Link process and system performance to financial performance
Your organization will use its defined process-based management system to drive continual improvement if process and system performance are linked to financial performance. To accomplish this, determine the:
- Revenue, operating cost, employee retention, and customer satisfaction impact of meeting and not meeting each key process and key support process objective in terms of $’s per unit time.
- Critical information (as reports) used to manage the business (defined by the scope of the system) and make sure it is identified and used by the preventive action process.
- Method for the employee suggestions process to collect, review, analyze and escalate suggestions for improvement to the Preventive Action/Corrective Action(PA/CA) processes when appropriate.
- “Cost of nonconformity” as a step in the corrective and preventive action processes, immediately after determining the root cause of the current or potential problem.
- Method of publishing the financial data resulting from the process and system performance and PA/CA findings so it is available to the entire organization.
Management, employees, and internal audit all become the catalysts for driving continual improvement by using the management system to collect and analyze the data to create useful information.
By publishing the information to the entire organization, six-sigma or continual improvement project managers are enabled to take action, employees see the benefits of working systematically and using the management system, and the politics often involved in project selection can be avoided.
Input this information into your six-sigma program. Your black belts and master black belts will use this information to prioritize the opportunities on the project log after performing cost-benefit analyses with risk management.
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