In 1988, 14 business leaders shared a vision for the European industry. Japan and more recently the USA had deployed Total Quality Management in a structure manner. We needed a common approach based on European values to restore our competitiveness. This vision brought them and 53 other business leaders to Montreux, Switzerland, on October 19, 1989 to celebrate the establishment of the European Foundation for Quality Management.
Introduced by forewords of two Presidents of the European Commission as well as the EFQM Board, this publication gathers a broad spectrum of testimonies from organisations at different stages of their excellence journey. We hope they will inspire you in your quest for sustainable excellence. Here’s to the next 25 years!
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|Adding Value for Customers||Creating a Sustainable Future||Developing Organisational Capability||Harnessing Creativity and Innovation||Leading with Vision, Inspiration & Integrity||Managing with Agility||Succeeding through the Talent of People||Sustaining Outstanding Results|
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25 Years of Excellence - The Stories
Excellent organisations consistently add value for customers by understanding,
anticipating and fulfilling needs, expectations and opportunities.
Excellent organisations have a positive impact on the world around them by
their performance whilst simultaneously advancing the economic, environmental and
social conditions within the communities they touch.
Excellent organisations enhance their capabilities by effectively managing
within and beyond the organisational boundaries.
Excellent organisations generate increased value and levels of performance
continual improvement and systematic innovation by harnessing the creativity
of their stakeholders.
Excellent organisations have leaders who shape the future and make
acting as role models for its values and ethics.
Excellent organisations are widely recognised for their ability to identify
effectively and efficiently to opportunities and threats.
Excellent organisations value their people and create a culture of
for the achievement of both organisational and personal goals.
Excellent organisations achieve sustained outstanding results that
meet both the
short and long term needs of all their stakeholders, within the context of their
Electrolux, a global leader in home and professional appliances, offers consumers and businesses thoughtfully-designed products with innovative solutions. Established in 1919, Electrolux provides products and services that are designed based on global trends and in-depth consumer insight. Innovation, design and sustainability are key factors that are embedded in the company’s culture and strategy. Electrolux sells more than 50 million products in more than 150 markets every year under its umbrella of esteemed brands including Electrolux, AEG, Zanussi, Frigidaire and Electrolux Grand Cuisine. In 2013, Electrolux posted sales of SEK 109 billion and employed 61,000 people.
During its 95-year heritage, the consumer has always been in focus and remains the fundamental driver of all Electrolux consumer-facing activities.
The Electrolux vision is to be the best appliance company in the world as measured by its customers, its employees and its shareholders. There are three core values that are fundamental for the company: Passion for Innovation, Customer Obsession and Drive for Results. Consumer Care is a key priority and the company’s aim is to translate consumer needs and expectations into attractive, relevant and sustainable value propositions for both existing and potential consumers.
Electrolux monitors consumer care experience and is able to trace, record and analyze every service visit request, through an integrated Quality Evaluation System. Global and local Consumer Satisfaction indexes are updated, evaluated and used to plan further improvements.
In the past four years, the global Consumer Care Satisfaction index has improved by more than 25%. Consumer care experience across all product categories indicate positive results annually, and this trend is set to continue for the coming four years.
Fundamental concepts of excellence promoted by EFQM represent a constant reference when revising plans to further improve Consumer satisfaction within Electrolux.
Electrolux estimates that today more than 1.3 billion people are using their products. It generates yearly more than 23 million contacts via phone calls, service visits, emails and other digital contacts.
These contacts present an exceptional opportunity to build and maintain a dialogue with the consumer based on openness and transparency by:
However, adding value is much more than addressing expectations of existing consumers. It requires attention in planning new products and a continuous means of monitoring competitors.
For this purpose, Electrolux has defined the concept of Consumer Quality, which aims to understand, monitor and improve the following Four Contributors to Quality as perceived by consumers:
As a consequence of a rapidly changing world, consumers and their expectations are changing quickly:
All these drivers determine trends in consumer needs and expectations that Electrolux captures and translates into products and services as a marketing-led company that anticipates consumer demands and behaviours.
In addition, Electrolux management is convinced that “People make the difference,” and with the right talent and leadership, Electrolux will be recognised as a champion of consumer care worldwide.
That is why we have intensive and ongoing training, a strategy to deploy best practices and a focus on building a continuous learning organisation that is dedicated to consumer care.
We all know how frustrating it is to receive poor customer service – perhaps You have experienced a utilities provider unable to access your latest account records or a retailer with no record of a previous complaint. For businesses everywhere, this kind of issue can be the difference between securing happy customers who keep coming back or driving customers into the hands of your competitors. The one thing that underpins the relationship between a business, its customers, and their information are document processes: the core interactions that occur regularly and repeatedly throughout all businesses in critical areas such as HR, finance, procurement and accounts.
At Ricoh, this is where we are adding value to our clients and in turn it is how we support them in enhancing their own client responsiveness. In our daily interactions with our clients across Europe, we are often finding areas of untapped potential to optimise and streamline business document processes for improved business agility, customer service and employee knowledge sharing. Such activity is often left unexploited as organisations are challenged by keeping up with the speed of technology lead change. Their technology is evolving faster than the processes they have in place to use it and is contributing to frustrated customers as a result.
In fact, research by the Economist Intelligence Unit and sponsored by Ricoh Europe shows that 3/4 of European business leaders are not reacting to changes fast enough and just 24 % can rapidly take advantage of new opportunities or adapt to unexpected changes. Their key bottlenecks are unconnected technology platforms and out-ofdate business processes.
For many businesses, effectively capturing, storing and streamlining the growing amounts of information is also becoming a challenge. With the global growth of data increasing exponentially, and estimated to grow by 40 % year on year the Big Data trend is set to continue indefinitely. In anticipation of the future impacts of these changes, it is critical that organisations review and optimise their business critical document processes. Optimised processes in turn will enable them to react more quickly to customer needs, support employee knowledge sharing and ensure an agile and flexible business structure.
Business leaders can start with an audit of the business critical document processes, assessing the journey critical business information travels before it is turned into action and is adding business value. Employees should be able to access information quickly to support their core business roles. It is also essential to challenge the traditional ‘way of doing things’. There is no doubt the processes were efficient when first implemented but are they meeting business needs today? Questioning the status quo will enable organisations to uncover bottlenecks that are impacting business agility.
The workplace will continue to change but on-going audits will mean that businesses information processes are led by business needs, and can change with the organisation. This preventive approach can also reduce any unnecessary overheads created as a result of outdated document processes; improving information flow and ultimately driving savings across the entire organisation.
Companies of the future are not just innovative and enthusiastic adopters of new technology but also able to change core business processes to ensure true organisational change. Only by reviewing technology, processes and people in tandem will business leaders be able to evaluate the business as a whole and truly state that agility is a part of their culture and that they are operating with the DNA that is required to succeed and add customer value into the future.
Customers have always been at the heart of our company. Our ambition is to lead the express delivery industry in customer satisfaction by continuously adding value to our customers’ businesses. We deliver 4.4 million shipments each week. So it is essential for our people to recognise that each shipment is important, from an aircraft part to a medical supply to save someone’s life. Delivery on time and in perfect condition must be ensured, every time.
We heartily congratulate EFQM on its 25th anniversary and relentless effort to promote business excellence. Our long relationship, punctuated by prizes and awards, has helped us integrating customer satisfaction as a principle focus of our company. We have learnt a few lessons along the way, which I would like to share.
Listening to customers
TNT exists because customers buy our products and services, so we are alert to their needs. We provide special options while leveraging our core network services. Our Special Services menu offers customers extra choices for unusual shipments. We set up dedicated teams of experts for certain global customers on request. When customers tell us they see TNT as an extension of their business, we know we have succeeded.
At TNT, we encourage managers to lead by example. Board Memberspersonally sponsor Strategic Accounts to ensure these customers are happy with our service. We constantly ask customers to tell us how we can improve. For example, customers were invited to our Global Convention this year as panellists, to tell senior managers how they experience their partnership with us.
Service quality drives customer experience. It is the first agenda item during our business review meetings and every morning, managers across TNT Express receive a text message with the previous day’s service quality results to further enable focus on service.
Striving for perfection As part of our Outlook strategy we launched Perfect Transaction, a company-wide initiative touching all functions to enhance our end-to-end process. Perfect Transaction aims to achieve a flawless cycle – perfect customer understanding, order process, delivery, and invoicing – every time, for every customer.
To achieve this ambition, we must simplify processes, adhere to them and get it right the first time. We are rolling out customer-focused training to employees worldwide to reinforce the importance of serving customers, and serving colleagues who service customers.
As a customer, you expect perfection, so this is our focus. The Perfect Transaction programme encourages people throughout TNT Express to take a close, honest look at how we all affect customer service to make the improvements needed so each customer enjoys an easy, hassle-free experience.
About TNT Express
In the past decade Cedar has more than doubled its customer base; providing services to over 2,100 people with disabilities in 2013/14. This level of growth is a result of Cedar’s longstanding commitment to adding value for customers. Growth has not compromised quality and customers have expressed consistently high levels of satisfaction (>94%) with services.
Cedar’s customers are people with complex physical, sensory and learning disabilities. Cedar works with people with congenital and acquired disability, the latter including people who have survived a brain injury often as a result of road traffic accidents, falls or strokes. Customers also include those with emerging needs, such as Autistic Spectrum Disorder and those who have sensory disabilities such as visual impairments.
Cedar uses three key approaches to add value for customers:
Cedar designs its services based on their knowledge of the needs and expectations of people with disabilities. In the 2007 EFQM Excellence Awards process Cedar won the special prize for Customer Focus. The assessors cited Cedar’s innovative and role model approach to identifying and meeting customer needs and expectations through its User Forum. The Forum is an independent, autonomous body of service users which facilitates an open and transparent dialogue with customers. It allows Cedar to gain an invaluable insight into customer needs, expectations and potential requirements. As a result Cedar is able to design and deliver innovative, attractive and sustainable services that are in high demand.
Seven years on, the Forum remains key to Cedar’s approach, operating regionally and being core to Cedar’s governance structure. The Forum is central to the development of new and innovative service. For example, Back Home a ground-breaking project which is developing and applying brain-neural computer interfaces to assist people with complex disabilities to control their environment through the power of thought.
All Cedar services are person centred programmes being tailormade to meet individual demands and preferences. Services improve quality of life for whole families and add value to individual members. For example, Andrew and Michael are eight year old twins; they live at home with their parents and older brothers. Both have significant disabilities and complex health care needs. The whole family works hard to keep the boys happy, safe and well. Specially trained Cedar staff provide customised play therapy two or three times a week helping the boys to have fun and giving their parents a break to spend time with their other children and attend to other things. This personalised support provides a lifeline for the whole family, adding value week by week.
Cedar is a Gold Standard Investor in People Champion recognising that its ability to add value to customers is dependent upon the talents of staff delivering services. Cedar invests significantly in training and development and in ensuring that their people have the necessary resources and autonomy to deliver services that exceed expectations. Skills and resources around new and emerging technology are a good example of this. Following her strokes, Pamela developed upside down and backwards reading and writing. She was finding it impossible to produce legible course work for her Diploma. Cedar’s ICT specialist was able to develop a computer programme which reversed the text Paula inputted, enabling her to produce work which was easily read by others.
Cedar maintains its customer focus by continually monitoring and reviewing the experiences and perceptions of its service users. This combined with the User Forum, person centeredness and investment in its people delivers added value for customers now and provides the bedrock for this to continue in the future.
About Cedar Foundation
‘Creating a sustainable future’ is highly connected to the Grundfos identity. Sustainability is one of our values, which means that we run our business in a responsible and ever more sustainable way. We make products and solutions that help our customers save natural resources and reduce climate impact. And as a social responsible company, we take an active role in the society around us. We take care of our people - also those with special needs.
Acting responsible comes natural to us
Sustainability is neither a passing trend nor a “quick fix” to a better reputation – it is here to stay.
In Grundfos, sustainability has always been a part of who we are and how we do business. We believe that every day holds the possibility to participate in solving the urgent challenges of the world. Global warming, water scarcity and an increasing pressure on natural resources due to, for instance, growing populations and increasing urbanisation are some of the urgent challenges the world is presently facing. Every day we choose to take steps to care for our people, our planet and our business.
Sustainability as a core part of our business
The focus on the fundamental concept, ‘Creating a Sustainable Future’, is present in all 9 criteria in ‘The Grundfos Way’ – our Group Status Document. Working structured with the EFQM Excellence Model is a great way to ensure sustainability throughout the organisation.
The Sustainability Footprint in ‘The Grundfos Way’
To be able to reach an as high degree of sustainability as possible, it is essential to “walk the talk” and start by setting clear targets, which are understandable for the whole organisation. In Grundfos our target is to not emit more CO2 than in 2008 even though Grundfos is growing year by year. This ambitious target also relates to our Water Usage and Energy Consumption, where the results are collected and communicated in the yearly Sustainability Data Report.
In the work with the Excellence Model we thereby both focus on integrating sustainability into the whole organisation, encourage all to reflect on their contribution to the wider society, and at the same time save money and resources, and create an even stronger value proposition for our products.
Imagine you work as a project manager in developing country ‘X’. A need has been identified to build schools and your organisation has been approached to submit a proposal. Specialists in Infrastructure, Project Management and Procurement services, you have an array of technical expertise at your disposal and know that you could deliver to time, cost and quality. It would immediately appear to be a simple decision. Frankly, in the past UNOPS would swiftly spring to action without much hesitation. Today, we first pause as a matter of course and give more thought to how we can bring not only our expertise but also our values to bear.
UNOPS straddles the world of high level development assessments integrating international best practice norms and the world of context-specific local solutions. We make sure to engage with all stakeholders to fully understand their expectations and shape the best possible solutions. This includes local communities to represent their needs, government to more fully integrate with development plans, donors, the private sector and specialist organisations (UN agencies or NGOs).
As a UN Agency that is both cost recovery and non-profit, serving people in need and working with multiple actors, we have a unique insight into the interplay of drivers and incentives which are all too often seen as competing. We take seriously our responsibility to increase the sustainability and quality of our engagements as we know that while people in need might not always be the ones making the initial investment, they normally are expected to pay for the upkeep and they will certainly pay the price for misguided projects.
It is when UNOPS operates as an honest broker that we add real value, safeguarding the interests of people in need, while understanding the constraints of the public sector to provide basic services and appreciating the value of private sector investment, technical expertise and job opportunities.
To render us fit-for-service in this role, we are currently honing our approach to business development and project engagement. We both seek the right engagements in the first place, and ensure that implementation contributes to development ambitions. A central part of our sustainability approach is the application of our ‘Sustainability Marker’ which guides our project teams to identify gaps and dependencies as well as maximise opportunities and minimise harm when developing projects across the social, environmental and economic dimensions of sustainability. Applying the Sustainability Marker even prior to project start-up gives teams a chance to influence project design.
As well as having technical expertise and exercising considered judgement, part of the job description for an honest broker is the demonstration of consistent excellence. At UNOPS we are committed to the adoption of international standards as our quality assurance. This is now part of our DNA as an organisation, interwoven into all that we do. In our projects we strive to comply with industry standards, such as those accredited by the ISO. Not only are we in some cases the first in the UN system to do so but we are also often able to introduce them in countries where these would not be normal practice. Corporately, through adherence to the EFQM Excellence Model, we routinely assess and ensure our continued relevance and competence. We have found this really helpful in aligning approaches and results.
In conclusion, as an honest broker, when we accept projects such as the school in this article, we will reduce the environmental impact in the construction, build the schools to the appropriate international standards with context-sensitive design, incorporate components for equitable social inclusion, reduce running and on-costs and where possible use local labour and materials to support livelihoods. We will also be very intentional in developing local and national capacity through sharing the skills, knowledge and behaviour underpinning excellence, to assist private or public sector institutions to manage projects like these themselves.
Ultimately, if we are really serious about our mission, our greatest contribution to a sustainable future will be to not only demonstrate excellence in what we do and how we do it, but while doing so work ourselves out of a job.
Can we envision a day when a critical mass of companies is investing in a better world? Where business is delivering value for the long-term – not just financially, but also socially, environmentally and ethically? Over a decade ago, it was hard to imagine, but we can now say with confidence that a global movement is underway.
It was this fragile state of the union between business and society that led the UN Secretary-General in 1999 to propose that business and the United Nations jointly initiate a “global compact of shared values and principles, to give a human face to the global market.” From 40 companies that came together at our launch in 2000, the Global Compact has grown to 8,000 companies and 4,000 non-business signatories based in more than 145 countries. We now have 100 country networks that are convening likeminded companies and facilitating action on the ground, embedding universal principles and responsible business practices in all continents.
EFQM has played a critical role in the development of the Global Compact. Our partnership, formed a decade ago, introduced us to the continuous performance model, which inspired the Global Compact’s Communications on Progress (COP) methodology. EFQM’s mission and the Global Compact’s aspirations are strategically aligned. As the business and society agenda has evolved significantly over the past decade, a stronger collaboration between the two organisations promises to build a healthier balance between businesses, citizens and the planet.
The reality is that environmental, social and governance challenges affect the bottom-line. Market disturbances, social unrest and ecological devastation have real impacts on business vis-à-vis supply chains, capital flows, and employee productivity. We also live in a world of hyper-transparency, with people now more empowered than ever to hold Government and the private sector accountable for their actions. There has been a fundamental shift as companies come to realise that it is no longer enough to mitigate risk, but that they are expected to contribute positively to the communities in which they operate.
More persuasive than the risks are the opportunities that come with going global. As economic growth has migrated East and South, more companies are moving from being resource takers, to market builders. Now, when faced with complex issues – extreme poverty, lack of education, gender inequality, environmental degradation – responsible companies see themselves as equal stakeholders for the long run, knowing that they cannot thrive in societies that fail. This has encouraged business to collaborate and co-invest in solutions that produce shared value for business and society.
While we have seen a great deal of progress, there is much work to be done. Companies everywhere are called on to do more of what is sustainable and put an end to what is not. We need corporate sustainability to be in the DNA of business culture and operations. The priority is to reach those who have yet to act, and especially those actively opposing change. Governments must create enabling environments for business and incentivise responsible practices. Financial markets must move beyond the short-term, where long-term returns become the overarching criteria for investment decisions. We need clear signals that good environmental, social and governance performance by business is supported and profitable.
What will the future look like? The pieces are in place to achieve a new era of sustainability. The good news is that enlightened companies – which comprise major portions of the global marketplace – have shown that they are willing to be part of the solution and are moving ahead. Decisions by business leaders to pursue sustainability can make all of the difference. We can move from incremental to transformative impact, showing that responsible business is a force for good.
About United Nations Global Compact The United Nations Global Compact is a call to companies everywhere to voluntarily align their operations and strategies with ten universally-accepted principles in the areas of human rights, labour, environment and anti-corruption, and to take action in support of UN goals. Endorsed by chief executives, the UN Global Compact is a leadership platform for the development, implementation, and disclosure of responsible corporate policies and practices. Launched in 2000, it is the world’s largest voluntary corporate sustainability initiative, with 8,000 corporate signatories in 145 countries, and Local Networks in 100 countries.
In the plant in Hoboken (Belgium), Umicore recovers 17 metals out of a wide and complex range of materials. The processed materials are by-products from other nonferrous industries or originate from secondary sources, such as mobile phones, laptops, auto catalysts.
Umicore recovers metals in a sustainable way. It has invested over € 500 million in the Hoboken plant since 1995. The site has undergone an extensive technological and environmental transformation. Sustainability is always embedded in all our processes.
Sustainibility is key
Umicore Precious Metal Refining has partnerships such as cooperation with NGOs about reuse and recycling, focused (financial) support of regional projects and cultural cooperation with authorities. We raise awareness about the environment and recycling with 12 and 18 year old students in a playful way with our Ecomagic presentation. These approaches are owned by members of the management team. They are heavily involved in the implementation of relevant programmes with external stakeholders. Health and safety are key aspects in all business processes. Umicore has improved the communication and relationship with the neighbouring society through a number of projects and a transparent policy.
With the help of the EFQM Model
Congratulations! For 25 years the EFQM Excellence Model has served many businesses around the world to establish a multi-stakeholder, process-driven method for incrementally improving a company’s results. Many CSR activities have – through the application of the EFQM approach – helped companies to reduce their impacts and improve the responsibility of their operations.
However, we now see that to create a sustainable future we first have to be able to envision a future that is radically transformed from the world we know today. That means that the first step for any organisation wanting to ‘become sustainable’ is to have a vision of what their activities, products, or services would look like if they were, in fact, ‘sustainable’. Sustainable, not just in terms of the impacts and dependencies on the people and resources a company requires, but also with regard to the broader environmental and societal impacts of its activities.
The World Business Council for Sustainable Development (WBCSD) is a CEO-led organisation of forward-thinking companies that galvanise the global business community to create a sustainable future for business, society and the environment. Vision 2050, published in 2010, collected many of WBCSD’s members’ visions of what a sustainable future would look like – a groundbreaking piece of work, it was the first time that global business stated that business as usual was no longer an option. Our combined vision is incredibly simple: that by 2050, 9 billion people will be able to live well, safely within planetary boundaries.
Vision 2050 outlines pathways that map a transformational change of existing systems to achieve this overarching goal. WBCSD’s current Action 2020 work concentrates on addressing nine, science-based priorities with business solutions that can result in measurable positive impact at scale.
The nine priority areas for action were selected ranging from climate change to ecosystems and land use, and from basic needs and rights to sustainable lifestyles.
These science-based actionable priorities, and the societal goals associated with them, form the core of WBCSD’s Action2020 work platform. With our members, we are working to develop business solutions that can have a measurable and significant impact towards achieving 2020 societal goals. They need to be scalable, replicable, beyond business as usual, and most importantly, able to overcome barriers that will inevitably appear in their way.
Of course, business cannot do everything by itself. It is in a unique position – it can bring innovative products and services, management and technological capabilities, and financial resources. But to achieve ambitious and audacious societal goals, business will need the support of forward-looking policy, capital markets and education, and above all, a collective acceptance of the need for change at all levels of all global societies.
Part of this change will be redefining Value. We need to move away from a model where shareholder value is the only criteria for measuring business performance, to a model where financial, social and natural capital are measured and managed in an integrated way. The EFQM Model has laid the groundwork for this new approach that is now called ‘integrated thinking’.
Our members are leading companies that see that the combination of science-prioritised business solutions, combined with an integrated thinking-based management system, is the route to securing a sustainable future for their businesses, society and the environment.
Reaching the age of 25 in a human life is often considered as the point at which we are ready to start getting serious. I wish the EFQM a sustainable life; by taking all that it has learnt in its first 25 years, it will be able help guide companies to a vision of a better and more sustainable future. We will face many environmental and societal challenges over the next 25 years. The world needs the integrated compass that the EFQM can provide.
About World Business Council for Sustainable Development (WBCSD)
As a leading microelectronics corporation in worldwide competition, Infineon is subject not only to constant pressure concerning efficiency and cost, but naturally also to the high speed of innovation in the industry sector. At the same time we place highest priority on the top quality of our chips and systems for applications in the areas of energy efficiency, mobility and security.
Maintaining a constant balance in the rectangle “Quality - Cost - Innovation - Speed” makes it possible to win growing market shares with satisfied customers around the world. In this context, Infineon Austria has used the EFQM Model as a management method for more than ten years, with the objective of being a learning organisation that constantly remains in motion and improves each year, e.g. through management assessments. We want our pursuit of excellence to embrace every potential and to make us the vanguard for EFQM in the Infineon Group.
Innovation management is an integral component of this approach and innovation culture is the core of our strategy. All business areas (Research and Development, Marketing and Sales, Production, as well as support functions) define and inspect their contribution to this joint innovation strategy. This has resulted in significantly more open and more interdisciplinary collaboration. Of course this philosophy is primarily lived out and called for by our leaders.
Whether in innovation workshops with customers aimed at jointly defined projects resulting in products, or with occasional input from outside the industry that helps us look “beyond the horison”: Innovation lives on discontinuities and challenges from partners.
In this context, Infineon Austria has developed a well-conceived partner network linking research institutes with universities and corporations. The high degree of complexity and outsourcing in our industry makes our suppliers indispensable on the road to innovation. Our procurement experts provide our suppliers with information involve them and evaluate them in essential innovation topics. This also applies to the social environment, which we try to involve by raising enthusiasm for targeted innovation and the opportunity to shape the future, in order to overcome the fear of change.
It is, however, our highly dedicated leaders and employees who form the heart of our innovation success. Supported by the innovation manager, they not only contribute ideas, but also accept responsibility for their realisation. Whether in the competition for the annual Innovation Award, at the internal Innovation Days idea fair, or through individual suggestions for improvement (known as YIPs: Your Idea Pays); the intent is always to provide a platform for successful technical and business-oriented innovations, as well as to recognize and reward our employees also financially.
These activities have been supported by the development of a new, more open learning and error management culture in the company. Supported and evaluated by university institutes, we can measure the tangible success of this cultural transformation.
By systematically applying the EFQM Model in the area of innovation, Infineon Austria has been able to emerge as the largest R&D company in Austria and has become one of the most significant sites within the highly successful Infineon Group.
In this context, we would like to offer our heartfelt congratulations on the occasion of EFQM’s 25th anniversary and wish you continued decades of success, to the benefit of the European industry as a whole!
Most EDF branches or divisions have had units which are either Prize winners, Recognised for Excellence (R4E) and Committed to Excellence (C2E) or have begun the process. For instance, in 2007, the nuclear plant of Golfech was the first European nuclear plant to be R4E 5*. It was the first 5* in France.
This is a good example of how EFQM can help industrial units who often focus only on technical issues. EFQM ensures they also focus on customers, the environment and CSR, and of course on people.
The lesson we have drawn is: continuous improvement is a whole. And to achieve long-lasting performance, nothing can be done without people and their talent. Over the last twenty years, it has become increasingly evident that sound, sustainable management requires reconciling financial, environmental and social goals. The human dimension is a key issue to enable us to respond effectively to all the challenges we have to meet.
So, the first two Guidelines of our Group HR Action Plan are “People are the core of the Group’s competitiveness and performance” and EDF wants to be “An employer of reference in terms of corporate responsibility and social performance”.
We have to train people and develop their skills, their empowerment and the necessary conditions for their involvement, in order for them to realise their full potential. But there is something else which is important to focus on: the difference in performance comes, of course, from how people are managed.
A few key points in people management: listening, trust, recognition and of course being exemplary
Listening leads to questioning, to be sure we have really understood what was said. It’s also important to make sure we understand the feelings behind what is said.
When we question someone’s action we are not questioning their character, we are only interested in the facts. People will accept that we question their results or their actions. We must remain focused on the facts. That is the price of trust.
There are at least three forms of recognition: financial, symbolic, social. These forms of recognition make sense for people working in a company.
And being exemplary
It is a question of reliability: “we do what we said we were going to do”. Actions speak louder than words.
Convincing people is a daily task. Exemplary nature goes with conviction and conviction goes with commitment. The mistake is to believe that, because it is simple to understand, it is simple to do.
Human resources and human beings
It is not so easy to manage people because we have to deal with individuals: human beings. What are the implications for their lives? The impact will be on them. That will not alter our decision, but the way we manage the change. People are not only resources, not just a cost. People are above all forces, levers: an asset of the company.
People can give their best, when they are involved, committed: when we listen to them, we trust them, we recognise their contribution and, of course, when we offer them our own exemplary behaviour. We must keep practising and never give up: nothing must be taken for granted...
The company must be a living one, with living people. That is what makes sense, and creates the desire for success.
Innovators and entrepreneurs are not normally in the business of sharing their intellectual property. What then was Elon Musk, the Founder of Tesla, up to when he announced that Tesla will not initiate patent lawsuits against companies who want to use their technology. This conscious decision to open up the patents that his firm invested millions into is a perfect illustration of what I call Ecosystem Economics™. Musk and Co know that driving the economics for the ecosystem of the electric car market is the most important thing. By being altruistic and business savvy, he is going to cause his emerging industry to explode, and as a first mover, he will benefit massively.
The challenge for every CEO is to reimagine their industry as an ecosystem comprising companies, institutions and customers that interact for mutual benefit. Those players, who organise the economics of the ecosystem they operate in, become the winners in today’s business environment. This is how Apple moved the centre of the music industry to MacWorld from the corner offices of the record labels: they offered clear economics to the artists and rights holders, the consumers, the distributors, etc. So is this just a large company game at this point then? Can smaller, high-growth companies win? Yes, both the ‘digital Davids’ as well as the mid to large enterprises, Goliaths, whether they be banks, retailers, radio stations, oil & gas companies, etc have a ‘fight back’ strategy in the digital exponential world that we live in.
Every entrepreneur – every David - has a problem with customer acquisition. No venture capitalist is going to give him or her £50 m to acquire 50 million customers, so they need to find a distribution base. Think of them as a revenue generating, data aware, cloud/Saas algorithm or a digital car in search of a highway.
Goliath businesses are still structured linearly, not with networkbusiness models, but they have customers, brand, audience and reach. Engaged properly, they can help a David scale. Most of the world is not Amazon, Facebook, Apple and Google, and neither are they Uber, AirBnB or Tesla. They are run of the mill established, traditional businesses who are searching for a fight backstrategy to the digital disruption. And the answer is to engage the Digital Enablers. Embrace the disruption by dancing with the B2B Saas firms, the Digital Davids who cannot scale without a highway.
I am not suggesting that big companies should just buy small companies. Neither am I sanctioning the setting up of corporate venturing funds as the answer. If your company’s challenge is how to build a ‘Digital P&L’ ™, then the answer is not to take small equity stakes in a lot of baby companies. The answer might be at the end of experiments, trials and pilots where David is told that he/she has X % of the Goliaths customer base to apply their algorithm to achieve Y revenues in Z timeframe in order for the David & Goliath dance to yield a material amount of revenue.
This is the hard business of building digital revenues, establishing a ‘Digital P&L’™. If you are a Goliath, you must first be cloud-centric, mobile-enabled, and data aware.
One vision of the future is that the technology platform companies are taking over every industry as Facebook is going into banking, Google buying up drones businesses, and Yahoo entering the TV industry.
Banks, transportation firms, media firms must become platforms themselves. Why does this not happen more frequently?
Most people think linearly still, and do not ask themselves the basic question of: In whose interest is it for me to be successful? Who are my Natural Allies, and how do I make it in their interest to align with me. Your Natural Allies might be former competitors, or companies who need a new story, or firms in another industry.
On with the dance!
To Novia Salcedo Fundacion (NSF), success consists of properly meeting the requirements of all its stakeholders (young people, host companies and organisations, NSF´s professional team, the society at large).
Despite the strong impact of the current crisis on the downward trend in the wealth of the whole of Spain, our management system based on data provide us with detailed information which demonstrates the positive development of NSF in each of these areas.
Our success is clearly due to people within our professional team. Many organisations claim that people are their most important asset. In NSF people are our only asset.
Such a challenging current and future context as the one we face requires equally challenging people strategies. NSF People Development and Teams Strategy 2014 – 2019, which is aligned with its overall strategy, is focused on achieving the following objectives:
But people themselves do not become active if the appropriate atmosphere and stimulus are not created to make it happen. They must work as a team. These teams are a space and a tool for NSF to train people and to learn from each other. At the same time, this allows them to identify strengths and areas for improvement of themselves, contributing to their professional and personal development;94% of NSF people are satisfied with the approach and the deployment of the teamwork methodology in our organisation (Source: NSF People Survey, 2013).
This simultaneously leads to the individual development of each person and his or her alignment with NSF´s mission as a result of belonging to the team.
The convergence of interests between each person and NSF is a key issue for us. This includes sharing some appropriate values, not in a theoretical way, but in a real way, i.e. values which are really being lived and applied in the organisation.
One main value, without which nothing would be possible, is transparency. There is no secret or inaccessible area for anyone from the organization (93% of NSF people are satisfied on this point).
Other key values are justice and equity. These principles are deployed in all areas of management are transparent and faithfully respected and followed. 100% of NSF people consider that in our organisation we all have the opportunity to meet our individual requirements, both personally and professionally, to be listened to and cared for, always in balance with the smooth running of the organisation.
Another key concept is that the person / position assignment is designed so that challenging tasks are assigned to each person and he/she is able to perform them in an appropriate way. This implies a philosophy of empowerment, transferring the power of making decisions to the place where the action occurs (89% of NSF people are satisfied on this point).
The deployment of these values to all people in the organisation , and to their ultimate consequences , is only possible with an ongoing dialogue between NSF and each individual: letting him/her participate in the formulation and the deployment of the strategy, making it known how each process and project contribute to the achievement of the organisation´s strategic objectives, promoting the engagement and taking them into consideration when making decisions that could affect them or their work, etc.. (90% of NSF people are satisfied on this point). In short, the ultimate goal is to obtain the highest commitment of NSF people, to the point where each of us do our best, and define our own destiny without producing any fragmentation, in line with the mission of the organisation, and through a strategy which combines home grown timber with external talents (94% of NSF people are satisfied on this point).
By doing this, we ensure that knowledge does not turn into personal property but rather a common asset; and we provide more value to the organisation and to the society.100% of NSF people feel committed with the working in society that our organisation develops; 97% of NSF people consider that their day to day activities contribute effectively to the integration of young people into the labour market.
Other key results achieved:
About Fundación Novia Salcedo
Our mission at Glasgow Housing Association (GHA) has always been a simple one – to create ‘better homes and better lives’ for the 41,500 households we serve.
In 2008 the prospect of turning that mission into reality seemed a pipe dream. Customer satisfaction stood at just over 70%, performance was poor, a regulatory report told us we ‘must do better’ and our public image was at an all-time low. A further threat came in the shape of a tough economic climate - and there was worse still just around the corner. Plans by the UK Government to change welfare benefits would significantly reduce the income of our already hard-pressed customers.
Take a close look at GHA today and you see a very different picture. Customer satisfaction stands at over 90%, performance is up and our stakeholders regularly praise our work. “GHA is an organisation that is of iconic significance in Scotland and its extraordinary levels of customer and staff satisfaction are a substantial achievement,” said a leading civil servant recently.
So how was such a transformation achieved? The answer lies in developing capability across the organisation.
GHA transformed its culture by developing and empowering staff to put the focus firmly on the customer and to make decisions quickly and effectively every time.
The first phase of our journey to excellence came through Common Systems, Common Sense. In 2008 we began to use systems thinking to re-organise our core processes to strip out waste and focus on delivering results for customers. Performance improved substantially. For example, the number of days it took to let homes reduced by 70% and bad debt by 50%.
In 2009 our Leadership team committed to using the EFQM Excellence Model as the key framework to help us deliver our ambition. By 2011 we achieved the maximum five-star EFQM Recognised for Excellence rating and were awarded the Scottish Award for Business Excellence by Quality Scotland.
But the real shift came through Think Yes, our staff empowerment campaign designed to give staff the confidence and skills to deliver tailored solutions for customers. Out went the command and control style of management and the culture of escalation. The power to delight customers lay in the hands of frontline staff who were trusted to make the right decisions at the first point of contact. Leaders took on the role of enablers, supporting staff and removing issues stopping them saying ‘yes’ to customers. The campaign was launched with faceto- face events fronted by GHA’s Chief Executive Martin Armstrong and sustained through high-impact communications and a development programme for leaders.
More efficient working and empowered staff have enabled GHA to reduce layers of management and divert more staff to dealing directly with customers.
Advisors at our 24-hour customer service centre have been developed to handle a wider range of customer inquiries, freeing up staff in our communities to handle more complex issues.
But more had to be done if we wanted to continue our journey to excellence while delivering good value for money.
In Spring 2012, GHA formed a partnership with Cube Housing Association. This paved the way for a new parent company - Wheatley Group – to be formed in 2012. The Group now brings together four social landlords including GHA, a care organisation and two commercial subsidiaries.
By working together, sharing resources, services and expertise with others, GHA can do more to help customers than it ever could have done on its own.
The Group’s ability to attract financing from both public and private sources has been expanded with a proposed growth programme of over 4,500 homes.
And we are able to offer a wider range of innovative services to support tenants. That includes increased help to get into work, training or education, advice on money matters and a furniture recycling scheme to help tenants who do not have the means to furnish their house.
Last year EFQM recognised GHA’s record of continuous improvement with the “Leading with Vision, Inspiration and Integrity” prize at the 2013 EFQM Finals in Vienna, Austria.
Our journey to excellence continues but GHA is now well and truly on the road to turning its mission ‘to create better homes and better lives’ into reality.
About Glasgow Housing Association
I was asked in 1992 to become the President of EFQM, in the footsteps of Raymond Levy whom I had replaced at the helm of Renault. I was delighted to accept the role and chaired the Board of EFQM for the following three years. These were exciting years for me.
Raymond Levy was one of 14 CEOs of leading European companies who, alongside European Commission President Jacques Delors, took on the challenge in 1988 to create conditions to drastically improve the competitiveness of the European industry. Japan had a significant lead with the Deming Prize. And the Malcolm Baldrige Award had recently been launched in the USA. Something had to happen in Europe so as to keep up in the global race.
We are now celebrating EFQM’s 25th anniversary. When it was created, the idea was to bring Total Quality Management (TQM) to as many companies as possible in order to drive performance improvement. EFQM had a significant role to play in promoting TQM in Europe. I remember the first European Quality Award (now EFQM Excellence Award) presented by King Juan Carlos I of Spain to Xerox in 1992. This Award was – and remains – a significant source of motivation for others, and provided public awareness on the benefits of deploying TQM. This still holds true today.
The EFQM Excellence Model was launched during my tenure, based on the analysis of the best performing organisations. This Model has not changed drastically since, which proves its robustness. Its 9 criteria continue to create the framework for describing and assessing how organisations operate. Yet one of these 9 criteria was unique at the time: “Impact on Society”. Whereas it was then perceived as somewhat peculiar, no one today would consider excellence without a keen focus on Society.
Self-assessment, the essential starting point for any value-adding continuous improvement process, were established. A number of other activities were created to help organisations deploy the Model and engage on a journey to improve their performance. They were mostly founded on the simple principles of learning, sharing and networking which still prevail at EFQM today.
Whereas neither the Excellence Model nor EFQM’s Mission have changed much over the years, the beneficiaries of the Model have. EFQM’s circle of influence is much larger today than initially envisaged. European business values, which are embedded in the EFQM Excellence Model, have generated interest in the public sector as well as outside Europe. This proves the universality of the Model and that of its supporting philosophy. The Model is relevant for any organisations, and brings benefits as long as the top management is fully engaged.
We deployed the EFQM Excellence Model in a number of units at Renault. It led to two engine plants applying to the EFQM Excellence Award; a Spanish and a French unit finished as Finalists respectively in 1999 and in 2002. The Model brought structure in devising, deploying and assessing our strategic initiatives just as I had anticipated when I started working closely with EFQM in 1992.
I wish a happy anniversary to EFQM and a successful deployment of the EFQM Excellence Model for 25 more years for the sustainable benefit of our economies.
Louis Schweitzer, Former Chairman and CEO of Renault (1992-2005), Former President of EFQM (1992-1994)
What organisational system should be adopted to achieve a company’s objectives? This, of course, is one of the main concerns of all executives. In order to provide an answer, the Bouygues group proposes a threestage approach to its subsidiaries.
The first stage is to properly identify the various goals pursued. In addition to customer satisfaction, which is clearly an organisation’s “reason for being”, respect for employees, shareholders and other stakeholders must also be factored into these goals. A full assessment of a company’s impacts must be carried out prior to the definition of the strategy and organisational skills needed to be developed.
The EFQM Excellence Model is the basis that the Bouygues group proposes to its subsidiaries to carry out this initial stage, coupled with a self-assessment tool called “Abby”, developed in-house just over ten years ago and which has been continually updated since. The second stage is to assess whether the initiatives implemented by the company enable it to achieve its objectives. The Abby process is based on a series of self-assessment seminars, held over a certain period of time, intended for the executive committees of Bouygues group entities. During these seminars, the committees review all the various sections of the EFQM Model, expressed in the terms the most adapted to the Group’s culture. A certain number of sub-questions are linked to each section. Each subquestion is formulated so that the wording can be understood very easily in different contexts.
A small team provided by the parent company is responsible for coordinating the process. Its role is to inform management teams of the emergence of new managerial practices or to develop new business models that offer value added creation potential whilst giving symbolic examples to illustrate its thinking. It is in the interests of all companies to regularly compare their management methods with current best practice in order to identify avenues for improvement.
More than 110 Abby sessions have been organised to date, involving more than 1,500 managers.
The third stage, made possible by the two previous ones, is to maintain the momentum of overall performance improvement via a management (or organisation) system continuous improvement policy.
The ingredients for this policy’s success are the precision contributed by the EFQM process and the spirit of dialogue and cooperation resulting from the Abby collective self-assessment approach.
For KHDA, sustaining outstanding results means defining our strategic objectives from the outset, continuously modifying and improving our approaches and working hand in hand with our stakeholders to achieve the desired outcomes.
We believe that quality education is a shared responsibility, which is why stakeholder engagement remains imperative to our success. We involve them in setting our strategy, developing services, creating legislation, and we continuously collect their feedback through surveys and focus groups.
Defining our strategic objectives and ensuring shared responsibilities among our employees is another key success factor for delivering the desired results. This is done through cascading the strategic objectives and related KPIs to the chief performance cards, departmental plans and the employee’s individual appraisal. In addition, to the establishment of various committees and panels to work towards the primary objectives.
The Strategic, Operational, System and Employees performance is measured and monitored through various tools and the frequency of reporting varies based on the approaches applied by KHDA and the needs of the stakeholders.
The results of the performance reviews and the inputs from stakeholders are used for enhancing the current systems adopted by the KHDA. For example, the feedback from parents, students and teachers is used for to adapt and improve our inspection framework, which has had a positive effect on school performance ratings.
We believe that learning from best practice is essential to establish and improve our systems. When analysing best practice, we develop it further to fit the organisational culture and needs. In addition, we encourage sharing of good practices among the education community, in line with KHDA’s aims to improve the overall quality of education in Dubai.
Being innovative in what we do and creating the next practice in our field is a key to achieving and maintain outstanding performance. Innovation is evident throughout the organisation, and we provide employees with platforms to foster creativity. This originality is reflected in the systems we have established, including an inspection framework catering to 15 different curricula and a truly unique customer experience.
Through stakeholder engagement, measurement, Improvement and Innovation, we were able to achieve outstanding results. This includes the inspection results, in which the number of Good and Outstanding schools are increasing, and the customer satisfaction index, which moved from 79% to 95% to be on top of all Dubai government entities as shown in the figures below.
About the Knowledge & Human Development Authority
Novaled is a world leader in the OLED (Organic Light Emitting Diode) field providing unique materials and technology for new display and lighting applications. The company is headquartered in Dresden, Germany with major display customers in Asia and OLED lighting customers worldwide.
Our market fields like OLED or further organic electronics are still in its infancy and starting phases. Therefore it is essential for Novaled to offer innovative products with a short time to market according to customer’s expectations. To do so, we have a close presence to key customers, e.g. by Asian offices where we can provide fast onsite technical support.
On the other hand we have in Novaled a culture of creativity and innovation supported by processes. The Organic Electronic market is characterised by moves and instability; company priority is given to decision process rather than inflexible strategic plans. The key elements are:
Our strategy process is based on learning organisation and organisational understanding. The learning organisation approach considers the indivisible aspects of theory and practice, decision and action. Three elements are crucial:
Another important factor for a culture of creativity and innovation is the human factor. People are our main asset. Novaled put its focus on developing new products and consequently stays fabless. Therefore, creativity is at the centre of our companies’ priorities. We have an open door policy supporting discussions or the freedom of imagination. A clear goal setting and key performance indicators support the Novaled team to measure the progress towards organisational goals. They are quantifiable,e.g. through Business Balance Scorecard or Performance Progress Sheets reflecting the critical success factors of divisions, teams and individuals.
Everyone can see how their own and their team’s contribution translates into the company success. That is also linked to the bonus system.
We also have a clear management approach, e.g. through a Company Strategy (CSC) and Business Excellence Council (BEC). The CSC is a group of leaders with the mission to analyse any key business issues, to make proper recommendation, to survey alignments of development programmes with business approaches and to review the implementation of the company business decisions regularly. The BEC analyses and contributes to the company business practices targeting Business Excellence as per commitment to EFQM.
Thanks to the EFQM global quality approach we make sure that innovation applies not only to products but also to processes, marketing, organisational structures. We have been regularly amending our organisation along with the company growth as well as adapting our business model to the moving requests of our customers. Yearly EFQM-Self-Assessments help us to find out what we could do better, to permanently improve and to stay a learning organization. There is innovation everywhere in the company. Finally, product innovation is the visible face of creativity of each individual in Novaled.
We are a key supplier for the OLED corporate companies. We must have a double approach: a fast reacting attitude to rapidly offer innovative products together with a process driven organisation to guaranteeing the reliability and the quality of the deliveries. Thus, we can give a real token on our capability to create value to our customers’.
This global quality approach is reflected in our 6 company values: (i) customer satisfaction, (ii) respect and integrity, (iii) honesty and trust, (iv) creativity and innovation, (v) sustainable quality, (vi) flexible, dynamic and result oriented.
Royal Philips was one of the founding companies of the EFQM in 1989. At that time, Philips was active in many different industries, with leading positions in Consumer Electronics, Semiconductors, Displays, Passive electronics and media (music distributor Polygram). The launch of the Compact Disk in the beginning of the 80’s was one of the many proof points of the innovative strengths of Philips. Many of its innovations had their origin in Philips’ central Research organization. Apart from a continuous flow of leading products, this has resulted in transformations of the Philips organization as a whole. Started as a lamp-making business, Philips expanded into medical devices (X-ray tubes), radio (tubes), and television in the first half of the 20th century.
After a financial crisis in the beginning of the 90’s, Philips continued re-inventing itself. Around 2000, focus was brought into the business portfolio. Health and Wellbeing became the central theme under the leadership of Gerard Kleisterlee. The EFQM Model was deployed company-wide, and selfassessments, peer assessments, and external benchmarking became common practices in most parts of Philips. Meanwhile strategic acquisitions and divestments re-shaped the company into its current three sectors: Healthcare, Lighting and Consumer Lifestyle. From a relatively small player in the medical device industry, Philips developed into a global top-3 player. The leading position in Lighting was sustained, even though the lighting industry itself was going through massive transformation because of LEDs replacing incandescent and fluorescent lighting in many applications.
In 2011, Frans van Houten took over as CEO of Philips. He started a new wave of transformation with the Accelerate! program, emphasizing end-to-end standardized business process management and a winning culture focused on excellence and customer centricity. Meanwhile, the traditional TV, video and audio industries of Consumer Lifestyle were spun-off, with a stronger focus on Personal Care, Oral Care, Kitchen Appliances, and Coffee.
Throughout all the above transformations, innovation has been one of the most important strongholds of Philips. Structured methods have been developed and improved to stimulate creativity in R&D, but also in design, marketing and manufacturing. Capturing ideas, claiming intellectual property and optimally leveraging this in products and services are practiced on a world-class level. Partnerships of various nature have been established with other innovative companies to co-create and bring innovations successfully to the market. Open innovation has been embraced as best practice for speeding-up access to external knowledge, and for optimally capturing value from ideas that fit less well in the proprietary industrial set-up or brand promise. Within a decade, the High-Tech Campus in Eindhoven transformed from Philips-owned research premises into a 3rd-party owned hot-spot of human-centered open innovation, accommodating more than 125 companies/organisations covering various parts of the innovation chain.
The relevance of local innovation increasingly is evaluated in joint initiatives with partners world-wide, recognising the value of cultural diversity as well as the need for dedicated solutions for customers and endusers with large differences in buying power. Cooperation with hospitals, knowledge institutes, local authorities and NGOs has become common practice. Deep people and cultural insights are at the foundation of our innovation process, with iterative collaboration, input and feedback with stakeholders as innovations move from ideas to market. Philips’ stakeholders range from medical professionals to consumers in mega-cities as well as rural areas.
Improving people’s lives through meaningful innovations has been selected as the mission of Philips in this most recent transformation process. Philips has defined its vision to improve the lives of 3 billion people by 2025. This promise will be kept, building on the proven creative talent in the company and understanding that innovation, sustainability, and customer centricity are key factors for future success. This has been underlined in the recent brand re-positioning of Philips: “Innovation and you”.
About Philips Benelux
Realising a new car is a complex process involving all major units of a car company. In simplification the task is divided into three parts: strategic groundwork, preparation in product definition and finally implementation.
Within Volvo Car Group (Volvo Cars) a comprehensive analysis work is now under way to identify how new car projects from get go to start of production can be run in a smarter, more efficient way and thereby cut lead times, save resources and improve quality. A project should last no more than 20 months. In comparison, today a project stretches over about 30 months. Ekkehard Schwartz is Vice President Vehicle Engineering within Research and Development:
“A knowledge-based approach to product development and a corporate culture with less top-down management and more delegated responsibility enables us to shorten the project phase to 20 months. This supports our business in providing better quality in our products and internal processes, less re-work and less spending. That in turn enables us to invest even more in innovations and future products,” he says and continues:
“However, reaching this objective means we need to re-structure and re-think how we manage a new car programme, a huge task. The key is to build on experience based knowledge as well as capturing innovative creativity. We are a knowledge based company with an 87 year history of making cars. Yet we recognise there is always more to learn and we are now re-defining our very way of working. It all starts with a question: How can we do this differently?”
The objective is to achieve project duration of 20 months by the year 2020. Thus this transformation is named 202020 within the company. Now, employees of different backgrounds and expertise get together to find out what gaps there are in internal processes and how these can be closed. This focus on learning and networking between units are crucial elements to achieve a new way of managing the development phases. Considering all the major units within Volvo Cars are involved, a shift such as this requires a strong corporate culture, clear objectives and readiness from employees as well as external partners to embrace change.
“This is not about implementing something new but creating something new – and to do that all employees and partners need to be co-creators. At Volvo Cars each employee is encouraged to grow and contribute to improvement, they are the innovators.” says Ekkehard Schwartz.
Transformation has become a household word at Volvo Cars. Since 2010 when Zhejiang Geely Holding acquired the Swedish car manufacturer from Ford Motor Company, Volvo Cars has been embarked on a journey to become a standalone manufacturer in every sense. In 2011 the future objective to reach an annual volume of 800,000 cars was announced as well as the company’s dedication to develop in-house technology that would set new standards for its future products. Now, Volvo Cars is entering that new phase of the company’s history: In 2013 the four cylinder engine strategy topped with electrification was launched with the introduction of the new Drive-E powertrains, offering high performance and low fuel consumption. And early 2015 will see the market introduction of the all-new Volvo XC90, the first car to be based on the company’s new Scalable Product Architecture (SPA) which will further improve efficiency and economy of scale production.
“Innovation is at our core. The transformation of our company is in essence about capturing that unique Volvo way of looking at what possibilities a car can offer, how it can make our customers’ lives easier. For us, what we do is all about people – even when the issue is internal processes as in Transformation 202020,” says Ekkehard Schwartz.
Volvo Cars is currently developing the new Volvo Cars Management System, based on the EFQM Excellence Model. Transformation 202020 is part of and an example of the comprehensive improvement work that affects all business critical processes within the company and with focus on innovation and sustainable performance.
“We are a small player in a world of automotive giants. Yet we are convinced we will grow. To do that we make use of being a smaller company; we can collaborate more and act faster than the bigger companies can. But to capture innovation and creativity, we need a firm common ground where expectations and objectives are known to all stakeholders – that is the Volvo Cars Management System,” says Paul Welander, Senior Vice President Quality and Customer Satisfaction.
About Volvo Car Group
Enagás sharing value
CSR Strategy (“Vision 2020”) defines three strategic objectives:
The development of outstanding skills is essential for achieving strategic goals, both for current business and for the international expansion, as stated in Enagás’ Human Resources Policy and the company’s mission.
As a key part of Enagás Sustainable Management Model, several initiatives have arisen from the annual EFQM assessment process, aimed at generating and sharing value for our stakeholders through the development of capabilities and capacities.
Enhance internal capabilities
Since the launching of this school, the total investment in training per employee has tripled (1.192€/ employee in 2013) and the number of training hours received by employee has increased by 26% (52 hour/ employee in 2013) Additionally, in the last year, more than 98 employees have participated in the Training School as teachers sharing their knowledge and experiences to enhance the capabilities of other employees.
In 2011, the company took a further step on knowledge sharing among its employees with the creation of Enagás knowledge map, the development of Communities of practice and the launching of innovation awards Ingenia.
Enagás knowledge map includes critical knowledge disciplines and groups of experts within each discipline. The map was approved in 2011 and is reviewed on a continuous basis.
When defining the knowledge map, several critical disciplines were identified as involving several management areas of the company. This fact determined the need to develop cooperation environments to share knowledge and best practices among employees: Communities of practice.
To date, the company has three Communities of Practice. More than 50% of employees are actively involved in the specific forums created, providing documentation and sharing good practices.
Additionally, in order to encourage a culture of innovation and generate further knowledge, the company launches every two years the Ingenia innovation awards, through which employees propose ideas related to specific areas of interest of the company (energy efficiency, new businesses, etc), creating a culture of continuous improvement and innovation. In 2013, 30 employees participated in the awards proposing 36 initiatives.
Engaging with stakeholders in our value chain
As a result of this initiative, Enagás is not only a pioneer in vessel reloading in Europe but an industry leader. According to the International Group of LNG Importers, 51% of the world’s reloading operations are carried out in Spain.
In addition, Enagás has continued working with its main stakeholders to develop other new services focusing on increasing the use of natural gas: Bulk breaking and Small Scaling, Bunkering, etc.
In the same way, Enagás has engaged a cooperation initiative with its main suppliers to carry out joint projects to create shared value: “Suppliers’ Circle”. The areas of cooperation are cost efficiency, sustainability and applied innovation. Six of the main suppliers of Enagás are collaborating in this initiative and some initiatives are now being implemented.
Established in 1921 and starting out with a single dental cement, which initially failed to establish itself in the market, GC has developed a culture of continuous improvement, overcoming obstacles through persistence and commitment to excellence. Today, GC is a leading dental materials company, manufacturing over 600 products, ranging from minimally invasive dental pastes, high quality filling materials through to worldrenowned dental cements, which are sold in over 100 countries.
GC regards the 21st Century as the Century of Health, and hopes to make significant progress in this domain by the company’s 100th anniversary in 2021. All GC associates are inducted into the company with this manifesto which informs and inspires their daily work. Linked to this is principle of Semui – a Buddhist philosophy of doing unto others as you would have done unto you. By listening to customers and striving to always improve, associates are encouraged to adopt this approach in all their activities.
GC was also the 18th company in the world to receive the Japan Quality Medal, regarded worldwide as the highest recognition for quality management in organisations. In Europe, GC has excelled in the EFQM Awards, most recently qualifying as a finalist in the 2013 EFQM Excellence Award. In addition, in alignment with global and European standards, GC has achieved a number of key Management Systems Certificates. By applying quality control systems and receiving international accolades, partners and customers can trust that GC products and services are delivered to the highest of standards. Ultimately, GC’s contribution to health and society is to raise standards of oral healthcare through its dental materials.
Our reasons for introducing a quality management system were the growth of the resort to 120 rooms and the expansion of the spa area, reallocation of roles within the family business and the knowledge that only utmost quality and consideration of all interest groups such as guests, employees, suppliers and the region can bring about long-term success. We decided for the EFQM Excellence Model and we started working with it in 2003 with a self-assessment and our first strategy conference. From the beginning we were supported by the EFQM very well. Vision and mission were formulated as well as our Schwarz Promise and our Schwarz Values that are characterising our business. Combined with a balance of continuity and innovation, this creates a foundation of trust and loyalty among customers, employees and partners.
Our Values are the basis for how we treat each other, both between management and employees, and within our departments. However, it is particularly important that we apply them for all groups involved, such as guests, partners and suppliers. The Values play an important role in our manual, the employee newsletter and the various team meetings. A Value of the month is chosen by the management during the monthly managers meeting and then communicated to all employees. The goal is for the employees to put the Values into practice and integrate them in their work. That has enabled us to create an open and respectful corporate culture, which involves all employees in the development of the company.
One Value is particularly important for us: Acting as a role model. Directors and management act as role models for their employees and guests. Constant exemplification of this Value is the foundation for the Schwarz Promise.
Lasting zest for life
These Values increase health, vitality and allow us to enjoy our environment even more. We take our social responsibility seriously and inspire our guests to try new things.
After several milestones like the establishment of strengths and areas for improvement, creation of workflow descriptions, the establishment of the Schwarz Academy as an internal training centre and the foundation of our project groups (“Green Schwarz Flower” – social and sustainable responsibility, “Inside” – for employees, “Guests” and “Health”), accompanied by the EFQM, we applied for the EEA in 2010 the first time and reached the finalist status.
We received a detailed feedback report that was the basic for several improvements and for our work during the last years.
Successful measures to promote our Values and the Schwarz Promise:
A house for all generations:
The significance of leadership with vision, inspiration and integrity will have an increasing impact on the company success. Interaction with integrity and esteem creates a foundation of trust, inspiration and sustainable success. Only companies whose corporate culture can generate comprehensive health and meaning for all interest groups will remain inspiring in future, and do so with integrity.
True to our mission – “Health and zest for life for all generations”.
Our way of excellence during the last 10 year was characterized by the good cooperation with the EFQM. We would like to thank the EFQM for their support. For us, the exchange of ideas, feedback reports, workshops, good practice examples... are very important and help us in our daily business.
About Alpenresort Schwarz
As EFQM celebrates its 25th Anniversary, the institution that I have the privilege to head and represent is making preparations to celebrate its 20th Anniversary. This leads me to conclude that both our organisations have now reached their ‘post-teenage years’ with all the challenges that characterise them!
However, as we all know, reaching the adult stage of life is not an end in itself and change will and should continue to happen.
My two predecessors did an outstanding job at laying down a solid foundation for this institution. I am fortunate to be able to benefit from their work and commitment which were rooted in a strong vision to bridge the gap between the EU and its citizens, not only by making right the wrongs done to them by the EU administration, but also by proactively seeking to improve the way the EU administration operates and deals with the public.
Embedded in this heritage is a sound organisational structure, well defined functions and a willingness continually to re-think the way we do things by listening to our stakeholders, proactively asking them how we can do better, and seeking inspiration from the good practices of others.
Even before I took up office in October 2013, I was made aware, by the former Ombudsman, of the institution’s involvement with the EFQM and how this has contributed to bringing the institution to a new phase of maturity.
A concrete outcome of this cooperation has been the development of an Operating Framework, which brings together the main processes of the institution and shows how they relate to one another. This instrument proved its usefulness by helping identify weaknesses as well as strengths. It has provided a basis for rethinking our processes internally and for presenting what we do and how we do it to key external stakeholders, such as the EU budgetary authorities.
As I look ahead and strive to make the European Ombudsman an institution that has even greater visibility, impact and relevance, I am acutely aware of how important it is to lead with vision, inspiration and integrity.
First and foremost, I believe that my ambition for this institution can be achieved only if the people who work with me believe in its validity. My primary concern is therefore to communicate my vision clearly to them and to take account of their feedback so that we can collectively take ownership of it.
Second, the concepts of visibility, impact and relevance, which are at the core of my vision for this institution, are ones that require a high degree of flexibility. This means that we have to be prepared to react rapidly to changing circumstances, redirect resources to priority projects and actions, and be innovative in our approaches.
Third, if we want to get our message across; our institution has to be an exemplar for others to follow. In other words, we have to practice what we preach across the board and strive to be beyond reproach. It does not mean that we are not allowed to make mistakes, but rather that, when we do make mistakes, we acknowledge them and learn from them.
All the above I have shared and discussed with my staff partly in the context of a report by an external consultant whom I commissioned to review the core operations of the office. Interestingly, the report emphasises the usefulness of the EFQM Model in helping shape a strategy for the future.
So, as we begin to assemble the building blocks for the third decade of our institution, we will continue to seek and rely on the valuable support that the EFQM offers to its members and look forward to sharing best practices with others that pursue the same goals.
I conclude by congratulating the EFQM warmly on its 25th Anniversary and by wishing it continued success in its endeavour to help organisations and businesses alike achieve their full potential.
About the European Ombudsman
The aim of the BMW Group is to inspire its customers worldwide. Our three premium brands, BMW, MINI and Rolls-Royce, promise customers technological progress and groundbreaking design. For ten years now, we have been at the pinnacle of the world’s premium segment. We achieved this because we rely on the power of innovation and the highest level of flexibility.
The BMW i3 provides a good example of our innovative strength. It is the BMW Group’s first electricpowered production model, with a unique vehicle architecture, modern lightweight construction and highlyinnovative production processes.
Our flexibility is exemplified by our international production network of 28 locations in 13 countries. In the face of increasing model diversity, we are capable of building different models on the same assembly line. We can also reallocate vehicle models between plants in response to market demand. This gives us a huge advantage – especially during periods of economic volatility. In combination with our innovative work-time models, we are able to keep capacity utilisation at our plants high and evenly distributed.
The BMW Group’s production division has been using the EFQM Model since the mid-nineties.
We primarily manage our company on the basis of results. That is how we are measured by our stakeholders. As a company geared towards the long term, however, we strive for sustainable success and pursue a clear, long-term strategy.
The EFQM Model performs an important function in the implementation of this strategy: It provides a structured framework for the guidance of managers and employees, as well as concrete approaches for optimisation.
The Model is simply structured, but its systematic implementation and penetration across all levels is highly sophisticated. For this reason, we attach particular importance to consistent refinement of all enabler variables.
In this area, we consider excellent leadership behaviour a key requirement for the fulfilment of our targets. Our leadership culture should be characterised by constructive solutions, bold decisions and creativity – that is ownership for us.
It also includes identifying mistakes and deficits early on, resolving issues immediately and implementing lasting solutions. That is the only way we can continue to improve as an organisation.
The focus for our managers is on our shared corporate goals. This means that each and every one must take personal responsibility. Every manager must consider themselves part of the whole and contribute to our overall success.
We regard our employees as our company’s main success factor. They bring our production network to life. For this reason, we have introduced a standardised work organisation at our plants to create a working environment where our employees can contribute their personal strengths and ideas. The result is increased efficiency and quality.
In a rapidly changing environment, we rely on qualified training and professional development. Between 2007 and 2013, we invested 1.5 billion euros in this area – exactly the amount invested in the development of our Efficient Dynamics technology package.
Our customers have different needs and wishes – thus our vehicles are also becoming increasingly complex and sophisticated. This requires us to handle a growing number of model ramp-ups – which makes process stability even more essential.
We are supported in this area by our value-oriented production system (VPS). Our goal is process excellence – not only directly in production, but also in all related areas.
Our success is always determined by the customer. That is why we gear our processes strictly towards customer benefit. By offering our customers the highest level of quality, we make a vital contribution to the company’s results.
To secure our global competitiveness, we are constantly evaluating the steps we perform inhouse. Which services do we want to perform ourselves – and where can we cooperate with partners?
In addition to our own plants, we also make selective use of external production capacity to enhance our flexibility. Partnerships in the fields of drive train development and lightweight construction, for example, also secure our technological leadership.
At the BMW Group, we firmly believe that the EFQM Model supports our competitiveness. It covers all aspects of our business activities – including enablers, as well as results.
Consistent application of the EFQM Excellence Model is an important element in the excellence of BMW Group production.
About BMW Group
Juergen Maier, Chief Executive, Siemens plc, talks about the importance of excellence and succeeding through the talent of people…
Q – How important is striving for excellence in Siemens?
Q – How important is the EFQM Excellence Model?
Q – What value does Siemens place on its mood indicator?
Q – What do you think of senior executives who are remote from customers?
Q – How does Siemens keep its customers central to process improvement?
Q – How important are energy and passion in achieving excellence?
Siemens in the UK
Siemens Industry Sector
Experience teaches that securing real change ahead of emerging threats and/or opportunities materialising in the macro operating environments is rare, just as it is teaches that it is context specific, often a marathon rather than a sprint. Some sectors have however evolved to become hard wired to change. Such prescient capacity has been evident for the past two hundred years in Academia’s College sector, both within the UK and across Europe.
Scotland’s trailblazing City of Glasgow College is internationally recognised as a centre for excellence in the delivery and applied research of organisational change. It has established itself as the GO-TO Institution to study:
The fundamental concepts of EFQM have provided us with a framework over a period of many years through which we have been able to prioritise areas for quality improvement, set targets and measure and evaluate progress. The City of Glasgow College actively champions the transformative power of learning for individuals and organisations. We have identified 7 Cornerstone Capabilities for agile change management that, if nurtured would enable most organisations to deliver real change.These organisational capabilities are:
Through development of these capabilities and enablers we strive to deliver what EFQM recognises as sustainable excellence. This commitment to long term excellence requires real focus with respect to planning and knowledge and understanding of our operating environment. The City of Glasgow College uses the 1STEEPLE approach to environmental scanning, crossreferencing this comprehensive analysis with very extensive stakeholder engagement. This in turn is widely debated to condense our strategic planning to a single page of Guiding Principles and 7 strategic priorities and an accessible planning document. Expressed clearly and succinctly this forms the bedrock of our shared Constancy of Purpose which is implemented through a balanced scorecards approach.
In defining the key concept of ‘Managing with Agility’, EFQM places emphasis on the ability of excellent organisations to respond efficiently and effectively to both opportunities and threats. Fundamental to this is our huge emphasis placed on timely and accurate communication. Communication directly from the top where I, as Principal & CEO, meet directly with every staff team on a roadshow format. In addition I meet all 1200 core staff together addressing their most pressing questions without the support of the experts from my senior management team. Additionally powerful communication is achieved by a team of enthusiastic volunteer staff Communication Facilitators anonymously brokering sensitive questions, publishing all answers on the intranet. Our focus is less on e-mail and more on team briefings establishing a culture of no surprises with transparency as a bedrock to our approach to change.
Professional project management protocols are adopted to plan, monitor and report on milestones in both ‘business as usual’ contexts and the integration of new systems and structures. Performance dashboard technology has also been introduced to track in real time key performance indicators amidst the deluge of data generated. These in turn help to focus us on results whether these are results be related to customers, business or any other of the key results quadrants.
Over the past few years as we sought to establish and expand our New College, now one of the largest in Europe, we stayed true to the wise words of excellence guru Stephen Covey who said: “The main thing is to keep the main thing the main thing”. Our students reported that our 4 way merger had not disrupted their learning.
My final reflection is to pay tribute to our amazing Team City, my leadership and staff team. Transformational change cannot be managed it can only be led, with a can do attitude from the top, middle and in the classroom.
Pace is its lifeblood, egos its Achilles heel and inspired people its heroes. A worldclass mindset is truly awesome.
About City of Glasgow College
Since 1999, we have started working using the EFQM Excellence Model. The experience of our University, which was chosen as a path to Excellence 15 years ago, shows that nowadays the information is constantly changing and is very quickly becoming outdated, thus it is important to keep pace with the new demands in business, education, science and industry. It can be realized not only through a constant perception of new information, the ability not only use existing knowledge, but also generate new willingness to permanently change and develop, grow in the desires, goals different areas of activity. The EFQM Excellence Model is a practical tool used by Stavropol State Agrarian University (SSAU) for different purposes: to find new market segments, identify and implement the necessary changes to reduce costs, which is especially important in today’s market.
The example of the strategy of long-term presence of the SSAU in the socio-economic area of Russia on the ground of the high level demand for highly skilled labour force for economic and social sphere (strategic flexibility) is the establishment of the Stavropol Branch Inter-Regional Resource Centre on the basis SSAU in 2011 (SBIRRC).
With a powerful material and technical base, competent staff in 2010 the SSAU developed a project for the modernisation of vocational training of workers and specialists for the agrarian sector of the economy of Russia. In 2011 the project received the state support in the amount of 2.5 million euros for its implementation. The SBIRRC united 28 technical schools and colleges of Russia, as well as 163 companies within the industry and agriculture of the Southern and North Caucasus Federal Districts.
Key results of the project:
Thanks to the SBIRRC activities the SSAU the following received benefits
The project to develop professional standards of working professions of branches of agriculture in 2013 is an example of situational flexibility.
The SSAU is the only agricultural university in Russia, which won the contest giving the right to develop 16 professional standards (livestock breeder, poultry farmer, beekeeper, fur handler, specialist in ornamental horticulture, etc.) and received public funding in the amount of 82 thousand euros.
According to the results of this project the SSAU got the opportunity to occupy a new market segment (development of professional standards); improved the model of interaction with business organisations in the implementation of wishes of manufacturers regarding the content, level and quality of young workers and professionals training; expanded the staff experience in analytic generalization of real industrial processes and its transformation into the trainingmethodological support of the SSAU educational and research processes.
The realisation of such projects require flexibility in the implementation of each employee’s daily duties and enables the SSAU not only effectively respond to opportunities and threats, expand customer field, strengthen partnerships, attract investments for development, but also meet the requirements and expectations imposed by the state, customers, employers and society.
About The Stavropol State Agrarian University
The University structure includes 9 faculties where 18 500 people get training. The staff includes 1384 people. 92,1 % of the teaching staff has academic titles. The University has partners from 66 countries, 136 strategic partners. The graduates’ employment rate is 97,5 %. It is the member of the Magna Charta of universities.
POMIGLIANO METROLOGY CENTRE
How has Pomigliano grown to become a centre of absolute excellence? With hard work, an efficient method, R&D and a pinch of Italian creativity. Ingredients generously poured in by Fiat-Chrysler engineers ever since 2008, when the plant was completely renovated to turn into the Group’s flagship factory in Europe. The upgrading strategy has focussed on technologies, process, and above all, human resources: well trained, motivated, and supported, back in Turin, by central staff who selected the most advanced control equipment to respond to increasingly demanding market requirements. More than by the facilities, the real difference was made by the people, directly involved in a project aimed at totally reshaping the old work process, replaced by a more dynamic, highly inclusive approach.
In 2011-2012, with the launch of the new Panda, the turnaround was completed: the Centre had tackled and won its biggest challenge. The high quality standards applicable to this model implied a relentless fine-tuning of methods and tools in the launch phase. This required considerable investment and the joint effort of sixty people, who during the startup phase were pulled in from other plants and other Group countries, working in three shifts.
The concept around which the Metrology Centre strategy was developed is that the new facility should be the venue of not just project compliance checks, but also of diagnostic activities for the whole factory - throughout the model life. Every day, the car bodies to be inspected are taken from the lines and brought to the metrology room. Here, they are examined in the finest detail (with two thousand measurements made), in order to detect even the tiniest faults. If any are found (consider that this model consists of four thousand parts), the Metrology Centre experts are trained to identify even the most remote causes of defects and to suggest solutions. This troubleshooting activity has one precondition – rapidity – and requires the rigorous application of a specific method – team work. The Metrology Centre technicians work “side by side” with line engineers, because this has been found to be the most efficient option. Cooperation ensures that causes and remedies are identified more quickly and effectively: this is what is being done, and this is what works.
This operating method is then completed by the use of the most advanced technologies - beginning with photometric scanning. Fiat-Chrysler technicians use sophisticated equipment which takes a number of high-definition photographs of the bodywork, then processed and digitised to create a map, which is compared to the reference map, highlighting its conformity to the sample according to a colour code. Integrated with other traditional equipment, it sets a standard of excellence in the field of measurement technologies. These methods and technologies are producing outstanding results, to the point that the “Pomigliano system” has also been extended to EMEA factories either recently built (Kragujevac - Serbia) or renovated (Melfi - Italy), and also applied worldwide to all new plants (Changsha - China, Pernambuco - Brasil).
When it comes to metrology, the Pomigliano engineers have become the reference specialists for the whole Group - and beyond.
For ten years, the Ministry of Finance of the Slovak Republic has been operating in accordance with the EFQM Excellence Model. It should be noted we have seen outstanding successes in quality management over this period.
The Ministry of Finance of the Slovak Republic was the first central government authority in Europe to receive a five-star “Recognised for Excellence” EFQM certificate in December 2012, based on an independent assessment. Surely, we would not have won this award without exceptional, talented and responsible staff. The EFQM Excellence Model, which the Ministry decided to apply, is the most challenging quality management tool.
The Ministry of Finance launched the implementation of the EFQM Excellence Model back in 2003. The Ministry had to make internal improvements and attain highlevel qualitative indicators, comparable to European standards. An organisational, functional, process and information audit was performed and its conclusions applied in practice.
In 2004, the Ministry of Finance underwent an extremely challenging process of preparation, comparison and selection of a quality management system, the first selfassessment report was prepared, and the Ministry became an EFQM member on 1 January 2005. We have since gone a long way, with the last outstanding achievement being the reception of the 5-star “Recognised for Excellence” award mentioned earlier
Our success builds on the setup of real system-level measures and links to make sure that everyone thoroughly know their tasks and responsibilities and are able to accurately perform them to the maximum satisfaction of all stakeholders involved, with a precisely defined vision, strategies and objectives. At the same time, the quality management system is also responsible for measuring the performance and satisfaction of the Ministry’s customers, employees, contractors/suppliers and companies with our products and services, and comparing them with the “best in class” performers (benchmarking).
Despite regular election cycles and related personnel changes in the Ministry management team, the continuity in the implementation of the EFQM Excellence Model has been preserved. The whole process is implemented under the auspices of the Ministry office management to which the EFQM team, comprising a coordination committee and selfassessors, reports. The functioning and implementation of the EFQM Excellence Model at the Ministry is governed by an Internal Regulatory Act that is binding for all MFSR employees.
The employees are also encouraged to improve their working environment, having a chance to participate in the preparation of action plans, which further strengthens their active engagement. An intranet electronic form is available for them to propose changes concerning their official duties and responsibilities and/or improvements in the Ministry’s working environment. This has resulted, for example, in the introduction of a separate waste collection system, introduction of double-side printing of documents, ICT-enabled Ministry board meetings, etc.
Building on the vision that the Ministry serves as a watchdog for public finances and endeavours to keep and boost healthy financial conditions and prosperity in Slovakia, our performance must deliver increasingly better public services and benefits through continuous improvements in the quality and effectiveness of our operations. It is the best way an organisation can win enough respect and confidence among its partners for them to believe that the rules it promotes and the activities it carries out will yield desired results.
I am honoured to work and meet every day with people who are capable of addressing day-to-day problems and affect the lives of all of us. I firmly believe the Ministry of Finance can boast of an outstanding team of employees, excelling both personally and professionally. The Ministry of Finance is now an example and inspiration for other central government authorities as well. Therefore, winning the highest-level EFQM Excellence Award (formerly known as European Quality Award) is now another milestone and challenge on our way to excellence.
Simply said: “We like being better.”
About The Ministry of Finance of the Slovak Republic
Bursagaz is the 2008 EFQM Award winning natural gas distribution company located in Bursa, Turkey operating in a regulated market and providing secure, continuous natural gas supply for more than 830.000 customers. Bursagaz encourages energy efficiency in the multiutility market and is the publisher of the first Turkish energy market GRI A+ Sustainability report. Investing in its people, Bursagaz is ranked within the 50 Best Employers in Europe and was awarded as the Best Employer in Turkey in 2014. Working with a high range of techology transferred from its German shareholder EWE, Bursagaz develops its technology based processes for excellent operations creating high mutual value for all stakeholders.
Change is a common dynamic for Bursagaz’s management style, from strategic planning processes to assessment of the approaches. The EFQM Model is the core approach deployed in every process in Bursagaz to create and share a more sustainable future. Bursagaz has 6 top themes where it defines change: Financial Success, Sustainable Service Quality, Technological Improvement, Operational Excellence, Social Sensitivity and Investment in People. All these themes are the outcome of our strategic input. Bursagaz operates in a very regulated but also changing market. When performing an external analysis, it is important to assess future competitors, so this is how a company could easily adopt to change. Market enlargement, potential customers and competitors, market price, monetary policies and resources all define the company’s future. The inclusion of all these dynamics into the scenarios show how flexible a company is and create initiatives for each new situation : This is “The Future Management” we drive in Bursagaz.
Strategies and the business plan are strongly linked to outcomes of the business model starting by the evaluation of the company’s vision, mission, ethics, values and principles. The contribution and feedback of the stakeholders in the formation of the strategies are important to Bursagaz, as it is a private company supplying a public commodity : Natural Gas. External, internal environment and stakeholders’ expectation analysis are part of the “ Company Check- Up “ every year. This company assessment provides a deeper look on every approach and expectation in and around the company which are the basis for short-term, midterm and long-term strategies and business initiatives.
Innovation and technology are like best friends running in the company. Recognising coporate capabilities and drilling them into departmental and individual capabilities are key factors for managing the future plans These capabilities are used as of inputs in Project Management. Bursagaz structures more than 10 projects every year, so Bursagaz workers can be involved in different projects shaping the future of the company. While these corporate projects make a difference with their innovative perspective they also contribute to the economic performance of the country, social employment and safety, as well as to the reduction of environmental impacts. In this sense, many innovations which have been accomplished are widely based on stakeholders’ management approaches stated as key element in the EFQM Excellence Model. While systems and models enable the availability of structured infrastructure and integration of customer information,and facilitate the management of stakeholders, it also allows to implement societal security by securing the environmental diversity, people management, economic contributions, social engagement which are all parts of an entire vision for the future.
Managing with agility is looking out for the future and future resources by planning today. Companies on paths to excellence always need to seek more sustainable strategies to refresh their existence.
ICT4D @ END OF LIFE
Close the Gap felt an ethical obligation to help these communities find a solution, and along with a small group of early supporters, founded WorldLoop in 2009. WorldLoop provides local SME’s with seed funding, technical assistance and facilitates the environmentally friendly treatment of the hazardous and complex fractions with best available technologies found in Europe that do not exist in Africa today. The safe recycling of ALL (valuable and non-valuable) e-waste fractions has a positive economic, social and environmental return.
Today, WorldLoop has recycled 25% of the volume of Close the Gap’s historic e-waste. New projects are even more sustainable with the inclusion of an e-Resource certificate for every asset donated. These certificates help fund the infrastructure development necessary to support sustainable e-waste recycling in these regions.
SUSTAINING “OUTSTANDING” SUCCESS THROUGH PARTNERSHIPS
When WorldLoop was founded, new international partnerships were needed with expertise in recycling and take-back processes. Such partners provide operational support, professional services and knowledge. Recupel, the Belgian e-waste takeback system, and Umicore, an end refiner, are two such partners. With such support, WorldLoop has been able to sustain outstanding success, growing from a pilot concept with one project in Kenya to a full-blown organization active in over 7 countries, recycling more than 800 tons e-waste, treating 90 tons of hazardous fractions. This equates to more than 1,000 tons of CO2 emissions avoided.
GREENICT4D, SUSTAINING OUTSTANDING SUCCESS & EFQM
About GREEN ICT-4-Development
Our Excellence journey, part of our DNA
St Mary’s recognised that the pupils are the best promoters of their standard of service and pupils are involved in reviewing their own learning in every class. The school’s commitment to customer service is now part of their DNA and has been externally validated through a detailed process of self evaluation, ethical procedures, audit and inspection reports and standards such as Investors in People, the ICT Mark and the Inclusion Quality Mark.
St Mary’s culture is a ‘can do’ attitude. Staff are clear about their roles and responsibilities and the role they play in planning for and achieving the overall school objectives and targets. Everyone has a great sense of pride in the work of the school.
“It is clear that the passion, dedication and commitment of hard working staff, placing pupils at the heart of everything is a key factor for St Mary’s College in adding value for their customers, enabling successful implementation of their approaches.“ EFQM Feedback Report 2013
“St Mary’s boasts several inspirational leaders and many very inspirational people at all levels in the organisation. St Mary’s College has a galaxy of stars and leadership is demonstrated at all levels.“
As a result of their Excellence journey and their track record of using EFQM to improve organisational performance st Mary’s has achieved regional, national and international recognition, including
Recognition for Quality
Recognition for People development
Recognition for customer Service
Recognition for social awareness
Recognition as a Science Technology Engineering & Maths (STEM) Centre of Excellence
Benefits of our Quality Journey
“Academic results demonstrate positive trends for more than 10 years including significant improvements in English and Maths since 2006 despite the increasing mixed ability levels of pupils and the socio economic deprivation many of them face“ EFQM Assessors’
About St Mary’s College
Xerox, known as Rank Xerox at that time, was extremely proud of winning the first EFQM Excellence Award in 1992 for our European Operations. We can still remember the tremendous excitement and motivation of our 26,000 employees in our 19 Operating Companies, our various Manufacturing Units and our European Headquarters. We were working together in an effort to demonstrate the way the company had fully embraced the Quality Process and Management, overcoming serious competitive threats and recovering a leadership position on the market place.
Winning the Award confirmed the strength of our Company and, thanks to the valuable feedback we received from the EFQM assessors, gave the whole team a comprehensive range of improvement suggestions to continue the journey towards reaching world class performance.
Looking backwards, we may reflect on what made us decide to run for the Award.
Firstly, it appeared that our Management principles, which were pervasive in most parts of the Company, were perfectly matching the nine criteria of the EFQM Excellence Model :
Secondly, we had started implementation of our “Leadership through Quality strategy” almost a decade before, in support of a cultural change of the Company, leading to outstanding business results on all four priorities: Customer satisfaction, People satisfaction, Market share leadership and Financial strength. We wanted to secure longer term success and build future strength through a more integrated process.
Thirdly, but not the least, we learned that second only to Customer Satisfaction, comes motivation and satisfaction of the employees. The Management remains convinced that performance depends on the excellence of the people. This is why we have invested in training all our people in the principles, tools, processes of Quality, involving them in thousands of Quality Improvement Teams.
Applying for the EFQM Excellence Award was a fantastic way to involve all our people and teams. It provided them with external and very credible feedback on the impact of their efforts. We started implementing a very powerful approach to progress: self-assessment, performed at all levels of the organisation.
Winning the Excellence Award had a very positive impact on all our stakeholders in particular on our Customers. The impact on our people was extraordinary and had a long lasting effect. It provided the evidence of an external recognition for their efforts. As we know, employees have different levels of experience, different qualifications and different hopes and aspirations. Moreover, they were brought up in different educational backgrounds and languages. Leadership through Quality became their common culture, their unique method of working, business language and customer values. Appropriate surveys led us to develop and implement a company-wide approach to Employee Satisfaction and Engagement.
Self-assessment became the way to holistically manage progress from an existing status (today) towards a desired state (future), made of a vision and quantitative goals. We adapted it over the years and called it the “Business Excellence” model, the “Xerox Management” model, the “Managing for Results” model, the “Performance Excellence” process. All are based on a solid backbone of deployment and commitment. This is still the way of unifying the diverse parts of the organisation: countries, functions, specialised teams, various technologies and services channels.
Our sustained Journey towards Excellence has shown how Quality management can bring out the strengths of each part of our organisation and focus on a single goal. Whether in marketing, manufacturing or research and development, sales or services, it has allowed improvements not just to parts but to the whole. Quality Management has also proved how to bring out the strengths of the individuals and of the team. Doing so, decision making and action increasingly take place at the level where it can best exercised to meet the requirements of the Customer.
Consequently, no doubt that the Company is in a position of force to address today’s challenges such as worldwide management structures, remote teams a long way from their bosses, accelerated transition to service businesses, acquisitions of new companies with different cultures, offerings and customers, new and different competitors, very diverse multinational teams, extended organisations such as outsourced activities, remote and outsourced back offices, virtual teams, etc.
Quality, Excellence, an endless journey? That is what we have learned.
In order to sustain outstanding results, VAMED-KMB involves all relevant stakeholders into its company processes. The company’s major customer Vienna General Hospital – Medical University Campus participates in the customer satisfaction survey as well as in VAMED-KMB’s selfassessment. This requires an atmosphere of mutual trust and allows for open discourse and the planning of a common future.
Furthermore our employees are the center of many of VAMED-KMB’s activities. Numerous actions are being taken to meet the individual work-life balance needs of the employees, e.g. through “Club Lifetime” addressing health and well-being and improving the quality of living of the employees and people in their environment. Furthermore VAMED-KMB has established extensive opportunities for the employees to provide input for both strategic and operational matters, e.g. through the “Employee Orientation Platform”, the structured employee interviews and the employee satisfaction survey.
Living the EFQM Excellence Model helps us to meet and exceed our stakeholder’s expectations and supports our striving for sustainability. VAMED-KMB applies the EFQM Excellence Model since 2003, for more than 10 years. During this time it has received 8 national and international awards including three times the recognition as Prize Winner at the EFQM Excellence Award in various categories: “Succeeding through People” in 2010, “Nurturing Creativity and Innovation” in 2012 and “Succeeding through the Talent of People” in 2013.
These achievements reflect how much we value our employees and a cooperative mindset, pursuant to the company’s guiding principle “from people excellence for people”. Their loyalty – about 300 employees have been working for VAMED-KMB for more than 20 years – results from the company’s spirit. Offering our employees high quality training is an integral contribution to fostering their talents. Therefore VAMED-KMB conducts a pool of 60 in-house trainers. Our executives’ commitment to the EFQM Excellence Model is expressed by the fact that 167 completed the training to be qualified EFQM Assessors.
Efficient process management supports VAMED-KMB in deploying its strategy in a systematic manner and attain its desired sets of results. To support the establishment of such targets VAMED-KMB operates a broad benchmarking platform. This enables us to compare our performance with the performance of other excellent companies.
Together with our holding company VAMED we target the whole life cycle of healthcare facilities. Besides technical operations we offer project management and building services. By offering our customers a long-term reinvestment planning we enable them to make decisions in advance and prioritise important measures. This approach puts VAMED-KMB and its customers in a position of sustainable progress.
To be fit for future developments in the healthcare sector VAMED-KMB emphasises its innovation management. If we know today what our customers will need tomorrow, it is an advantage for both sides. To adapt our knowledge to the specific needs of our customers we lead a continuous dialogue with their representatives, which additionally furthers the understanding for the customer’s expectations – present and future.
VAMED-KMB’s use of the EFQM Excellence Model is so successful, that it integrated its excellence into its contract with its major customer Vienna General Hospital. Achieving outstanding results – not only in the short term but in a sustainable manner – is a major goal of VAMED-KMB and it shares it with its stakeholders.
Make it desirable not mandatory
As one of the founding members of EFQM, Bosch has also successfully applied the EFQM Model since 1989. Thanks to its unique universality, the company has adopted this method from plant to divisional level. Since then, a number of key performance indicators in business performance have improved – which is attested to by a considerable collection of awards. Nevertheless, there is still a lot of potential left for Bosch. Regardless, the management does not push when implementing new methods. “We favour a pull, which builds on intrinsic motivation to realise the advantages of this Model. We want to make EFQM desirable, not mandatory”, says Dr. Rolf Bulander, member of the board of management at Bosch and responsible for quality.
Leaders play an indispensable role in this strategy. Without their determination and enthusiasm, the pursuit of excellence would not be possible. Bosch’s leaders inspire, motivate and enable their associates to take on business opportunities and to be part of decision making. For this reason, the company fosters a culture in which responsibility is given to associates at all levels. Again this reflects the values of Robert Bosch, who said: “Where many people come together, cooperation is a must and each individual depends on the other”.
Looking back to Robert Bosch, the company has put its vision and values down in a document accessible to every associate. This “House of Orientation” conveys security, strength, and awareness in the company’s capabilities. It states where Bosch as a company wants to go and what drives the “Boschler” as an individual associate. Bosch values represent guiding principles which apply over national borders and regional cultures. Above all stands the strategic imperative “Invented for Life”: The Bosch group, as a leading global supplier of technology and services, wants to create products that fascinate and improve quality of life.
These values are already incorporated into the recruitment and training processes – which means that each of the 281,000 associates worldwide is already familiar with them right from the start. Bosch fosters an information, communication, and feedback culture throughout the whole organisation in order to strengthen identification with the company and to provide the required information to everyone. Processes are derived from the integrated divisional plans and then deployed throughout the organisation. This ensures the alignment of personal and organisational goals.
From a global perspective, the markets are becoming increasingly complex, dynamic, and volatile. In addition to long term predictions, every strategic plan must take into account disruptive events. The speed of change is increasing and this makes continuous adaptation necessary. Of course, this does not mean that successful principles should be fully replaced by new ones. Rather, Bosch needs to follow a dual track which combines efficient line organization with agile forms of collaboration. One outcome of this change is the new social business platform “Bosch Connect”, which was launched in 2013 and meanwhile connects more than 220,000 of our associates worldwide.
Especially in a rapidly evolving world, building an excellent organisation is a continuous process. The commitment to constant improvement dates again back to Robert Bosch: “We should all strive to improve on the status quo: none of us should ever be satisfied with what we have achieved, but should also endeavour to get better.” Through the last 25 years, EFQM has accompanied Bosch on its way to an excellent organisation and it will do so in the future.
About the Bosch Group
The world does not stand still. It is changing ever more rapidly. The interdependencies between organisations, communities, countries and economies are strengthening and increasing in complexity. To remain competitive in this environment, any organisation needs to continually innovate and improve. Now, more than ever before, an organisation needs to understand, balance and effectively manage the needs and expectations of their stakeholders.
The EFQM Excellence Model is a framework to understand and manage this complexity. The Model is pragmatic and practical, developed by leading organisations to stimulate continuous improvement. The EFQM Excellence Model allows people to understand the cause and effect relationships between what their organisation does and the Results it achieves.
Regardless of sector, size, structure or maturity, organisations need to establish an appropriate management framework to be successful. The EFQM Excellence Model is a non-prescriptive framework that enables organisations to:
Whilst there are numerous management tools and techniques commonly used, the EFQM Excellence Model provides an holistic view of the organisation and it can be used to determine how these different methods fit together and complement each other. The Model can therefore be used in conjunction with any number of these tools, based on the needs and function of the organisation, as an overarching framework for developing Sustainable Excellence.
Should you be interested to learn more or implement the EFQM Excellence Model, you can:
The Fundamental Concepts of Excellence outline the foundation for achieving sustainable excellence in any organisation. They can be used as the basis to describe the attributes of an excellent organisational culture. They also serve as a common language for top management.
There are 8 Fundamental Concepts:
Adding Value for Customers.
Excellent organisations consistently add value for customers by understanding, anticipating and fulfilling needs, expectations and opportunities.
Creating a Sustainable Future.
Excellent organisations have a positive impact on the world around them by enhancing their performance whilst simultaneously advancing the economic, environmental and social conditions within the communities they touch
Developing Organisational Capability.
Excellent organisations enhance their capabilities by effectively managing change within and beyond the organisational boundaries.
Harnessing Creativity & Innovation.
Excellent organisations generate increased value and levels of performance through continual improvement and systematic innovation by harnessing the creativity of their stakeholders.
Leading with Vision, Inspiration & Integrity.
Excellent organisations have leaders who shape the future and make it happen, acting as role models for its values and ethics.
Managing with Agility.
Excellent organisations are widely recognised for their ability to identify and respond effectively and efficiently to opportunities and threats.
Succeeding through the Talent of People.
Excellent organisations value their people and create a culture of empowerment for the achievement of both organisational and personal goals.
Sustaining Outstanding Results.
Excellent organisations achieve sustained outstanding results that meet both the short and long term needs of all their stakeholders, within the context of their operating environment.
The EFQM Excellence Model allows people to understand the cause and effect relationships between what their organisation does, the Enablers, and the Results it achieves.
To achieve sustained success, an organisation needs strong leadership and clear strategic direction. They need to develop and improve their people, partnerships and processes to deliver value-adding products and services to their customers. If the right approaches are effectively implemented, they will achieve the results they, and their stakeholders, expect.
There are 5 enablers, pictures on the left-hand side of the Model. These are the things an organisation needs to do to develop and implement their strategy.
Definition. Excellent organisations have leaders who shape the future and make it happen, acting as role models for its values and ethics and inspiring trust at all times. They are flexible, enabling the organisation to anticipate and reach in a timely manner to ensure the on-going success of the organisation.
1a. Leaders develop the mission, vision, values and ethics and act as role models.
1b. Leaders define, monitor, review and rive the improvement of the organisation's management system and performance.
1c. Leaders engage with external stakeholders.
1d. Leaders reinforce a culture of excellence with the organisation's people.
1e. Leaders ensure that the organisation is flexible and manages change effectively.
Definition. Excellent organisations implement their mission and vision by developing and deploying a stakeholder focused strategy. Policies, plans, objectives and processes are developed and deployed to deliver the strategy.
2a. Strategy is based on understanding the needs and expectations of both stakeholders and the external environment.
2b. Strategy is based on understanding internal performance and capabilities.
2c. Strategy and supporting policies are developed, reviewed and updated.
2d. Strategy and supporting policies are communicated, implemented and monitored.
Definition. Excellent organisations value their people and create a culture that allows the mutually beneficial achievement of organisational and personal goals. They develop the capabilities of their people and promote fairness and equality. They care for, communicate, reward and recognise, in a way that motivates people, builds commitment and enables them to use their skills and knowledge for the benefit of the organisation.
3a. People plans support the organisation's strategy.
3b. People's knowledge and capabilities are developed.
3c. People are aligned, involved and empowered.
3d. People communicate effectively throughout the organisation.
3e. People are rewarded, recognised and cared for.
Definition. Excellent organisations plan and manage external partnerships, suppliers and internal resources in order to support strategy and policies and the effective operation of processes.
4a. Partners and suppliers are managed for sustainable benefit.
4b. Finances are managed to secure sustained success.
4c. Buildings, equipment, materials and natural resources are managed in a sustainable way.
4d. Technology is managed to support the delivery of strategy.
4e. Information and knowledge are managed to support effective decision making and to build the organisation's capability.
Definition. Excellent organisations design, manage and improve processes to generate increasing value for customers and other stakeholders.
5a. Processes are designed and managed to optimise stakeholder value.
5b. Products and services are developed to create optimum value for customers.
5c. Products and services are effectively promoted and marketed.
5d. Products and services are produced, delivered and managed.
5e. Customer relationships are managed and enhanced.
There are 4 results areas, shown on the right-hand side of the Model. These are the results an organisation achieves, in line with their strategic goals. In all 4 results areas, we find that excellent organisations:
Definition. Excellent organisations achieve and sustain outstanding results that meet or exceed the need and expectations of their customers.
Definition. Excellent organisations achieve and sustain outstanding results that meet or exceed the need and expectations of their people.
Definition. Excellent organisations achieve and sustain outstanding results that meet or exceed the need and expectations of relevant stakeholders within society.
Definition. Excellent organisations achieve and sustain outstanding results that meet or exceed the need and expectations of their business stakeholders.
The RADAR logic is a dynamic assessment framework and powerful management took that provides a structured approach to questioning the performance of an organisation.
At the highest level Radar logic states that an organisation should:
Determine the Results it is aiming to achieve as part of its strategy.
Plan and develop an integrated set of sound Approaches to deliver the required results both now and in the future.
Deploy the approaches in a systematic way to ensure implementation.
Assess and Refine the deployed approaches based on monitoring and analysis of the results achieved and on-going learning activities.
To help support robust analysis, the RADAR elements can be broken down into a series of attributes, shown below:
Analysis of ENABLERS
The approaches have a clear rationale,based on the relevant stakeholder needs, and are process based.
The approaches support strategy and are linked to other relevant approaches.
The approaches are implemented in relevant areas; in a timely manner.
The execution is structured and enables flexibility and organisational agility.
The effectiveness and efficiency of the approaches and their deployment are appropriately measured.
Learning & Creativity.
Learning & creativity is used to generate opportunities for improvement or innovation.
Improvement & Innovation.
Outputs from measurement, learning & creativity are used to evaluate, prioritise and implement improvements & innovations.
Analysis of RESULTS
Scope & Relevance.
A coherent set of results, including key results, are identified that demonstrate the performance of the organisation in terms of its strategy, objectives and the needs and expectations of the relevant stakeholders.
Results are timely, reliable & accurate.
Results are appropriately segmented to provide at least 3 years.
Positive trends or sustained good performance over at least 3 years.
Relevant targets are set and consistently achieved for the key results, in line with the strategic goals.
Relevant external comparisons are made and are favourable for the key results, in line with the strategic goals.
There is confidence that performance levels will be sustained into the future, based on established cause & effect relationships.
The Model can be used to assess an organisation's current capabilities. The output of an assessment is normally a number of strengths and opportunities to improve future performance. Identifying an organisation's strengths is important, not only so you don't stop doing the things you are good at but also because these strengths may help in addressing the issues identified.
By definitions, complying with a defined standard is not excellence. Excellence is about going beyond what is expected. Unlike auditing against a standard, an assessment gives the management team a number of opportunities, options. Which points they choose to address, had how they choose to address them, will depend on their strategic priorities.
Using a process EFQM calls Self-Assessment organisations have the possibility to produce a comprehensive picture of their overall fitness at a given moment in time. This picture, which gives valuable feedback on the effectiveness and efficiency the organisation’s approaches across all its activities, provides a powerful driver for great meaningful improvement.
Take this opportunity to do a Self-Assessment of your organisation as proposed below:
"We have been using the EFQM Model now for over 5 years. It is clearly a mighty tool which assists us in leading our global company. From the annual assessments we win an objective view of the organisation. This helps us to set the right priorities for our business and facilitates our improvement activities because we know they are the right ones. The leadership of all our 14 locations, due to its proven success, is dedicated to the EFQM Model. The model nowadays is indispensable for us."
Dr. Werner Struth, President Bosch Chassis Systems Control - EFQM Prize Winner 2011
To support organisations on their excellence journey, EFQM run comprehensive awards and recognition programmes applicable to all sizes and sectors. These programmes are a great way to demonstrate to all your stakeholders that you are committed to increasing your performance and devoted to achieving Sustainable Excellence.
Committed to Excellence
Based on a self-assessment, you will identify, prioritise and implement improvement projects, which are validated by an external assessor after 6-9 months.
Recognised for Excellence
A full assessment against the EFQM Excellence Model provides your organisation with feedback, a plan for progress, and acknowledgement for obtained results.
EFQM Excellence Award
Compare your organisation against other world-class leaders based on complete assessment by an expert assessor team spending on average 500 hours on each application.
Take a look at how the statements for the Enablers and the Results apply to your organisation, and tick the box to agree or disagree with each of them.
A full report analysing all results of this quick Self-Assessment 2013 will be published by EFQM on a regular basis, or [click here] to view online the results so far.
Please note that the survey is best viewed in landscape.
Take a look at how the following statements for each Model Criteria apply to your organisation, and tick the box to agree or disagree with each of them.
A full report analysing all results of this Self-Assessment 2013 will be published by EFQM on a regular basis, or [click here] to view online the results so far.
Please note that the survey is best viewed in landscape.