Strategic planning & execution using the x matrix w225

Strategic Planning & Execution i th X M t iusing the X-Matrix

R b t ‘Q lit B b’ Mit h llRobert ‘QualityBob’ MitchellMNASQ Professional Development Summit

Session W225Session W225April 3, 2012

Planning Process OutcomesPlanning Process Outcomes

MNASQ LRP Outcomes• X-Matrix

– What WhyWhat, Why• Projects A3

Wh t Wh H Wh– What, Who, How, When• Bowler Scorecard

– Execution effectiveness• Management Reviews

– Weekly rhythm– Plan-Do-Check-Adjustj– Root Cause Analysis

2012-2013 MNASQ Strategic Plan

To be the community of

choice pro idingchoice providing

professional development

focused on

total customer experience

ProjectA3A3

Bowler Scorecard

H hi K i (d fi iti ) ThHoshin Kanri (definition): The process used to identify and address critical

b i d d d l thbusiness needs and develop the capability of employees, achieved by li i t ll l laligning company resources at all levels

and applying the PDCA cycle to i t tl hi iti l ltconsistently achieve critical results.

Why Hoshin Kanri?

Identifies the Vital Few Level loading of resources ‘Catch Ball’ communication process to

t bli h t bilitestablish accountability Business process that aligns short and long

term strategic objectivesterm strategic objectives Rigor and discipline via PDCA (Target vs.

Actual please explain etc )Actual, please explain..., etc.) Establishes a rhythm of periodic reviews

Origins

• Originated by Toyota (Toyota Production System)System)

• Hoshin = a course, policy, plan, aim• Kanri = administration management control• Kanri = administration, management, control,

charge of, care of• Hoshin Kanri = policy deployment with method• Hoshin-Kanri = policy deployment with method

“Ship in a storm going in the right direction”• Makes it possible to get away from the statusMakes it possible to get away from the status

quo and achieve breakthrough performance improvementp

Generic Strategic Planning Model

Key Environmental Assumptions

Corporate Charter

Assumptions

Key Competitor Assumptions

Mission

VisionOrganization Goals Critical Issues

Strategic Intent

Strategy Objectives Tactics/Programs/Projects

Resource AllocationResource Allocation

Execution Process

Operations PlaybookPlaybook

H hiHoshin

Kanri Lean Six SigmaKanriPDCA

Strategic Plan &&Operational Plans

Plan, Do, Check, Adjust (PDCA) ModelGrasp the SituationData Driven Discovery Process

• Where have we been? • Where are we going?

• Work the Plan• Engage and build the team

• Develop SMART Metrics• Develop Action Plans

• Execute the Countermeasures

• Periodic Monitoring • Swarm the problems

D t i R t • Adjust the Plan as needed• Make the Changes• Start Over!!!

• Determine Root cause • Develop

Countermeasures

We ALL become problem solvers

Long-Range Planning Model1

Purpose(Mission, Vision)

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23 4

Current Reality(Environment)

Desired Future (Practical Vision) Underlying

2

ContradictionsCreative Tension

Strategic Directions5

Operational Plans 6

The North Star

VisionVision

Strategy

StrategyStrategy

Strategy

StrategyStrategy

Strategy

MNASQ - Previous Vision Statement

To be recognized as the preferredTo be recognized as the preferred

source of quality concepts, technology

and tools for the benefit and value to

our members, our Society, our

communities and our professioncommunities and our profession.

MNASQ - New Vision

T b th it f h iTo be the community of choice

providing professionalproviding professional

development focused on p

total customer experience

MNASQ Mission

• Foster personal and professional relationships connections and senserelationships, connections and sense of belonging.

• Equip our community with the skills, competencies and knowledge thatcompetencies and knowledge that impact the total customer experience.

Reaction

What is your visceral reaction to the

MNASQ i i d i i ?new MNASQ mission and vision?

Current StateCurrent State



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23 4



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Operational Plans 6

MNASQ Current Reality

Mind Map

• ASQ’s largest Section; 2500+ members• MN eastern ND & SD western WI• MN, eastern ND & SD, western WI• Volunteer member leaders

2011 Forces of Change (Future of Quality)

1. Global Responsibility2 C A2. Consumer Awareness3. Globalization4. Increasing Rate of Change5. Workforce of the Future6. An Aging Population7. 21st Century Quality8. Innovation

The full study is available atThe full study is available at http://asq.org/about-asq/how-we-do/futures-study.html

7 21st Century Quality • Cannot take quality for granted• Quality is the competitive advantageQuality is the competitive advantage

Then NextGoal Prevention PerfectionGoal Prevention Perfection

Quality of Product Enterprise

Philosophy Processes CommunitySector Manufacturing EveryW t T l bl Abh tWaste Tolerable AbhorrentFocus Product/Service ExperienceMethodology Control/ Change/Methodology Control/

ImprovementChange/Transformation

Current RealitiesDiscussion:

• What is your current performance?• What is your current performance?• Sales, Profits• Portfolio managementPortfolio management• Customer loyalty• Employee engagementp y g g

• What issues or challenges are your organizations facing today impactingorganizations facing today impacting quality, innovation and growth?

Desired Future StateDesired Future State



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Operational Plans 6

MNASQ Desired Future StateBrainstorm & Affinity Process

MNASQ Desired Future State (2 of 2)

Desired Future State (“True North”)Discussion:

• Where does your organization want to beWhere does your organization want to bein 3-5 years?

• What will it look, feel like?What will it look, feel like?• Cores Values, Principles• Examples:Examples:

• $X sales in 2015 at a Y% OI minimum• #1 or #2 solution provider in every market we servep y• Expand into X new markets

• Engaged employees proud to beEngaged employees proud to bea part of XYZ

Underlying ContradictionsUnderlying Contradictions



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Operational Plans 6

Underlying Contradictions• What is holding your organization back?• What is blocking your progress?• What is blocking your progress?• Barriers? Conflicts? Constraints?• * Never a “Lack of...”

– Lack of money– Lack of time– Lack of people

MNASQ Underlying ContradictionsCommunication Challenges Succession Planning not documented

Do we have members with expertise in the new social networking tools?

Steep learning curve for incoming Committee and Board members

Difficulty communing the WIIFM for members, nonmembers

No strategy or process documentation exists for leader succession planning

Tailor the communication to each segmented Individuals may lack support, time to commit to a

Under-utilized partnersip alliancesExpand offerings to our members via partnerships with other potential professional organizationsWe do not have a strategy, objectives, or process to identify and engage partnersTailor the communication to each segmented

marketIndividuals may lack support, time to commit to a 3 year Board rotation.

We had a lack of communication in 2010 due to BenchmarQ and website problems

Most leadership terms are just 1 year - difficult to learn and contribute before rotating off

The changing role of Quality in the world today How do we identify qualified potential committee leaders and/or Officers?

Enterprise memberships: Primary contact versus Individual member types

Little team building offered today by which to build relationships trust

process to identify and engage partnersWe do not who the potential organizations might be; limited contacts. What are their products?Demonstrate the value of MNASQ alliance to partners' membership.

Limited visibility of Section by We lack a defined Volunteer engagementversus Individual member types relationships, trust.Use VOC feedback to customize our communications to each segment.

Little visibility of current Board to the rank and file members; lost opportunity to build rapport

Need faster response to issues, opportunities Fill existing vacancies

Need more frequent communciationsNeed more diverse communciations tools

Limited visibility of Section by Business Leaders

We lack a defined Volunteer engagement model

Grow our presence and impact by connecting with business leaders via a CEO Roundtable structure

Committee leaders must identify specific needs and required skills to the Volunteer Placement Coords.

Section leaders do not have contacts with liocal business leaders or Quality Heads

Fill existing open positions on the leadership team

Changing Face of QualityMost training today is classroom seting in

the Twin Cities metro areaNo strategy to attract, recriuit, retain young professionals

No strategy exists today on what, how, where, when to deliver training outside of the TC area

Professionals in nontraditional markets do not associate themselves with Quality

20% of section members live out-state Define the target markets of younger generations

Business Heads of Quality are not aware of Section products, services, value proposition.

Identify specific skillsets desired, and time commitment needed, for various volunteer opportunities

Gain access to Enterprise-member "primary contacts"

Volunteers may need assistance from Section

Need to identify a well-connected local business leader to sponsor Section

Document the value proposition for volunteering20% of section members live out state Define the target markets of younger generations

Limited use of distance learning toolsSpeakers not prepared to present on-line We are a volunteer professional organization

Speakers not skilled in use of new technology Revenue generated from membership dues

No out-state contacts/coordinators available Passionate members with limited availability to volunteer

"Roundtable" effortsDon't lose focus on small businesses who probably lack the quality training resources of large companies

Consider unemployed experts to help Committees

volunteer

Part-time volunteers

Underlying ContradictionsDiscussion:

• What are some contradictions in yourWhat are some contradictions in your operations holding you back?



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Operational Plans 6

Strategic Directions

• Brainstorm how we can overcome the Underlying Contradictions?Underlying Contradictions?– More of, Less Of, Stay the Same– Reverse brainstorming– Reverse brainstorming– Interrelationship Diagram

Pugh Concept– Pugh Concept

Hoshin kanri Strategy Deployment

From the Strategic Directions discussion:P i iti th it l f– Prioritize the vital few

• C&E Matrix• Pairwise comparisonsPairwise comparisons

– X-Matrix• 3-5 Year Objectivesj• Annual Objectives• Strategic plans (Operational plans; Tactics)

T t t I (K t i )• Targets to Improve (Key metrics)– Develop, assign projects

• A3s• A3s

C&E Analysis

Matrix Scoring:Matrix Scoring:9 = High3 = Medium1 = Low

Paired Comparison (for C&E Weightings)

Alternative: Analytic Hierarchy Process (AHP) Methodology

X-Matrix

The Conference Board X-Matrix template

Long-term Objectives (“True North”)

2012 MNASQ X-Matrix w Owners

To be thecommunity of choice

providing professional development

focused on total customer experiencetotal customer experience

Example: MNASQ Marketing Plan

Action Plan Template

Bowler Scorecard (Targets to Improve)

Management by Fact Tool…..

2010 Strategic Performance DashboardPriori

ty OwnerStarting

Point EOYThis Year: JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

A Plan 12.5 25.1 39.6 53.7 67.1 81.9 95.9 111.0 125.3 139.2 152.3 163.5B Actual 10.8 22.4 36.9 50.8 64.4 79.3C Plan 12.6 25.5 36.1 55.5 61.4 74.9 98.1 113.3 127.8 141.8 155.0 166.3

A1 Item #1

2

$0M

Deliverables and Measures

D Actual 13.7 26.6 40.9 53.9 65.9 80.5E Plan 34.0 68.3 107.8 146.4 182.9 223.1 261.5 302.5 341.6 379.5 415.3 445.6F Actual 29.6 62.1 100.6 137.3 173.3 213.2G Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4H Actual 52.6 107.1 174.0 236.0 297.0 365.0I Plan 60.7 121.4 182.1 242.8 298.0 364.2 424.9 485.6 546.3 607.0 667.7 728.4J Actual 52.6 107.1 174.0 236.0 297.0 368.0K Plan 14.0 29.0 45.0 61.0 77.0 93.0 109.0 126.0 143.0 159.0 174.0 188.2L Actual 13.9 28.6 45.0 64.8 78.2 94.0M Plan 0.15 0.35 0.55 0.85 1.25 1.80 2.50 3.60 5.00 6.50 8.50 10.00N Actual 0.10 0.23 0.37 0.48 0.62 1.2O Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####P Actual 4 9 9 6 16 7 21 8 27 8

F

G

H

$0M

$0M

$0M

B

C

D

E

6 Item #6

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8 Item #8

7

$0MItem #5

2

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4

Item #2

Item #3

Item #4

$0M

$0M

Item #7

$0M Root Cause & Corrective Action if Metric is “Off Target”

P Actual 4.9 9.6 16.7 21.8 27.8Q Plan 0 0 0 0 25 60 100 145 195 250 295 339R Actual 0 0 0 0 14 50S Plan 1.8 3.5 5.6 7.3 9.1 11.0 12.7 14.5 16.3 19.1 22.0 24.9 T Actual 2.1 4.3 6.9 9.2 11.5 13.0U Plan 59.2% 59.1% 58.1% 57.9% 57.9% 57.4% 57.4% 57.2% 57.1% 56.9% 57.0% 57.4%V Actual 54.4% 54.6% 55.4% 54.4% 55.1% 54.7%W Plan 88.0% 89.0% 90.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0% 92.0%Z Actual 90.7% 90.1% 90.7% 90.2% 89.6% 91.0%Y Plan 4.0 8.0 12.0 16.0 20.0 24.0 28.0 32.0 36.0 40.0 44.0 48.0Z Actual 3.7 6.9 11.1 15.1 19.5 24.5A Plan ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### ##### #####B Actual 0.8 2.9 4.6 4.8 5.7 6.7

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Item #11

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14 Item #14 $0M

13 Item #13 $0M

10 Item #10

Item #8

9 Item #9 0 I • Special Cause vs. Common Cause

B Actual 0.8 2.9 4.6 4.8 5.7 6.7NItem #14 $0M

Management by Fact Template

Problem Statement:

Root-Cause “Reds” from

Prioritization and Root Cause

Addressed

Counter Measures and Activities

Who When Expected Benefits/Impact

Target Achieved?/Impact

Proposed Response:

5 Why's:Pareto Analysis:Bowler to

Mgmt by Fact tool

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tool

Thank you

Robert H Mitchell‘QualityBob’ www.linkedin.com/in/roberthmitchell

twitter.com/[email protected]

ywww.facebook.com/pages/QualityBobQuality Matters blog