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INNOVATION IN THE WORLDOF QUALITYASQ RichmondSection 1104Apr 14 2015ASQJ ANE K E AT H L E Y , M S, P M PK E AT H L E Y AND C O M P ANY , L L CI NNO V AT I O N D I V I SI O N, T R E ASU R E RASQ Innovation DivisionTHE WORLD ISCHANGING Market Place Asia Population Growing Demographics Aging Technology Digital Environment WarmingIt is not the strongest that survive,nor the most intelligent,but the one most responsive to change.- Charles Darwin1
The Conference Board CEO Challenge 2012Compliments of Bill Woodall, Virginia TechWHAT IS INNOVATION? Exercise – divide into groups Discuss the 4 definitions provided Select the one you think is best Report out: your group’s selectionand whyASQ Innovation Division2
WHAT IS INNOVATION Innovation is the successful conversionof new concepts and knowledge intoproducts and processes thatdeliver new customer valuein the marketplaceInnovation and Value Creation Technical Committee(now Innovation Division), 2009ASQ Innovation DivisionINNOVATION IS . Innovation is the introduction ofsomething new; a new idea,method, or device. Merriam WebsterASQ Innovation Division3
OR IS IT .? ‘Innovation is change that createsa new dimension ofperformance.” Peter DruckerASQ Innovation DivisionOR MAYBE .? “The introduction oftransformational change intoinherently stable systems fromwhich a user derives meaningfulvalue.” Andrew MarshallASQ Innovation Division4
TYPES OF INNOVATION Product Process Services Operations Business model Often has the biggest impact PartnershipsASQ Innovation DivisionSYSTEMATIC VS. INNOVATIVE Prevailing attitude --theseare incompatible Experience shows: Not only compatible,but Systematic approachmore effectiveASQ Innovation Division5
THE FUTURE IS NOWNeed for changesidentified in the late90s Value creation Leadership Creativity toolsThe Future of Quality ManagementAV Feigenbaum, Quality Digest, May1998-Incorporating the Tools of Creativityinto Quality ManagementPaul Pisek, Quality Progress, March 1998ASQ Innovation DivisionWHAT CAN THEQUALITY PROFESSIONAL CONTRIBUTE? Leadership Strategy Planning andDeployment Management Elements andMethods Quality Management Tools Customer-FocusedOrganizations Supply Chain Management Training and DevelopmentASQ Innovation Division6
LEADERSHIP“All innovation begins withvision. It’s what happens nextthat is critical.”Eric Ries, Lean Start-UpASQ Innovation DivisionTHE INNOVATION STRATEGY7
MANAGEMENT EMPHASIS Quality focus isquality, efficiency,and cost Innovation focus is onincreased customervalue, efficiency,and speedASQ Innovation DivisionTOOLS Classic quality tools Management andPlanning tools Process managementtools Innovation andcreation tools Cost of Quality tools Measurements andAnalysesASQ Innovation Division8
INNOVATION MANAGEMENTMETHODOLOGIESINNOVATION PROCESS9
THE VALUE PROPOSITION; NABCMETHOD Need: What is the customer’s unmetneed? Approach: What is your idea? Benefits per Costs: How will it help thecustomers? What will it cost? Competition: What’s the risk of notdoing it?Write it quickly – 3 minutesRecite it quickly – 30 secondsASQ Innovation DivisionVALUE PROPOSITION EXAMPLENeed: Cell phone use while driving createsdangerous conditions. A hands-free device stillrequires the driver to dial the number.Approach: We propose voice-activated dialing for allnumbers stored and also for numbers dictated whiledriving.Benefits: With one touch, the voice-dialing app isopened. Over 98% of all speech patterns areaccommodated by the software. We wouldcharge 10 per year, and our cost is 1.98 perperson based on 10,000 subscribers.Competition: Competitors are pushingspeakerphones built into the car, and they aremarketing in states with hand-free laws.10
VALUE FACTOR ANALYSISValue Factor Customer Benefits /Customer Costs Benefits (product quality and convenience) importance * satisfaction Costs importance * expense Provides comparative measure of what isimportant to the customerASQ Innovation DivisionSERVICE BLUEPRINTING Service innovation tool Builds on customerinteractions Establishes links betweenon-stage, backstage,and support processesASQ Innovation Division11
CUSTOMER FOCUS Find the pain point VOC and complaintdata management Current, former, andpotential customerinput Identify (pro-actively)market place needsASQ Innovation DivisionSUPPLY CHAIN MANAGEMENTVendor management Supplierimprovements andlogistics Supply chaininnovations Introduction of newtechnologiesASQ Innovation Division12
TRAINING/DEVELOPMENT Training needsanalysis Curriculumdevelopment Training effectiveness InnovationProfessionalcertificationsASQ Innovation DivisionWHAT IS YOUR BEST ROLE IN THISPROCESS? Are you good at: Findingopportunities? Linking opportunitiesto solutions? Making solutionspractical? Getting solutions outthere?ASQ Innovation Division13
INNOVATION PEOPLETAKE-AWAYS Adapting to changes in ourworld of quality requiresinnovative thinking Effective innovation requiresa systematic approach A variety of personality typesare necessary We have an opportunity totake part in, even to lead theway towards greaterinnovationASQ Innovation Division14
ASQ INNOVATIONDIVISION Help understandinnovation and its ‘fit’with ‘quality’ Innovation and Quality ASQ Core Value Engaged ASQ Members Attracting new/youngmembers Members love it - HighEnergyOTHER RESOURCES Go to the Innovation Division website (and SignUp) asq.org/innovation-group The Executive Guide to Innovation – Keathley,et al., 2014; ASQ Quality Press, Amazon, or B&N Innovation Generation – Merrill, P., 2008; ASQQuality Press ASQ Think Tank White Paper, 2013 Keathley, J; Innovation and the QualityManager of the Future, ASQ Quality Progress,Jun 2012; p31-35.ASQ Innovation Division15
PLEASE JOIN USCome to Charlottesville, VA for the3rd Annual ASQINNOVATIONCONFERENCESeptember 18 - 20, 2015Holiday Inn University Area and Conference CenterASQ Innovation Division16
Quality Press ASQ Think Tank White Paper, 2013 Keathley, J; Innovation and the Quality Manager of the Future, ASQ Quality Progress, Jun 2012; p31-35. ASQ Innovation Division. 16 PLEASE JOIN US ASQ Innovation Division Come to Charlottesville, VA for
