...The sample answer of DMS – CQM – Autumn 2010 Long Question 1. TQM preparation outline (10 Step).What is total quality? List and explain the key elements of total quality? A quality product is one that its’ performance somehow meets all or parts of the customers’ expectations. There are four levels of quality: i. Inspection Level - Most likely the outputs are okay, but we cannot do anything about it. ii. Quality Control Level - We still make mistakes but we try to prevent ones. iii. Quality Assurance Level - We always try to prevent any problems from happening, if we follow exactly the system iv. Total Quality - No problems, and the performance is even better than you can imagine, it exceeds expectations. The elements of a TQ organization: a. Strong Leadership – Managers, especially top managers, must be fully committed and really want to be world class performer which involves energy, patience, investment, integrity, passion and being a good role model. b. Customer Focused – In a total quality setting, the customer is the driver. This point applies to both internal and external customers. c. Obsessed with quality – Personnel at all levels approach all aspects of the job from the perspective of “How can we do this better?” when an organization is obsessed with quality; “good enough” is never good enough. If there is no problem, see if we can create new benefits. d. Process-based – Process refers to organization structure, flow of...
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...Benchmarking can be defined as a process for improving performance by constantly identifying, understanding and adapting best practices and processes followed inside and outside the company and implementing the results. The main emphasis of benchmarking is on improving a given business operation or a process by exploiting 'best practices,' not on 'best performance.' As in the case of Ames, benchmarking means comparing one's organization or a part of it with that of the other companies. With benchmarking dimensions typically measured are quality, time and cost. Benchmarking is used to measure performance using a specific indicator (cost per unit of measure, productivity per unit of measure, cycle time of x per unit of measure or defects per...
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...Kristine Beck Assignment Week 1 From 1940 to present, project management has continuously advanced from line managers using a small set of processes that were considered nice to have to the formal assignment of one individual assigned as the project manager that utilized a formal methodology by which to manage the project. Often the term “best practices” is referenced within a defined methodology. Documenting Best Practices: Mature Project Management Processes Best practice refers to the optimal method recognized within a given industry or discipline to achieve a stated goal or objective. These practices are consistently predictable and proven to provide successful results and these practices are dynamic—evolving and maturing over time (Devine, 2013). The Business Dictionary defines a best practice as a, “method or technique that has consistently shown results superior to those achieved with other means, and that is used as a benchmark (Business Dictionary, n.d.).” A more simple definition is that a best practice is a method or technique that has consistently shown results superior to those achieved with other means, and that is used as a benchmark. In addition, a "best" practice can evolve to become better as improvements are discovered. Best practice is considered by some as a business buzzword, used to describe the process of developing and following a standard way of doing things that multiple organizations can use. Organizations that have had constant success have adapted...
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...E&S Tucson - November 1999 Benchmarking from A to Z Using Benchmarking to Achieve Improved Process Performance Kay Kendall Director, Quality and Six Sigma E&S Tucson - November 1999 Definition from Webster’s Collegiate Dictionary Benchmark (n.) • a mark on a permanent object indicating elevation and serving as a reference in topographical surveys and tidal observations • a point of reference from which measurements may be made • something that serves as a standard by which others may be measured E&S Tucson - November 1999 Outline • • • • • • • • • Why Benchmark? Selecting Targets Terminology Cost/Benefit Analysis Keys to Successful Benchmarking The Benchmarking Process Tools of Benchmarking Identifying Candidate Partners The Site Visit and Beyond E&S Tucson - November 1999 Why Benchmark? + + + + + + + Identify opportunities Set realistic but aggressive goals Challenge internal paradigms on what is possible Understand methods for improved processes Uncover strengths within your organization Learn from the leaders’ experiences Better prioritize and allocate resources Performance Improvement E&S Tucson - November 1999 Comparing Scenarios DEFINING CUSTOMER REQUIREMENTS ESTABLISHING EFFECTIVE GOALS DEVELOPING TRUE MEASURES OF PRODUCTIVITY BECOMING COMPETITIVE Without Benchmarking • Based on history/gut feel • Acting on perception • • • • • Lack external focus Reactive Lagging industry Pursuing pet projects Strengths and weaknesses not understood...
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...Sustainable growth model Benchmarking ratios Retail Industry $1.6 trillion in retail and wholesale trade (2001) 15% of GDP (1960) 16% of GDP (2001) Department stores Customer service premium Many SKUs Discount stores Low prices No frills Retail Industry Wholesale clubs Membership only Volume discounts Limited SKUs Online stores Convenience Low overhead Sears, Roebuck, & Company Founded 1893 First retail store opened in 1925 $41 billion in sales (2001) 2,185 stores Wal-Mart / SAM’S Club Founded 1962 First SAM’S Club opened in 1983 $218 billion in sales (2001) 4, 189 stores 528 SAM’S Clubs 39 million members (SAM’S Club) Concentrated in the South BJ’s Wholesale Founded 1984 $5 billion in sales (2001) 130 stores 6.7 million members Concentrated in the Northeast Costco Wholesale Corporation Founded in 1983 Merged with Price Club in 1993 $34 billion in sales (2001) 365 stores 17.1 million members Concentrated in the West Costco Wholesale Corporation Target markets Middle class customers Small businesses Mark up limited to 14% Kirkland Signature store brand Brand name quality at discount prices Efficient operations Common-size Statements Absolute amounts vs. relative ratios / percentages Trends Where are funds allocated? How efficient is the business? Benchmarking Comparisons between businesses Sustainable Growth Model Step 1: Profitability and earnings retention Step 2: Leverage Step 3: Turnover and margins Step 4: Pretax income and tax effect Benchmarking ratios Profitability and...
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...Benchmarking Training Article Benchmarking for competitive advantage Introduction There has been a progressive increase in the topic of benchmarking – but for all that there is still a great deal of ignorance about what it actually is. It has taken its place as a management buzzword along with BPR, TQM, Change, EVA and many others – but its true nature is poorly understood. Some see it as stealing (or ‘borrowing’) ideas; others as a mechanism for comparison with a competitor; whilst others view it as a form of industrial espionage. In fact it is all of these and none of these at the same time, but instead involves understanding strategic gaps; cooperation; hard work; a willingness to question and where necessary to change fundamental precepts (sacred cows) and also - giving. This paper will address several issues including: what benchmarking is; when it should be used; and the benefits from using it; how to approach a benchmarking initiative; and how to optimise a benchmarking project. What is benchmarking? The term benchmark comes from surveying where it was used to denote a notch or mark representing a given altitude and against which other heights could be calibrated or ‘benchmarked’, since when it has come to mean any standard against which something is compared; and some of the leading exponents in business include Xerox and GE. In business terms there are numerous definitions of benchmarking, but essentially it involves learning, sharing information and adopting...
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...Morrison focuses on wholesale business strategy through which they create value through packaging, a merchandising. Its business principle hinges on synergies and economies of scale which are conducive with growth and technological advancement. It adopted the philosophy of vertical integration in manufacturing and packaging of fresh food products resulting forming 100% subsidiaries in order to fully integrate or control the business activities of those subsidiaries. It has hands-on leadership with a long service history. It is also driven by a growth orientation demonstrated by 97% increase in stores units between 1990-1996, operating profit increase of 216% over 7 years and 170% inventory turnover over the same period. This is further supported by business concepts such as total quality management, benchmarking, outsourcing and staff trained across the board to be innovative, cost conscious and wary of complacence . It is also driven by demand for its products and a first-time-every time business philosophy which ensures doing the right thing (effectiveness). Its It values employees as assets hence always promotes from within. All new developments are handled by the project management team. My assessment would be totally supportive of this business strategy where the organization looks for acquisitions of related business (vertical integration) and applies the...
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...Managing Improvement Understand the Effectiveness of the Organisation and own Ability to Manage and Improve Quality to Meet Customer Requirements Critically assess the organisations effectiveness in managing quality to meet or exceed customer requirements There are several Welsh Government legislative guidelines that influence quality within healthcare at both strategic and ground level. Everyone who works in or for the NHS is there, first and foremost to serve the public. Therefore, everyone at every level has a part to play in driving up standards of safe, effective, patient-centred care. The consistent delivery of safe, high quality care relies on contributions from a wide range of organisations, individuals and stakeholders. The Welsh Government’s, Achieving Excellence: The Quality Delivery Plan for the NHS in Wales (2012/2015) sets out their ambitions for achieving excellence in Welsh Healthcare by 2016. Their vision is for a quality driven NHS, focused on providing high quality care and excellent patient experience. These standards “are key to underpinning the vision, values, governance and accountability framework for the new NHS Wales” and are seen as a key tool, alongside the guidance from the 1000 Lives Quality Improvement Campaign and other initiatives in helping to drive up clinical quality and patient experience. The aim is been to map the quality standards more closely with service specific and professional standards and quality requirements such as the...
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...The European Journal of Development Research Vol. 20, No. 1, March 2008, 31–55 Staying alive in the global automotive industry: what can developing economies learn from South Africa about linking into global automotive value chains? Justin Barnesa and Mike Morrisb * Benchmarking and Manufacturing Analysts, and PRISM, School of Economics, University of Cape Town, Cape Town, South Africa; bPRISM, School of Economics, University of Cape Town, Cape Town, South Africa, and School of Development Studies, University of KwaZulu-Natal The insertion of the South African automotive industry into the global mainstream of vehicle manufacturing highlights a number of valuable analytical lessons for developing country automotive economies. The global value chains that dominate the automotive industry have fostered substantial upgrading within the South African automotive industry but pervasive international trends also limit the opportunities for value addition and more substantial increases in vehicle output. Key trends in this regard relate to tightening market conditions in the developed economies into which South African vehicle producers and automotive component manufacturers supply, excess global production capacity and the emergence of new low cost production locations principally in Asia. The benefits to the South African automotive industry of engaging in global value chains are clear but the long term sustainability and development of the industry remain in question. The importance...
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...Discuss the key political, economic, and social forces that may have influenced the development of the clinic. Economic and social conditions that affect people’s lives determine their health. People who are poor are less likely to seek proper medical care, as opposed to people who are of middle-class status and above. People with more social status, money, and education have a lot of choices and control over things, such as the neighborhoods, their salaries, occupational opportunities, etc. (Jin, Shah, & Svoboda, September, 1995, 153(5)) Dennis Raphael of the CSJ Foundation for Research and Education, reinforces this concept: “Social determinants of health are the economic and social conditions that shape the health of individuals, communities, and jurisdictions as a whole. Social determinants of health are the primary determinants of whether individuals stay healthy or become ill.” (Raphael, 2008) The development of clinics has become increasingly more important since the passage of the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010. Politics influence clinics because when laws such as these are put in place, federal funds will follow. These acts will make healthcare more accessible to millions of people in the United States. (Hobbs, Morton, Swerissen, & Anderson, 2010). There is increasing recognition of the crisis in primary care and the relatively poor U.S. population health. Tools that can measure morbidity...
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...Business Driven Information Systems 2e CHAPTER 1 INFORMATION SYSTEMS IN BUSINESS McGraw-Hill/Irwin ©2009 The McGraw-Hill Companies, All Rights Reserved 1-2 Chapter One Overview • SECTION 1.1 – INFORMATION SYSTEMS IN BUSINESS – Information Technology’s Role in Business – Information Technology Basics – Roles and Responsibilities in Information Technology – Measuring Information Technology’s Success • SECTION 1.2 – BUSINESS STRATEGY – Identifying Competitive Advantages – The Five Forces Model – Evaluating Business Segments – The Three Generic Strategies – Creating a Business Focus – Value Chain Analysis – Targeting Business Processes SECTION 1.1 INFORMATION SYSTEMS IN BUSINESS McGraw-Hill/Irwin ©2009 The McGraw-Hill Companies, All Rights Reserved 1-4 LEARNING OUTCOMES 1. Describe the functional areas of a business and why they must work together for the business to be successful 2. Explain information technology’s role in business and how you measure success 3. Compare management information systems (MIS) and information technology (IT) and define the relationships among people, information technology, and information 1-5 LEARNING OUTCOMES 4. Compare the responsibilities of a chief information officer (CIO), chief technology officer (CTO), chief security officer (CSO), chief privacy officer (CPO), and chief knowledge officer (CKO) 5. Explain the gap between IT and the business, along with the primary reason this gap exists 1-6 INFORMATION TECHNOLOGY’S...
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...dcvd v f dfvThe Capabilities of Market-Driven Organizations George S. Day, 1993 [93-123] View/Order Item >> Comments from members >> Understanding Market Orientation Considerable progress has been made in identifying market-driven organizations, understanding what they do, and measuring the bottom-line consequences. The next challenge is to better understand how this organizational orientation can be achieved and sustained. The emerging capabilities approach to strategic management offers a rich array of ways to design change programs that will enhance a market orientation. This approach seeks the sources of defensible competitive positions in the distinctive, difficult-to-imitate capabilities the organization has developed. Capabilities are complex bundles of skills and knowledge, exercised through organizational processes, that ensure the superior coordination of functional activities and enable the organization to continuously learn and improve. Examples of defining processes include such typical business activities as order fulfillment, new product development, and service delivery. Capabilities of Market-Driven Organizations Capabilities are embedded in the business's "outside-in" processes, which guide the creation and delivery of value in the organization. Two capabilities stand out as essential ingredients of a market orientation: Market Sensing. This capability enables the business to learn about customers, competitors, and channel members, with the...
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...Management Accounting Names Institutional Affiliation Introduction Most businesses have a number of objectives set in order to achieve the goals and maintain their policies. Some of the objectives include customers’ satisfaction with goods and services of high quality, high level of market penetration, free and attractive environment, and successful performance in terms of profit (Kouvelis, 2012). The success of the firm in terms of the sales depends on the strategies laid to balance cost of production and market price and ensure efficient competition with its counterparts. The sufficient margin over the cost of production needed by a company can be achieved by providing cost incurred relative to the prices in the market or the prices set for the objective achievements are actualized. There are several techniques put forwards by companies to ensure profit generation during their operations. Some of these techniques includes target costing, benchmarking and activity-based budgeting. Target costing This is not a new idea as far as a successful companies operation is concerned. It can be defined as the method that is implemented in determining the cost at which a product having particular parameters must the produced to ensure the required return rate is achieved.. This process entails analysis of cost that take place during the development phase and ensuring the cost is kept below the threshold (Stapenhurst, 2009). Target costing is one of the responsibilities that are...
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...Are You the Weakest Link in Your Supply Chain? Reuben Slone EVP, Supply Chain OfficeMax reubenslone@officemax.com 93rd Annual International Supply Management Conference - May 2008 Abstract. Effective supply chain management drives an increase in shareholder value for supply chain intensive companies such as manufacturers, retailers, and distributors. This paper looks at how best to present the role a proficient supply chain plays in creating shareholder value to the Board of Directors and the CEO through the use of economic profit. The Question. Why do most CEOs and Boards of supply chain intensive companies not fully understand the strategic role that supply chain plays in increasing shareholder value? The answer is that most top supply chain executives including myself have not properly framed the supply chain value proposition to them. After years of justifying supply chain investments to various CEOs and Boards based on improving and sustaining product availability, driving inventory productivity, and driving transportation and warehousing cost productivity, I found linking supply chain performance to shareholder value creation still missing. Over time, economic profit strongly correlates to increasing shareholder value in public firms. A supply chain that delivers the highest availability at optimal investment drives an increase in economic profit. Therefore, an effectively managed supply chain produces an increase in shareholder value. I found the link. The Role of Economic...
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...Quality Management at Sears Holding Corporation Felicia J Town Keller Graduate School of Management Managing Quality GM588 Professor Taylor October 10, 2011 Quality Management at Sears Holding Corporation Richard Sears, a Minneapolis railway station agent, sold lumber and coal to the local residents to make extra money. One day he received an unwanted shipment of watches from a neighboring jeweler and the light bulb in his head lit up, he was ready to start his own watch company. In 1886 Richard W. Sears began Sears Watch Company with the watches that he purchased for resale. In 1887 he teamed up with a watchmaker Alvah C. Roebuck, a young Indiana native to later form the firm Sears, Roebuck and Co. in 1893. In 1896 the first general catalog was created. By 1945, Sears had opened a retail store on the west side of Chicago and sales exceeded $1 billion. Sears continued to expand and offer a variety of services. It was until the early 1990s that Sears noticed a significant blow to its sales. 1992 was the start of the retail giant’s culture shift from senior management down to the hourly sales associates (Sears, 2011). A deliveryman, clerk, bookkeeper and teacher- these were all the hats worn by Sebastian S. Kresge. His ambition to succeed and his penny-pinching attitude led him to become a successful businessman. Through five and dime stores to Kmart stores, he became a millionaire. In 1966 sales topped the $1 billion mark. Kresge once said, "I think I was successful...
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