as situations change. One year, profits might be the most important index, and the next year it is safety and environmental performance.
Page 15 of 15
f YSTEMS PERSPECTIVE
One of the core values of the criteria is the alignment of all pieces of the organizational systems.
It is acceptable if different parts of an organization have different approaches.
In fact, the criteria encourage the tailoring of approaches to the nature of business in each unit.
However, it is also important to look at all of these units or locations as part of a large organization that has its own goals and objectives.
Found this eBook interesting?
Share your feedback now!