Learn Six Sigma Business Transformation for Dummies (Vince Grant; John Morgan, 2014)
- Importance: Effectiveness = Quality of the solution x Acceptance of the solution
- Defining the needs > analysing the gap > creating the training plan
- Driving business transformation: Define > Review > Improve (Prepare, Shape, Implement) > Verify > Establish
- The element of change (keep communicated): Establish the need > build stakeholder engagement > develop the vision and plan > make change happen > embed the change > monitor and refresh
- Defining transformation objectives: scoping (who is outside the frame, up for discussion, in the frame) > grouping > recognising casual interrelationship > selecting your transformation objective > transformation workstreams (operational capability, culture, talent management)
- Transformation charter: vision, key objectives, business case, in scope, out of scope, work-streams, key people and roles, key milestones
- Assessing readiness for transformation: doing the right work (having the right strategy) + doing the work right (deploying the right strategy) + creating the right environment = successful deployment
- Strategy map: financial (increased revenue, reduced costs, earlier payments), customer (easier to do business with, faster service, self-service order & pay), internal processes (reduce work, improved order management process, improved lead generation, online payment capability), learning & growth (trained staff on lean six sigma, invested in new ERP system, new website)
- European Foundation for Quality Management (EFQM): (Enablers) Leadership + people + strategy + partnership & resources + processes, products & services > (Results) people results, customer results, society results, key results
- Baldrige Excellence Model: 1. Leadership > 2. Strategic Planning > 3. Customer Focus > 4. Measurement, Analysis and Knowledge Management > 5. Workforce Focus > 6. Operations Focus > 7. Results
- Shingo Prize Model: Culture (behaviour) = guiding principles + systems + results + tools
- Project tracking report: Project no. project name, project lead, project sponsor, business area, approval status, project start, close, initiative phase, stage, status, progress
- PEMME: People, Equipment, Method, Material, Environment
- Suppliers & inputs > PEMME > outputs to customers
- AQPC’s generic process architecture: 1. Develop vision and strategy > 2. Develop and manage products and services > 3. Market and sell products and services > 4. Deliver products and services > 5. Manage customer service > 6. Develop and manage human capital > 7. Manage information technology > 8. Manage financial resources > 9. Acquire, construct and manage property, 10. Manage environmental health and safety, 11. Manage external relationships, 12. Manage knowledge, improvement and change
- Catalyst’s process architecture: 1. Develop vision, market, product, people technology and strategies > 2. Develop & manage organisational/governance & process framework, 3. Manage H&S & environment, risk & contingency planning > 4. Manage performance & strategic information > 5. Manage strategic relationships > 6. Market products & services > 7. Control finance > 8. Develop products & services > 9. Recruit people > 10. Sell products & services > 11. Deliver products & services > 12. Obtain payment > 13. Manage client relationships/customer services > 14. Manage and develop people > 15. Pay accounts > 16. Manage facilities/logistics & stock > 17. Manage technology > 18. Manage operational information & knowledge > 19. Manage supply chain
- Creating strategy deployment architecture: cascading to the point of impact > creating the strategy deployment roll-out strategy > playing catchball (decision making on ‘thrown’ and ‘caught’)
- Catchball style: Compliance, debate, discussion, dialogue
- X Matrix: Strategic essentials, critical objectives, focus areas, process improvements, process measure, resources, correlation matrices, resource correlation matrix
- Effective action plan: owner/team leader, process measures, team members, status legend, headings, detailed actions, PDCA status, timing plan
- Reporting: Strategy summary, X Matrix, Tracking chart, Action plan, Corrective action
- < Local management reviews
- > Leadership reviews
- Understanding the right culture: norms and values, underlying assumptions, artefacts and behaviours
- The cultural web: stories & myths, symbols, power, structure, routines & rituals, systems
- Kotter’s 8 steps to cultural change: 1. Establish a sense of urgency. 2. Form a powerful guiding coalition. 3. Create a vision. 4. Communication the vision. 5. Empower others to act on the vision. 6. Plan for short-term wins. 7. Consolidate improvements and produce still more changes. 8. Institutionalise new approaches
- Lewin’s 3 phases of change: Unfreeze > Change > Refreeze
- Creating a communication plan: 1. Set communication objectives. 2. Establish key messages. 3. Define and prioritise key stakeholders. 4. Establish stakeholder group concerns. 5. Develop effective communication. 6. Allocate budgets and responsibilities. 7. Develop a quarterly communications calendar. 8. Assess results and adapt the plan
- Pugh matrix: a tool used to facilitate a disciplined, team-based process for concept generation and selection
- Normal Group Technique (NGT): 1. Divide the people into groups of 6. 2. Ask open-ended questions. 3. Instruct to brainstorm. 4. Write down ideas as a group. 5. Work through the ideas. 6. Individual rank the ideas best to worse
- Divisional organisational structure (accordingly to geographical areas, market or products as autonomous) vs. Functional organisational structure (activity performed by individual groups within the business)
- Customer’s classification: Promoter (likely recommend), Passive (moderate approach), Detractors (not going to recommend)
- Supply chain: procurement, manufacturing, warehousing, transportation
- Lean supply: involve people, build in quality, reduce lead time, standardise, improve continuously
- Transformation process: obtain leadership ownership, communicate, use strategy deployment to drive improvement programmes, don’t let perfect get in the way of better, recognise and celebrate success, create a capability maturity roadmap and regularly review it, provide appropriate training as it is needed, encourage leaders and managers to manage daily improvements, listen to the voice of your customers and other stakeholders, don’t be afraid to make mistakes but learn from them