Chapter 10 Flashcards
Performance Management(MAEI)
The delivery of superior results through measurement, assessment, evaluation and improvement
Why performance management is important?
Leaders can:
-Manage their companies better
-Create a distinctive competency and competitive advantage
-Improve faster than rivals
Perf. Mgmt Principles (6)(leaders, customers, better)
-Leadership’s role
-Fact-based management
-Customer focus
-High-performance environment (PROCESS BASED VIEW)
-Relentless improvement
-Innovation and renewal
How to embed p.m. into organization culture (embed = robotic)
-Leadership
-Experts and training
-Proven methodologies and tools
Performance management key elements(PMI)
-Process management
-Measurement, assessment, evaluation
-Improvement methods & tools
Effective Process
Delivers outputs that obtains the desired behaviors from customers
Efficient Process
Process that also generates return on capital (increasing efficiency = lower inputs needed for higher outputs)
Process map
Visual representation of steps needed to turn inputs into outputs
SIPOC (process map)
Suppliers, inputs, process, outputs, customers
Baldrige Framework (Business Assessment) (7)(LSCMWOR)
- Leadership
- Strategy
- Customers
- Measurement/analysis/knowledge
- Workforce
- Operations
- Results
Business Evaluation (data –> improvement)
Getting and analyzing business data, assessing business performance, prioritize opportunities for improvement
Business Improvement tools(models)
-DMAIC/Six Sigma: define, measure, analyze, improve, control (solve any problem) (3.4 defects per million opportunities)
-Lean Methodology: 7 causes of waste
7 Wastes of Lean Production
Inventory, waiting, defects, overproduction, motion, transportation, over-processing
Well-Dressed Measure Chart
-What is being measured?
-Datawise: prior periods, key competitors, benchmark organization
-Current goal for performance
-Who made the chart
