Term
|
Definition
| the process of envisioning the organization’s future and developing the necessary goals, objectives, and action plans to achieve that future. |
|
|
Term
|
Definition
| a person’s ability to anticipate, envision, maintain flexibility, think strategically, and work with others to initiate changes that will create a viable future for the organization, and its competitive advantage to the organization in this way. |
|
|
Term
|
Definition
| where the organization is headed and what it intends to be; it is a statement of the future that would not happen by itself |
|
|
Term
|
Definition
| defines its reason for existence |
|
|
Term
|
Definition
| guiding principles, guide the journey to a vision by defining attitudes and policies for all employees, which are reinforced through conscious and subconscious behavior at all levels of the organization |
|
|
Term
|
Definition
| envisioning the future for purposes of decision making and resource allocation. |
|
|
Term
|
Definition
| organization’s strengths, weaknesses, opportunities, and threats (SWOT) |
|
|
Term
| Strategic Planning Process |
|
Definition
Mission
Vision
Guiding Principles
Environmental assessment
Strategies
Strategic Objectives
Action Plans
Broad statements of direction
Capabilities and risks
Things to change or improve
Implementation
Reason for existence
Future intent
Attitudes and policies |
|
|
Term
| Strategic Planning in ISO 9000 |
|
Definition
top management ensure that quality objectives are established at relevant functions and levels within the organization,
that they be measurable and consistent with the quality policy, that planning be carried out in order to meet quality system requirements and the quality objectives, and
that the integrity of the quality management system is maintained when changes are planned and implemented. |
|
|
Term
| Strategic Planning in Six Sigma |
|
Definition
| Where are the organization’s best opportunities for widening a value advantage or closing a disadvantage? On what basis does the organization widen or close the value gap? How does the organization get its best return on investment for these efforts? |
|
|
Term
| American Customer Satisfaction Index |
|
Definition
Measures customer satisfaction at national level
Introduced in 1994 by University of Michigan and American Society for Quality |
|
|
Term
| ACSI Model of Customer Satisfaction |
|
Definition
Perceived
quality
Customer
complaints
Perceived
value
Customer
satisfaction
Customer
expectations
Customer
loyalty |
|
|
Term
| Customer-Focused Practices for Performance Excellence |
|
Definition
Define and segment key customer groups and markets
Understand both near-term and longer-term customer needs and expectations (the “voice of the customer”) and employ systematic processes for listening and learning from customers
Understand linkages between VOC and design, production, and delivery processes; and use voice-of-the-customer information to identify and innovate product offerings and customer support processes
Create an organizational culture and manage customer relationships to ensure a consistently positive customer experience
Develop effective complaint management processes that ensure that customers receive prompt resolution of their concerns and that lead to recovery of their confidence |
|
|
Term
|
Definition
Organization level
consumers
external customers
employees
society
Process level
internal customer units or groups
Performer level
individual internal customers |
|
|
Term
| Identifying Internal Customers |
|
Definition
What products or services are produced?
Who uses these products and services?
Who do employees call, write to, or answer questions for?
Who supplies inputs to the process? |
|
|
Term
| Dimensions of Product Quality |
|
Definition
Performance – primary operating characteristics, ex. Acceleration, handling in a car; sound & picture quality of TV
Features – “bells and whistles” – characteristics that supplement the basic functioning of a product or service; ex. Free drinks on a plane
Reliability – probability of a product malfunctioning or failing within a specified time period. This becomes important to customers as downtime and maintenance becomes expensive.
Conformance – degree to which a product’s design and operating characteristics match established standards. Ex. When two or more parts are to fit together, the size of their tolerances often determines how well they will match.
Durability- amount of use before deterioration or replacement, that is measure of product life, which is both economic and technical. Technical durability can be defined as the amount of use one gets from a product before it deteriorates.
Serviceability – speed, courtesy, and competence of repair
Aesthetics – look, feel, sound, taste, smell – it is a matter of personal judgment and preference |
|
|
Term
| Dimensions of Service Quality |
|
Definition
Assurance:
Ability to convey trust and confidence.
Give a feeling that customers’ best interest is in your heart
Example: being polite and showing respect for customer.
Empathy:
Ability to be approachable, caring, understanding and relating with customer needs.
Example: being a good listener.
Tangibles:
Physical facilities and facilitating goods.
Example: cleanliness. |
|
|
Term
| Kano Model of Customer Needs |
|
Definition
Dissatisfiers: expected requirements in a product or service, ex. radio, heater in a car
Satisfiers: expressed requirements that customers say they want, ex. sunroof, power windows, antilock brakes in a car
Exciters/delighters: new or innovative features that customers do not expect, ex. GPS system
As customers become familiar with them, exciters/delighters become satisfiers over time. Eventually, satisfiers become dissatisfiers – ex. Air-bags in cars. |
|
|
Term
|
Definition
Organizations use a variety of methods, or “listening posts,” to collect information about customer needs and expectations, their importance, and customer satisfaction with the company’s performance on these measures.
Comment cards and formal surveys
Focus groups
Direct customer contact
Field intelligence
Complaint analysis
Internet monitoring |
|
|
Term
| Affinity diagram Tree diagram |
|
Definition
Developed in 1960 by Kawakita Jiro, a Japanese anthropologist – affinity diagram is a technique for gathering and organizing a large no. of ideas
Through organization in an affinity diagram, information can be used to better design a company’s products and processes to meet customer requirements. |
|
|
Term
|
Definition
| every instance in which a customer comes in contact with an employee of the company. |
|
|
Term
| Customer-Driven Quality Cycle |
|
Definition
| PERCEIVED QUALITY is a comparison of ACTUAL QUALITY to EXPECTED QUALITY |
|
|
Term
| Customer Relationship Management |
|
Definition
Accessibility and commitments
Selecting and developing customer contact employees
Relevant customer contact requirements
Effective complaint management and service recovery
Strategic partnerships and alliances |
|
|
Term
|
Definition
Management may not understand how customers formulate their expectations from past experience, advertising, communication with friends
Improve market research
Foster better communication between employees and its frontline employees
Reduce the number of levels of management that distance the customer |
|
|
Term
|
Definition
Management unable to formulate target level of service to meet customer expectations and translate them to specifications
Setting goals and standardizing service delivery tasks can close the gap |
|
|
Term
|
Definition
Actual delivery of service cannot meet the specifications set by management
Lack of teamwork
Poor employee selection
Inadequate training
Inappropriate job design |
|
|
Term
|
Definition
Discrepancy between service delivery and external communication
Exaggerated promises in advertising
Lack of information provided to contact personnel to give customers |
|
|
Term
| Customer expectations and perceptions gap |
|
Definition
Customer satisfaction depends on minimizing the four gaps that are associated with service delivery
Companies try to measure the gap between expected service and perceived service through the use of surveys
SERVQUAL – measures the five dimensions |
|
|
Term
| Difficulties with Customer Satisfaction Measurement |
|
Definition
Poor measurement schemes
Failure to identify appropriate quality dimensions
Failure to weight dimensions appropriately
Lack of comparison with leading competitors
Failure to measure potential and former customers
Confusing loyalty with satisfaction |
|
|
Term
Customer Perceived Value
CPV |
|
Definition
| measures how customers assess benefits—such as product performance, ease of use, or time savings—against costs, such as purchase price,installation cost or time, and so on,in making purchase decisions. |
|
|
Term
|
Definition
| To build a high-performance workplace and maintain an environment for quality excellence to enable employees and the organization to achieve strategic objectives and adapt to change. |
|
|
Term
|
Definition
Determine organization’s HR needs to build a high-performance workplace
Assist in design of work systems
Recruit, select, train & develop, counsel, motivate, and reward employees
Act as liaison with unions & government
Handle other matters of employee well-being |
|
|
Term
| Employee Involvement (EI) |
|
Definition
| Any activity by which employees participate in work-related decisions and improvement activities, with the objectives of tapping the creative energies of all employees and improving their motivation. |
|
|
Term
| Designing High-Performance Work Systems |
|
Definition
| work approaches used to systematically pursue ever-higher levels of overall organizational and human performance. |
|
|
Term
|
Definition
| how employees are organized in formal and informal units, such as departments and teams. |
|
|
Term
|
Definition
| responsibilities and tasks assigned to individuals. |
|
|
Term
|
Definition
Core job
characteristics
Critical
psychological
states
Outcomes
Skill variety
Task identity
Task significance
Experienced
meaningfulness
of work
Autonomy
Feedback
from job
Experienced
responsibility
Knowledge of
actual results
High motivation
High satisfaction
High work
effectiveness |
|
|
Term
|
Definition
|
|
Term
|
Definition
| having workers learn several tasks and rotate among them |
|
|
Term
|
Definition
| granting more authority, responsibility, and autonomy |
|
|
Term
|
Definition
Champions – senior managers who promote Six Sigma
Master Black Belts – highly trained experts responsible for strategy, training, mentoring, deployment, and results.
Black Belts – Experts who perform technical analyses
Green Belts – functional employees trained in introductory Six Sigma tools
Team Members – Employees who support specific projects |
|
|
Term
|
Definition
Forming takes place when the team is introduced, meets together, and explores issues of their new assignment.
Storming occurs when team members disagree on team roles and challenge the way that the team will function.
Norming takes place when the issues of the previous stage have been worked out, and team members agree on roles, ground rules, and acceptable behavior when doing the work of the team.
Performing characterizes the productive phase of the life cycle when team members cooperate to solve problems and complete the goals of their assigned work.
Adjourning is the phase in which the team wraps up the project, satisfactorily completes its goals, and prepares to disband or move on to another project. |
|
|
