Page 123 - Operations Strategy

98 CHAPTER 3 • SubSTiTuTES foR STRATEgy

Figure 3.2 Efqm excellence model

People – how the organisation People results – this covers
Leadership – how manages, develops and employees’ motivation,
leaders develop releases the knowledge and satisfaction, performance and
and facilitate the full potential of its people the services the organisation Key performance
achievement of the provides for its people results – this shows
mission and vision, Processes – how the financial and
develop values the organisation
required for designs, manages non-financial
outcomes of the
long-term success Policy and strategy – how the and improves its Customer results – this organisation’s
organisation implements its
and implement processes in order includes customers’ loyalty planned
these through mission and vision through a to support its policy and their perceptions of the performance,
clear stakeholder-focused
appropriate actions and strategy and organisation’s image, product
and behaviour, and strategy, supported by relevant fully satisfy, and and services, sales and including such
things as cash flow,
are personally policies, plans, objectives, generate increasing after-sales support profit, meeting
targets and processes
involved in ensuring value for, its budgets, success
that the customers and other rates and the value
organisation’s Partnerships and resources – stakeholders Society results – this relates
management how the organisation plans and to the organisation’s of intellectual
property
system is manages its external performance as a responsible
developed and partnerships and internal citizen, its involvement in the
implemented resources to support its policy community in which it
and strategy and the e
ective operates, and any recognition
operation of its processes it may have received
Enablers Results
assertion out, look at Deming’s (one of the quality ‘gurus’) 14 points. These are, in many
ways, a summary of his and other authorities’ ideas on quality. In order to translate these
different elements onto the operations strategy matrix, we have listed each of Deming’s
14 points followed by the operations strategy decision areas to which they relate:
1 Plan for a long-term commitment to quality (development and organisation).
2 Quality must be built into the processes at every stage (process technology, supply
network, development and organisation).
3 Cease mass inspection (process technology, supply network, development and
organisation).
4 Do not make purchase decisions on price alone (supply network, development and
organisation).
5 Identify problems and work continuously to improve the system (supply network,
development and organisation).
6 Implement SPC and quality training (process technology, development and
organisation).
7 Institute leadership and a human-centred approach to supervision (development
and organisation).
8 Eliminate fear (supply network, development and organisation).
9 Break down barriers between departments (supply network, development and
organisation).
10 Stop demanding higher productivity without the methods to achieve it (capacity
strategy, process technology, supply network, development and organisation).
11 Eliminate performance standards based solely on output (capacity strategy, process
technology, supply network, development and organisation).
12 Remove barriers to pride in workmanship (development and organisation).

M03 Operations Strategy 62492.indd 98 02/03/2017 13:03