Strategic Quality Planning

By Taylor Ellis-Sherinian

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Strategic Quality PlanningOverview

• What is Strategic Quality Planning• Brainstorming Exercise• What is a Strategic Quality Plan

– How is it developed and implemented• How does it work• Real World Example• Strategic Quality Plan Practice Exercise

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Strategic Planning

• The process in which an organization will identify its business strategies.

• Once an organization has defined its strategy, the organization must devise and develop a plan to implement its strategy.

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Strategic Quality Planning

• The process in which an organization will identify its business strategies.

• A major part in Strategic Quality Planning (SQP) is emphasizing quality improvement in the process as the organization works towards its strategy.

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Strategic Quality Planning should…

• Identify potential improvements

• Prioritize potential areas for improvement

• Plan how improvements can be made to achieve business strategies that improve quality

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Brainstorming Exercise

• Mind Map– Taking a single idea and writing as many

concepts that come to mind in response to the initial concept.

• Create your own Mind Map of a current process in your department or in the organization that you feel can be improved.

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An Example of Mind Mapping

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Two Essential Parts• Dr. S. Thomas Foster teaches that SQP has

two essential parts.– Content– Process

• Content- strategy content helps to determine what is contained in the SQP

• Process- the tools and steps are determined to develop the SQP

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How to Develop a SQP

1. Develop a quality strategy

2. Establish goals and objectives

3. Identify specific quality initiatives

4. Implement a action plan

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Develop a Quality Strategy

• Establish a vision and a mission for the Quality Strategy.

• What do you want to accomplish?• What are your goals?• Do you want to base your strategy upon

cost, differentiation, or focus?

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Establish Goals and Objectives• Asses the current

business situation.• What are the customer

needs?• What objectives will

enable the organization to develop the quality strategy?

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Identify Specific Quality Initiatives

• What process can be improved?

• What are the strengths and weaknesses?

• What tools can be utilized to improve?

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Implementing An Action Plan

• Now bring together the strategy, the objectives and goals, and the quality initiatives.

• Determine how and when the SQP will be implemented.

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Hoshin Planning

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Time Is Money

• It takes time to achieve business goals!• U.S. General Accounting Office study

showed that it takes 3.5 years to see significant results.

• A U.S. Auto Industry study found a 2.26- year difference between customer recognition of quality improvement and quality improvement.

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How Does SQP Work

1. Develop a quality strategy

2. Establish goals and objectives

3. Identify specific quality initiatives

4. Implement a action plan1. Use a tool like Hoshin Kanri and catch-ball to

help implement the SQP

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A Real World Example

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Exercise

• How do you make toast?

• List the steps that you need to followed to make the perfect plate of toast.

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Current Process

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Improved Process with SQP

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Key Takeaways• The Content

– Develop a quality strategy– Establish goals and objectives– Identify specific quality initiatives

• The Process– Implement a action plan– Use a tool like Hoshin Kanri and catch-ball to

help implement the SQP

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Key Takeaways

• Every process can be improved.

• SQP involves a great deal of communication.

• Map out the process.

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Reading list• Fawcett SE, Ellram LM, Ogden JA. The new product development process. In: Supply chain management: From

vision to implementation. Upper Saddle River, NJ 07458: Pearson Education:110. • Foster S T. Strategic quality planning. In: Managing quality: Integrating the supply chain. Fourth Edition ed.

Pearson Eduction, Inc.:102. • G. Dennis Beecroft, (1999),"The role of quality in strategic management", Management Decision, Vol. 37 Iss: 6

pp. 499 – 503• Ross L. Chapman, Peter Charles Murray, Robert Mellor, (1997),"Strategic quality management and financial

performance indicators", International Journal of Quality & Reliability Management, Vol. 14 Iss: 4 pp. 432 – 448• Yoshio Kondo, (1998),"Hoshin kanri - a participative way of quality management in Japan", The TQM Magazine,

Vol. 10 Iss: 6 pp. 425 – 431• A Case Study of Harley Davidson's Business Practices

http://infotechdesign.net/itd/a-case-study-of-harley-davidsons-business-practices.html. Accessed 11/19/2012, 2012. Reginald A. Bruce, College of Business and Public Administration University of Louisville. A case study of harley davidson's business practices. . TUESDAY, 25 NOVEMBER 2008.

• Mildred Golden Pryor, Texas A & M University – Commerce, Leslie A. Toombs, University of Arkansas – Fort Smith. MANAGEMENT MODELS AND QUALITY INITIATIVES IN SMALL BUSINESS .