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2012 Strategic Priorities, Goals & Objectives Production Support- Mid & Aft

2012 Strategic Priorities, Goals & Objectives Production Support- Mid & Aft. Kurt H. Drive Execution: Achieve challenging QCDSM commitments Execute 6-day & 4-day rate transitions for 787-8 Achieve PC700 Achieve Mid and Aft 787-9 production readiness

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2012 Strategic Priorities, Goals & Objectives Production Support- Mid & Aft

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  1. 2012 Strategic Priorities, Goals & ObjectivesProduction Support- Mid & Aft Kurt H. • Drive Execution: • Achieve challenging QCDSM commitments • Execute 6-day & 4-day rate transitions for 787-8 • Achieve PC700 • Achieve Mid and Aft 787-9 production readiness • Eliminate part shortage and partner constraints • Improve Engineering Plan Quality and Tooling Assist • Build customer confidence through on-time delivery • Create Profitable Growth: • Drive non-recurring and recurring cost affordability through budget accountability • Leverage LMA to drive operational excellence • Strengthen Leadership: • Promote forward thinking mentality • Expand and mature Employee Involvement teams • Teach principles of world class competitiveness; Thought Patterns, LEAN, Leadership Excellence • Promote individual and team-based engagement/accountability • Execute employee survey action plans • Engage the Entire Organization: • Advance the power of teams, personal performance, and functional excellence • Demonstrate integrity, ethical conduct, and diversity • Model and encourage environment of Trust, Transparency, Inclusion, and Truth through communication Leverage our Team Strength to Increase Performance in all Measures

  2. Achieve Quality, Cost, Delivery, Safety & Morale (QCDSM) commitments • Managers will review QCDSM scorecard a minimum of once a month with team • Align team goals and objectives that support weekly QCDSM • Execute 6-day, 4-day, and prep for 3-day rates • Define/Execute successful build plan strategies (I.E. incorporate AIW workshop lean improvements, breakdown SOWs <4 hr s) • Implement a 3 day strategy by year end • Drive towards moving lines in Mid & Aft Body • Attain/Maintain PC700 Certification • Drive a culture of process compliance in AFT & MID (I.E. understanding QMS survey knowledge information) • Ensure processes guarantee configuration accountability to support production • Achieve Aft and MID 787-9 Prod Ready • Achieve > 98% on time release performance for -9 manufacturing plans • Ensure Engineering Plan Quality • Achieve > 98% MESA & PREP score for Plan and Product Quality • Improve NC turn times and reduce the creation of NCs by 30% • Reduce the creation of ARFs by 50% • Explore and Implement more lean practices • Improve Engineering On Time Release Performance • Achieve > 98% score for on time release to commitments • Measured by OB Due dates in IVX, TOR actual flow versus goal flow, Queue Wait and Turn Times, and Quarterly Customer Feedback Surveys • Build customer satisfaction through Collaboration • Achieve > 90% customer satisfaction as measured by quarterly customer feedback surveys • Develop a culture of proactive engagement and prevention • Achieve >99% training attendance measured against LTD attendance metrics • Achieve >95% training pass rate for all classes delivered as measured against LTD course metrics • Implement FEED ME Training Program for all BSC ME Employees • All employees submit one bright idea to promote a culture of future analysis Boeing Proprietary • Product Quality: • Provide standard work instructions that are clear and concise as measured by of number SRRs per SOI • Service: • Reduce response time, queue time, and increase time on airplane working side-by-side with mechanics to share process knowledge. • as measured by Queue time metrics & Quarterly Customer Feedback Surveys 2012 ME Department Objectives Personal Accountability Steve P. (See next slide) Quality Ownership Employee Development Drive Execution

  3. Boeing Proprietary Boeing Proprietary Steve P. TB TS TS ALL ALL BG/TS/TB BG/TS/TB ALL ALL ALL TG/SB TG/SB TS/BS TG/SB/TH ALL TG/SB/TH ALL ALL ALL ALL ALL ALL

  4. Kearns 2012 Strategy Ben K. 2012 PM Leadership Focus (mentor) • Budget • Motivating Others, Promoting Leadership, and Employee Development Priorities • -9 SOI Planning and Scorecard • Recovery • AFT rewrite • ME Metrics and Scorecard Strategies to succeed • Align org to customer, right size Plans for 75% direct and more than one deep • Increase ownership Direct hires – Plans in place, held for MID plan RAA map Customer buy-in and ME Brand Value • Chart the course Rate maps Road to OBDUE management • Focus on the problems/JBS Manager and Lead alignment • Clear, simple, & balanced org. structure • Training and development • Manager Fit & Succession planning • RAA balancing with peers RAA • AFT -9 Structures IP authoring SMIRM plan, PNCA and MARM plan – Need from Jimmie • AFT Recovery/Shipside Structures SRR RCCA, reduce the transactions – Need a plan Rate Maps Swoop Charts • AFT Recovery/Projects Structures CS simulations as a tool for all Build plan with major rate projects identified • AFT rewrite • Project & Liaison – Structures AFT • MARM, MRM, SMIRM MARM to PNCA Conversion SMIRM Conversion and Continuous Improvement

  5. Boeing Proprietary Boeing Proprietary Kearns 2012 Interim PM Ben K. Achieve 6 day and 4 day rates 1. Lead ME team to support PST cadence with weekly PtP and SAM. Measure with clear and consistent flow down and track progress on action logs. 2. Lead ME team to complete all ME actions on time for top 3 projects in each CS. Measure with performance to plan or schedule. 3. Lead ME team to maintain rate "Sweep Chart" with IE for each control station. Measure with plan, project completion to improve performance, and support of learning curve. 4. Lead the ME team to complete the SOI rewrite and continue to improve plan quality. - Due Date: 12/23/2012 3 3 3 4

  6. Boeing Proprietary Boeing Proprietary Kearns 2012 Interim PM Ben K. • Achieve P4P targets in the AFT factory. • 1. Met = 2 day target, Exceeds = 3 day target, and Far exceeds = 4 day target. • 2. Lead ME team to participate and lead improvement activities for safety, quality, morale, delivery, and cost. • Due Date: 12/23/2012 • Improve employee engagement with survey action plan • 1. Lead ME Managers to hold team meetings to discuss the survey results. ECD 3/9/2012 • 2. Develop consistent ME action plan with all ME groups ECD 3/30 • 3. Develop "People First; That's How We Role" action plans ECD 4/30 • 4. Measure performance to the action plans and regular feedback ECD 12/23 • - Due Date: 12/23/2012 3 3 4 4 4 4

  7. Boeing Proprietary Boeing Proprietary Performance Measures Payout days / % Accomplishment Ben K. BSC P4P Plan 2012Performance Measure Payout Matrix 1-Day Payout 2-Day Payout 3-Day Payout 4-Day Payout

  8. Boeing Proprietary Boeing Proprietary Kearns 2012 Interim PM Ben K. Obtain PC700 1. Lead ME team to develop action plans for each ME item by 3/9, with get to green steps identified 2. Lead ME team to measure performance to these plans 3. Lead ME team to respond on time per FAA requirement, by developing plans and actions to address and or correct the found condition. 4. Ensure processes are in place that ensures configuration accountability (measured by reading record completions) - Due Date: 12/23/2012 4 4 4 3

  9. Boeing Proprietary Boeing Proprietary Kearns 2012 Interim PM Ben K. • Improve Customer Satisfaction, Trust, and the ME Brand • 1. Lead ME team to get to know our internal and external customers • 2. Lead ME team and the customer to develop a survey or improve communication • 3. Lead ME team to improve on time release performance and plan quality (PST PtP items for ME) • Due Date: 12/23/2012 • Drive ME QCDSM Performance • 1. Create new and improved ME scorecard for 2012 with input from first line managers • 2. Create new scorecard for ME rate readiness • 3. Lead ME team to drive performance improvements to scorecards • 4. Lead ME team to drive OBECD performance, met=90%, exceeds = 95% • 5. Lead ME team to develop road to OBDUE performance in ME projects and MARMs • - Due Date: 12/23/2012 4 3 4 4 4 4 4 4

  10. Boeing Proprietary Boeing Proprietary Kearns 2012 Interim PM Ben K. Engage the Entire Organization Advance the Power of Teams, personal performance, and functional excellence (M) 1. Execute Functional Excellence as measured by backlog and CPJ metrics 2. Demonstrate integrity, ethical conduct, and diversity (M) 3. Respond to all labor issue as required 4. Ensure I have has at least 3 mentees and each 1st level manager have at least 2 mentees each (encourage cross-functional mentoring) 5. Model and Encourage environment of Trust, Transparency, Inclusion, and Truth through communication (M) 6. Promote employee engagement (Cross-talks, skip levels, and floor walks) - Due Date: 12/31/2012 3 3 4 4 4 4

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