China Center for Operations Excellence

Transcription

1 China Center for Operations Excellence McKinsey China Leadership Institute A McKinsey Capability Center An innovative and lasting capability building program using the Beijing model factory set up jointly by McKinsey & Company and Tsinghua University

2 2 Experiential, hands-on training programs that help domestic and foreign companies in China build transformational capabilities to drive operational excellence The China Center for Operations Excellence Today, companies in China are under pressure along various fronts, from rising labor and resource costs, to low energy efficiency, to a lack of organizational capabilities. Surmounting these challenges often demands no less than a complete transformation in the way a company operates. Yet such efforts also carry a high risk of failure. Indeed, nearly two-thirds of all operational improvements fail, the main reason being the lack of talents and capabilities to drive transformation. This shortfall is evident across all levels of an organization: from the lack of a governing vision and consensus amongst the leadership, to the shortage of operations knowledge and skills in the mid-level managers and change agents, and to the inadequate executional capabilities of the frontline staff. Therefore, talent and capability development is crucial for launching successful operational improvement efforts. Furthermore, due to the practice makes perfect nature of operational optimizations, traditional methods based on classroom teaching and training for the sake of training have considerable limits. In order to be successful, training programs should be realistic, specific, and fully tailored to the organization s industrial sector and development stage. To help both domestic and foreign companies in China truly achieve operational excellence, McKinsey & Company has partnered with Tsinghua University to launch the China Center for Operations Excellence (CCOE), part of the McKinsey China Leadership Institute. The Center offers a unique experiential learning platform using a systematic, step-bystep capability development program through our state-of-the-art model factory. Its three smallscale production lines simulate a real production environment, and offer participants the opportunity to engage in hands-on operations improvement. Programs are led by experts with extensive experience in promoting operations excellence, both in China and globally.

3 3 CCOE at a glance Founded by two leading institutions in business and academia, CCOE offers unrivalled excellence in terms of its programs, facilities and location. Partnership between McKinsey and Tsinghua combining McKinsey s wealth of operations experience across the world with Tsinghua s leading academic research and deep knowledge of conditions in China Convenient location at the heart of Beijing s Zhongguancun area, near the campus of Tsinghua University. Note: The Industrial Engineering Department is representing Tsinghua University in the preparation and operation of CCOE Three inter-connected smallscale production lines that simulate real production environments. The machining line manufactures parts for the air valves produced in the discrete line, which are in turn used to produce iced tea in the process line. Each production line offers hands-on learning experiences that are broadly applicable across a range of industries. Three tailor-made training programs covering both lean and green aspects of operational excellence. Whether to produce operations experts, or to supplement existing in-house operations academies or on-going transformation efforts, there will be a suitable program at CCOE. I want this kind of training to be part of an academy for all of my engineers and engineering project managers. Senior executive of a large automotive company

4 4 Three tailor-made training programs We understand that needs vary across industries, lean development stages, and organizational levels. Yours may be a typical assembly industry, or a heavy equipment manufacturing industry that involves complex project management, or a high-temperature, high-pressure, continuousflow chemicals industry. You may be seeking in-depth improvements to a single pain point in your operations, or preparing to launch an across-the-board transformation that will impact the entire organization. With this diversity in mind, CCOE has designed three training programs that collectively cover a broad range of organizational needs: 1. Knowledge Building Program: Building a sure foundation for operations optimization CCOE s knowledge building program, with courses ranging from one to five days, offers highly customized, in-depth training that addresses the most critical development needs of your senior executive team, operations management group, and change agents. Participants directly engage in production at our three lines, taking part in the actual production of valve parts, air valves and iced tea. The program covers fundamental lean principles key within the production process such as learning 2. Capability Development Program: Develop your own operations experts The Capability Development Program is designed for companies with operational optimization projects seek to develop their talent pool through structured training programs. This program, with 12-or 22-day courses, trains participants through a multi-stage accreditation approach that helps them master capabilities they need to lead an operational transformation. In each of the stages, participants undergo extensive training on the shop floor, covering specific optimization concepts such as energy efficiency, waste identification, to visualize, quality problem-solving, value stream mapping, and flexible manpower. It also covers key managerial approaches such as performance management, and mindset and behavioral change. It is designed in a way that allows participants to both understand the key concepts of operational optimization, as well as witness its impact first-hand. The program gives participants at different levels of an organization the foundations they need as their organization embarks upon the journey towards operational excellence. standardization, lean leadership, and just-in-time production. Participants then introduce their newly acquired knowledge and skills into their actual working environments, applying them directly to their optimization projects, after which they return to the program for the next level of training. Upon completion of the training modules and required exercises, participants will become McKinsey and Tsinghua-certified change agents equipped with the mindsets and capabilities they need to successfully drive improvement efforts.

5 5 Through the McKinsey training, I experienced first-hand how even the smallest of changes can bring about large amounts of improvement. CEO of a large chemicals company 3. Transformation Support Program: Integrating the program into your own operations improvement program If a company has already launched or is about to initiate a transformation program with McKinsey, it may decide to integrate the CCOE training programs into the broader program. This would likely be a multi-phase project lasting several months and addressing a range of capability building topics, such as initiating change, sustaining improvement, project management, and so on. Through this engagement model, the company can close capability gaps by leveraging McKinsey s deep experience helping large industry-shaping companies in China to plan and implement far-reaching improvement programs. The Transformation Support Program ensures that capabilities are baked into the organization, providing lasting results. Good for you if you... Programs offered Time to offer A Knowledge building Want to know the best practice in Lean and Green Want to strengthen and supplement current operation capability A1 A2 A3 A4 A5 Lean Fundamental (1 day) Lean Essential (2 days Lean Advanced 5 days) Green Fundamental (1 day) Green Essential (3 days) July, 2012 July, 2012 October, 2012 September, 2012 November, 2012 A6 Green Advanced (5 days) December, 2012 B Capability development Have your own operational optimization case Want to develop the talent pool from structured training programs B1 Multi-staged accreditation program to help develop master capabilities to lead Ops transformation (12 or 22 days) Will customize to client s transformation needs C Transformation support Already started or about to start a transformation program Want to develop organizational capability and lead the change C1 Customized to client needs at beginning, middle, and end stages of transformation projects, combining training and on-site instruction to maximize impact Will customize to client s transformation needs

6 6 What makes CCOE distinctive? McKinsey and Tsinghua University have jointly designed the China Center for Operations Excellence to help domestic and foreign companies in China address the challenges they face whether they be state-owned enterprises, privately-owned domestic firms, or multinational companies. Five things make CCOE stand out: 1. Unique immersive experience CCOE s three production lines simulate a real operational environment and contain the same equipment as one would see in a typical factory floor. In the facility, participants have specific assignments and face the same challenges that occur in the field, such as unexpected slowdowns or jams in the production line. Participants can internalize best practices of lean operations and energy efficiency in a risk-free environment by observing production processes, analyzing problems, developing possible solutions, and evaluating results first-hand. Compared to traditional classroom learning, our experiential development model has proven to leave a stronger impression on participants and, in turn, help their companies generate much more significant and lasting transformational impact. 2. Broad relevance towards a wide range of industries CCOE s programs have been designed with the utmost care, drawing from McKinsey and Tsinghua s broad experience and deep expertise. Every step in the three manufacturing processes contains topics to be discussed and lessons to be drawn, creating a wealth of learnings that are applicable to a wide range of industries. For example, not only does the discrete line contain insights for assembly industries such as automotive or consumer electronics, but also its improvements in energy efficiency can provide insights for process industries, such as chemicals or steel, and for high asset investment industries, such as power generation and mining. Furthermore, the three interconnected lines combine to form a complete factory, thus allowing the demonstration of more general operational concepts such as production planning and inventory management. 3. From the boardroom to the shop floor Thanks to the breadth of its program offerings, CCOE can provide employees at all levels of an organization the opportunity to gain the insights and experience that are most relevant to them. We can help corporate executives gain an essential understanding of the key concepts of lean manufacturing, and to learn how to structure and manage corporate transformation programs, thus becoming capable of designing and architecting transformations. Moreover, we can also assist mid-level managers and change agents in learning in-depth about the key technical modules within lean operations and energy efficiency, build operating capabilities, and fully internalize the relevant tools, techniques and approaches, thus becoming truly capable of initiating and leading transformations. For example, the 1-to 5-day courses in the Knowledge Building Program help executives quickly understand the best practice of lean manufacturing and green operation. The 12- or 22-day Capability Development Program helps operational managers and change agents understand the various key drivers for operational improvement, while acquiring the relevant certification. 4. Part of McKinsey s extensive global model factory network McKinsey s global network of model factories includes over nine model factories spread across Europe, North America, and Asia, providing over 35,000 training man days each year across a dozen functional topics. Over the past five years, we have served over half of the global top 100 companies on nearly 3,200 capability building programs.

7 7 5. World-class faculty Many of our world-class faculty members have served as long-term counselors to CEOs of some of the most influential companies in China. They are able to draw upon their deep business insights on the most challenging operational issues, as well as provide unique expertise in coaching and meeting facilitation gained through extensive experience counseling senior executives. Dr. Karel Eloot Director Leads the Greater China Basic Materials Practice and Steel Service Line Leader of the Greater China Basic Materials Practice and Steel Service Line Alexandra Caroli Senior Expert Serves service and basic material clients on various operations excellence related topics Ken Somers Senior Expert Mainly serves in metals & mining and chemicals, with a specific focus on operations, in particular energy efficiency and waste management Markus Hammer Senior Expert Core team member of McKinsey s lean and energy efficiency model factories and author of several McK on Lean columns on McKinsey s Operations Extranet Arthur Wang Partner Leads Automotive & Assembly Practice Serves automotive OEMs and suppliers as well as energy companies on strategy, sales & marketing and operations Siva Chen Senior Expert Core expertise in lean and operations transformation Mainly serves clients in Ops transformation programs in energy and materials sectors Tony Tan Engagement Manager Core expertise in lean, quality, and capacity management Focuses on high tech, energy and materials, and assembly Maxine Fu Engagement Manager Core expertise in energy efficiency and performance transformation Focuses on alumina and basic materials, healthcare providers & payers, medical devices Min Su Engagement Manager Core expertise in resource productivity, reliability, and energy efficiency Focuses on automotive and assembly, high tech, energy and materials, consumer goods, telecom Hao Liu Expert and Engagement Manager Core expertise in quality and lean maintenance Focuses on automotive and assembly, high tech, energy and materials

8 8 How to reach us China Center for Operations Excellence Address: 1/F, 63 Zhichun Road, Haidian District, Beijing Contact: Siva Chen, Senior Expert Tel: 86 (21) Cell: Fax: 86 (21) For more information, visit our website at MCLI - China Center for Operations Excellence July 2012 Layout by New Media Australia Copyright McKinsey & Company