Baldrige National Quality Program

1. Baldrige National Quality Program

2. Baldrige National Quality Program Who We Are History Baldrige Community Performance Excellence Baldrige Criteria Applying for the Award Program Achievements How to Learn More Self-Assessment Tools This presentation provides an overview of the Baldrige Program and answers the most frequently asked questions. What is the Baldrige Program? What is the history of the Program? Who are the Baldrige partners? What is performance excellence? What should I know about the Baldrige Criteria? Who can apply for the Baldrige Award? Who are the 2008 Baldrige Award recipients? What has the Baldrige Program achieved? How can I get more information on assessing my organization? This presentation provides an overview of the Baldrige Program and answers the most frequently asked questions. What is the Baldrige Program? What is the history of the Program? Who are the Baldrige partners? What is performance excellence? What should I know about the Baldrige Criteria? Who can apply for the Baldrige Award? Who are the 2008 Baldrige Award recipients? What has the Baldrige Program achieved? How can I get more information on assessing my organization?

3. What is the Baldrige Program? Operates as a unique public-private partnership Educates organizations on performance excellence management Manages the Malcolm Baldrige National Quality Award Baldrige is Performance Excellence: Organizations Achieve and the U.S. Succeeds The Baldrige National Quality Program is the first and only public-private partnership aimed at improving the performance of U.S. organizations. In 2009, the Program began using the tagline: Baldrige Is Performance Excellence: Organizations Achieve and the U.S. Succeeds. While the Baldrige Program is most widely known for managing the Malcolm Baldrige National Quality Award, it also provides global leadership in promoting performance excellence. It does this by identifying and sharing performance excellence practices, principles, and strategies. This sharing includes disseminating information on the Baldrige Web site and in hard copy, hosting conferences that showcase best management practices, training Baldrige Examiners annually, and supporting state and local award programs that vastly extend the reach and success of the Baldrige Program. Through these many avenues, the Program encourages all organizations�not only those that apply for the Baldrige Award or a similar award�to strive for performance excellence. The Baldrige National Quality Program is the first and only public-private partnership aimed at improving the performance of U.S. organizations. In 2009, the Program began using the tagline: Baldrige Is Performance Excellence: Organizations Achieve and the U.S. Succeeds. While the Baldrige Program is most widely known for managing the Malcolm Baldrige National Quality Award, it also provides global leadership in promoting performance excellence. It does this by identifying and sharing performance excellence practices, principles, and strategies. This sharing includes disseminating information on the Baldrige Web site and in hard copy, hosting conferences that showcase best management practices, training Baldrige Examiners annually, and supporting state and local award programs that vastly extend the reach and success of the Baldrige Program. Through these many avenues, the Program encourages all organizations�not only those that apply for the Baldrige Award or a similar award�to strive for performance excellence.

4. Program History The Malcolm Baldrige National Quality Improvement Act of 1987, Public Law 100-107 Created Award Program to identify/recognize role-model businesses establish criteria for evaluating improvement efforts disseminate/share best practices Expanded to health care and education (1998) Expanded to nonprofit sector (2005) What�s the history of this public-private partnership and Program? In the early and mid-1980s, many industry and government leaders saw that an emphasis on quality was necessary for survival in the U.S. marketplace and for doing business in an ever-expanding, more demanding, highly competitive global market. The U.S. Congress responded by passing the Malcolm Baldrige National Quality Improvement Act of 1987. The goal of the act was to enhance the competitiveness of U.S. businesses. The act established the Baldrige National Quality Program, which aims to identify role-model organizations and recognize them as examples for others to emulate establish criteria for organizations to use in evaluating their improvement efforts encourage the sharing of organizational best practices In 1998, the original legislation was expanded beyond business organizations to make education and health care organizations eligible to receive the Baldrige Award. Former President George W. Bush signed legislation granting nonprofit organizations (including charities and government agencies) eligibility to apply for the Baldrige Award. Following a pilot program in the 2006 Award cycle, all nonprofit organizations were fully integrated into the process in 2007. What�s the history of this public-private partnership and Program? In the early and mid-1980s, many industry and government leaders saw that an emphasis on quality was necessary for survival in the U.S. marketplace and for doing business in an ever-expanding, more demanding, highly competitive global market. The U.S. Congress responded by passing the Malcolm Baldrige National Quality Improvement Act of 1987. The goal of the act was to enhance the competitiveness of U.S. businesses. The act established the Baldrige National Quality Program, which aims to identify role-model organizations and recognize them as examples for others to emulate establish criteria for organizations to use in evaluating their improvement efforts encourage the sharing of organizational best practices In 1998, the original legislation was expanded beyond business organizations to make education and health care organizations eligible to receive the Baldrige Award. Former President George W. Bush signed legislation granting nonprofit organizations (including charities and government agencies) eligibility to apply for the Baldrige Award. Following a pilot program in the 2006 Award cycle, all nonprofit organizations were fully integrated into the process in 2007.

5. The public-private partnership is fundamental to the Program�s success. The U.S. government provides leadership, management, and partial funding. The private sector provides administration, oversight, Examiners, and additional funding. The following are the key partners. The Foundation, composed of leaders from prominent U.S. organizations, is responsible for raising funds to endow the Program permanently, overseeing the investment of endowed funds, and disbursing funds to the National Institute of Standards and Technology (NIST). NIST, part of the U.S. Department of Commerce, manages the Program. The Board of Overseers, composed of distinguished leaders from all sectors of the U.S. economy, is appointed by the U.S. Secretary of Commerce to evaluate the Program, provide policy guidance, and assess how well the Award is serving the national interest. The Board of Examiners is a group of more than 500 recognized experts who volunteer to assess Award applications and assist in the Program�s outreach and educational activities. The American Society for Quality (ASQ) provides logistical support to the Program in administering the Award Process under a contract with NIST. The Award recipients share information on their best management practices and performance results. Cooperating organizations, including professional organizations and trade associations, help disseminate Program information. For example, state and local award programs are Baldrige-based award programs that support organizations in the Baldrige process on a local level. They network with the national Baldrige Program and each other and receive Criteria and other training materials from the national program. The public-private partnership is fundamental to the Program�s success. The U.S. government provides leadership, management, and partial funding. The private sector provides administration, oversight, Examiners, and additional funding. The following are the key partners. The Foundation, composed of leaders from prominent U.S. organizations, is responsible for raising funds to endow the Program permanently, overseeing the investment of endowed funds, and disbursing funds to the National Institute of Standards and Technology (NIST). NIST, part of the U.S. Department of Commerce, manages the Program. The Board of Overseers, composed of distinguished leaders from all sectors of the U.S. economy, is appointed by the U.S. Secretary of Commerce to evaluate the Program, provide policy guidance, and assess how well the Award is serving the national interest. The Board of Examiners is a group of more than 500 recognized experts who volunteer to assess Award applications and assist in the Program�s outreach and educational activities. The American Society for Quality (ASQ) provides logistical support to the Program in administering the Award Process under a contract with NIST. The Award recipients share information on their best management practices and performance results. Cooperating organizations, including professional organizations and trade associations, help disseminate Program information. For example, state and local award programs are Baldrige-based award programs that support organizations in the Baldrige process on a local level. They network with the national Baldrige Program and each other and receive Criteria and other training materials from the national program.

6. Performance Excellence An integrated approach to organizational performance management that results in delivery of ever-improving value to customers and stakeholders, contributing to organizational sustainability improvement of overall organizational effectiveness and capabilities organizational and personal learning As mentioned previously, the Baldrige Program aims to identify and recognize organizations that demonstrate performance excellence, disseminate best practices, and help organizations achieve performance excellence. Baldrige staff are asked repeatedly the meaning of the term �performance excellence.� Performance excellence refers to an integrated approach to organizational performance management that results in (1) delivery of ever-improving value to customers and stakeholders, contributing to organizational sustainability and marketplace success (an external focus); (2) improvement of overall organizational effectiveness and capabilities (an operational focus); and (3) organizational and personal learning (a learning focus).As mentioned previously, the Baldrige Program aims to identify and recognize organizations that demonstrate performance excellence, disseminate best practices, and help organizations achieve performance excellence. Baldrige staff are asked repeatedly the meaning of the term �performance excellence.� Performance excellence refers to an integrated approach to organizational performance management that results in (1) delivery of ever-improving value to customers and stakeholders, contributing to organizational sustainability and marketplace success (an external focus); (2) improvement of overall organizational effectiveness and capabilities (an operational focus); and (3) organizational and personal learning (a learning focus).

7. The Baldrige Criteria Are considered a validated organizational performance assessment tool Define performance excellence Are used to identify Award recipients Are used by diverse organizations in all sectors of the U.S. economy Comprise an Organizational Profile and seven Categories�an integrated management framework Are updated regularly Congress tasked the Baldrige Program to develop the Criteria for Performance Excellence. The Criteria have two uses: (1) identifying Baldrige Award recipients to serve as role models of performance excellence and (2) helping organizations (including those that may never apply for the Award) to assess their improvement efforts, diagnose their overall performance management system, and identify their strengths and opportunities for improvement. Regardless of the size or nature of your organization, the Criteria can help you in your journey toward performance excellence. They can help you align resources; improve communication, productivity, and effectiveness; and achieve strategic goals. The Criteria are a de facto definition of performance excellence. In keeping with the continuous improvement philosophy of the Baldrige Program, the Criteria are updated regularly (every two years) through a consensus process to stay at the leading edge of validated management practice. Three versions of the Criteria represent each of the Baldrige Program�s main customer groups: business/nonprofit, education, and health care organizations. The primary differences are the use of language appropriate for each sector and integration of sector-specific themes. For education, these themes include learning-centered education and a focus on student learning. For health care, the themes include a focus on patient care and patient health care outcomes. The Criteria are basically a set of questions that focus on critical factors contributing to performance excellence. The questions are organized into eight parts. The first part is the Organizational Profile, where the questions focus on the key influences on how an organization operates and the key challenges it faces. The remaining questions are divided into seven Categories that ask about an organization�s processes relating to leadership, strategic planning, customers and the workforce, production of products, information systems, and results. The seven Categories are designed to work as an integrated framework for managing an organization. In 2008, approximately 100,000 paper copies of the Criteria for Performance Excellence booklet were distributed. In addition, 1.75 million copies were downloaded from the Baldrige Web site last year.Congress tasked the Baldrige Program to develop the Criteria for Performance Excellence. The Criteria have two uses: (1) identifying Baldrige Award recipients to serve as role models of performance excellence and (2) helping organizations (including those that may never apply for the Award) to assess their improvement efforts, diagnose their overall performance management system, and identify their strengths and opportunities for improvement. Regardless of the size or nature of your organization, the Criteria can help you in your journey toward performance excellence. They can help you align resources; improve communication, productivity, and effectiveness; and achieve strategic goals. The Criteria are a de facto definition of performance excellence. In keeping with the continuous improvement philosophy of the Baldrige Program, the Criteria are updated regularly (every two years) through a consensus process to stay at the leading edge of validated management practice. Three versions of the Criteria represent each of the Baldrige Program�s main customer groups: business/nonprofit, education, and health care organizations. The primary differences are the use of language appropriate for each sector and integration of sector-specific themes. For education, these themes include learning-centered education and a focus on student learning. For health care, the themes include a focus on patient care and patient health care outcomes. The Criteria are basically a set of questions that focus on critical factors contributing to performance excellence. The questions are organized into eight parts. The first part is the Organizational Profile, where the questions focus on the key influences on how an organization operates and the key challenges it faces. The remaining questions are divided into seven Categories that ask about an organization�s processes relating to leadership, strategic planning, customers and the workforce, production of products, information systems, and results. The seven Categories are designed to work as an integrated framework for managing an organization. In 2008, approximately 100,000 paper copies of the Criteria for Performance Excellence booklet were distributed. In addition, 1.75 million copies were downloaded from the Baldrige Web site last year.

8. Applying for the Baldrige Award Manufacturing Service Small business (manufacturing or service) Education (for-profit and nonprofit) Health care (for-profit and nonprofit) Nonprofit, including charities and government agencies The Baldrige Award is open to six categories of organizations: manufacturing service small business (manufacturing or service) Education (for-profit and nonprofit) health care (for-profit and nonprofit) nonprofit, including charities and government agencies Eligibility rules are slightly different for each category. A variety of considerations affect an organization�s eligibility, so it is best to review the eligibility requirements on the Web site or to contact the Baldrige Program if you have specific questions about your organization�s eligibility. Up to 18 Awards may be given each year across the six eligibility categories.The Baldrige Award is open to six categories of organizations: manufacturing service small business (manufacturing or service) Education (for-profit and nonprofit) health care (for-profit and nonprofit) nonprofit, including charities and government agencies Eligibility rules are slightly different for each category. A variety of considerations affect an organization�s eligibility, so it is best to review the eligibility requirements on the Web site or to contact the Baldrige Program if you have specific questions about your organization�s eligibility. Up to 18 Awards may be given each year across the six eligibility categories.

9. 2008 Baldrige Award Recipients Cargill Corn Milling North America, Wayzata, Minnesota (manufacturing) Iredell-Statesville Schools, Statesville, North Carolina (education) Poudre Valley Health System, Fort Collins, Colorado (health care) Cargill Corn Milling North America (CCM), a business unit within privately held Cargill Inc., manufactures corn- and sugar-based products serving food, feed, and fermentation markets. CCM delivers 60-plus products to more than 3,000 customers and yields revenues in excess of $1 billion. Select results and highlights: Earnings after tax nearly tripled from fiscal year 2003 to 2007, and CCM achieved a 99 percent error-free delivery rate from 2005 to 2008. CCM uses several management tools, such as the CCM Scorecard, Employee Engagement Survey, Behavioral-Based Safety process, Error Cause Removal process, and CCM Best Practice Model for employee teams. In June 2008, CCM rebuilt its Cedar Rapids, Iowa, facility after severe floods. CCM implemented disaster recovery processes, assisted employees and the community, and kept all of its workforce employed. Iredell-Statesville Schools (I-SS) is a K-12 public school system in southwestern North Carolina. I-SS offers a variety of courses and educational programs to meet student needs, including heterogeneously grouped classrooms, two at-risk-behavior schools, and virtual and early college settings. Select results and highlights: Student achievement rose to 9th from 55th out of North Carolina�s more than 100 school districts. The district�s total average SAT score in 2008 was better than peer district, state, and national averages. I-SS �focuses on learning� through face-to-face and virtual opportunities to collaborate on improving student learning. I-SS has achieved steady improvements in many areas. The district reached 90.6 percent reading proficiency on the state reading assessment in 2006-2007; narrowed reading proficiency gaps between African-American children and all students and exceptional children and all students; increased cohort graduation rates from 61 percent in 2002-2003 to 81 percent in 2007-2008; and improved SAT performance over the past five years by more than 60 points, compared to a 9-point decrease in the national average. Poudre Valley Health System (PVHS) is a locally owned, private, nonprofit health care organization. With a workforce in excess of 4,000, the system provides a full spectrum of health care services through two hospitals and a network of clinics and care facilities in northern Colorado, western Nebraska, and southern Wyoming. Select results and highlights: Top rankings include patient loyalty in the top 1 percent of U.S. hospitals (U.S. Centers for Medicare and Medicaid Services); national 99th percentile ranking in overall physician satisfaction (Gallup); highest inpatient satisfaction among 300 hospitals nationally (Avatar); in or near the top 10 percent of national performance standards for treating acute myocardial infarction, heart failure, and pneumonia; and multiple awards such as �America�s 100 Best Places to Work in Healthcare� (Modern Healthcare Magazine). PVHS decreased emergency visits by 50 percent and achieved cost savings through its community case management program. In 2007, total community support was greater than 25 percent of net patient revenue. Cargill Corn Milling North America (CCM), a business unit within privately held Cargill Inc., manufactures corn- and sugar-based products serving food, feed, and fermentation markets. CCM delivers 60-plus products to more than 3,000 customers and yields revenues in excess of $1 billion. Select results and highlights: Earnings after tax nearly tripled from fiscal year 2003 to 2007, and CCM achieved a 99 percent error-free delivery rate from 2005 to 2008. CCM uses several management tools, such as the CCM Scorecard, Employee Engagement Survey, Behavioral-Based Safety process, Error Cause Removal process, and CCM Best Practice Model for employee teams. In June 2008, CCM rebuilt its Cedar Rapids, Iowa, facility after severe floods. CCM implemented disaster recovery processes, assisted employees and the community, and kept all of its workforce employed. Iredell-Statesville Schools (I-SS) is a K-12 public school system in southwestern North Carolina. I-SS offers a variety of courses and educational programs to meet student needs, including heterogeneously grouped classrooms, two at-risk-behavior schools, and virtual and early college settings. Select results and highlights: Student achievement rose to 9th from 55th out of North Carolina�s more than 100 school districts. The district�s total average SAT score in 2008 was better than peer district, state, and national averages. I-SS �focuses on learning� through face-to-face and virtual opportunities to collaborate on improving student learning. I-SS has achieved steady improvements in many areas. The district reached 90.6 percent reading proficiency on the state reading assessment in 2006-2007; narrowed reading proficiency gaps between African-American children and all students and exceptional children and all students; increased cohort graduation rates from 61 percent in 2002-2003 to 81 percent in 2007-2008; and improved SAT performance over the past five years by more than 60 points, compared to a 9-point decrease in the national average. Poudre Valley Health System (PVHS) is a locally owned, private, nonprofit health care organization. With a workforce in excess of 4,000, the system provides a full spectrum of health care services through two hospitals and a network of clinics and care facilities in northern Colorado, western Nebraska, and southern Wyoming. Select results and highlights: Top rankings include patient loyalty in the top 1 percent of U.S. hospitals (U.S. Centers for Medicare and Medicaid Services); national 99th percentile ranking in overall physician satisfaction (Gallup); highest inpatient satisfaction among 300 hospitals nationally (Avatar); in or near the top 10 percent of national performance standards for treating acute myocardial infarction, heart failure, and pneumonia; and multiple awards such as �America�s 100 Best Places to Work in Healthcare� (Modern Healthcare Magazine). PVHS decreased emergency visits by 50 percent and achieved cost savings through its community case management program. In 2007, total community support was greater than 25 percent of net patient revenue.

10. Program Achievements Created a national and international standard for performance excellence Produced role models Shared best management practices Generated award programs Raised U.S. competitiveness Established outreach and education systems The Program was established in 1987. What have its accomplishments been since then? The Criteria for Performance Excellence are accepted not only in the United States but also worldwide as the primary standard for performance excellence. In addition to U.S. organizations that apply for the Award, thousands more use the Criteria for internal assessments. Award recipients serve as role models. They actively participate in sharing information and effectively demonstrate the importance of engaging in a continuous improvement process and of using assessment to gain a better understanding of customers, internal processes, and corporate culture. Growth in the state and local award programs throughout the country has been tremendous�from 8 programs in 1991 to more than 40 active state, local, and regional programs in 2009. While Baldrige participation cannot guarantee success, Award recipients and other organizations that have used the Criteria see the benefits, such as increased customer engagement, improved cycle time, and increased sales/market share. (Refer to the brochure Your Guide to Performance Excellence and other Slide Set modules for quotes to illustrate this point.) Although the Program is small, it has leveraged its influence to make a nationwide (and even global) impact and has promoted nationwide learning about the value of performance excellence.The Program was established in 1987. What have its accomplishments been since then? The Criteria for Performance Excellence are accepted not only in the United States but also worldwide as the primary standard for performance excellence. In addition to U.S. organizations that apply for the Award, thousands more use the Criteria for internal assessments. Award recipients serve as role models. They actively participate in sharing information and effectively demonstrate the importance of engaging in a continuous improvement process and of using assessment to gain a better understanding of customers, internal processes, and corporate culture. Growth in the state and local award programs throughout the country has been tremendous�from 8 programs in 1991 to more than 40 active state, local, and regional programs in 2009. While Baldrige participation cannot guarantee success, Award recipients and other organizations that have used the Criteria see the benefits, such as increased customer engagement, improved cycle time, and increased sales/market share. (Refer to the brochure Your Guide to Performance Excellence and other Slide Set modules for quotes to illustrate this point.) Although the Program is small, it has leveraged its influence to make a nationwide (and even global) impact and has promoted nationwide learning about the value of performance excellence.

11. How to Learn More Visit the Baldrige Program at www.nist.gov/baldrige Contact your state or local Baldrige-based program Attend a Baldrige regional or national conference Participate in an Award recipient sharing day/workshop Become a state/local or national Examiner You can learn more about the Baldrige Program and Award in a number of ways: Visit the Baldrige Web site for answers on how to start the Baldrige journey, resources to guide you on the journey, leadership insights in performance excellence, improvement tools, videos, Award recipient application summaries, and answers to frequently asked questions, as well as a wealth of information, materials, and publications. Contact your state or local Baldrige-based award program. These programs can provide assistance with self-assessment, networking opportunities, training, and consultation in addition to their award programs. For more information, click on the state and local tab on the Baldrige Web site. Attend a conference. Baldrige sponsors The Quest for Excellence? conference in Washington, D.C., every spring and regional conferences annually to showcase the Award recipients. Conferences give attendees an opportunity to learn about recipients� best practices and to network with other organizations. Become an Examiner. Examiners at both the state/local and the national levels receive valuable training and experience in understanding and applying the Criteria, and they strengthen their ability to use the Criteria within their own organizations. You can learn more about the Baldrige Program and Award in a number of ways: Visit the Baldrige Web site for answers on how to start the Baldrige journey, resources to guide you on the journey, leadership insights in performance excellence, improvement tools, videos, Award recipient application summaries, and answers to frequently asked questions, as well as a wealth of information, materials, and publications. Contact your state or local Baldrige-based award program. These programs can provide assistance with self-assessment, networking opportunities, training, and consultation in addition to their award programs. For more information, click on the state and local tab on the Baldrige Web site. Attend a conference. Baldrige sponsors The Quest for Excellence? conference in Washington, D.C., every spring and regional conferences annually to showcase the Award recipients. Conferences give attendees an opportunity to learn about recipients� best practices and to network with other organizations. Become an Examiner. Examiners at both the state/local and the national levels receive valuable training and experience in understanding and applying the Criteria, and they strengthen their ability to use the Criteria within their own organizations.

12. Self-Assessment Tools Easy Insight Your Guide to Performance Excellence Are We Making Progress? questionnaire Are We Making Progress as Leaders? questionnaire Criteria for Performance Excellence Regardless of the size or location of your organization, you can benefit from conducting a self-assessment using one or more of the following Baldrige tools. Complete the Easy Insight Organizational Profile to get started with your self-assessment. You�ll receive a comparison of your organization with others that have completed an Organizational Profile. You may identify gaps and develop action plans to address your opportunities for improvement. Read the brochure Your Guide to Performance Excellence to learn more about the benefits of self-assessment and the many tools, approaches, and resources available to help you get started using the Baldrige Criteria. You can use these tools and approaches to convince others in your organization of the value of conducting a Baldrige self-assessment. Are We Making Progress? is an easy-to-use questionnaire that can help you assess how your organization is performing and learn what can be improved. You can modify the questionnaire to address your specific needs. Are We Making Progress as Leaders? is a companion questionnaire that focuses on your senior leadership. It provides a tool to see if your perceptions agree with those of your employees. The Criteria for Performance Excellence are the basis for each of the assessment tools mentioned earlier.Regardless of the size or location of your organization, you can benefit from conducting a self-assessment using one or more of the following Baldrige tools. Complete the Easy Insight Organizational Profile to get started with your self-assessment. You�ll receive a comparison of your organization with others that have completed an Organizational Profile. You may identify gaps and develop action plans to address your opportunities for improvement. Read the brochure Your Guide to Performance Excellence to learn more about the benefits of self-assessment and the many tools, approaches, and resources available to help you get started using the Baldrige Criteria. You can use these tools and approaches to convince others in your organization of the value of conducting a Baldrige self-assessment. Are We Making Progress? is an easy-to-use questionnaire that can help you assess how your organization is performing and learn what can be improved. You can modify the questionnaire to address your specific needs. Are We Making Progress as Leaders? is a companion questionnaire that focuses on your senior leadership. It provides a tool to see if your perceptions agree with those of your employees. The Criteria for Performance Excellence are the basis for each of the assessment tools mentioned earlier.

13. Contact the Baldrige Program E-mail: baldrige@nist.gov Phone: (301) 975-2036 Fax: (301) 948-3716 Web site: www.nist.gov/baldrige It is easy to get additional Baldrige Program information and materials. The Program encourages you to contact staff by e-mail, phone, and fax, or through the Baldrige Web site. It is easy to get additional Baldrige Program information and materials. The Program encourages you to contact staff by e-mail, phone, and fax, or through the Baldrige Web site.