An Integrated Performance Management System: The Results of Managing a Business Through the Use of Assessment Key Performance Indicators, and Benchmarking
- Publication:
- World Conference on Quality and Improvement
- Date:
- May 1995
- Issue:
- Volume 49 Issue
- Pages:
- pp. 321-329
- Author(s):
- Dickey, John D., Morgan, George, Arevalo, Pedro, Trebilcock, Lionel
- Organization(s):
- Quality Solutions, Inc., Cleveland, OH 44140
Abstract
Two affiliates within the H.J. Heinz Company and Litgo International collaborated on the design of an integrated performance management system. These three organizations shared three beliefs regarding their use of TQM for: (1) routine assessments, (2) integration of Key Performance Indicators (KPIs) into individual performance appraisals, and (3) the use of benchmarking to refine their processes, to stretch their goals, and to incorporate best practices.
The three stages of the business quality assessment process (BQAP), which revealed opportunities and contributed to the bottom line of each organization, are: (1) Planning and Pre-interview, (2) the On-Site Assessment; and (3) the Consensus and Feedback.
As a result of the effective use of the Integrated Performance Management System, each of the three organizations was successful in the following areas: on-time delivery, lower scrap and rework, inventory turns, line-item fill rate, order fill rate, and lower operating costs.