SWOT Analysis

SWOT Assessment Using the Malcolm Baldrige ModelBy Consultant or Self Assessment

Instructions

Worksheets

This workbook includes seven tabs covering each category. You will need to work your way through eachtab, entering a percentage score in 10% increments for all 91 criteria. Scores are tabulated and summarized atthe top of this spreadsheet. Additional instructions appear within each tab to assist you with scoring the respective category.

All input cells are highlighted in: 0% Cells with formulas are highlighted in:

NOTE: All 91 criteria or questions will include comments for 0% and 100% scores to help you understandhow to score the question.

Move your cursor over the cell with a red triangle.

Scoring

Each of the 91 criteria is assigned a percentage score based on two areas:

1) Implementation and Deployment - Did the organization use the proper methods and techniques to successfully launch and deploy the quality program, were the practicesrelevant, did they actually work for all targeted areas (production, customer service,supply chain management, etc.), has the practice been fully integrated into all parts ofthe organization, etc.

2) Actual Results - Measured outcomes and performance levels clearly demonstrateimprovement, the scope of improvement is wide, the improvement is permanent and sustainable, and the measured feedbacks are very reliable.

General breaking points in percentage scoring:PercentScore Implementation and Deployment

Best in Class 100% Very strong improvement process supportedby hard evidence, completely deployed in allparts of the organization.

Excellent 80% Solid approach and deployment of qualityimprovement covering almost every part ofthe organization, strong factual evidence tobackup improvement process.

H23

Cells with comments will have a small red triangle in the upper right corner of the cell.

Above Average 60% A sound approach has been used in the primary parts of the business. More emphasis on improvement is needed toreach other parts of the business.

Below Average 40% Implementation is generally working andthe overall approach is reasonably sound.Primary parts of the business have not yetrealized signficant improvements.

Poor 20% Implementation has major gaps, not going very well. Early stages of deployment,needs to be modified in order to really work.

Zero Base 0% No improvements are planned for the organization, organization reacts to eachand every change imposed upon it.

SWOT Assessment Using the Malcolm Baldrige ModelBy Consultant or Self Assessment

Instructions

This workbook includes seven tabs covering each category. You will need to work your way through eachtab, entering a percentage score in 10% increments for all 91 criteria. Scores are tabulated and summarized atthe top of this spreadsheet. Additional instructions appear within each tab to assist you with scoring the

NOTE: All 91 criteria or questions will include comments for 0% and 100% scores to help you understand

Actual Results

Outstanding performance improvements with both internal and external benchmarkevidence to support improvement results.

Performance levels are very solid in mostareas of the business, performance is benchmarked internally and externally.

D5

SWOT refers to Strength's, Weaknesses, Opportunities, and Threats confronting the organization.

Improvement trends have been documented.Need more pro-active indicators to movethe organization into more effectiveimplementation.

Some areas of the business have reportedimprovements.

Very few or no areas of the business havereported favorable results. No overall trendhas been established.

No measurements in place to track anyimprovements.

SWOT Assessment Using the Malcolm Baldrige Model

Category 1: Leadership (95 points)

Summarize Leadership ScoreSenior Leadership:

1.01 Extent of senior management involvement1.02 Integration of quality by senior management1.03 Overall effective communication on customer and quality1.04 Effective leadership development

Managing for Quality:1.05 Accountability for quality within various levels and functions1.06 Communication to employees on customer and quality issues1.07 Employee support and training on quality issues1.08 Reinforcement by Managers to their employees

Social Responsibility:1.09 Integration of social issues into the business1.10 Assessment of products and services on social issues1.11 Company leadership on social issues1.12 Evidence in support of social responsibility

Leadership Scoring

The leadership category evaluates the committment and involvement of senior level management increating and sustaining a focus on values of quality, such as customer satisfaction. Strong leadershipis required for integrating quality into everything the company does, including social responsibilities.

80% to 100% range:Senior level management is strongly involved and behind quality improvement within the company.Management is very supportive and working to form teams throughout the company.Senior managers are communicating clearly the vision and goals behind quality improvement and howit must interact with customers, suppliers, employees, and others in the value chain.Senior management is very committed to all continuous improvement efforts.

60% to 80% range:Most senior level managers are visibly involved in quality improvement. Senior managers are meetingwith teams, suppliers, and other key players in process improvements. Management behavior at alllevels in the organization reflects a commitment to quality. Senior management is actively promotingand communicating quality improvement.

40% to 60% range:Senior level managers are sharing their ideas on quality improvement with customers, employees, suppliers, and other key players. Management performance is linked to quality. Many parts of theorganization are actively engaged in quality programs. Senior level leadership is supportive of strategic quality initiatives.

F5


20% to 40% range:A few senior level executives are supportive of quality improvement. Employees are encouraged tobecome more involved. Communication is top down and not across organizational boundaries.Continuous improvement programs are up and running in some parts of the company. Overallorganizational policies do support quality improvement.

0% to 20% range:Senior management has yet to develop and launch quality improvement as a major strategic goal.There is no real committment by leadership on making quality a high priority. Senior managers arenot engaged with customers, suppliers, employees, and others on how to improve quality. There is no concern for things like social responsibility.

Enter Scores for Leadership Criteria

CriteriaNumber Criteria Description / Question

1.01 To what extent is senior level management involved in the company's quality improvement efforts? This includes planning,communicating, measuring, changing, mentoring, etc.

0% 100% Enter % score =>

1.02 Is senior level management integrating the values of quality intoeverything they say and do, internally and externally?


1.03 Is senior level management effectively communicating thecompany's focus on customer and quality to all levels withinthe organization?


1.04 How effective is senior management in developing and reviewing their own leadership skills and abilities, learning to become morepersonally involved within the organization?


1.05 Do you have specific guidelines and standards for holding managers accountable for quality, including supervisors andothers, designed for different levels and functions within the company?


1.06 A focus on the customer and quality are effectively communicated toall employees within the company.


1.07 Employees have regular training and support to reduce errors andimprove quality, including comparisons to planned improvements.


1.08 How effective are managers and supervisors at reinforcing the customerfocus and quality values amongst employees? Are managers and

F71

0% = Senior management is not involved in developing and deploying quality improvement within the company. Senior level executives fail to recognize quality related activities and are not focused on customer driven improvement initiatives.

G71

100% = Senior management is very involved personally in quality improvement and very focused on customer driven processes, striving for excellence in quality. Employees and others involved in quality improvement are recognized by management.

F75

Values of the company are not shared with employees, suppliers, customers, and other stakeholders. Quality is obviously not a high priority with senior level management.

G75

The company has very high standards related to quality. These standards of quality are strongly communicated in all types of formats - mission statement, vision, corporate guidelines, policies, management practices, code of business conduct, and all operating principles. A complete set of value statements is published as part of the company's strategy.

F80

Senior management fails to communicate quality values. There is little if any communication on customer focus and managers and supervisors are left to do as they please.

G80

The highest levels of the organization (CEO and others) are always communicating the company's high focus on customers and quality. All formats of communication (meetings, newsletters, etc.) reinforce the customer service orientation. Customer service and relationships is part of management development.

F85

Senior managers do not monitor their leadership effectiveness and personal involvement within the company. Senior management lacks any evaluation process to improve personal leadership.

G85

There are specific feedback systems (surveys, questionnaires, direct reports, etc.) for improving leadership at the top levels within the organization. Senior management follows a plan to monitor and improve personal involvement with employees, customers, suppliers, and other stakeholder groups.

F90

Few, if any, managers and supervisors are involved in quality control improvements and processes. There are no specific measures and guidelines in place.

G90

The organization has a strong focus on customer satisfaction and quality, backed up by a set of measurements and standards. Participation on quality is both broad and deep, cutting across functions and organizational levels. Everyone is encouraged to become involved. Everyone's performance is evaluated regularly against quality targets.

F94

There is no communication regarding customer focus and quality improvement. Only customers seem to get feedback regarding quality issues. There is no process of communication within the company.

G94

Communication is rich and deep, constantly dealing with customer focus and quality values. Employee newsletters, meetings, value systems, performance evaluations, and other tools are used to communicate focusing on the customer and quality.

F98

Employees are not involved in identifying quality related issues and taking steps to improve quality. The company does not review and evaluate business unit or lower level quality and operating performance.

G98

Team quality meetings and reviews are held weekly and monthly with planned agendas on quality issues. Review Teams are cross functional, providing useful support to Quality Teams to ensure planned objectives are met.

supervisors evaluated on this reinforcement?0% 100% Enter % score =>

1.09 The organization has strongly integrated ethics, public responsibility, environmental protection, and safety into its business practices.


1.10 The organization plans ahead to consider the reaction and impact aproduct or service may have on the local community, environment, and human safety.


1.11 The organization is considered a leading corporate citizen within itslocal community.


1.12 Does the organization have evidence, such as trend data, to clearly showthat it is addressing social issues and is actively involved in communityservices, education, environmental protection, health care, and other public quality programs?


F103

Managers and supervisors are not encouraged and rewarded for reinforcing a focus on customer and quality among thier employees. Managers and supervisors do not participate in quality improvement programs.

G103

Managers and supervisors are rewarded for reinforcing a focus on customer and quality to their employees. Managers and supervisors have strong support and encouragement from upper levels of the organization for showing leadership with customer satisfaction and quality values.

F107

The organization does not promote employee safety, protection of the environment, and proper management of waste in its business practices. The organization has been cited for failing to comply with regulations related to safety and environmental quality. The organization has no plans to improve its practices.

G107

The organization promotes and recognizes its social responsibilites, including safety, environmental protection, and waste management. The organization shows strong leadership when it comes to social issues, such as local community involvement, employee safety, and protecting the environment.

F112

The organization never considers public concerns when it creates a product or service. Senior management shows no interest or concern regarding negative public reaction to what the company does or fails to do when it comes to safety, ethical behavior, environmental impacts, and other social issues.

G112

The organization has a formal process (such as surveys) whereby public reaction is measured regarding its products and services, especially those population segments that could be negatively impacted. Focus groups and other communication techniques are used to partner with the public on social issues such as environmental and safety practices.

F116

The organization does not share and build a relationship with the community on issues such as safety, protecting the environment, and making other improvements. The organization is not involved and does not try to strengthen its community services for improving health, education, protecting the environment, and making the community better.

G116

The organization and employees are strongly encouraged to get involved in local community projects, including state wide or national causes that improve the quality of life for everyone. The organization has demonstrated leadership in making social responsibility part of the company's culture and way of doing business.

F122

The organization has received sanctions and penalties for its products or services because of safety, environmental damages, negative health impacts, and other adverse effects. The organization has no plans to improve its products and services regarding public safety and negative impacts. The organization collects no quality data on adverse impacts and does not consider these issues relevant to the business.

G122

The organization has not received any sanction or penalties against its products or services in the last three years. The organization collects quality data on adverse impacts and uses this data to develop plans on improving products on key impact issues. The organization partners with various groups to help it address quality issues.


Avg % Total Total% score by Sub Points by Points

Category Sub Catg Scored 70% 60% 70%60% 65% 45 29

70%80%60%50% 65% 25 16

60%50%50%60% 55% 25 14

Total Points 95 59

The leadership category evaluates the committment and involvement of senior level management increating and sustaining a focus on values of quality, such as customer satisfaction. Strong leadershipis required for integrating quality into everything the company does, including social responsibilities.

Senior level management is strongly involved and behind quality improvement within the company.

Senior managers are communicating clearly the vision and goals behind quality improvement and how

Most senior level managers are visibly involved in quality improvement. Senior managers are meetingwith teams, suppliers, and other key players in process improvements. Management behavior at alllevels in the organization reflects a commitment to quality. Senior management is actively promoting

Senior level managers are sharing their ideas on quality improvement with customers, employees, suppliers, and other key players. Management performance is linked to quality. Many parts of theorganization are actively engaged in quality programs. Senior level leadership is supportive of

A few senior level executives are supportive of quality improvement. Employees are encouraged tobecome more involved. Communication is top down and not across organizational boundaries.Continuous improvement programs are up and running in some parts of the company. Overall

Senior management has yet to develop and launch quality improvement as a major strategic goal.There is no real committment by leadership on making quality a high priority. Senior managers arenot engaged with customers, suppliers, employees, and others on how to improve quality. There

CriteriaScore

70%

60%

70%

60%

others, designed for different levels and functions within the company?70%

A focus on the customer and quality are effectively communicated to

80%

60%

How effective are managers and supervisors at reinforcing the customer

L66

Scores should be entered as a percent from 0% to 100% in 10% increments; i.e you should enter one of ten entries: 0% Zero Base (no approach / no results) 10% 20% 30% 40% 50% Middle of the range 60% 70% 80% 90% 100% World Class (very mature approach with very strong results)

50%

The organization has strongly integrated ethics, public responsibility,

60%

product or service may have on the local community, environment, and

50%

50%

Does the organization have evidence, such as trend data, to clearly showthat it is addressing social issues and is actively involved in communityservices, education, environmental protection, health care, and other

60%


Category 2: Information and Analysis (75 points)

Summarize Information & Analysis ScoreManagement of Data:

2.01 Measurement of critical data for decision making2.02 Reliability and timeliness of data2.03 Evaluation and improvements to data

Competitive Analysis: 2.04 Deployment of competitive data analysis2.05 Scope and application of competitive data analysis2.06 Driving change to critical parts of the business2.07 Improvements to competitive analysis

Analysis and Use of Data: 2.08 Systematic analysis of data in critical areas2.09 Continuous improvement to data management practices2.10 Collection, transformation, and distribution of data2.11 Methods and techniques deployed

Information & Analysis Scoring

80% to 100% range:Quality related data is fully integrated and distributed easily within the organization. Processes for data andinformation management are timely, accurate, and useful throughout the entire company. Quality data is readily available for various processes within the company. Data is analyzed and transformed into usefulinformation for identifying new opportunities for improvement. Benchmarks and comparisons are used to drive continuous quality improvements.

60% to 80% range:Employees and others have easy access to data in most parts of the company. For the most part, technologiesand processes are in place for ensuring that data is complete, accurate, timely, and useful. Most processes areusing quality data for decision making. Comparative data is used for planning and making improvements. Measurements are in place for most products and services.

40% to 60% range:Many parts of the company have processes in place for timely, accurate, complete, and useful data. Manyemployees have access to data for decision making. Data is used in most processes. Some products andservices are measured and benchmarked using comparative data. Measurements do exist on strategic objectives related to products and/or services.

20% to 40% range:Some processes are in place, providing timely, accurate, complete, and useful data. Data is limited in how itis used for decision making. Data is collected and used on some customers, suppliers, and other criticalfunctions of the company. A centralized group analyzes the data, but useful information is restricted to afew parts of the organization. Data analysis tends to be limited, not driving major improvement initiatives.

F5


0% to 20% range:Data is primarily used for traditional reporting functions. Comparative analysis is not in place. Only a fewcritical processes use quality data for improvement. Little or no data is collected and used for makingimprovements with customers and suppliers. Data analysis is just beginning to take place for minor improvement projects.

Enter Scores for Information & Analysis Criteria


2.01 Does the organization measure data related to customers, products, supplier performance, financial performance, and employee performance?Is this data useful and understandable to decision makers?


2.02 How reliable is data to the decision maker and is this data distributed to decision makers on a timely basis?


2.03 How do you evaluate and improve data management practices, such asshortening the process cycle and transforming data into useful information?


2.04 Does your organization use external benchmarks and competitive data todrive improvements, operating performance, and planning?


2.05 How extensive is the competitive benchmarking data?0% 100% Enter % score =>

2.06 Is the organization using benchmarking to improve critical processes,create innovation, and reach planned targets?


2.07 Does the organization evaluate and revise the scope and accuracy of itsbenchmarking data to improve planning and improve performance?


2.08 Does the organization systematically analyze data for determiningcustomer trends, problems, new opportunities, and areas for improvement?


2.09 Is there a continuous process of improving data collection andanalysis, such as shortening the cycle time, making people moreproductive with better information, and providing easy access.


2.10 Does the organization collect key cost, financial, operating, and otherdata, translating it into useful information for employees and other

F66

The company does not measure quality related performance. Any data that is measured and reported is not very useful to decision makers.

G66

A comprehensive set of measurements is used to capture and control various processes. This data is integrated into how processes are managed throughout the entire company. The data collection and analysis process is very supportive of quality improvement efforts. The final information is very useful to decision makers.

F70

No process or technology is in place for making sure data is reliable and delivered on a timely basis. There is no tracking or control to ensure accurate, complete, and timely data. Various departments and levels of the organization have difficulties with accessing data.

G70

A fully integrated information system distributes data and information to end users in an accurate and timely manner. Information is exchanged in a user friendly environment throughout the entire company. Each employee has rapid access to data and useful information for decision making.

F74

There is no system in place to capture data; therefore there is no way to evaluate and improve it. There are no plans in the future to capture data, evaluate its usefulness and distribute it to every decision maker in the organization.

G74

There is a continuous process of testing and evaluating data for its integrity, making sure it is accurate and complete. Additionally, techniques are developed to improve the usefulness of data, such as analytical tools for understanding relationships and predictive modeling to give users insights into future trends. Data and information management is aligned with all parts of the organization and plans are in place for improving cycle times so that data and information have zero latency with decision making.

F78

External benchmarks and competitive analysis is not used. The organization does not understand the need for benchmarking and competitive analysis.

G78

The organization is always monitoring and striving to improve its processes by reaching for "best in class" against the competition. Benchmarking is widely used to push the organization as a leader in its industry. The organization has developed a set of benchmarks for all parts of the business with teams using this benchmarks for process improvement projects.

F81

Very little, if any, competitive data is captured. Only a few opinions are solicited regarding the competition. Benchmarking is rarely done within the company.

G81

The company is constantly looking for and revising its competitive data to reflect best practices and stay on top of trends in quality and customer service. Specific parts of the organization are responsible for searching for new "best in class" processes that the company needs to consider. Benchmarks are widely used to improve customer service, cycle times, control costs, improve quality, enhance operating performance, strenghten supplier relationships, and make the company a leader in its industry.

F85

No benchmarking is used. Competitive comparisons are not maintained are deployed for planning purposes.

G85

Benchmarking is widely used to monitor and drive improvements in all types of processes, including new and innovative approaches to how we do business. Critical work processes are continously measured using a set of best in class benchmarks.

F89

The organization has no plan for evaluating and improving the scope and accuracy of benchmarking. There is no emphasis on trying to improve competitive data. The company places no value on benchmarking and competitive data.

G89

The company continuously evaluates its benchmarking and competitive data, making sure it is appropriate, complete, and correctly applied to various parts of the business. There is a well documented process for the entire organization to follow in regards to what should be benchmarked and how it should be done. Support services are readily available so that benchmarking is easy to implement.

F93

No steps are taken to analyze data for making improvements within the business. Customer data is not linked to key performance indicators. The organization has yet to establish key performance indicators. Overall data management, including access to data, is poor and no plans are in place to improve data analysis for performance improvement.

G93

Surveys, research reports, and other data are continuously collected and analyzed for ascertaining areas of improvement. The data is transformed into useful information for decision makers. This information is used to drive higher levels of performance.

F98

Data and information are not available to various levels of the organization. There are no plans or processes to help improve data management and decision making. The overall data analysis process has not been evaluated in several years. There is no emphasis on quality related data and decision making.

G98

There is an on-going search and evaluation for improving data analysis, including best in class processes to move and manage the data for rapid decision making. The organization conducts benchmarking tests to assess cycle times, productivity, operating performance, and other qualities related to data management and decision making. A plan is in place to look for world class practices in how data is managed and used within the company.

decision makers, supporting both operating and long-term planningdecisions?


2.11 How does the organization reduce cycle times and improve theintegrity of data for decision makers?


F104

There is no indication that the organization is collecting key data on financial, operations, or other parts of the business and tranforming this data into useful information for decision makers. The company does not make any comparisons of its business against the competition based on key costs, financial, operating, or other data.

G104

The company regularly summarizes and distributes key cost, financial, and other data to employees and other decision makers. Analysis of the data provides useful and balanced analysis with costs vs. quality service to customers. Comparisons are made both internally and externally, showing the relationships between operating results and financial results. Overall trends and predictive indicators are also used to help plan for future improvements.

F108

There is no indication that the organization is making an effort to reduce cycle times so that information is readily available when a decision has to be made. There is no real emphasis on improving the quality of data to ensure quality decision making. Data analysis is not used to transform data into useful information.

G108

The organization is always reviewing and testing data processing to reduce cycle times for decision making. A process is in place to improve how data is used in peformance measurement, planning, and problem solving. Data selection and use by decision makers is regularly evaluated throughout the entire company to drive strong knowledge management practices.


Category 2: Information and Analysis (75 points)Avg % Total Total

% score by Sub Points by Points Category Sub Catg Scored80%80%70% 77% 15 12

60%60%70%60% 63% 20 13

70%70%60%60% 65% 40 26

Total Points 75 50

Quality related data is fully integrated and distributed easily within the organization. Processes for data andinformation management are timely, accurate, and useful throughout the entire company. Quality data is readily available for various processes within the company. Data is analyzed and transformed into usefulinformation for identifying new opportunities for improvement. Benchmarks and comparisons are used to

Employees and others have easy access to data in most parts of the company. For the most part, technologiesand processes are in place for ensuring that data is complete, accurate, timely, and useful. Most processes areusing quality data for decision making. Comparative data is used for planning and making improvements.

Many parts of the company have processes in place for timely, accurate, complete, and useful data. Manyemployees have access to data for decision making. Data is used in most processes. Some products andservices are measured and benchmarked using comparative data. Measurements do exist on strategic

Some processes are in place, providing timely, accurate, complete, and useful data. Data is limited in how itis used for decision making. Data is collected and used on some customers, suppliers, and other criticalfunctions of the company. A centralized group analyzes the data, but useful information is restricted to afew parts of the organization. Data analysis tends to be limited, not driving major improvement initiatives.

Data is primarily used for traditional reporting functions. Comparative analysis is not in place. Only a fewcritical processes use quality data for improvement. Little or no data is collected and used for makingimprovements with customers and suppliers. Data analysis is just beginning to take place for minor

CriteriaScore

Does the organization measure data related to customers, products, supplier performance, financial performance, and employee performance?

80%

How reliable is data to the decision maker and is this data distributed to

80%

How do you evaluate and improve data management practices, such asshortening the process cycle and transforming data into useful information?

70%

Does your organization use external benchmarks and competitive data to

60%

60%

Is the organization using benchmarking to improve critical processes,

70%

Does the organization evaluate and revise the scope and accuracy of its

60%

customer trends, problems, new opportunities, and areas for improvement?70%

70%

Does the organization collect key cost, financial, operating, and other

L61


60%

60%


Category 3: Strategic Planning (60 points)

Summarize Strategic Planning ScoreThe Planning Process:

3.01 Integration of planning into all parts of the business3.02 Integration of processes into planning decisions3.03 Enterprise wide planning3.04 Continuous improvements to planning

Performance Planning:3.05 Recognition of quality within planning3.06 Sharing of planning decisions3.07 Integration of planning and quality goals3.08 Projections and targets for planning

Strategic Planning Scoring

80% to 100% range:Strategic planning is used regularly to develop goals and objectives for improving quality. All levels of thecompany participate in some form of strategic planning. Employees, suppliers, customers, and otherstakeholder groups are actively engaged in strategic planning decisions. Management is very involved inplanning related activities. Strategic planning includes key performance indicators, surveys, benchmark data, and other quality information to ensure that strategic planning is strong and viable for all parts ofthe company.

60% to 80% range:The organization has established a complete strategic plan for addressing quality improvement, includingmission, vision, goals, specific tasks, targets and programs. A broad planning process is used, involvingcustomers, suppliers, and employees. The strategic planning process includes key quality indicators,benchmarks, and other quality information. Operating plans are developed throughout the entire company,linked to the company's overall strategy. Managers are held accountable for meeting strategic goals.

40% to 60% range:Key organizational units have operating plans in place, linked to the company's overall strategy. Managersare held accountable for meeting strategic goals. The strategic planning process uses some key indicators,surveys, and other benchmark data. Senior level management approves the final strategic plan.

20% to 40% range:Key functional parts of the organization have strategic goals. The overall organization does have a strategicplanning process. Some involvement from customers and suppliers does take place within the strategicplanning process. Customer data is used to assist with strategic planning. Senior management approvesthe final strategic plan.

0% to 20% range:Strategic planning is not visible or understood within the organization. Senior management develops the

F5


strategy with no input from customers, suppliers, employees, or other stakeholder groups. The strategic plan is very "inward" thinking with little focus on the customer.

Enter Scores for Strategic Planning Criteria


3.01 How is overall planning integrated into lower level planning at business unit levels and department levels for short term and long term decisions?


3.02 Does the organization re-align or re-engineer a process to make sure it fits with strategies for work performance?


3.03 Strategic plans are deployed throughout the entire company.0% 100% Enter % score =>

3.04 Is the strategic planning process evaluated and improved on a regular basis?


3.05 Does the company have major quality improvement goals and objectives within its strategy?


3.06 How effective is the company at sharing and deploying its short termgoals with employees, suppliers, and others who have to execute onthe strategy?


3.07 How does the organization's long term goals relate to improvingquality?


3.08 How does the organization project out benefits from long term and shortterm planning? How does this compare to key benchmarks?


F62

There is no indication that the organization is engaged in long-term type planning at any level. The company lacks an overall strategic plan and simply reacts to the marketplace.

G62

Various departments and organizational levels, as well as customers and suppliers, are involved in overall planning for the company, including short term decision making and long-term plans. Employees throughout the entire organization are involved in both short-term and long-term planning type decisions.

F66

The company does not include changing a process (such as reducing cycle times or improving efficiency) as part of the planning process. Changes to various processes are not considered when making planning decisions. The strategic plan does not integrate cycle times, customer focus and other quality values into the strategic plan.

G66

Core work processes are always examined and reviewed when going through the strategic planning process. Cycle times, customer focus and other quality factors are integrated into short term and long term decision making. The strategic planning process includes a review of key processes so that performance is improved as part of planning.

F69

No system is in place for collecting and distributing strategic information. The company does not have a strategic plan and there is no coordination of strategic decisions within the company.

G69

Continuous methods are in place for communicating and integrating strategies into all parts of the company. There is an emphasis on improving the scope and quality of strategic data throughout the entire company. Employees and others who have to execute strategies have easy access to company wide strategies. This is re-inforced through communication from above.

F73

Actions taken by the company do not reflect strategies of the company. There is a major disconnect between strategy and what the company is doing. Plans are not followed or understood by various levels within the organization. There is no review or evaluation on how effective strategic planning is.

G73

Various departments and teams provide input and suggestions into the company's strategic plan. All areas of the company have their own strategic plans that fit with the company's overall strategic plan. Strategic goals and objectives are monitored and revised on a regular basis. Planning is an on-going effort.

F77

The organization has not established quality improvement goals and objectives. Few if any parts of the company are focused on quality improvement as part of their strategy.

G77

Goals and objectives related to quality are integrated into the strategic planning process. Various parts of the company have their own quality improvement goals and objectives, linked to the company's overall goals and objectives for improving customer service and quality.

F82

Short term goals are not shared by senior level management. Suppliers, customers, and other stakeholders are not informed or involved in short term planning decisions.

G82

Short term goals and plans are deployed to various groups and individuals within the organization. Employees receive regular updates on progress towards meeting short term goals. Other stakeholder groups, such as suppliers, are involved and updated on short term planning decisions.

F86

Long term strategic planning is not shared within the company. There are no long-term plans related to quality improvement.

G86

Long term plans are shared throughout the company, including with customers and suppliers. Progress in making quality improvements are also shared with employees, suppliers, and customers.

F90

Projections and targets are not shared with employees, customers, suppliers, and other stakeholders. No comparative benchmarks are used by the organization.

G90

Long term projections and targets have been established. These projections are developed in relation to competitive benchmarks. Both long term and short term forecasts are made only after benchmark comparisons have been made.



Category Sub Catg Scored70%60%60%50% 60% 35 21

90%70%70%60% 73% 25 18

Total Points 60 39

Strategic planning is used regularly to develop goals and objectives for improving quality. All levels of thecompany participate in some form of strategic planning. Employees, suppliers, customers, and otherstakeholder groups are actively engaged in strategic planning decisions. Management is very involved inplanning related activities. Strategic planning includes key performance indicators, surveys, benchmark data, and other quality information to ensure that strategic planning is strong and viable for all parts of

The organization has established a complete strategic plan for addressing quality improvement, includingmission, vision, goals, specific tasks, targets and programs. A broad planning process is used, involvingcustomers, suppliers, and employees. The strategic planning process includes key quality indicators,benchmarks, and other quality information. Operating plans are developed throughout the entire company,linked to the company's overall strategy. Managers are held accountable for meeting strategic goals.

Key organizational units have operating plans in place, linked to the company's overall strategy. Managersare held accountable for meeting strategic goals. The strategic planning process uses some key indicators,surveys, and other benchmark data. Senior level management approves the final strategic plan.

Key functional parts of the organization have strategic goals. The overall organization does have a strategicplanning process. Some involvement from customers and suppliers does take place within the strategicplanning process. Customer data is used to assist with strategic planning. Senior management approves

Strategic planning is not visible or understood within the organization. Senior management develops the

strategy with no input from customers, suppliers, employees, or other stakeholder groups. The strategic

CriteriaScore

How is overall planning integrated into lower level planning at business unit levels and department levels for short term and long term decisions?

70%

Does the organization re-align or re-engineer a process to make sure it

60%

60%

50%

90%

How effective is the company at sharing and deploying its short termgoals with employees, suppliers, and others who have to execute on

70%

70%

How does the organization project out benefits from long term and short

60%

L58



Category 4: Human Resources (150 points)

Summarize Human Resource ScoreHR Planning and Management:

4.01 Human resource plans linked to strategy4.02 Human resource plans linked to quality improvement goals4.03 Use of employee data for improvements

Employee Involvement:4.04 Incentives for employee involvement in quality improvement4.05 Empowerment of employees for quality improvement4.06 Measure and monitor employees for quality improvement4.07 Wide spread involvement and key indicators

Education and Training:4.08 Development of training and education programs4.09 Link between training and the job4.10 Measure the impact of training as it relates to the job4.11 Measure by various categories

Employee Performance & Recognition:4.12 Reward and recognition for quality contributions4.13 Review and improve various recognition programs4.14 Trend data on recognition programs4.15 Continuous improvement of various programs

Employee Satisfaction:4.16 Development of employee services4.17 Assessment of employee satisfaction4.18 Trend data on employee services

Human Resource Scoring

80% to 100% range:Full implementation and integration of employee growth plans, including training programs,career development paths, evaluation / self-awareness processes, compensation, empowerment,and measurable results. Very high levels of involvement by employees in day to day operationsand planning the business. People work well within teams and across organizational functions.Strong recognition programs are in place for rewarding employees who improve quality. The organization is very sensitive to the needs and requirements of employees, working hard to makesure employees are productive and satisfied.

60% to 80% range:Senior management and most middle level managers are very supportive of strong human resourcepractices to build and develop employees. Work teams and groups are empowered, providing valuableimprovements in almost every part of the business. Employees have quick access to data for analysisand sharing of information in most parts of the company. Employee ideas for making improvementsis strongly encouraged and acted upon throughout most of the organization.

F5


40% to 60% range:Many parts of the organization have empowered their employees through cross functional teams and thesharing of information. The company has an overall plan to fully develop its human resource capital.Employees are rewarded for making improvements to quality. Management supports the development ofemployees in many parts of the organization. The organization is sensitive to the needs of employees.

20% to 40% range:Employee empowerment is not encouraged throughout the company. Rewards and recognition for quality improvement is not fully deployed at all levels within the company. Most of the focus is on individual employee recognition and not teams or groups. Not all employee development programs arelinked to the company's strategy and quality objectives. The organization does not consistently supportthe needs and requirements of employees.

0% to 20% range:Training and fundamental development of employees is not widely practiced. Few employees are empowered and no priority is given to building the human resources of the company. Reward andrecognition programs are not focused on employee performance and quality improvement. A few managers support human resource development, but no real leadership exists from the top.

Enter Scores for Human Resource Criteria


4.01 Are human resource plans driven by the company's strategy to improvequality; i.e. training, hiring, empowerment, teams, etc.?


4.02 Are the company's human resource strategies related to quality improvement goals?


4.03 How does the organization use employee related data to improvehuman resource management (hiring practices, training, etc.)?


4.04 How does the organization promote employee contributions toquality performance goals?


4.05 Does the organization give employees the authority and support for solving problems and making improvements within their work area?


4.06 Does the organization measure and evaluate the effectivenessof employee involvement, empowerment, and innovation?


4.07 Does the organization encourage employee involvement at all

F78

The performance and development of employees is not connected or reinforced by the company's quality improvement goals. Training, hiring, and other human resource practices do not take into account the quality values and goals of the company.

G78

Human resource plans and practices are integrated with the company's strategies for customer focus and quality. The strategic plans of the company are reflected in how employees are managed. A team culture and support network help ensure that high level strategies are driven into how people are evaluated and managed within the company.

F82

No process is in place to connect human resource practices (hiring, recruitment, etc.) with the organization's quality culture. Human resource plans and policies are not reflective of the company's quality goals and strategies. The company has above average turnover for its industry.

G82

Employee teams and other parts of the organization are always looking for ways to improve personnel policies and practices. Quality improvement is highly reflected in how people are managed. Human resource plans include targets and goals for improving various employee practices. Employees are encouraged to provide input into how personnel processes can be improved.

F86

Employee related data and input is not used for improving human resource practices. All improvements within human resources is very limited and restricted, narrowly focused on what is required by law and not what is needed for improving quality.

G86

Employee satisfaction surveys and other participative approaches are used to help improve human resource management. Data is collected on several human resource practices, including turnover rates, absenteeism, safety, advancements, productivity, exit interviews, and other techniques to drive improvement.

F90

Employee contributions are not recognized or encouraged. Only contributions by senior management is recognized and many of these contributions are "stolen" from others in the organization.

G90

Employees and employee teams are regularly recognized for their contributions to meeting quality performance goals. Awards and other incentives are part of the company's culture for motivating employees in meeting performance goals.

F95

The organization is very bureaucratic and rigid. The formal structure does not allow employees any real authority or autonomy when it comes to decision making. Employees who take risk and innovate are penalized for such actions.

G95

Employees throughout the company are empowered and free to make decisions and solve problems. Innovative approaches are strongly encouraged and rewarded by management. Management strives to empower workers for process improvement and decision making.

F99

There is no review and consideration of company culture and leadership when it comes to empowering the workforce. No tests, surveys, or other measurements are taken on employee satisfaction, problem solving, and innovation. Management shows no concern for empowering the workforce or overall employee satisfaction.

G99

Employee satsifaction is measured and evaluated to determine how effective employees are empowered. Obstacles and impediments to employee involvement are identified and management works to remove these barriers so that employees can control their work areas. Focus groups are also used to help ensure strong involvement by all employees.

levels and does the organization have key indicators to monitoremployee involvement?


4.08 Does the organization systematically assess the needs of theworkforce and develop plans for training and education at various levels and categories of employment?


4.09 Is actual training of the employee reinforced as part of the joband actually applied to the work area?


4.10 Does the organization use indicators to assess that training ishelping to improve both the employee and the quality of workwithin the respective work area?


4.11 Does the oganization measure employee training by job category?


4.12 Does your performance and recognition system support qualityimprovement goals?


4.13 Does the organization regularly review and improve its compensation,performance measurement, and recognition programs?


4.14 Does the organization have evidence and data on employeerecognition programs, such as types of awards, locations, andother trend information over the last few years?


4.15 Does the organization continuously work to improve safety,health, morale, and overall satisfaction of its employees?


4.16 Does the organization work proactively to develop employeeservices, such as day care, car pooling, and other services that enhance overall employee satisfaction?


4.17 How does the organization assess and evaluate overall employee satisfaction?


4.18 Does the organization have supporting data related to improvements for employees, such as safety, absenteeism,turnover, grievances, customer complaints, and other quality

F104

No system is in place to monitor employee satisfaction and involvement. Management discourages any key measurements related to empowering the workforce.

G104

The organization has a formal tracking system for evaluating employee involvement. Management strongly encourages employees to get involved. A formal suggestion system is in place, backed up by a reward program. Key indicators are used to gauge employee involvement at all levels of the organization.

F109

No effort is made by the company to identify training needs. The input of employees is not sought out for identifying training and educational needs.

G109

The organization regularly conducts a needs assessment of the workforce. From this assessment plans are created and implemented to provide employees with training and educational programs. Training and development of the workforce is integrated into the company's overall strategic goals and objectives.

F113

No training programs are provided for employees. Only on-the-job training is present. There are no plans to develop the workforce through training and educational programs.

G113

Training throughout the company is tailored to the job and fits well with the work area and responsibilities of the job. Each job category has its own unique training path and this training is reinforced as a pre-requisite for career advancement. All training programs are integrated into the company's overall plans for building the human resource capital of the organization.

F118

There are no course evaluations or feedback on training programs. No evidence is collected to improve the quality of training programs when they are offered.

G118

Upon completion of training, employees are asked to evaluate courses so that improvements can be made to future courses. Managers also monitor how effective training is on the work area - does it enhance quality and performance. Training is focused and measured against improving job performance and operating performance in the work area.

F122

Training results are not measured. Training programs are not segmented by job category. There is no coordination or control over training in the workforce.

G122

Trending and other results are measured to determine the overall effectiveness of training. Measurements are done by employee groups or categories.

F126

Quality improvement is not recognized by the company. No performance or recognition program is in place to drive quality improvements within the company.

G126

Quality improvement goals are supported by employee recognition and reward programs. The company's performance, recognition, promotion, compensation, and other personnel policies are integrated with the company's quality improvement goals and strategies.

F130

Senior management does not use any process for evaluating and improving employee recognition programs, compensation plans and other human resource practices. Employee input is not sought to improve how people are managed. Key performance indicators are not used to improve quality and operating performance.

G130

Employee surveys and other measurements are taken to examine and improve employee performance and management practices. Senior management uses employee focus groups to build strong recognition programs and enhance overall organizational performance.

F135

There is no recognition program in place. No trend data is captured for employee reward and recognition programs.

G135

The company keeps track of both informal and formal employee recognition programs. Trend data shows a steady improvement between the recognition programs and quality improvement. The company collects and evaluates data on all employee reward and recognition programs.

F139

The company does not have anyone designated for employee safety and health. Senior management is not aware or concerned about employee satisfaction and morale.

G139

The company has several programs related to employee safety and health. Programs are regularly reviewed and examined to keep them current and effective. Overall employee well being and satisfaction is very important to management.

F144

The company does not proactively develop employee related services. Special services are only available to senior management and not employees.

G144

The company subsidizes and/or provides many special services for employees, such as child care, drug rehabilitation, literacy assistance, and other special services. The company regularly assesses and evaluates the quality of these programs and stays on top of current trends in employee services, such as self help through the internet.

F148

No effort is made by management to gauge and assess employee satisfaction. No methods or processes are in place for improving the quality of employees.

G148

Surveys and other techniques are used to assess employee satisfaction. Focus groups are deployed throughout the company to discuss and develop ways of enhancing employee morale and satisfaction.

factors that demonstrate employee satisfaction?0% 100% Enter % score =>

F154

No benchmarks are used for assessing employee satisfaction, either internally or against the competition. The company does not consider employee satisfaction important.

G154

The company's quality improvement processes include an emphasis on employee satisfaction and well being. Benchmark data is used to evaluate the effectiveness of how employees are managed and used to improve employee morale and productivity.



Category Sub Catg Scored70%60%70% 67% 20 13

70%60%60%60% 63% 40 25

70%60%70%70% 68% 40 27

70%60%60%80% 68% 25 17

70%60%60% 63% 25 16

Total Points 150 98

Full implementation and integration of employee growth plans, including training programs,career development paths, evaluation / self-awareness processes, compensation, empowerment,and measurable results. Very high levels of involvement by employees in day to day operationsand planning the business. People work well within teams and across organizational functions.Strong recognition programs are in place for rewarding employees who improve quality. The organization is very sensitive to the needs and requirements of employees, working hard to make

Senior management and most middle level managers are very supportive of strong human resourcepractices to build and develop employees. Work teams and groups are empowered, providing valuableimprovements in almost every part of the business. Employees have quick access to data for analysisand sharing of information in most parts of the company. Employee ideas for making improvements

Many parts of the organization have empowered their employees through cross functional teams and thesharing of information. The company has an overall plan to fully develop its human resource capital.Employees are rewarded for making improvements to quality. Management supports the development ofemployees in many parts of the organization. The organization is sensitive to the needs of employees.

Employee empowerment is not encouraged throughout the company. Rewards and recognition for quality improvement is not fully deployed at all levels within the company. Most of the focus is on individual employee recognition and not teams or groups. Not all employee development programs arelinked to the company's strategy and quality objectives. The organization does not consistently support

Training and fundamental development of employees is not widely practiced. Few employees are empowered and no priority is given to building the human resources of the company. Reward andrecognition programs are not focused on employee performance and quality improvement. A few managers support human resource development, but no real leadership exists from the top.

CriteriaScore

Are human resource plans driven by the company's strategy to improve

70%

60%

70%

70%

60%

60%

L74


60%

70%

60%

70%

70%

70%

Does the organization regularly review and improve its compensation,

60%

60%

80%

70%

60%


Category 5: Process Management (140 points)

Summarize Process Management ScoreDesign & Introduction of Products and Services:

5.01 Customer information for design of products / services5.02 Design and testing of new products / services5.03 Life cycle management

Production and Delivery Processes: 5.04 Control over processes, including errors and defects5.05 Systematic approach for evaluation and assessment

Business and Support Service Processes: 5.06 Quality control in business and support service processes5.07 Use of key indicators5.08 Identification of areas for improvement

Supplier Quality: 5.09 Communication of quality standards to suppliers5.10 Quality assurance program 5.11 Evaluation and improvement of procurement process5.12 Cooperative relationship with suppliers

Quality Assurance: 5.13 Audits and assessments of products and services5.14 Resolve and correct errors, defects, and other issues

Process Management Scoring

80% to 100% range:Processes are well documented and controlled throughout the entire company. Practices are in place toconsistently evaluate and improve processes. Critical processes are subject to rigid assessments on aregular basis. Analytical techniques are in place to identify and solve process management issues. Partnerships with suppliers and other stakeholders have been established to better manage processes forthe benefit of all players. 60% to 80% range:Most parts of the business have documented and controlled their processes. There is a strong practice in placefor assessing and improving a process throughout almost every part of the organization. There is a strong emphasis on supplier quality and partnering with other stakeholders to improve processes. Comprehensiveassessments are made of critical processes to ensure the company is meeting customer requirements. Analytical problem solving tools are used in almost every part of the business to identify and improve processes.

40% to 60% range:Many parts of the business are driving process improvement with the use of customer data. Standards are used in many parts of the business to control the process. Problem solving tools are used in most parts of theorganization for analyzing and improving a process. Many parts of the business regularly assess their critical

F5


processes. Preventitive measures are used to help monitor and ensure that quality standards are met.

20% to 40% range:The emphasis on process management is more on evaluate and react as opposed to preventitive control measures.Suppliers are managed based on costs and not strong business relationships for process improvement. Problem solving tools are used in some parts of the business. Core processes are subject to assessments and evaluations.Some customer input is sought in pursuit of process improvement.

0% to 20% range:Quality assurance managers are solely responsible for making improvements to the business processes. No supplieror customer input is sought in trying to improve core processes. Suppliers are not viewed as partners in helping runthe business. Very few if any problem solving tools are in place for analyzing and identifying process problems. Processes may get evaluated, but no real emphasis is made on prevention.

Enter Scores for Process Management Criteria


5.01 Does the organization systematically gather customer needs and desires, and then translate these customer inputs into revisions, modifications, or other standards for products / services?


5.02 How does the organization design and test a new product or service?


5.03 Does the organization evaluate and shorten the design processesfor new products and services?


5.04 Does the organization have control over processes, including controlover variations and defects in processes that are used for producingand delivering products and services?


5.05 Does the organization use a systematic and standard approach to evaluating processes for better quality, cycle times, defects,and other operating performance attributes?


5.06 How does the organization manage quality control as it relates to routine business processes and support services (such as human resource, finance, legal, payroll, public relations, etc.)?


5.07 Does the organization capture, maintain, and use key indicatorsfor business and support services?


F73

No process is in place to collect customer data for product or service revisions. Products and services are not developed from customer needs and requirements.

G73

Surveys and other techniques are used to obtain customer needs and wants. Customer focus groups are used at different customer segments and markets to assess how products and services should be designed. Product development is very much a customer driven process.

F77

No process or system is in place regarding testing new products and services. No research or methodology is deployed to ensure quality in the design and testing of products and services before they are introduced into the marketplace.

G77

Well documented design qualifications and procedures are in place for testing new products and services. All designs are validated through testing before production and introduction to customers.

F81

No procedures are in place for reducing cycle times. There is no effort underway to improve design process times. Product and service design processes are not evaluated for improvement.

G81

Pilot programs are used to test and evaluate ways of reducing cycle times. Formal programs such as Six Sigma are deployed for making design processes seamless and efficient, reducing the time required for introducing new products and services.

F86

No controls are in place related to processes. No input to output checks are made, no internal audits of processes, no quality control tests, or other control measures are deployed over processes to produce and deliver products and services.

G86

The company has a rigorous and systematic process for making sure process outputs meet planned expectations and defects or errors are minimal. Various types of controls such as control charts, are used throughout the company to gain control over processes.

F91

The company is way too bureaucratic and formal to encourage operating personnel to evaluate and improve process performance. Employees are penalized for trying to innovate processes and make improvements.

G91

Employees at all levels are empowered to take charge over their processes, working with the support of various programs and approaches for improving, changing, and innovating processes. This is reinforced by recognition and reward programs for changes that improve a process.

F96

The company does not measure the business and support service processes. The company makes no effort to determine the source of problems behind process problems, including those processes that are out-of-control in terms of effectiveness or costs.

G96

Standards for business and support services are followed through various approaches such as Enterprise Resource Planning. Processes are well documented and seamless across the entire organization with minimal bottlenecks and inefficiencies. A standard approach is followed to evaluate and gain control over an out-of-control process.

F100

The company is too bureaucratic and rigid, not encouraging managers and employees to measure and improve business and support services. No measurements are captured related to business and support services. There is no emphasis on innovation and change within the company.

G100

Managers and employees at all levels are strongly encouraged to make improvements and innovate their respective work areas. Key indicators are used to track progress. This is backed up by training and support for performance measurement, including recognition and reward for meeting targets.

5.08 How does the organization identify areas for improvement?0% 100% Enter % score =>

5.09 Does the organization clearly communicate quality standardsand requirements to suppliers?


5.10 Does the organization have a quality assurance process to ensure that suppliers are meeting quality requirements?


5.11 Does the organization evaluate and improve its procurementpolicies and practices?


5.12 Does the organization have a cooperative relationship with itssuppliers, including reward programs, certification and otherpolicies that build long-term relationships?


5.13 Does the organization audit or evaluate its products and services,including the systems and processes that create and manageproducts and services?


5.14 Does the organization regularly followup with assessments andeffectively corrects the problem or resolve the issue that wasidentified?


F103

No method or approach is in place to improve various processes. The company does not consider continuous improvement as an important goal, including basic goals such as shorter cycle times, fewer defects, and basic operating performance.

G103

The company uses benchmarks and market data to ascertain where improvements are needed. Formal programs such as Six Sigma are also deployed to identify how processes can be improved. Additionally, process improvement is very outreaching - involving suppliers and customers on how the company can improve quality, lower cycle times, and enhance operating performance.

F107

No procedure or process is in place for communicating quality requirements. Vendors and suppliers are not subject to certification. The company has no interest in trying to control supplier performance.

G107

A formal certification process is in place for suppliers. A set of quality requirements is part of supplier management. The company works with suppliers to see that they can meet quality standards and requirements.

F111

The organization has no process for making sure suppliers are meeting quality requirements. No supplier feedback is sought for making sure quality is met. The company is only focused on finding the lowest cost provider with no regard for quality.

G111

A formal process is in place for testing and evaluating quality requirements. The company tracks supplier performance and communicates certain information in the form of a supplier report card. The company works directly with the supplier to make sure quality requirements can be met.

F115

The company is satisfied with its procurement process and makes no attempt to evaluate it or improve it. Suppliers are not viewed as partners in the business. Suppliers play no role in quality improvement.

G115

The company regularly evaluates its procurement process, making sure it uses best practices, technology, and other quality factors that make the overall process effective and efficient. Productivity, waste, and other factors are reviewed with company-supplier teams.

F120

The company does not make an attempt to communicate with its suppliers. There is no real business relationship. Suppliers are only viewed in relation to costs.

G120

The company uses several programs and approaches for building long-term relationships with its suppliers, including reward and recognition programs for strong supplier performance. The company also has a certification program for suppliers who can meet several important standards.

F125

The company has no audit or evaluation process. Employees are not involved in evaluating design mplementation, assessment and processes related to products and services.

G125

Assessments and evaluations are routinely conducted against products and services, including customer surveys, feedback, complaint reviews, market data, and other benchmark data. Additionally, critical systems related to products and services are audited for quality and performance.

F130

No process assessments are done. There is no preventative approach to problem solving. Only major out-of-control problems get the attention of management.

G130

Assessment results are analyzed and traced to sources of problems. Sources of problems are corrected to drive continuous improvements. Teams are assigned throughout the company for problem solving, including setting up timelines and plans for implementing solutions.


Category 5: Process Management (140 points)Avg % Total Total

% score by Sub Points by Points Category Sub Catg Scored80%70%80% 77% 40 31

70%70% 70% 35 25

70%80%80% 77% 30 23

80%80%80%70% 78% 20 16

80%70% 75% 15 11

Total Points 140 105

Processes are well documented and controlled throughout the entire company. Practices are in place toconsistently evaluate and improve processes. Critical processes are subject to rigid assessments on aregular basis. Analytical techniques are in place to identify and solve process management issues. Partnerships with suppliers and other stakeholders have been established to better manage processes for

Most parts of the business have documented and controlled their processes. There is a strong practice in placefor assessing and improving a process throughout almost every part of the organization. There is a strong emphasis on supplier quality and partnering with other stakeholders to improve processes. Comprehensiveassessments are made of critical processes to ensure the company is meeting customer requirements. Analytical problem solving tools are used in almost every part of the business to identify and improve processes.

Many parts of the business are driving process improvement with the use of customer data. Standards are used in many parts of the business to control the process. Problem solving tools are used in most parts of theorganization for analyzing and improving a process. Many parts of the business regularly assess their critical

processes. Preventitive measures are used to help monitor and ensure that quality standards are met.

The emphasis on process management is more on evaluate and react as opposed to preventitive control measures.Suppliers are managed based on costs and not strong business relationships for process improvement. Problem solving tools are used in some parts of the business. Core processes are subject to assessments and evaluations.

Quality assurance managers are solely responsible for making improvements to the business processes. No supplieror customer input is sought in trying to improve core processes. Suppliers are not viewed as partners in helping runthe business. Very few if any problem solving tools are in place for analyzing and identifying process problems.

CriteriaScore

80%

70%

80%

Does the organization have control over processes, including controlover variations and defects in processes that are used for producing

70%

70%

70%

80%

L68


80%

80%

80%

80%

70%

80%

70%


Category 6: Operating Results (180 points)

Summarize Operating Result ScoresProduct and Service Quality Results:

6.01 Historical data on product and service quality6.02 Competitive benchmarking

Operating Results: 6.03 Measurement of operating results6.04 Competitive benchmarking

Business and Support Service Results: 6.05 Data collection and measurement6.06 Best in class benchmarks

Supplier Quality Results: 6.07 Measurement of supplier results6.08 Comparable benchmarks

Operating Result Scoring

80% to 100% range:Customer satisfaction and other measurements clearly show high levels of customer satisfaction and loyalty.Overall trends are very positive when it comes to improving processes throughout the entire company, includingprocesses that cut across business functions and stakeholder groups. Any negative trend is immediately actedupon with a plan for turning the trend around. Supplier data also shows strong positive trends in making improvements within the supply chain. Support services have shown solid results in making processes veryefficient and effective.

60% to 80% range:Most operating performance indicators are very positive. Customers and supplier surveys and other indicatorsshow solid improvement over the last few years. Comparative measurements and benchmarks reveal that thecompany is ranked in the top of its industry for most core processes. Most parts of the organization havedemonstrated through measurement numerous improvements - better quality, higher productivity, lower costs,lower cycle times, etc.

40% to 60% range:Customer satisfaction surveys indicate positive results and critical supplier standards are being met. Comparativeand benchmark measurements are documented and in place within key areas of the company. All major keyperformance indicators are favorable for critical parts of the organization.

20% to 40% range:Product and/or service results are showing signs of improvement. Additionally, customer surveys indicate someimprovement. Some suppliers are able to meet quality standards, however more improvements are needed. Some parts of the business are showing positive trends. Measurements for monitoring results throughout theentire organization are not yet in place. More comprehensive results are needed.

F5


0% to 20% range:There is only minor evidence of performance improvement. Overall, results are not favorable. Key indicators suchas customer satisfaction are not measured. Supplier improvements are not measured. No comparative benchmarksare used to monitor results. Only a few parts of the organization are measuring improvements.

Enter Scores for Operating Result Criteria


6.01 Does the organization have at least two years of data related to quality improvements in its products and services?


6.02 How does the organization compare its quality results withthe competition?


6.03 Does the organization measure operating performance (cycle times,productivity, defects, errors, etc.)?


6.04 How does the organization's operating performance compare withthat of the competition?


6.05 Does the organization collect quality improvement data related togeneral business and support services?


6.06 Does competitive benchmarking indicate that the organizationis better than the overall industry and a world leader?


6.07 Does the organization measure and track supplier results andquality?


6.08 How does the supplier's quality results compare to that ofother comparable suppliers?


F65

No - The company has no evidence for tracking product or service quality during production or after production. Management does not consider this important.

G65

The company tracks product and service quality on a continuous basis, during both production and after delivery. Overall trends show positive improvements with improving quality.

F69

No benchmarking is done against the competition. Managers and employees do not have access to competitive information. Competitive analysis is not considered important.

G69

Competitive benchmarking is used throughout the company to evaluate quality in relation to its competition. Specific managers and personnel are responsible for collecting and analyzing competitive data. Management is very interested in comparing its quality results against the competition.

F73

The organization does not collect data related to operating performance. No measures are in place to evaluate overall organizational performance.

G73

The company's strategy and goals include objectives and targets for driving improved operating performance. Several types of measurements are deployed throughout the company for tracking operating results. Overall trends over the last few years are positive, showing signs of improved performance.

F77

The organization does not collect measurement data related to the competition. No comparisons are made against the competition.

G77

The organization collects benchmark data related to the competition. Best in class benchmarks are used to help drive the organization to top ranked performance. Key benchmarks and indicators are used for improving product and service quality, in all stages such as design, production, and delivery.

F81

No quality improvement data is collected related to business processes and/or support service processes. Strategic operating plans do not include or address improvements in business and support services.

G81

All business processes and support service processes are evaluated for quality. Key measurements are used to drive improvement, such as cycle times, fewer errors, turnaround times, customer complaints, etc.

F85

The organization does not use benchmarking data to monitor the competition or improve performance. Performance data is not shared within the industry or with best in class practices.

G85

Benchmarks are used to drive improvements and move the organization to best-in-class with its processes and operating performance. Comparative measurements are used to ensure that the company is a leader in the industry. Other secondary sources of information, such as analyst reports, are also used to provide competitive intelligence on future expected changes in the industry.

F89

Quality audits and reviews of suppliers is not performed. The organization has no vendor and/or supplier program related to quality.

G89

Quality programs and reviews are in place for vendors and suppliers. Performance is tracked and monitored.

F93

The organization does not use benchmarking in relation to suppliers. Supplier quality results are not compared or evaluated within the industry.

G93

Quality benchmarks are used for comparing suppliers and vendors within the industry to ensure that high quality parties are selected as business partners. The organization compares supplier quality at both the industry level and at the competitor level to monitor trends.



Category Sub Catg Scored80%70% 75% 70 53

70%70% 70% 50 35

70%60% 65% 25 16

70%60% 65% 35 23

180 127

Customer satisfaction and other measurements clearly show high levels of customer satisfaction and loyalty.Overall trends are very positive when it comes to improving processes throughout the entire company, includingprocesses that cut across business functions and stakeholder groups. Any negative trend is immediately actedupon with a plan for turning the trend around. Supplier data also shows strong positive trends in making improvements within the supply chain. Support services have shown solid results in making processes very

Most operating performance indicators are very positive. Customers and supplier surveys and other indicatorsshow solid improvement over the last few years. Comparative measurements and benchmarks reveal that thecompany is ranked in the top of its industry for most core processes. Most parts of the organization havedemonstrated through measurement numerous improvements - better quality, higher productivity, lower costs,

Customer satisfaction surveys indicate positive results and critical supplier standards are being met. Comparativeand benchmark measurements are documented and in place within key areas of the company. All major key

Product and/or service results are showing signs of improvement. Additionally, customer surveys indicate someimprovement. Some suppliers are able to meet quality standards, however more improvements are needed. Some parts of the business are showing positive trends. Measurements for monitoring results throughout the

There is only minor evidence of performance improvement. Overall, results are not favorable. Key indicators suchas customer satisfaction are not measured. Supplier improvements are not measured. No comparative benchmarksare used to monitor results. Only a few parts of the organization are measuring improvements.

CriteriaScore

80%

70%

Does the organization measure operating performance (cycle times,

70%

70%

70%

60%

70%

60%

L61



Category 7: Customer (300 points)

Summarize Customer ScoresCustomer Expectations:

7.01 Determining customer requirements7.02 Determining new products and services7.03 Processes for determining customer requirements

Customer Relations Management: 7.04 Approaches and methods for building relationships7.05 Standards and processes for engaging with customers7.06 Maximize opportunities for customers to engage7.07 Quality of customer relationship7.08 Use of customer feedback7.09 Internal support for personnel dealing with customers7.10 Evaluation of customer relationships

Customer Commitment: 7.11 Building trust and confidence with customers7.12 Image and reputation for quality

Determining Customer Satisfaction: 7.13 Determining customer satisfaction by segment7.14 Customer satisfaction in relation to competition7.15 Evaluation methods for competitive comparisons

Customer Satisfaction Results: 7.16 Trending analysis on satisfaction and retention7.17 Use of adverse customer indicators

Customer Satisfaction Comparison: 7.18 Customer satisfaction metrics vs. competition7.19 Measurement of customer turnover or churn7.20 Market share trends in relation to quality

Customer Scoring

80% to 100% range:A complete set of customer metrics (surveys, focus groups, exit interviews, etc.) reveals very strong performance for meeting customer needs and requirements. Additionally, measurements are trackingcustomer repurchase patterns and other behavior relative to the competition and these measurementsare also very favorable. Management is very focused on the customer. Customer service and relationshiptraining and development is mandated throughout the entire company. The organization is very customer driven, constantly trying to stay connected to the customer for improving quality and service.Products and services have reputations for quality in the eyes of the customer, leading to customer loyalty.

60% to 80% range:Effective customer feedback systems are in place, ensuring continuous improvement with customer service.Management is very focused on the customer, promoting programs that enhance customer relationships.Senior management is very receptive to new ideas on how to improve customer service. Specific customerrelated training is available and customers have easy to access resources for resolving their issues.

F5


40% to 60% range:Customer surveys are used throughout the company for continuous improvements. Customer contacts arewell trained for servicing the customer base. The company promotes customer awareness and satisfaction.Systems are in place for moving customer feedback into various product and service lines.

20% to 40% range:Most customers are identified; however there is no overall system for collecting continous feedback to improve customer service. Quality standards are improved for some products and services in order toimprove customer service. The future needs of customers is not considered. Senior management is notalways receptive to new ideas for improving customer service. Some customer groups are segmented andmanaged differently than others.

0% to 20% range:Few if any customer standards are in place. Most of the focus is on solving a customer's problem once itoccurs, but little emphasis is placed on trying to improve the overall process and prevent the same problemfrom recurring again. Customer feedback is poor and rarely considered when developing service and products.The main form of customer feedback is customer complaints. Products and services have bad reputationsfor quality in the eyes of the customer.

Enter Scores for Customer Criteria


7.01 How does the organization determine current and long-term customer requirements?


7.02 How does the organization determine new products and services as well as new features for existing products and services?


7.03 How does the organization improve its processes for identifying customer needs and requirements?


7.04 How does the organization build strong relationships with itscustomers?


7.05 What does the organization do to develop customer servicestandards and processes that gives the organization theability to engage with the customer?


7.06 How does the organization maximize opportunities for customers to comment and engage with the business?


7.07 How effective is your contact with the customer regarding yourproducts and services?


F82

No customer surveys, focus groups, or other approaches are used to ascertain the needs and requirements of customers. Customers are not segmented and evaluated for their unique expectations.

G82

Both current and longterm customer needs and expectations are evaluated using surveys, focus groups, market research, benchmark data, and other analysis. There is a continuous flow or feedback from the customer back to design of products and services. Marketing and other personnel who have contact with customers are always seeking out ways to improve products and services when they have contact with the customer. The customer drives much of the process for product and service development.

F86

The company does not study or evaluate competitive products and services. The company does not benchmark products and services against the competition. The organization does not connect with customers to ascertain new product or service features.

G86

Cross functional teams are deployed throughout the company to study and evaluate competitive products and services. Customer contacts are trained to meet with customers and find out the needs or expectations of customers. Various levels of the organization are focused on the customer and the competition for planning new products and services or making changes to existing products and services. Continuous research takes place to pick up on future trends for new product development.

F90

The organization does not engage with the customer and simply reacts to the needs of customers when a complaint is filed. The organization is not pro-active in trying to ascertain customer requirements. No process exists for driving product and service development based on the customer.

G90

Customer focus groups, research, and other approaches are used to continuously monitor customer needs and expectations. Research is on-going for determining future trends and shifts in customer preferences by region or category. The organization has a seamless and efficient process in place that allows the customer to "get involved" in how the business designs its products and services. Processes make it very easy for the customer to do business with the company and provide feedback.

F94

No process or strategy is in place to address customer relationships. The company does not understand the importance of customer relationships. No surveys or interviews are conducted with customers.

G94

Regular followups as well as roundtable sessions are conducted with customers to get them involved in the business and build strong relationships. The company has several approaches and processes in place to help connect with customers and build relationships. Intelligence is used to help build "customized" relationships with customers as opposed to one size fits all.

F99

There is no training or development for employees, managers, and others on how to deal with customers. There are no defined standards on customer relations or service.

G99

Customer contact personnel are trained in state of the art customer relations skills. Customer service standards are well developed and distributed throughout the company. The company is always trying to improve its skills and abilities in dealing with customers.

F103

Customer input is not encouraged or sought. It is difficult for the customer to get through and reach the company. Very little attention is given to making it easy for customers to express feedback and comments about products and services.

G103

Customers have numerous options for interacting with the company, such as on-line web services, toll free numbers, direct personal contact from company representatives, etc. The company also provides focus groups, surveys, and other ways for customers to engage with the business. Customer Relations Management is integrated into various systems, processes and strategies of the organization.

F107

There is no process in place to gauge or evaluate the effectiveness of customer relations, such as followup with a customer to see that their issue was resolved in a satisfactory manner. The organization does not consider customer satisfaction to be high priority.

G107

Processes are in place to evaluate and monitor customer feedback and complaints. Patterns or trends or isolated and acted upon in a very timely manner. The company has standard followup procedures when dealing with customers, making sure that products and services met their expectations and if not, immediate action is taken to satisfy the customer (even if the company has to use a competitive solution).

7.08 How does the organization use customer feedback and complaints?


7.09 How does the organization ensure that customer contact employees are properly aligned with customer segments, including proper training and tools for dealing with specificcustomers?


7.10 How does the organization evaluate its relationships withits customers?


7.11 How does the organization build trust and confidence in itsproducts and services?


7.12 How does the organization evaluate and improve the customer'sperception of the organization's commitment to quality?


7.13 How does the organization determine customer satisfaction within its customer segments?


7.14 How does the organization's customer satisfaction rating compareto its competition?


7.15 How does the organization evaluate and improve its approach toanalyzing customer satisfaction in relation to the competition?


7.16 Does the organization collect trend data on customer satisfaction and customer retention?


7.17 Does the organization measure negative related attributesof customer service, such as complaints, refunds, claims,returns, failure to rebuy or repeat, downgrades, etc.?


7.18 Does the organization measure customer satisfaction with products and services in relation to the competition's customer satisfaction with its products and services?


7.19 Does your organization measure customer turnover?0% 100% Enter % score =>

7.20 Do trends indicate that the organization's market share isincreasing as a result of quality improvement initiatives?


F111

The organization does not collect feedback from customers. There is no process for collecting and analyzing customer input.

G111

The organization collects all types of customer feedback and manages all customer data in a single database for analysis and intelligence in how to manage various customers. Information such as complaints are viewed as opportunities for improving products and services. Customer data is leveraged by integrating it into training of customer contact employees, various processes, systems, and strategies.

F117

Customer contact is not encouraged. Customer contact employees are not recognized for their service to customers. There is no selection and development of customer contact personnel in the company. An emphasis on building strong alliances with the customer does not exist.

G117

Customer contact is considered valuable. Customer contact employees are trained in best practices and given various tools to enhance their effectiveness when dealing with a customer, such as instant access to customer profiles and preferences. Employees who demonstrate excellence in dealing with customers are recognized and rewarded.

F121

There is no process or procedure for evaluating customer relationships. There is no training or development related to servicing customers. No measurements are in place to gauge if the organization is "engaging" with the customer.

G121

Processes and procedures are in place for routinely evaluating customer relationships. Service training is continuous and always improving so that contact personnel can improve how they service the customer. The company has widely published guidelines on customer service. Customer information is used to help improve customer service. Measurements are in place to monitor how effective the company is at engaging and interacting with customers.

F125

The organization does not back up its products and services with guarantees, warranties, or other understandings that convey confidence with quality. No program or process is in place to reinforce quality in the eyes of the customer.

G125

All products and services have backup support and gurantees. Customers can easily understand all guarantees and customers can easily followup and act whenever quality does not meet their expectation. Customers can easily access help and support to ensure that products and services meet their needs.

F129

No customer feedback is obtained to evaluate how customers understand the company's commitment to quality. No measurements or process is in place to gauge customer perceptions.

G129

The organization is continuously assessing how customers understand the company's commitment to quality, including research studies, comparative reports on quality, advertising, focus meetings with customers and other approaches. All products and services have "best practices" for support and gurantees in terms of quality. Quality standards that relate to customers are integrated with the company's marketing strategy.

F133

Management does not review customer satisfaction trends and information. No measurements are used for driving improvement with customer satisfaction. The company does not recognize different customer segments and groups. All customers are treated the same.

G133

Surveys, focus groups, market research, customer contact personnel, and other sources are used to ascertain customer satisfaction by customer groups, categories and other segments.

F137

No data exists on customer satisfaction and therefore, there is no basis for comparison to the competition. Management is not concerned about benchmarking customer satisfaction with competition and market trends.

G137

Customer surveys, focus groups, market research and other sources include assessment of competition. Management encourages employees to seek out competitive data and use it for comparing the company's practices against the competition. Support services, tools, and other training are readily available throughout the company for getting employees involved in doing competitive analysis.

F141

The organization has no process or procedure for comparing customer satisfaction against the competition. Management is not concerned about customer satisfaction within the industry or compared to competition.

G141

The organization has a process and procedure in place for regularly evaluating customer satisfaction in relation to its competition. This includes customer contact employees, surveys, focus groups, customer rating services, market research, and other sources.

F145

The organization does not collect and maintain historical data related to customer satisfaction and retention. Trending analysis is not used to determine customer satisfaction and retention.

G145

The organization collects and maintains trending data on both customer satisfaction and customer retention. Data is divided by various customer segments and groups. Trend data is used for planning purposes to pro-actively address customer related issues.

F150

There is no process in place to capture and monitor negative related actions by customers. No adverse customer indicators are used by the company. Customer dissatisfaction is not important to management.

G150

The organization is a leader in reducing negative customer indicators. Adverse customer indicators are openly shared with employees and others involved in servicing the customer. The company uses a complete set of indicators to gauge customer dissatisfaction by segment.

F155

The organization does not collect customer satisfaction data on itself or on the competition. Management is not concerned about how it ranks in customer satisfaction with its competition.

G155

The organization compares its customer satisfaction measurements with the competition, looking for trends. Past trends indicate a positive results making the company a world class company in terms of customer satisfaction when compared against the competition.

F158

The organization does not measure customer turnover rates or churn. No trend data is accumulated.

G158

Customer turnover or churn is measured and maintained for trending analysis. When customers no longer do business with the company, exit type surveys or interviews are used to ascertain reasons why.

F162

The company does not measure market share or market trends. Trending data is not used for gaining insights into future trends.

G162

Market share continues to improve as the company improves quality. Additionally, a strong focus on the customer is driving increased market share. Trend analysis is used to monitor market share and pro-actively strategize on how to hold or gain market share.



Category Sub Catg Scored70%70%60% 67% 35 23

70%70%60%70%80%70%70% 70% 65 46

70%80% 75% 15 11

70%80%70% 73% 30 22

70%60% 65% 85 55

60%70%70% 67% 70 47

Total Points 300 204

A complete set of customer metrics (surveys, focus groups, exit interviews, etc.) reveals very strong performance for meeting customer needs and requirements. Additionally, measurements are trackingcustomer repurchase patterns and other behavior relative to the competition and these measurementsare also very favorable. Management is very focused on the customer. Customer service and relationshiptraining and development is mandated throughout the entire company. The organization is very customer driven, constantly trying to stay connected to the customer for improving quality and service.Products and services have reputations for quality in the eyes of the customer, leading to customer loyalty.

Effective customer feedback systems are in place, ensuring continuous improvement with customer service.Management is very focused on the customer, promoting programs that enhance customer relationships.Senior management is very receptive to new ideas on how to improve customer service. Specific customerrelated training is available and customers have easy to access resources for resolving their issues.

Customer surveys are used throughout the company for continuous improvements. Customer contacts arewell trained for servicing the customer base. The company promotes customer awareness and satisfaction.Systems are in place for moving customer feedback into various product and service lines.

Most customers are identified; however there is no overall system for collecting continous feedback to improve customer service. Quality standards are improved for some products and services in order toimprove customer service. The future needs of customers is not considered. Senior management is notalways receptive to new ideas for improving customer service. Some customer groups are segmented and

Few if any customer standards are in place. Most of the focus is on solving a customer's problem once itoccurs, but little emphasis is placed on trying to improve the overall process and prevent the same problemfrom recurring again. Customer feedback is poor and rarely considered when developing service and products.The main form of customer feedback is customer complaints. Products and services have bad reputations

CriteriaScore

70%

70%

60%

70%

70%

60%

70%

L78


80%

70%

70%

70%

80%

70%

80%

70%

70%

60%

60%

70%

70%

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SWOT Assessment Usingthe Malcolm Baldrige Model

Quick Overview

Maximum Score1.0 Leadership 952.0 Information and Analysis 753.0 Strategic Planning 604.0 Human Resource Capital 1505.0 Process Management 1406.0 Quality and Operating Results 1807.0 Customer Satisfaction 300

Total Points 1000

Color Scoring

Your percentage scores are highlighted in one of three colors:

Good Score falls in a range between => 70%Caution falls in a range between => 50%Poor Score falls in a range between => 0%

Feel free to change these ranges to whatever you like!

Leadership Information and Analysis

Strategic Planning Human Resource Capital

Process Management

Quality and Op-erating Results

Customer Satis-faction

0

100

200

300

SWOT Summary Analysis

Maximum Score Your Assessment Score

The Malcolm Baldrige Quality Improvement Program provides guidelines for improving quality within an organization. 91 criteria are evaluated and scored for assessing overall quality performance within the organization. The 91 criteria fall into 7 categories, as summarized below:

F5




Process Management



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100

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300



Your Assessment Score Percentage 59 62% Color Scoring:50 67%39 65% Good overall score 98 65% Caution - needs to improve

105 75% Poor - needs major improvement 127 70%204 68%682 68%

100%69%49%

Feel free to change these ranges to whatever you like!



Process Management



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300



The Malcolm Baldrige Quality Improvement Program provides guidelines for improving quality within an organization. 91 criteria are evaluated and scored for assessing overall quality performance within the organization. The 91 criteria fall into 7 categories, as summarized below:



Process Management



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100

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300



For the Year Ended: 2002Revenue:

Gross Sales $2,010,000Less: Sales Returns and Allowances ($50,000)Net Sales $2,060,000

Cost of Goods Sold: Direct Material Cost $320,000

Direct Labor Cost $500,000 Other Direct Costs $125,000

Cost of Goods Sold $945,000Gross Profit (Loss) $1,115,000

Expenses:Advertising $5,000Amortization $3,000Bad Debts $1,000Bank Charges $1,000Charitable Contributions $2,133Commissions $11,000 Contract Labor $4,000Credit Card Fees $6,000Delivery Expenses $1,000Depreciation $3,000Dues and Subscriptions $1,000Exec/Owner salaries $190,000Insurance $1,000Interest $1,000Maintenance $1,000Miscellaneous $6,000Office Expenses $43,000Operating Supplies $18,000Payroll Taxes $14,000Permits and Licenses $6,000Postage $6,000Professional Fees $100Property Taxes $5,557Rent $4,000Repairs $6,000Telephone $1,000Travel $3,000Utilities $1,000Vehicle Expenses $6,000Wages $90,000Other $0Total Expenses $440,790Net Operating Income $674,210

Other Income:Gain (Loss) on Sale of Assets $10,000Interest Income $5,000Total Other Income $15,000

Income before tax $689,210Income taxes $137,842

Net Income (Loss) $551,368

SWOT Analysis

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