EFQM Excellence Model

EFQM Excellence Model
A Model for Business Excellence

© Operational Excellence Consulting. All rights reserved.

Objectives
By the end of this briefing, you will be able to:
• Understand the EFQM framework as a model for
business excellence
• Explain the EFQM Criteria for Business Excellence
• Define the EFQM Criteria Point Values and Scoring
Guidelines
• Describe the EFQM assessment and site visit process


3

1
Overview of the EFQM
Excellence Model


Overview of EFQM Award

Basis for the EFQM Model
• The EFQM Excellence Model is based on a set
of European values
 European Convention on Human Rights (1953)
 European Social Charter (1996)

• Embraces the 10 principles of the UN Global
Compact for sustainable and socially
responsible business


7


What is the Purpose of the EFQM
Excellence Award?
• Identify organisations that will
serve as role models for other
organisations
• Help organisations assess
their improvement efforts

• Help to strengthen Europe‟s
competitiveness

9


Who Can Apply for EFQM Recognition?
• Any organisation, regardless of size, sector or
maturity can apply for EFQM recognition


11


Key Characteristics of the EFQM Model
• Focus on results
• Tools used to obtain results are non-prescriptive
and adaptive
• The criteria support company-wide alignment of
goals (results) and processes (enablers)
• Supports goal-based assessment


13


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.

15


Fundamental Concepts
• 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.


17


ISO 9000 vs. EFQM Model

ISO 9000 only
addresses 1 out of
the 9 criteria
required by EFQM!


19


From Good to Great…
“Greatness is not a
function of circumstance.
Greatness is largely a
matter of conscious choice,
and discipline.”
— Jim Collins, author of Good to
Great: Why Some Companies Make
the Leap. . . and Others Don’t


21

2
EFQM Criteria for Business
Excellence


EFQM Criteria for Business Excellence

Three Integrated Components
• The Fundamental Concepts of Excellence
 Defines the underlying principles that form the foundation for
achieving sustainable excellence in any organisation

• The Criteria
 Provide a framework to help organisations to convert the
Fundamental Concepts and RADAR thinking into practice

• The RADAR
 Tool for driving systematic improvement in all areas of the
organisation


25


Enablers
• Strategy
 Excellent organisations implement their Mission and
Vision by developing a stakeholder focused strategy.
 Policies, plans, objectives and processes are
developed and deployed to deliver the strategy.


27


Enablers
• Partnerships & Resources
 Excellent organisations plan and manage external
partnerships, suppliers and internal resources in order
to support their strategy, policies and the effective
operation of processes.
 They ensure that they effectively manage their
environmental and societal impact.


29


Results
• Customer Results
 Excellent organisations achieve and sustain
outstanding results that meet or exceed the need and
expectations of their customers.

• People Results
 Excellent organisations achieve and sustain
outstanding results that meet or exceed the need and
expectations of their people.


31


RADAR Logic
Required
RESULTS

ASSESS & REFINE
Approaches &
Deployment

Plan and develop
APPROACHES

DEPLOY
Approaches
Note: RADAR = Results, Approaches, Deploy, Assess & Refine

33


Assessing the Enablers
• Sound and integrated approaches that support the
achievement of the organisation‟s strategy
• Structured deployment within all relevant areas of the
organisation that enables refinements to be
implemented within appropriate timescales

• Measurement being carried out so the organisation can
understand how well the approach is working and how
effectively it has been implemented
• Learning activities being undertaken to identify
alternative or new ways of working
• Improvements being implemented as a result of
measurement and learning (closing the loop)

35


Assessing the Results
• Results which clearly show how the organisation is progressing
against its key strategies for the criterion
• Reliable data that can be segmented to give a clear understanding
of what‟s happening in relation to different stakeholder groups,
products or processes.
• Positive trends over a 3 year period
• Targets, which are appropriate for the strategic objectives, being
achieved
• Appropriate comparisons and benchmarks to put the results in
context within the organisation‟s operating environment

• Evidence to show that the organisation understands the underlying
drivers of the results and effectively managing them to ensure that
performance levels will be sustained into the future

37

3
Award Criteria Guidance
Points


Award Criteria Guidance Points

Guidance Points for the Nine Criteria of
Evaluation
Criteria

Points

1

Leadership

100

2

Strategy

80

3

People

90

4

Partnerships & Resources

90

5

Processes, Products & Services

140

6

Customer Results

200

7

People Results

90

8

Society Results

60

9

Business Results

150
Total = 1000


41

Scoring Guidelines

Scoring Guidelines
• Five scoring bands
 0%
 15% - 35%
 40% - 60%

 65% - 85%
 90% - 100%

• RADAR attributes


43

Scoring Guidelines

Scoring Guidelines – Deployment
Scores

0%

25%

50%

75%

100%

No evidence
or anecdotal

Implemented
in about 1/4
of relevant
areas

Implemented
in about 1/2
of relevant
areas

Implemented
in about 3/4
of relevant
areas

Implemented
in all
relevant
areas

No evidence
or anecdotal

Some
evidence

Evidence

Clear
evidence

Comprehensive
evidence

0% - 10%

15% - 35%

40% - 60%

65% - 85%

90% - 100%

Attributes
Implemented:
•
Approach is implemented

Systematic:
• Approach is deployed in a
structured way


45

Scoring Guidelines

Scoring Guidelines - Results
Scores

0%

25%

50%

75%

100%

No results or
anecdotal

Positive trends
and/or
satisfactory
performance
on some
results

Positive trends
and/or
sustained good
performance
on many
results over
the last 3 years

Strongly
positive trends
and/or
sustained
excellent
performance
on most results
over at least 3
years

Strongly
positive trends
and/or
sustained
excellent
performance in
all areas over
at least 5 years

No evidence or
anecdotal

Favourable
and
appropriate in
some areas

Favourable
and
appropriate in
many areas

Favourable
and
appropriate in
most areas

Excellent and
appropriate in
most areas

0% - 10%

15% - 35%

40% - 60%

65% - 85%

90% - 100%

Attributes
Trends:
•
Trends are positive
and/or there is sustained
good performance

Targets:
• Targets are achieved
• Targets are appropriate


47

5
EFQM Assessment


EFQM Assessment

The Assessment Cycle
Plan the
Assessment

Monitor
Progress

Train the
Participants
Engage
Management
Team

Develop Action
Plans

Conduct the
Assessment

Agree
Priorities


51

EFQM Assessment

Self-Assessment
• Self-Assessment enables organisations to determine
where they are on their journey towards excellence and
plan out the next steps.


53

EFQM Assessment

Recognised for Excellence Assessment
• A Recognised for Excellence assessment provides
learning for everyone involved in the process. This
starts from preparing the initial input for the assessors,
through all the interviews conducted on-site and in the
final feedback report the Assessors produce.


55

6
Preparing for Site Visit


Preparing for Site Visit

The Site Visit
• Visit by team of assessors

• Activities during site visit
 Tour of key operational areas related to the report
 Discussions with senior management team

 Interviews with employees
 Management
 Process

groups

teams

 Employee

groups

 Reviews of documents and data

59

7
EFQM Award Recipients



2012 EFQM Award Recipients
Organisation

Country

Recognition

Robert Bosch GmbH Bamberg
Plant

Germany

Award Winner & Prize Winner in Leading
with Vision, Inspiration & Integrity; and
Succeeding through People

Coca-Cola İçecek A.Ş. Ankara
Plant

Turkey

Prize Winner in Taking Responsibility for a
Sustainable Future

VAMED-KMB

Austria

Prize Winner in Nurturing Creativity and
Innovation

JSC “Medicina”

Russia

Prize Winner in Adding Value for Customers

pom+Consulting AG

Switzerland

Prize Winner in Leading with Vision,
Inspiration & Integrity

Bosch Tecnologie Diesel e Sistemi
Frenanti S.p.A.

Italy

Prize Winner in Managing by Processes

BMW Plant Regensburg

Germany

Prize Winner in Managing by Processes


63


2010 EFQM Award Recipients
Organisation

Country

Recognition

VAMED-KMB

Austria

Prize Winner in Succeeding through People

Bradstow School

United Kingdom

Inspiration & Integrity and Succeeding
through People

Olabide Ikastola

Spain

Prize Winner in Adding Value for Customers
and Succeeding through People

Eskişehir Maternity and Child
Illnesses Hospital

Turkey


Stavropol State Agrarian
University

Russia

Prize Winner in Nurturing Creativity &
Innovation and Leading with Vision,

VAMED-KMB

Austria

Prize Winner in Succeeding through People

Bradstow School

United Kingdom

Inspiration & Integrity and Succeeding
through People


65

Getting Started in the EFQM Excellence
Journey


67

Your organisation’s gaps analysis and
alignment plan
• Insert your organisation‟s gaps analysis against
the evaluation criteria
• Insert your organisation‟s action plan to close
the gaps
 Who to take action?
 By when must they close the gaps?


69

Let’s Go For It!


71

END OF PRESENTATION
To view the full list of training presentations,
please visit us at:

www.oeconsulting.co
m.sg


1. Leadership
1a How leaders develop the mission, vision and values
and are role models for a culture of excellence in the
organisation
1b How leaders are personally involved in ensuring the
organisation‟s management system is developed,
implemented and continuously improved
1c How leaders are involved with customers, partners
and representatives of society

1d How leaders motivate, support and recognise the
organisation‟s people

75

3. People
3a How people resources are planned, managed
and improved
3b How people‟s knowledge and competencies
are identified, developed and sustained.

3c How people are involved and empowered
3d How people and the organisation have a
dialogue
3e How people are rewarded, recognised and
cared for

77

5. Processes, Products & Services
5a How processes are systematically designed and
managed
5b How processes are improved, as needed, using
innovation to fully satisfy and generate increasing value for
customers and other stakeholders

5c How products and services are designed and
developed based on customer needs and expectations
5d How products and services are produced, delivered
and serviced
5e How customer relationships are managed and
enhanced

79

7. People Results
7a Perception Measures
7b Performance Indicators


81

9. Business Results
9a Key Performance Outcomes
9b Performance Indicators


83

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