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Elements and Performance Criteria

1. Identify mutual interest
   • Clarify the reason contact was/is to be made for each relevant external organisation.
   • Gather information on extent of past contact and any positive or negative outcomes for own and external organisation.
   • Identify expectations of initiating organisation.
   • Analyse the breadth, depth and complexity of external organisations’ expectations.
   • Discuss expectations, ability to meet those expectations, and areas of mutual interest with relevant internal and external representatives.
2. Determine contribution of relationship
   • Identify any value contributions from relationship.
   • Identify muda (waste) arising from relationship.
   • Classify muda (waste) as necessary or unnecessary.
   • Set key performance indicators (KPIs) for future relationship.
3. Manage the relationship
   • Measure current performance of relationship against expectations and KPIs.
   • Develop systems to enhance mutual benefit and value contributions from relationship.
   • Develop systems to minimise and control necessary muda without causing harm.
   • Eliminate unnecessary muda, where possible, without causing harm.
   • Monitor KPIs and determine future strategy for the relationship.
   • Continue to manage or terminate the relationship in a manner which enhances the organisation.

Range Statement

This field allows for different work environments and conditions that may affect performance. Essential operating conditions that may be present (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) are included.
Competitive systems and practices include one or more of:	lean operations agile operations preventative and predictive maintenance approaches statistical process control systems, including six sigma and three sigma Just in Time (JIT), kanban and other pull-related operations control systems supply, value, and demand chain monitoring and analysis 5S continuous improvement (kaizen) breakthrough improvement (kaizen blitz) cause/effect diagrams overall equipment effectiveness (OEE) takt time process mapping problem solving run charts standard procedures current reality tree.
Reasons for contact include one or more of:	research innovation mutual cooperation strategic alliances computer (or other) technology emergency response other mutual interests/benefits.
Categories of muda (waste) include one or more of:	excess production and early production delays movement and transport poor process design inventory inefficient performance of a process making defective items activities which do not yield any benefit to the organisation or any benefit to the organisation’s customers.

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Performance Evidence

Evidence required to demonstrate competence in this unit must be relevant to and satisfy the requirements of the elements and performance criteria and include the ability, for one (1) or more non-customer external organisation, to:

analyse the value and muda (waste) in relationships

implement changes to relationships to improve outcomes for their organisation and its customers

monitor outcomes of a relationship against key performance indicators (KPIs)

communicate complex information to external representatives using a variety of methods and mediums.

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Knowledge Evidence

Must provide evidence that demonstrates sufficient knowledge to interact with relevant personnel and be able to manage relationships with non-customer external organisations, including knowledge of:

strategic requirements of own organisation

strategic benefits to the organisation from liaisons with external organisations

possible external organisations which may offer benefits

benefits which can be offered to the external organisations

customer benefits/features from products and processes of own organisation

muda (waste) elimination

formal problem-solving procedures (e.g. RCA).

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