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Essay / Malcomb Baldrige National Quality Award Analysis
In the mid-1980s and 1990s, business leaders realized that a renewed focus on quality was necessary to continue to compete in a global marketplace expanding. (NIST, 2010) Therefore, several strategic frameworks have been developed to manage and measure organizational performance. Among them were the Malcomb Baldrige National Quality Award, created by an act of Congress and signed into law by the president in 1987, and the Balanced Scorecard, a performance management tool born from research conducted in the late 1980s and early 1980s. 1990 by Robert S. Kaplan and David P. Norton published in 1996 (Kaplan, 1996). Initially, the renewed emphasis on quality management systems was a reaction to the LEAN approach. Two of these limitations are that there are no basic guidelines for selecting performance measures and that feedback from financial perspectives to customer and process perspectives is unnecessarily complex (Dror, 2008). ).The Malcolm Baldridge Performance Excellence ProcessThe Malcolm Baldrige National Quality Award is recognized as an extraordinary means for for-profit, nonprofit, educational, and healthcare organizations to improve organizational performance and competitiveness. The Baldrige Criteria provide a structured approach to achieving performance excellence and an ideal set of performance and quality criteria toward which an organization should continually strive. The criteria are used to help organizations evaluate their improvement efforts and diagnose their overall performance management system (Byrne, 2003). The Baldrige Criteria addresses seven broad categories, each with sub-criteria and points assigned. In the business criteria for performance excellence, these categories are: 1. Leadership: how senior management leads the organization toward best-in-class process management: how the organization designs and improves key processes.7. Organizational Performance Results: Organizational performance across all key business areas, including customer satisfaction, financial performance, human resources, partner performance, operational performance, governance and social responsibility. (ASQ, nd)The criteria are designed to work in an integrated manner to achieve a system of performance excellence. For example: Leadership; Strategic planning; and customer and market orientation, combine to highlight the importance of management's focus on strategy and customer satisfaction (Shields, 2013). The criteria are written as a series of questions that can help an organization understand itself better. Critics of the Baldrige process say the criteria are too focused on business outcomes and not enough on quality. Currently, the customer and market driven category accounts for 450 of the criterion's possible 1,000 points. (Schonberger, 2001) Richard Schonberger, president of Schonberger and Associates, a performance management consultancy, asserts that "the business results category should not be part of the criteria at all" (Schonberger, 2001). Conclusion – Apples and