Process improvement is the concept of measuring the output of a particular process or procedure, then modifying the process or procedure to improve the output, increase efficiency, or increase the effectiveness of the process or procedure.
Problem solving is a mental process and is part of the larger problem process that includes problem finding and problem shaping. Considered the most complex of all intellectual functions, problem solving has been defined as higher-order cognitive process that requires the modulation and control of more routine or fundamental skills.
Process improvement and effective problem solving strategies are two weaknesses of many companies. Every company has problems. That's right, every single one. The difference between the outstanding performers and the average companies is how well they react to issues when they arise. I have found that the outstanding performers are proactively implementing measures before problems arise and become costly to correct. The better performing companies have found ways to get better at what they do. The average companies are like the photo. Is this your company?
Some companies believe that scrap, waste and defects are just the cost of being in business. They're right! It is a cost ― and it is called Cost of Poor Quality! (COPQ). These are dollars, euros, pesos, etc. that can and do affect your company's ability to remain profitable and stay in business.
A company that wants to thrive can’t continue to throw money away. More and more organizations are realizing the bottom-line effect of COPQ, and taking the necessary steps to enhance their performance by measuring cost of poor quality and understanding these costs to improve profitability.
Remember, you cannot manage what you do not measure. Measurement is critical! The best quality improvement initiatives are driven by data! Why? How else are you going to know how much you have improved if you don’t measure it?
All of you have been exposed to measures in many situations and most of them were important. In school, you were graded. Perhaps you own shares of stock; how do you measure the success of the stock – its increase in value, a measurement. How do you know if your team wins? The outcome of a competition is its final score (a measurement). The fact is that many daily activities in life have accompanying measures to judge their success.
You might argue that you know if things are getting better; you can just tell. I am sure you can, but this is not enough – it is important to measure improvement. One reason to measure improvement is to prove to others that things are improving. Another reason to measure improvement is to demonstrate the time and money savings. We need to find ways to lower costs to save the company a great deal of money. Besides, by lowering costs the staff morale usually improves. I hope that I have convinced you that to make significant quality improvements, you should be actively measuring.
What should you be measuring? The most common measurements are in design and manufacturing. There are several problem solving structures that are currently popular. One of them is a process improvement tool that can be used in any industry, manufacturing, service, or information. No matter the complexity of a problem, your organization may choose to use our patented software platform, Explicore. Why you ask? Explicore enables companies to test the robustness of their manufacturing and design processes. Explicore takes all parameters related to a product, process, and/or system and within minutes this product identifies the parameters in need of correction or improvement. Remember, a parameter does not need to fail to require improvement. The output of Explicore is a statistically based report which identifies the Key Process Indicators (KPIs) so a company can quickly identify where to put their resources to fix problem areas before they become too costly to fix.
Once you reach your goals, continue collecting new data on the variables to ensure the health of the product, process, and system. Doing so will help keep you from backsliding to the old ineffective state. Backsliding is all too easy. It is hard to break old habits, but keeping data will help you. This is, in fact, what drives the success of many programs.
I hope we have convinced you that data driven change is the best way to approach quality improvement. It will concretely demonstrate how you are progressing and will prove to others that your site is doing much better. It will help you earn your just rewards!
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