Introducing the EFQM Excellence Model 2010 - North of England ...

Introducing theEFQM Excellence Model 201029 th September 2009EFQM Forum, Brussels

IntroductionMatt FisherEFQM Strategy Committee

Agenda for Today Why change the Model?Drivers of changeThe Core TeamThe Process Introduction the EFQM Excellence Model 2010Fundamental Concepts of ExcellenceCriteria and Criterion PartsRADAR and Scoring Implementing the EFQM Excellence Model 2010 European Excellence Award 2010 Assessor Training Implementation Guides Self-Assessment Ongoing Review and Update Process

Drivers of ChangeKey Drivers of ChangeThe Core Team should:Feedback from EFQM MemberSurvey (Apr-09)Recognition of strong andemerging trends, such asinnovation, risk managementand sustainabilityFeedback from the NationalPartners, Assessors andTraining FacultyFeedback from EU onimproving the relevance andvisibility of the ModelEFQM Board of Governorsrequested review (May-09)Represent the key stakeholdersof EFQM, including keymembers, public sector,National Partners, assessor andtraining communitiesSeek addition feedback andinput from academia andrelevant EU departmentsComplete the review for launchat EFQM Forum 2009The revised version of theModel must retain:The “9 box” Model8 Fundamental ConceptsRADAR scoring

The Core Team EFQM Assessor NetworkChristian Forstner, Andre Van Der Geest Public SectorMarie Lindsay, Jacques Philippaerts Key MembersMatt Fisher EFQM TrainersChris Hakes, Geoff Carter EFQM National Partners EFQMAndre Moll, Andreas RedlingPierre Cachet, Herve Legenvre

Review ProcessEFQMCore TeamWorking GroupsAppoint “Core Team”Identify “Working Group”Request input on key themesProvide input on key themes3 year cycleConsolidate inputsIdentify “key themes”Review & commentReview Concepts and RADARReview & commentDevelop design templateDevelop 1 st Draft ModelDevelop 2 nd Draft ModelReview & commentReview & commentApprove design templatePrint & distributeApprove final document

Design Principles Model should be generic and applicable to allorganisations Wording simplified and relevant to all sectors Focus on including emerging trends and topics Language targeted to managers Concepts are action oriented Fundamental Concepts integrated into the CriterionParts and RADAR Build on the work done in 2005 on reviewing theFundamental Concepts7

If you want to ask questions… At the end of each section, there will be the opportunity toask questions. If you want to ask a question about the section you’ve justseen, put up your hand and someone will bring amicrophone. There will be also time for more general questions at theend of the meeting. After the meeting, you can email us at info@efqm.org

The Fundamental Concepts of Excellence

Adding Value for Customers Definition Excellent organisations know that customers aretheir primary reason for being and strive toinnovate and create value for them byunderstanding and anticipating their needs andexpectations. Key Change Focus is now on clearly defining andcommunicating the value proposition andactively engaging customers in the product andservice design processes.12

Leading with Vision, Inspiration & Integrity Definition Excellent organisations have leaders who shapethe future and make it happen, acting as rolemodels for its values and ethics. Key Change The concept is now more dynamic, focusing onthe ability of leaders to adapt, react and gain thecommitment of all stakeholders to ensure theongoing success of the organisation.13

Managing by Processes Definition Excellent organisations are managed throughstructured and strategically aligned processesusing fact-based decision making to createbalanced and sustained results. Key Change The focus is now on how the processes aredesigned to deliver the strategy, with end to endmanagement beyond the “classic” boundaries ofthe organisation.14

Succeeding through People Definition Excellent organisations value their people andcreate a culture of empowerment for thebalanced achievement of organisational andpersonal goals. Key Change The focus is now on creating a balance betweenthe strategic needs of the organisation and thepersonal expectations and aspirations of thepeople to gain their commitment andengagement.15

Nurturing Creativity & Innovation Definition Excellent organisations generate increasedvalue and levels of performance throughcontinual and systematic innovation byharnessing the creativity of their stakeholders. Key Change The concept now recognises the need todevelop and engage with networks and the needto engage all stakeholders as potential sourcesof creativity and innovation.16

Building Partnerships Definition Excellent organisations seek, develop andmaintain trusting relationships with variouspartners to ensure mutual success. Thesepartnerships may be formed with customers,society, key suppliers, educational bodies orNon-Governmental Organisations (NGO). Key Change The concept has been extended to includepartnerships beyond the supply chain andrecognises that these should be based onsustainable mutual benefits to succeed.17

Taking Responsibility for a SustainableFuture Definition Excellent organisations embed within theirculture an ethical mindset, clear values and thehighest standards for organisational behaviour,all of which enable them to strive for economic,social and ecological sustainability. Key Changes The concept now focuses on actively takingresponsibility for the organisation’s conduct andactivities and managing it’s impact on the widercommunity.18

Questions?

EFQM Excellence Model 2010EnablersChristian Forstner

The Model

Changes to Titles Policy & Strategy becomes StrategyThe feedback indicated confusion regarding the definition of the word“policy”, especially in the public sector, where policy is often set by politicalbodies outside the organisation.It was agreed that “Strategy” is a term that everyone understands.Processes becomes Processes, Products and ServicesOver the previous reviews of the Model, the content of this criterion evolvedto become increasingly focused on the customer, although the titleremained “Processes”.The change now reflects the content of the criterion.Key Performance Results becomes Key ResultsThe change to the name and the underlying definitions focus this criterionon “achieving what is aimed for in the organisation’s strategy”..

1. Leadership Definition Excellent organisations have leaders who shape the future andmake it happen, acting as role models for its values and ethicsand inspiring trust at all times. They are flexible, enabling theorganisation to anticipate and react in a timely manner to ensurethe ongoing success of the organisation.1a. Leaders develop the mission, vision, values and ethics and actas role models1b. Leaders define, monitor, review and drive the improvement ofthe organisation’s management system and performance.1c. Leaders engage with customers, partners and representativesof society1d. Leaders reinforce a culture of excellence with the organisation’speople1e. Leaders ensure that the organisation is flexible and manageschange effectively

Example of Mapping Concepts to Criteria1a. Leaders develop the mission, vision, values and ethics and act asrole modelsSet and communicate a clear direction and strategic focus; they unite theirpeople in sharing and achieving the organisation’s core purpose andobjectives – Leading with Vision Inspiration & IntegritySecure the future of the organisation by defining and communicating a corepurpose that provides the basis for their overall Vision, values, ethics andcorporate behaviour – Taking Responsibility for a Sustainable FutureChampion the organisation’s values and are role models for integrity, socialresponsibility and ethical behaviour, both internally and externally. – Leadingwith Vision Inspiration & IntegrityFoster organisational development through shared values, accountability,ethics and a culture of trust and openness. - Succeeding through PeopleEnsure their people act with integrity and adopt the highest standards ofethical behaviour. – Taking Responsibility for a Sustainable FutureDevelop a shared leadership culture for the organisation and review andimprove the effectiveness of personal leadership behaviours.- adapted from2003 Model

1. Leadership Definition Excellent organisations have leaders who shape the future andmake it happen, acting as role models for its values and ethicsand inspiring trust at all times. They are flexible, enabling theorganisation to anticipate and react in a timely manner to ensurethe ongoing success of the organisation.1a. Leaders develop the mission, vision, values and ethics and actas role models1b. Leaders define, monitor, review and drive the improvement ofthe organisation’s management system and performance.1c. Leaders engage with customers, partners and representativesof society1d. Leaders reinforce a culture of excellence with the organisation’speople1e. Leaders ensure that the organisation is flexible and manageschange effectively

2. Strategy Definition Excellent organisations implement their mission and vision bydeveloping a stakeholder focused strategy. Policies, plans,objectives and processes are developed and deployed to deliverthe strategy.2a. Strategy is based on understanding the needs and expectationsof both stakeholders and the external environment2b. Strategy is based on understanding internal performance andcapabilities2c. Strategy and supporting policies are developed, reviewed andupdated to ensure economic, societal and ecological sustainability2d. Strategy and supporting policies are communicated anddeployed through plans, processes and objectives

3. People Definition Excellent organisations value their people and create a culturethat allows the mutually beneficial achievement of organisationaland personal goals. They develop the capabilities of their peopleand promote fairness and equality. They care for, communicate,reward and recognise, in a way that motivates people, buildscommitment and enables them to use their skills and knowledgefor the benefit of the organisation.3a. People plans support the organisation’s strategy3b. People’s knowledge and capabilities are developed3c. People are aligned, involved and empowered3d. People communicate effectively throughout the organisation3e. People are rewarded, recognised and cared for

4. Partnerships & Resources Definition Excellent organisations plan and manage external partnerships,suppliers and internal resources in order to support strategy andpolicies and the effective operation of processes.4a. Partners and suppliers are managed for sustainable benefit4b. Finances are managed to secure sustained success4c. Buildings, equipment, materials and natural resources aremanaged in a sustainable way4d. Technology is managed to support the delivery of strategy4e. Information and knowledge are managed to support effectivedecision making and to build the organisational capability

5. Processes, Products & Services Definition Excellent organisations design, manage and improve processesto generate increasing value for customers and otherstakeholders.5a. Processes are designed and managed to optimise stakeholdervalue5b. Products and Services are developed to create optimum valuefor customers5c. Products and Services are effectively promoted and marketed5d. Products and Services are produced, delivered and managed5e. Customer relationships are managed and enhanced

EFQM Excellence Model 2010ResultsAndré Moll

The Model

Changes to Results All now have the same definition, which is aligned toRADAR Defines “key focus areas” rather than a long list of“possible measures” Criterion 9 is now split as: 9a: Key Strategic Outcomes, focusing on what isachieved compared to what was stated in the strategy 9b: Key Performance Indicators, focusing on leadingindicators used to predict the strategic outcomes Calrifies the scope of Criterion 8, with clear alignmentto the strategies adopted by the organisation

Example:6. Customer ResultsDefinitionExcellent organisations:Develop and agree a set of performance indicators and related outcomes todetermine the successful deployment of their strategy and supportingpolicies, based on the needs and expectations of their customers.Set clear targets for Key Results based on the needs and expectations oftheir customers, in line with their chosen strategy. Demonstrate positive or sustained good Customer Results over at least 3years.Clearly understand the underlying reasons and drivers of observed trendsand the impact these results will have on other performance indicators andrelated outcomes.Anticipate future performance and results.Understand how the Key Results they achieve compare to similarorganisations and use this data, where relevant, for target setting.Segment results to understand the experience, needs and expectations ofspecific customer groups.

Example:6a. Perceptions These are the customers’ perceptions of the organisation. Theymay be obtained from a number of sources, including customersurveys, focus groups, vendor ratings, compliments andcomplaints. These perceptions should give a clear understanding of theeffectiveness, from the customer’s perspective, of thedeployment and execution of the organisation’s customerstrategy and supporting policies and processes. Depending on the purpose of the organisation, measures mayfocus on:Reputation and imageProduct and service valueProduct and service deliveryCustomer service, relationship and supportCustomer loyalty and engagement

Example:6b. Performance Indicatiors These are the customers’ perceptions of the organisation. Theymay be obtained from a number of sources, including customersurveys, focus groups, vendor ratings, compliments andcomplaints. These perceptions should give a clear understanding of theeffectiveness, from the customer’s perspective, of thedeployment and execution of the organisation’s customerstrategy and supporting policies and processes. Depending on the purpose of the organisation, measures mayfocus on:Reputation and imageProduct and service valueProduct and service deliveryCustomer service, relationship and supportCustomer loyalty and engagement

The allocation of resultsperceptions indicators outcomes6a, 7a, 8a 8b, 7b, 6b, 9b 9aall otherstakeholdersemployeescustomersincluding stakeholder related key resultskey resultsrelated to strategy

Questions?

RADAR & ScoringChris Hakes

5 Inputs, hopefully lots of discussion:1. What did we try to focus on/achieve?2. Summary of 2010 Elements and attributes3. A look at what’s changed in the matrices4. Revised criterion weightings5. Open debate on RADAR39

What feedback did we focus on: Measure and act upon what matters (not everything!)Define key results… Move towards more balance for StakeholdersChanged weightings Sustainability demands a forward view.Its not just about the past 3 years.Seek evidence to give confidence that the organisation believesperformance will continue in the future Speed and flexibility are important (It’s an ever moreuncertain world…)Strengthened attributes Creativity and innovation are of increasing importanceAdded attributes40

5 Inputs, hopefully lots of discussion:1. What did we try to focus on/achieve?2. Summary of 2010 Elements and attributes3. A look at what’s changed in the matrices4. Revised criterion weightings5. Open debate41

RADAR: 2010 Elements and Attributes:Results:Relevance and usability Scope Integrity SegmentationPerformanceTrends Targets Comparisons CausesApproach:SoundIntegratedAssess & Refine:MeasurementLearning & CreativityInnovation & ImprovementDeployment:ImplementedSystematic

5 Inputs, hopefully lots of discussion:1. What did we try to focus on/achieve?2. Summary of 2010 Elements and attributes3. A look at what’s changed in the matrices4. Revised criterion weightings5. Open debate43

Key Changes: Enablers1. Seek embedding ofrefinements over time2. Deploy with a flexibility tomanage changes in environmentand re-deploy if needed3. Measure both “Efficiency” and“Effectiveness”4. Use creativity to generatenew / changed approachesand evaluate, prioritise anduse the outcomes44

Key Changes: Results1. “Relevance and Usability”comes first with focus on:-”scope/relevance”-’Integrity”- “segmentation”2. A focus on “key” resultsis added.3. “Targets” and the “Comparisons”judgements will focus on Key Results4. Assessors will seek evidence to understand ifthe organisation has confidence thatperformance will be sustained45

5 Inputs, hopefully lots of discussion:1. What did we try to focus on/achieve?2. Summary of 2010 Elements and attributes3. A look at what’s changed in the matrices4. Revised criterion weightings5. Open debate46

Balancing the WeightingsPeople10%9%PeopleResults10%9%Leadership10%Policy &StrategyStrategy10%8%Processes,Products Processes&Services14%10%CustomerResults15%20%KeyPerformanceKey ResultsResults15%15%Partnerships& Resources10%9%SocietyResults10%6%Split between 8a & 8b isnow 50/50

5 Inputs, hopefully lots of discussion:1. What did we try to focus on/achieve?2. Summary of 2010 Elements and attributes3. A look at what’s changed in the matrices4. Revised criterion weightings5. Open debate on RADAR48

Questions?

Summary of Key ChangesMatt Fisher

The EFQM Excellence Model2010

Summary of Key ChangesFundamental Concepts now full integrated with the 9 criteria Bullets from Fundamental Concepts for the basis of the bullets in the relevant criterionpartsLanguage simplified, number of “may include” bullets reduced and now focus on whatexcellent organisations do in practiceConcepts incorporated or emphasised include; Creativity and Innovation, Sustainability, Corporate Governance, Organisational Agility,Risk Management, Promoting products & services, Supplier ManagementResults focus on “key results required to achieve the organisation’s vision andstrategy” This is written into both the 9 criteria and the RADAR e.g. scope, targets andbenchmarks should focus on key resultsFuture focus increased (sustaining excellent performance)Weighting applied to the criteria has been reviewed and simplified All Enablers now 10%, Customer & Key results are 15% each, People & Society are10%Society results now 50% perception, 50% performance

Key Changes to Criterion Parts Some of the specific changes made include:1e - focus is now on organisational agility and ability to adapt tothe changing organisational environment2a & 2b - 2a focuses on the external drivers of change, 2bfocuses on the current and potential capabilities of theorganisation4a - now includes managing suppliers and the scope of"partnerships" extended beyond the supply chain5a & 5b - the old sub-criteria have been combined to recognisethat "process improvement" and "process management" cannotbe viewed separately5c - focus is now on effectively promoting the organisation'sproducts and services to current and potential customers

Integration of Fundamental Concepts intothe ModelCriterion1 2 3 4 5 6 7 8 9Leadership Strategy People Partnerships & ResourcesProcesses, Products and ServicesCustomerResultsPeople ResultsSociety ResultsKey ResultsSub-Criterion A B C D E A B C D A B C D E A B C D E A B C D E A B A B A B A BAchieving Balanced Results X X X X X X x X X X X X X X X XCreating Value for Customers X X X X X X X X xLeading with Vision, Passion andInspirationX X X X X X XManaging by Process X x X X X x x X X x X x x XSucceeding through People X X X X X x X X X xNurturing Creativity & Innovation X x X X X X X X x X x X x X x XBuilding Partnerships X x x X x x X x X x X x XTaking Responsibility for aSustainable FutureX X X X x x X X X X x X x x X X xX = Text from Fundamental Concept directly reflected in sub-criterionx = Adaptation of text from Fundamental Concept appears in the sub-criterion

Questions?

Implementing theEFQM Excellence Model 2010Hervé Legenvre

What’s Next…?Action Detail Owner For moreinformationTransition Guide2010 UpgradeTrainingHow to implement the changes in EFQMModel 2010.Paul GemoetsAvailable from30/9/09 onwebsiteUpgrade course for current Assessors. Naomi Goossens Register onwebsite nowAssessment ToolKitTools to help assess your organisation, fromsimple questionnaires to strategicassessment.Hervé LegenvreContact yourEFQM AccountManagerCase StudyA new case study based on EFQM Model2010 will be available soon.Hervé LegenvreVisit EFQMWebshopTraining CoursesAll existing courses are being reviewed andupdated. New “Train the Trainer ” courseGianluca MuleFrom October,see websiteEFQM ExcellenceAwardIt will be conducted using EFQM Model2010SamuliPruikkonenContact SamuliPublicationsRevised versions of EFQM Publications,including translations.AliciaKorzeniowskaVisit EFQMWebshop57

EFQM Excellence Award 2010 The EFQM Excellence Award 2010will be based on the REVISEDModel. Assessors will need to attend theupgrade training. There will be workshops forApplicants in Brussels on: 13.10.2009 22.10.2009 Please ask for further information onthe 2010 processsamuli.pruikkonen@efqm.org

Publications Buy or order from TodayModel brochureFundamental Concepts brochureTransition Guide (free download) Review of other PublicationsAll publications are being reviewed andupdated in line with the new ModelNew publications will be developedUpdated versions will carry the EFQMModel 2010 logo Please visit the webshopwww.efqm.org

Translation of Model Brochure Available NowEnglish version Before the end of 2009German, French and Spanish versions During Q1 2010Dutch and Italian versions Other languages on request:For further information on translation, please contactalicia.korzeniowska@efqm.org

Training for AssessorsYou can sign up for these today! Upgrade Course for Assessors10.11.2009 (fully booked) 16.11.2009 1.12.20098.12.2009 (UK)15.12.2009 (fully booked)N.B. All Training Events at EFQM in Brussels unless indicated otherwise. Pleasenote that all trainings are available in-house upon request

Other Training EventsYou can sign up for these today! EFQM Assessor Training 18.11.2009 – 20.11.2009(fully booked) 02.12.2009 – 04.12.2009 16.12.2009 – 18.12.2009 Assessment Masterclass 25.11.2009 – 27.11.2009 Start your Journey to Excellence 14.10.2009 – 16.10.2009 9.12.2009N.B. All Training Events at EFQM in Brussels unless indicated otherwise. Pleasenote that all training is available in-house upon request

Customised AssessmentsEFQM can develop a tailored assessment to support yourorganisation’s journey to excellenceAdvantagesExternal feedback by some highly experienced EFQM assessorsCan be done quickly and swiftly and can be planned ‘at any time’Uses existing documentation; no need to compile a submission documentCan be customised to focus on some selected strategic themesContact paul.gemoets@efqm.org for further information63

Assessment Tool KitsStarting theJourneyOn the WayAdvancedWe are updating and fullyrevising the DeterminingExcellence questionnaireOlympic TestCustomised assessment by peersStrategy-based Assessment….Contact paul.gemoets@efqm.orgFree assessment tools onEFQM website before endOctober 2009Implementation guidelines will be developed over time64

Implementation Guidelines The Core Team will be seeking input whereimplementation guidelines would be useful. These will be driven and developed by specific membergroups.EFQM will provide support, including guidance andtemplates.Contact one of the core team with your ideas. Marie and Jacques are already planning a working groupto develop the guidelines for Public Sector Organisations:If you want to be involved, get in touch.65

Principles for future update The EFQM Excellence Model will be reviewed andupdated at least every three years. All stakeholders will be involved in the process. The Assessor Community will be able to input ideas at theLearning Edge and following the Award Cycle. The Core Team will meet on a regular basis within thisannual cycle to review and prioritise the inputs. The conclusions from this review will be shared with ourstakeholders.66

Questions?

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