kay ogunbowale wk5 hia
TRANSCRIPT
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Kay Ogunbowale - Student ID: 15622462
A.
INTRODUCTION
Businesses operating in the 21st century are increasing faced with difficult
terrain with their customers playing critical roles in ensuring the survival
or extinction of the organisations. Pilbeam & Corbridge (2010) buttressed
the above point by explaining that increasing customers sophistication
and ability to get alternatives are some the key drivers for organisation
growth hence the focus on intangible values such as: Brand, reputation,
quality, efficient processes etc as pointed out by Oakland (2003). Hence
the focus on aligning the overall corporate strategy of the organisation
with the quality strategy to ensure that the organisation creates and
deliver quality products or services that would meet the needs of their
customers. Martins & Terblanche (2003) were of the opinion that an
organisation can stimulate growth and solid performance by focusing on
innovative concepts that would revolutionize their products or services.
Critical to an organisation implementing innovative concepts is the
adoption of Total Quality Management (TQM) methodologies that would
drive the organisations drive for growth or performance. This study would
consider the implementation of the BEST model in Philips Electronics and
application to Shell Nigeria while considering the business excellence and
quality preposition from Adebanjo.
BRIEF INTRODUCTION ABOUT PHILIPS ELECTRONICS
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Philips Electronics is one of the biggest electronic gadgets such as TVs,
lighting, washing machine, Steam irons etc. with about 240 production
facilities scattered and staff base of about 200+ scattered around the
world. The company was founded in 1891 by Gerard Philips in Eindhoven
and overall several decades of commitment to research and innovations
have seen them owning several patents and research that have enabled
the organisation to achieve phenomenal growth with a significant share of
the electronics market. The company is managed by the board of
management which sets the tone for the company by providing directions
and long-term strategy while the policies are implement by the Group
Management Committee made up by the operational managers,
chairman and some members of the board. The organisation in order to
remain competitive while improving their processes, products, systems
etc. embarked on business improvement project to implement TQM
methodology that would enable them to achieve world class. This
methodology is called Business Excellence through Speed and Teamwork
(BEST).
ASSESSMENT OF THE BEST MODEL
The core of this methodology is based on Business Excellence, Speed
and Teamwork which was implemented to complement the Philips
Quality Management system. The model helps an organisation in making
its customers as priority, develop employees, and maximize shareholders
value, integrated supply chain network with commitment to continuously
learning driven by systematic improvements and a highly developed team
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working that encourages seamless communication amongst all the
relevant stakeholders.
Therefore Philips Electronics implemented the BEST model through the
use of four cycle of Plan, Do, Check, Act in a continuous loop at both
operational and strategic level. This cycle ensures that the organisation
are able to implement their strategy, continuous improvement of the
operational processes, constant monitoring of processes and results while
acting to ensure that the opportunities identified are translated to
actions to maximize the gain.
The alignment between the improvement and business ensures that the
model and organisation enjoys sound business results. These are:
Balanced business scorecards (BBS)
Process survey tools (PST)
PBE assessments (PBE)
Headquarters audits (HQA)
The above tools are further complemented by Knowledge Management,
Professional and leadership competencies. All these combined enables
Philips Electronics to achieve world class and business excellence.
EVALUATION OF THE BEST MODEL AGAINST THE BUSINESS
EXCELLENCE AND QUALITY PREPOSITION
Adebanjo (2001) was of the opinion that corporate excellence has been
the front burner of most organisations in their quest to remain competitive
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and as a way of managing the businesses hence the development of
excellence model in order to ensure that the organisation survives any
economic situation. He is also of the opinion that business excellence and
quality should go hand in hand so that organisation could reap the
benefits accruable which is different from the school of thoughts that
believed that the Business Excellence and Quality should be separated.
Linking this to the BEST model, we can see that this model enables an
organisation to harmonize the quality system and Business Excellence to
achieve outstanding results.
APPLICATION OF THE BEST MODEL USING SHELL NIGERIA AS A
CASE STUDY
Using the Shell Nigeria especially the SAP BI team which is a sub-unit of
the Finance dept. responsible for System based improvement for the
organisation. This sub-unit is currently been managed by the SAP
Business Improvement Manager and he is responsible for setting
objectives that are in-line with the strategic objectives of the organisation.
Using the BEST model:
PLAN the sub-unit could benefit from planning its objectives and
properly communicate it to all the subordinates.
DO Implementation and translation of the strategic objectives into
operational goals that drive the adding of value to the entire organisation
while processes could be managed more efficiently
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CHECK Continuous monitoring of the plan to make adjustments where
necessary and to ensure that the unit stays on track
ACT implement the changes or improvement identified in the Check
process to ensure that the organisation realize the opportunities that are
identified.
CONCLUSIONS
The BEST model has the potential to move an organisation into world
class if properly implemented though care should be taken to get the
proper buy-in of all the relevant stakeholders else they risk wasting lots of
money, time and energy etc.
REFERENCES
Adebanjo, D. (2001) TQM and business excellence: is there really a
conflict?, Measuring Business Excellence, 5 (3), pp. 3740.
Martins, E.C. & Terblanche, F. (2003), "Building organisational culture that
stimulates creativity and innovation", European Journal of innovative
Management, vol. 6, no. 1, pp. pp. 64-74.
Oakland, J.S. (2003) TQM: text with cases, 3rd ED. Oxford: Butterworth-
Heinemann.
Other sources would be tapped from University of Liverpool online Library,
internet, etc.