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Why Apply for the Baldrige Award?. To improve performance and achieve world-class resultsTo seek the most cost-effective, value-added business audit available anywhere\"To objectively clarify your organization\'s strengths and weaknesses. What It\'s All about . The road to greatness in America
Why Apply

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1. Why Apply? Malcolm Baldrige National Quality Award

2. Why Apply for the Baldrige Award? To improve performance and achieve world-class results To seek ?the most cost-effective, value-added business audit available anywhere? To objectively clarify your organization?s strengths and weaknesses Many organizations are now taking the next step after self-assessment, with a goal of increasing their rate of organizational improvement and innovation. Baldrige applicants consistently identify many benefits of applying. The evaluation process for the Malcolm Baldrige National Quality Award was called ?the most cost-effective, value-added business audit available anywhere? by Bob Barnett, a former executive vice president of Motorola, Inc., an award recipient in manufacturing. Applying enhances the self-assessment process by helping to start or to speed up an organization?s internal improvement journey and by improving morale and communication. Many organizations are now taking the next step after self-assessment, with a goal of increasing their rate of organizational improvement and innovation. Baldrige applicants consistently identify many benefits of applying. The evaluation process for the Malcolm Baldrige National Quality Award was called ?the most cost-effective, value-added business audit available anywhere? by Bob Barnett, a former executive vice president of Motorola, Inc., an award recipient in manufacturing. Applying enhances the self-assessment process by helping to start or to speed up an organization?s internal improvement journey and by improving morale and communication.

3. What It?s All about ? ?The road to greatness in America has been, and always will be, traveled by those who embrace change and work hard every day to be the best; the organizations we honor today with the Baldrige National Quality Award exemplify that spirit. . . . This year?s recipients have shown how quality, innovation, and an unending quest for excellence help strengthen our nation and brighten the future of all Americans.? ?President Barack Obama Additional quote: ?It amazes me that U.S. businesses spend so much money on ?how-to? books and coursework to teach leaders how to build successful organizations. My recommendation: implement the Baldrige-based Criteria in your business. No other single document can help build a long-term successful organization.? ?Jerry Rose, vice president of Cargill, Inc., and former president of 1999 and 2005 Baldrige Award recipient Sunny Fresh Foods, Inc. (now Cargill Kitchen Solutions) Additional quote: ?It amazes me that U.S. businesses spend so much money on ?how-to? books and coursework to teach leaders how to build successful organizations. My recommendation: implement the Baldrige-based Criteria in your business. No other single document can help build a long-term successful organization.? ?Jerry Rose, vice president of Cargill, Inc., and former president of 1999 and 2005 Baldrige Award recipient Sunny Fresh Foods, Inc. (now Cargill Kitchen Solutions)

4. What Leading Thinkers Say ?I see the Baldrige process as a powerful set of mechanisms for disciplined people engaged in disciplined thought and taking disciplined action to create great organizations that produce exceptional results.? ?Jim Collins, author of Good to Great: Why Some Companies Make the Leap ? and Others Don?t Additional quotes: ?The Baldrige Award is given to only a few of the applicants because they meet the highest standards. But in a sense, every organization that uses the Baldrige Criteria for self-study and change can turn out to be a winner due to their increased ability to learn, adapt, innovate, and achieve excellence.? ?Dr. Rosabeth Moss Kanter, Ernest L. Arbuckle Professor of Business Administration at Harvard Business School, chair and director of the Harvard University Advanced Leadership Initiative, and author or coauthor of 18 books (as of 2011) ?Let me recall the staggering benefits which are waiting for the [United States] as we go forward with our own quality revolution: Regaining market share Bringing back the jobs we exported Wiping out the bulk of our trade deficit Those are goals which deserve the unified support of all of us. The activities surrounding the Baldrige Award have been a valuable contribution toward reaching those goals.? ?Joseph M. Juran, founder, Juran Institute, Inc. Additional quotes: ?The Baldrige Award is given to only a few of the applicants because they meet the highest standards. But in a sense, every organization that uses the Baldrige Criteria for self-study and change can turn out to be a winner due to their increased ability to learn, adapt, innovate, and achieve excellence.? ?Dr. Rosabeth Moss Kanter, Ernest L. Arbuckle Professor of Business Administration at Harvard Business School, chair and director of the Harvard University Advanced Leadership Initiative, and author or coauthor of 18 books (as of 2011) ?Let me recall the staggering benefits which are waiting for the [United States] as we go forward with our own quality revolution: Regaining market share Bringing back the jobs we exported Wiping out the bulk of our trade deficit Those are goals which deserve the unified support of all of us. The activities surrounding the Baldrige Award have been a valuable contribution toward reaching those goals.? ?Joseph M. Juran, founder, Juran Institute, Inc.

5. Benefits of Applying Accelerate improvement efforts Energize employees and improve morale Gain an outside perspective Learn from the feedback Engage customers Based on annual surveys conducted by the Panel of Judges, Baldrige Award applicants value the application process. Applicants, including those who have received the award, note the following benefits: Accelerate improvement efforts: The application process is an effective tool in itself. It accelerates and goes beyond the internal self-assessment process by bringing a rigorous, objective, external viewpoint to the organization?s internal improvement process. Energize employees and improve morale: Organizations that participate in the process report that the team motivation that occurs when pursuing a common goal results in energized improvement efforts. Gain an outside perspective: Five-to-eight experts review each application. As a group, they spend a minimum of 300 hours reviewing each application, and site-visited applicants receive more than 1,000 hours of review. Learn from the feedback: Each applicant receives an objective, nonprescriptive written assessment of its strengths and opportunities for improvement based on its award application. Engage customers: Writing an application helps an organization focus on how it engages its customers for long-term success. Applicants receive feedback on how they are building a customer-focused culture.Based on annual surveys conducted by the Panel of Judges, Baldrige Award applicants value the application process. Applicants, including those who have received the award, note the following benefits: Accelerate improvement efforts: The application process is an effective tool in itself. It accelerates and goes beyond the internal self-assessment process by bringing a rigorous, objective, external viewpoint to the organization?s internal improvement process. Energize employees and improve morale: Organizations that participate in the process report that the team motivation that occurs when pursuing a common goal results in energized improvement efforts. Gain an outside perspective: Five-to-eight experts review each application. As a group, they spend a minimum of 300 hours reviewing each application, and site-visited applicants receive more than 1,000 hours of review. Learn from the feedback: Each applicant receives an objective, nonprescriptive written assessment of its strengths and opportunities for improvement based on its award application. Engage customers: Writing an application helps an organization focus on how it engages its customers for long-term success. Applicants receive feedback on how they are building a customer-focused culture.

6. Align efforts and resources Develop an integrated management approach Focus on results Enhance benefits of certification and accreditation efforts Gain an opportunity to become a national role model Earn the prestige of being a presidential award recipient, if selected Benefits of Applying Align efforts and resources: Discover how to better align the organization?s efforts to achieve its goals. The linkages among the requirements of the seven Baldrige Criteria categories can help the organization achieve better coordination and consistency of plans, processes, information, resource decisions, actions, results, analysis, and learning. Develop an integrated management approach: Management benefits from the systems perspective embedded in the integrated structure of the Criteria?s core values and concepts, the Criteria?s categories/items, and the Scoring Guidelines. This approach helps to channel activities in consistent directions, ensuring consistency of purpose while also supporting agility, innovation, and decentralized decision making. Focus on results: 450 out of 1,000 points in the Baldrige scoring system are allocated to results, proving that results are truly the bottom line in the Baldrige process. This results focus can help the organization determine its most critical areas to measure, create, and balance value for key stakeholders, as well as improve performance in key areas such as customer engagement, product and process performance, student learning, and health care outcomes. Enhance certification and accreditation efforts: Recent iterations of such disparate standards as those of the International Organization for Standardization (ISO), the Joint Commission, and the North Central Association (NCA) of Colleges and Schools are more compatible with the Baldrige Criteria. A Baldrige application is compatible with or may be substituted for an assessment in some cases. Gain role-model status and build organizational pride: The Baldrige Program hears from award recipients that the goal of applying is not merely winning an award. (The benefits are the many improvements and innovations that develop when applying the Criteria.) One benefit of receiving the award, however, is that a tremendous sense of pride develops within the organization and its community. An award recipient gets the chance to share its story with thousands of people around the country and the world. An award recipient helps make an impact in the United States by helping and inspiring other organizations to improve their performance as well. Align efforts and resources: Discover how to better align the organization?s efforts to achieve its goals. The linkages among the requirements of the seven Baldrige Criteria categories can help the organization achieve better coordination and consistency of plans, processes, information, resource decisions, actions, results, analysis, and learning. Develop an integrated management approach: Management benefits from the systems perspective embedded in the integrated structure of the Criteria?s core values and concepts, the Criteria?s categories/items, and the Scoring Guidelines. This approach helps to channel activities in consistent directions, ensuring consistency of purpose while also supporting agility, innovation, and decentralized decision making. Focus on results: 450 out of 1,000 points in the Baldrige scoring system are allocated to results, proving that results are truly the bottom line in the Baldrige process. This results focus can help the organization determine its most critical areas to measure, create, and balance value for key stakeholders, as well as improve performance in key areas such as customer engagement, product and process performance, student learning, and health care outcomes. Enhance certification and accreditation efforts: Recent iterations of such disparate standards as those of the International Organization for Standardization (ISO), the Joint Commission, and the North Central Association (NCA) of Colleges and Schools are more compatible with the Baldrige Criteria. A Baldrige application is compatible with or may be substituted for an assessment in some cases. Gain role-model status and build organizational pride: The Baldrige Program hears from award recipients that the goal of applying is not merely winning an award. (The benefits are the many improvements and innovations that develop when applying the Criteria.) One benefit of receiving the award, however, is that a tremendous sense of pride develops within the organization and its community. An award recipient gets the chance to share its story with thousands of people around the country and the world. An award recipient helps make an impact in the United States by helping and inspiring other organizations to improve their performance as well.

7. The Feedback Report: Your Greatest Benefit Written assessment of strengths/ opportunities for improvement Compiled by a team of expert examiners The report includes a key themes summary organization-specific comments individualized scoring information scoring distribution Many Baldrige Award applicants cite the feedback report as the most significant benefit of applying. The feedback report is a detailed, individualized, written assessment of your organization?s strengths and opportunities based on the Baldrige Award application. The report is compiled by a team of experts, Baldrige examiners, who have both sector/industry knowledge and Criteria knowledge. The Key Themes section is the ?executive summary,? a synthesis of the applicant?s most significant, cross-cutting strengths and opportunities for improvement relating to the organization?s processes and results. Comments: For each Criteria item, the report provides around six detailed, actionable strengths and opportunities for improvement. The comments are specific to the organization and can help it prioritize its improvement efforts. Individual Scoring Range: The feedback report provides a percentage scoring range for each item, allowing the applicant to determine its relative strengths and opportunities for improvement. Scoring Distribution: Feedback reports also include a scoring distribution that contains the percentage of applicants that scored in each of the eight individual scoring bands. This helps to provide a context for the total score relative to other organizations. In addition, feedback reports include information on an applicant?s performance in relation to the median scores for other applicants. Many Baldrige Award applicants cite the feedback report as the most significant benefit of applying. The feedback report is a detailed, individualized, written assessment of your organization?s strengths and opportunities based on the Baldrige Award application. The report is compiled by a team of experts, Baldrige examiners, who have both sector/industry knowledge and Criteria knowledge. The Key Themes section is the ?executive summary,? a synthesis of the applicant?s most significant, cross-cutting strengths and opportunities for improvement relating to the organization?s processes and results. Comments: For each Criteria item, the report provides around six detailed, actionable strengths and opportunities for improvement. The comments are specific to the organization and can help it prioritize its improvement efforts. Individual Scoring Range: The feedback report provides a percentage scoring range for each item, allowing the applicant to determine its relative strengths and opportunities for improvement. Scoring Distribution: Feedback reports also include a scoring distribution that contains the percentage of applicants that scored in each of the eight individual scoring bands. This helps to provide a context for the total score relative to other organizations. In addition, feedback reports include information on an applicant?s performance in relation to the median scores for other applicants.

8. 2011 Baldrige Award Applicants by Process Scoring Band A lot of interest has been shown in the general scoring of Baldrige Award applicants. Beginning in 2008, applicants received two score bands: one that represented their organizational maturity in the process categories of the Criteria (Leadership; Strategic Planning; Customer Focus; Measurement, Analysis, Workforce Focus, and Knowledge Management; and Process Management), and one that represented their organizational maturity in the results category. This slide shows the range of scoring bands from 2010 for the process categories. The majority of applicants scored in bands 3 through 5. Organizations in band 3 typically demonstrate effective, systematic approaches responsive to the basic requirements of most Criteria items, although there are still areas or work units in the early stages of deployment. Key processes are beginning to be systematically evaluated and improved. Organizations in band 4 typically demonstrate effective, systematic approaches responsive to the overall requirements of the Criteria, but deployment may vary in some areas or work units. Key processes benefit from fact-based evaluation and improvement, and approaches are being aligned with organizational needs. And organizations in band 5 typically demonstrate effective, systematic, well-deployed approaches responsive to the overall requirements of most Criteria items. The organization demonstrates a fact-based, systematic evaluation and improvement process and organizational learning, including innovation, that result in improving the effectiveness and efficiency of key processes. A lot of interest has been shown in the general scoring of Baldrige Award applicants. Beginning in 2008, applicants received two score bands: one that represented their organizational maturity in the process categories of the Criteria (Leadership; Strategic Planning; Customer Focus; Measurement, Analysis, Workforce Focus, and Knowledge Management; and Process Management), and one that represented their organizational maturity in the results category. This slide shows the range of scoring bands from 2010 for the process categories. The majority of applicants scored in bands 3 through 5. Organizations in band 3 typically demonstrate effective, systematic approaches responsive to the basic requirements of most Criteria items, although there are still areas or work units in the early stages of deployment. Key processes are beginning to be systematically evaluated and improved. Organizations in band 4 typically demonstrate effective, systematic approaches responsive to the overall requirements of the Criteria, but deployment may vary in some areas or work units. Key processes benefit from fact-based evaluation and improvement, and approaches are being aligned with organizational needs. And organizations in band 5 typically demonstrate effective, systematic, well-deployed approaches responsive to the overall requirements of most Criteria items. The organization demonstrates a fact-based, systematic evaluation and improvement process and organizational learning, including innovation, that result in improving the effectiveness and efficiency of key processes.

9. 2011 Baldrige Award Applicants by Results Scoring Band As stated in the previous slide, since 2008, Baldrige Award applicants have received scoring bands for both process and results items to better differentiate how examiners felt they scored within the process categories (1?6) and within the results category (7). Typically, the scoring band for process was higher than results, as it often takes multiple cycles of learning and improvement to refine the processes that lead to exceptional performance results. This slide shows the range of scoring bands for results. The majority of applicants scored in bands 1 through 4. For band 1, results are reported for a few areas of importance to the accomplishment of the organization?s mission, but they generally lack trend and comparative data. For band 2, results are reported for several areas of importance to the Criteria requirements and the accomplishment of the organization?s mission. Some of these results demonstrate good performance levels. The use of comparative and trend data is in the early stages. For band 3, results address many areas of importance to the accomplishment of the organization?s mission, with good performance being achieved. Comparative and trend data are available for some of these important results areas, and some beneficial trends are evident. And, for band 4, results address some key customer/stakeholder, market, and process requirements, and they demonstrate good relative performance against relevant comparisons. There are no patterns of adverse trends or poor performance in areas of importance to the Criteria requirements and the accomplishment of the organization?s mission. As stated in the previous slide, since 2008, Baldrige Award applicants have received scoring bands for both process and results items to better differentiate how examiners felt they scored within the process categories (1?6) and within the results category (7). Typically, the scoring band for process was higher than results, as it often takes multiple cycles of learning and improvement to refine the processes that lead to exceptional performance results. This slide shows the range of scoring bands for results. The majority of applicants scored in bands 1 through 4. For band 1, results are reported for a few areas of importance to the accomplishment of the organization?s mission, but they generally lack trend and comparative data. For band 2, results are reported for several areas of importance to the Criteria requirements and the accomplishment of the organization?s mission. Some of these results demonstrate good performance levels. The use of comparative and trend data is in the early stages. For band 3, results address many areas of importance to the accomplishment of the organization?s mission, with good performance being achieved. Comparative and trend data are available for some of these important results areas, and some beneficial trends are evident. And, for band 4, results address some key customer/stakeholder, market, and process requirements, and they demonstrate good relative performance against relevant comparisons. There are no patterns of adverse trends or poor performance in areas of importance to the Criteria requirements and the accomplishment of the organization?s mission.

10. Scoring for Award Applicants, 1988?2007 Before 2008, applicants received one scoring band for both process and results items. This slide shows the percentage of those 1988-to-2007 applicants in scoring band by year. You can see in these 1988-2007 data that it has been extremely rare for an organization to score in the two highest bands, with more than about 750 points. This may be due to the fact that all organizations, no matter their level of maturity, have opportunities for improvement and refinement in their processes and results. Before 2008, applicants received one scoring band for both process and results items. This slide shows the percentage of those 1988-to-2007 applicants in scoring band by year. You can see in these 1988-2007 data that it has been extremely rare for an organization to score in the two highest bands, with more than about 750 points. This may be due to the fact that all organizations, no matter their level of maturity, have opportunities for improvement and refinement in their processes and results.

11. 2011 Median Scoring Ranges As mentioned in an earlier slide, feedback reports include information on applicants? median scores. A spider, or radar, chart depicts an applicant?s performance in contrast to the median scores for other applicants. The spider chart here shows the median scores for all 2011 award applicants. The five possible rings on the spider chart, starting from the outside of the circle working in (numbers 5 through 1 are marked on the chart), represent a scoring range. The first ring represents the scoring range of 10?25%, the second ring 30?45%, the third ring 50?65%, the fourth ring 70?85%, and the fifth ring 90?100%. The red line indicates the actual median score for each Criteria item in 2011. From this chart, you can see that the median scores for items 1.1, 1.2, 2.1, 3.1, 3.2, 4.1, 4.2, 5.1, 5.2, and 6.2 are in the third ring, or 50?65%. The median scores for the other items all fell in the second ring, or 30?45%. Each feedback report will contain a similar spider chart depicting the performance of that particular applicant in contrast to all other applicant scores.As mentioned in an earlier slide, feedback reports include information on applicants? median scores. A spider, or radar, chart depicts an applicant?s performance in contrast to the median scores for other applicants. The spider chart here shows the median scores for all 2011 award applicants. The five possible rings on the spider chart, starting from the outside of the circle working in (numbers 5 through 1 are marked on the chart), represent a scoring range. The first ring represents the scoring range of 10?25%, the second ring 30?45%, the third ring 50?65%, the fourth ring 70?85%, and the fifth ring 90?100%. The red line indicates the actual median score for each Criteria item in 2011. From this chart, you can see that the median scores for items 1.1, 1.2, 2.1, 3.1, 3.2, 4.1, 4.2, 5.1, 5.2, and 6.2 are in the third ring, or 50?65%. The median scores for the other items all fell in the second ring, or 30?45%. Each feedback report will contain a similar spider chart depicting the performance of that particular applicant in contrast to all other applicant scores.

12. Baldrige and Other Performance Management Systems ISO 9001:2008 Health care accreditation, such as the Joint Commission Education accreditation, such as the North Central Association of Colleges and Schools Basic difference: Excellent performance versus minimum required performance Some organizations may feel conflicted about applying for the Baldrige Award versus pursuing other performance management systems. The next several slides will show that not only is the Baldrige Award compatible with these systems, but recent iterations of many standards and accreditations have become more similar to the Baldrige Criteria. Some now include systems perspectives, self-assessment, process management, a focus on results, and expanding procedures to become more performance-based and systematic in evaluations. In some cases, a Baldrige application may be substituted for these other assessments. Many accrediting organizations were established prior to and independent of passage of the Malcolm Baldrige National Quality Improvement Act of 1987. ? ISO?s (International Organization for Standardization?s) purpose is to facilitate international trade by providing a single set of conformity standards. ? The Joint Commission certifies health care providers? processes. ? The North Central Association (NCA) of Colleges and Schools conducts evaluations of K-12 school districts and higher education institutions for accreditation purposes. The basic difference between a Baldrige assessment and these other evaluation systems is that Baldrige focuses on achieving performance excellence rather than on achieving required performance levels. Baldrige feedback focuses on key challenges for the future and opportunities for improvement; accreditation feedback focuses on deficiencies. Some organizations may feel conflicted about applying for the Baldrige Award versus pursuing other performance management systems. The next several slides will show that not only is the Baldrige Award compatible with these systems, but recent iterations of many standards and accreditations have become more similar to the Baldrige Criteria. Some now include systems perspectives, self-assessment, process management, a focus on results, and expanding procedures to become more performance-based and systematic in evaluations. In some cases, a Baldrige application may be substituted for these other assessments. Many accrediting organizations were established prior to and independent of passage of the Malcolm Baldrige National Quality Improvement Act of 1987. ? ISO?s (International Organization for Standardization?s) purpose is to facilitate international trade by providing a single set of conformity standards. ? The Joint Commission certifies health care providers? processes. ? The North Central Association (NCA) of Colleges and Schools conducts evaluations of K-12 school districts and higher education institutions for accreditation purposes. The basic difference between a Baldrige assessment and these other evaluation systems is that Baldrige focuses on achieving performance excellence rather than on achieving required performance levels. Baldrige feedback focuses on key challenges for the future and opportunities for improvement; accreditation feedback focuses on deficiencies.

13. How Is Baldrige Different? Offers an overall systems framework Focuses on results in all areas Focuses on the future?a strategic view Includes organizational and personal learning and knowledge sharing Includes corporate governance, ethics, societal responsibility, and sustainability Provides a public service in the national interest The Baldrige Criteria provide a systems perspective for achieving performance excellence for the entire organization, whereas ISO focuses on product/service conformity systems and Six Sigma concentrates on product quality and process engineering, for example. Category 7 of the Baldrige Criteria requires identifying and tracking key results in all areas of importance to an organization: product and process outcomes, customer-focused outcomes, workforce-focused outcomes, leadership and governance outcomes, and financial and market outcomes. One of the core values of the Baldrige Criteria is a focus on the future for sustainable performance and market leadership. This requires an understanding of the short- and longer-term factors that affect an organization. The Baldrige Criteria also emphasize the importance of organizational and personal learning and knowledge sharing, which includes continuous improvement as well as adaptation to change, best-practice sharing, benchmarking, and investments in the workforce?s personal learning and growth. Thus learning is directed not only toward better products but also toward being more responsive, adaptive, and efficient. The Baldrige Criteria include an increased focus on governance, sustainability, societal responsibility, ethics, and strategy?issues not addressed by ISO or Six Sigma. Baldrige has a unique mission and legislative mandate. The Baldrige Program is the first and only organization that focuses on performance excellence as well as America?s competitiveness. The Baldrige Criteria provide a systems perspective for achieving performance excellence for the entire organization, whereas ISO focuses on product/service conformity systems and Six Sigma concentrates on product quality and process engineering, for example. Category 7 of the Baldrige Criteria requires identifying and tracking key results in all areas of importance to an organization: product and process outcomes, customer-focused outcomes, workforce-focused outcomes, leadership and governance outcomes, and financial and market outcomes. One of the core values of the Baldrige Criteria is a focus on the future for sustainable performance and market leadership. This requires an understanding of the short- and longer-term factors that affect an organization. The Baldrige Criteria also emphasize the importance of organizational and personal learning and knowledge sharing, which includes continuous improvement as well as adaptation to change, best-practice sharing, benchmarking, and investments in the workforce?s personal learning and growth. Thus learning is directed not only toward better products but also toward being more responsive, adaptive, and efficient. The Baldrige Criteria include an increased focus on governance, sustainability, societal responsibility, ethics, and strategy?issues not addressed by ISO or Six Sigma. Baldrige has a unique mission and legislative mandate. The Baldrige Program is the first and only organization that focuses on performance excellence as well as America?s competitiveness.

14. What Manufacturing Leaders Say ?The Baldrige opportunity, on its own, was a way for us to get a very disciplined, external perspective, an examination of our business, of how we manage our business. ? That?s a very valuable thing. I can?t imagine what you?d have to pay a consultant to do that. It?s been a terrific journey.? ?Patrick McGinnis, president and CEO of 2010 Baldrige Award recipient Nestl? Purina Pet Care Co. Additional quotes from leaders of manufacturing businesses that have won the Baldrige Award in recent years: ?The Baldrige requirements ? expose the gaps that you have within your operating structure, your governance, how you conduct business. So once you identify those gaps, you take the steps to resolve them. ? There?s no question that Baldrige has assisted and made MEDRAD a better company on all fronts.? ?Samuel Liang, president and CEO of 2003 and 2010 Baldrige Award recipient MEDRAD ?If you?re considering your own Baldrige quest, please do that. I would encourage you to get your team and your leadership behind such a journey. It?s a very rewarding journey. It really brings your team together, all of your employees. It builds upon success and allows you to strive for continuous improvement in delivering for your customer and then internally driving employee satisfaction and engagement.? ?Anthony Brancato, III, president of 2009 Baldrige Award recipient Honeywell Federal Manufacturing & Technologies, LLC ?The economic environment is difficult for Cargill Corn Milling, as it is difficult for many manufacturing companies today. But ? by utilizing the processes and tools that we?ve learned from Baldrige, we?re able to not only meet these challenges but actually excel in them.? ?Alan Willits, president and business unit leader of 2008 Baldrige Award recipient Cargill Corn Milling Additional quotes from leaders of manufacturing businesses that have won the Baldrige Award in recent years:

15. Baldrige, ISO 9001:2008, and Six Sigma May compete for the same resources Serve different but compatible purposes ISO 9001:2008 and Six Sigma represent a fraction of the performance management system in the Baldrige Criteria Some potential applicants for the Baldrige Award may believe that to become more competitive they also must complete ISO registration and/or implement Six Sigma, but they may find they are unable to do all three at the same time. The choice of which to do first is a business decision that only the organization can make. ISO 9001:2008 registration and Six Sigma could be seen as tools or subsets for the Baldrige process, given the shared emphases in many areas. Some potential applicants for the Baldrige Award may believe that to become more competitive they also must complete ISO registration and/or implement Six Sigma, but they may find they are unable to do all three at the same time. The choice of which to do first is a business decision that only the organization can make. ISO 9001:2008 registration and Six Sigma could be seen as tools or subsets for the Baldrige process, given the shared emphases in many areas.

16. What Health Care Leaders Say ?These are very tough economic times. Not only are we still dealing with very high unemployment and increasing percentages of uninsured, but there?s health care reform to get ready for. And in spite of all these challenges, we have just closed the books in 2010 on the best year in Good Samaritan?s history. We had our best financial performance, our best health outcomes, our best patient satisfaction, and our best associate satisfaction.? ?David Fox, president of 2010 Baldrige Award recipient Advocate Good Samaritan Hospital Additional quotes from leaders of health care organizations that have won the Baldrige Award in recent years: ?We?ve been able to provide our services, the highest quality services in the country, at the lowest possible cost.? The Baldrige process has given us the opportunity to make a really dramatic change in the local environment.? ?Rulon Stacey, president of 2008 Baldrige Award recipient Poudre Valley Health System ?We realized [that] if we were going to break through and reach higher and higher levels of performance, we needed a new set of tools. We needed a different approach to this. And we studied what was out there and realized that Baldrige was really the best set of tools, the best framework for us to really accelerate our transformation as an organization.? ?David Tilton, president and CEO of 2009 Baldrige Award recipient AtlantiCare Additional quotes from leaders of health care organizations that have won the Baldrige Award in recent years: ?We?ve been able to provide our services, the highest quality services in the country, at the lowest possible cost.? The Baldrige process has given us the opportunity to make a really dramatic change in the local environment.? ?Rulon Stacey, president of 2008 Baldrige Award recipient Poudre Valley Health System ?We realized [that] if we were going to break through and reach higher and higher levels of performance, we needed a new set of tools. We needed a different approach to this. And we studied what was out there and realized that Baldrige was really the best set of tools, the best framework for us to really accelerate our transformation as an organization.? ?David Tilton, president and CEO of 2009 Baldrige Award recipient AtlantiCare

17. Baldrige and Joint Commission Similarities Focus on continuous improvement Are based on a set of core values Offer a means for self-assessment The Joint Commission standards and the Baldrige Criteria for Performance Excellence do not compete or conflict with one another. How are they similar? Both ?focus on continuous improvement ?are based on a set of core values ?offer a means for self-assessment The Joint Commission standards and the Baldrige Criteria for Performance Excellence do not compete or conflict with one another. How are they similar? Both ?focus on continuous improvement ?are based on a set of core values ?offer a means for self-assessment

18. Baldrige and Joint Commission Differences Joint Commission Focuses on patient care Establishes minimum standards for accreditation Considers individual factors Baldrige Overall organizational focus, including focus on patients Role-model performance Focuses on individual factors and strategic challenges and advantages How are they different? ?The Joint Commission?s focus is on the care of patients. Baldrige?s focus is more comprehensive, including a focus on organizational systems, management, the workforce, and other stakeholders, but it doesn?t include the specific patient safety requirements spelled out by the Joint Commission. ?The Joint Commission?s qualifications for institutions are intended to be inclusive, allowing all acceptable institutions to qualify. Baldrige encourages organizations to achieve excellence and recognizes leading-edge practices and world-class, role-model levels of performance. ?The Joint Commission?s review process looks for the same things in every institution, serving as an audit. The Joint Commission considers some individual factors. However, in the Baldrige evaluation process, examiners review award applicants? processes and results relative to each applicant?s key environmental and organizational factors and strategic challenges and advantages.How are they different? ?The Joint Commission?s focus is on the care of patients. Baldrige?s focus is more comprehensive, including a focus on organizational systems, management, the workforce, and other stakeholders, but it doesn?t include the specific patient safety requirements spelled out by the Joint Commission. ?The Joint Commission?s qualifications for institutions are intended to be inclusive, allowing all acceptable institutions to qualify. Baldrige encourages organizations to achieve excellence and recognizes leading-edge practices and world-class, role-model levels of performance. ?The Joint Commission?s review process looks for the same things in every institution, serving as an audit. The Joint Commission considers some individual factors. However, in the Baldrige evaluation process, examiners review award applicants? processes and results relative to each applicant?s key environmental and organizational factors and strategic challenges and advantages.

19. What Education Leaders Say ?What we?ve done [with Baldrige] is put together a string of wins based on continuous improvement, ? and it?s changed the way we look at children, changed our expectations, changed the way that we look at outcomes, helped us look higher, changed the way that we keep track of data. It?s not testing; it?s measurement, measurement to improvement.? ?Dr. Jerry Weast, former superintendent of 2010 Baldrige Award recipient Montgomery County Public Schools, Maryland Additional quotes from leaders of education organizations that have won the Baldrige Award in recent years: ?Baldrige [offers] the only education Criteria that actually [enable a school system] to compare itself against other organizations ? that show you what world-class looks like. When we improve, children are successful.? ?Dr. Terry Holliday, former superintendent of 2008 Baldrige Award recipient Iredell-Statesville Schools, North Carolina (Holliday is now Kentucky Commissioner of Education.) ?We recognize the awesome honor and myriad responsibilities that accompany the [Malcolm Baldrige National Quality Award]. ... Jenks staff members look forward to providing contributions on many fronts, and we will be specifically focused on sharing our quality practices with other school districts as we all strive to help lead our country toward a world-class education system.? ?Kirby A. Lehman, superintendent of 2005 Baldrige Award recipient Jenks Public Schools, Oklahoma Additional quotes from leaders of education organizations that have won the Baldrige Award in recent years: ?Baldrige [offers] the only education Criteria that actually [enable a school system] to compare itself against other organizations ? that show you what world-class looks like. When we improve, children are successful.? ?Dr. Terry Holliday, former superintendent of 2008 Baldrige Award recipient Iredell-Statesville Schools, North Carolina (Holliday is now Kentucky Commissioner of Education.) ?We recognize the awesome honor and myriad responsibilities that accompany the [Malcolm Baldrige National Quality Award]. ... Jenks staff members look forward to providing contributions on many fronts, and we will be specifically focused on sharing our quality practices with other school districts as we all strive to help lead our country toward a world-class education system.? ?Kirby A. Lehman, superintendent of 2005 Baldrige Award recipient Jenks Public Schools, Oklahoma

20. Baldrige and NCA NCA CASI has adopted Baldrige-compatible criteria as the basis of its new district and school accreditation frameworks. The NCA Higher Learning Commission has created the Academic Quality Improvement Project to infuse quality into colleges and universities. The NCA Commission on Accreditation and School Improvement (CASI) The North Central Association?s Commission on Accreditation and School Improvement (NCA CASI) has adopted Baldrige-compatible criteria as the basis of its district and school accreditation frameworks. The NCA Higher Learning Commission (For more information, go to www.aqip.org/ and www.ncahigherlearningcommission.org/.) The commission has created the Academic Quality Improvement Project (AQIP) to ?infuse? the principles of quality into already-accredited colleges and universities. Funded by the Pew Charitable Trusts and begun in 1999, AQIP is an alternative process through which already-accredited institutions can maintain their Higher Learning Commission (HLC) accreditation. AQIP?s criteria are directly compatible with the Baldrige Criteria. The NCA Commission on Accreditation and School Improvement (CASI) The North Central Association?s Commission on Accreditation and School Improvement (NCA CASI) has adopted Baldrige-compatible criteria as the basis of its district and school accreditation frameworks. The NCA Higher Learning Commission (For more information, go to www.aqip.org/ and www.ncahigherlearningcommission.org/.) The commission has created the Academic Quality Improvement Project (AQIP) to ?infuse? the principles of quality into already-accredited colleges and universities. Funded by the Pew Charitable Trusts and begun in 1999, AQIP is an alternative process through which already-accredited institutions can maintain their Higher Learning Commission (HLC) accreditation. AQIP?s criteria are directly compatible with the Baldrige Criteria.

21. What Nonprofit Leaders Say ?We [adopted the Baldrige Criteria] in order to become the best organization we can possibly be and provide the best products and support we can.? ?Dr. Joseph A. Lannon, director of U.S. Army Armament Research, Development and Engineering Center (ARDEC), a 2007 Baldrige Award recipient Additional quotes from leaders of nonprofit organizations that have won the Baldrige Award: ?The veteran is the benefactor of what we provide for our clinical trials, and I think that the Baldrige Program actually enabled us to transform the organization from being good to a great organization, one that is very high- performing.? ?Mike Sather, director of 2009 Baldrige Award recipient VA Cooperative Studies Program Clinical Research Pharmacy Coordinating Center ?The real value in applying for this Award is in the rigorous evaluation process. The constructive feedback from Baldrige helps us improve the way we do business. The community benefits when we deliver goods and services in the most responsive and responsible manner. We are proud to be the first local government in the nation to win the Baldrige Award. We are even prouder of the business improvements and results that have earned us this most prestigious Award.? ?Michael Levinson, city manager of 2007 Baldrige Award recipient City of Coral Springs, Florida Additional quotes from leaders of nonprofit organizations that have won the Baldrige Award: ?The veteran is the benefactor of what we provide for our clinical trials, and I think that the Baldrige Program actually enabled us to transform the organization from being good to a great organization, one that is very high- performing.? ?Mike Sather, director of 2009 Baldrige Award recipient VA Cooperative Studies Program Clinical Research Pharmacy Coordinating Center ?The real value in applying for this Award is in the rigorous evaluation process. The constructive feedback from Baldrige helps us improve the way we do business. The community benefits when we deliver goods and services in the most responsive and responsible manner. We are proud to be the first local government in the nation to win the Baldrige Award. We are even prouder of the business improvements and results that have earned us this most prestigious Award.? ?Michael Levinson, city manager of 2007 Baldrige Award recipient City of Coral Springs, Florida

22. The Bottom Line: Results Improved outcomes for products, services, and processes Besides results such as increased self-knowledge, more workforce participation, and integrated operations, the Baldrige framework has helped organizations to improve bottom-line results and competitiveness. Following are some examples: HIGHER PERFORMANCE ON PRODUCTS, SERVICES, AND PROCESSES Montgomery County Public Schools (2010 Baldrige Award recipient) elementary school students? reading performance used to determine Adequate Yearly Progress (AYP) increased for all subgroups, including improvements of 10.2 percentage points for Limited English Proficient students, 8.3 percentage points for students receiving free and reduced-priced meals, 7.1 percentage points for African Americans, and 7.6 percentage points for Hispanics.. AtlantiCare Regional Medical Center, part of the AtlantiCare health system (2009 Baldrige Award recipient), achieved the Centers for Medicare and Medicaid Services national top-10-percent performance in 2008 for patient care measures related to congestive heart failure, acute myocardial infarction, and pneumonia. Over the last five years, K&N Management (2010 Baldrige Award recipient) has deployed over 200 processes to its stores. Successes achieved through these processes include an order accuracy rate for both restaurant concepts of nearly 100 percent, comparing favorably with the industry average (approximately 87 percent) and a national chain (approximately 98 percent); "line times out" (an indicator of quick service) that are 80 percent faster at Rudy's Country Store & Bar-B-Q than at a top-10-percent competitor; a 92 percent record for passing health department inspections compared to approximately 86 percent by competitors; and food costs as a percent of sales that are 3 percent below those of similar restaurants. Advocate Good Samaritan Hospital (2010 Baldrige Award recipient) demonstrates high levels of performance in many process measures for clinical outcomes. For example, risk-adjusted mortality (overall mortality divided by expected mortality where 1 is the standard) decreased from 0.55 in 2007 to 0.42 in 2010, exceeding the six-county top-decile level as measured by Thomson Reuters. Lean manufacturing concepts have helped MESA Products, Inc. (2006 Baldrige Award recipient) achieve cycle time and productivity improvements. For example, throughput time in the magnesium assembly area improved by 82 percent, output in the instrumentation equipment assembly area increased by 60 percent, lead time for the sales-order-entry process decreased by 30 percent, and error rates dropped 50 percent. In addition, on-time shipments improved to 97.2 percent. Hurricane Katrina caused DynMcDermott Petroleum Operations Company (2005 Baldrige Award recipient) to relocate operations from New Orleans, Louisiana, to Beaumont, Texas. Within five days, the Strategic Petroleum Reserve, which DynMcDermott manages as a contractor for the U.S. Department of Energy, began delivering oil to refineries in the Gulf Coast region that normally get oil from the Gulf of Mexico. Since 1998, Boeing Aerospace Support (2003 Baldrige Award recipient) has provided products and services within three days of a request, while competitors take up to 40 days. Besides results such as increased self-knowledge, more workforce participation, and integrated operations, the Baldrige framework has helped organizations to improve bottom-line results and competitiveness. Following are some examples: HIGHER PERFORMANCE ON PRODUCTS, SERVICES, AND PROCESSES Montgomery County Public Schools (2010 Baldrige Award recipient) elementary school students? reading performance used to determine Adequate Yearly Progress (AYP) increased for all subgroups, including improvements of 10.2 percentage points for Limited English Proficient students, 8.3 percentage points for students receiving free and reduced-priced meals, 7.1 percentage points for African Americans, and 7.6 percentage points for Hispanics.. AtlantiCare Regional Medical Center, part of the AtlantiCare health system (2009 Baldrige Award recipient), achieved the Centers for Medicare and Medicaid Services national top-10-percent performance in 2008 for patient care measures related to congestive heart failure, acute myocardial infarction, and pneumonia. Over the last five years, K&N Management (2010 Baldrige Award recipient) has deployed over 200 processes to its stores. Successes achieved through these processes include an order accuracy rate for both restaurant concepts of nearly 100 percent, comparing favorably with the industry average (approximately 87 percent) and a national chain (approximately 98 percent); "line times out" (an indicator of quick service) that are 80 percent faster at Rudy's Country Store & Bar-B-Q than at a top-10-percent competitor; a 92 percent record for passing health department inspections compared to approximately 86 percent by competitors; and food costs as a percent of sales that are 3 percent below those of similar restaurants. Advocate Good Samaritan Hospital (2010 Baldrige Award recipient) demonstrates high levels of performance in many process measures for clinical outcomes. For example, risk-adjusted mortality (overall mortality divided by expected mortality where 1 is the standard) decreased from 0.55 in 2007 to 0.42 in 2010, exceeding the six-county top-decile level as measured by Thomson Reuters. Lean manufacturing concepts have helped MESA Products, Inc. (2006 Baldrige Award recipient) achieve cycle time and productivity improvements. For example, throughput time in the magnesium assembly area improved by 82 percent, output in the instrumentation equipment assembly area increased by 60 percent, lead time for the sales-order-entry process decreased by 30 percent, and error rates dropped 50 percent. In addition, on-time shipments improved to 97.2 percent. Hurricane Katrina caused DynMcDermott Petroleum Operations Company (2005 Baldrige Award recipient) to relocate operations from New Orleans, Louisiana, to Beaumont, Texas. Within five days, the Strategic Petroleum Reserve, which DynMcDermott manages as a contractor for the U.S. Department of Energy, began delivering oil to refineries in the Gulf Coast region that normally get oil from the Gulf of Mexico. Since 1998, Boeing Aerospace Support (2003 Baldrige Award recipient) has provided products and services within three days of a request, while competitors take up to 40 days.

23. Improved customer satisfaction, engagement, and loyalty The Bottom Line: Results IMPROVED CUSTOMER SATISFACTION, ENGAGEMENT, AND LOYALTY MEDRAD (2010 Baldrige Award recipient) achieved overall Net Promoter (NP) scores (a loyalty metric defined by the level of repeat sales and referrals) that increased from 50 percent in 2001 to 63 percent in 2010, surpassing the best-in-class benchmark of 50 percent. Freese and Nichols (2010 a Baldrige Award recipient) has a strong ability to build long-term client relationships, retaining 42 percent of its key accounts for more than 30 years and 71 percent for more than 10 years. K&N Management (2010 Baldrige Award recipient) achieved overall guest satisfaction ratings are just over 4.7 (on a 5-point scale) for both of its restaurant concepts, compared to the best competitor's rating of just over 4. Since 2006, Studer Group?s (2010 Baldrige Award recipient) satisfaction ratings have ranged from 4.6 to 4.9 on a 5-point scale, exceeding the Service Performance Insight (SPI) Best Benchmark of 4.3. High levels of satisfaction have translated into renewal rates that exceed 85 percent annually. Advocate Good Samaritan?s (2010 a Baldrige Award recipient) overall patient satisfaction exceeds top-decile ratings from Press Ganey, the largest national surveyor for patient satisfaction, for the following patient segments: outpatient, emergency, ambulatory surgery and convenient care; as well as top-quartile performance for inpatient. The loyalty of patients in these segments, as measured by their likelihood to recommend Good Samaritan Hospital, is close to the top-decile level. Montgomery County Public Schools (2010 Baldrige Award recipient) receives very favorable ratings from parents and students in measures of general satisfaction, staff expectations, and perceptions of safety. Specifically, parent satisfaction ranged from 79.7 to 86.7 percent from 2005 to 2010, compared to a national comparative average of 54 percent. Honeywell Federal Manufacturing & Technology (2009 Baldrige Award recipient) has maintained overall customer satisfaction at or above 95% for four years. AtlantiCare?s (2009 Baldrige Award recipient) survey responses from 2007 to 2009 show customer satisfaction exceeding the Professional Research Consultants? 90th percentile national benchmark in several areas. AtlantiCare led the market in 2008 in customer preference.IMPROVED CUSTOMER SATISFACTION, ENGAGEMENT, AND LOYALTY MEDRAD (2010 Baldrige Award recipient) achieved overall Net Promoter (NP) scores (a loyalty metric defined by the level of repeat sales and referrals) that increased from 50 percent in 2001 to 63 percent in 2010, surpassing the best-in-class benchmark of 50 percent. Freese and Nichols (2010 a Baldrige Award recipient) has a strong ability to build long-term client relationships, retaining 42 percent of its key accounts for more than 30 years and 71 percent for more than 10 years. K&N Management (2010 Baldrige Award recipient) achieved overall guest satisfaction ratings are just over 4.7 (on a 5-point scale) for both of its restaurant concepts, compared to the best competitor's rating of just over 4. Since 2006, Studer Group?s (2010 Baldrige Award recipient) satisfaction ratings have ranged from 4.6 to 4.9 on a 5-point scale, exceeding the Service Performance Insight (SPI) Best Benchmark of 4.3. High levels of satisfaction have translated into renewal rates that exceed 85 percent annually. Advocate Good Samaritan?s (2010 a Baldrige Award recipient) overall patient satisfaction exceeds top-decile ratings from Press Ganey, the largest national surveyor for patient satisfaction, for the following patient segments: outpatient, emergency, ambulatory surgery and convenient care; as well as top-quartile performance for inpatient. The loyalty of patients in these segments, as measured by their likelihood to recommend Good Samaritan Hospital, is close to the top-decile level. Montgomery County Public Schools (2010 Baldrige Award recipient) receives very favorable ratings from parents and students in measures of general satisfaction, staff expectations, and perceptions of safety. Specifically, parent satisfaction ranged from 79.7 to 86.7 percent from 2005 to 2010, compared to a national comparative average of 54 percent. Honeywell Federal Manufacturing & Technology (2009 Baldrige Award recipient) has maintained overall customer satisfaction at or above 95% for four years. AtlantiCare?s (2009 Baldrige Award recipient) survey responses from 2007 to 2009 show customer satisfaction exceeding the Professional Research Consultants? 90th percentile national benchmark in several areas. AtlantiCare led the market in 2008 in customer preference.

24. Greater workforce productivity, engagement, and achievement The Bottom Line: Results GREATER WORKFORCE PRODUCTIVITY, ENGAGEMENT, AND ACHIEVEMENT Nestle Purina PetCare (2010 Baldrige Award recipient) was named the "Number One Best Place to Work in St. Louis" in 2009 and 2010 by the St. Louis Business Journal. The underlying survey for the selection includes topics such as alignment, trust, manager effectiveness, and job satisfaction. NPPC's aggregate measure on the und was the benchmark for St. Louis in 2008, 2009, and 2010, with a rating in 2010 of slightly more than 5.40 (on a six-point scale) versus a rating of 5.10 for the second-place organization. Freese and Nichols Inc. (2010 Baldrige Award recipient) earned honors for superior workforce satisfaction, professional development, and employee engagement, including recognition as a "Best Place to Work (2007)" by the Society for Human Resource Management; "2010 Top Workplaces" from The Dallas Morning News; 2009 Private Practice Professional Development Award by the National Society of Professional Engineers; "Best Place to Learn" from the American Society for Training and Development -Dallas Chapter (2007); and inclusion in the "Top 40 Best Civil Engineering Firms to Work For" list by Civil Engineering News (2009). K&N Management?s (2010 Baldrige Award recipient) turnover rate for production workers is less than 50 percent in contrast to the industry average of 85 percent. K&N Management's absentee rate is slightly more than 1 percent, compared to 5 percent for the best competitor and 3.5 percent for benchmarked organizations. Studer Group (2010 Baldrige Award recipient) was named as one of the "Top 25 Best Small Companies to Work for in America" by the Society for Human Resource Management and the Great Places to Work Institute in 2008, 2009, and 2010, achieving a ranking of 14th in 2010. The firm also ranked 12th on the list of "50 Best Florida Companies to Work For" by Florida Trend Magazine in 2010. Advocate Good Samaritan Hospital?s (2010 Baldrige Award recipient) survey results from Morehead, an employee opinion research firm, show overall associate satisfaction that exceeds the top 10 percent level. Other associate-related results, such as those for factors of engagement and of voluntary turnover, are equal to or approaching the top-decile level. AtlantiCare?s (2009 Baldrige Award recipient) workforce engagement levels are around the 90th percentile national performance levels, with declining turnover rates for nurses that are substantially lower than the state hospital average. Money magazine named the City of Coral Springs (2007 Baldrige Award recipient; one of the first nonprofit recipients) one of the ?Best Places to Live? in 2006. In 2005, 2006, and 2007, the city was named one of the 100 best communities for young people by America?s Promise Alliance. For the past ten years, more than 90 percent of employees have been satisfied with their jobs and are willing to recommend the city as a place to work, outperforming a comparison group of federal government employees. Business satisfaction has risen from 76 percent in 2004 to 97 percent in 2008; 90 percent of businesses would recommend the city to others. GREATER WORKFORCE PRODUCTIVITY, ENGAGEMENT, AND ACHIEVEMENT Nestle Purina PetCare (2010 Baldrige Award recipient) was named the "Number One Best Place to Work in St. Louis" in 2009 and 2010 by the St. Louis Business Journal. The underlying survey for the selection includes topics such as alignment, trust, manager effectiveness, and job satisfaction. NPPC's aggregate measure on the und was the benchmark for St. Louis in 2008, 2009, and 2010, with a rating in 2010 of slightly more than 5.40 (on a six-point scale) versus a rating of 5.10 for the second-place organization. Freese and Nichols Inc. (2010 Baldrige Award recipient) earned honors for superior workforce satisfaction, professional development, and employee engagement, including recognition as a "Best Place to Work (2007)" by the Society for Human Resource Management; "2010 Top Workplaces" from The Dallas Morning News; 2009 Private Practice Professional Development Award by the National Society of Professional Engineers; "Best Place to Learn" from the American Society for Training and Development -Dallas Chapter (2007); and inclusion in the "Top 40 Best Civil Engineering Firms to Work For" list by Civil Engineering News (2009). K&N Management?s (2010 Baldrige Award recipient) turnover rate for production workers is less than 50 percent in contrast to the industry average of 85 percent. K&N Management's absentee rate is slightly more than 1 percent, compared to 5 percent for the best competitor and 3.5 percent for benchmarked organizations. Studer Group (2010 Baldrige Award recipient) was named as one of the "Top 25 Best Small Companies to Work for in America" by the Society for Human Resource Management and the Great Places to Work Institute in 2008, 2009, and 2010, achieving a ranking of 14th in 2010. The firm also ranked 12th on the list of "50 Best Florida Companies to Work For" by Florida Trend Magazine in 2010. Advocate Good Samaritan Hospital?s (2010 Baldrige Award recipient) survey results from Morehead, an employee opinion research firm, show overall associate satisfaction that exceeds the top 10 percent level. Other associate-related results, such as those for factors of engagement and of voluntary turnover, are equal to or approaching the top-decile level. AtlantiCare?s (2009 Baldrige Award recipient) workforce engagement levels are around the 90th percentile national performance levels, with declining turnover rates for nurses that are substantially lower than the state hospital average. Money magazine named the City of Coral Springs (2007 Baldrige Award recipient; one of the first nonprofit recipients) one of the ?Best Places to Live? in 2006. In 2005, 2006, and 2007, the city was named one of the 100 best communities for young people by America?s Promise Alliance. For the past ten years, more than 90 percent of employees have been satisfied with their jobs and are willing to recommend the city as a place to work, outperforming a comparison group of federal government employees. Business satisfaction has risen from 76 percent in 2004 to 97 percent in 2008; 90 percent of businesses would recommend the city to others.

25. What Service Business Leaders Say ?Embedding Baldrige was crucial to our shaping Premier successfully ? It is very true that the Criteria, not being prescriptive, apply to all kinds of organizations in all kinds of situations.? ?Richard A. Norling, president and CEO of Premier Inc., a 2006 Baldrige Award recipient Additional quotes from leaders of service businesses that have won the Baldrige Award: ?We work hard at performance improvement, always looking ahead, finding and overcoming the next challenge. The Baldrige culture is DM?s culture.? ?Robert E. McGough, CEO and president of DynMcDermott Petroleum Operations Company (now DM Petroleum Operations Company), 2005 Baldrige Award recipient ?For seven years in a row, we?ve improved customer satisfaction, we?ve improved occupancy, we?ve improved employee satisfaction, we?ve lowered employee departures, turnover, and we improved annually our profit.? ?Horst Schulze, founding president of The Ritz-Carlton Hotel Company, L.L.C. (now part of Marriott International), 1999 Baldrige Award recipient ? Additional quotes from leaders of service businesses that have won the Baldrige Award: ?We work hard at performance improvement, always looking ahead, finding and overcoming the next challenge. The Baldrige culture is DM?s culture.? ?Robert E. McGough, CEO and president of DynMcDermott Petroleum Operations Company (now DM Petroleum Operations Company), 2005 Baldrige Award recipient ?For seven years in a row, we?ve improved customer satisfaction, we?ve improved occupancy, we?ve improved employee satisfaction, we?ve lowered employee departures, turnover, and we improved annually our profit.? ?Horst Schulze, founding president of The Ritz-Carlton Hotel Company, L.L.C. (now part of Marriott International), 1999 Baldrige Award recipient ?

26. Lowered costs Increased revenue The Bottom Line: Results LOWERED COSTS MEDRAD's (2010 award recipient) "Value Improvement Program" captures, measures, tracks, and recognizes employees' improvement ideas. Program participation increased 12-fold from 50 employees in 1999 to more than 600 in 2009. Value delivered from this program increased from $23,000 per employee in 2005 to $45,000 in 2009. This dramatically surpassed Industry Week magazine's "Best Plant" benchmark level of $10,000 per employee for similar improvement programs. Honeywell Federal Manufacturing & Technologies? (2009 award recipient) use of the Six Sigma Plus Continuous Improvement Model ensures integration of customer and business requirements into all design projects. Use of this approach has resulted in cost savings from increased productivity and deployed innovations of between $23.5 million and $27 million annually for the past three years. Cargill Corn Milling North America?s (2008 award recipient) earnings after tax, a key financial goal for the business unit, nearly tripled from fiscal year (FY) 2003 to FY2007, and its general and administration expense per gross profit?the cost of doing business?improved from about 35 percent in FY2005 to 30 percent in FY2008, exceeding competitive benchmarks by at least 5 percent for the FY2005-2007 period. ARDEC (2007 award recipient; one of the first nonprofit recipients), achieved overall Lean/Six Sigma improvements in quality (91 percent), cost (70 percent), schedule (67 percent), and risk (84 percent), with an overall cost avoidance of $3.22 billion since 2001. INCREASED REVENUE MEDRAD's (2010 award recipient) revenues grew steadily from about $120 million in 1997 to approximately $625 million in 2009. In addition, gross margin increased more than 10 percent in three years. Nestle Purina PetCare (2010 award recipient) has continually grown its revenue over the past seven years, from $4.2 billion in 2003 to more than $6.9 billion in 2009. The company met its 2010 stretch goal of $7.5 billion, despite the nation's economic downturn and the fact that pet population has grown by only 1 percent since 2003. For the past four years, Freese and Nichols (2010 award recipient) has achieved revenue growth of between 12 and 16 percent, exceeding the industry benchmark in 2009 by 10 percentage points. The firm also has maintained profitability over this same period, while the engineering industry has seen minimal growth and modest profit. K&N Management's (2010 award recipient) restaurants significantly outperform local competitors and national chains. The Rudy's Country Store & Bar-B-Q restaurants increased average unit sales from just over $3 million in 2000 to slightly more than $7 million in 2010. From its inception in 2007 to the third quarter of 2010, Mighty Fine Burgers, Fries and Shakes increased annual unit sales from just over $2 million to more than $3 million, triple the unit sales of its best competitor. With a focus on financial sustainability, Studer Group's (2010 award recipient) revenues grew more than 30 percent annually since 2001, exceeding the AMCF average of 10 percent annual growth. LOWERED COSTS MEDRAD's (2010 award recipient) "Value Improvement Program" captures, measures, tracks, and recognizes employees' improvement ideas. Program participation increased 12-fold from 50 employees in 1999 to more than 600 in 2009. Value delivered from this program increased from $23,000 per employee in 2005 to $45,000 in 2009. This dramatically surpassed Industry Week magazine's "Best Plant" benchmark level of $10,000 per employee for similar improvement programs. Honeywell Federal Manufacturing & Technologies? (2009 award recipient) use of the Six Sigma Plus Continuous Improvement Model ensures integration of customer and business requirements into all design projects. Use of this approach has resulted in cost savings from increased productivity and deployed innovations of between $23.5 million and $27 million annually for the past three years. Cargill Corn Milling North America?s (2008 award recipient) earnings after tax, a key financial goal for the business unit, nearly tripled from fiscal year (FY) 2003 to FY2007, and its general and administration expense per gross profit?the cost of doing business?improved from about 35 percent in FY2005 to 30 percent in FY2008, exceeding competitive benchmarks by at least 5 percent for the FY2005-2007 period. ARDEC (2007 award recipient; one of the first nonprofit recipients), achieved overall Lean/Six Sigma improvements in quality (91 percent), cost (70 percent), schedule (67 percent), and risk (84 percent), with an overall cost avoidance of $3.22 billion since 2001. INCREASED REVENUE MEDRAD's (2010 award recipient) revenues grew steadily from about $120 million in 1997 to approximately $625 million in 2009. In addition, gross margin increased more than 10 percent in three years. Nestle Purina PetCare (2010 award recipient) has continually grown its revenue over the past seven years, from $4.2 billion in 2003 to more than $6.9 billion in 2009. The company met its 2010 stretch goal of $7.5 billion, despite the nation's economic downturn and the fact that pet population has grown by only 1 percent since 2003. For the past four years, Freese and Nichols (2010 award recipient) has achieved revenue growth of between 12 and 16 percent, exceeding the industry benchmark in 2009 by 10 percentage points. The firm also has maintained profitability over this same period, while the engineering industry has seen minimal growth and modest profit. K&N Management's (2010 award recipient) restaurants significantly outperform local competitors and national chains. The Rudy's Country Store & Bar-B-Q restaurants increased average unit sales from just over $3 million in 2000 to slightly more than $7 million in 2010. From its inception in 2007 to the third quarter of 2010, Mighty Fine Burgers, Fries and Shakes increased annual unit sales from just over $2 million to more than $3 million, triple the unit sales of its best competitor. With a focus on financial sustainability, Studer Group's (2010 award recipient) revenues grew more than 30 percent annually since 2001, exceeding the AMCF average of 10 percent annual growth.

27. Increased market share The Bottom Line: Results INCREASED MARKET SHARE Nestle Purina PetCare (2010 Baldrige Award recipient) ranks number one in market share for pet care products in North America and has twice the market share of its closest competitor. It increased its market share from approximately 31.2 percent in 2001 to 34.2 percent in 2010 in a mature industry. Cargill Corn Milling North America?s (2008 Baldrige Award recipient) compound annual growth rate with strategic customers has increased across 6 core business areas in recent years. Mercy Health System (2007 Baldrige Award recipient) is the leader in market share for inpatient services and outpatient surgery in its Wisconsin service area. Mercy?s physician clinic offices capture 87 percent of the market in their Wisconsin service area. MEDRAD, Inc. (2003 and 2010 Baldrige Award recipient) is the market leader in the United States and Europe for its vascular injection systems and related services, with market shares significantly greater than those of its best competitor in main product lines and regions around the world. Note to Speaker: Additional results from award recipients can be found in the Program Impacts and Key Excellence Indicators slide modules. INCREASED MARKET SHARE Nestle Purina PetCare (2010 Baldrige Award recipient) ranks number one in market share for pet care products in North America and has twice the market share of its closest competitor. It increased its market share from approximately 31.2 percent in 2001 to 34.2 percent in 2010 in a mature industry. Cargill Corn Milling North America?s (2008 Baldrige Award recipient) compound annual growth rate with strategic customers has increased across 6 core business areas in recent years. Mercy Health System (2007 Baldrige Award recipient) is the leader in market share for inpatient services and outpatient surgery in its Wisconsin service area. Mercy?s physician clinic offices capture 87 percent of the market in their Wisconsin service area. MEDRAD, Inc. (2003 and 2010 Baldrige Award recipient) is the market leader in the United States and Europe for its vascular injection systems and related services, with market shares significantly greater than those of its best competitor in main product lines and regions around the world. Note to Speaker: Additional results from award recipients can be found in the Program Impacts and Key Excellence Indicators slide modules.

28. What Small Business Leaders Say ?If I were in charge of the world, all organizations in America would adopt the Baldrige Criteria and pursue the Malcolm Baldrige National Quality Award. If America is to compete in the world, it?s got to improve its performance, and the Baldrige Criteria is the tool to do exactly that.? ?Larry Potterfield, CEO of MidwayUSA, a 2009 Baldrige Award recipient Additional quotes from leaders of small businesses that have won the Baldrige Award in recent years: ?When you look at the Baldrige Criteria, what a great road map ? if you can do the things in all these categories and do them well, you?re going to be a well-run company.? ?Robert F. Pence, president and CEO of 2010 Baldrige Award recipient Freese and Nichols Inc. ?Personally I measure [success] by are we achieving excellence. And, of course, being a Baldrige [Award] recipient is probably the ultimate validation of that. But I don?t focus primarily on profitability or growth. I focus on are we achieving excellence. And the means we use to do that is delighting every guest that walks in our door.? ?Ken Schiller, co-owner and co-founder of 2010 Baldrige Award recipient K&N Management ?Baldrige, for us, is our succession plan.? ?Quint Studer, founder and CEO of 2010 Baldrige Award recipient Studer Group Additional quotes from leaders of small businesses that have won the Baldrige Award in recent years: ?When you look at the Baldrige Criteria, what a great road map ? if you can do the things in all these categories and do them well, you?re going to be a well-run company.? ?Robert F. Pence, president and CEO of 2010 Baldrige Award recipient Freese and Nichols Inc. ?Personally I measure [success] by are we achieving excellence. And, of course, being a Baldrige [Award] recipient is probably the ultimate validation of that. But I don?t focus primarily on profitability or growth. I focus on are we achieving excellence. And the means we use to do that is delighting every guest that walks in our door.? ?Ken Schiller, co-owner and co-founder of 2010 Baldrige Award recipient K&N Management ?Baldrige, for us, is our succession plan.? ?Quint Studer, founder and CEO of 2010 Baldrige Award recipient Studer Group

29. For More Information Criteria booklets Self-assessment tools based on the Criteria Award recipient videos and profiles Case studies Baldrige community www.nist.gov/baldrige baldrige@nist.gov (301) 975-2036 You can access information on the Baldrige Program and the Criteria through the Baldrige Web site. On the site, you can read and subscribe to our blog and other news related to the program, as well as download and order publications such as the Criteria booklets, the award application, and case studies. The Web site also has information on the award recipients and on becoming a Baldrige examiner. You can also ask questions and or request materials by e-mail or by calling our customer service line. You can access information on the Baldrige Program and the Criteria through the Baldrige Web site. On the site, you can read and subscribe to our blog and other news related to the program, as well as download and order publications such as the Criteria booklets, the award application, and case studies. The Web site also has information on the award recipients and on becoming a Baldrige examiner. You can also ask questions and or request materials by e-mail or by calling our customer service line.


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