Performance excellence is based on about
change. Changing what we build, how we build it and how we run
our companies to deliver more home forand have it cost less.
High performance organizations are customer driven and engage
everyone to aggressively pursue ways to do things better, faster,
for less cost. It means providing ever higher levels of quality
and value to our home buyers, which. This is the foundation for
more sales and greater profits.
New products, better materials and cost
saving improvements - builders make these are busy doing these
things happen every day. So what’s new? Results.
Results. Many builders who use traditional
management techniques seem to make all of these improvements
to their businesses do all these things but still do not reach
their sales and profit goals.
Getting ahead requires finding a better
way to deliver superior results. To find out what works, the
U.S. Department of Commerce assembled some of the best business
minds from industry and academia to study the issue. The results
of their findings were formed into the a Total Quality Management
model of business excellence. The Malcolm Baldrige National Quality
Award is based upon this model. Adapted to builders, this model
it also sets the criteria for the National Housing Quality (NHQ)Award.
Do Total Quality Management practices work
for home builders? If profits are a measure, the answer is yes.
Mercedes Homes, a 1996 NHQ Award winner,
used the NHQ criteria as a model to "tune-up" their
management practices. As a result of this improvement process
they had higher profits in 1996 than the previous five years
combined! Scott Buescher, V.P. Operations, COO, attributes reports
that using the NHQ model was a major factor in their success.
Mercedes Homes is not alone. Gross profit
margins of NHQ Award winners over the last five years average
25% range from 10 to 18%. That is more than double the national
average.
To achieve get similar results, you may
have to tune up your management practices. A good place to start
is to take a close look at your company from a Total Quality
perspective is a good place to start. You know how your profits
compare, now it is time to assess your business management practices.
Preparing an NHQ application sets the agenda
for a detailed Total Quality business assessment of your company.
Every question is carefully designed to stimulate you to take
an provide an insightful look into the activities and processes
that define how your company operates. In the process, you benefit
by validating your company’s accomplishments and see prompt
you to consider how you can use Total Quality Management practices
to tune-up your company.
All builders that submit an NHQ application
receive detailed feedback on strengths and improvement opportunities
from the NHQ judging panel of industry experts. Completing an
NHQ application is a rigorous process and an important step in
every builder’s quality journey. In the process you will
benefit by validating your company’s accomplishments and
get some good ideas for improving how your company operates.
After you submit your application you will receive detailed feedback
on strengths and opportunities for improvement from the NHQ judging
panel of industry experts.
"No other program has provided our
company with more rewards, both financial and operational, than
the NHQ application process provides." Tom Gillespie, President
Kennedy Community Development, a multi-year applicant and 1997
NHQ Award winner.
Your next first step on the road to Total
Quality: Request is to request a 1998 NHQ application. See the
NHQ Call For Entries page for details. Do not miss this opportunity
- it could be the change you have been looking for.