process-based management: a winning strategy · product / service-oriented ... quality, schedule,...
TRANSCRIPT
Copyright © 2006 Boeing. All rights reserved.
Object Management Group Workshop
by
David E. Farrar
Associate Technical FellowProcess Integration & Command Media
Program Management & Business ExcellenceGlobal Mobility Systems
Precision Engagement & Mobility SystemsIntegrated Defense Systems
OMG Workshop at Hyatt Regency SF Airport Hotel – Burlingame, CA17 October 2006
Process-Based Management:A Winning Strategy
2Copyright © 2006 Boeing. All rights reserved.
2005-K0037
The Global Mobility Systems Organization
CommercialAirplanes
Boeing CapitalCorporation
Connexion byBoeing
Integrated Defense Systems
The Boeing Company
HQ in Long Beach, CA
GlobalMobilitySystems
BoeingTechnology
Shared ServicesGroup
Network andSpace Systems
C-17 Program 767 TankersProgram
Derivative Airplane Programs
AdvancedMobilitySystems
PrecisionEngagementand Mobility
Systems
SupportSystems
AdvancedDefense and
SecuritySystems
GlobalStrike
Systems
Airborne Anti-SubmarineWarfare and Intelligence,
Surveillance andReconnaissance
RotorcraftSystems
Advanced PrecisionEngagement andMobility Systems
3Copyright © 2006 Boeing. All rights reserved.
2005-K0037
The Global Mobility Systems Products
C-40A C-32ANext
Generation
C-40B767 Tanker C-17
4Copyright © 2006 Boeing. All rights reserved.
2005-K0037
GMS Vision, Mission, and Values
•Enhancing Shareholder Value•Quality•Good Corporate Citizenship•Customer Satisfaction•A Diverse and Involved Team•Integrity•People Working Together•LeadershipA&T Values
A&T provides solutions that shape the future of mobility for our global military and commercial customers. We will leverage our strengths, team-based culture, supplier partners, and
customer knowledge to achieve market leadership and provide unprecedented value to all stakeholders.
A&T MissionThe world’s first choice for innovative mobility solutions – setting the standard for excellence
A&T Vision
People working together as a global enterprise for aerospace leadership
Boeing Vision 2016
•Enhancing Shareholder Value•Quality•Good Corporate Citizenship•Customer Satisfaction•A Diverse and Involved Team•Integrity•People Working Together•Leadership
Global Mobility Systems Values
Global Mobility Systems provides solutions that shape the future of mobility for ourmilitary and government customers. We will leverage our strengths, team-based culture, supplier partners, and customer knowledge to achieve market leadership and provideunprecedented value to all stakeholders.
Global Mobility Systems MissionThe world’s first choice for innovative mobility solutions – setting the standard for excellence
Global Mobility Systems Vision
People working together as a global enterprise for aerospace leadership
Boeing Vision 2016
global
5Copyright © 2006 Boeing. All rights reserved.
2005-K0037
“The Law of Change” Drives Improvement
If you want a different outcome, you must change either the process, the product, or both.
The Corollary
If you always do what you have always done, you will get what you have always gotten!
The Law
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2005-K0037
Cultural Change Focused on Processes
$$, schedule, cost, quality
Product / service-oriented
Tribal work-knowledge
Directed solutions
Reward heroes
Quality, schedule, cost
Customer solution-oriented
Process management
Team-based solutions
Reward values / results
$$, schedule, cost, quality
Product / service -oriented
Tribal work -knowledge
Directed solutions
Reward heroes
Quality, schedule, cost
Customer solution -oriented
Process management
Team-based solutions
Reward values / results
Then Now
Schedule, cost, quality
Product / service-oriented
Tribal work-knowledge
Directed solutions
Reward heroes
Quality, schedule, cost
Customer solution-oriented
Process management
Team-based solutions
Reward values / results
Then Now
7Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Adapted from Applied Strategic Planning: A Comprehensive Guide, page 330, published by Pleiffer and Company, 1992
Process Management Brings it Together
PlannedJourney
Strategic Direction
Work Group
Individual
Many UnalignedProjects
Tactical Direction
Malcolm BaldrigePrinciples
8Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Baldrige Criteria Framework: A Systems Perspective
3Customer and Market Focus
4Measurement, Analysis, and Knowledge Management
1Leadership
2Strategic Planning
5Human Resource
Focus
6Process
Management
7BusinessResults
9Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Baldrige Category 6 : Process Management
STABLISHMENT: What are your key value creation and key support processes and how does your organization determine them?
EQUIREMENTS: How do you determine requirements for your key value creation processes, incorporating input from customers, suppliers, and partners?
EASURES: What are your key indicators or performance measures to control and improve these processes?
REVENTION: How do you prevent rework and defects in these processes?
10Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Characteristics of a ProcessCharacteristics of a Process--Managed Managed Organization Organization
• Senior Leadership Buy-in • View business as a collection of processes• Strategic plans drive processes• Clear relationships between processes and
key business results and goals• Focuses on key customer-driven processes• Work Teams learn processes• Process health reporting and review
11Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Characteristics of a ProcessCharacteristics of a Process--Managed Managed Organization (cont’d)Organization (cont’d)
• Manage by data• Managerial patience• Emphasis on sustainable improvements• Improvement in processes across the
business• Integrated with other initiatives• Common processes and standardization
across user groups
12Copyright © 2006 Boeing. All rights reserved.
2005-K0037
What is a Process?What is a Process?
Resources
InputsTasks
Requirements
Outputs
A set of sequential or concurrent tasks performed by a process team led by a Process Owner…
that transforms inputs from suppliers…
into useful outputs for customers…
E.g., Requests, Raw Materials, Parts, Tool Designs, Planning Documents, Maintenance Schedule
E.g., Completed Documents, Completed Assemblies, Fabricated Tools, Delivered Kits, Functioning Equipment
that meets requirements and utilizes resources to complete the outputs.
13Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Generic Enterprise Process ModelGeneric Enterpris e Proces s Model
(For Training Purpos es Only – Not Real)
1.0 Enterprise Management1.0 Lead the Enterprise
Provide Legal Services (J. McBrew)
Integrate & Deploy Processes & Procedures (P. Smith)
Ensure Quality & Mission Assurance (A. Jones)
Ensure Integration of Strategic Business & Functional Planning (P. Smith)Ensure Organizational Effectiveness (P. Smith)
Ensure Continuous Improvement (A. Jones)
Perform Integrated Business Financial Management (T. Green)
2.0 Manage Programs
8.0 Provide Enabling Infrastructure
Perform Self-Governance (A. Jones)
Ensure Customer Satisfaction (P. Smith)
Manage IWA Performance (V. MacIvy)
Minimize Program Risk (G. Hermann)
Manage Program Planning and Execution (G. Hermann)
Process Owner: E. Andrews
Process Owner: R. Manson
Administer Contracts (R. Altman)
Provide Financial Services (V. MacIvy)
Provide Integrated Information Systems & Services (W. Kuhn)
Manage Facilities & Equipment (S. Harelson)
Provide Human Resources Services(D. Owens)
Provide Security & Fire Protection Services (R. Vector)
Manage Non-ProductionProcurement (S. Harelson)
Provide Safety, Health, and Environmental Services(N. Shepherd)Provide Export/Import Compliance (M. Clarrett)
3.0Create, Acquire& GrowBusiness
Create Opportunities& New Markets (D. Lane)
Acquire New Business (S. Larkins)
Maintain / GrowExisting Business (E. Andrews)
Process Owner:B. Braun
4.0IntegrateProduct/ServiceDefinition
Plan & Control Product/Service Design (S. Adell)
Define & Manage Product/ServiceRequirements (M. McDonald)
Verify & ValidateProduct/Service (B. Sills)
Process Owner:N. Nester
5.0ManageSuppliers
Manage MaterialRequirements (S. Howell)Select Source (Nelson)Negotiate & AwardPurchase Contracts (P. Nelson)Manage SupplierPerformance (P. Nelson)Manage SupplierQuality (M. Perry)Manage Supply Base (G.
Harding)
Process Owner:M. Delaney
6.0ProduceProduct
Define ProductionPlan (A. Ballard)
Assemble and Deliver Product (A. Ballard)
Verify ProductionProcesses (M. Kingston)
Provide Parts, Supplies, GFE, & Tools to Assembly (J. Banks)
Process Owner:S. Jurgens
7.0SupportProducts &Services
Process Owner:L. Holland
Provide Supply Support (D. Schmaltz)
Provide Technical Data (D. Blake)
Provide Retrofit & Modification Services (C. Bearden)
Provide Field Services (J. Williams)
Provide Instructional Systems Data& Training (Y. Jensen)Provide Integrated SupportPlanning & Management (D. Yee) Provide System Support Analysis (S. Gore)Provide Support Equipment (R. Stanton)
Process Owner: T. Green
Provide Communications Services(R. Brown)
Communicate Positions & Direction (R. Brown) Strengthen the Team (D. Owens)
Provide Integrated Performance Management (Cost & Schedule)(V.MacIvy)
Concurrently Develop Product/Service/Build-to / Buy-to/ Support Elements (K. Kern)
Manage Gov’t Property (J. Givens)
Manage Inventory (J. Johnson)
Provide Flight Operations Services (D. Gregory)
Provide Ethics Guidance (D. Hanson)
Denotes Key Process
1.01
1.021.031.04
1.05
1.06
1.07
1.08
1.09
1.10
1.11
2.01 2.02 2.03 2.04 2.05
3.01
3.02
3.03
4.01
4.02
4.03
4.04
5.01
5.025.03
5.04
5.05
5.06
5.075.08
6.01
6.02
6.03
6.04
7.01
7.02
7.03
7.047.05
7.06
7.07
7.08
8.01
8.02
8.03
8.04
8.05
8.06
8.07
8.08
8.09
8.10
8.11
Rev: 23 Sep 05
Figure P-2, Generic Enterprise Process Model
14Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Processes can be expanded to lower, more-detailed levels
Levels of Processes: Owners at Each LevelLevels of Processes: Owners at Each Level
Level 1
Level 2
Enterprise Process Model
Level 0Core Area Executives
Executives and others
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2005-K0037
Levels of Processes Levels of Processes (cont’d)(cont’d)Level 0 Process: 6.0 Produce Product
Tier 1 Process: 6.03 Assemble and Deliver Product
Tier 2 Process: 6.03.02 Produce
Major Assemblies
.01
.03
.04
.05
.06
.07
.08
.02 Produce Major Assemblies
.01
.03
.04
.05
.06
.07
.08
Tier 3 Process: 6.03.02.02
Perform 17 A/N/Y Subassemblies
and so on……..
.02 Perform 17 A/N/Y SubassembliesLevel 0
Process Model
Level 1 Level 1Level 1
Level 2 Level 2Level 2
Level 3 Level 3Level 3 and so on……..
Core Family
As one tier is defined the next lower tier is identified
Executives
Executives and others
16Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners: What Do They Do?• Assigned at every level of the Process Model• Include Executive Leaders at Level 0 and at many
Level 1s• Qualifications:
• May or may not be a manager• Usually a subject matter expert on the process• Uses the process to manage that piece of the
business • May be accountable for activities outside
functional control• May own more than one process
17Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners: What Do They Do?
• Responsible for:• Implementing the steps of PBM• Documenting the process• Ensuring process performance• Ensuring both internal and external customer involvement• Involving suppliers of incoming processes• Improving the process
• For certain processes, may manage the process jointly with the Government Customer
• Must ensure associated procedures are current and are adhered to
18Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Step 1Define theProcess
Step 3Determine
Performance
Step 2EstablishMetrics
Step 4AnalyzeProcessStability
Step 5Set Goals
Step 6Analyzeand Plan
Improvements
Step 7Implement
Improvements
Continuous ProcessImprovement Loops
If Normal Monthly Performance Cycle
If Metric Change Required
If Process Change Required
I m p r o v e m e n t O p p o r t u n i t i e s
Gate 1 Gate 2 Gate 3 Gate 4
When the process has not been
defined
When the process has
been defined, but no metrics
When the process is
defined, has metrics, but is not stable
When the process is defined, has
metrics, is stable, but still needs improvement
The Seven Steps of Process-Based Management
Six to TenManageable Steps From
Customer’s Perspective
How You Are Doing Predictable
Performance
Where You Are Going and Why How and
Why You Will Get There
Get There!
Process Owners/Teams Use PBM Seven-Step MethodologyProcess Owners/Teams Use PBM Seven-Step Methodology
19Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners/Teams Document and Define Processes, with Customer Agreement
Process Title: Process No.:
Next-Higher-Level Process:
Creation Date:Revision Date:
Process Objective:
Lead PBM Deployment1.07 Integrate and Deploy Processes and Procedures
Lead PBM deployment across GMS Programs and IDS-LB Tenants as appropriate in alignment with IDS business strategies
1.07.029-27-2005
• Strategies/Flow-Down Goals/Deployment Plans• Training Requests • Consulting and Facilitation Requests• PBM Products and Data• Gap Analyses • Training Surveys/Suggestions• Internal/External Assessment Results
• Deployment Plan /IMP/IMS• PBM Methodology / Command Media / Training
Materials• Systems to Manage PBM/Health and Deployment
Reports• PBM Expertise / Process Owner Consulting &
Coaching / Process Team Facilitation• Effective Resolution of Process Related Conflicts• Training• Corrective/Preventive Actions
• TA-288M, Process Owners Manual• TA-318, PBM James Jones
Glen Green, DCMAPBMS; Root Cause Corrective Action System
• Receive Inputs from Suppliers
.01 Define PBM Methodology/Command Media
.02 Plan PBM Approach
.03 Implement PBM Deployment
.04 Analyze PBM Deploymentand Performance Results
.05 Capture Lessons Learned and Improve PBM
• Deliver Outputs to Customers
Process TasksBeginning Boundary Task:
Ending Boundary Task:
Inputs
Suppliers
Customers
Process Requirement Sources:Process Owner:
Process Customer(s):
Process Specialist:InformationSystems
OutputsOutputs
• 1.01.01, Assess and Understand Inputs• Process Owners/Customers/Focals/Users• DCMA/SG
(Must have concurrence on file for all process changes. Use second page if necessary.)
John Smith
• 1.01.06, Flow Down Strategies and Deploy Plans• 1.02, Ensure Organizational Effectiveness• 1.04 Ensure Continuous Improvement• Process Owners/Customers/Focals/Users• DCMA/SG• Executive Management/Program Management
10-12-2005
PROCESS DEFINITIONPROCESS DEFINITION
X31111 NEW (05 DEC 2005)
Business:Site: Program(s):
Bus. Unit:Business:Site: Program(s):
Bus. Unit:IDS PE&MSLong Beach GMS: C-17
For Training Purposes Only
20Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners/Teams Define the Process in a Flow ChartProcess Owners/Teams Define the Process in a Flow Chart
WhoResponsible Organizations, Individuals or Processes
Input OutputProcess Title:Process Owner:
Process Number:Creation Date:Revision Date:
Input/OutputInput/Output TaskTask a Connector R RecordDecisionDecision ControlPoint
Go toX.XX
In-ProcessInterface
1.07.0210-12-20051-24-2006
Lead PBM DeploymentJohn Smith
PROCESS FLOWCHARTPROCESS FLOWCHART
X32629 NEW (05 DEC 2005)
Business: Bus. Unit:Site: Program(s):
IDS PE&MSLong Beach GMS: C-17
1.01.06, Flow Down Strategies and Deploy Plans
SG/DCMA
All Users
Process Management Integration (PMI)
1.01.01 Assess and Understand Inputs
Executive/ Program Management
Strategies/FlowedDown Goals/Strategic
Plans
Requests
Requests/PBM Products
and Data/Gap Analyses
TrainingSurveys/
ImprovementSuggestions
Internal/ExternalAssessment
Results
Rec
eive
Inpu
ts fr
om S
uppl
iers
Define
PBM
Methodology
and Command
Media
Plan
PBM
Approach
Implement
PBM
Deployment
Analyze
PBM
Deployment
and
Performance
Results
Capture
Lessons
Learned
and
Improve
PBM Del
iver
Out
puts
to C
usto
mer
s
PBMDeploy-
ment Plan/IMP/IMS/
PBM Method-ology/CommandMedia/Training
Materials/Systems to
Manage PBM/Health &
Deployment Reports/PBM Expertise/PO Consulting& Coaching/Process TeamFacilitation/
EffectiveResolutionof Process-
RelatedConflicts/Training
PBMDeployment Plan/
IMP/IMS
Health & DeploymentReports
Q1
Q2
T1
T2
T3
1.07.02.05 Capture Lessons Learned and Improve PBM
Documented LessonsLearned/ImprovementSuggestions/Reports
Go to1.03.07Manage
Corrective/Preventive
Actions
All Level 3 Processes Under 1.07.02
Improve’t Projects/Corrective/Preventive
Actions/Requests
For Training Purposes Only
21Copyright © 2006 Boeing. All rights reserved.
2005-K0037
ProcessPerformance
Meet or ExceedCustomer
Expectations
AttainSuperiorBusinessResults
QualityQuality
EfficiencyEfficiency
TimelinessTimeliness
CycleCycle--TimeTime
Measure of conformance or non-conformance (defects) to requirements or expected performance
Measure of success in meeting a customer commitment
Measure of output that a process produces in relation to costs
Measure of time between a customer request and delivery of the product or service to the customer
RequirementsRequirements Key Performance CategoriesKey Performance Categories
Process Owners/Teams Use Metric Categories to Establish Measures
22Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners/Teams Define their Metrics in a Process Performance AgreementProcess Owners/Teams Define their Metrics in a Process Performance Agreement
(e.g., % Rework & Repair Hours/Total Hours)
(e.g., % On-Time to Manufacturing Schedule)
(e.g., Avg. Hours per Engineering Drawing)
(e.g., Total Days from Input to Delivery)
For Training Purposes Only
Process Title: Process No.:Creation Date:
Revision Date:Next-Higher-Level Process:
PROCESS PERFORMANCE AGREEMENTPROCESS PERFORMANCE AGREEMENTBusiness: Bus. Unit:Site: Program(s):
Quality
Timeliness
Efficiency
Cycle Time
John Smith James Jones Glen Green
MinimumAcceptableLevel (MAL)
Annual / Multi-Year
Goals
Benchmark/Comparative
Data
WeightingFactor
(Must Have At Least One “1”)Metric DefinitionMetric Category
Process Measurement
Process Owner’s Name Process Customer(s) Name(s) Process Specialist’s Name
Process Title (Verb + Noun)
0.00.00
MM/DD/YY
MM/DD/YYNext-higher level process
Quality Metric Definition (list company/organization/source benchmarked [if applicable])
Timeliness Metric Definition (list company/organization/source benchmarked [if applicable])
Efficiency Metric Definition (list company/organization/source benchmarked [if applicable])
Cycle Time Metric Definition (list company/organization/source benchmarked [if applicable])
MAL
MAL
MAL
MAL
Annual Goals(Multi-Year)
Benchmark/Comparative
Data
Weight
Weight
Weight
Weight
Benchmark/Comparative
Data
Benchmark/Comparative
Data
Benchmark/Comparative
Data
IDS PE&MSLong Beach GMS: C-17
Annual Goals(Multi-Year)
Annual Goals(Multi-Year)
Annual Goals(Multi-Year)
X31112 DRAFT 11/15/05
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2005-K0037
Process Owners/Teams Use Metrics to Measure a ProcessProcess Owners/Teams Use Metrics to Measure a Process
Good Good100
90
80
70
60
50
40
30
20
10
0
Quality (3X) Efficiency (1X)
Process Performance Assessment
Assessment Assessment
Per
cent
Com
plia
nt O
rder
s
Com
plet
ed It
ems
per M
an-h
our
03 04 J F M A M J J A S O N D2.2 1.8 1 2 1 2 2 2
04 J F M A M J J A S O N D032.5 2.9 2 2 2 1 1 1
1.3 2.0 1.3 1.8 1.8 1.803 04 J F M A M J J A S O N D2.4 2.5
1 2 2 2 3 4
2.3 2.81.3
10
9
8
7
6
5
4
3
2
1
0
Legend:Mo. Actuals3-Period Avg
Min. Acceptable LevelAnnual GoalBenchmark
WeightingFactor
24Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners/Teams Use Tools to Analyze Process Performance Process Owners/Teams Use Tools to Analyze Process Performance
! FMEA
! Check Lists
! Graphs
! Bar charts
! 5-Why Analysis
! Cause-and-Effect (Fishbone)
Process Title
Process Owner Revision Date
Mirror ProcessTask from ProcessDefinition
Failure Effect Cause Detection Actions1 1 2
Creation Date
Process No.
1 12
Process No.:Creation Date:Revision Date:
Process Title:
ProcessTask
Process Owner: Potential Failure
Mode(s)
Potential Effect(s) of
Failure
Potential Cause(s) of
Failure
Current Detection/
Verification Controls
Recommended Actions
SEV
OCC
DET
RPN
1-10 1-10
MD-1830-01 (04 Jun 2002) REVISED
1-10 1-102-20
Process Title
Process Owner Revision Date
Mirror ProcessTask from ProcessDefinition
Failure Effect Cause Detection Actions1 1 2
Creation Date
Process No.
1 12
Process No.:Creation Date:Revision Date:
Process Title:
ProcessTask
Process Owner: Potential Failure
Mode(s)
Potential Effect(s) of
Failure
Potential Cause(s) of
Failure
Current Detection/
Verification Controls
Recommended Actions
SEV
OCC
DET
RPN
1-10 1-10
MD-1830-01 (04 Jun 2002) REVISED
1-10 1-102-20
25Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Owners/Teams Use Plans to Improve a ProcessProcess Owners/Teams Use Plans to Improve a Process
ACTIONS TASKSACTION # 1234 INITIATED: 01-May-05
INITIATOR: Adams, ArtASSIGNEE: Adams, Art
PROCESS OWNER: Baker, BillPBM No: 5.02
Issue OrdersC/PA SOURCE: PBM Annual Process Improvement
STATUS: Open DATE: 07-Oct-05SUBJECT:Improve percentage of compliant documentationPROBLEM STATEMENT:Percentage of compliant procurement filesis not acceptable.
VERIFICATION/ACCEPTANCE CRITERIA:Percentage of compliant files improved by 20%
ROOT CAUSE ANALYSIS TOOLS USED:FMEA, 5-WhyROOT CAUSE STATEMENT:Buyers are not trained to review files for complianceprior to sending to Procurement Analysis
VERIFICATION STATEMENT:
Task
1
2
3
4
5
6
7
Assignee
A. Adams
B. Baker
B. Baker
T. Trainer
T. Trainer
A. Adams
B. Baker
Subject
Develop file compliance checklist
Develop file compliance audit process
Revise file compliance procedure
Develop training course
Provide file compliance training
Implement compliance checklist
Conduct monthly compliance audits
Status
CLOSED
CLOSED
OPEN
OPEN
OPEN
OPEN
OPEN
Date
15-May-05
15-Jun-05
For Training Purposes Only
26Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Systems House Process Data: PBMS and SSPISystems House Process Data: PBMS and SSPI
<PO Name>
27Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Strategy Task 2005Type Metric Description Target Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
E-01 Execute on programs [IDS, AFS] G G GE-01-A A&T Operating Earnings To Plan B B BE-01-B A&T Cash Flow To Plan R B B
E-01-C On-time delivery - A&T Aircraft & Modifications 100% G G G
E-01-DA Mission Success: Non-Space Per Plan G G GE-01-E RONA (Return on net assets) To Plan R R GE-01-F CPARs or equivalent >/= 2.8 (Green) G G G
E-01-G Award Fee Percent 80% - 89.9% of contracts score >90% G P
E-01.11 Deploy and integrate effective Supplier Quality process across IDS 84% G G G
E-02 Improve quality and cost G G Y
E-02-20A Manage to Long Beach overhead composite rate To plan Y G Y
E-02-B Productivity improvement [IDS, AFS] 5% G G G
E-02-E **ACHIEVE/MAINTAIN A&T CMMI LEVEL 5 CERTIFICATION Per Plan G G G
E-02.01Improve Quality (Key Quality metrics from the C-17, 767 Tanker, and DAP Programs along with A&T Common Quality Initiatives).
Roll-Up >/= Green Rating G G G
E-02.02 Improve cost Per Plan Y
E-03Deploy use of the Baldrige framework (including the tools and initiatives that support the framework) across A&T to improve our business
To Plan G G G
E-03-20A Strengthen the process-based culture within programs and across A&T Per plan G G G
E-03-20B [A&T] Become recognized as best-in-industry in lean enterprise (including lean manufacturing) Green Rating (Roll Up) G G G
Exec
ute
Flaw
less
lyProcess Owner Discipline:Process Owner Discipline:Measured by Vision Support Plan (VSP)Measured by Vision Support Plan (VSP)
Executive Process Owners:• Provide recognition to 1% of your Process Owners (POs) per month for PBM efforts
• Attend 75% of monthly PBM review meetings with your Process Owners
28Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Variability Reduction for a micro-processSix Sigma for a macro-process
Variability Reduction if more data analysis is needed
Lean if no more data analysis is needed
Lean
Quality metric
Efficiency metric
Timeliness/Cycle Time metric
If a process needs more improvement than PBM tools provide:
PBM is the framework for continuous process improvement
Micro-process
Macro-process
Variability Reduction
Six Sigma
If a process needs more stability than PBM tools provide:
Process Owners/Teams Use Improvement Tools with PBM
29Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Baldrige Categories
ISO Principles
Leadership
Strategic Planning
Customer and Market Focus
Information and Analysis
Human Resource Focus
Process Management
Business Results
Customer Focus
Leadership
Involvement of People
Process Approach
System Approach toManagement
Continual Improvement
Factual Approach to Decision Making
Mutually BeneficialSupplier Relationships
Process Management Leads to ISO SuccessProcess Management Leads to ISO Success
30Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Processes that Answer the ISO 9001:2000 Standard
31Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Process Management Leads to CMMI Success• The quality of a software product is governed by the
quality of the processes used to develop and maintain it.
• To improve quality of the product, one must improve the quality of the processes that create the product.
• CMMI enables organizations that want to pursue process improvement in multiple functional areas (Software, Systems, Acquisition, Security etc. ) to do so with less additional investment for each function.
• CMMI supports process integration and product improvement
• CMMI integrates multiple disciplines into one process-improvement framework
Copyright by Carnegie Mellon University
33Copyright © 2006 Boeing. All rights reserved.
2005-K0037
Global Mobility Systems’ Quality Journey: Global Mobility Systems’ Quality Journey: Results FocusResults Focus
1998 20022000 20011999 2003
MalcolmBaldrige
Win
MalcolmBaldrige
Win
BestPractice
Exchange
BestPractice
Exchange
BaldrigeInternal
Assessment
BaldrigeInternal
Assessment
BaldrigeInternal
Assessment
BaldrigeInternal
Assessment
IndustryWeek
Top 25Finalist
IndustryWeek
Top 25Finalist
CCE/AQPTeam
ExcellenceAward
CCE/AQPTeam
ExcellenceAward
BaldrigeInternal
Assessment
BaldrigeInternal
Assessment
IndustryWeek
Top 10Winner
IndustryWeek
Top 10Winner
ISO 9001/2000
Certification
ISO 9001/2000
Certification
CCE/AQPTeam
ExcellenceAward
CCE/AQPTeam
ExcellenceAward
CCE/AQPTeam
ExcellenceAward
CCE/AQPTeam
ExcellenceAward
MalcolmBaldrigeSite Visit
MalcolmBaldrigeSite Visit
2004
CCE/AQPTeam
ExcellenceAward
CCE/AQPTeam
ExcellenceAward
2005
CAPE SilverAward(AFS)
CAPE SilverAward(AFS)
CCETeam
ExcellenceAward
CCETeam
ExcellenceAward
ISO AS9100 B
Certification
ISO AS9100 B
Certification
CMMILevel 5CMMI
Level 5
CAPEGold
Award(C-17)
CAPEGold
Award(C-17)
GeorgiaOglethorpe
AwardMacon
GeorgiaOglethorpe
AwardMacon
WA StateQualityAwardDAP
WA StateQualityAwardDAP
IndustryWeek
Top 10Macon
IndustryWeek
Top 10Macon