1. Baldrige National Quality Program 2005 Baldrige National Quality Program Be the Best Leader, Lead the Best Organization: How Baldrige Can Help You Harry S. Hertz NCHE Meeting January 11, 2005

2. Baldrige National Quality Program 2005 Outline l Where Are We As Leaders? l What Are the Baldrige Criteria? l How Do We Improve? - Are We Making Progress? - Organizational Profile - Learn from Others l Tomorrow Morning

3. Baldrige National Quality Program 2005 Where Are We As Leaders? Committee of 200 Study – October 2004 933 Graduate Students and 807 MBA Graduates l Companies are not run honestly – 67% of female students – 57% of male students l Lack of ethics still is a serious issue – 70% of female graduates – 60% of male graduates l Business is not done ethically or honestly – 64% of graduates with jobs – 61% of students

4. Baldrige National Quality Program 2005 Where Are We As Leaders? What’s the message……

5. Baldrige National Quality Program 2005 Where Are We as Leaders? I believe the answer is enlightened organizational and labor leadership leading, with vision and conviction.

6. Baldrige National Quality Program 2005 What Are the Baldrige Criteria? Performance Excellence An integrated approach to organizational performance management that results in: delivering ever-increasing value to patients and other customers, contributing to improved health care quality improving organizational effectiveness and capabilities as a health care provider organizational and personal learning

7. Baldrige National Quality Program 2005 What Are the Baldrige Criteria for Performance Excellence? l A set of expectations or requirements l A structured approach to performance improvement l A framework for a systems view of performance management

8. Baldrige National Quality Program 2005 Criteria Purposes l To help improve organizational performance practices, capabilities, and results l To facilitate communication and sharing of best practices l To serve as a performance improvement tool

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11. Baldrige National Quality Program 2005 How Do We Improve? Are We Making Progress? Are We Making Progress as Leaders? l Employee (Leadership Team) Questionnaires l Seven Category Framework l 40 Statements, 5-Point Scale l Compare Results l Focus Improvement and Communication for Your Organization l Measure Trust

12. Baldrige National Quality Program 2005 Are We Making Progress? N=228

13. Baldrige National Quality Program 2005 Baldrige Examiner Results - Differences Greater than 20% % Employees% Leaders 2b. Employees know plans that effect them 6842 3d. Employees ask if customers satisfied7445 4a. Employees know how to measure work quality 8048 4b. Employees know how to analyze work quality 8032 4c. Employees use analyses to make decisions 7424 4d. Employees relate their measures and business results 6235 5a. Employees can make work improvements 8361 6b. Employees collect data on work quality 6938 7d. Employees time and talent used well5737

14. Baldrige National Quality Program 2005 % Employees% Leaders 3c.Customers tell employees their needs 7775 4f.Employees know how organization is doing 5755 5b.Employees work as a team7476 5e.Safe workplace8988 7e.Organization removes barriers3635 7f.Organization obeys laws95 7g.Organization has high standards8283 7h.Employees are satisfied with job6867 Baldrige Examiner Results Similar Perceptions

15. Baldrige National Quality Program 2005 How Do We Improve? “Are We Making Progress?” Discussion Points l Ask your employees for their ideas for the future l Ask your employees about organizational barriers to progress l Ask your employees how they analyze work quality and make decisions l Ask about the differences in leadership and employee perceptions

16. Baldrige National Quality Program 2005 How Do We Improve? Organizational Profile l 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

17. Baldrige National Quality Program 2005 Organizational Profile l Organizational Description – Organizational Environment – Organizational Relationships l Organizational Challenges – Competitive Environment – Strategic Challenges – Performance Improvement System

18. Baldrige National Quality Program 2005 Organizational Profile Relationships l Organizational structure and governance system l Key patient/customer groups or market segments and their key requirements l Most important suppliers/dealers/partners and supply chain requirements l Key supplier and customer partnering relationships and communication mechanisms

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20. Baldrige National Quality Program 2005 How Do We Improve? “Organizational Profile” Discussion Points l Do you know the answer? l Would your organizational colleagues give the same answer? l Who are your key customers and what are their requirements? l What are your strategic challenges?

21. Baldrige National Quality Program 2005 How Do We Improve? …What are management and employees measuring? Customer Requirements Deck Furniture

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23. Baldrige National Quality Program 2005 Baldrige Role Model Characteristics - Business (2001 & 2002), Business (1999 & 2000), Education (2001) l Visionary Leadership Guidance (1.1) l Process Driven (6.1) l Customer and Market Knowledge (3.1)

24. Baldrige National Quality Program 2005 Early Adopters - Business (2001 & 2002), Business (1999 & 2000), Education (2001 & 2002) l Process Driven (6.1) l High Performance Work Systems (5.1) l Customer and Market Knowledge (3.1) l Visionary Leadership Guidance (1.1)

25. Baldrige National Quality Program 2005 How Do We Improve? “Lessons Learned” Discussion Points l What are your organization’s values? How do you demonstrate them? l How do you motivate employees? l What are your key processes? l How do you listen and learn from customers? l How do you align work, jobs, and processes?

26. Baldrige National Quality Program 2005 SSM Top 10 Lessons Learned from Using Baldrige 10.Don’t wait until you are “ready.” 9.It takes longer then you think. 8.Everyone must be involved and understand what’s important. -CEO, medical staff, support staff...

27. Baldrige National Quality Program 2005 SSM (continued) 7.It’s important not just to understand the Baldrige health care criteria, but also to understand the connections among the criteria. - A systems perspective 6.In well-run organizations, everything is intentional. 5.Never confuse activity with accomplishment - Measure results and outcomes, not activity

28. Baldrige National Quality Program 2005 SSM (continued) 4.You don’t know what you don’t know until someone tells you. 3.So, you say you want to be exceptional… -“Through our exceptional health care services, we reveal the healing presence of God.” SSM mission 2.If you’re in this to win, don’t bother.

29. Baldrige National Quality Program 2005 SSM (continued) 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

30. Baldrige National Quality Program 2005 Tomorrow Morning l Consider Using Are We Making Progress?, Organizational Profile, Lessons Learned, Baldrige Criteria - But choose among them l Consider the Discussion Points -Stimulate a discussion -Do some data gathering -But choose your focus

31. Baldrige National Quality Program 2005 Tomorrow Morning “The task of the leader is to get people from where they are to where they have not been.” Henry Kissinger You can be that leader

32. Baldrige National Quality Program 2005 Thank You!