The video below describes the significant Integrated Enterprise Excellence (IEE) value chain presentation’s enhancement that are provided in Management 2.0 and Leadership System 2.0.
The Integrated Enterprise Excellence (IEE) business management system is a 9-step system:
A 2008-2010 published 5-book series, early articles, and website posts introduce the IEE system. This old-described IEE system has fundamental deployment issues, which the new IEE system methodology, described below, resolves.
A significant component of the IEE 9-step system is step 2:
- An IEE value chain in step 2 provides a vehicle for describing what an organization does and how it measures what is done (from a high-level process-output perspective) throughout its organizational functions.
- Measurement reports in an IEE value chain have a 30,000-foot level reporting format, can provide a predictive statement.
- If a 30,000-foot-level prediction statement is undesirable, process improvement is needed.
An example of the IEE value chain presentation structure, as shown in the 2008 published IEE books series, is:
The 2008 version of an IEE value chain structure is not practical for organizations to:
- Create a clickable format that provides Y=f(X) reporting of all departments/functions in an organization. In this equation, Y is the output of a function’s process, and Xs are the inputs to that process.
- Structurally integrate an organization’s Enterprise Improvement Plan (EIP) within the system. so metric process improvement efforts are undertaken to benefit the organization’s big picture. What is desired is that this EIP and associated process improvement efforts positively impact organizational 30,000-foot-level reports so the whole-enterprise benefits.
- Provide a convenient and easy-to-understand Y=f(X) report for each function throughout an organization.
Management 2.0: Discovery of Integrated Enterprise Excellence and Leadership System 2.0: Implementing Integrated Enterprise Excellence books (published in 2020) describe a unique value chain reporting methodology that overcomes the 2008 published IEE books’ value chain reporting shortcomings. In this enhanced Enterprise Performance Reporting System (EPRS) IEE system methodology:
- The IEE value chain is much more than any traditional flowcharting methodology taught in universities, traditional Lean Six Sigma courses, and elsewhere. The “clickable” aspect of an IEE value chain is unique in that this feature can provide throughout an organization the Y outputs of all functions with their associated process procedual inputs (Xs) — in a one report-out page. Noting, if a predictive 30,000-foot-level metric (top swimlane in the report) is undesirable the associated process X’s (bottom swimlane in the report) needs enhancement.
- The EPRS system includes an organization’s EIP that everyone authorized can view 24×7 from the CEO to the line operator.
- In this EPRS system, the status of process improvement efforts (e.g., a PowerPoint slide decks of Lean Six Sigm projects) for an organization’s EIP are available for viewing by the CEO and all authorized 24×7.
- The availability of automatic updated 30,000-foot-level metrics for functions throughout the organization’s value chain result in more meaningful report-outs of organizational metrics and discussions that lead to occurrence of the best actions or non-actions for all all functional situations.
Evolution of the Integrated Enterprise Excellence (IEE) System and its Value Chain
The video “Evolution of the Integrated Enterprise Excellence (IEE) System and its Value Chain” describes the benefits of the 2020-book version over the 2008-book version for the IEE business management system and its value chain reporting:
Benefits of the 2020-book version for the IEE System and its Value Chain
Benefits of the 2020-book version for the IEE system and its value chain over the 2008-book version are:
- In the 2020-book version of the IEE value chain, functional “clickable” drill-downs lead to two swim lanes where the top swim lane is the Y output metrics considered critical to the drill-downs function (e.g., from a quality, cost, and time perspective). In contrast, the bottom swim lane is the processes and inputs (X’s) associated with the achievement of the Y response. Y=f(X) is a new and unique metrics descriptive visualization format that includes a process description in a simple one-page clickable drill down in an IEE value chain. In this one-page reporting, if a prediction statement for a Y (top swim lane) is undesirable, improvement is needed for the Xs (bottom swim lane that appears on the same screen) so that future Y responses will be more desirable. Often organizations are organized so that people in the north wing of the building figuratively work on metric tracking/reporting, and people in the south wing of the building work on process documents and improvement (and they do not talk to each other). This new and unique form of IEE value chain reporting puts these two “building functions” together.
- The IEE value chain methodology described in the 2008 books series has shortcomings. In this earlier IEE value chain approach: (1) Y=f(X) relationship did not appear on one page for each organizational function (where everyone authorized [CEO to line operator] could see this relationship on one page for all functions/departments in an organization through “clickable” drill-downs). (2) If a predictive metric is undesirable (top swim lane), processes shown in the bottom swim lane need enhancement.
- In the 2020-book version of the IEE value chain, there can be a drill-down of the processes shown in the bottom swim to other sub functions providing their Y=f(X) relationship in one screen. For example, an enterprise value chain “produce and deliver services function” in a hospital can drill down to a high-level Y=f(X) view. For this illustration, the X’s might result from many services offered (e.g., emergency department, maternity, pediatric, physical therapy, and surgery). Each of these high-level X’s can have further “clickable” drill-downs to other Y=f(X) relationships (e.g., surgery). Everyone authorized (CEO to line operator) can view this information 24×7 to make assessments where there could be an enhancement of process procedures so that the big picture financials and customer satisfaction improve. This Y=f(X) one-screen view in this new IEE value chain methodology is an exciting enhancement to the value chain shown in th3 2008 published books.
- In the 2020-book version of the IEE value chain, each function will have a Y=f(X) relationship shown for their department. As a department, departmental employees can assess how to improve their metrics locally via process improvement and value-stream-mapping-flow improvements (i.e., this local effort does not need to be a part of any strategic plan). At the department level, an organization can also timely identify special cause events in their process-output metrics to initiate timely resolution efforts. An organization can use this convenient and readily available Y=f(X) one-page functional description format to train new employees on what they should be doing immediately in their job. The IEE value chain can show this what-to-do information in a process flow chart, PDF document, or linked-to video). New employees can see their measurements from the IEE value chain and how their work fits into the big picture. This system offers companies expediency in bringing new employees up to speed. These new hires should make fewer learning mistakes since they should follow the process described in their portion of the organization’s IEE value chain. New employees should have less frustration understanding what to do, reducing employee turnover. Also, department meetings can start with their one-page Y=f(X) IEE value chain view to assess what their function is to do and what they might do differently to reduce the frequency of problems they are experiencing in their department in “real-time.” Also, this departmental view of their metric’s reporting can timely identify a special-cause problem that needs timely resolution.
- EIP tracking and other metric reporting are readily available. They can be a part of leadership meetings (i.e., this inclusion is more beneficial than just talking about today’s problems or discussing a table of numbers in these meetings). With this type of meeting format, up-to-date metrics are available, e.g., updated daily in a form providing a predictive response. If a futuristic metric prediction statement is undesirable, then there is a need for process improvement. This process-output perspective reporting is much better than traditional table-of-numbers reporting and red-yellow-green scorecard reporting, which does not encourage process improvement. With this new IEE system, the organization assigns an IEE value chain owner for each KPI-process-reported metric to improve through an EIP. This process owner will be asking for timely completion of the process’s improvement project to enhance their process-metric performance reporting since they will be giving a frequent status report of the measurement and process improvement work. (e.g., monthly or weekly reporting that references recently updated value-chain metrics). This new IEE system describes and reports process improvement projects through this methodology. All authorized can view this information relative to the status of project work and metric improvement 24×7.
- Everyone authorized (from CEO to line operator) has 24/7 access to the organization’s IEE value chain metrics and processes. With this system, one can timely email as part of the IEE implementation software or communicate otherwise a metric or process observation issue to others to stimulate actions to prevent/resolve significant problems. An individual’s observation can be anywhere in an IEE value chain (not just the function where they work). In this new IEE value chain system, one can easily make these observations and undertake communications for any functional units in an organization, e.g., someone in operations making a note of an HR or maintenance metric or process observation that could cause problems. This new IEE implementation reporting format offers a level of transparency that could have avoided the BP oil spill and Blue Bell listeria deaths. This new IEE value chain and system offer improved communication between organizational functions, so the big-picture benefits and gets organizations out of silo-mentality thinking and reacting to common-cause events as though they were special-cause conditions.
- Included in the new IEE software system is how to integrate and track process improvement projects so that all who are authorized (CEO to line operator) can see (24×7) the current status of metrics (e.g., automatically updated daily). This visibility includes metric project enhancement efforts through the execution of improvement projects. The IEE system software/approach can provide a repository for PowerPoint slides and other documents related to process-improvement projects (and processes and their metrics in general) that one can reference in meetings and people can examine 24×7.
- The 2020-book enhanced IEE system provides a comprehensive methodology to address the consequences of a commonplace business management system and the metric reporting problems that companies have incurred. (For example, Blue Bell, GE, BP, Sears, Circuit City, K-mart, Dell, Wells Fargo, and CEO firings).