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OI 361 Team Week 5

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Chuck Norman

on 18 March 2013

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Transcript of OI 361 Team Week 5

Learning Team C Innovation Process for
PFCH Next Slide -> How do we keep innovation going? Remember! Need milk on the way home The 4 Phases of Measurement of Results How can we bring innovation to PFCH? Application OI 361
Deborah Levin Phased Project Planning Process Property of Patton-Fuller Community Hospital <- Previous Slide 1. Identify the steps
of the process 2. Apply the process
to the changes 3. Identify the tools &
techniques needed 4. How will we
measure the results? It is the shared goal of the project manager and project team to perform the steps necessary to meet the project’s objectives. The four phases represent the life cycle of a project from beginning to end (Barron, 2009). First phase: Initiation

defining the goals/milestones, requirements, an overview of the project, and detailed specifications. It begins the process by defining the needs, identifying the objectives, documenting the appropriate response and recommended solution options, and developing the results into a business case justification (Beach, 2013). Feasibility & Milestones Feasibility is determined by assessing if the project can be accomplished (Barron, 2009). Milestones are incorporated to measure progress and ensure the project is on course (Beach, 2013). Identifying the participating work groups and the deliverables of the accepted solutions, assigning a project team, setting up a project office, and conducting a phase review are the final steps of this phase ("Project Management Methodology: Project Life Cycle", 2013). Second Phase: Planning involves identifying all work to be done to meet the objectives, the tasks, resource requirements, the schedule and strategy for implementation, and estimation of the costs. This phase includes in-depth research for developing the proposal, engineering details, and financial quotations of the project. The project team should also involve brainstorming new ideas in the process to improve tasks and avoid unnecessary risks or activities (Miller, 2013). Incorporating risk management techniques to identify potential issues, along with corrective action and control measures, will lessen the likelihood of occurrence and reduce the impact if an issue should any arise (Barron, 2009). Adjustments are made for any issues found during the review. These steps will help the team prioritize the project, calculate the budget, determine the schedule, and assess the necessary resources. Third Phase: Execution includes detailed design, manufacturing and/or integration. This phase involves distributing tasks and responsibilities among teams, physically constructing and providing a deliverable, and/or integrating a process to a customer for acceptance. Maintaining control and communication are important during this phase. Updating and publishing the status of the project on a regular basis and reporting any variations or modifications from the original plan is important for keeping stakeholders up-to-date on the progress of the project. These reports should place emphasis on the end costs, schedule, and quality of deliverables (Barron, 2009). Toward completion of this phase it is important to inform and involve groups that will be impacted by the project to answer any questions, ensure goals are being met, and produce any necessary documentation and manuals. It is also important to perform a phase review before moving on to the final phase (Beach, 2013). Last Phase: Closure the final phase and occurs after all project activities are complete Emphasis goes to releasing control to the customer, supplying project documentation, releasing project resources, terminating supplier contracts, and informing the stakeholders of the closure (Barron, 2009). A project performance review is performed, which includes successes and failures and analyzes the implications of each on the final results of the project. A final report includes observations of any concerns or issues regarding the project along with recommendations for the success of future projects (Miller, 2013). References:

http://asq.org/healthcare-use/links-resources/tools.html

Barron, A. (2009). Connexions: The project life cycle. Retrieved from http://cnx.org/content/m31913/latest/

Beach, J. (2013). eHow money: What are the four stages of the project management life cycle?. Retrieved from https://ecampus.phoenix.edu/secure/aapd/cwe/citation_generator/web_01_01.asp

Building on Prather, C.W. & Turrell, M.C. (2002). Involve everyone in the innovation process. Research Technology Management, 1316.

Leifer, R., McDermott, C.M., Colarelli O’Conner, G., Peters, L.S., Rice, M. & Veryzer, R.W. (2000). Radical Innovation How Mature Companies Can Outsmart Upstarts. Boston, MA: Harvard BusinessSchool Press.

Miller, F. (2013). Chron: Small business. Retrieved from http://smallbusiness.chron.com/examples-four-phases-project-management-model-15203.html

Project management methodology: Project life cycle. (2013). Retrieved from http://www.mpmm.com/project-management-methodology.php

Von Stamm, B. (2008). Managing innovation, design and creativity (2nd ed.). Chichester, United Kingdom: Wiley. Initiation Definition of goals/milestonesOverview of the projectRequirements and specifications Planning In-depth research/brainstormingProposalEngineering detailsQuotation Execution Detailed designManufacturing and/or implementationReview and adjustments Closure Final results and productProject reviewFuture recommendations The four basic phases of the phased project planning process include initiation, planning, execution, and closure. It is the shared goal of the project manager and project team to perform the steps necessary to meet the project’s objectives. The four phases represent the life cycle of a project from beginning to end (Barron, 2009).Project initiation is the first phase of the project and involves defining the goals/milestones, requirements, an overview of the project, and detailed specifications. It begins the process by defining the needs, identifying the objectives, documenting the appropriate response and recommended solution options, and developing the results into a business case justification (Beach, 2013). Conducting a feasibility study by carefully examining the project ideas is important to determine if the solution options address the project objectives and needs, and also for determining a final solution. Feasibility is determined by assessing if the project can be accomplished (Barron, 2009). Milestones are incorporated to measure progress and ensure the project is on course (Beach, 2013). Identifying the participating work groups and the deliverables of the accepted solutions, assigning a project team, setting up a project office, and conducting a phase review are the final steps of this phase ("Project Management Methodology: Project Life Cycle", 2013).Following initiation, the project planning phase involves identifying all work to be done to meet the objectives, the tasks, resource requirements, the schedule and strategy for implementation, and estimation of the costs. This phase includes in-depth research for developing the proposal, engineering details, and financial quotations of the project. The project team should also involve brainstorming new ideas in the process to improve tasks and avoid unnecessary risks or activities (Miller, 2013). Incorporating risk management techniques to identify potential issues, along with corrective action and control measures, will lessen the likelihood of occurrence and reduce the impact if an issue should any arise (Barron, 2009). This phase also involves outlining the work that will need to be performed and creating planning documents that will help guide the team throughout the project delivery. These planning documents include the project, financial, quality, resource, risk, acceptance, procurement, and communications plans. This phase also includes contracting the developers and suppliers and conducting a phase review ("Project Management Methodology: Project Life Cycle", 2013). Adjustments are made for any issues found during the review. These steps will help the team prioritize the project, calculate the budget, determine the schedule, and assess the necessary resources.With initiation and planning complete the project implementation phase follows and includes detailed design, manufacturing and/or integration. This phase involves distributing tasks and responsibilities among teams, physically constructing and providing a deliverable, and/or integrating a process to a customer for acceptance. During the development of the deliverables several performance processes can be utilized to monitor and control the output. These processes include management of time, cost, risk, quality, issue, change, procurement, acceptance, communication, customers, and suppliers ("Project Management Methodology: Project Life Cycle", 2013). The project manager supervises the workforce, provides them with the needed resources, monitors performance, and informs the teams of the progress of the project. Performance reviews may indicate issues such as insufficient resources, budget, and unforeseen risks that will receive necessary adjustments (Miller, 2013). Maintaining control and communication are important during this phase. Updating and publishing the status of the project on a regular basis and reporting any variations or modifications from the original plan is important for keeping stakeholders up-to-date on the progress of the project. These reports should place emphasis on the end costs, schedule, and quality of deliverables (Barron, 2009). Toward completion of this phase it is important to inform and involve groups that will be impacted by the project to answer any questions, ensure goals are being met, and produce any necessary documentation and manuals. It is also important to perform a phase review before moving on to the final phase (Beach, 2013). Reviewing for quality and acceptance criteria adherence of the deliverables is the last step to procure customer acceptance of the final solution and results before project closure (Barron, 2009).Project closure is the final phase and occurs after all project activities are complete. Emphasis goes to releasing control to the customer, supplying project documentation, releasing project resources, terminating supplier contracts, and informing the stakeholders of the closure (Barron, 2009). A project performance review is performed, which includes successes and failures and analyzes the implications of each on the final results of the project. A final report includes observations of any concerns or issues regarding the project along with recommendations for the success of future projects (Miller, 2013).

Explain how you will apply the innovative process to change your selected organization.What does the Innovative process entail?Strategy and vision: Speaking Notes (Communicating the importance of having a strategy in regards to PFCH and the vision implemented)The ability to:oInspireo Motivateo Influenceoimprove Within the Organization this process is demonstrated byoArchitectural Innovation- Speaking Notes (development guided by technical and marketing agendas)oMarket niche Innovation- Speaking Notes (the use of existing technology, effect on production, and technical systems that help to maintain and strengthen current designs)oRegular Innovation-Speaking Notes (builds off of already established concepts)oRevolutionary Innovation- Speaking Notes (uses existing markets and customers, but renders the prior technical and productions obsolete)Application of the Process:Incremental Approach (small changes and adjustments to existing products, services or processes.) Leifer et al. (2000) oChange in phases, updating policy and proceduresoAdopting new mechanics through trainingoCommunicating the need for change within HPFCoCreate small groups within the Organization to promote changeTargeted areas of Change:MarketingManagementEmployees Performance Management Requirements (APO’s, Benchmarks)Stakeholders

(NOTES) Patton-fuller examines its current position in the Healthcare field to improve healthcare, treatments, and procedures using a Swot Analysis. The analysis allows the facility to identify issues, reaffirm goals, and create an action plan.Strengths: •Strong market position•Wide range of healthcare products and services•National network•Strong revenue growthWeaknesses•Increase in operational costsOpportunities•Eldercare market•Acquisitions•Increased healthcare spendingThreats•Medical costs are increasing•Shortage of healthcare staff•Competitors(NOTES)Risk analysis is a tool to identify and assess factors that can negatively affect how the organization operates, patient care, and services. The analysis is an examination of potential risks that Patton-Fuller can face and the decision to move forward or take other action. The analysis allows an organization to control risks in a cost-effective way. Risks are the probability of something going wrong and the consequence that will follow if it does. The risk analysis will allow Patton Fuller to plan and determine the direction of projects, manage safety for patients and their families, prepare for events that will delay treatment or other medical services, and remain competitive.Risk Analysis:•Identify potential problem•Control risks•Minimize disruption Patton-Fuller faces threats from different sources:•Human(management, staff, patients)•Operations•Reputation•Structure•Financial(NOTES)Human resources are valuable to Patton-Fuller. The company cannot operate without a dedicated management team, knowledgeable staff, and loyal patients. There are risks in losing a person in management, employee, or a patient which will effect on business operations. Business operations are important to provide service and proper care. Patton-Fuller offers quality services to their patient to protect their reputation. Patients are encouraged to give comments, concerns, and recommendations at any time. The key to offering quality healthcare is using innovative technology and tools. Patton –Fuller uses an Integrated Healthcare Management system to manage and share healthcare data with physicians and care givers. The data is shared on computer networks and mobile devices to ensure desirable outcomes and improve patient care. The system allows management to manage medical data to improve the quality of diagnosis, treatment, and after care. This tool is used in healthcare and has offered Patton-Fuller success in providing quality care.A focus group is a tool used to gather a collective point of view from patients at the same time. Patton-Fuller wants to gather information on services that are offered to ensure proper care and patient satisfaction. Management holds a focus group to encourage feedback from both new and long-term patients to evaluate business processes to improve services at all levels.Focus Groups:•Define customer needs•Provide insight on the customers experience •Requires feedback•Improvement opportunitiesLean Six Sigma is a quality tool used to eliminate defects. A defect in a healthcare facility can be the difference between life and death. Lean Six Sigma is used at Patton-Fuller to improve the safety of employees, patients, and their families by reducing errors.Lean Six Sigma •Focus on quality•Reduce errors and defects•Improve patient experience

Number of sales of product/service
Does the innovation service provide sufficient revenue to pay for itself of generate a profit.

ROI:
Cumulative net profits generated from new products launched Research costs + development costs + incremental production costs + initial commercialization pre-launch costs
Compares performance over time in comparable industry

Success rate:
Number of successful products or services launched
Points to quality of planning

Product survival rate:
How many products/services survive in a set number of years
Points to demand of product

Performance metrics that look at the long-term profitability of the company on a company scorecard.


Drive continuous improvement:
Involve the customer. Gather their opinion before the planning stage via survey, suggestions, or focus groups.

Formalize the innovation process.
“follow a formal up-front process as well as a formal and detailed launch process which includes test marketing, frontline training and internal marketing, developing a formal promotion and launch plan” (Van Stamm, 2008).

Involve the employees. Mine and store their ideas. Do not make decisions in a vacuum; instead gather the ideas and opinions of as many people as possible. Diversity of thought often leads to ideas you may have overlooked. Give employees an outlet for providing their own ideas and suggestions via an electronic tool or good old-fashioned suggestion box. Pay for successful implementation of idea.
Speaker notes: The importance of having a strategy in regards to PFCH and the vision implemented The ability to: Inspire Motivate Influence Improve Within the Organization this process is demonstrated by: Architectural Innovation Market niche Innovation Regular Innovation Revolutionary Innovation Incremental Approach using small changes and adjustments to existing products, services or processes (Leifer et al., 2000). Change in phases, updating policy and procedures Adopting new mechanics through training Communicating the need for change within PFCH Create small groups within the Organization to promote change Targeted areas of
Change: Marketing Management Employee Performance Management Requirements (APO’s, Benchmarks) Stakeholders Tools: SWOT Risk Analysis Focus Groups Lean Six Sigma Strengths Weakness Opportunities Threats Strong market positionWide range of healthcare products and servicesNational networkStrong revenue growth Increase in operational costs Eldercare marketAcquisitionsIncreased healthcare spending Medical costs are increasingShortage of healthcare staffCompetitors The analysis allows the facility to identify issues, reaffirm goals, and create an action plan. Risk Analysis: * Identify potential problem* Control risks* Minimize disruption
Patton-Fuller faces threats from different sources:* Human(management, staff, patients)* Operations* Reputation* Structure* Financial Risk analysis is a tool to identify and assess factors that can negatively affect how the organization operates, patient care, and services. The analysis is an examination of potential risks that Patton-Fuller can face and the decision to move forward or take other action. The analysis allows an organization to control risks in a cost-effective way. Risks are the probability of something going wrong and the consequence that will follow if it does. The risk analysis will allow Patton Fuller to plan and determine the direction of projects, manage safety for patients and their families, prepare for events that will delay treatment or other medical services, and remain competitive. Focus Groups:
•Define customer needs•Provide insight on the customers experience •Requires feedback•Improvement opportunities A focus group is a tool used to gather a collective point of view from patients at the same time. Patton-Fuller wants to gather information on services that are offered to ensure proper care and patient satisfaction. Management holds a focus group to encourage feedback from both new and long-term patients to evaluate business processes to improve services at all levels. Lean Six Sigma
* Focus on quality* Reduce errors and defects* Improve patient experience Lean Six Sigma is a quality tool used to eliminate defects. A defect in a healthcare facility can be the difference between life and death. Lean Six Sigma is used at Patton-Fuller to improve the safety of employees, patients, and their families by reducing errors. Number of sales of new products/services Place long-term performance metrics of the company on a company scorecard ROI on new offering Success rate Product/service survival rate Involve the customer Formalize the innovation process “follow a formal up-front process as well as a formal and detailed launch process which includes test marketing, frontline training and internal marketing, developing a formal promotion and launch plan” (Van Stamm, 2008). Involve the employees Offer incentives for success Don't forget to do
time card!!
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