Do you want
to know a secret? The reason successful businesses become
successful is they pay attention to small details and
improve everything they do.
It is those same small
details that make major differences to customer loyalty
and the bottom line.
The secret to success for
the Ritz-Carlton Hotels and other excellent companies is
they have made process improvement and defect removal a
science. The techniques and steps the Ritz-Carlton hotels
use can be applied to any business or industry no matter
the size.
The process Ritz-Carton
hotels use to remove defects improves everything they do
and saves them millions of dollars each year. In 1994,
they increased sales by $75 million using 500,000 fewer
man-hours. They did it by eliminating defects, rework and
time-consuming steps in their key processes affecting
customer service.
Fixing problems and
improving service doesn't happen by accident. They have
created a non-stop problem identification and solution
process. The process begins at a comprehensive employee
orientation program. All employees receive training and
must pass an orientation exam with a 100 percent or take
the course over again.
One important factor they
learn about is the Internal Defect Form. Any employee
noticing a deficiency or defect during the work day
writes up an IDF.
All forms are forwarded to
the hotel quality office for consolidation. The quality
office tracks them and sends them to the appropriate
department for action. Department managers and quality
coaches take action to improve, repair or replace the
defect.
The important thing to
remember is that it is the small, seemingly insignificant
defects that have a major impact on good service. Average
organizations will ignore or overlook minor customer
inconveniences. Excellent organizations focus on the
details.
Here are a few suggestions
to consider when initiating a process improvement
strategy for your business.
Seven keys to success:
Key 1 - Top
management's involvement and commitment.
This is the most important
key. Without strong commitment and active involvement
from the top management, process improvement will become
just another program, a flavor of the month... here today
and gone tomorrow.
Key 2 - Strategic
focus.
All activities, actions,
teams etc. need to be working on projects related to the
overall vision or mission of the organization. Major
improvements come from a project by project improvement
approach.
Key 3 - Establish a
guidance team/steering group.
The purpose of this group
is to oversee the various process improvement teams and
projects within the organization. Their main job is to
prioritize projects and provide the resources including
the training, support and guidance during the process.
They approve the charter, time lines and the final
recommendations.
Key 4 - Identify key
improvement projects.
Search your business for
areas needing improvement. Obviously, key efforts should
focus on improving customer service to both the internal
and external customers. Internal customers are the
employees. External customers are the ones who actually
pay for or use the members who use the service or
product.
Key 5 - Pick a team.
Insure you have the right
people represented on the team. Appoint a facilitator who
is trained in process improvement techniques and a team
leader. Be careful to include the process owner.
Key 6 - Establish a
charter. The charter is a written agreement between the
steering group and the process improvement team on the
who, what, where and how of the team. Agree on the
purpose of the team and the goal, and write out a mission
statement.
Key 7 - Measure,
measure, measure. Continued success depends on measurable
results. Change is difficult and unless people can see
the results of their efforts, they become discouraged.
Begin measuring improvements immediately.
Are your members more
pleased with your service? Has morale improved? Is waste
reduced? Link results to the bottom line and publicly
post the results for all to see. Then start all over
again.
For a free sample charter
for your company, please fax your letterhead with the
words "Charter" to 770-760-0581.
Free by e-mail/fax: For
more tips or information on Smith's new book, "TNT
for Teams: Dynamic Ideas to Reward, Energize and Motivate
Your Team," fax your letterhead or e-mail with the
words "TNT" to 770-760-0581/[email protected] .
Gregory P. Smith, author of
"The New Leader," and "How to Attract,
Keep and Motivate Your Workforce." He speaks at
conferences, leads seminars and helps organizations solve
problems. He leads an organization called Chart Your
Course International in Conyers, Ga. Phone him at
770-860-9464 or send an e-mail at [email protected] . Information and articles are at www.chartcourse.com .






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