Page 185 - The Six Sigma Project Planner

The Strategy Deployment Matrix
The first QFD matrix will be based directly on the strategy deployment plan. If you take
a closer look at the strategy deployment plan, you’ll notice that it fails to show all
relationships. For example, the strategy for operational excellence is related to
operations and logistics, but the strategy deployment plan doesn’t show this (except
indirectly through the link between internal process excellence and customer perceived
value). Since the purpose of the strategy deployment plan is to present a clear, simple
picture of the linkage among leadership’s vision, strategy, and metrics, this
simplification is acceptable. However, we must go beyond the strategy deployment
plan if we are to properly evaluate Six Sigma project candidates. For example, a Six
Sigma project addressing inventory levels would have an impact on both strategies, but
it wouldn’t be possible to measure the impact from the strategy deployment plan alone.
QFD will help us make this evaluation explicit. A completed Phase I strategy deployment
matrix is shown in Figure 29.
Figure 29. Strategy Deployment Matrix
Chart produced using QFD Designer software. Qualsoft, LLC, www.qualisoft.com.

Dashboard Metric

New product introductions Revenue from new sources Customer relationship R&D deployment time Inventory turns Fast service New product revenues Fast delivery Product functionality Skills audit gaps CTQs Asset Utilization Profit per customer Cost per unit Compliance audit score Employee feedback Product quality Shipping & handling costs Product selection
Sorted Strategy Matrix Area Score (row sum) Relative Area Performance

Financial Performance Productivity V V G W V V G V G Price V 29

40
Revenue growth
V
Customer Value Operational excellence G V V G V G W W G V G V G V 55
15
Customer intimacy
W
G
Strategy Product attributes V V V V V V V G W W 33
Internal Process Excellence Innovation V V W V W V W G G V V 25
37
Customer management processes
41
V
Operations and logistics
G
Regulatory compliance
9
Learning and Growth Employee competencies V W V W G G G V V W G G W W G 21
39
Technology
V
V
27
W
V
Corporate culture
Criteria Performance Target 20% of total revenues VOC average Top 25% 25% of total All-weather capability 3.5 sigma 4.5 sigma 15% RONA 10% increase No price Avg > 6.2 Top 20% improvement
+50% > 6.5 -30% +20% Above industry increase -6% 4 sigma -10% 5%
Criteria Score 36 34 28 24 27 22 20 19 19 17 16 15 14 14 13 12 12 10 10 9
Strategic Importance Score E E E E L L L L L L L L L L L L L L L L
Relative Metric Weight
168