147x Filetype PPT File size 0.71 MB Source: fullerjonesassociates.com
FJA-301-06 Leading Enterprises … Leading Enterprises … Identify and Avoid Unnecessary Costs Identify and Avoid Unnecessary Costs Maintain Superior Levels of Customer Satisfaction Maintain Superior Levels of Customer Satisfaction Optimize Organizational Performance Optimize Organizational Performance What Are the Barriers to Achieving the Above? 2 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, 2 April 2006 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, April 2006 INC. INC. FJA-301-06 What Are The Barriers To What Are The Barriers To Success? Success? System Barriers System Barriers System Barriers Business flows System Barriers Performance indicators Business flows Performance indicators Business flows Performance indicators Business flows Performance indicators (inputs) (outputs) (inputs) (outputs) (inputs) (outputs) (inputs) (outputs) Waste Waste People and process Quality People and process Quality People and process Quality People and process Focus of Lean Quality Focus of Lean Material Cost Material Cost Material Cost Material Cost Variability Variability Inflexibility Inflexibility Focus of 6 Focus of 6 Focus of Theory Information Focus of Theory Time Information Time Information Time Information Of Time Of Constraints Constraints Feedback Loop Waste = High Cost Variability = Low Customer Satisfaction Inflexibility = Sub-optimization 3 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, 3 April 2006 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, April 2006 INC. INC. FJA-301-06 The Manifestation of Barriers The Manifestation of Barriers “The Iceberg Analogy” “The Iceberg Analogy” Cost Of Poor Quality Cost Of Poor Quality “Above The Waterline” “Above The Waterline” * ~5% of Operating Expense* ~5% of Operating Expense Examples: Examples: • Scrap Scrap • Rework Rework • Downtime Downtime • Warranty Warranty Cost Of Poor Quality Cost Of Poor Quality “Below The Waterline” “Below The Waterline” * ~35% of Operating Expense* ~35% of Operating Expense Examples: Examples: • Incorrect Billing Incorrect Billing • Improper Tools Improper Tools • Lack of Training Lack of Training • Overtime Overtime • Unclear Requirements Unclear Requirements • Absenteeism / Tardiness Absenteeism / Tardiness • Lack of Process Lack of Process • Accidents Accidents * Philip Crosby & Associates Estimate * Philip Crosby & Associates Estimate Does Your Organization Understand the Hidden COST of Poor Quality? 4 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, 4 April 2006 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, April 2006 INC. INC. FJA-301-06 What Choices Existed Before What Choices Existed Before BBPE? BBPE? Many Choices To Traditional Approaches, All Essentially The Same 5 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, 5 April 2006 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, April 2006 INC. INC. FJA-301-06 Drawbacks to the Traditional Drawbacks to the Traditional Approaches Approaches Why Can’t You… Leverage existing people/practices Have management lead and train their employees Deploy in all areas at once, with focus on key problems Use your existing infrastructure Reduce problem solving cycles Generate results beyond traditional expectations Transform management and staff behaviors Many Of The Drawbacks To 6, Lean, etc Are Attributable To The Overemphasis Given To Sophisticated, Rarely Used Tools. 6 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, 6 April 2006 Confidential – Do Not Distribute - Property of FULLER, JONES & ASSOCIATES, April 2006 INC. INC.
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