Intro To Alignment By Design

Copyright © 2009 Alignment By Design

Alignment by Design

The Breakthrough Approach to

Organizational Effectiveness &

Excellence

Thomas Bradley, PhD

[email protected]

Alignment by Design, Inc.


Main Objectives

Challenges of the 21st Century Knowledge-based EconomyBurning Platforms

Fundamental Business ChallengesNeed for Profound Knowledge

Solution: Alignment by DesignFundamental Principles

The “Business-of-Business” Basic Questions

Conceptual Model

Summary


Challenges of the 21st Century Knowledge-based Economy

Burning PlatformsFundamental Business Challenges

Need for Profound Knowledge


Burning Platforms

• Survival

• Furious global competition

• The elimination of waste

• Reduction in time-to-market

• Organization governance

• Transparency

• Regulatory compliance

• Global supply chains


• How do we position to compete successfully in light of the risks of the“21st century, global, knowledge economy?”

Fundamental Business Challenges

• How do we move from “Good to Great?”

• How do we ensure that the business is being “Built to Last?”

• How do we optimize the “value creation & sustainment proposition for all stakeholders?”


“Without changing our patterns of thought, we will not be able to solve the problems we created with our current patterns

of thought”

- Albert Einstein

Profound Knowledge

We Must Break With the Past – We Must Do Things Differently


Solution: Alignment by DesignFundamental Principles

The “Business-of-Business” Basic Questions

Conceptual Model


Fundamental Principles of Alignment By Design

Principle 5 – Envisioning

Principle 1 – Value Creation & Sustainment

Principle 2 – Everything by process

Principle 3 – Synergy

Principle 4 – Optimization


Fundamental Principles of Alignment By Design

Principle 1 – Value Creation & SustainmentThe fundamental purpose of business is to create value for its stakeholders

Principle 2 – Everything by processBoth quality and value are created and sustained through effective process design and management

Principle 3 – SynergySee interrelationships versus differences in things is fundamental to alignment such that 1+1 = 5 (exponential, nonlinear ROI)

Principle 4 – OptimizationOptimizing the integrated factors of business is how to sustain and grow value

Principle 5 – Envisioning“Begin with the end in mind.” Envision the future and put strategies and plans in place to successfully achieve the goals and objectives


There is no magic

The breakthrough approach to organizational effective & excellence is not easy or simple.

There are no quick fixes or silver bullets.

It takes time and discipline.


The Business-of-Business Basics Questions

5. Where there are gaps in performance or risks in our ability to achieve our objectives, what are we going to do?

1. What do we want to achieve?

2. How are we going to achieve our objectives?

3. Are our processes capable of achieving our objectives?

4. Where are we in respect to achieving our objectives?


Strategic Goals &Objectives

Using the Iterative Strategy PlanningFramework - "The Elliott Model"

The Systems ApproachA Process-Based Management

System

Performance AssessmentUsing Risk-Based Quality Audits

Organizational PerformanceImprovement Framework

What do we wantto achieve?

How are we goingto acheive our

objectives?

Are our processescapable of

acheiveing ourobjectives?

Where are we withrespect to obtaining

our objectives?

Where there are gaps inperformance or risks in

our ability to achieveour objectives, what are

we going to do?

Alignment By Design Conceptual Model

Strategic AlignmentUsing

The Goal Deployment Process& Value Stream Management

Why?To Create

StakeholderValue

Results

1

2

3

4

5

6


Purpose: Value Creation & Sustainment

1. Why? To Create Stakeholder Value

The model starts on the right with the question “Why?”

• Why does the business exist?

• What is the organization purpose or mission?

• In answering these questions, we identify the value proposition to various stakeholders.

• The value propositions should be quantifiable and tangible results.


2. Strategic Goals& Objectives

This element of the conceptual model addresses the question - What does the organization wants to achieve? What are the organization objectives?

• The vision articulates a realistic and attractive future for the organization.

• Goals are the pathways to the vision. They support the vision and exist within a framework created by the vision.

• Strategic objectives support strategy and power progress toward the achievement of goals.


texttext

1ValuesMissionVision

2Strategic

Goals

3Strategies

5Assessments

4Strategic

Objectives

Strategic Planning & Management Model


3. Strategic Alignment

This element of the conceptual model addresses, in part, the question – How are we going to achieve our objectives?

• Alignment by Design drives both vertical and horizontal alignment.

• Vertical alignment drives goal alignment or linkage from strategic objectives, process objectives, functional, project, team, and employees’ objectives.

• Horizontal Alignment drives customer requirements alignment or linkage across the end-to-end customer value stream.


Strategic Goals & Objectives

Customers

People

Processes Horizontal Alignment

Vertical A

lignm

ent

Strategic Alignment

Adapted from: “The Power of Alignment” by G. Labovitz &

V. Rosansky


4. The Systems Approach: A Process-Based Management System

This element of the conceptual model addresses, in part, the question – How are we going to achieve our objectives?

• Bottom line, everything should be by process.

• Quality and value is only created, sustained and improved via the process.

• We align these processes into a coherent system-of-operation that optimizes value, we achieve our business objectives and results.


Process Based Management System Concepts

Adapted from: Process Based Management: A Foundation for Business Excellence – by Dennis Daly, et.al

Process-Centered Leadership

Process Measurement &

Metrics Framework

End-to-End Processes

•Integrated set of tiered process

- Management - Value Stream

- Enabling Support

Performance Improvement Framework

Customer Expectations• Voice of the customer

• Customer driven products & services

Issue-Base (Reactive)• Problem solving• Corrective Actions

Risk-Based (Proactive)• Risk Management• Preventive Actions

• System Thinkers & Architects

• Change Agents

• Coaches

• System Doctors


5. Performance Assessments Using Risk-Based Quality Audits

This element of the conceptual model addresses the question - Are we capable (effective & efficient enough) of achieving our projected, strategic and operational goals and objectives?

• Given our goals and objectives we must seriously assess our organizational process capability and their abilities to achieve them.

• A Risk-Based Quality Audit is an organizational diagnostic assessment tool that provides management with the information and data to develop the context for the answers to the five basic ‘business-of-business’ questions.


Strategic Planning & Management Assessment

Ris

k A

ss

ess

me

nt

Strategic Alignment

Assessment

Ris

k A

ss

ess

me

nt

Capability Maturity Assessment

Performance Management Assessment

Risk Based Quality Audits

Risk Assessment

Risk Assessment

Process Based Management

System AssessmentBased Upon

ISO/TL9001


6. Organizational Performance Improvement Framework

This element of the conceptual model addresses the question - Where there are gaps in performance or risks in our ability to achieve our objectives, what are we going to do?

• It should be geared towards learning from the past and simultaneously anticipating the future.

• The Organizational Performance Improvement Framework serves to optimally integrate various initiatives into a coherent perspective geared to maximizing synergy and impact upon the enterprise as a whole.


Alignment By Design

Performance

Improvement

Framework

How Do We Identify and Manage Threats and Opportunities?

• Preventive Actions

• Enterprise-Wide Risk Management Techniques

What is Our

Overall Organizational Health?

• Balanced Score Card

• Risk-Based Quality AuditsHow Do We

Effectively React to

Problems?

• Problem Solving

• Root Cause Analysis

• Corrective Actions

How Do We Increase Our Capability &

Achieve Breakthrough Performance?

• Six Sigma

• Lean

• CMMI


Summary


Strategic Goals &Objectives

Using the Iterative Strategy PlanningFramework - "The Elliott Model"

The Systems ApproachA Process-Based Management

System

Performance AssessmentUsing Risk-Based Quality Audits

Organizational PerformanceImprovement Framework

What do we wantto achieve?

How are we goingto acheive our

objectives?

Are our processescapable of

acheiveing ourobjectives?

Where are we withrespect to obtaining

our objectives?

Where there are gaps inperformance or risks in

our ability to achieveour objectives, what are

we going to do?

Alignment By Design Conceptual Model

Strategic AlignmentUsing

The Goal Deployment Process& Value Stream Management

Why?To Create

StakeholderValue

Results

1

2

3

4

5

6


Alignment By Design

Purpose: To Continually Create Optimum Value for the Organization’s Stakeholders

Strategic Goals & Objectives

Iterative Strategy Planning Framework (The Elliot Model)

• Strategic Goals & Objectives

• Organizational Strategies

• Performance Reviews

Process Based Management

SystemBased upon

ISO/TL 9001

Performance Assessment

Using Risk Based Quality Auditing

• Strategic Planning Assessment

• Strategic Alignment Assessment

• Performance Management Assessment

• Capability Maturity Assessment

• Risk Assessment

Performance Improvement Framework

• Six Sigma

• Lean

• CMMI

• Balanced Score Card

• Problem Solving

• Risk Assessment

• Change Management

• Best Practices

Strategic Alignment

• Horizontal Alignment (Customer Focus)

• Vertical Alignment

• Process

• Project

Using Goal Deployment & Value Stream Mgt

• Teams

• Individuals


Alignment by Design

The Breakthrough Approach to

Organizational Effectiveness &

Excellence

The Team Trilogy

Achieving and Maximizing the Power of

Team Through the Magic of Teamwork

Process Centered Leadership

The Iterative Strategic

Planning Model – The Elliott ModelExcelling at

the Fundamentals

The WORK Field Manual

Risk Based Quality

AuditingGoing Beyond

Compliance; In Pursuit of Effectiveness

Alignment by DesignThe Body of Knowledge


Alignment by Design

The Breakthrough

Approach to Organizational Effectiveness &

Excellence

Alignment by Design

Risk-Based Quality Auditing

Going Beyond ComplianceIn Pursuit of Effectiveness

The "Iterative Strategic Planning Process Framework”

(The Elliott Model)

Alignment by Design

The Team TrilogyAchieving and Maximizing the “Power of Teams” Through the

“Magic of Teamwork”

Excelling at the FundamentalsIn Pursuit of Perfection

The Alignment by Design

Field WORK Manual

Volume 1


For more information on

This exciting and powerful methodology

Visit our web site at

www.alignmentbydesign.com

or, Contact

Tom Bradley, PhD

via email at

[email protected]

Intro To Alignment By Design

Business

business objectives

process objectives

value principle

process principle

organization objectives

strategic alignment

business excellence

design principle