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XONITEK - Endicott - Wednesday, June 17, 2009
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Change More For Less By Anneloes Cordia
Everybody agrees that changes will have to come. We have to
change our ways in respect to the environment, but limited resources will also
force us to act more as partners in a business relationship in order to cope
with the challenges of a global market. This change is no longer voluntary, but
a necessity to survive and to eventually build strong economies. Deliberate
changes can only be achieved by well-managed innovation. Innovation is more than
designing high-tech products and smart Internet services. Innovations produce cost reductions and
flexibility. It makes sustainable
progress possible without spending extra money or adding effort to satisfy loyal
customers through improved functionalities or performances. Isn’t that what we all
want?
Sustainable progress can be achieved through the elimination of waste, low consumption of materials and energy, and an exact fit of the requirements of a client's needs. This requires more than good quality control. Quality control can improve processes, but it cannot reorganize them. New business processes provides new output, therefore, the marketing of your products and services will also change. When a new product or service is launched, there will be effects for all primary processes of the value chain. Consequently, an innovation process should include all rationalized possibilities of the value chain for fulfilling the demands of the market. Quality and Innovation are, in this respect, the motivators for sustainable improvement.
The management of these kinds of innovations can overwhelm project leaders when there is no clear course for achieving the desired innovation output and knowledge. Aiming at a moving target during Innovative developments will delay the process, cause higher costs, and lower the quality of the result. Innovation and Quality must merge in order to change organizations for sustainable progress. Therefore, guidelines will help to innovate to the most recognized quality systems (particularly the ISO 9001: 2008 and Design for Lean Six Sigma .) These make it necessary in an early stage to define requirements and constraints of a new development - not only on functionality and performance levels, but also integrally on the level of modules, systems and processes that will produce the offer to the market. Multidisciplinary involvement for defining the new development must start from the beginning in order to contribute and monitor the results for the improvement of the venture’s performance.
Benefits
of fast product introductions to increase competitive advantage can be achieved
by speeding up innovations. Systematically
shortening the time to market is possible through an
agreement on an innovation program that includes all necessary rules and
processes. These should be similar for every innovation within your company.
The ISO 9001: 2008 standard specifies that the company’s
organization must be geared towards effectively fulfilling the requirements of
your customers. This also means that the external processes, with all their
inputs and outputs, of the members of the supply chain must be included in these
procedures. Because multidisciplinary involvement is a necessity for
good quality output of the innovation result, these procedures must be defined
in consensus. Responsibilities, activities, and the input of ‘go/no go’
decisions at milestones have to be agreed upon for every stage in the
development process. The interaction with all other procedures within ISO 9001
can be incorporated for an effective workflow.
Design for Lean Six Sigma (DFSS ) keeps the processes clear, governable, predictable, and results-oriented; it will form the conditions which minimize the chance of errors and the prevention of waste whilst shortening the process time. These processes are formed during the innovation development with the new product and its associated services. Using the philosophy of DFSS will make the products and services more robust because design specifications will meet the process capabilities; the (outsourced) system components can also be valued on customer demands rather than a theoretical hypothesis. These characteristics are all design choices that effectively can simplify quality control and reduce production waste. Therefore, it speaks for itself; use the principles of strategic quality management as a rule when making decisions during the realization of the innovation. During the innovation development, all disciplines must focus on opportunities for improving the venture’s performance while actively contributing to process upgrades. All these contributions must be put in effect by the innovation manager. The role of the innovation manager is also the role of advisor, thus responsibilities can be shared in a correct manner and activities focused. The board of directors will value the results and plans for the next stage and can steer the project on strategic parameters.
During the innovation process, many strategic choices must
be made. Moreover, the business processes must be formed during the innovation
for the whole supply chain. Your organization must be motivated to function
according to the new rules of quality management. Of course, this requires a
mutual interest in the improvement of your business processes. All supply chain partners, as well as
your own corporation will benefit from organizing your innovation processes. The
result is that your innovation projects will gain in speed, efficiency, and
cost-awareness. ISO 9001: 2008 and
DFSS can support these processes in a natural way. Cost saving and sustainable
progress should be complementary.
Anneloes Cordia has supported many
multinationals and combines her professional work with a position as Professor
in 'Innovation and Entrepreneurship' at the Rotterdam University for Applied
Science. Her latest book the ‘Innovation Management Practice Handbook’ is available
as an eBook. All innovation
methodologies described in this book have been verified during her 25 years of
experience as (interim) project manager in innovation for a diversity of
technologies and markets. Contact
her at cordia@productrealisatie.nl. |
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