Business Excellence Frameworks by Operational Excellence Consulting

1. © Operational Excellence Consulting. All rights reserved. This presentation is a collection of PowerPoint diagrams and templates used to convey 100 different business excellence frameworks comprising key strategy, marketing, finance, operations, IT, organization, change and HR models. Business Excellence Frameworks Diagrams and Templates of Business Excellence Frameworks

2. © Operational Excellence Consulting. All rights reserved. 2 About this document • This presentation is a collection of PowerPoint diagrams and templates used to convey 100 different business excellence frameworks comprising key strategy, marketing, sales, finance, operations, innovation, IT, technology management, leadership, organization, change and HR models. The frameworks are organized into seven categories: 1. Strategy & Organization 2. Finance & Governance 3. Marketing & Sales 4. Operations, Supply Chain Management & Procurement 5. Innovation & Technology Management 6. Leadership, Change & HR 7. IT Management • Please note that the materials are meant to be used to supplement your own business or classroom presentations. These slides may not be complete for instructional purposes. NOTE: This is a PARTIAL PREVIEW. To download the complete presentation, please visit: http://www.oeconsulting.com.sg

3. © Operational Excellence Consulting. All rights reserved. 3 Contents Strategy & Organization 1. 3 C’s Strategy Triangle 2. Ansoff’s Growth Matrix 3. Baldrige Excellence Framework 4. BCG Matrix 5. Business Model Canvas 6. EFQM Excellence Model 7. Greiner’s Growth Model 8. Harvard Model of Strategic HRM 9. Hoshin Kanri Strategy Deployment 10. McKinsey 7S Framework 11. PEST Analysis 12. Porter’s Five Forces 13. PRINCE2 Project Management 14. Project Management Body of Knowledge (PMBOK) 15. PwC Outsourcing Model 16. Strategic Business Planning Methodology 17. Strategic Dialog 18. SWOT Analysis 19. Treacy & Wiersema Value Disciplines 20. Value Chain Model Finance & Governance 21. Activity-Based Costing 22. APQC Process Classification Framework 23. Balanced Scorecard 24. COBIT 5 25. Drucker’s Management By Objectives 26. DuPont Analysis 27. Value-Based Management 28. Xerox Benchmarking Methodology Marketing & Sales 29. Branding Pentagram 30. Curry’s Pyramid 31. Customer Journey Mapping 32. Kotler’s 4P’s of Marketing 33. MABA Analysis 34. Power/Interest Grid for Stakeholder Prioritization

4. © Operational Excellence Consulting. All rights reserved. 4 Contents Operations, Supply Chain Management & Procurement 35. 5S Principles 36. 8D problem Solving 37. Eight Types of Waste 38. Five Principles of Lean 39. Business Process Reengineering (BPR) 40. COPC-2000 41. Cost of Quality 42. House of Gemba 43. ISO 9001 Quality Management System 44. Kano Model 45. Kraljic’s Purchasing Model 46. Lean Leadership & Kaizen Model 47. Lean Management Model (TPS) 48. Lean Maturity Model 49. Mistake Proofing Process (Poka Yoke) 50. PDCA Problem Solving Process 51. RATER Model 52. Root Cause Analysis (Ishikawa Diagram) 53. Shingo Model for Operational Excellence 54. Six Sigma 55. Total Productive Maintenance (TPM) 56. Total Quality Management (TQM) 57. Training Within Industry (TWI) 58. Value Stream Mapping Innovation & Technology Management 59. Blue Ocean Strategy 60. De Bono’s Six Thinking Hats 61. Design Thinking Model 62. Disruptive Innovation Model 63. Innovation Circle Model 64. Stage-Gate Model

5. © Operational Excellence Consulting. All rights reserved. 5 Contents Leadership, Change & HR 65. ADKAR Change Model 66. AHRI Model of Excellence 67. ATD Competency Model 68. Beer & Nohria E & O Theories 69. Belbin’s Team Roles Model 70. Bridges’ Transition Model 71. Covey’s Seven Habits 72. Covey’s Time Management Matrix 73. Deming Cycle 74. Emotional Competence Framework 75. Four Stages of Contribution Model 76. Hamel & Prahalad’s Core Competencies Model 77. High-Impact Learning Organization 78. Hofstede’s Cultural Dimensions 79. IMPA Competency Model 80. Kotter’s Eight Phases of Change 81. Lencioni’s Five Dysfunctions of a Team 82. Lewin’s Three Stage Change Model 83. NAPA Competency Model for HR Professionals 84. Ofman’s Core Quadrant’s Model 85. People Capability Maturity Model (PCMM) 86. Senge’s Five Disciplines 87. Talent Management Framework 88. Tuckman’s Model of Team Development Stages 89. Ulrich’s Five Rules for Leadership 90. Ulrich’s HR Competency Model 91. Ulrich’s Matrix on the Four Roles of HR IT Management 92. Agile Model 93. Capability Maturity Model Integration (CMMI) 94. eSourcing Capability Model for Service Providers (eSCM-SP) 95. ISO/IEC 15504 (SPICE) 96. ISO/IEC 27001 Information Security Management Systems 97. IT Infrastructure Library (ITIL v3) 98. Lean Levers for IT Waste Elimination 99. Nolan’s Stages of Growth for IT Systems 100. Scrum Model

6. © Operational Excellence Consulting. All rights reserved. 6 The 3C’s Strategy Triangle forms the basis of all strategies and defines the three key factors for competitive advantage 3C’s Strategy Triangle Customer Competitor Corporation Source: Kenichi Ohmae  Selectivity and sequencing  Make or buy  Cost effectiveness  Segmenting by objectives  Segmenting by customer  Re-segmenting  Changes in customer mix  Power of image  Capitalizing on profit- and cost structure differences  Using tangible and intangible resources

7. © Operational Excellence Consulting. All rights reserved. 7 The 4 P’s of Marketing can be used by organizations as an integral part of its marketing strategy to realize its corporate strategy Source: Kotler, P. and Keller, K.L. 4 P’s of Marketing Competitive forces Regulatory forces Technological forces Political forces Societal forces Economic forces Product/brand positioning Target market selection Competitive advantage Customer Satisfaction Product PricePromotion Place Marketing environment Marketing strategy Marketing mix

8. © Operational Excellence Consulting. All rights reserved. 8 5S principles provide a visual and disciplined approach to workplace organization and improvement 5S Principles Sort Set In OrderShine Standardize Sustain

9. © Operational Excellence Consulting. All rights reserved. 9 Activity-Based Costing (ABC) identifies opportunities for improving the effectiveness and efficiency of business processes by determining the ‘true’ cost of a product or service ABC Model RESOURCES By Department ACTIVITY COSTS By Department COSTS OBJECT COST Product, Customer, Channel, etc. Resource drivers Activity drivers Everything in the organization What is actually being done Products, services, customers, markets, channels, etc. (how much resources an activity requires) (how much an object utilizes an activity) Source: Kaplan & Cooper

10. © Operational Excellence Consulting. All rights reserved. 10 The Ansoff Growth Matrix offers a logical way of determining the scope and direction of a firm’s strategic development in the marketplace Ansoff’s Growth Matrix Source: Ansoff Product Development Market Penetration Market Development Diversification Product Market NewExisting NewExisting

11. © Operational Excellence Consulting. All rights reserved. 11 APQC four-phase benchmarking methodology provides a simple approach to improve product and process performance Source: American Productivity & Quality Center APQC Benchmarking Methodology Establish the project scope, develop the data collection approach and requirements, and set the criteria for peer groups Collect data Analyze and validate information collected to identify performance levels, leading practices, enablers, and proven templates and other tools Report and develop action plan for change Plan CollectAnalyze Adapt

12. © Operational Excellence Consulting. All rights reserved. 12 The Balanced Scorecard focuses the entire organization on financial and non-financial outcomes FINANCIAL BUSINESS PROCESSES Vision and Strategy To succeed financially, how should we appear to our shareholders? LEARNING & GROWTH CUSTOMERS To achieve our vision, how will we sustain our ability to change and improve? To achieve our vision, how should we appear to our customers? To satisfy our shareholders and customers, what business processes must we excel at? Source: Kaplan & Norton The Balanced Scorecard

13. © Operational Excellence Consulting. All rights reserved. 13 The Baldrige framework takes a holistic, systems approach in viewing an organization’s performance management system across seven areas Baldrige Excellence Framework Leadership Customers Strategy Operations Workforce Integration RESULTS Measurement, Analysis & Knowledge Management Organizational Profile Source: National Institute of Standards & Technology (NIST)

14. © Operational Excellence Consulting. All rights reserved. 14 EFQM Excellence Model Enablers Results Leadership People Strategy Partnerships & Resources Key Results Processes, Products & Services People Results Customer Results Society Results Learning, Creativity & Innovation EFQM Excellence Model Source: European Foundation for Quality Management (EFQM)

15. © Operational Excellence Consulting. All rights reserved. 15 Value Innovation is the cornerstone of Blue Ocean Strategy – placing equal emphasis on value and innovation Blue Ocean Strategy - The Four Actions Framework Eliminate Reduce Raise Create COST VALUE Value Innovation Reduce cost Increase customer value Source: C. Kim, R. Mauborgne

16. © Operational Excellence Consulting. All rights reserved. 16 Business Process Redesign (BPR) is the fundamental reconsideration and radical redesign of organizational processes Business Process Redesign Model 1. Determine Scope & Goal 3. Install Management 4. Implement & Integrate Indicator for need:  Conflicts  Meetings  Non-structure communication  Strategic dialog Key elements:  Focus on output requirements  Critical success factors  Efficiency Key elements:  Define management tools  Performance measurement  Learning  Compensation Key elements:  Install management  Manage change management 2. Redesign Process Structure Source: Hammer & Campy, 1993

17. © Operational Excellence Consulting. All rights reserved. 17 The six sources of variability in a system are used to understand root causes (Manufacturing) Manpower Methods Machines (or Equipment) Measurement Output Materials (or Information) Environment Causes Effect Source: Kaoru Ishikawa Cause & Effect Diagram (Manufacturing)

18. © Operational Excellence Consulting. All rights reserved. 18 COBIT 5 is a business framework for the governance and management of enterprise IT Source: ISACA INFORMATION MONITOR & EVALUATE PLAN & ORGANIZE DELIVER & SUPPORT ACQUIRE & IMPLEMENT IT RESOURCES BUSINESS OBJECTIVES GOVERNANCE OBJECTIVES COBIT

19. © Operational Excellence Consulting. All rights reserved. 19 Covey’s Seven Habits is a powerful model for personal change and leading change Source: Stephen Covey Interdependence Independence Dependence PUBLIC VICTORY PRIVATE VICTORY 1 Be Proactive 2 Begin with The End in Mind 3 Put First Things First Think Win-Win 4 Seek First to Understand, Then to Be Understood 5 Synergize 6 7 Sharpen the Saw Covey’s 7 Habits Model

20. © Operational Excellence Consulting. All rights reserved. 20 De Bono’s thinking hats represents six ways of thinking about strategies and helps us to see potential opportunities Source: Edward de Bono De Bono’s Six Thinking Hats The White Hat - Facts White hat thinking focuses on data, facts, information known or needed. The Yellow Hat - Benefits Yellow hat thinking focuses on values and benefits. Why something may work. The Red Hat - Feelings Red hat thinking focuses on feelings, hunches, gut instinct and intuition. The Black Hat - Cautions Black hat thinking focuses on difficulties, potential problems. Why something may not work. The Blue Hat - Process Blue hat thinking focuses on managing the thinking process, focus, next steps, action plans. The Green Hat - Creativity Green hat thinking focuses on creativity: possibilities, alternatives, solutions, new ideas.

21. © Operational Excellence Consulting. All rights reserved. 21 DuPont Analysis: Return on Equity (ROE) is affected by Operating Efficiency, Asset Use Efficiency and Financial Leverage DuPont analysis tells us that ROE is affected by three factors:  Operating efficiency, which is measured by profit margin  Asset use efficiency, which is measured by total asset turnover  Financial leverage, which is measured by the equity multiplier ROE = Profit / Equity Profit margin = Profit / Sales Asset turnover = Sales / Assets Equity multiplier = Assets / Equity X X Operational efficiency Capital efficiency =

22. © Operational Excellence Consulting. All rights reserved. 22 Eight types of waste exist in our processes which can be eliminated to increase customer value Over-production Producing more than what the customer needs Inventory Building and storing extra services/products the customer has not ordered Transportation Moving from one place to another Defects Reprocessing, or correcting work Over-processing Adding excess value when the customer does not require it Motion Extra physical/mental motion that doesn’t add value Intellect Not using employees full intellectual contribution Waiting Employees waiting for another process or information Waste Eight Types of Waste Source: Adapted from Taiichi Ohno

23. © Operational Excellence Consulting. All rights reserved. 23 Hoshin Kanri Strategy Deployment Process focuses and aligns the organization to the core objectives of the business Source: Yoji Akao Hoshin Kanri Senior Management Implementation Teams Middle Management  Vision  Objectives  Strategy  Resources  Action  Schedule Measures Hoshin Plan

24. © Operational Excellence Consulting. All rights reserved. 24 House of Gemba provides a management framework for achieving excellence in Quality, Cost and Delivery (QCD) Profit Management Cost Management Quality & Safety Management Logistics Management Worker’s Operations Equipment Products & Materials Standardization 5S Muda Elimination Morale Enhancement QC Circles Self-discipline Suggestions Teamwork Visual Management Information Source: Masaaki Imai

25. © Operational Excellence Consulting. All rights reserved. 25 ISO 9001:2015 quality management system establishes proven processes that meet the requirements of interested parties ISO 9001:2015 Quality Management Model (TEMPLATE) Organization and its context (4) Customer Requirements Customer Satisfaction Products and services Results of the QMS Needs and expectations of relevant interested parties (4) Leadership (5) Performance evaluation (9) Support & Operation (7,8) Planning (6) Improvement (10) Plan Do CheckAct

26. © Operational Excellence Consulting. All rights reserved. 26 IT Infrastructure Library (ITIL v3) provides a practical framework for identifying, planning, delivering and supporting IT services to the business Source: ITIL.org ITIL Service Strategies Continual Service Improvement Service Design Governance Methods

27. © Operational Excellence Consulting. All rights reserved. 27 The Kano Model can help any team or organization get a better understanding of Customer Requirements and their impact on Customer Satisfaction Kano Model Source: Noriaki Kano Satisfaction Requirement Unfulfilled Requirement Fulfilled Dissatisfaction Performance (Satisfier) Delighters Basic (Dissatisfier)

28. © Operational Excellence Consulting. All rights reserved. 28 Kotter’s Eight Phases of Change Source: John Kotter Need for Change Change Behavior Change Direction Change Sustainability 1. Establish a Sense of Urgency 2. Form a Powerful Guiding Coalition 3. Create a Vision 4. Communicate the Vision 5. Empower Others to Act on the Vision 6. Plan for and Create Short Term Wins 7. Consolidate Improvements & Produce More Change 8. Institutionalize New Approaches Committed Leadership

29. © Operational Excellence Consulting. All rights reserved. 29 Lean management framework provides a holistic approach to improving speed and quality Source: Adapted from Toyota Production System Lean Management Model (a.k.a. Toyota Production System) Stability Heijunka Standardized Work Kaizen Just-In-Time • Continuous flow • Takt time • Pull system • Flexible workforce Jidoka • Separate man & machine work • Abnormality Identification • Poka yoke Goals: highest quality, lowest cost, shortest lead times Involvement Stability Standardization Just-In-Time Jidoka Involvement 1 2 3 4 5 1 2 3 4 5

30. © Operational Excellence Consulting. All rights reserved. 30 Inattention to Results Avoidance of Accountability Lack of Commitment Fear of Conflict Absence of Trust Patrick Lencioni’s Model of the Five Dysfunctions of a Team Lencioni’s model of the five dysfunctions of a team highlights the key obstacles that stand in the way of team success Source: Patrick Lencioni

31. © Operational Excellence Consulting. All rights reserved. 31 The MABA analysis compares the relative market attractiveness (MA) of a business activity or product-market combination with business attractiveness (BA), as determined by the ability to operate in a specific product-market combination Source: Kotler, 2000 MABA Analysis Business attractiveness Marketattractiveness High MA, but low BA Least attractive Highly attractive High BA, but low MA Relative small, but attractive opportunity Medium sized, quite attractive market in which the company holds a 35% market share Large market, yet not a very attractive opportunity Average Note: By using a bubble instead of a dot, one may indicate the (relative) size of the market. Additionally or alternatively, a slice of the pie could indicate the market share of the company.

32. © Operational Excellence Consulting. All rights reserved. 32 The McKinsey 7-S framework involves seven interdependent factors which are categorized as either “hard” or “soft” elements Source: McKinsey McKinsey 7-S Framework Structure SystemsStyle Staff Skills Strategy Shared Values Soft Elements Hard Elements

33. © Operational Excellence Consulting. All rights reserved. 33 OPM3 helps organizations utilize project management to accomplish their goals on time, within budget, and improve their overall effectiveness Source: Project Management Institute, Inc. Prepare For Assessment Satisfied with Results Perform Assessment Repeat the Process Implement Improvements Plan for Improvements S L OPM3

34. © Operational Excellence Consulting. All rights reserved. 34 PDCA problem solving process Select the Theme Plan the Schedule Grasp the Present Situation Establish the Target Analyze the Cause & Identify Corrective Action Implement Corrective Action Evaluate the Result Standardize & Follow-up PLAN ACT CHECK DO 1 2 3 4 5 6 7 8

35. © Operational Excellence Consulting. All rights reserved. 35 Porter’s competitive analysis identifies five fundamental competitive forces that determine the relative attractiveness of an industry Bargaining Power of Suppliers Bargaining Power of Customers Threat of New Entrants Rivalry Among existing competitors Threat of Substitutes Threat of New Entry: - Time and cost of entry - Specialist knowledge - Economies of scale - Cost advantages - Technology protection - Barriers to entry Competitive Rivalry: - Number of competitors - Quality differences - Other differences - Switching costs - Customer loyalty - Costs of leaving market Supplier Power: - Number of suppliers - Size of suppliers - Uniqueness of service - Your ability to substitute - Cost of changing Threat of Substitution: - Substitute performance - Cost of change Customer Power: - Number of customers - Size of each other - Differences between competitors - Price sensitivity - Ability to substitute - Cost of changing Source: Michael Porter Porter’s Five Forces

36. © Operational Excellence Consulting. All rights reserved. 36 The PMI PMBOK is a set of best practices that are widely used for project management in a wide variety of industries Initiating Processes Planning Processes Controlling Processes Executing Processes Closing Processes (Arrows represent flow of information) Source: Project Management Institute

37. © Operational Excellence Consulting. All rights reserved. 37 Scrum is an iterative and incremental agile software development framework for managing software projects and product or application development Product Backlog Sprint Backlog Sprint 30 days 24 hr Working increment of the software

38. © Operational Excellence Consulting. All rights reserved. 38 Senge’s Five Disciplines of a learning organization focuses on group problem solving using systems thinking Systems Thinking Personal Mastery Mental Models Building Shared Vision Team Learning The Learning Organization Source: The Fifth Discipline, Peter Senge

39. © Operational Excellence Consulting. All rights reserved. 39 Source: The Shingo Prize The Shingo transformation process is a methodology for accelerating a personal and enterprise-wide transformation to a culture of operational excellence The Shingo Model for Operational Excellence Results Enterprise Alignment Continuous Process Improvement Cultural Enablers Create Value for the Customer Measure what Matters Align Behaviors with Performance Identify Cause & Effect Relationships See Reality Focus on Long-term Align Systems Align Strategy Standardize Daily Management Stabilize Processes Relay on Facts & Data Standardize Processes Insist on Direct Observation Focus on Value Stream Keep it Simple & Visual Identify & Eliminate Waste No Defects Passed Forward Integrate Improvement with Work Assure a Safe Environment Develop People Empower & Involve Everyone Create Constancy of Purpose Think Systematically Focus on Process Embrace Scientific Thinking Flow & Pull Value Assure Quality at the Source Seek Perfection Lead with Humility Respect Every Individual GUIDING PRINCIPLES SUPPORTING CONCEPTS ADMINISTRATIONSUPPLY OPERATIONS CUSTOMER RELATIONS PRODUCT & SERVICE DEVELOPMENT

40. © Operational Excellence Consulting. All rights reserved. 40 Society for Human Resource Management (SHRM): The Elements for HR Success Source: Society for Human Resource Management (SHRM) KNOWLEDGE BEHAVIOR + = SUCCESS Total Rewards Employee & Labor Relations Risk Management Consultation Communication Ethical Practice Relationship Management Organizational Leadership & Navigation Global & Cultural Effectiveness Critical Evaluation Business Acumen Strategic Business Management Workforce Planning & Employment Human Resource Development HR TECHNICAL EXTERPISE & PRACTICE SHRM Elements for HR Success

41. © Operational Excellence Consulting. All rights reserved. 41 Six Sigma DMAIC is a data-driven improvement cycle used for improving, optimizing and stabilizing business processes Six Sigma DMAIC Roadmap Improve Measure Analyze Define Control Define the problem or opportunity Measure the current performance and capability Analyse to identify root causes Improve by implementing potential solutions Control by standardizing solution and monitoring performance Six Sigma DMAIC Model

42. © Operational Excellence Consulting. All rights reserved. 42 SWOT analysis is a structured planning method used in business to evaluate the strengths, weaknesses, opportunities and threats Harmful to achieving the objective Helpful to achieving the objective External (attributesoftheenvironment) Internal (attributesoftheorganization) Strengths Analysis of the organic business Weaknesses Analysis of competitors Opportunities Threats Analysis of markets and trends Analysis of the business environment SWOT Analysis

43. © Operational Excellence Consulting. All rights reserved. 43 Talent Management Framework Source: Bersin & Associates Talent Strategy & Business Alignment Capability & Competency Management Workforce Planning Leadership Development Succession Management Career Management Performance Management Learning & Capability Development Talent Infrastructure Talent Acquisition Total Rewards Organization&Governance BusinessMetrics&Analytics Talent Management Framework

44. © Operational Excellence Consulting. All rights reserved. 44 The Total Productive Maintenance (TPM) model provides a structured framework to improve Overall Equipment Effectiveness (OEE) TPMintheOffice Safety,Health&Environment AutonomousMaintenance PlannedMaintenance FocusedImprovement EarlyEquipment Management QualityMaintenance Education&Training 5S & Visual Management TPM Goals: Zero Defects, Zero Breakdowns, Zero Accidents Source: Japan Institute of Plant Maintenance (JIPM) TPM Model

46. © Operational Excellence Consulting. All rights reserved. 46 Training Within Industry (TWI) skills enable supervisors with the consistent ability to lead, instruct and improve work processes Charles Allen 4-Step Learning Process TWI PDCA Cycle Scientific MethodJob Instruction Job Methods Job Relations Preparation Prepare the Worker Breakdown the Job Get the Facts Plan – observe data and reality; decide on a problem; define it Observation and Description Presentation Present the Operation Question Every Detail Weigh & Decide Do – Analyze the problem; propose a countermeasure Formulation of an Hypothesis Application Try Out Performance Develop New Method Take Action Check – Try the countermeasure; check the results Use the Hypothesis to make Predictions Testing Follow Up Apply New Method Check Results Act – if successful, standardize change; if not, start the cycle over Test the Predictions by Experiments

47. © Operational Excellence Consulting. All rights reserved. 47 Ulrich’s Five Rules for Leadership (Leadership Code) Source: David Ulrich STRATEGIST Rule 1: Shape the future EXECUTOR Rule 2: Make things happen TALENT MANAGER Rule 3: Engage today’s talent HUMAN CAPITAL DEVELOPER Rule 4: Build the next generation PERSONAL PROFICIENCY Rule 5: Invest in yourself Long-term Strategic Individual Near-term Operational Organization Ulrich’s Five Rules for Leadership

48. © Operational Excellence Consulting. All rights reserved. 48 • Creates an end-to-end view of the system • Demonstrates interaction between material/work and information flow • Provides a common visual language for understanding a complex system Supplier Management Control Customer Work & Information Flow Information flow Value stream mapping provides a holistic view of the end-to-end business process and highlights opportunities for improvement

50. © Operational Excellence Consulting. All rights reserved. 50 About Operational Excellence Consulting • Operational Excellence Consulting is a management training and consulting firm that assists organizations in improving business performance and effectiveness. • The firm’s mission is to create business value for organizations through innovative operational excellence management training and consulting solutions. • OEC takes a unique “beyond the tools” approach to enable clients develop internal capabilities and cultural transformation to achieve sustainable world-class excellence and competitive advantage. For more information, please visit www.oeconsulting.com.sg

Business Excellence Frameworks by Operational Excellence Consulting

Operational Excellence Consulting (Singapore)

Business Excellence Frameworks by Operational Excellence Consulting