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Performance Excellence AwardsStatus of the Baldrige Enterprise
Agenda
• Review of the Baldrige Performance Excellence Program
• Transition to the Baldrige Enterprise• Status of Rocky Mountain Performance
Excellence• Opportunity to be an RMPEx Examiner
Baldrige Performance Excellence Program (BPEP)
The Malcolm Baldrige National Quality Improvement Act of 1987, Public Law 100-107
• Created Award program to– identify/recognize role model organizations– establish criteria for performance excellence to
evaluate improvement efforts– disseminate/share best practices
• Expanded to health care and education (1998)• Expanded to nonprofit (2005)• Managed by NIST, in Department of Commerce
Performance Excellence Program Components• The Criteria for Performance Excellence provide the foundation
for identifying opportunities to improve performance.– The criteria consists of a list of activities that are found in high-performing
organizations.– The criteria are updated regularly to represent “the leading edge of
validated management practice”.
• Organizations submit award applications by describing which of those activities they perform and how those activities are performed.
• A team of examiners evaluate the application, identifying organizational strengths and opportunities for improvement (OFI)
• Organizations sustain the strengths and prioritize the OFI’s with a plan for improvement.
Activities Framework
4
Measurement, Analysis, and Knowledge Management
5
Workforce Focus
3
Customer Focus
2
Strategic Planning
1
Leadership
6
OperationsFocus
ORGANIZATIONAL PROFILE: ENVIRONMENT, RELATIONSHIPS, AND
STRATEGIC SITUATION
7
Results
7
Results
Evaluating Activity Maturity• Categories 1-6 list the activities that contribute to high
performance and ask how those activities are performed.• The activity descriptions provided are evaluated for maturity,
using 4 maturity factors:– Is the activity performed in a well-defined, repeatable,
measureable manner? – Is the activity performed consistently by or with all relevant
individuals, departments, and groups? – Is the activity evaluated and improved? – Does the activity conflict with any other organizational
activity or with vision, mission, or values?
(Approach)
(Deployment)
(Learning)
(Integration)
Activity Evaluation• Examiners review an organization’s application,
evaluating the factors of approach, deployment, learning, and integration.
• Strengths and opportunities for improvement can result for any of the four factors (ADLI); an activity could have a strong approach, but not be fully deployed.
Example Organizational Problem
Employees complain that leaders & managers operate in reactive, fire-fighting modes, and consistently make decisions based on “gut feel” or listening to the “last person in the office”.
Example Criteria Questions to address Problem
Category Criteria questions
Leadership 1.1 b(1): How do senior leaders communicate decisions?
Leadership1.1 b (2): How do senior leaders create a focus on action to accomplish the organization’s objectives, improve performance and attain its vision
Strategic Planning2.2 a (1): How do you develop and deploy action plans throughout theorganization to achieve your key strategic objectives?
Measurement, Analysis, and Knowledge
Management
4.1 b (2): How do you translate organizational performance review findings into priorities for continuous and breakthrough improvement and opportunities for innovation?
Employees complain that leaders & managers operate in reactive, fire-fighting modes, and consistently make decisions based on “gut feel” or listening to the “last person in the office”.
OFI’s might be found for A, D, L, or I related to several of the following criteria:
Local Baldrige-Based Programs• To assist organizations to get involved with the BPEP, local
organizations have been created, such as RMPEx• These organizations conduct award programs based on the
Baldrige Program– Training on the process and application writing offered– Top level awards equivalent to the national Baldrige award– Simplified lower-level applications/awards offered
• An alliance of these local organizations was created to foster growth and improvement– Alliance for Performance Excellence (“the Alliance”)– Website at baldrigepe.org
Local Baldrige-based Programs http://www.baldrigepe.org/alliance/
Baldrige Foundation
• A 501c(3) nonprofit, established in 1987 to provide the private sector a means of raising sufficient funds to permanently fund the Award Program.
• The Foundation has no oversight of the Baldrige program and has no involvement in the award process.
• Contributions from 200+ major organizations http://www.baldrigepe.org/foundation/members.aspx
Baldrige Program Impacts
BPEP Status
• As of this year, the Federal Government no longer funds the BPEP program– 2011 funding was ~ $10M.– Although there is no funding, the law mandating a national
award is still in effect.• For 2012, the program is continuing using funds
provided by the Baldrige Foundation• Actions are underway to transition from a
dependence on federal funding to a sustainable enterprise model
Baldrige Enterprise Design
• Design Participants– BPEP national staff (Harry Hertz; Bob Fangmeyer, Directors)– Alliance for Performance Excellence (Brian Lassiter, Board Chair)– Baldrige Foundation (Debbie Collard, David Spong, Board Chair)– ASQ (Paul Borawski, CEO)
• Design Guidelines– Integrate national and local programs– Retain Presidential tie– Expanded public and private partnerships– Operational solvency– And others
Enterprise Resources. Combined Operational Metrics
BPEP States EnterpriseRevenue
$11.0 M $ 8.5 M $ 19.5 MFTE
35 4580
Applications
70 13501420
Examiners
600 22502850
Baldrige Enterprise Roles (proposed)• BPEP
– Maintain/update criteria– Manage contracts to administer the national award– Develop training; train trainers
• Alliance for Performance Excellence– Maintain current local programs– Deliver training– Pre-qualify national applicants (be top-level recipients)
• ASQ– Administer the national program– Manage conferences
• Foundation– Raise funds– Manage and disperse funding.
RMPEx Status• Serving organizations in Colorado, Montana, and
Wyoming• 20 organizations are working on 2012 applications – Due May 29– 10 applications in 2011
• New Executive Director, new website in 2011– Kim Griffiths replaced Tom Mauro– www.rmpex.org
RMPEx Examiners
• Currently have 75 individuals registered to attend training
• Registration continues through this month• Fees once charged for attending training (~$250) have
been eliminated.• 20+ hours of classroom training are provided, suitable for
submission for CEU credit.• See the handout for the impressions of a Boulder ASQ
member on his impressions of the examiner experience• See the website for more information and/or to apply
Examination vs Auditing
• Audits tend to look for compliance (yes/no answer)
• Baldrige-based examination looks for the existence of processes and also evaluates the maturity (ADLI) of the processes found. (yes/no, plus a “score”)
Accomplishment (“Score”) Descriptions
• Basic: Fundamental processes are present, but in not enough detail to produce role model results.– Senior leaders lead.
• Overall: Role model performance is possible, but not likely unless all components are present. (Award threshold)– Senior leaders guide and sustain, communicate, and
encourage high performance• Multiple: Role model performance is likely.– 18 questions (activities) in Senior Leadership item.
Category/Item Question Organization
Thanks for the opportunity to speak with you!Questions, Comments, Suggestions?