harry s. hertz june, 11, 2007 - nhlc / cnls pdfs/june 11...baldrige national quality program 2007...

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Baldrige National Quality Program 2007 Using Baldrige to Build High Reliability Organizations Harry S. Hertz June, 11, 2007 What Is Baldrige? Why Baldrige? Lessons Learned & Results Next Steps

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Page 1: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Using Baldrige to Build High Reliability Organizations

Harry S. HertzJune, 11, 2007

� What Is Baldrige?

� Why Baldrige?

� Lessons Learned & Results

� Next Steps

Page 2: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

The Criteria for PerformanceExcellence

� Are the foundation of the Baldrige National Quality Program

� Define performance excellence

� Are globally recognized

� Can be used by diverse organizations

Page 3: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

What Are the Criteria?

� A set of expectations or requirements

� A structured approach to performance improvement

� A framework for a systems view of performance management

Page 4: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Basic Goals of the Criteria

� delivery of ever-improving value to patients, other

customers, and stakeholders, contributing to

improved health care quality and organizational

sustainability

� improvement of overall organizational

effectiveness and capabilities

� organizational and personal learning

………performance excellence

To help organizations enhance their performance by focusing on

Page 5: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Criteria Purposes

� To help improve organizational performance practices, capabilities, and results

� To facilitate communication and sharing of best practices

� To serve as a tool for understanding and managing performance

Page 6: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Baldrige Health CareCriteria Framework: A Systems Perspective

Page 7: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Beginning the Journey - 2000

Organization

Situation:

Recognized Crisis:

Location:

Reason for Baldrige:

A&T PROGRAMS

Manufacturing

Troubled

Yes

Primarily

One

Turnaround

AEROSPACE SUPPORT

Service

New/Emerging

No

Geographically

Dispersed

Improvement

Page 8: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Saint Luke’s Hospital

Sustaining Performance Excellence

Saint LukeSaint Luke’’s Hospitals Hospital

Sustaining Performance ExcellenceSustaining Performance Excellence

•• Leadership drives and sustains the Leadership drives and sustains the

processprocess

•• Leadership at all levels is importantLeadership at all levels is important

•• More difficult to change the culture More difficult to change the culture

than to learn the toolsthan to learn the tools

•• Valuable team building experienceValuable team building experience

•• Trust is extremely important Trust is extremely important

Lessons LearnedLessons Learned

Page 9: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

•• There are no There are no ““quick fixesquick fixes””

•• Must always focus on the customerMust always focus on the customer

•• Should never be satisfied with the Should never be satisfied with the

present level of qualitypresent level of quality

•• Decisions must be driven by data and Decisions must be driven by data and

compared to compared to ““bestbest””

•• Employees make it happen!Employees make it happen!

Lessons LearnedLessons Learned

Saint Luke’s Hospital

Sustaining Performance Excellence

Saint LukeSaint Luke’’s Hospitals Hospital

Sustaining Performance ExcellenceSustaining Performance Excellence

Page 10: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Lessons Learned by Education and Health Care

� Baldrige is a systems perspective

� Self-assessment facilitates learning

� Measurements and data are critical

� Baldrige focuses on results and outcomes

� Organizational “silos” are pervasive

� Need to improve internal communication

Page 11: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Lessons Learned by Education and Health Care (cont.)

� Many activities, few processes

- “What” is not the same as “how”

� The customer concept is challenging

� Improvement is the goal

� The process itself is educational

Page 12: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

#1 Lesson Learnedby Leadership (SSM Health Care)

1. Leadership is not seeing which way the parade is moving and running to the front.

- “Leadership is getting people from where they are to where they have not been.” Henry Kissinger

Page 13: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Bama: Customer & Market Focus

Page 14: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Community:

� CHW

� Family Giving

� Soup kitchen

� CAB

� Education

� Health Fairs

Community:

� CHW

� Family Giving

� Soup kitchen

� CAB

� Education

� Health Fairs

Beyond Satisfaction……

Customer Loyalty

Beyond Satisfaction……

Customer Loyalty

RWJ: Customer & Market Focus

Patients:

� Greeters

� Free TV and phone

� Food on demand

� Integrative therapy

� Hearts Apart

� Comfort in clothing

Patients:

� Greeters

� Free TV and phone

� Food on demand

� Integrative therapy

� Hearts Apart

� Comfort in clothing

Employees:

� Circles

� On-line benefits

� CHW discounts

� Bonus programs

� Employee Sat. Committee

Employees:

� Circles

� On-line benefits

� CHW discounts

� Bonus programs

� Employee Sat. Committee

Page 15: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

MCB ETS Overall Performance

24 percentile

increase in

11 years

Ten Years of Improvement in

Learning Performance

MCB ETS Overall Performance

24 percentileincrease in 11 years

45

50

55

60

65

70

75

80

85

90

95

93-94 95-96 97-98 99-00 01-02 03-04

Perc

en

tile

MCB Percentile Top 10%National Mean MCB Trend

Monfort College of Business: Results

Page 16: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

MCB Parent Survey (2004)

Comparing Expense of Education Quality,

Rate the Value of Investment Madein UG Business Degree

MCB as a

Value Leader

4.00

4.40

4.80

5.20

5.60

6.00

1998

1999

2000

2001

2002

2003

2004

MCB

U.S.

Mean

(2004)Top

10%

(2004)Linear

(MCB)

Top 2.5%

STUDENTS ALUMNINEW

RE

CR

UIT

S

EM

PL

OY

ER

S

CURRICULUM/

EXTRA-CURRICULAR

ACTIVITIES

PROGRAM

REPUTATION

FACILITIES/

TECHNOLOGY

FINANCIAL

RESOURCES

FACULTY STAFF

94%As compared with other

business programs in Colorado, MCB provides a good value in business education.

Strongly

Agree or Agree

Question

MCB Parent Survey (2004)

Monfort College of Business: Results

Page 17: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Bronson Methodist Hospital: Cardiac Services % Market Share

30

35

40

45

50

55

60

1999 2000 2001 2002 2003 2004 Jan-

Sept

2005

BMH Competitor

Page 18: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

BHI: Results

Page 19: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Organizational Knowledge

Baptist Daily

• Modeled after Ritz Carlton best practice

• Began in 2001

• Evolved into facility-specific

Page 20: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Next Steps

� Organizational Profile

� Are We Making Progress (as Leaders)?

Page 21: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Organizational Profile

� Purpose:

- Describe what is relevant and important

- Ensure common understanding

- Guide selection of information/data

- Identify gaps/lack of deployment

- Serve as first Baldrige assessment

Page 22: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Organizational Profile

� Organizational Description

– Organizational Environment

– Organizational Relationships

� Organizational Challenges

– Competitive Environment

– Strategic Challenges

– Performance Improvement System

Page 23: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Organizational Profile

� Do you know the answer?

� Would your organizational colleagues give the same answer?

Page 24: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Are We Making Progress?Are We Making Progress as

Leaders?

� Employee (Leadership Team) Questionnaires

� Seven Category Framework

� 40 Statements, 5-Point Scale

� Compare Results

� Focus Improvement and Communicationfor Your Organization

Page 25: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Resources for More Information

� Most Baldrige National Quality Program (BNQP) documents are available both in hard copy and on the BNQP Web site.

� To obtain these documents,call (301) 975-2036 orvisit www.baldrige.nist.gov.

Page 26: Harry S. Hertz June, 11, 2007 - NHLC / CNLS PDFs/June 11...Baldrige National Quality Program 2007 MCB Parent Survey (2004) Comparing Expense of Education Quality, Rate the Value of

Baldrige National Quality Program 2007

Our dilemma is that we hate change and

love it at the same time; what we really

want is for things to remain the same but

get better.

Sydney J. Harris