MANAGEMT 7012 - Business Performance Improvement

North Terrace Campus - Trimester 3 - 2017

This course provides students with the knowledge and skill-set required to formulate and implement sustainable improvement strategies aimed at improving business performance and overall competitiveness. It provides a practical appreciation and understanding of the various improvement strategies and techniques that have come to prominence during the past few decades, including Total Quality Management, Business Process Re-engineering and more recently Six Sigma and Lean Thinking. It considers these approaches and their use against the broader agenda of how to achieve sustainable improvement and the development of sustainable sources of competitive advantage. In particular, students are introduced to the idea of 'process thinking' and related concepts such as cost of quality, complexity, variation etc. i.e. considering the business and identifying improvement opportunities by viewing it from a process perspective. Students are also introduced to methodologies for business review and diagnosis - similar to the approaches used by the major management consulting firms. The later stages of the subject considers implementation issues arising with business performance improvement strategies to ensure that organisations are able to learn and achieve cumulative improvements over time, rather than temporary 'fad chasing' as is often the case.

  • General Course Information
    Course Details
    Course Code MANAGEMT 7012
    Course Business Performance Improvement
    Coordinating Unit Business School
    Term Trimester 3
    Level Postgraduate Coursework
    Location/s North Terrace Campus
    Units 3
    Contact Up to 3 hours per week
    Available for Study Abroad and Exchange Y
    Restrictions Available to Certificate, Graduate Diploma and Master of Business Administration students only - other students must first meet with program director for enrolment approval
    Course Description This course provides students with the knowledge and skill-set required to formulate and implement sustainable improvement strategies aimed at improving business performance and overall competitiveness. It provides a practical appreciation and understanding of the various improvement strategies and techniques that have come to prominence during the past few decades, including Total Quality Management, Business Process Re-engineering and more recently Six Sigma and Lean Thinking. It considers these approaches and their use against the broader agenda of how to achieve sustainable improvement and the development of sustainable sources of competitive advantage.
    In particular, students are introduced to the idea of 'process thinking' and related concepts such as cost of quality, complexity, variation etc. i.e. considering the business and identifying improvement opportunities by viewing it from a process perspective. Students are also introduced to methodologies for business review and diagnosis - similar to the approaches used by the major management consulting firms.
    The later stages of the subject considers implementation issues arising with business performance improvement strategies to ensure that organisations are able to learn and achieve cumulative improvements over time, rather than temporary 'fad chasing' as is often the case.
    Course Staff

    Course Coordinator: Mr Max Zornada

    Course Timetable

    The full timetable of all activities for this course can be accessed from Course Planner.

  • Learning Outcomes
    Course Learning Outcomes
    By the end of this course student will be able to:

    1. Apply contemporary concepts and methodologies to improve business performance and operational capabilities
    2. Explain and apply Six Sigma and Lean process methodologies, supporting tools and techniques to an identified workplace problem.
    3. Demonstrate excellent communication skills and a collaborative approach to work.
    4. Identify opportunities for business improvement and diagnose the need for change.
    5. Make business decisions and provide justification.
    University Graduate Attributes

    This course will provide students with an opportunity to develop the Graduate Attribute(s) specified below:

    University Graduate Attribute Course Learning Outcome(s)
    Deep discipline knowledge
    • informed and infused by cutting edge research, scaffolded throughout their program of studies
    • acquired from personal interaction with research active educators, from year 1
    • accredited or validated against national or international standards (for relevant programs)
    1, 2, 3 & 4
    Critical thinking and problem solving
    • steeped in research methods and rigor
    • based on empirical evidence and the scientific approach to knowledge development
    • demonstrated through appropriate and relevant assessment
    2 & 4
    Teamwork and communication skills
    • developed from, with, and via the SGDE
    • honed through assessment and practice throughout the program of studies
    • encouraged and valued in all aspects of learning
    3
    Career and leadership readiness
    • technology savvy
    • professional and, where relevant, fully accredited
    • forward thinking and well informed
    • tested and validated by work based experiences
    2, 4 & 5
    Intercultural and ethical competency
    • adept at operating in other cultures
    • comfortable with different nationalities and social contexts
    • Able to determine and contribute to desirable social outcomes
    • demonstrated by study abroad or with an understanding of indigenous knowledges
    3
    Self-awareness and emotional intelligence
    • a capacity for self-reflection and a willingness to engage in self-appraisal
    • open to objective and constructive feedback from supervisors and peers
    • able to negotiate difficult social situations, defuse conflict and engage positively in purposeful debate
    3 & 5
  • Learning Resources
    Recommended Resources
    Six Sigma and Lean Specific:
    • Pyzdek, Thomas (2003) The Six Sigma Handbook, McGraw Hill
    • Gygi, Graig., DeCarlo, Neil., and William, Bruce (2005) Six Sigma for Dummies, Wiley Publishing Inc.
    • Gygi, Graig., DeCarlo, Neil., and William, Bruce (2005) Six Sigma for Dummies Workbook, Wiley Publishing Inc.
    • Liker, Jeffrey K. and Meier, David (2005) The Toyota Way, McGraw-Hill
    • Liker, Jeffrey K. and Meier, David (2006) The Toyota Way Field Book, McGraw-Hill
    • DeCarlo, Neil (2007) A Complete Idiot’s Guide to Lean Six Sigma, Penguin Group
    • George, Michael L., Rowlands, David., Prices, Max and Maxey, John (2005) The Lean Six Sigma Pocket Tool Book, McGraw Hill
    • Womack, James P., Jones, Daniel T. and Roos, Daniel (2007) The Machine That Changed the World (2007 reprint of 1990 book), Free Press.
    • Womack, James P. and Jones, Daniel T. (2003) Lean Thinking, Simon and Schustster.
    • Womack, James P. and Jones, Daniel T. (2005) Lean Consumption, Simon and Schuster.
    • Sayer, Natalie J. and Williams, Bruce (2007) Lean for Dummies, Wiley Publishing.
    • Breyfogle III, Forrest W., Implementing Six Sigma, John Wiley & Sons, Inc.
    • Pande, Peter S., Neuman, Robert P. and Cavanaugh, Roland R. , The Six Sigma Way
    • Pande, Peter S., Neuman, Robert P. and Cavanaugh, Roland R. , The Six Sigma Way Team Fieldbook
    • Gitlow, Howard S., Levine, David. And Popvich, Edward A. (2006) Design for Six Sigma for Green Belts and Champions, Prentice Hall.
    • James R. Evans, William M. Lindsay, (2011) Managing for Quality and Performance Excellence, 8th Edition ISBN-10:0-324-78320-5 ISBN-13: 978-0-324-78320-9, Thomson Learning.

    Statistics Specific
    • Levine, David M., (2006) Statistics for Six Sigma Green Belts with Minitab and JMP, Prentice Hall.
    • Berenson, Mark L., Levine, David M., and Krehbeil, Timothy C. (2006) Basic Business Statistics, Concepts and Application, Prentice Hall.
    • Berenson, Mark L., Levine, David M., and Ramsey, Patricia P. (1995) Business Statistics for Quality and Productivity, Prentice Hall.
    • Devor, Richard E., Chang, Tsong-how, Sutherland, John W. (2007) Statistical Quality Design and Control, 2nd Edition, Pearson Prentice Hall.

    Business Improvement and Team Work
    • Pfeffer, Jeffrey and Sutton, Robert I. (2006) Hard Facts, Dangerous Half-Truths and Total Nonsense – Profiting from Evidence-Based Management, Harvard Business School press.
    • Harrington, J (1991) Business Process Improvement, McGraw Hill.
    • Joiner, Brian (1996), The Team Handbook, 2nd Edition, Straus Printing Company
    • Scholtes, Peter R., The Leader’s Handbook.
    • Goldratt, Eliyahu M. and Cox, Jeff. The Goal, Gower.
    • Weisbord, Marvin. Productive Workplaces.

    Magazines:
    • Quality Progress Magazine, published by ASQ (American Society for Quality)
    • iSixSigma Magazine, published by iSixSigma
    • Harvard Business Review (occasionally)

    Web Sites
    www.iSixSigma.com
    Lean Advancedment Initiative(http://ssrc.mit.edu/programs/lean-advancement-initiative-lai)
    Lean Enterprise Institute (www.lean.org)
    Lean Government Website (http://leangovcenter.com/index.htm)
    Lean Government EPA Website (http://www.epa.gov/lean/government/)
    American Society for Quality (asq.org)
    Fast Company (www.fastcompany.com)

    ONLINE LEARNING
    Copies of all powerpoint slides, assignment requirements and additional resources as specified in class will be available for download from myUni.
  • Learning & Teaching Activities
    Learning & Teaching Modes
    Business Performance Improvement is offered as 12 x 3 hour class sessions, during first trimester and uses a mix of learning methods.
    Participants will be introduced to certain concepts, techniques or issues through formal lecture presentations. It is expected that lecture presentations will be interwoven with questions, comments and discussion initiated by participants.

    Management games, group work, individual work, case studies and presentations will be used to provide opportunities to reinforce concepts and practice techniques or skills.

    Two theory assignments and a practical “real world” application project will be used to reinforce the learnings in this subject.
    Workload

    No information currently available.

    Learning Activities Summary
    Topic 1: Introduction to Business Performance Improvement
    Readings:
    “A Note on Quality: The Views of Deming, Juran and Crosby” (1986) Harvard Business School, Note 9-687-011
    Frederick Winslow Taylor, From Economist.com, Feb 6th 2009
    Scientific management, From Economist.com, Feb 9th 2009
    Alfred Sloan, From Economist.com, Jan 30th 2009
    Lloyd P. Provost and Gerald J. Langley, "The Importance of Concepts, in Creativity and Improvement", Quality Progress, March 1998

    Topic 2: Process Thinking
    Readings:
    • Keen, Peter G.W. and Knapp, Ellen M. (1996) “Every Manager’s Guide To Business Processes” Pages 1-36,Harvard Business School Press.
    • Hammer, M and Stanton, S. (1999) “ How process enterprises really work”, Harvard Business Review, Nov-Dec vol 77, no. 6, pp 108-118.
    • Majchrzak, A and Wang, Q (1996) “Breaking the functional mindset in process organisations”, Harvard Business Review, September-October, vol 74, no 5, pp 93-99.
    • Zornada, Max (2006) “Process Mapping”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 15-21.

    Case Study:
    Hi-Tech Leasing Corporation

    Topic 3: Understanding Cost Structure and The Cost of Quality
    Readings:
    • Author unknown (date unknown) “Cost of Quality Analysis as an Element of a Quality Improvement Drive” PA Consulting Group.
    • Cokins, Gary (2006) " Measuring the Cost of Quality for Management", Quality Progress, September 2006.

    Topic 4: Complexity
    Reading:
    Fuller, Timothy F. (1985) “Eliminating Complexity from Work: Improving Productivity by Enhancing Quality”, National Productivity Review, Autumn 1985, pp 327-344.


    Topic 5: Introduction to Variation and Flow
    The Dice Game - In class simulation

    Topic 6: Team Based Problem Solving, the Six Sigma DMAIC Process
    Readings:
    • Zornada, Max (2006) “Problem Solving and Decision Making in Organisations”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 6 - 14.
    • Zornada, Max (2006) “The Seven Tools of Quality”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 33-56 (skim through briefly)
    • D. Steele, Andrew D., "Six Sigma Toolkit At Your Service", Six Sigma forum magazine, February 2004.

    Case Study:
    South Eastern Food Packagers

    Topic 7: Overview of the DMADV Process/ Process Change
    Readings:
    • Manganelli, R.L. & Klien. M.M. (1994) “The Business Process Reengineering Framework - A Historical Perspective” Extract from The Reengineering Handbook, AMACOM.
    • Kaplan, Robert B. and Murdock, Laura (date unknown) “Core Process Redesign” McKinsey Quarterly.

    Case Studies:
    Hi-Tech Leasing Corporation: Joan’s Story

    Topic 8: Process and Workflow Management Process
    Readings:
    • Godfrey, Michael R. and Bandy, Brent D., "Applying Little’s Law and the Theory of Constraints" Six Sigma forum magazine, February 2005.

    Case Study:
    Bob Smith Auto-Service Centre – Part 2


    Topic 9: Define Phase Detail
    Readings:
    • Donald P. Lynch, Suzanne Bertolino and Elaine Cloutier (2003) “How to Scope DMAIC Projects”, Quality Progress, January 2003.
    • Robert A. Gardner, "Resolving the Process Paradox", Quality Progress, March 2011.

    Case Study:
    NatPlas Part 1

    Topic 10: Measure Phase Detail - Performance Measurement and Variation
    Readings:
    • McCabe, William J. (1989) “Examining Processes Improves Operations”, Quality Progress Magazine, July 1989.
    • Zornada, Max (2006) “Appendix: Understanding Variation”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 159 - 175.

    Class Exercises
    The Funnel Experiment

    Topic 11: Statistical Process Control, Six Sigma & Statistical Techniques
    • Boardman J. and Boardman, Elleen C., (1990) “Don’t Touch that Funnel”, Quality Progress Magazine, December 1990.
    • Nolan, Thomas W. and Provost, Lloyd P. (1990) “Understanding Variation”, Quality Progress, May 1990.
    • Berenson and Levine, "Chapter 18; Statistical Applications in Quality and Productivity Management", from Basic Business Statistics.

    Topic 12: Analyse Phase Detail
    Readings
    • James J. Rooney and Lee N. Vanden Heuvel (2004) “Root Cause Analysis for Beginners”, Quality Progress, July 2004.
    • Zornada, Max (2006) “Problem Solving and Decision Making in Organisations”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 6 - 14.
    • Lifetime Reliability Solutions, "Understanding How to Use The 5-Whys for Root Cause Analysis"
    • Dolan, Tom, "Best Practices In Process Improvement", Quality Progress, August 2033.
    • Box, George.," Scientific Method: The Generation of Knowledge and Quality", Quality Progress, January, 1997.

    Topic 13: Improve and Control Phase Detail
    Readings
    • Gilbert, Jeffrey B. " Did I Really Improve, or Is It Just Variation?", Quality Progress, October 1997.
    • Harvey, Jean.," Switching From Improvement to Innovation on the Fly", Quality Progress, January 2007.

    Topic 14: Lean Thinking
    Lean Approaches to Improvement/Lean Analysis Methods
    Readings:
    • Spear, Steven and Bowen, Kent H (1999) “Decoding the DNA of the Toyota Production System”, Harvard Business Review, Sept-Oct 1999.

    Case Study:
    Deaconness-Glover Hospital (A)
    Exercise: HTLC Case Study – VSM Extension
    • Van Patten, James (2006), “A Second Look at 5S”, Quality Progress, October 2006.
    • Len Tischler, Len (2006), “Bringing Lean to the Office”, Quality Progress, July 2006.
    • James J. Rooney, Lee N. Vanden Heuvel and Donald K. Lorenzo, "Reduce Human Error", Quality Progress, September 2002.
    • Upton, David M., Staats, Bradley R., (2011) "Lean Knowledge Work", Harvard Business Review, October, 2011.
    • Shook, John (2009), "Toyota's Secret: The A3 Report", MIT Sloan Management Review, Summer 2009, Volume 50, No 4

    Topic 15: Dealing with Intangible Problems
    Readings:
    • Zornada, Max (2006) “The Seven Quality Management and Planning Tools”, Problem Solving and Process Improvement Tools and Techniques Guidebook, Version 4, Pages 124-154.


    Topic 16: Failure Modes and Effects Analysis
    Textbook: Chapter 12 – Design for Six Sigma, pages 606-612
    Reading:
    • Vandenbrande, Willy, W. (1998) “How to Use FMEA to Reduce the Size of Your Quality Toolbox”, Quality Progress, November 1998.

    Topic 17: Business Diagnostic and Organisational Review
    Readings:
    • Bradach, Prof. Jeffrey (1996) “Organisational Alignment: The 7-S Model”, Harvard Business School Note 9-497-045.
    • Porter, Michael (1985) “Understanding the Value Chain”, from Competitive Advantage, Free Press New York.
    Case Study: Bob Smith - Part 1

    Topic 18: Implementation Issues
    Readings:
    • Groocock, J (1988) “The Toledo Syndrome” from The Chain of Quality.
  • Assessment

    The University's policy on Assessment for Coursework Programs is based on the following four principles:

    1. Assessment must encourage and reinforce learning.
    2. Assessment must enable robust and fair judgements about student performance.
    3. Assessment practices must be fair and equitable to students and give them the opportunity to demonstrate what they have learned.
    4. Assessment must maintain academic standards.

    Assessment Summary
    Assessment Task Task Type Weighting Learning Outcome
    Assignment 1 Individual 30%
    Assignment 2 Individual 30%
    Project Report Group 30%
    Participation Individual 10%
    Total 100%
    For specific information about assignments and due dates please see MyUni.
    Assessment Detail
    Individual Assignments
    The first individual assignment will be handed out in class at the first intensive and will be due in Monday 3rd October.
    The second individual assignment will be handed out at the 2nd intensive and will be due in Monday 31st October.

    Assignment word lengths should be no more than 2,500 words.

    Group Project
    Students will be required to progress a team based improvement project during which they apply the concepts covered in this subject in their workplace.

    Participants will be required to submit a report of their project during the final lecture session, detailing the project they have undertaken, showing application of the concepts covered during the Business Performance Improvement subject.

    The task will be to progress either a problem solving based project or a process improvement based project using the Problem Solving/Process Improvement Storyboard Processes presented in the subject.

    Your project report should show evidence of the use of concepts, methodologies, tools, techniques covered in the Business Performance Improvement subject.

    Participation
    The participation component will be based on participant contribution to class exercises and discussion. In particular, participants will be expected to have prepared adequately for class by completing required homework exercises, cases and readings.

    Submission
    Presentation of Assignments:
    The preferred format for submission of assignments is hardcopy to be handed in at the designated times.
    Assignments should be written on A4 paper, stapled together with a staple in the top left hand corner of the paper.
    Do not place assignments in folders, binders, plastic envelopes or bind into booklet form. This just makes it more difficult to mark.
    Please must retain a copy of all assignments submitted.
    Please attach an ‘Assignment Cover Sheet’, which is signed and dated by you before submission.
    All group assignments must be attached to a ‘Group Assignment Cover Sheet’, which must be signed and dated by all group members before submission. All team members are expected to contribute approximately equally to a group assignment.
    Lecturers can refuse to accept assignments, which do not have a signed acknowledgement of the University’s policy on plagiarism.

    Assignment Guidelines including Referencing Details:
    A copy of the Postgraduate Programs: Communication Skills Guide will have been given to you at the beginning of your program. This guide will assist you structure your assignments. A copy of the guide can also be downloaded from http://www.business.adelaide.edu.au/current/mba/download/2009MBACommSkillsGuide.pdf

    This publication also provides guidelines on a range of other important communication skills including writing essays and management reports, making oral presentations etc.

    In preparing any written piece of assessment for your postgraduate studies it is important to draw on the relevant ‘literature’ to support critical analysis. Also essential is to reference the literature used. Correct referencing is important because it identifies the source of the ideas and arguments that you present, and sometimes the source of the actual words you use, and helps to avoid the problem of plagiarism. (Further information on plagiarism is provided later in this course outline.)
    The Harvard system is widely used in the Business School. Guidelines for the use of this style of referencing can be found in the Communication Skills Guide.

    Further assistance with referencing is available from the Faculty’s Learning Support Advisors. The contact details are provided on page 6 of the Communication Skills Guide.

    Late Assignment Submission
    Students are expected to submit their work by the due date to maintain a fair and equitable system. Extensions will generally only be given for medical or other serious reasons. All requests for extensions must be emailed to the lecturer in charge of the course before the due date. Each request will be assessed on its merits. A late assignment (without prior arrangement) will be penalised by a 5% mark reduction for each day that it is late.

    Return of Assignments
    Lecturer’s aim to mark and return assignments to students within two (2) weeks of the due date with written feedback. Students are responsible for collecting their marked assignments from either their tutorials or lectures. If assignments aren’t collected after two (2) weeks, the assignments will be available at the Student Hub for two (2) weeks. The remaining assignments will only be posted out to the students, if the correct mailing addresses are on the assignments.
    Course Grading

    Grades for your performance in this course will be awarded in accordance with the following scheme:

    M10 (Coursework Mark Scheme)
    Grade Mark Description
    FNS   Fail No Submission
    F 1-49 Fail
    P 50-64 Pass
    C 65-74 Credit
    D 75-84 Distinction
    HD 85-100 High Distinction
    CN   Continuing
    NFE   No Formal Examination
    RP   Result Pending

    Further details of the grades/results can be obtained from Examinations.

    Grade Descriptors are available which provide a general guide to the standard of work that is expected at each grade level. More information at Assessment for Coursework Programs.

    Final results for this course will be made available through Access Adelaide.

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    SELTs are an important source of information to inform individual teaching practice, decisions about teaching duties, and course and program curriculum design. They enable the University to assess how effectively its learning environments and teaching practices facilitate student engagement and learning outcomes. Under the current SELT Policy (http://www.adelaide.edu.au/policies/101/) course SELTs are mandated and must be conducted at the conclusion of each term/semester/trimester for every course offering. Feedback on issues raised through course SELT surveys is made available to enrolled students through various resources (e.g. MyUni). In addition aggregated course SELT data is available.

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  • Policies & Guidelines
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