Organizations often use a performance metrics system that only provides point to point comparisons. For example, the currently monthly profitability of a business might be compared to last month. Any movement that is not desirable often leads to a search for what happened.
This what-happened investigation can result in the treatment of common cause variability as though it were special cause. Wasteful firefighting often is a result of traditional metric report-outs and nothing positive happens relative to making a metric improve over time.
A 30,000-foot-level predictive reporting methodology addresses this traditional metric reporting format shortcoming. With 30,000-foot-level metric reporting, a predictive statement assessment is made. If a process output performance is stable and the futuristic response is undesirable, this metric desirable shortcoming pulls for the creation of a process improvement effort that enhances the measurement’s response.
Enterprise Performance Reporting System (EPRS) software provides a means to easily create 30,000-foot-level report outs. A statistical shift in the time-series portion of a 30,000-foot-level metric is an indicator that the process output changed, either to the betterment or degradation. When this happens a new predictive process statement can then be made using this software.
It is important that key performance indicator (KPI) and performance measurement selection and report-outs lead to the most appropriate behaviors throughout an organization. However, this often does not happen.
Enhanced Selecting KPIs Process and their Predictive Response Reporting Read More »
This article describes a methodology for tracking a single-process output response over time to determine process stability and then, if the process is stable, provide a prediction statement.
Enhanced Individuals Control Chart with Process Capability Statement Read More »
With a high-level process-output tracking at the 30,000-foot-level, there will be an infrequent subgrouping/sampling plan such that the typical variability from input variables that could affect the response will occur between these subgroupings. An infrequent subgrouping/sampling interval could be day, week, or month, where responses from differing people, departments, machines, and so forth would be captured within each subgroup. 30,000-foot-level charting does not offer timely identification of process changes but instead provides a high-level view of how the process is performing from a customer-of-the-process point of view.
Enhanced Approach for How to Show Process Improvement Read More »
Organizations need to be able to calculate process capability when there is no specification; however, the traditional process capability indices of Cp, Cpk, Ppk, and Ppk require a specification.
How to Calculate Process Capability when there is no Specification Read More »
Once a process is determined to be predictable, the next obvious question is: What is predicted for the metric? To address this in terms of percentage nonconformance, process capability and performance index (Cp, Cpk, Pp and Ppk), or sigma quality level, a specification is needed. But many metrics don’t have one. To get around this shortcoming, organizations sometimes create targets and analyze them as if they were specifications. But this practice can yield deceptive results because targets are often subjective, and then you may be playing games with these objectives. This article describes a method for reporting and improving process capability and performance when there is no specification.
How to Create Performance Measurements and Metrics that are Predictive Read More »
Organizations need to minimize the risk of quality, delivery, and design problems with their offerings. Entities need to be measurable, auditable, sustainable, and consistent; however, if care is not exercised, executives, operations personnel, and quality departments can be making inappropriate decisions that lead to problems and/or excessive costs. Metrics and their wise application can help mitigate these risks. Risks are mitigated through two primary methods; eliminate the risk through structural or procedural changes, or create a reporting structure that is able to identify performance changes before there is a risk of impacting a customer or client. This article is about the tools and methods to introduce a reporting structure that allows a business to identify and mitigate risk before it impacts the bottom line.
Next Generation Improving Key Performance Indicators Reporting Method Read More »
Most organizational improvement efforts are not sustainable, in part,because improvement projects are often created in silos and do not make a positive impact on the big picture and VOC needs. The Integrated Enterprise Excellence 9-step system overcomes this by analyzing the business as a whole, creating strategies determined through analysis and innovation, and then establishing operational scorecard goals for targeted value-chain scorecards. To implement this business system, one manufacturer took each of these steps and used the method as a roadmap for targeted improvement projects. Read the full article to see what happened.
Enhancing Voice Of The Customer Metrics Read More »
An enhanced Statistical Process Control SPC p-chart approach provides in one chart both a process stability and capability assessment/statement. The Integrated Enterprise Excellence (IEE) enhanced SPC p-chart 30,000-foot-level measurement approach for non-conformance rate time-series tracking of data (i.e., from a high-level overall process output point of view) also provides a prediction statement when a process
Enhanced SPC P-chart can Include Capability Statement in One Chart Read More »
Have you have ever wanted to adopt the balanced scorecard philosophy into your organization? You may like the concept but find that it is not quite enough and has its limitations. The problems with the balanced scorecard methods are not in the generic sense of balance (which is good) but in the way the original authors choose to introduce balance into the scorecard ideas. This article walks through a vehicle to develop, implement, and apply the balanced scorecard to its fullest extent so that it will be useful to leadership.
Problems with the Balanced Scorecard Resolved Through the IEE System Read More »
This process capability index explained posting addresses the indices Cp, Cpk, Pp, and Ppk. An enhanced reporting methodology is also described that provides many benefits over a traditional approach.
Process Capability Index Explained: A Better Way Read More »
