# Presentation: 559921

## Baldrige National Quality Program

***Program Impacts***

**Baldrige ****National Quality ****Program**

*Performance Excellence and Innovation*

## Baldrige Ranks Among Best Leadership Programs

- Recognized by* Leadership Excellence* magazine in 2007
- Placed in top-ten government/leadership programs
- Based on survey responses, interviews,   and site visits
- Ranked on seven criteria

**Notes:**
    A recent, independent ranking indicates the impact of the Baldrige National Quality Program (BNQP).
Leadership Excellence magazine in 2007 placed BNQP in the top-ten category of best government/military leadership programs in the United States.
The magazine used survey responses, interviews, and site visits to evaluate the programs.
Organizational rankings were based on seven criteria: vision/mission, involvement/participation, accountability/measurement, content/curriculum, presenters/presentations, take-home value/results for customers, and outreach of the programs and products.
Organizations within seven categories received recognition. Those categories are small to midsize organizations, large organizations, education/universities/schools of management and business, nonprofit organizations and professional associations, government/military organizations, independent consultants/trainers/coaches, and large consulting groups.
Other top-ten programs named by Leadership Excellence in the government/military leadership category in 2007 were the Defense Acquisition University, U.S. Air Force Academy, FBI Academy, U.S. Naval Academy/Seals, U.S. Marine Academy, U.S. Army/West Point, U.S. Army Rangers, U.S. Coast Guard/U.S. National Guard, and the National Defense University.

## Program Impact

- Program participants
- State, regional, and local Baldrige-based programs
- International interest

**Notes:**
The Baldrige National Quality Program (BNQP) and the Malcolm Baldrige National Quality Award have been extremely successful in promoting performance excellence across the country and around the world. For example, since the Program’s inception in 1987, more than 2 million copies of the business/nonprofit, education, and health care Criteria for Performance Excellence booklets have been distributed to individuals and organizations in the United States and abroad. Plus, more then 1 million copies are accessed or downloaded annually from the Baldrige Web site.
The Program’s success can be attributed to a number of factors, including
the efforts of Award recipients and other Program participants in sharing their knowledge and successful practices with others 
the network of state, regional, and local Baldrige-based award programs
the growth of international interest in the Baldrige Program

## Program Participants	

- 72 Award recipients (76 Awards)
- 1,223 Baldrige Award applications
- More than 4,975 trained Examiners
- Widespread participation
- Private-sector contributions provide over 90% of Program support

**Notes:**
Participants in the Baldrige Program include a wide variety of individuals and organizations, such as Award applicants; Award recipients; members of the Board of Examiners, who evaluate the Award applications and prepare feedback reports; and state and local award programs.
Since the Program’s inception, 76 of the 1,223 applications have resulted in a Baldrige Award: 26 in manufacturing, 15 in service, 17 in small business, 7 in education, and 6 in health care. Four organizations (Solectron, The Ritz-Carlton Hotel Company, L.L.C., Texas Nameplate, Inc., and Sunny Fresh Foods, Inc.) have received the Award twice, making the total number of Award recipients 72.
The Baldrige National Quality Program, through 2007, has trained more than 4,975 Examiners in the Baldrige Criteria and processes. In addition, in 2007, the 36 states reporting through the Alliance for Performance Excellence trained more than 2,500 Examiners through their state, regional, and local award programs. Examiners often take knowledge from the Program to their own organizations and teach others about the Baldrige process. 
There are current Examiners and Award recipients in 47 states and in the District of Columbia.
The Program has spread to all sectors of the economy, with distribution of the Criteria for Performance Excellence to business, education, health care, government, and nonprofit organizations.
Over 90 percent of Program support, including in-kind contributions, comes from the private sector. This includes the volunteer time of the members of the Board of Examiners.

## Award Recipients’ Contributions

- Increase competitiveness of U.S. organizations
- Give presentations to all sectors
- Give presentations at The Quest for Excellence® and the regional conferences
- Influence customers/suppliers
- Host seminars and workshops
- Write articles

**Notes:**
Through the sharing of best practices and knowledge of the Baldrige Criteria, Award recipients have helped increase the competitiveness of U.S. organizations. For example, Award recipients often host seminars and workshops to help other organizations understand and use the Criteria.
Collectively, Award recipients have given thousands of presentations. Audiences have included businesses, education and health care organizations, and government agencies and other nonprofit groups.
Award recipients also share best practices at the annual Quest for Excellence Conference® (QE) and at regional conferences. Attendance at QE has averaged more than one thousand people per year. Regional conferences are held at various U.S. locations each year.
The use of the Baldrige Criteria by Award recipients has had a positive influence in several ways on these organizations’ customers and suppliers. First, the use of the Criteria has helped the organizations improve their processes related to customers and suppliers and their relationships with these groups. In addition, some organizations, through such mechanisms as Baldrige-based awards for their suppliers, have encouraged their supplier organizations to use the Criteria.  
Many Award recipients also have helped the Program by writing and publishing articles on the Criteria and on the Baldrige National Quality Program. 

## Award Recipients’ Results

- The 2007 Award recipients report dramatic results from their investment in performance excellence.

**Notes:**
The following slides provide examples of results for the current Award recipients:
PRO-TEC Coating Co., Leipsic, Ohio (small business)
Mercy Health System, Janesville, Wisc. (health care)
Sharp HealthCare,  San Diego, Calif. (health care)
City of Coral Springs, Coral Springs, Fla. (nonprofit)
U.S. Army Armament Research, Development and Engineering Center (ARDEC), Picatinny Arsenal, N.J. (nonprofit)

## PRO-TEC Coating Company: Market Focus

***PRO-TEC Coating Company: Market Focus***

**Notes:**

   (In the figure above: HDG = “hot-dip galvanizing” and AHSS = “advanced high-strength steel.”)
PRO-TEC produces and sells above 100% of its equipment’s design capacity. The company sells 100% of what it manufactures. As such, PRO-TEC has evolved to produce more of the most difficult products (i.e., more value-added) for the most progressive and demanding customers.
In its first few years of existence, PRO-TEC produced generic steel grades. In response to growing demand, a second line built in 1998 increased its capacity by 67%, making PRO-TEC the largest galvanizing facility in North America at that time.
When asked about market share growth, PRO-TEC answers, We are listening to the voice of the customer.
PRO-TEC adopts the toughest customer standards and quickly adapts to any product without significant changes to its production processes.

## Mercy Health System: 

***Workforce-Focused Outcomes***

**Notes:**
Mercy Health System (MHS) leaders use the servant-leadership approach to empower employees by cultivating an attitude and philosophy of employees as partners. This encourages partners to keep communication flowing, support each other, stay self-motivated, become involved in issue resolution and decision making, and treat each other with respect. The partnering model builds relationships of trust through two-way, open communication among partners and leadership groups, and recognizes and rewards excellent performance.
Workforce Engagement
Annually, MHS assesses and implements action plans to improve workforce engagement. Analysis of the partner survey has resulted in the implementation of departmental partner idea programs, enhancement of two-way communication systems to encourage involvement and feedback, and increased departmental Culture of Excellence (COE) and service excellence training to improve workforce engagement.
Partner Survey 
MHS ranks at the 96th percentile for Feeling Valued and the 95th percentile for Overall Satisfaction, according to American Medical Group Association (AMGA) benchmarking data, which provide percentile rankings based on top-box responses only. MHS physician satisfaction ranks above the AMGA 95th percentile. COE improvements, benefit enhancements, and leadership development have enabled MHS to maintain top-decile levels in partner satisfaction.

## Sharp HealthCare:Quality Pillar Dashboard Report 

***Sharp HealthCare:******Quality Pillar Dashboard Report ***

**Notes:**

The Quality Pillar includes cause and effect between treatment and outcome, and severity adjusted-outcome comparisons within MEDai’s* 3 Disease States, CalNOC** Core Unit Level Indicators, Core Measures,  and Patient safety variance data trends and themes.
Success and sustainability are monitored through ongoing measurement of key Dashboard Indicators. Sharp conducts internal, continuous monitoring of 16 different indicators across 35 different disease states with control charts.
Dashboard indicators are reviewed weekly, monthly, quarterly, or annually, depending upon the nature of the data and the need for an agile response.  
Numerous metrics are monitored in Sharp’s Report Card and Dashboards. Where Sharp results are listed, this represents an aggregation of all entities’ performance. Sharp uses the MEDai database for national severity-adjusted clinical comparisons. Additionally, Sharp uses national clinical databases and state comparisons.

* MedAI: A health information company that offers solutions to the payor and provider markets that incorporate disease-focused severity adjustment, benchmarking, and evidence-based processes of care to improve outcomes in a hospital-based setting.
** CalNOC: California Nursing Outcomes Coalition

## City of Coral Springs:Crime Rate per 100,000 Residents

**Notes:**
The City of Coral Springs’s crime rate is the lowest in Florida and the fourth lowest in the nation for cities with populations of 100,000–499,999. Coral Springs had the tenth lowest crime rate in the United States overall, in all categories. One reason the city attracts new customers is because of its great reputation for having a low crime rate. (Comparable data on criminal activity are available on every community in Florida through the Florida Department of Law Enforcement and on every city in the nation through the Uniform Crime Reporting [UCR] system of the United States Department of Justice and the Federal Bureau of Investigation.) 
The Benchmark Cities Survey is another source of comparison data on police departments. It was created by the Overland Park Police Department to compare cities of similar nature in terms of resources, crime rates, and levels of sophistication. The group was formed to identify best practices. The first meeting of the Benchmark Cities Chiefs was a result of survey feedback. The Chiefs now come together annually to discuss the survey  results and to share information on common problems and best practices. This process has created a dynamic of cooperation among the participating cities.

##  U.S. Army Armament Research, Development and Engineering Center (ARDEC): Customer and Market Focus

** ****Market Focus Linked to Business Development **
** ****Diversity in Revenue**

**Notes:**
By understanding and designating its market segments, ARDEC was able to organize its Business Development efforts to optimally penetrate each market segment.
ARDEC’s revenues continue to increase as a direct result of its Enterprise Excellence initiative, including its Strategic Management System. 
The figure shows a continuous upward trend in revenue by customer segments of Army and non-Army. The increasing level of ARDEC’s non-Army funding is important because ARDEC has diversified its customers in light of future constrained Army budgets. 

## State, Regional, and Local Programs

- National coverage
- A feeder system
- Leveraging the national program

**Notes:**
The number of state, regional, and local award programs has grown tremendously. In 1991, only eight state and local award programs existed. Today there are 41 state and local/regional quality award programs. These programs have been especially successful in reaching out to locally based small and medium-size businesses, as well as education and health care organizations, which were not eligible for the Baldrige Award until 1999.
The state and local programs have become a feeder system to the Baldrige Award. In the last 12 years, 39 out of the 52 Baldrige Award recipients also have won their highest-level state quality award. Following are the year-by-year breakdowns:
1996: all four of the Baldrige Award recipients were state award recipients
1997: three out of four Baldrige Award recipients were state award recipients
1998: all three were state award recipients
1999: two of the four were state award recipients
2000: three of the four were state award recipients
2001: three of the five were state award recipients
2002: two of the three were state award recipients
2003: five of the seven were state award recipients
2004:  three of the four were state award recipients
2005: four of the six were state award recipients
2006: all three were state award recipients
2007: four of the five were state award recipients
In addition, as of April 2004, 76 international quality awards have been established, including the Japan Quality Award. According to an Australian study, 68 percent of them use the Baldrige Criteria. 

## States With State or Local Award Programs

- Note: Five states have more than one quality award program.

**Notes:**
Currently, there are 41 active programs in 41 states; 36 of these states report their data as part of the Alliance for Performance Excellence. 
All 41 programs are modeled on the Baldrige Program, and their criteria are based on the Baldrige Criteria for Performance Excellence.
The growth in the number of programs indicates an increased acceptance, both nationally and internationally, of the principles of performance excellence as defined by the Baldrige Criteria. 
In addition to the state and local network, an international network has evolved and as of April 2004, there are approximately 76 programs around the world; 68 percent of them are Baldrige-based.
There is a Baldrige-based award in Japan, in addition to the Deming Prize. Elements of the Baldrige Criteria also are used in the European Quality Award and Canadian Award for Excellence.
Baldrige has truly become a global benchmark, and the Criteria have become accepted as a worldwide standard for performance excellence.

## 2007 State, Regional, and Local Program Statistics

- 36 active state programs and 5 active local/regional programs in 41 states
- Received 245 award applications*
- Trained 2,585 Examiners*
- 31 recipients earned the highest level award in their states*
- *     Based on data from 36 states that report through the Alliance for Performance Excellence

**Notes:**
The state and local programs greatly extend the reach and impact of the Baldrige National Quality Program.
State and local programs have distributed tens of thousands of paper and electronic copies of the Baldrige Criteria, including more than 20,000 paper copies in 2007 alone. Almost all criteria at the state level are Baldrige-based, with some being word-for-word copies. This has helped the Baldrige National Quality Program reach a widespread audience.
Programs in 36 states report their statistics through the Alliance for Performance Excellence. These programs have reported the following:
A total of 245 high-level applications were received in 2007.
A total of 2,585 Examiners were trained in 2007. The tremendous effect of state and local training is apparent when you consider that the Baldrige National Quality Program, over its entire 20 years, has trained more than 4,975 Examiners, and state and local programs, over the past 14 years, have trained more than 22,000 Examiners.

## Business Award Recipients in Manufacturing

- 3M Dental Products Division (1997)
- ADAC Laboratories (1996)
- Armstrong Building Products Operations (1995)
- AT&T Transmission Systems Business Unit (1992)
- The Bama Companies, Inc. (2004)
- Boeing Airlift & Tanker Programs (1998)

- Cadillac Motor Car Company (1990)
- Clarke American Checks, Inc. (2001)
- Corning Telecommunications Products Division (1995)
- Dana Corporation—Spicer Driveshaft Division (2000)
- Eastman Chemical Company (1993)
- IBM Rochester (1990)

**Notes:**
Baldrige Award recipients are shown on this slide and the following six slides.
Former Award recipients continue to share with fellow recipients and with other organizations that want to learn. They meet once or twice each year to learn from each other and to discuss how they can help the Baldrige National Quality Program.
They also continue to share knowledge of the Criteria and information with the public about their best practices.

## Business Award Recipients in Manufacturing

- KARLEE Company, Inc. (2000)
- Medrad, Inc. (2003)
- Milliken & Company (1989)
- Motorola CGISS (2002)
- Motorola, Inc. (1988)
- Solar Turbines Inc. (1998)
- Solectron Corporation (1991 and 1997)

- STMicroelectronics—Region Americas (1999)
- Sunny Fresh Foods, Inc. (2005)
- Texas Instruments Defense Systems & Electronics Group (1992)
- Westinghouse Commercial Nuclear Fuel Division (1988)
- Xerox Corp. Business Products & Systems (1989)
- Zytec Corporation (1991)

**Notes:**
(Continuation of previous slide)

## Business Award Recipients in Service

- AT&T Consumer Communications Services (1994)
- AT&T Universal Card     Services (1992)
- BI (1999)
- Boeing Aerospace Support (2003)
- Caterpillar Financial Services Corp. U.S. (2003)
- Dana Commercial Credit Corporation (1996)
- DynMcDermott Petroleum Operations (2005)

- Federal Express        Corporation (1990)
- GTE Directories        Corporation (1994)
- Merrill Lynch Credit Corporation (1997)
- Operations Management International, Inc. (2000)
- Premier Inc. (2006)
- The Ritz-Carlton Hotel  Company, L.L.C. (1992 and 1999)
- Xerox Business Services (1997)

**Notes:**
(Continuation of previous slide)

## Business Award Recipients in Small Business

- Ames Rubber Corporation (1993)
- Branch-Smith Printing Division (2002)
- Custom Research Inc. (1996)
- Globe Metallurgical Inc. (1988)
- Granite Rock Company (1992)
- Los Alamos National Bank (2000)
- Marlow Industries, Inc. (1991)
- MESA Products, Inc. (2006)
- Pal’s Sudden Service (2001)

- Park Place Lexus (2005)
- PRO-TEC Coating Company (2007)
- Stoner, Inc. (2003)
- Sunny Fresh Foods (1999)
- Texas Nameplate Co., Inc. (1998 & 2004)
- Trident Precision Manufacturing, Inc. (1996)
- Wainwright Industries, Inc. (1994)
- Wallace Co., Inc. (1990)

**Notes:**
(Continuation of previous slide)

## Education Award Recipients 

- Chugach School District (2001)
- Community Consolidated School District 15 (2003)
- Jenks Public Schools (2005)
- Kenneth W. Monfort College of Business (2004)
- Pearl River School District (2001)
- Richland College (2005)
- University of Wisconsin–Stout (2001)

**Notes:**
(Continuation of previous slide)

## Health Care Award Recipients 

- Baptist Hospital, Inc. (2003)
- Bronson Methodist Hospital (2005)
- Mercy Health System (2007)
- North Mississippi Medical Center (2006)
- Robert Wood Johnson University Hospital Hamilton (2004)
- Saint Luke’s Hospital of Kansas City (2003)
- Sharp HealthCare (2007)
- SSM Health Care (2002)

**Notes:**
(Continuation of previous slide)

## Nonprofit Award Recipients

- City of Coral Springs (2007)
- U.S. Army Armament Research, Development and Engineering Center (2007)

**Notes:**
Nonprofit organizations became able to apply for the Baldrige Award in 2007. The City of Coral Springs and ARDEC are the first two recipients in this sector.

## Resources for More Information

- Most Baldrige National Quality Program (BNQP) documents are available both in printed form and on the BNQP Web site.
- To obtain these documents, call (301) 975-2036 or visit **www.baldrige.nist.gov.**