moving forward when "times are tough" – things to consider as
TRANSCRIPT
©2008 Aetna Inc.
Moving Forward When “Times are Tough” – Things to Consider as a Business Leader
Global Lean, Six Sigma and Business Improvement Summit
Performing in a Slow Economy Track
Paul J Slattery, Operational Excellence Group
October 15, 2009
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The On-Going Challenges of a Business Leader
How do I do more with few resources?
How do I handle these base cost
challenges?
How do I know that I’m adding value to the customer and the bottom line?
How do I make better use of the available
technology?
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Add on a Slowing Economy
How do I do more with few resources?
How do I handle these base cost
challenges?
How do I know that I’m adding value to the
customer and the bottom line?
How do I make better use of the available
technology?
Standard Challenges Slowing Economy
Hiring Freeze and/or Reduction In Force;
Restrictions for Non-Essential Travel;
Base Cost Reduction Challenges;
Revisiting Programs to Ensure Return on Investment; and
Many more challenges!
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Expand your Six Sigma resources without adding head count
• Identify employees within the business that have prior TQM, MBB or Black Belt Six Sigma experience/certification with other companies and/or were part of your organization previously
• Utilize them as Green Belt mentors, project reviewers, and/or to provide specific expertise in specific tools (e.g., sampling) and/or approach.
Problem Solving Approach:
Situation: Hiring freeze and/or reduction in force
They Stay Current & You Get “Free Resources”
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Manage the Flow
Be More Targeted as to Who Goes Through your Green BeltProgram
• Identify employees whose position lends itself to project oriented activity (eg, Project Managers) on an ongoing basis
• Tightened up the criteria to encourage managers to nominate employees that will not only complete the training project but will do additional projects in the department once trained
• They’re already doing projects; now they’ll be applying the Six Sigma methodology and approach!
Problem Solving Approach:
Situation: Hiring freeze and/or reduction in force
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Situation: Restrictions for Non-Essential Travel
Have a Virtual Offering for Yellow & Green Belt Programs
• Given the geographic disparity of businesses (multiple offices and a large number of teleworkers), making the training “classroom only” isn’t necessarily a single option
• Look to make your Yellow Belt program an on-line option; allows more flexibility
• Maximize your Green Belt program as either as a classroom offering if the location has a sufficient employee population or virtual using a web conferencing collaboration software (eg, iLinc)
Problem Solving Approach:
Technology Based Training
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Using Technology as an Enabler
Help Employees to Feel Comfortable Conducting Virtual Team Meetings
• The best team members may not be housed in the same location
• Utilize a voice and web conferencing product (e.g., Cisco Meeting Place); you can do anything that you can do in an in-person meeting
Utilize Technology to Spread the Word
• Quarterly teleconferences or video conferences highlighting a current projects and/or quality related topics (e.g., tools)
• Monthly articles and/or videos on your internal internet site communicating upcoming events, project successes, and additions to your program
Situation: Restrictions for Non-Essential Travel
Problem Solving Approach:
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Putting Dollars on the Board
Proactively Support Business Challenges; Encourage ProjectsComing to Training to Have Financial Benefits
• Allocate dedicated resources to large scale business process improvement projects that are capable of generating significant cost savings as well as revenue growth. Use employees in the business unit on the projects; teachable moments!
• Have Executive Sponsor/Business Owner sign off on the project idea prior to the class; make both the leader and Green Belt responsible for identifying and achieving the savings
• Revisit prior projects that may not have fallen out of control; good opportunity for additional savings
• Utilize Kaizan events and Work Outs to go after some quick hits
Situation: Looking for Ways to Eliminate Waste
Problem Solving Approach:
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Right People for the Right Times
Take a Hard Look at your Governance Structure
• Is the membership reflective of the entire organization or weighed too heavily to a specific organization?
• Is your Executive Leadership at the right level to drive change within the organization and be champions of the program?
• Is there a direct connection between all the groups that make up the governance structure?
• Do you have the right governance structure or do you need a refresh?
Situation: What is the Value to the Customer and the
Bottom Line?
Problem Solving Approach:
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Where’s the Beef?
Show Hard Dollar Savings
• The business is looking for a return on it’s investment
• Finance is your friend when it comes to providing credibility to your numbers
• Track the soft savings but publicize the hard savings
It’s Critical that the Way Your Organized Reflects your Culture, isRight for Your Business and Enables Integration with the Business
• “Top Down” doesn’t always work
• You can’t just “drop in” someone else’s program
Situation: What is the Value to the Customer and the
Bottom Line?
Problem Solving Approach:
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Key Success Factors
Utilize existing quality resources that are already embedded in your organization
Make sure your Green Belt program is supporting your business goals not just career goals
Think virtual for training, meetings and communication
Take a hard look at your program, make sure it’s adding value not only in your eyes but in the eyes of your business leaders!
Leverage and apply best practices from other industries
Ground decisions in facts and data . . Walk the Talk
Wise Decisions are not just made in Times of Economic Downturn but Everyday!
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Who We Are
Aetna is one of the nation’s leading diversified health care benefits companies, serving approximately 37.2 million people with information and resources to help them make better informed decisions about their health care. Aetna offers a broad range of traditional and consumer-directed health insurance products and related services, including medical, pharmacy, dental, behavioral health, group life and disability plans, and medical management capabilities and health care management services for Medicaid plans. Our customers include employer groups, individuals, college students, part-time and hourly workers, health plans, governmental units, government-sponsored plans, labor groups and expatriates.