Those are the three imperatives for managers. Processes must now focus on core practices. I defined four critical areas which will impact powerfully on the modern organization.
Grass-roots Education: This means training everyone, from the CEO to the shop-floor worker. Without this true momentum cannot be achieved.
Fire Prevention: Fortune 500 companies have shown how deep and long-lasting the influence of Six Sigma and DFSS is. Six Sigma focuses on ‘defense’ that is eliminating mistakes, waste and reworking. The higher the Sigma Value, the fewer defects you have. Six is virtually perfect. To reach the next higher level of efficiency, organizations must practice DFSS, because it starts even earlier than SS, developing or redesigning the process itself. So Six Sigma would work for the short-term and DFSS for the long.
Direct Interaction: Customers care only about products and services and their quality. They don’t want to know who’s strategizing what. They want quick and easy access and a lot of information prior to a purchase decision. Extend the organization’s data-gathering with 2-way communication. Use social media to help stage your CRM program. Create a cloud-based forum for present and future customers. Above everything else, be alert, react quickly, and work for continual improvement.
Effective Globalization: It is now almost imperative that companies adapt products, services and processes to local requirements. There will be risk but it will depend on how quickly the company responds to change. Managers must study and assimilate local cultures, markets, local competition. They must develop business models tailored to local needs. They must find strategic local partners and encourage employees by upholding local values. And they must keep on introducing new, improved products with local flavors.
Anderson Graduate School of Management, UCLA, USA
Chaminade University of Honolulu, USA
College of William and Mary, USA
Copenhagen Business School, Denmark
Darden Graduate School of Business Administration, University of Virginia, USA
Harvard Business School, USA
IMD, Lausanne, Switzerland
London Business School, UK
Massachusetts Institute of Technology, USA
Max M. Fisher College of Business, Ohio State University, USA
Richard Ivey School of Business, University of Western Ontario, Canada
Rotman School of Management, University of Toronto, Canada
Rotterdam School of Management, Erasmus University, The Netherlands
Schulich School of Business, York University, Canada
Sloan School of Management, Massachusetts Institute of Technology, USA
University of Michigan Business School, USA
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