Your overall assessment result has positioned the operation within the Amber band. This indicates that the basic processes required for a manufacturing operation exist but collectively fall below the required standard. In this situation your immediate focus should be on ensuring that components particularly ‘Leadership’, ‘People’ and ‘CI’ are sufficiently developed to facilitate improvement throughout the operation.
The radar chart summarises your assessment results for the seven components. The highlighted yellow line shows each component’s individual score and is an indication of the strengths and weaknesses within the operation. In this situation there is a need to understand the reasons that produce a low score and take corrective action.
In this scenario we would ask the following questions:
Questions to ask:
Does the management team recognise the need to improve and if so, do they have a credible plan and can you rely on them to deliver it?
Is a commitment to change evident within the organisation?
Are the operations team’s objectives aligned with the business plan?
Are the required skills, knowledge and experience to deliver the plan available within the organisation?
What are the benefits and how will improvement be monitored and reported?
Ensure the need to improve is recognised and owned by the leadership team and the leadership process is robust enough to drive improvement.
Develop an improvement plan, set targets and establish a method for measuring progress and capturing the benefits.
Set milestones to review status.
Ensure there are enough skills, knowledge and experience available within the organisation to deliver an improvement programme.
A full review of the management team is necessary to determine their strengths, weaknesses and their ability to deliver the required improvements. In our experience, the leaders are aware of the need to change but may lack the knowledge and experience to deliver it. For the operations team to improve, first identify training needs and develop them accordingly. This may take time, therefore, recruitment and external help in the short term may be necessary to bring leadership, energy and expertise to the team.
Your assessment suggests that there is a platform to build on and highlights the opportunities to improve in every aspect of the operation. A campaign of improvement will be self-financing. The benefits are quantifiable with the objectives of; reducing the cost of sales, improving delivery performance, reducing the risk of HSE incidents and improving quality performance being the headliners. Further benefits in culture change and morale improvements will also boost performance.
The result raises questions about the skills, knowledge and experience of the current operations team and their ability to lead an improvement programme. There may be a need to strengthen the team through training and/or recruitment. A starting point is ensuring the organisation is properly structured with defined job roles, responsibilities and boundaries of authority and control that are aligned with the business plan.
The level one report examines each of the components and generates; questions that determine the baseline for improvement, areas where the quick wins can be achieved and how to start.
Your result is indicative of an operation where neither the processes nor the people are aligned to the current requirements of the business. Every aspect of the operation needs improvement. The upside is that focused properly all improvement activity will be self-financing.