An enhancement to reporting business performance is provided through Integrated Enterprise Excellence (IEE) Business Management System and its 30,000-foot-level report-outs.
Reporting Business Performance in an Enhanced Business Management System: Description
The IEE system is a 9-step Business Management System
In step 2 business performance metrics are linked to the processes that created them through an IEE value chain, which describes what an organization does and the reporting of its performance metrics. An example IEE value chain is:
The IEE value chain can be clickable and provide automatically updated 30,000-foot-level predictive performance reports through Enterprise Performance Reporting System (EPRS) software. In the IEE value chain:
- Boxes signify functions, where primary functions are connected with arrows and support functions are not.
- Oblong symbols are 30,000-foot-level metrics that are related to each function.
Reporting business performance activity is simply through the click of an oblong box. An example 30,000-foot-level report-out for a process response “click”, (which has a specification range of 95 to 100) is:
In this 30,000-foot-level report the left graph assesses process stability, while the right graph uses data from the recent region of stability to make a prediction statement. This futuristic right-graph statement is then reported at the bottom of the figure, in terms that everyone can easily understand; i.e., common cause variability is such that the non-conformance rate is about 29.8%.
For this illustration, a special cause signal is also prevalent. This special response event which occurred about 3 weeks prior to the chart’s end. Note, for this illustration the special cause measurement was not included in the common cause percentage calculation.
What should be done given this reporting business performance chart?
- Root cause analysis could be used to assess why the special cause event occurred
- If a 29.8% non-conformance rate is undesirable for the organization, a process improvement effort (e.g., lean Six Sigma project) needs to be undertaken to determine what should be done differently to reduce the magnitude of the non-conformance rate. “Proof” that process improvement work impacted this metric is that the 30,000-foot-level individuals chart transitions to enhanced level of performance.
The webinar below provides more information the IEE enhanced approach to reporting business performance.
Reporting Business Performance in an Enhanced Business Management System: Webinar
If you are at the receiving end of fire-fighting activities that are triggered by a late recognition of performance changes, then this topic may be considered as a fire-prevention webinar.
In the lean Six Sigma Define-Measure-Analyze-Improve-Control (DMAIC) measure phase and analyze phase, many tools are provided that can assess a process’ performance before working a project. Unfortunately, organizational leadership typically does not support using these tools to evaluate routine performance.
This webinar will show how to use the measure-phase tools (enhanced control charting with process capability assessment) to perform routine assessments and build a set of rules that trigger an action before a problem occurs, and to use the analyze-phase tools (hypothesis tests) to evaluate if the difference we see between people or departments is real (significant) or just a random difference (non-significant).
How much smoother could things operate if we tested our beliefs before we jumped to take action?
Reporting Business Performance in an Enhanced Business Management System: Video
IEE 30,000-foot-level reporting addresses the business scorecard issues described in a one-minute video:
Contact Us to set up a time to discuss with Forrest Breyfogle how your organization might gain much from an Integrated Enterprise Excellence (IEE) Business Process Management System and its reporting business performance methodology.