Process Improvement
(Kaizen or Re-Engineering?) |
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One of the tenets of QPI is that quality and productivity are directly
related. If quality improves, productivity improves. |
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One should not think of investing in quality as a cost activity, but one
should consider what the global results of that investment will be. In
appropriate investments the global results will be positive in nature. |
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In a QPI organization management is continually attempting to improve the
various processes of the organization to the benefit of all stakeholders
with, of course, QPI Principle Number Four, prioritization, in mind. |
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There are fundamentally two ways to improve processes. One is gradual and
one is quantum in nature. |
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In gradual improvement, called Kaizen by the Japanese, one is looking for
never-ending, incremental improvements.There are many well-established
improvement procedures known for achieving incremental improvement. |
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Keep in mind that when any process is changed one must always consider
global effects. One of the problems with process improvement is that if
it is not managed with all of the QPI Principles involved, a process may
be improved at a local level while having a global detrimental effect.
That is one reason why all Seven Principles must be considered when decisions
to improve processes are made. |
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There are many interesting examples where process improvements were made
that had clear beneficial effects on a local level, but had long-term global
disastrous effects. One should never adopt and follow one of the QPI Principles
in isolation from the other. |
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The second method of improving processes is to radically re-engineer a
process. This may involve creating new ones and destroying old ones. |
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Re-engineering is sometimes quite appropriate when there are processes
that are obsolete or that have become dysfunctional for any number of reasons.
Sometimes it is necessary to create completely new processes. |
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Very often when an organization is transforming its management system from
a traditional, hierarchical, MBO type system in which there are a lot of
cost centers, departments, and "chimneys" in the organization, it is necessary
to re-engineering processes to break down barriers and to make the processes
much more productive and efficient. |
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In a QPI organization there are appropriate times for both Kaizen and Re-Engineering.
Some books emphasize one while some emphasize the other. The truth is they
both have an important role to play in any QPI organization. Once again,
which is appropriate depends upon the global situation as well as on the
priorities involved. |
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