Tqm 5 Performance Objectives
Q a) Explain the 5 performance objectives. Discuss these with the help of a real life example of a process involving products & services, and analyze how the process can be improved upon?
b) Illustrate your chosen process with the help of a transformation model.
Answer a) "Many methodologies and techniques for improving operational performance have been developed over the years these provide structured ways of improving company performance, but they do not explicitly tell us where to start. To be able to improve performance effectively, it is important to identify the particular factors of performance to work with. Furthermore, it is important to find those factors that have a high impact on performance." (www.emeraldinsight.com) Performance improvement highlights processes and systems that need to be improved. Then, there is a follow-up with an action plan to improve the outcomes. The five main performance objectives are:
Speed- how fast the process is being done?
Cost- is it being bought down to minimum?
Quality- How correctly the process is being done?
Dependability- is it reliable?
Flexibility- is the process being adjusted to customer requirements?
We will discuss these five objectives using the drive-thru process of McDonalds:
Speed- How much time does a customer spend in McDonalds drive-thru? McDonalds' drive-thru target is 90 seconds. But, is it really able to achieve this target? No, not all the time. Many people have complained about drive-thru errors, waiting for their meals in busy times, being stuck in the queue, etc. As the line gets longer, more people choose to bypass the restaurant and dine elsewhere. So, how can McDonalds overcome these problems?
Proper drive thru management: Since queuing is on a strict first-in first-out basis; later customers are generally not served until all previous customers have been taken care of. Therefore, a whole line of people with quick orders can be held up by a single complex order.
b) Illustrate your chosen process with the help of a transformation model.
Answer a) "Many methodologies and techniques for improving operational performance have been developed over the years these provide structured ways of improving company performance, but they do not explicitly tell us where to start. To be able to improve performance effectively, it is important to identify the particular factors of performance to work with. Furthermore, it is important to find those factors that have a high impact on performance." (www.emeraldinsight.com) Performance improvement highlights processes and systems that need to be improved. Then, there is a follow-up with an action plan to improve the outcomes. The five main performance objectives are:
Speed- how fast the process is being done?
Cost- is it being bought down to minimum?
Quality- How correctly the process is being done?
Dependability- is it reliable?
Flexibility- is the process being adjusted to customer requirements?
We will discuss these five objectives using the drive-thru process of McDonalds:
Speed- How much time does a customer spend in McDonalds drive-thru? McDonalds' drive-thru target is 90 seconds. But, is it really able to achieve this target? No, not all the time. Many people have complained about drive-thru errors, waiting for their meals in busy times, being stuck in the queue, etc. As the line gets longer, more people choose to bypass the restaurant and dine elsewhere. So, how can McDonalds overcome these problems?
Proper drive thru management: Since queuing is on a strict first-in first-out basis; later customers are generally not served until all previous customers have been taken care of. Therefore, a whole line of people with quick orders can be held up by a single complex order.
Bibliography: 1. http://www.emeraldinsight.com/Insight/viewContentItem.do?contentType=Article&hdAction=lnkhtml&contentId=851437 2. www.freepatentsonline.com 3. http://openlearn.open.ac.uk/mod/resource/view.php?id=161703 4. http://openlearn.open.ac.uk/mod/resource/view.php?id=161697 5. http://www.restaurant.org/news/story.cfm?ID=349