operational excellence defined: is right for you?

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l Rights Reserved, Juran Global Dr. Joseph A. DeFeo, CEO Juran Global Operational Excellence Defined Is It Right For You? Welcome to Today’s Session

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Page 1: Operational Excellence Defined: Is Right For You?

All Rights Reserved, Juran Global

Dr. Joseph A. DeFeo, CEO Juran Global

Operational Excellence Defined

Is It Right For You?

Welcome to Today’s Session

Page 2: Operational Excellence Defined: Is Right For You?

All Rights Reserved, Juran Global

Today’s Agenda

1. Define Operational Excellence and discuss its evolution.

2. Present what is common to many homegrown programs.

3. Discuss some lessons learned.

Page 3: Operational Excellence Defined: Is Right For You?

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Our Legacy Ignited a Global Movement

Dr. Joseph M. Juran founded Juran Institute, Inc.

Page 4: Operational Excellence Defined: Is Right For You?

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What is Operational Excellence?

Page 5: Operational Excellence Defined: Is Right For You?

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Evolution of Terms

Quality Business Plan

Total Quality Management

Operational Excellence

Performance Excellence

Superior Business Results

Time

Manufacturing Excellence

Always Be Maturing

Page 6: Operational Excellence Defined: Is Right For You?

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One Definition

A philosophy of business where problem-solving, teamwork, and leadership results in

the ongoing improvement in an organization.

The process involves focusing on the customers' needs, keeping the employees positive and engaged, and continually improving the current activities in the

workplace.

Page 7: Operational Excellence Defined: Is Right For You?

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Another DefinitionOperational Excellence at Chevron, or OE: is our commitment to doing the best job possible while

protecting people and the environment. means always trying to improve, always trying to get to

the next level. means that we have a systematic way for ensuring that

we do things safely and consistently every day. is a way of life. is taking the time to do things right no matter how big

or small the task is.

OE provides us a framework where we can execute our business with confidence. It means that employees not only share OE at the workplace but also take it home. Being reliable and safe and extends to our families and our suppliers and our contractors.

Page 8: Operational Excellence Defined: Is Right For You?

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DuPont

This integrated and balanced approach helps improve financial performance by increasing productivity and asset

uptime, while also improving quality, human safety and environmental footprint.

DuPont operational excellence …to achieve world class operational performance.

Page 9: Operational Excellence Defined: Is Right For You?

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Different Models

Page 10: Operational Excellence Defined: Is Right For You?

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The Best Known Model: Baldrige

Page 11: Operational Excellence Defined: Is Right For You?

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Lesson Learned: OpEx is Organization Wide

Enablers

KeyBusiness Processesand Value Streams

LoyalCustomers

Strategic P

lan

Strategic and

Com

petitive Analysis

Results

Influencers

Page 12: Operational Excellence Defined: Is Right For You?

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Lesson Learned: Op Ex Needs a Play Book

Achieve Strategies: Business Results Through Customer Delight

Benchmarked Targets Deployed Goals

Assure Product/Service Effectiveness

Assure Process Efficiency

UnderstandVoices

CreateRoadmap

DesignInnovation

DelightCustomers

LeanProcesses

ContinualImprovement

Foundation: Structure, Models, Roadmaps, Methods, Tools & Scorecards

Page 13: Operational Excellence Defined: Is Right For You?

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Lesson Learned: Op Ex Needs a Foundation

Models Methods Tools Scorecards

Home Grown

EFQM

Deming Prize

Shingo Prize

Baldrige

Value Stream

Six Sigma

BPM

QbD

Lean

Safety

QI Tools

Control Tools

Design Tools

Lean Tools

Stretch Targets

KPIs

Data Driven

Customer Focused

Balanced

Page 14: Operational Excellence Defined: Is Right For You?

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Lesson Learned: Build An Op Ex Infrastructure

Drive CultureChange

Do It Again

Achieve Results

andHold the

Gains

JDI Take Action

ImplementSolutions

Projects

Integrated Scorecard & Data Management System

Identify and

EstablishProjects

VET Teams Standardize Daily Work Assessthe

CurrentState

UnderstandStrategicDrivers

Page 15: Operational Excellence Defined: Is Right For You?

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Lessons Learned: Always Be Maturing

Asset Effectiveness

Level 2

COPQ

TPM

Baldrige

Lean: RIE

KPIs - Scorecard

Benchmarking

QbD - DFSS

SPC

RCCA

6S

Lean

Six Sigma

Quality Tools

ISO Quality System

Level 4

Level 1 Level 3

Less Efficient

Less Effective

More Efficient

More Effective

Page 16: Operational Excellence Defined: Is Right For You?

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All Effective Op Ex Programs are business and customer focused

All Op Ex Programs are systematic and designed to be Effective

All organizations define their own playbook based on known best practices in the marketplace

All require transformation/culture change to take place Most start off as grass root efforts and grow into

organization wide as maturity improves All build effective and efficient infrastructures All need to be renewed over time – Always Be Maturing

Lessons Learned

Page 18: Operational Excellence Defined: Is Right For You?

All Rights Reserved, Juran Global

More Resources

business innovation business

process improvement continuous improvement dmaic juran quality handbook lean manufacturing lean six sigma lean transformation operational excellence process innovation

quality assurance quality control quality improvement management consultin

g firm iso 9000 2015 six sigma certification what is lean what is six sigma

Click any link for more information

Page 19: Operational Excellence Defined: Is Right For You?

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Thank you!

Copyright ©2015, Juran Institute, Inc. For more information, please visit www.juran.com

Contact us at: [email protected]