Block 3:
Building long-term success

Change management

communicate the change vision

establish a sense of urgency

generate short-term wins

develop a vision and strategy

anchor new approaches in the culture

Cost of quality

Innovation strategies for value

Prevention costs - making sure errors dont happen

Appraisal costs - cost of establishing and measuring the level of quality in a product or service.

Internal costs of defects - cost of identifying and rectifying defects during production

Employee relations

A transitioning of all or part of a business that alters the way in which is operates and generates income

Operational risk

Quality Assurance and Quality control

Leadership

Value Accounting

external cost of defects - costs relating to issues with quality which do not arise until after the customer has received the product or service.

QC

Reactive measures taken as a result of a fault being found post-production

QA

Steps taken during production in order to ensure that mistakes arent made - preventative.

Historical value - the amount that was paid for something when it was sold or purchased in the past

Fair value - takes into account increase in value, current markets and availability

The innovation value chain

Problem solving

Transformation

Reconfiguring

Reflecting

Conversion (strategy)

Diffusion (leadership)

Idea generation (creativity)

Partnership - mutual between employer, union and employee

Supply failures

Failures within operations processes

HRM - managerial authority with no union involvement

Traditional - governed by managers and unions

Design failures

Environmental disruption

Customer failures