Self-assessment: What's in it for us?

Abstract

IntroductionThe attraction of the European Foundation for Quality Management (EFQM) businessexcellence model is its applicability to a wide number of situations. The model itselfrepresents a business 'system' comprised of inputs (i.e. shareholder expectations; leadershipvision; people, resources and information), processes (i.e. people management, strategyformulation, process management) and outputs (i.e. financial results; customer satisfaction;products and service performance). In the real world, a business needs to be able to adapt tochanges in its external environment in order to remain competitive. No organization cansurvive in splendid isolation. The business excellence model incorporates external influencessuch as customer, competitor, legislative and societal requirements and encourages organiza-tions to adapt themselves to their environment. A key emphasis in the model is the need fora company's responses to be conducted in a systematic manner to optimize performance.There are still too many examples of businesses that have managed to adapt themselves in away that has not been optimal and have suffered as a consequence.The business excellence model (British Quality Foundation, 1997) represents an 'ideal'system in terms of a series of nine descriptive criteria: leadership, people management, policyand strategy, resources, processes, people satisfaction, customer satisfaction, impact onsociety, business results. As a descriptive framework, the model is a useful illustration fordescribing the concepts behind business excellence, including customer focus, continuousimprovement, involvement, teamwork, planning, process management and reviews. Its realvalue, however, is derived from the application of a variety of tools for organizationalassessment, commonly known as self-assessment. These tools enable business excellenceconcepts to become an integral part of a company's culture, challenging the way that itoperates. In addition, the model can be used for shaping strategy, for developing performancemeasurement frameworks and for establishing review processes (Lascelles & Peacock, 1997).These can be utilized at a variety of different levels in a business.The influence of the model on an organization's culture, processes and systems will varyaccording to the way it is used. The range of possible applications does, however, hide athreat. A major danger, particularly for those companies which are relatively new to businessimprovement, is the temptation to apply the model, and therefore the concepts of excellence,at a relatively trivial or superficial level in the business. If single departments apply themethods of excellence in a corporate climate that does not support those concepts, thenfrustration and failure will inevitably result.Clearly, the way in which the model and its various applications are used to influence0954-4127/97/020S90-04 $7.00 © 1997 Carfax Publishing Ltd