1、BPMS OverviewBusiness Process Management1-2What does BPMS mean for You?v The Strategic Component of Six Sigmav A way for all departments to be actively involved and aligned in their actions to satisfy customersv A way to align problem solving resources to solve critical customer issues“Processes are

2、 the basic vocabulary of Six Sigma”General Electric1-3Getting More Results from Six Sigmav For several years, companies have used Business Process Management to improve and manage key business processes. They have launched specific customer-focused projects as a natural extension of process improvem

3、ent.v GE broke the mold, and launched specific projects in parallel with process improvement This is the approach that we are encouraging Samsung Corning to take.1-4History of Successful Six Sigma Deployment1-5Mr. Welchs Storyv “The first year, we used Six Sigma to attack costs, improve productivity

4、, and fix broken processes.vIn 1997 we achieved $320 million in productivity gains and profitvBy 1998, we had generated $750 million in Six Sigma savings and got $1.5 billion in 1999.vOur operating margins went from 14.8 percent in 1996 to 18 percent in 2000.”1-6Mr. Welch continues .v “The next phas

5、e was to use Six Sigma tools to fix and design new products”v GE Power Systems customers were experiencing Power Down situations with regularity. GE redesigned and reduced unplanned downtime from 33% to 0 on the last 210 units produced since.v GE Medical launched a new CT scanner with reduced MRI pr

6、ocedures from 3 minutes to 17 seconds.”1-7Functionally Focused Six Sigma Project SelectionMost organizations are measured by “functions”Six Sigma success is largely within functionsExecutives may operate as a team but are focused, individually, on the functions.Strategy & ActionSalesFinanceMarketing

7、Human ResourcesPurchasingManufacturingProduct DevelopmentFunctionsCustomers?$ Six Sigma Project Savings $1-8Mr. Welch continues still not enough“Our customers were telling us that they felt no difference in quality.”25201510501050Span1FrequencyDelivery Time2520151050151050Span2FrequencyDelivery Time

8、Company is happy. But Customer still doesnt receive reliable deliveries!1-9Mr. Welch continues - now Customer Noticesv The customer needs reliable delivery as much as short cycle timesv Now the customer is happy!2520151050403020100Span3FrequencyDelivery TimeCustomer ProcessYour Process CABCustomer V

9、iewHow did the performance of my supplier affect my total process performance?Your ViewTwo Views of PerformanceHow did we conform to the customers requirement?At the Customer For the Customer (ACFC)1-11At The Customer For the Customer1-12ACFC Metrics GE Aircraft Engines no longer focuses just on how

10、 long it takes to repair an engine for an airline customer. The measure that counts is “wing to wing” - how long it takes from the time the engine comes off an airplanes wing until it is replaced - since that is how long the airplane is out of service Actual GE repair time = half the wing-to-wing ti

11、me GE has started a project to help airline customers attack the other of the total wing-to-wing time1-13ACFC Metrics GE Capital found a problem in its business unit that provides financing to office equipment dealers First GE Capital reduced its internal cycle time for financing approval from 2 day

12、s to a few hours But the bigger issue was that equipment dealers had a 47 day cycle time for AR GE has helped these dealers to redesign their billing & collection processes, and has driven the time down to 25 days. GE Capital is considered a Process Enterprise1-14What is a Process Enterprise?v There

13、 is as much allegiance to processes as to functionsv Employees internalize process goalsv Employees understand how the process is performingv Everyone knows customer requirements and strives to meet themv Employees help manage each other instead of escalating conflictsv Processes are measured Object

14、ively and frequentlyv GE Capital1-15Customer-Focused Project Selection Functional Integration and Line-of-Sight to the CustomerCustomers see us through our business processesProducts and services for customers are by processes which cross departmental linesThis will be the focus of our work in BPMS

15、. To align departmental processes to focus on customersStrategy & ActionSalesFinanceMarketingHuman ResourcesPurchasingManufacturingProduct DevelopmentCross Functional ProcessCustomers$ Six Sigma Project Savings $1-16BPMS Framework1-17Six Sigma and Business Process FocusCreating A Consistent Value Ch

16、ain for Customers!EngineeringSuppliersOperationTestSupportCustomer6s6s6s6s6s6s6s6s6s6s6s6sAdministration6sEngineering Operation Test Administration Materials Support6s6s6s6s6s6s6s6sSuppliersCustomer1Six Sigma / Core Process focus1-18Methodologies forManaging Performance Process Management (BPMS) Bus

17、iness Case Improvement (DMAIC)Customer/Shareholder/StakeholderRequirementsPerformanceBusinessStrategyCore andEnablingProcess GoalsBusinessResultsCTQsProcessPerformanceMeasuresBusiness ProcessesResources forDriving Performance Corp. Leadership Team (CLT) Champions Six Sigma Teams. Process Owners Proc

18、ess TeamsGeneral Electrics Integrated Process Approach to BPMS1-19BPMS at Corporate LevellPackaginglConsolidationlSub-assemblylSequencinglImport ServiceslJIT pickup / deliverylInventory MgtlKittinglSequencinglSub-assemblylSupplierlConformancelCarrier Mgt.lMaterial follow-uplWIP transportlFacility De

19、signlYard ManagementlQuality AssurancelDC OperationslInventory Mgt.lReturns-PackinglYard ManagementlImport / ExportlCarrier Mgt.lTransportlConsolidationlCustoms ClearancelInventory Mgmt.lRail LoadinglVehicle DeliverylVehicle ReleasinglSecondarylServiceslReverse logisticslInventory FactoringlFinancin

20、glInventory l OwnershiplFreight PaymentlEquipment LeasinglProject FinancinglEquipment Fin.lPrivate Fleet Fin.lWIP inventory mgt. lEquipment FinancinglProject FinancinglFreight PaymentlCredit servicinglEDIlVendor ManagedlInventorylNetwork DesignslMRP systemslPart VisibilitylSatellitelCommunicationslI

21、ntegrated Supply Chain ToolslProduction planning ToolslWMSlDRP systemslEDIl3rd Party Mgt.lRouting DesignlProduct VisibilitylSatellitelCommunicationslPOD verificationSuppliersInboundLogisticsManufacturingDistribution Centers Finished Product DistributionCustomerPhysical ServicesFinancial ServicesInfo

22、rmation ServicesSALESPRODUCTIONValue Creating ProcessesEnabling ProcessesThe Big Picture1-20Elements of a Business Processstart boundary: core process:end boundary: sub-process sub-process sub-process sub-process sub-process sub-processsuppliers:inputs:customers:outputs:1-21Detailed Mapping is the N

23、ext Step in BPMSTop-LevelProcessSub-sub processesSub-processesStop1-22BPMS Linkage to Strategic ObjectivesTraditional Six SigmaProcess-Centered Six Sigma Mission, Values, Vision Development of Business Plans - Goals - Objectives Deployment- Functions- Departments ExecutionDMAICDMADV Review and Audit

24、 Mission, Values, Vision VOC Analysis- Strategic Objectives Process Goals Organizational Process Capabilities Objective Alignment- Core Processes BP Owners Enabling Processes Execution- Process Capabilities Control DMAIC DMADV Review1-23We are Seeking the Drivers of Process ImprovementY = (x1, x2, x

25、3, x4, xn)ProcessProcess EfficiencyInside-OutProcess EffectivenessOutside-Inand1-24Effectiveness: Samsung and Brand ValueSamsung is the number one winner* in increased Brand Value (2002 Vs. 2001). Samsungs brand value increased 30% in 2002, while Sonys decreased by 7% Samsungs brand value is # 34 in

26、 the world. Sony is still #21, but “Sony gadgets have come under attack by Samsung”“Samsung has used bold designs to transform itself into a premium seller of consumer products.”“Heavy investments in design R&D have brought fatter profit margins.”* Business Week Magazine, August 5, 20021-25Leveragin

27、g Brand Valuev BPMS gives Samsung Corning a roadmap for focusing business processes on customer service objectivesv This will catalyze growth with Samsung and with OEMs CUSTOMERSERVICEBRAND VALUE+MARKETDOMINANCE=SSC can leverage brand value with excellent customer service to help Samsung overtake co

28、mpetitors 1-26Inside-Out & Outside-InReduce COGS (Materials & Conversion)Increase Productivity of Business ProcessDecrease Cycle Time of Business ProcessesIncrease Market ShareEstablish Price LeadershipFocus on Company Value Focus on Customer Value EffectivenessEffectivenessEfficiencyEfficiencyEffic

29、iencyBPMS MaturityHigherLowerCost LeadershipWhat process measures drive cost leadership and what improvement is required?Inside-OutMarket LeadershipWhat is the Voice of the Customer; how are competitors performing; what improvement is required?Outside-In1-27BPMS & Six Sigma Linkagev BPMS is complimentary to Six Sigma, and will be successful because of the Six Sigma skills and PI skills of Samsung Corning.v BPMS will challenge functional departments to define