The Award is named for Malcolm Baldrige, who served as Secretary of
Commerce from 1981 until his tragic death in a rodeo accident in 1987. His
managerial excellence contributed to long-term improvement in efficiency
and effectiveness of government. The Findings and Purposes Section of
Public Law 100-107 states that:"
|1|the leadership of the United States in product and process quality |
|.|has been challenged strongly (and sometimes successfully) by foreign |
| |competition, and our Nation's productivity growth has improved less |
| |than our competitors' over the last two decades. |
| | |
|2|American business and industry are beginning to understand that poor |
|.|quality costs companies as much as 20 percent of sales revenues |
| |nationally and that improved quality of goods and services goes hand |
| |in hand with improved productivity, lower costs, and increased |
| |profitability. |
| | |
|3|strategic planning for quality and quality improvement programs, |
|.|through a commitment to excellence in manufacturing and services, are|
| |becoming more and more essential to the well-being of our Nation's |
| |economy and our ability to compete effectively in the global |
| |marketplace. |
| | |
|4|improved management understanding of the factory floor, worker |
|.|involvement in quality, and greater emphasis on statistical process |
| |control can lead to dramatic improvements in the cost and quality of |
| |manufactured products. |
| | |
|5|the concept of quality improvement is directly applicable to small |
|.|companies as well as large, to service industries as well as |
| |manufacturing, and to the public sector as well as private |
| |enterprise. |
| | |
|6|in order to be successful, quality improvement programs must be |
|.|management-led and customer-oriented, and this may require |
| |fundamental changes in the way companies and agencies do business. |
| | |
|7|several major industrial nations have successfully coupled rigorous |
|.|private-sector quality audits with national awards giving special |
| |recognition to those enterprises the audits identify as the very |
| |best; and |
| | |
|8|a national quality award program of this kind in the United States |
|.|would help improve quality and productivity by: |
| |a|helping to stimulate American companies to improve quality and |
| |.|productivity for the pride of recognition while obtaining a |
| | |competitive edge through increased profits; |
| |b|recognizing the achievements of those companies that improve the |
| |.|quality of their goods and services and providing an example to |
| | |others; |
| |c|establishing guidelines and criteria that can be used by business,|
| |.|industrial, governmental, and other organizations in evaluating |
| | |their own quality improvement efforts; and |
| |d|providing specific guidance for other American organizations that |
| |.|wish to learn how to manage for high quality by making available |
| | |detailed information on how winning organizations were able to |
| | |change their cultures and achieve eminence." |
| |Malcolm Baldrige National Quality Award |
| |In 1987, jumpstarting a small, slowly growing U.S. |
| |quality movement, Congress established the Malcolm |
| |Baldrige National Quality Award to promote quality |
| |awareness, to recognize quality and business |
| |achievements of U.S. organizations, and to publicize |
| |these organizations’ successful performance |
| |strategies. Now considered America’s highest honor |
| |for performance excellence, the Baldrige Award is |
| |presented annually to U.S. organizations by the |
| |President of the United States. Awards are given in |
| |manufacturing, service, small business, and, starting|
| |in 1999, education and health care. In conjunction |
| |with the private sector, the National Institute of |
| |Standards and Technology designed and manages the |
| |award and the Baldrige National Quality Program. |
| |Application process |
| |To apply for the award, organizations must submit |
| |details showing their achievements and improvements |
| |in seven key areas: leadership, strategic planning, |
| |customer and market focus, information and analysis, |
| |human resource focus, process management, and |
| |results. Applicants receive 300 to 1,000 hours of |
| |review and a detailed report on the organization’s |
| |strengths and opportunities for improvement by an |
| |independent board of examiners. “The application and |
| |review process for the award is the best, most |
| |cost-effective, and comprehensive business health |
| |audit you can get,” said Arnold Weimerskirch, former |
| |Baldrige Award judge and vice president of quality, |
| |Honeywell, Inc. |
| |Program impact |
| |Since the first awards were presented in 1988, the |
| |Baldrige National Quality Program has grown in |
| |stature and impact. Today, the Baldrige program, the |
| |award’s criteria for performance excellence, and the |
| |Baldrige award recipients are imitated and admired |
| |worldwide. |
| |In particular, the Baldrige criteria for performance |
| |excellence have played a valuable role in helping US |
| |organizations improve. The criteria are designed to |
| |help organizations improve their performance by |
| |focusing on two goals: delivering ever improving |
| |value to customers and improving the organization’s |
| |overall performance. Approximately 2 million copies |
| |of the criteria have been distributed since 1988, and|
| |wide-scale reproduction by organizations and |
| |electronic access add to that number significantly. |
| |Gordon Black, chairman and chief executive officer of|
| |Harris/Black International Ltd., said the publication|
| |containing the Baldrige criteria for performance |
| |excellence is “probably the single most influential |
| |document in the modern history of American business.”|
| | |
| |Following are some of the program’s highlights: |
| |For the eighth year in a row, a hypothetical stock |
| |index, made up of publicly traded US companies that |
| |have received the Baldrige Award, has outperformed |
| |the Standard & Poor’s 500. This year, the “Baldrige |
| |Index” outperformed the S&P 500 by 4.4 to 1. |
| |State and local quality programs, most modeled after |
| |the Baldrige program, have grown from fewer than 10 |
| |in 1991 to 54 programs in 44 states. |
| |Internationally, nearly 60 quality programs are |
| |operating. Most are modeled after the Baldrige |
| |program, including one established in Japan in 1996. |
| | |
| |Since 1988, 871 applications have been submitted for |
| |the Baldrige Award from a wide variety of types and |
| |sizes of organizations. |
| |Malcolm Baldrige National Quality Award Winners |
| |2003 |
| |Medrad, Inc., Indianola, Pa. (manufacturing) |
| |Boeing Aerospace Support, St. Louis, Mo. (service) |
| |Caterpillar Financial Services Corp., Nashville, |
| |Tenn. (service) |
| |Stoner Inc., Quarryville, Pa. (small business) |
| |Community Consolidated School District 15, Palatine, |
| |Ill. (education) |
| |Baptist Hospital, Inc., Pensacola, Fla. (health care)|
| | |
| |Saint Luke’s Hospital of Kansas City, Kansas City, |
| |Mo. (health care) |
| |2002 |
| |Motorola Inc. Commercial, Government and Industrial |
| |Solutions Sector |
| |Schaumburg, Ill. (manufacturing) |
| |Branch-Smith Printing Division |
| |Fort Worth, Texas (small business) |
| |SSM Health Care |
| |St. Louis, Mo. (health care) |
| |2001 |
| |Clarke American Checks, Incorporated |
| |San Antonio, Texas (manufacturing) |
| |Pal’s Sudden Service |
| |Kingsport, Tenn. (small business) |
| |Chugach School District |
| |Anchorage, Alaska (education) |
| |Pearl River School District |
| |Pearl River, N.Y. (education) |
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