ELEMENT

PERFORMANCE CRITERIA

1. Review programs, systems and processes

1.1. Establish strategies to monitor and evaluate performance of key systems and processes

1.2. Undertake detailed analyses of supply chains, operational and product/service delivery systems

1.3. Identify performance measures, and assessment tools and techniques, and evaluate their effectiveness

1.4. Analyse performance reports and variance from plans for all key result areas of the organisation

1.5. Identify and analyse changing trends and opportunities relevant to the organisation

1.6. Seek advice from specialists, where appropriate, to identify technology and electronic commerce opportunities

2. Develop options for continuous improvement

2.1. Brief groups on performance improvement strategies and innovation as an essential element of competition

2.2. Foster creative climate and organisational learning through the promotion of interaction within and between work groups

2.3. Encourage, test and recognise new ideas and entrepreneurial behaviour where successful

2.4. Accept failure of an idea during trialling, and recognise, celebrate and embed success into systems

2.5. Undertake risk management and cost benefit analyses for each option/idea approved for trial

2.6. Approve innovations through agreed organisational processes

3. Implement innovative processes

3.1. Promote continuous improvement as an essential part of doing business

3.2. Address impact of change and consequences for people, and implement transition plans

3.3. Ensure objectives, timeframes, measures and communication plans are in place to manage implementation

3.4. Implement contingency plans in the event of non-performance

3.5. Follow-up failure by prompt investigation and analysis of causes

3.6. Manage emerging challenges and opportunities effectively

3.7. Evaluate continuous improvement systems and processes regularly

3.8. Communicate costs and benefits of innovations and improvements to all relevant groups and individuals

Required skills

analytical skills to identify improvement opportunities in relation to the services/products delivered or concepts/ideas developed

flexibility and creativity skills to think laterally

leadership skills to foster a commitment to quality and an openness to innovation.

Required knowledge

quality management and continuous improvement theories

creativity/innovation theories/concepts

risk management.

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

documentation of consultation processes to introduce or evaluate an existing continuous improvement process or system, including suggested actions or an action plan

generation of an idea or concept which exhibits creative thinking and which offers the possibility of advantaging the organisation

how the concept or idea was introduced, tested and evaluated - the idea or concept does not have to have been shown to work or to be adopted by the business

knowledge of quality management and continuous improvement theories.

Context of and specific resources for assessment

Assessment must ensure:

access to appropriate documentation and resources normally used in the workplace.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

analysis of responses to case studies and scenarios

assessment of written reports

direct questioning combined with review of portfolios of evidence and third party workplace reports of on-the-job performance by the candidate

observation of presentations

oral or written questioning to assess knowledge of creativity/innovation theories/concepts

evaluation of strategies established to monitor and evaluate performance of key systems and processes

review of briefing of groups on performance improvement strategies and innovation

review of documentation communicating costs and benefits of innovations and improvements to relevant groups and individuals.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:

other units from the Advanced Diploma of Management.

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Supply chains includes:

network of facilities that procures raw materials, transforms them into intermediate products (or services) and then finished goods (or services), and delivers them through a distribution system

procurement, production and distribution, which are viewed as being interlinked not as discrete elements

Performance reports may include:

budget/cost variance

customer service

environmental

financial

occupational health and safety

quality

other operating parameters

Specialists refers to:

those people inside and outside the organisation who are expert in the application of technology to process systems and procedures, relevant to the organisation's business

Creative climate means:

climate of high motivation with extensive expertise, and deliberative and lateral thinking time to think through and test out ideas

Organisational learning refers to:

extent to which groups and individuals within an organisation are given the opportunity to learn from each other and encouraged to share their learning

Risk management means:

process of identification of potential negative events and the development of plans to mitigate or minimise the likelihood of the negative event occurring and/or the consequences in the event it does occur

Cost benefit analyses means:

calculation to determine whether the results/outcomes of a particular course of action are sufficient to justify the costs and risks in taking that action

Continuous improvement means:

consistently reviewing what we do in search of a better way and improving the organisation in every aspect of its activities

Transition plan means:

process of communication and education to help people through major change programs which impact on the way they do their work or them personally

Contingency plan means:

plan which will deal with the uncertainty of a proposal and will come into operation in the event of a failure or non-conformance