6 | Process
Improving Processes through Observation
When you come across a story that involves process improvement in both education and healthcare at the same time, you have to share it.
The education part is the Executive Master of Public Administration: Concentration for Nurse Leaders program at NYU’s Robert F. Wagner Graduate School of Public Service. (Let’s see you fit that on a business card.) For their Capstone project, the six people in the program decided to analyze how much time nurses spend getting the equipment they need to get their jobs done.
They carefully observed nursing staff at New-York Presbyterian Columbia University Medical Center. They wrote down how much time nurses spent with patients. They photographed rooms after patients were discharged. They watched what nurses did when they weren’t with patients and they discovered that nurses had to get supplies for each patient from a central storeroom. It wasn’t a quick trip and it took them away from patients, which meant nurses tended to get everything they thought they might need to avoid return trips. Once supplies are brought to a patient’s room, they must be used or thrown away. If they forgot something or needed more supplies, nurses had to return to the central storeroom. They were often…
8Nov2010 | Steve George | 0 comments | ContinuedThe Perils of Process Atrophy
A process wants to fall apart. It can be efficient and effective. It can do exactly what you hoped it would do. But you cannot leave it alone, because if you do, it will deteriorate. It will get loose and sloppy, quality will suffer, speed will be lost, and results will decline.
The Baldrige Criteria ask two questions about how you keep your processes intact:
- How does the day-to-day operation of your work processes ensure that they meet key process requirements?
- How do you prevent defects, service errors, and rework and minimize costs or customer productivity losses?
The Criteria also ask how you improve your processes. Managing and improving your processes is an ongoing, neverending activity. In “Embrace Systems Thinking” (IndustryWeek, October 26, 2010), Jill Jusko talks with Robert Martichenko and Kevin von Grabe about building a lean fulfillment stream. Martichenko points out that managing and improving your processes requires developing problem-solving skills across the organization. According to Martichenko, 96% of the initial problems in supply chain and logistics can likely be solved using pareto charts, fishbone diagrams, and the “five whys.” That is probably true for work processes in any part of your organization, and the good news is, developing proficiency in these three…
28Oct2010 | Steve George | 0 comments | ContinuedThe 3 P’s: Starting Points for Integrating Baldrige
Where do you start? You want to make your organization more competitive, better able to meet customer needs, less inclined to mistakes, but you’ve been doing things the same way for years and you’re not sure where to begin.
When I get this question, I suggest starting with one or more of the 3 P’s: processes, people, or planning.
Start with Processes. The Baldrige model is a process model because the work of an organization is done through processes. Organizations that haven’t taken a formal approach to process management usually spend way too much time firefighting because their processes are out of control, or they blame people when their processes fail. Neither is a prescription for long-term success.
You can develop a process orientation by first identifying your key work processes, which Baldrige defines as your most important internal value creation processes. If you’re not sure where to start, look at what products and/or services you provide to your customers and figure out the internal steps that design, produce, and deliver those products and services. Then consider the support processes that make these customer-driven processes possible, such as your key processes in sales, marketing, finance, human resources, IT, etc. Once you’ve identified your value…
12Oct2010 | Steve George | 0 comments | ContinuedThe Value of Lean
The Baldrige model is not prescriptive—it doesn’t tell you how to do all of the things you need to do to run your organization effectively—but if it was prescriptive, it would prescribe lean.
Lean is a perfect fit for a management model that values process. While it is fundamentally about reducing cycle time by eliminating waste, the organizations that have implemented lean have also found that it improves quality, delights customers, engages employees, and lowers costs.
If you want to learn more about the potential of lean to help your organization, I suggest reading The Antidote by Anand Sharma and Gary Hourselt, who have built a stellar consulting practice on their ability to help organizations with lean. The book (click here to order it) uses real-life examples to describe the benefits of lean and how to implement it.
You can read about one company’s experience with lean in “What We Have Learned on Our Lean Journey” (IndustryWeek, Adrienne Selko, September 29, 2010). Correct Craft, which makes boats, started its lean journey in 2007 by making sure top management was on board with the initiative. The next step was to hold Kaizen events where teams of four floor employees took one day to redesign the problematic parts of a…
30Sep2010 | Steve George | 0 comments | ContinuedThe Golden Rule in Business?
Treat others as you would like to be treated. That may be the Golden Rule in Sunday School but it’s rarely passed the lips of a business executive. Too often, the business world is one of cutthroat competition, doing anything to get an edge, being obsessive about your secrets, and winning while others are losing.
Zappos takes a different approach. The online shoe company has grown from startup to $1 billion in annual gross merchandise sales in ten years. It’s doing something right. I’ve written about Zappos before in “Zappos and a Sustainable Culture,” which looked at how Zappos developed a culture that gives it a competitive advantage, and its amazing return policy in “Do You Trust Your Customers?” It turns out the company takes a fresh approach to supply chain management, too.
In “A Lesson from Zappos: Follow the Golden Rule,” Tony Hsieh, who was hired when the company started to lead its merchandising team and is now its CEO, talks about Zappos decision to create alliances with its vendors in which “partners aligned themselves to the same vision and committed to accountability, knowing we’d all benefit from achieving our goals.” (HBR, June 4, 2010) Zappos acted on this decision with processes that are…
7Jun2010 | Steve George | 0 comments | ContinuedThe Benefits of Process Thinking
The Baldrige model is a process model. Leaders who feel like people or parts of their organizations are pulling in different directions can use process thinking to pull them together.
Process thinking builds a customer focus. Process thinking begins with a rock-solid understanding of customer requirements. Each process concludes by delivering products and/or services that serve those requirements. Process thinking contributes to a customer focus by making it easier to identify and eliminate work that does not add value to customers.
Process thinking improves quality and cycle time. Core processes cut across functional boundaries. Improving these processes means improving within the functions, but it also means improving between functions. The cross-functional nature of process thinking brings new perspectives to old ways of doing business. Cross-functional and customer focused means decisions are made based on the needs of the customer, not the needs of the function.
Process thinking reduces costs. A process orientation allows you to take huge amounts of costs out of the system while still improving customer satisfaction. It keeps your eye on both objectives simultaneously.
Process thinking helps drive fear out of the organization. The functional organization encourages blame. If something fails, someone must be at fault. Process thinking means blaming the process, not the…
19May2010 | Steve George | 0 comments | ContinuedAsk What, Not Who
Several years ago I did a Baldrige assessment for a well-known service company. It was quickly apparent that a siege mentality permeated its offices with leadership blaming the production facility for problems and production blaming leadership and everybody blaming the customers, who generally disliked the company. When I presented my evaluation of the company’s management system, I told leaders they had a “culture of blameology.”
The most common question in response to any problem was, “Whose fault is it?” As a result, people kept their heads down. Nobody took initiative. Everybody avoided responsibility. Unhappy and unmotivated employees spent more time looking over their shoulders than focusing on what was in front of them.
So the first task was to change the question. Instead of asking whose fault a problem was, the more effective question is, “What’s the process?” W. Edwards Deming and Joseph Juran liked to point out that 80 to 90 to 95 percent of an organization’s problems are problems with the system, not with the people working in the system, so if you really have to blame someone, blame the people responsible for the system. Blame leadership. That won’t solve the problems but at least you’ll be holding the right…
6May2010 | Steve George | 0 comments | Continued

