The graphic was intended to allow a discussion/ presentation on:
1- Process Requirements from Stakeholders – product and/or process REQUIREMENTS/ desires – and the Process Designers’ needs to balance those requirements (tradeoffs!!!)
2- Process-derived Human Assets Requirements to HR-type groups – who with immediate/ local management acquire-develop-assess-reward/ develop-assess-reward/ etc.
3- Environmental Assets Required – the “everything else.” What do the humans need to “do the process/ workflow/ task performance” and do “any handoffs?”
If this was a math problem – I’d say do the math.
But process performance problems/ opportunities are not simple math problems.
So, do the diagnosis! Before doing the math of the value of the cost of the issue – and the value/cost of resolving it – then do the math about all the alternative prescriptions. The ROIs for various scenarios.
For the sake of the shareholders/owners – and all other stakeholders.
And if you really need to do the math – I believe that Deming said that 80% of all problems were in the direct control of management. Not the workers. Remember the Red Bead Experiment?
So calculate the Cost-of-Non-Conformance and attribute 80% of that “value” to management discretion. And then – Praise and Blame accordingly.
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