becoming excellent' master class with professor tony bendell 18/06/15

‘Becoming Excellent' Master Class seriesMaster Class 1:Thurs 18th June 2015

The flaws associated with naïve use of the EFQM Excellence model, and how to overcome themTONY BENDELL, SERVICES LIMITED AND THE ANTI-FRAGILITY ACADEMY

http://www.theanti-fragilityacademy.com/http://servicesltd.co.uk/ [email protected] [email protected]

http://www.theanti-fragilityacademy.com/


http://servicesltd.co.uk/

mailto:[email protected]


The ‘Becoming Excellent' Master Class series

Organisational Excellence is subtle, & pursuing Organisational Excellence is difficult & sometimes lonely.

The intention is to develop an active Master Class community with Master Classes taking place on a quarterly basis, facilitated by Professor Tony Bendell.

The first Master Class will focus on the flaws associated with naïve use of the EFQM model, and how to overcome them.







Your Hosts: Services Limited‘Everything For Excellence’

Professor Bendell’s own Consultancy & Training Company started in 1983

Train & Consult in Six Sigma, Lean, Benchmarking, Anti-Fragility etc.

Services Limited are uniquely qualified to assist your organisation with the pursuit of Excellence; use of the EFQM Excellence Model; preparation for a regional, national or European Excellence Award or the C2E and R4E recognition schemes; and integration of your Excellence program with business strategy or Lean, Six Sigma, ISO9001 or similar initiatives.

Services Limited are EFQM Licensed Trainers and Advisors.http://www.theanti-fragilityacademy.com/http://servicesltd.co.uk/ [email protected] [email protected]






Programme (Indicative)

10am Arrival & Refreshments

10.30am Introduction/ Why Are You Here?/The EFQM Excellence Model/ Debate

11am Group Exercise; Assessment of the Model

11.40am Feedback, Current Trends & Prioritised Issues

12.30 Lunch & Networking

2pm Dealing With the Issues

3.30pm Subsequent Master Classes, Close & Refreshments







Introduction

The EFQM Excellence Model is the best framework available for organisations taking improvement seriously, but it is not perfect or fully explicit and can often be used wrongly. With the EFQM Excellence Model being stable for the next three years, forward thinking organisations should be aware of the dangers and be considering imperfections in the model, and how to go beyond them.

Tony has analysed in detail the current version of the EFQM Excellence Model, where it is weak, and where there is a need for more guidance on key issues.







The EFQM Excellence Model

Three components:

The Fundamental Concepts

The 9 Criteria

RADAR







The Fundamental Concepts







EFQM Criteria

Leadership People Business Results

Processes, Products & Services

Strategy

Partnerships & Resources

People Results

Customer Results

Society Results

Enablers Results

Learning, Creativity and Innovation© EFQM 2012

®







Define the RESULTS you want to achieve

Develop the APPROACHES

that will deliver the

improvement

DEPLOY the improvement

planASSESS the impact and

REFINE to ensure you achieve the desired result.

RADAR

The RADAR Concept







Other Trends?


Technology

Offshoring, Outsourcing & Extended Supply Chains

Crises & Black ‘Swans’

Demographics

Quality of Life, CSR, Responsible Capitalism

Role of Government & public sector






Some Technology Related Trends

Working patterns

Marketing & delivery

Entry, mobility & business merging

New business, young & trendy

Decline of physical shopping

Constant worldwide communication

‘Too big’ data







Current Trends & Recent Events







Organisational Failures – The Failure of Management & Management Systems

Organisational failures are now commonplace, including those of iconic firms

Conventional management and management systems have proved inadequate to protect both private and public sector organisations from catastrophic incidents, adverse publicity and failure

Fragility associated with: Volatile Environment

Weaknesses in Systems & Processes

Weaknesses in Behaviours & Management

Rush to Efficiency







Analysis of Current Version of the EFQM Excellence Model


Potential Weak Areas or Need for Guidance? Emphasis on Efficiency & Effectiveness, largely ignores Fragility

Innovation dispersed through the Model

External awareness, information management & decision making

No minimum level criterion (part) requirements

Lack of clarity to include Black Swan events

Still a tendency to audit/ not assess, not holistic & ignore strategic themes

……..?






Prioritising the Issues

According to the Dangers?/ Risk analysis

Fragility

A good unifier

Potential for a holistic approach

Development for EFQM Excellence Model?







Where Fragility Exists

At all Levels/Layers… Strategy & Governance

Operations, Processes & Supply Chain

People & Culture

Information & Technology

Markets, Products & Services

Global & Local Fragility/Macro & Micro







Anti-Fragility (Nassim Taleb) Fragile refers to systems and organisations that can be

easily damaged by changes or shocks in the external or internal environment.

Robust refers to systems and organisations that are able to withstand such adverse conditions.

Anti-Fragile refers to systems and organisations that, like biological systems, are more than just robust and within limits actually improve their resilience through being stressed.







Nature got there first

Nature Got There First

Natural systems are Anti-Fragile

Until now, we have only focused on making human systems Robust.

But now we know better!







Some Sources of Anti-Fragility Learning

Awareness of environment & internal conditions

Information systems

The ability to take decisions & act

Flexibility & Agility

Good decision making

Shared & spread risk

Anti-Fragility (or not) is defined by the Organisational Strategy, Structure and Systems, its People, Relationships and its Culture. We can then Build Anti-Fragility (or not) into our products & services, use of information and technology base.







Management Systems All organisational and system information gathering and feedback loops, that

potentially use current performance as the basis for control and/or change, represent Anti-Fragility Features.

Strategy Review; Risk Management; Budgetary Control; Internal & External Audit; Quality Control; Quality Assurance; Developmental and Evaluative Performance Appraisals; HSE Assurance; Continuous Improvement, Kaizan, Six Sigma, Lean Improvement, Agile Deployment, & Organisational Assessment against the EFQM Excellence Model.


Anti-Fragility Features of Organisations and SystemsLeadershi

pPeople Business

ResultsProcesses, Products & Services

Strategy


People Results

Customer Results

Society Results






A key part of the Anti-Fragile mechanism in all these cases is the human role.

Risk Management & Quality Management are Anti-Fragility Features of our organisations and systems. But, these Anti-Fragility Features, are themselves often implemented in a Fragile way. (Second Level Fragility)

What about the implementation of the EFQM Excellence Model?

Lack of a holistic approach to Fragility Minimisation and Management in current practice in organisational or system design and operation.

Anti-Fragility Features of Organisations and Systems







But the limitations are in how these Safeguarding Systems are implemented

Often designed for Robustness, not Anti-Fragility

Incomplete information flow

Assume some stability & no “Black Swans”

Often delegated to middle management, formalised and standardised, so in danger of becoming compliance-driven rituals, with incomplete information; with most importance being given to the integrity of the paper trail for auditing purposes, & inadequate senior management attention.







A Basic Fragility Test for Your Organisation (Score out of 100; (0-10 :0=maximum optimisation)

How good is our current Approach? (0-10)

Do we include deliberate Diversity of Approach and Deployment? (0-10)

How Aware are we of our Environment? (0-10)

Do we Learn? (0-10)

Do we Implement what we Learn? (0-10)

Do we Learn fast? (0-10)

Do we have the Infrastructure to Learn? (0-10)

Do we Evolve? (0-10)

Do we have the Infrastructure to Evolve? (0-10)

How Optimised are Our Processes? (0=highly optimised) http://www.theanti-fragilityacademy.co

m/http://servicesltd.co.uk/ [email protected] [email protected]






Ten Ways An Organisation Can Become More Anti-Fragile1. Don’t think you are there- Realise Never Completely get there/never completely not there.

2. Be aware, scan the external & internal environment, risks, scenarios & possible black swans.

3. Be joined up & nimble, keep learning, apply.

4. Avoid rigidity, ultra efficiency & relying on robustness.

5. Don’t automate, engage.

6. Reduce the fragility of anti-fragile systems.

7. Use diversity.

8. Apply precautionary principles.

9. Fail often & small.

10. Stress test. http://www.theanti-fragilityacademy.com/http://servicesltd.co.uk/ [email protected] [email protected]






Where Can We Start?

How ideal is your world?

The Board.

Executive management.

Operations management.

Supply chain.

Front line.

Risk

The Quality Department- organisational quality/TQM/Excellence







Critique of EFQM Excellence Model

No Minimum Defined Requirements e.g. in Any Criteria Area

Concentration on Efficiency & Effectiveness Not Anti-Fragility

No Emphasis on Deliberate Exposure to Shocks (e.g. Stress Testing)

No Clear Policy to Include Black Swan Events………

BUT, the EFQM Excellence Model is Still As Good As We Have..







What is Organisational Excellence Today?

The Best Way Have So Far

Not Perfect

Itself Committed to Its Further Development

Does Not Exclude Anti-Fragility, But Does Not Emphasise It

Not Fully Realistic in its Emphasis on Efficiency & Effectiveness

A Good Investment Now, But Can We Make It A Better One?







Why Do Organisations Exist?

In Pursuit of what Objectives? To Make Money

Social Purpose

Generally the Objectives Imply Continuing To Exist To Fulfil Purpose

Over & Above Short Term Efficiencies or even Effectiveness

• Robustness is Not Enough Need to Be Learning, Developing, Growing in Strength

Anti-Fragility http://www.theanti-fragilityacademy.com/http://servicesltd.co.uk/ [email protected] [email protected]






How Can We incorporate Anti-Fragility Into the EFQM Excellence Model?

By interpreting the Criteria and Fundamental Concepts to EXPLICITLY include it.

Wherever appropriate throughout the model.


Leadership People Business Results

Processes, Products & Services

Strategy


People Results

Customer Results

Society Results







Organisational Excellence is subtle, & pursuing Organisational Excellence is difficult & sometimes lonely.

The intention is to develop an active Master Class community with Master Classes taking place on a quarterly basis, facilitated by Professor Tony Bendell.

The first Master Class has focused on the flaws associated with naïve use of the EFQM model, and how to overcome them.

Did you find it of interest/useful?







The ‘Becoming Excellent' Master Class series Provisional Date for Next Master Class

Tuesday 29th September

Limited places, first come first served.

Normal rate £80 per attendee per Master Class, but annual organisational subscription of £200 (payable in advance) Guarantees places at four Quarterly Masterclasses.

Enables additional delegates from the organisation to attend at a reduced fee.

Accesses other services from Services Limited at a 10% discount.

Enables participation in setting the agenda.http://www.theanti-fragilityacademy.com/http://servicesltd.co.uk/ [email protected] [email protected]







Suggestions & offers to organise/present welcome for the next Master Classes

Agenda will be set in collaboration with the subscribing organisations.







becoming excellent' master class with professor tony bendell 18/06/15

Business

efqm model

efqm excellence model

excellence program

fundamental concepts

pursuit of excellence

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