2008年10月29日星期三

ANQ 2008 (Part 2 - Opening Ceremony)

There were all activities that I joined in the congress as follows.
The opening ceremony of ANQ 2008 was held on 29 Oct 2008 in the hotel named “Swissotel Le Concorde” in Bangkok, Thailand. I had met many friends and taken some photos for memory.

Minda and I in the hall





Take a photo with ANQ friends

From Left: Bala Ram Shrestha (Nepal), Minda & I, Azat Abdrakhmanov (Tashkent), Nadeem Ishaq (Pakistan)

The first keynote speaker was Mr. Kan Trakulhoon (President & CEO, The Siam Cement Public Co., Ltd.) and his topic was “Quality People, Key to Excellence”.


Some key points by Kan’s presentation I had recorded down below.
· People are not your most important Asset – The Right people are.
· Self-disciplined people don’t need to be managed.
· Corporate Values will help guide business direction and people behaviors.

Key to Excellence is:
· Selecting the right people
· Continuously developing people with competence and integrity
· Enabling them to grow with the company
Long term commitment form top leader is the key to talent development.
Finally, it was concluded that “The Key to Excellence = Quality People”.
The second keynote speaker was Dr. Chitrapongse Kwangsukstith (CEO, Upstream Petroleum and Gas Business Group, PTT Public Co., Ltd.) and the topic was “Achievement to Workforce Excellence”. He said that the PPT Group value is SPIRIT. It stands for Synergy, Performance Excellence, Innovation, Responsibility, Integrity & Ethics, as well as, Trust & Respect.


At least, the key to excellence was summarized in the company’s name “PTT” which means a High Performance Organization, TQA Management System, and TPM Activities.


“Review and Prospect of Statistical Quality Methods” was presented by the third keynote speaker Dr. Shu-Kai S. Fan (Dept of Industrial Engineering & Management, Yua Ze University, Taiwan).
His talk reviewed statistical process control (SPC), engineering process control (EPC), design of experiments (DOE) and response surface methodology (RSM).



Prof. Yoshinori Iizuka (School of Engineering, the University of Tokyo) was the forth keynote speaker. His topic was “Meditation on “Quality” – Being fascinated by its profound concept.


He took about Doughnut symptom that Quality Control without Quality and rethinking why “Quality = Customer Satisfaction”. He summarized three important quality concepts as Customer Satisfaction, External Criterion and Purpose Oriented.
There may be two interpretations of “quality management”: “management for quality” and “quality of management”. Prof. Iizuka preferred “management for quality”, that is a management for providing good quality of products/services.




Prof. Iizuka concluded that “Quality management makes people and organization wise”.


The last keynote speaker in the opening ceremony was Mr. Kaphong Choi (Chairman & CEO, Korean Standards Association) and his talk entitled “Environmental Changes and Development Strategies of Quality Management”.


He discussed creative quality management focusing on customer values and focused on global “D” (Digital) generation has been emerging as a new customer group with enormous purchasing power. He also agreed “Key to Excellence = Quality People”.

After that the speaker reviewed 40 years of the Korean economy from quality inspection to six sigma. Since the middle of 1990s, a variety of management innovation tools have been implemented in Korea such as reengineering, benchmarking, restructuring, outsourcing, customer satisfaction management, TPM, TPS, CRM, BPR, SCM and blue ocean strategies, etc.

After the opening ceremony and keynotes topics, we had taken a group photo of all ANQ members.



The first technical presentation session was started in afternoon. I had attended the session called “Quality People – valuing and development” and I was the last speaker in this session. Dr. Pirom Chamsai was the session chair.



The first speaker (C. Sivakumar – CEO, Prabha Engineers) shared the topic – Quality Through Inclusion: Creating a “Happiness Cult”. The Prabha code for quality come from two sources: one is “a culture of inclusive growth” and the other is a series of initiatives that engender “a cult of happiness”.


He described “People Way” in three components as follows:
i) Internal Enabler
· Opening shot
· Trigger
· Fun@work
· Training thro’ magic
· Training thro’ theatre
· Outbound training
· Sports Day
· Yoga, etc.
ii) External Enabler
· Parent letter
· Parents Day
· Spouse Training
· Generation Next
iii) Consistency Culture
· Problem Solving
· Celebrating failure
· Inclusive growth

And then he concluded that “We manufacture Happiness”.


Mr. Loo Choon Chwi was the second speaker and his topic was “Jobs Organization – The First Tool of People Motivation and Commitment”.


He said that the lack or poor “Jobs Organization” resulted in conflict, confusion, frustration, motivational and commitment problems within the organization amongst the employees. Employees Job descriptions, hiring, deployment, development, performance mentoring, measurement, appraisal affected their motivation and commitment and thus were related to job organization.



There were six points for Job Organization:
1) Define needed processes covering business scope
2) Define business needs vs hierarchy
3) Define business needs vs personnel dimensions hierarchy
4) Job description – key motivating tools
5) Job description content
6) Job interview


The third speaker (Mr. James Lee, SQI) and his talk entitled “Implementing Human Resource Strategies to achieve Business Competitiveness and Sustainability”.
The three key recommendations by the Tripartite were:
1) Implement variable bonus linked to key performance indicators (KPI)
2) Introduce the Monthly Variable Component (MVC) in Wage Restructure
3) Narrow the maximum – minimum salary ratio for the majority of their employees to an average of 1.5 or less.

Dr. Yang-Kyun Kim (Dept. Of Health Services Management, Kyung Hee University) was the forth speaker for the topic “A Study on Organizational Loyalty of Hospital Employees; focusing on Overall Members at a University Medical Center in Seoul Metropolitan Area”.


The study observed the following key points:
1) Clear-cut organization vision and mission established by the top management
2) Teamwork in reference to the relationship amongst team members
3) Autonomy for job performance and related empowerment
4) Fairness in wages and promotion


I was the last speaker in this session and my topic was “A Conceptual Model on Development of Quality Professionals”.



The various gaps in the Quality Professional Gap Analysis Model were introduced

Gap 1: Differences between Industry’s expectations of competent Quality Professionals, and Educational Institution’s perceptions of those expectations
Gap 2: Differences between Educational Institution’s perceptions of the requirement of Quality Professionals and the design of quality related study programs
Gap 3: Differences between Educational Institution Graduates’ ability and Industrial employment requirements for Quality Professionals
Gap 4: Differences between the abilities of Competence Quality Professionals required by industry and Quality Society recognition (e.g. HKSQ Certified Six Sigma Green Belt, HKSQ Certified Laboratory Quality Specialist, etc.)
Gap 5: Differences between Industry’s expectations of competent Quality Professionals and the average performance of practicing Quality Professional
Gap 6: Differences between the abilities of professionals recognized by Quality Society and Industrial employment requirements for Quality Professionals


Then, I presented the case study among HKSTP, HKSQ and CityU for explaining the model.

Dr. Pirom Chamsai presented the certificate to me.


After all technical session, we enjoyed “Welcome Reception – Swimming Pool Dinner”.
Some Thai traditional music and dancing were performed.




My wife was taken photo with one of dancers.


We had taken a group photo for memory.

From Left: Dr. Kano and his wife, Dr. Wang, Mind and I, Dr. Chang

ANQ 2008 (Part 1 - AGM & Cruise Dinner)

I would like to summarize the activities of the 6th ANQ Congress organized by The Standards and Quality Association of Thailand (SQAT) from 28th to 31st October 2008.

I arrived the venue of congress on 28th October for ANQ Annual General Meeting. Minda and I had taken a photo in front of the ANQ banner.


During AGM, Prof. Yury Gusakov (the representative of Russian Organization for Quality (ROQ) and Chairman WAQ Coordinating Committee) introduced World Alliance For Quality (WAQ) to us. WAQ is an International Quality Organization set up several years ago by European, Asian and American regional Quality Organizations (http://waq.asq.org/), including the American Society for Quality (ASQ), the European Organization for Quality (EOQ), the Asian Network on Quality (ANQ), the Asia Pacific Quality Organization (APQO), the International Academy for Quality (IAQ) and the Union of Japanese Scientists and Engineers (JUSE), and started from the historical Global Quality Summit held in Houston, USA in May 2008.

The main objectives of WAQ are shown in follows:
i) To answer the needs for continuing developments and innovation that can affect the future growth and will support global quality improvement initiatives at both the individual member and organizational level
ii) To foster the use of quality philosophies, techniques and tools to benefit society at large
iii) To be a leader in communicating quality related issues and work with the entire world, and with recognized Regional and National Quality societies to promote quality in the most broad applications.

The motto “QUALITY HAS NO BORDERS” was proposed to celebrate World Quality Day on 13 November 2008.

After AGM, we had taken a group photo.


Minda and I also took a photo with friends from Thailand & Vietnam.

From Left: I & Minda (HKSQ), Pirom Chamsai & Chureerut Suwanvithaya (SQAT)


From Left: Ngo Van Nhon (VQAH) & Lotto (HKSQ)
In that night, we were invited by the 6th ANQ Congress Organizing Committee for the Dinner Cruise named “The Horizon Cruise” for Thailand’s Chao Phraya River. Minda and I had dressed ANQ Polo shirt to join this activities. Some photos are shown as follows.
Dr. Pirom Chamsai gave the opening speech and then we enjoyed the food. We had a great time.




After that, I had taken photos with different friends in ANQ.


From Left: Yury Gusakov (ROQ) & I (HKSQ)


From Left of the first row: Wen-Kui Chang, Iuan-Yuan Lu & Chin-Han Wang (CSQ)
The second row: My wife and I (HKSQ)


From Left: I (HKSQ), Azat ABDRAKHMANOV & his wife (Tashkent)


After coming back to our hotel, we found the quality control of odor in here (See photo below)


Minda and I took a photo in conference hotel.

2008年10月24日星期五

Implementation of Business Continuity Management

Business Continuity Management (BCM) becomes more and more significant due to the financial crisis. BSI (HK) Ltd. (www.bsigroup.hk) has provided BCM introduction and implementation training to promote the new standard entitled “BS 25999 Business Continuity Management – Part 1: Code of Practice and Part 2: Specification”. I would like to share what I have learnt from this course on 16-17 Oct 2008.
Firstly, the business continuity lifecycle was introduced in Fig.1.

There were 6 elements:
1) Business Continuity Program Management is a framework for this lifecycle
2) Understanding the Organization (including Business Impact Analysis (BIA),
Risk Assessment (RA) and Determine choices)
3) Determining Business Continuity Strategy (Organization is in a position to choose the
appropriate continuity strategies to enable it to meet its objectives.)
4) Determining and Implementing a BCM Response (including Incident Management Plan
(IMP) and Business Continuity Plan (BCP))
5) Exercising, Maintaining, and Reviewing BCM Arrangements
6) Embedding BCM in the Organization’s Culture (BCM becomes part of the core values
and effective management of the organization)

The training course employed action study to clarify the logical flow so as to understand an organization as follows: (See Fig. 2 & 3)


1) Scope, policy stakeholders, regulatory requirements
2) Define method for determining impact of disruption
3) Identify key products and services
4) Identify activities that support key products and services
5) Identify impacts from disruption to activities
6) Establish maximum tolerable period of disruption (MTPD) for each activity
7) Determine critical activities
8) Identify dependencies relevant to critical activities
9) Determine BC arrangements for external parties
10) Set recovery time objectives (RTO) for critical activities
11) Estimate resources required to recover each critical activity
12) Define and documents method for risk assessment
13) Identify impact of threat to critical activities
14) Determine choices


MTPD and RTO are two of the most important concepts for BCM.
(Photo source from http://www.calamityprevention.com/blog/images/BNM%20MTD.jpg)

The following figure showed the sequence of events of an Incident.

Incident Management Plan (IMP) would start to response an incident once it happens. It included:
· Task and action lists;
· Emergency contacts;
· People activities;
· Media response, etc.
For example, a rumor of BEA:
The prosecution alleged the 18-year-old man posted an online message claiming that BEA was facing closure on September 25, a day after the bank experienced a bank run.
BEA’s IMP was executed quickly and effective. The chairman (David LI Kwok-po) declared it is a rumor in that night and would buy more shares of the bank. During bank run, some actions were taken: 1) extended the service time; 2) returned deposit without limited; 3) registered customers who were not able to be serviced on that day. After chairman and government declarations, it seemed no need to start the BCP.

Business Continuity Plan (BCP) which includes:
· Action plans;
· Resource requirements;
· Responsible person(s);
· Incident log / decision record, etc.

Keys to Success :
1) Defined business continuity system (Say it)
2) Selective documentation (Write it)
3) Conforming implementation (Do it)
4) Effective results (Do it well)
5) Records as evidence (Prove it)
6) Internal audits (Check it)

It is a very good course I recommended to you.

2008年10月19日星期日

Solutions for Profits Seminar (I)

I joined a seminar entitled “Solutions for Profits” which was organized by International Supply Chain Education Alliance (ISCEA) on 18 Oct 2008. The speakers were my classmates in Certified Lean Master program who shared their project and achievement.

In the beginning, Mr. Henry Soo (Director of Operation, ISCEA.HK) gave an opening speech called “Story: Who touch my cheese?” He demonstrated “Harmony Couple” through “Satisfactory allocation” and “Win-win solution” by using “holistic operation mechanism and education for people to achieve problem solving capability”.

The keynote speaker, Mr. Mike Sheahan (Authorized CLM tutor) gave a talk named “Peak Oil: The impact on Global Supply Chains”.


The following points were summarized.
· Hubbert’s Law: Once you extract half the oil from a given field, production begins to decline.
· Non-energy cost reduction
- Even higher levels of quality
· Agility / Quick Response
- Reliable delivery / small lots
· Eliminate waste

He also introduced TLS which was a strategy combined TOC, Lean & Six Sigma.
TOC:
· Constraint: Energy supply & cost
· Get the most from what you have
· Seek alternative
· Maximum throughput
Lean:
· Focus on Value Added process
· Reduce Non Value Added process
· Quicker delivery of mixed loads
Six Sigma:
· Uncover hidden problems
· Correct root cause
· Reduce variation

He also quoted Mr. Masaaki Imai’s (President of Kaizen Institutes) 3 important conditions for Kaizen strategy which were:
1. Top Management Commitment
2. Top Management Commitment
3. Top Management Commitment


The second speaker was Mr. Tom Ho Fai (Engineer, SAE Magnetics (HK) Ltd.). His project aimed to improve equipment maintenance efficiency and parts inventory. Some problems were identified such as manual records and manual daily data input, inaccurate inventory quantity, sudden machine down and no parts number, etc.



Create Flow – Information flow
· Using barcode system & system record instead of manual
· 5S
Leverage Pull
· Pull signal for part request
· Reduce engineer time in search parts

He obtained improved results as shown below:
· Warehouse management system implementation and value added (VA) ratio increased from 3.8% to 4.3%
· Store keeper efficiency enhancement that In/out process time reduced 70%
· Data handling and PR follow-up time reduced 75%
· Inventory accuracy improved from 95% to 99.5%

Tom concluded the key success factors were:
1. Clear defined value and value stream
2. Promotion & education on lean mid-set
3. Communication


The third speaker was Ms. Lydia So (GM of Production, Tungtex (Holdings) Co. Ltd.). The product type of Tungtex was OEM & ODM of ladies fashion, skill apparel, shirt, etc.


She defined the specify values as follows:
· Delivery lead-time (DLT) is one of the prime concerns of customers (norm is 100day)
She found that the current situations are:
· Production is by bundle flow in large production line and high WIP (work-in-progress)
· Due Day Performance (DDP) is 85%
· Long change over time (~3 day)
· Re-work rate is high (>80%)

Then she employed lean principle to using value stream, one piece flow, U-shape production line, kanban / supermarket pull system, etc.
After that the productivity improved 83%; rework rate reduced from 8% to 0%; change-over time reduced from 3 day to 30 min.

Lydia shared the lesson learnt as follows:
· Top Management Commitment
· Team work & front line staff participate
· Effective training before implement
· Strong logistic support is required
· Lean transformation is basically a cultural change

The last topic was TOC success story presented by Mr. Gary Chui (TOC Manager, Sabrina Scala Leatherwear Ltd.). He shared TOC experience to us such as Current Reality Study (CRS), Thoughput Dollar Day (TDD) and Simplified Drum-Buffer-Rope (SDBR) & Buffer Management (BM), etc.

Gary reported the result after the TOC project as follows:

1. WIP reduction 70%
2. Production lead time reduction 65%
3. Due-date performance 100% over 180 days (means that Throughput Dollars Days as zero over 180 days)
4. Throughput and Net Profit for the improved centre were increased with over 50%
5. People teamwork and collaboration are getting highest level compared with last year.

In his conclusion, he used the statement from John Foster Dulles - "The measure of success is not whether you have a touch problem, but rather if it is the same problem that you had last year."

Their future plan in process of on-going improvement with ultimate goal is making the current total sales level equals to Net profit in next 4-6 years.

The seminar was very success and we were looking for the second section on 22 Nov 2008.

For more information, please visit http://www.iscea.hk/ .

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