2004 Shingo Prize for Excellence in Manufacturing

[Marc]

From https://www.qualitydigest.com

2004 Shingo Prize for Excellence in Manufacturing - Notable achievements of the 2004 recipients include:

Seven of the 12 winners achieved product quality of fewer than 10 returned parts per million opportunities.

Seven of the 12 recipients have inventory turnover rates greater than 25 per year, compared to a U.S. average of eight.

Premium freight as a percent of production costs averaged 0.12 percent.

“Once again, the recipients of the Shingo Prize demonstrate that they are prepared to weather economic uncertainty by not wasting precious manufacturing and business resources,” notes Ross Robson, Shingo Prize executive director. “Shingo Prize recipients and lean manufacturers clearly stand out among North American manufacturers in terms of quality, cost, delivery and business results.”

This year’s recipients are:

ArvinMeritor Light Vehicle Systems-- Gladstone plant, of Columbus, Indiana

Delphi Corp.--Delphi Electronics and Safety, Delnosa 5 and 6 Operations, of Reynosa, Mexico

Delphi Electronics and Safety--Kokomo Operations, Plants 7 and 9, of Kokomo, Indiana

Delphi Corp.--Energy and Chassis Systems, of Empresas Ca-Le de Tlaxcala, Mexico

Delphi Corp.--Packard Electric Systems, Plant 50, of Del Parral, Chihuahua Mexico

Delphi Sistemas de Energia S.A. de C.V., Plant 57, of Chihuahua, Mexico

Delphi Corp.--Packard Electric Systems, Plant 58, of Meoqui, Chihuahua, Mexico

Delphi Packard--Centro Tecnico Herramental S.A. de C.V., Plant 98, of Ramos Arizpe, Coahuila

Delphi Packard, Plant 51, of Nuevo Casas Grandes, Chihuahua, Mexico

Maytag Jackson Dishwashing Products of Jackson, Tennessee

Raytheon Missile Systems--Tucson Operations, of Tucson, Arizona

TI Automotive of Cartersville, Georgia

The Shingo Prize is administered by the Utah State University College of Business. Awards will be presented at the 16th annual Shingo Prize Conference and Awards Ceremony, May 20 in Lexington, Kentucky. To learn more, visit www.shingoprize.org

 

[ssaass]

Shingo Prize-Thoughts

What are thoughts/ Ideas about Shingo Prize. What are real benefits/advantages of this. Is it more like inclined towards MBNQA or Lean Manufacturing.

 

[RoxaneB]

I'd like to hear from folks on this topic, as well. Our corporate leaders are really big on competitions and prizes and rewards and recognition....not to mention profit, quality, safety, environment. Our concern with Malcolm Baldridge is that it is open only to American companies/sites and that left us with the option of the Canadian equivalent - Canadian Award for Excellence, issued by the National Quality Insititute. We don't feel that the CAE would generate the same kind of recognition that the Baldridge would. So...what about Shingo? Internation recognition? And we would be allowed to compete against our sister locations throughout North America. Sounds like a better option to me.

 

[AllanJ]

I'd like to hear from folks on this topic, as well. Our corporate leaders are really big on competitions and prizes and rewards and recognition....not to mention profit, quality, safety, environment. Our concern with Malcolm Baldridge is that it is open only to American companies/sites and that left us with the option of the Canadian equivalent - Canadian Award for Excellence, issued by the National Quality Insititute. We don't feel that the CAE would generate the same kind of recognition that the Baldridge would. So...what about Shingo? Internation recognition? And we would be allowed to compete against our sister locations throughout North America. Sounds like a better option to me.

Perhaps your company should consider first of all what is the purpose of the particular award for which it may strive? IMO the most relevant are those accorded to a business by its customers. All others seem to be based on applications: e.g. Baldrige, ISO 9K etc.

With that in mind and considering the publicity most firms then derive from its accolade, an award such as JD Power which is based, as I understand it, on customer feedback of satisfaction with product and service in comparison with one's competitors has many attractions. Though I am not familiar with its intricacies, it seems in JDP, you can't select your registrar, your can't negotiate compliance, you can't dispute interpretations of requirements, you can't fake the numbers as they come directly from your customers to JDP on a voluntary basis. It would seem you can't "buy" the award.

If other Covers know more about JDP, I would be interested in their views and corrections if my assumptions are incorrect.

For me, that type of award, based on actual customer experience of product and service, has greater merit than simple ISO 9K wallpaper or similar.

 

[Wes Bucey]

Interesting concept: In effect, Allan, you echo the tag line of one of my keynote speeches on Quality:

So, what is Quality?

Before I answer that, please take a moment to remember a product or service you bought or received that you personally would describe as Quality.

Got it in mind?

For my brother, it’s a ’57 Chevy convertible. For my dad, a Pfleuger fishing reel. For me, a Norelco razor.

What do these things and the one in your memory share in common?

They ALL exceeded our original expectations.

Think about it. If you get exactly what you bargain for, you tend not to think of it as a “Quality item.” Order a Big Mac . . . it’s a Big Mac. Buy a Bic pen . . . it’s a Bic pen.

It’s only when it EXCEEDS our expectation that we think or talk about it as a “Quality item.”

Dale Dauten, author of a syndicated column, “The Corporate Curmudgeon,” coined an acronym I now use to describe Quality. He calls it WOMP (Word of Mouth Potential.)

Of course, WOMP can be negative, too. When a product or service really falls far below our expectations, it gets bad WOMP.

WOMP should be our guide to giving products or services our own “Mark of Quality.”

Good WOMP – Mark of Quality.
Bad WOMP – Mark of Shame.

So do we reserve our Mark of Quality for high tech stuff? Big ticket items like Mercedes and Ferraris?

I like to start a lot closer to home. If we get it right on the easy stuff, it won’t be long before we get it right on everything.

• Local grocery manager always opens up another checkout lane when the customers backup? WOMP – Mark of Quality!
• Doctor sees you on time for your appointment, listens to you, and never gives you a hassle about your insurance? WOMP – Mark of Quality!
• Ballpoint writes smoothly and lasts long? WOMP – Mark of Quality!

But hey! Quality is a two-way street. What do we do to get WOMP – Mark of Quality! stamped on our own deeds and actions?

• Your spouse wants to help out at the PTA bake sale. You volunteer to watch the kids AND do the grocery shopping. WOMP – Mark of Quality!
• You normally sit around and watch TV every night, but start to devote two nights a week talking and playing bridge with residents at the nursing home in your town.WOMP – Mark of Quality!
• Clerk gives you change for a $20 when you only gave $10. You give back the excess. WOMP – Mark of Quality!

Hey! That doesn’t sound so hard, does it? I want to send these three points home with you today:

1. Quality gets judged by customers and users (that’s you and me, folks) based on whether it exceeds our expectations.
2. Quality is a two-way street. If we want Quality products and services, we must give Quality products and services. We want people to think WOMP – Mark of Quality! when they see us.
3. Quality is everywhere. It’s not just for luxury items and services. Paraphrasing Aristotle, “We are what we repeatedly do. Quality, then, is a habit.”

In conclusion. When (not if, when) we arrange our lives to give and receive products and services with WOMP – Mark of Quality!, we will be happier and healthier (physically and mentally.) We’ll also probably be wealthier from what we save on repairs and replacements.

 

[David Hartman]

Wes,

You are right on the money! I have for years found myself having discussions related to company policy statements, where I was insistent that we strive to provide product or service that “exceeds” our customer’s requirements. Perhaps it is because for many years (approximately 17 years in-fact) I worked in a company that lived by this code of ethic.

From product design to delivery of finished product our goal was to exceed the customer’s (the US Army) expectations. This philosophy worked so well, that our company became sole source for the product we were providing, and to this day the Army turns to them for innovative design ideas when it comes to this product.

BTW: At one point in time the Army felt that they had provided all of their forces with our state-of-the-art product and decided to not procure any more (market saturation), but by providing them with some new (and very needed) capabilities (capabilities that the Army had not considered from our product) we were able to win additional procurement contracts. This practice of innovative design has continued, resulting in spin off products as well as new generation designs that continue to keep them in business.

When Gillettte came out with the Sensor (two blade razor using micro-springs) they revolutionized the razor market – not that the customer wasn’t satisfied with the razors that were previously available, but when a “better mouse trap” was provided it established a new paradigm (and didn’t hurt their profitability any either ).

 

[Mike S.]

Who is/was Shingo?

BTW -- it is nice to know there are some successful companies out there!

 

[Jim Wynne]

Who is/was Shingo?

https://www.shingoprize.org/AboutUs/

 

[Rob Nix]

Back in the early 80's, the metal stamping plant I worked at adopted some of Shigeo Shingo's SMED (Single Minute Exchange of Dies) techniques. Evidently his principles and fame spread since then.