Baldrige overiew criteria_sfb_va_md
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Baldrige overiew criteria_sfb_va_md
- 1. Baldrige Performance Excellence Program 2011 Baldrige Performance Excellence Program Criteria for Performance Excellence Steve Bonk PMI sfbonk@ieee.org
- 2. Baldrige Performance Excellence Program 2011 What is the Baldrige Program? Operates as a unique public-private partnership Educates organizations on performance excellence management Manages the Malcolm Baldrige National Quality Award Baldrige is Performance Excellence: Organizations Achieve and the U.S. Succeeds
- 3. Baldrige Performance Excellence Program 2011 Program History The Malcolm Baldrige National Quality Improvement Act of 1987, Public Law 100-107 Created Award Program to – identify/recognize role-model businesses – establish criteria for evaluating improvement efforts – disseminate/share best practices Expanded to health care and education (1998) Expanded to nonprofit (+ Government) sector – (2005)
- 4. Baldrige Performance Excellence Program 2011 Performance Excellence An integrated approach to organizational performance management that results in delivery of ever-improving value to customers and stakeholders, contributing to organizational sustainability improvement of overall organizational effectiveness and capabilities organizational and personal learning
- 5. Baldrige Performance Excellence Program 2011 Program Participants 86 Award recipients (91 Awards) 1,458 Baldrige Award applications More than 5,800 trained Examiners Widespread participation Private-sector contributions provide over 90 percent of Program support
- 6. Baldrige Performance Excellence Program 2011 Award Recipients’ Contributions Increase competitiveness of U.S. organizations Give presentations to all sectors Give presentations at The Quest for Excellence® and the regional conferences Influence customers/suppliers Host seminars and workshops Write articles
- 7. Baldrige Performance Excellence Program 2011 Applying for the Baldrige Award Manufacturing Service Small business (manufacturing or service) Education (for-profit and nonprofit) Health care (for-profit and nonprofit) Nonprofit, including charities and government agencies
- 8. Baldrige Performance Excellence Program 2011 The Baldrige Criteria Are considered a validated organizational performance assessment tool Define performance excellence Are used to identify Award recipients Are used by diverse organizations in all sectors of the U.S. economy Comprise an Organizational Profile and seven Categories —an integrated management framework Are updated regularly (currently every two years)
- 9. Baldrige Performance Excellence Program 2011 Seven Categories of the Business/Nonprofit Criteria Leadership Strategic Planning Customer Focus Measurement, Analysis, and Knowledge Management Workforce Focus Process Management Results
- 10. Baldrige Performance Excellence Program 2011
- 11. Baldrige Performance Excellence Program 2011 Core Values and Concepts Visionary Leadership Customer-Driven Excellence Organizational and Personal Learning
- 12. Baldrige Performance Excellence Program 2011 Core Values and Concepts Valuing Workforce Members and Partners Agility Focus on the Future Managing for Innovation
- 13. Baldrige Performance Excellence Program 2011 Core Values and Concepts Management by Fact Societal Responsibility Focus on Results and Creating Value Systems Perspective
- 14. Baldrige Performance Excellence Program 2011 Baldrige Criteria Framework: A Systems Perspective
- 15. Baldrige Performance Excellence Program 2011 Steps Toward Mature Processes
- 16. Baldrige PerformanceNational Quality Program Baldrige Excellence Program Baldrige Performance Excellence Program 2011 2008
- 17. Baldrige Performance Excellence Program 2011 Organizational Profile P.1 Organizational Description P.2 Organizational Situation Starting point for self-assessment and application preparation Basis for early action planning
- 18. Baldrige Performance Excellence Program 2011 Category Point Values 1 Leadership 120 2 Strategic Planning 85 3 Customer Focus 85 4 Measurement, Analysis, and Knowledge Management 90 5 Workforce Focus 85 6 Process Management 85 7 Results 450 TOTAL POINTS 1,000
- 19. Baldrige Performance Excellence Program 2011 1. Leadership (120 pts.) Addresses Senior Leaders’ Actions, Governance, and Societal Responsibilities 1.1 Senior Leadership (70 pts.) 1.2 Governance and Societal Responsibilities (50 pts.)
- 20. Baldrige Performance Excellence Program 2011 2. Strategic Planning (85 pts.) Addresses Strategic and Action Planning and Deployment of Plans 2.1 Strategy Development (40 pts.) 2.2 Strategy Implementation (45 pts.)
- 21. Baldrige Performance Excellence Program 2011 3.Customer Focus (85 pts.) Addresses How an Organization Engages its Customers and Listens to the Voice of the Customer 3.1 Voice of the Customer (45 pts.) 3.2 Customer Engagement (40 pts.)
- 22. Baldrige Performance Excellence Program 2011 4. Measurement, Analysis, and Knowledge Management (90 pts.) Addresses Analysis, Review, and Improvement of Organizational Performance and Management of Data, Knowledge, and Information Resources 4.1 Measurement, Analysis, and Improvement of Organizational Performance (45 pts.) 4.2 Management of Information, Knowledge, and Information Technology (45 pts.)
- 23. Baldrige Performance Excellence Program 2011 5. Workforce Focus (85 pts.) Addresses How an Organization Engages, Develops, and Manages Its Workforce and Builds an Effective Workforce Environment 5.1 Workforce Environment (40 pts.) 5.2 Workforce Engagement (45 pts.)
- 24. Baldrige Performance Excellence Program 2011 6. Process Management (85 pts.) Addresses How an Organization Designs Its Work Systems; Prepares for Emergencies; and Designs, Manages, and Improves Its Work Processes 6.1 Work Systems (45 pts.) 6.2 Work Processes (40 pts.)
- 25. Baldrige Performance Excellence Program 2011 7. Results (450 pts.) Addresses an Organization’s Performance and Improvement in Key Areas and Includes Current Performance Levels, Trends, and Comparative Data 7.1 Product and Process Outcomes (100 pts.) 7.2 Customer-Focused Outcomes (90 pts.) 7.3 Workforce-Focused Outcomes (80 pts.) 7.4 Leadership and Governance Outcomes (80 pts.) 7.5 Financial and Market Outcomes (80 pts.)
- 26. Baldrige Performance Excellence Program 2011 Program Achievements Created a national and international standard for performance excellence Produced role models Shared best management practices Generated award programs Raised U.S. competitiveness Established outreach and education systems
- 27. Baldrige Performance Excellence Program 2011 2010 Baldrige Award Recipients MEDRAD (manufacturing) Nestle Purina PetCare Co. (manufacturing) Freese and Nichols Inc. (small business) K&N Management (small business) (continued)
- 28. Baldrige Performance Excellence Program 2011 2010 Baldrige Award Recipients (continued) Studer Group (small business) Advocate Good Samaritan Hospital (health care) Montgomery County Public Schools (education)
- 29. Baldrige Performance Excellence Program 2011 How to Learn More Maryland Quality Awards http://www.marylandexcellence.org/ (updating) US Senate Productivity and Quality Award for Virginia www.spqa-va.org Attend a Baldrige regional or national conference Participate in an Award recipient sharing day/workshop Become a state/local or national Examiner
- 30. Baldrige Performance Excellence Program 2011 Resources for More Information Most Baldrige National Quality Program (BNQP) documents are available both in printed form and on the NIST BNQP Web site. To obtain these documents, call (301) 975-2036; send an e-mail to baldrige@nist.gov; or visit www.nist.gov/baldrige.
Notas do Editor
- The Criteria consist of these seven Categories. Each Category is subdivided into Items and Areas to Address. There are 18 Items, each focusing on a major requirement. Embodied within these is a set of Core Values and Concepts. Let’s take a look at these Core Values and Concepts before discussing the Categories and Items and the related Areas to Address.
- The Criteria are built on a number of interrelated Core Values and Concepts. These values and concepts are embedded beliefs and behaviors found in high-performing organizations. They are the foundation for integrating key performance and operational requirements within a results-oriented framework that creates a basis for action and feedback. This figure shows the role of the Core Values and Concepts. The Criteria are built on them. Core Values and Concepts are embedded in the systematic processes addressed in Criteria Categories 1 through 6. These systematic processes yield the performance results found in Criteria Category 7. Let’s take a closer look at these Core Values and Concepts.
- Visionary Leadership: An organization’s senior leaders have a central role in setting directions and creating a customer focus. They must convey clear and visible values and high expectations. The organization’s defined values and strategies should help guide all of its activities and decisions. Senior leaders serve as role models and reinforce ethics, values, and expectations while building leadership, commitment, and initiative throughout the organization. Senior leaders should be responsible to the organization’s governance body for their actions and performance. Customer-Driven Excellence: Performance and quality are judged by an organization’s customers. Thus, your organization must take into account all product features and characteristics and all modes of customer access and support that contribute value for your customers and lead to customer acquisition, satisfaction, preference, and loyalty; to positive referrals; and, ultimately, to business expansion. Customer-driven excellence has both current and future components. It demands close attention to the voice of the customer, anticipation of marketplace changes, and a customer-focused culture. Therefore, it demands organizational agility. Organizational and Personal Learning: Organizational learning refers to continuous improvement of existing approaches and significant change or innovation, leading to new goals and approaches. Personal learning refers to education, training, and other opportunities for the continuous growth and development of your workforce, including senior leaders and volunteers. Learning is directed not only toward developing better products and services but also toward being more responsive, adaptive, innovative, and efficient—giving your organization marketplace sustainability and performance advantages and giving your workforce satisfaction and the motivation to excel.
- Valuing Workforce Members and Partners: An organization’s success depends increasingly on an engaged workforce and on the diverse backgrounds, knowledge, skills, creativity, and motivation of its workforce and partners. Valuing the people in your workforce means committing to their engagement, satisfaction, development, and well-being. Internal partners may include unions and employees, while external partners may include customers, suppliers, and education or community organizations. Such partnerships may be a source of strategic advantage for an organization. Agility: Success in today’s ever-changing, globally competitive environment demands agility—a capacity for rapid change and flexibility. Organizations face ever-shorter cycles for the introduction of new/improved products, as well as for faster and more flexible responses to customers. Cycle time has become a key process measure. Focus on the Future: The pursuit of sustainable growth and sustained performance leadership requires a strong future orientation and a willingness to make long-term commitments to key stakeholders, such as your customers, workforce, suppliers, partners, and stockholders, as well as the public and your community. Managing for Innovation: Innovation is no longer strictly the purview of research and development departments. Organizations should be led and managed so that innovation becomes part of the learning culture, is integrated into daily work, and reaches across the entire organization. Innovation should lead the organization to new dimensions of performance.
- Management by Fact: Performance improvement requires measurement and analysis. The measures selected should best represent the factors that lead to improved customer, operational, financial, and societal performance. Analysis of data entails determining trends, projections, and cause and effect in support of planning, improving operations, accomplishing change management, and comparing your organizational performance with that of competitors or with “best practices” benchmarks. Societal Responsibility: Leaders should stress responsibilities to the public, ethical behavior, and the need to consider societal well-being and benefit, which refers to leadership and support—within the limits of an organization’s resources—of publicly important purposes. Leaders should be role models in focusing on ethics and the protection of public health, safety, and the environment. They should go beyond mere compliance in these areas and focus on opportunities for improvement. Planning should anticipate adverse impacts that may arise and make available the information and support needed to maintain public awareness. Also, organizations should emphasize resource conservation and waste reduction at the source. Focus on Results and Creating Value: Results should be used to create and balance value for your key stakeholders. The use of a balanced composite of leading and lagging performance measures offers an effective means to communicate short- and longer-term priorities, monitor actual performance, and provide a clear basis for improving results. Systems Perspective: A systems perspective means managing the whole organization, as well as its key processes, to achieve results—and strive for performance excellence. The seven Baldrige Criteria Categories, the Core Values, and the Scoring Guidelines form the building blocks and the integrating mechanism for the system. This systems perspective is depicted in the following slide.
- The framework provides a high-level overview of the Baldrige Criteria for Performance Excellence and illustrates how the Criteria provide a systems perspective for managing your organization to achieve performance excellence. From top to bottom, the framework has three basic elements—the Organizational Profile, the system operations, and the system foundation (Measurement, Analysis, and Knowledge Management). The Organizational Profile (the umbrella at the top of the figure) sets the context for the way your organization operates. Your environment, key working relationships, and strategic challenges and advantages serve as an overarching guide for your organizational performance management system. The system operations (middle of the figure) comprise two linked triads. The leadership triad—Leadership, Strategic Planning, and Customer Focus—emphasizes the importance of a leadership focus on strategy and customers. The results triad—Workforce Focus, Process Management, and Results—focuses on your workforce and key processes that accomplish the work of the organization that yields your overall performance results. ALL actions point toward Results. The horizontal arrow in the center of the framework links the two triads, a linkage critical to organizational success. The arrow indicates the central relationships between Leadership (Category 1) and Results (Category 7), as well as the importance of feedback in an effective performance management system. The system foundation (bottom of the figure) is composed of Measurement, Analysis, and Knowledge Management, which are critical to the effective management of your organization and to a fact-based, knowledge-driven system for improving performance and competitiveness.
- This graphic is an aid for assessing and scoring Process Items (Categories 1 through 6). In each case, the arrows indicate the degree of consistency and coordination among organizational units. The circular shapes shown next to the arrows depict the relative clarity or definition of an organization’s goals. The steps are as follows: Reacting to Problems . Here operations are characterized by activities rather than by processes, and they are largely responsive to immediate needs or problems. In Early Systematic Approaches , the organization is at the beginning stages of conducting operations by processes with repeatability, evaluation and improvement, and some early coordination among organizational units. Aligned Approaches occur in the third step toward a mature process. At this stage, operations are repeatable and are regularly evaluated for improvement, with learnings shared and with coordination among organizational units. Integrated Approaches occur at the final stage of a mature process. The arrows indicate the evolution of the organization into an interconnected unit. At this stage, not only are processes repeatable, but also, in collaboration with other affected units, they are regularly evaluated for change and improvement. This collaboration and interconnection help organizations achieve efficiencies across units.
- Learning is an essential attribute of high-performing organizations and, therefore, a critical concept in performance excellence. It is a key term used throughout the Criteria booklet and is one of the four scoring factors used to assess the maturity of an organization’s processes. Effective, well-deployed organizational learning can help an organization improve from the early stages of reacting to problems to the highest levels of organization-wide improvement, refinement, and innovation. The firefighting analogy illustrated here depicts a progression through the levels of maturity for this scoring dimension.
- Whether being used as part of a self-assessment or as part of a Baldrige Award application, the Organizational Profile provides a snapshot of the organization, the key influences on how it operates, and the key challenges it faces. The placement of the Organizational Profile at the front of the Criteria sets the organizational context for responding to the Criteria Items. The Organizational Profile helps everyone (e.g., organizations using the Criteria for self-assessment, application writers, and reviewers) understand what is most relevant and important to the organization’s business and to its performance. The Organizational Profile is the starting point for self-assessment and for writing an Award application. If you identify topics for which conflicting, little, or no information is available, it is possible that your assessment need not go any further and you can use these topics for action planning. By addressing the questions in the Organizational Profile, potential gaps in key information can be identified, and areas that affect key performance requirements and results can be brought into focus. P.1 Organizational Description asks “What are your key organizational characteristics?” It asks an organization to describe its operating environment, including identifying its core competencies, and its key relationships with customers, stakeholders, suppliers, partners, and collaborators. It also asks for a description of your governance system. P.2 Organizational Situation asks “What is your organization’s strategic situation?” It asks an organization to describe its competitive environment, key strategic challenges and advantages, and system for performance improvement. It includes a request to identify available sources of comparative and competitive data to emphasize the need for these sources and to provide a context for later responses.
- All responses to the Items within the boxed Categories (1 through 6) should address Process. Responses to the Results Items should address performance levels, trends, comparisons, and integration, as well as the breadth and importance of the results. Because the bottom line for any organization is results, almost half of the application points are for results. Results must be supported by linkages to the appropriate Process Items to show cause and effect. Results may be the bottom line, but they are accomplished through a successful performance management system that is guided from the top.
- Category 1 (Leadership) examines how senior leaders’ personal actions guide and sustain your organization. It also examines your organization’s governance system and how the organization fulfills its legal, ethical, and societal responsibilities, as well as supports its key communities. 1.1 Senior Leadership asks “How do your senior leaders lead?” It focuses on how senior leaders set organizational vision and values; create an environment that fosters, requires, and results in legal and ethical behavior; create a sustainable organization; and create an environment for organizational improvement. It also asks how senior leaders communicate with and engage the workforce, create a focus on action to accomplish organizational objectives, and create and balance value for patients and other stakeholders in their performance expectations. 1.2 Governance and Societal Responsibilities asks “How do you govern and fulfill your societal responsibilities?” It examines several key aspects of your organization’s governance system and approach to leadership. It also asks how your organization assures legal and ethical behavior and fulfills its societal responsibilities. In addition, it asks you to describe how your organization supports its key communities.
- Category 2 (Strategic Planning) addresses how your organization develops strategic objectives and action plans. It also examines how the chosen strategic objectives and action plans are deployed and changed if circumstances require it, and how progress is measured. Decisions about your organization’s core competencies are key strategic decisions. 2.1 Strategy Development asks “How do you develop your strategy?” It examines how your organization establishes its strategy to address its strategic objectives and leverage its strategic advantages. It addresses your long-term organizational sustainability, including your needed core competencies, and your ability to execute the strategic plan. It also examines how key strategic objectives balance the needs of all key stakeholders. 2.2 Strategy Deployment asks “How do you deploy your strategy?” It examines how your organization converts its strategic objectives into action plans to accomplish these objectives and how it deploys and assesses progress on its action plans. It also asks for your key performance measures or indicators and the performance projections for both your short- and longer-term planning horizons.
- Category 3 (Customer Focus) examines how your organization engages its customers for long-term marketplace success. This engagement strategy includes how your organization builds a customer-focused culture. Also examined is how your organization listens to the voice of its customers and uses this information to improve and identify opportunities for innovation. 3.1 Customer Engagement asks “How do you engage customers to serve their needs and build relationships?” It asks how your organization determines product offerings and mechanisms to support customers’ use of your products. It examines how communication mechanisms vary for different customer groups and market segments. It also examines how your organization builds a customer-focused culture, including how your workforce performance management system reinforces this culture and how you build and manage relationships with customers to increase their engagement with you. 3.2 Voice of the Customer asks “How do you obtain and use information from your customers?” It examines how your organization listens to its customers, acquires satisfaction and dissatisfaction information, and uses customer information to improve its marketplace success. It also examines how customer listening mechanisms vary for different customer groups, market segments, and phases of the customer life cycle, as well as how you manage complaints. In addition, it asks how you use customer, market, and product offering information to identify and anticipate current and future customer groups and market segments, to identify key customer requirements, to improve marketing, and to identify opportunities for innovation.
- Category 4 (Measurement, Analysis, and Knowledge Management) examines how your organization selects, gathers, analyzes, manages, and improves its data, information, and knowledge assets and how it manages its information technology. It also addresses how your organization reviews its performance and uses these reviews to improve its performance. 4.1 Measurement, Analysis, and Improvement of Organizational Performance asks “How do you measure, analyze, and then improve organizational performance?” It covers your performance data and information at all levels and in all parts of the organization. This Item also emphasizes the purpose and use of the results of analyses and reviews, including using them to make strategic decisions for your organization. 4.2 Management of Information, Knowledge, and Information Technology asks “How do you manage your information, organizational knowledge, and information technology?” It addresses the availability and quality of needed data, information, hardware, and software for your workforce, suppliers, partners, collaborators, and customers. It also examines how your organization builds and manages its knowledge assets and the continued availability of data, information, hardware, and software in the event of an emergency.
- Category 5 (Workforce Focus) addresses how your organization engages, manages, and develops your workforce to utilize its full potential in alignment with the organization’s overall mission, strategy, and action plans. It also examines your organization’s ability to assess workforce capability and capacity needs and to build a workforce environment conducive to high performance. 5.1 Workforce Engagement asks “How do you engage your workforce to achieve organizational and personal success?” It examines how your organization engages, compensates, and rewards your workforce to achieve high performance. It also examines how members of the workforce, including senior leaders, are developed to achieve high performance. In addition, it addresses how your organization assesses workforce engagement and uses the results to achieve higher performance. 5.2 Workforce Environment asks “How do you build an effective and supportive workforce environment?” It addresses how your organization manages workforce capability and capacity to accomplish its work and how it maintains a safe, secure, and supportive work climate.
- Category 6 (Process Management) is the focal point within the Criteria for examining all key aspects of process management, including how your organization designs its work systems and how it designs, manages, and improves its key processes for implementing those work systems. This Category stresses the importance of your core competencies and how you protect and capitalize on them for success and organizational sustainability. It also examines how your organization ensures its readiness for emergencies. 6.1 Work Systems asks “How do you design your work systems?” It addresses how your organization designs its work systems and determines its key processes to deliver customer value, prepare for potential emergencies, and achieve organizational success and sustainability. 6.2 Work Processes asks “How do you design, manage, and improve your key organizational work processes?” It examines how your organization designs, implements, manages, and improves its key work processes to deliver customer value and achieve organizational success and sustainability.
- Category 7 (Results) addresses your organization’s performance and improvement in six key areas. It also examines your performance levels relative to those of competitors and other organizations providing similar products and services. This Category includes a specific focus on results related to the effectiveness of your senior leaders. 7.1 Product Outcomes asks “What are your product performance results?” It also asks for segmented results and appropriate comparative data. 7.2 Customer-Focused Outcomes asks “What are your customer-focused performance results?” It examines results for customer satisfaction, dissatisfaction, and engagement. 7.3 Financial and Market Outcomes asks “What are your financial and marketplace performance results?” These results might include aggregate measures of financial return, measures of financial viability or budgetary performance, and measures of marketplace performance, such as market share or position, market or market share growth, and new markets entered. 7.4 Workforce-Focused Outcomes asks “What are your workforce-focused performance results?” It examines results relating to workforce engagement and satisfaction, workforce and leader development, workforce capability and capacity, and the workforce climate. It asks for results that address the diversity of the workforce and the organization’s workforce groups and segments. 7.5 Process Effectiveness Outcomes asks “What are your process effectiveness results?” It examines your key operational performance results that contribute to the achievement of organizational effectiveness, including your organization’s readiness for emergencies. These results address the operational performance of your work systems and key work processes, including productivity and cycle time. 7.6 Leadership Outcomes asks “What are your leadership results?” It examines your organization’s key governance and senior leadership results, including evidence of strategic plan accomplishments, fiscal accountability, legal compliance, ethical behavior, societal responsibility, and support of key communities.