The 12 Ladders To World

Class Performance:
how Your organisation can compete
with the best in the world.

Presented by Ramli Abu Hassan

Managing Director of DPS
In collaboration with Professor David
Drennan
Managing Director of GPM International
(UK).

1
 The 12 Ladders To World
Class Performance:
how Your organisation can compete
with the best in the world.

Contents:
1.What is “World Class” ?
2.The 12 Ladders to World Class
Performance
3.Explanation of each Ladder with all the 5
Levels of Performances.
4.What’s Next ?

2
 The 12 Ladders To World
Class Performance:
how Your organisation can compete
with the best in the world.

1.What is “World Class” ?

World Class means
Definition:

“being able to compete

with the best in the world
at what you do.”
3
 The 12 Ladders To World
Class Performance:
how Your organisation can compete
with the best in the world.

1.Where to find “World

Class Companies?eg.
+ Annual Fortune Global 500 Listing
(Ranking in terms of market size and
financial performance.)
World Class Cos’:Walmart,General
Electric,Intel,Microsoft,British
Petroleum,Petronas,Toyota,
4 Samsung,Sony and others.
 The 12 Ladders To World
Class Performance:
how Your organisation can compete
with the best in the world.

1.What customers see as

truly world class ?
Product quality
Value for money
Reliability
Good service
Innovation
5
 World Class Companies are not
marvellous at everything !

List of Performance Measures used by

World Class Companies:
Customers:
+order to delivery time/waiting time; right first time; on time
in full delivery etc..
customer complaints; phone response time; customer
survey scores etc..
Employees:
+sales per employee; profit per employee; staff turnover;
6 employee survey scores etc..
 World Class Companies are not
marvellous at everything !

Continuation….
Financial Performance:
+return on capital /assets; profit percentage on sales; share
price;unit costs; investor returns etc..
Market performance:
+ market share; product innovation; sales growth etc..
Internal efficiency:
Sales per square foot; profit per square foot, costs of
quality; added value time vs process cycle time; overall
7 machine efficiency etc..
 The 12 Ladders to World Class
Performance (WCP)

Ladder No.1: Aligning Management

Objectives
Ladder No.2: Customer Focus
Ladder No.3: Organizing the Workplace
Ladder No.4: Visible Measurement Systems
Ladder No.5: Managing for Quality

8 Ladder No.6: Eliminating Waste

 The 12 Ladders to World Class
Performance (WCP)

Ladder No.7:Best Operating Practices and

Continuous Improvement
Ladder No.8: Teamwork
Ladder No.9: Staff Empowerment and
Involvement
Ladder No.10: Rewards and Recoqnition
Ladder No.11: Purposeful Communications
9
Ladder No.12: Continuous Learning
 Ladder No.1: Aligning Management
Objectives

The 5 Levels of WCP (Level 5 is World Class and Level 1 is

Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Managers give orders; workers only do as much as they have
to.

+Some people don’t know who their boss is.

+Objectives are not written; the goalposts seem to keep

moving.

+Managers say: “We don’t need objectives,we know what to

10 do.”
 Ladder No.1: Aligning Management
Objectives

The 5 Levels of WCP (Level 5 is World Class and Level 1 is

Ordinary Performance
Eg.
Level 5 (World Class)
+Measurable objectives are agreed annually in every
department
+Teamwork and cooperation are expected at every level
+People work to achieve the goals even under changing
conditions

11 +100 % of objectives are achieved or exceeded by year end.

 Ladder No.2: Customer Focus

The 5 Levels of WCP (Level 5 is World Class

and Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Employees think sales and marketing look
after customers.
+Managers believe they are
‘professionals’and already know what
customers want.
+Many managers and staff don’t think thay
have customers.
12
 Ladder No.2: Customer Focus

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance

Eg.
Level 5 (World Class)
+Regular surveys and focus groups keep company
“in touch”
+Visible service improvements made year on year.
+Cycle time,order to delivery,reduced by 80%
+Complaints under 0.5 % and at an all time low.
+100% of orders delivered in full and on time.

13
 Ladder No.3:Organizing the
Workplace

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Scrap items,litter and tools are left scattered
around.
+Walls,windows,floors and machines are dirty.
+The yard,car park and outside areas are untidy.
+Employees are sloppy dressed,desks and
workstations are untidy.

14
 Ladder No.3:Organizing the
Workplace

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+The workplace is habitually clean and well
organised.
+Work areas and the flow of operations is easy to
see.
+Storage sites and quantities are clearly marked.
+Staff know automatically when to re-order.
+Teams earn top scores even during surprise
inspections.
15
 Ladder No.4: Visible Measurement
Systems

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Only general company wide measures used.
+Departments tend to keep performance measures
to themselves.
+Lack of hard data means much has to be done on
“gut feel”
+Some departments think their work is not
measurable.

16
 Ladder No.4: Visible Measurement
Systems

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+Company realises that measurement is the only
way to sustain continuous improvement.
+Senior management or visitors are able to tell
from displayed data how any departments is
performing at any time.

17
 Ladder No.5: Managing for Quality

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+People think that production is everything.
+They think it is the operator’s job to make
products and someone else’s job (the inspector’s)
to catch mistakes.
+Pay systems emphasise quantity rather than
quality.
+The primary drive is to “get stuff out of the door.”

18
 Ladder No.5: Managing for Quality

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+The abnormality rate is tracked ie.deviations from
normal rather than the defect rate.
+The entire company has instilled mistake proofing
devices.
+The abnormality rate is down to 0.1%
+Customer complaints are down to zero.

19
 Ladder No.6: Eliminating Waste

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Managers think that being busy means they are
productive.
+Things are rushed,people turn up late at
meetings,etc..
+When you talk to them about improving the
systems they use,they say “We’re too busy
working for all that!”

20
 Ladder No.6: Eliminating Waste

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+The actual work ration is at least 85%
+The whole company is purposely organised to
minimise waste.
+Stock-holding of raw materials,in-process
work,and finished goods-is the lowest in the
industry.
+Even new employees can follow procedures
easily.
+New processes are designed to maximise added
21 value activity.
 Ladder No.7: B.O.P.s’ and
Continuous Improvement

The 5 Levels of WCP (Level 5 is World Class and Level 1

is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Staff don’t want to get involved in improvement
activities.
+They say things like:”why should we?”,”What’s in it for
us?”,or “That’s management’s job.”
+Suggestion boxes are little used or ignored.

22
 Ladder No.7: B.O.P.s’ and
Continuous Improvement

The 5 Levels of WCP (Level 5 is World Class and Level 1

is Ordinary Performance
Eg.
Level 5 (World Class)
+Employees avearge more than four improvements ideas
a month.
+More than 85% of employee ideas are implemented.
+Teams tackle more than four major projects a year.
+Benchmarking visitors show company among “best in
class.”

23
 Ladder No.8: Teamwork

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+People think of themselves as just doing a job,not
in a team.
+Cooperation between work groups is patchy,there
is rivalry and points-scoring between teams.
+Workers don’t act as a team with management-it’s
difficult to make changes without suspicion or
opposition.

24
 Ladder No.8: Teamwork

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+Teams exist everywhere,and have become a way of
life.
+Self-directed teams are set up and working
effectively.
+The versatality in teams means they cope with
changes well.
+Teams celebrate achievements and expect
success.
25
 Ladder No.9: Staff Empowerment
and Involvement

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Employees don’t want any rsponsibility; they want
managers to be responsible for everything.
+Managers want employees just to do as they’re
told.
+Few,if any,team involvement meetings are held.

26
 Ladder No.9: Staff Empowerment
and Involvement

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+Individuals agree self-set objectives and do self-
appraisal.
+Teams set and meet their own improvement
objectives.
+They both meet and beat their customers’
expectations.
+Teams are involved in recruitment ,equipment
purchase,area layout ,producing their own budgets
,etc..
27
 Ladder No.10: Rewards and
Recoqnition

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+The company pays only as much as it has to get
staff.
+Pay systems are complicated and unpublished.
+Overtime is frequent,often to cover ad hoc
problems.
+Anomalies exist and complaints frequently arise.

28
 Ladder No.10: Rewards and
Recoqnition

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+Staff have a ‘no redundancy’ undertaking.
+Above average pay attracts and retains the best
staff.
+Appraisals encourage continuous improvement
and continuous learning.
+Recoqnition system regularly encourages the
behaviours the company wants to see.

29
 Ladder No.11: Purposeful
Communications

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Work team meetings are patchy or non-existent.
+The grapevine is strong; notice boards are poorly
cared for.
+There are constant complaints about poor
communications.
+People say,”Nobody tells us anything.”

30
 Ladder No.11: Purposeful
Communications

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+Company uses a variety of communication
channels well ie.meetings,notice
boards,paper,computer and video.
+Matrix calender of coomunications shows all
communication channels and who does what,when.
+Surveys show steadily improving communications
scores.

31
 Ladder No.12: Continuous Learning

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 1 (Ordinary Performance)
+Employees are not enthusiastic about learning new
skills.
+There is minimal induction training,little off-the-job
training.
+Experts are generally opposed to sharing their
skills with others feeling their jobs would thereby be
threatened.

32
 Ladder No.12: Continuous Learning

The 5 Levels of WCP (Level 5 is World Class and

Level 1 is Ordinary Performance
Eg.
Level 5 (World Class)
+The company realises that continuous skills
training turns their people into a competitive ( and
their only) appreciating asset.
+Minimum of five days off-the-job training for
everyone every year.
+Larger companies operate an in-house University.
+Continuous learning has become a way of life.

33
 What’s Next for Your Journey
Towards World Class ?

DPS Proposal to YOU:

+Attend a 2 day training/workshop session to
understand the “12 Ladders to World Class
Performance.”Top Management and all levels of
management are recommended to attend this
training.
+Conduct a “Mini Audit” using the World Class
Score Card to know “Where We Are Now” (Your
Company / Organisation)
34
 What’s Next for Your Journey
Towards World Class ?

DPS Proposal to YOU:

+ Do and Act on your Action Plan (Team
Objectives Meeting or TOM’s Approach) to take
your organisation / company to move to your next
level of performance that have the most value to
you and your customers.
+Continue your efforts towards becoming a World
Class organisation / company no matter how long it
takes and maintain it all the time,no matter what it
costs(investments) or challenges that come ahead.
35
 We at DPS can be contacted as
follows:
Name of Company: Diversified Promotion & Service Sdn.Bhd.
Contact Person: Ramli Abu Hassan-Managing Director
Mobile: + 6-019-2537165
Tel:+603-55412936
E-mail: ramlipromoter@yahoo.com
revolusiaksi@gmail.com
Websites: uk.groups.yahoo.com/group/dpsworldclass
www.linkedin.com/in/ramlipromoter
www.youtube.com/pramleeelvis
Postal address: 19 Jalan 18/40,40200 Shah Alam
36 Selangor Darul Ehsan ,Malaysia.
 THE END.

THANK YOU FOR YOUR

ATTENTION.
WASSALAM.

37