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P a g e | 1 
PEX Network Business Insights 
Quality & Continuous Improvement in an Age of Transformation 
Quality & Continuous 
Improvement in an Age of 
Transformation
P a g e | 2 
Quality & Continuous Improvement in an Age of Transformation 
INTRODUCTION: 
To say that the world has become smaller, faster, 
flatter, is somewhat of an understatement. 
Consider this: 
Until little over five years ago Nokia, Research in 
Motion (Blackberry) and Motorola controlled over 
60% of the smartphone market. Today, the once 
almighty Blackberry now has a paltry 2.9% of the 
smartphone market and Nokia, having joined 
focuses with Microsoft has just over 3.2%, (Q1 
2013). And in a sign of just how quickly a 
company’s fortunes can change, the number of 
users with phones working on Android operating 
systems has grown by nearly 80% in the last year 
alone (from 59.1% in Q1 2012 to 75% today). 
Emerging technologies, globalization, and a half-decade 
old economic crisis whose reverberations 
continue to be felt today mean that change seems 
to be coming at us fast and furious. This means 
that companies must frequently adapt and evolve 
their business and operating models. But 
sometimes gradual evolution is not enough. Today, 
there has never been a greater need for more 
radical transformation, more often. 
We’ve seen, for instance, whole industries 
transformed by digital technology. Ten years ago, 
few in the music industry would have predicted 
the impact that a couple computer nerds working 
at a company named after a fruit would have on 
their industry. The book publishing industry is 
today going through the same transformation. 
Quality and continuous improvement approaches 
grew up in the twentieth century. The era of mass 
manufacturing required rigorous, methodical 
approaches to ensure predictable outcomes on 
safety and quality. The pursuit of continuous 
improvement became codified as a set of 
management practices first embodied by the 
Toyota Production System and then Lean 
manufacturing. The main principle behind 
continuous improvement was that small, 
incremental changes would yield massive results 
over time. 
Those practices are still valid today and have since 
spread beyond the borders of manufacturing 
companies to just about every industry on the 
planet. But at a time when just about everything is 
in flux, what can quality and continuous 
improvement do to better support the business 
transformation agenda? 
In this PEX Network roundtable discussion, Vince 
Pierce, Senior Vice-President of Global Business 
Transformation at Office Depot, Estelle Clark, 
Business Assurance Director at Lloyd’s Register and 
Gregory North, Vice-President at Xerox Corporate 
Lean Six Sigma and Business Transformation 
discuss where they see quality and continuous 
improvement heading in today’s era of 
transformative change.
P a g e | 3 
Quality & Continuous Improvement in an Age of Transformation 
“Continuous improvement is a 
mindset. It’s more of a verb. It is an 
activity that happens pervasively in 
the business everywhere we go.” 
- Vince Pierce, SVP Global Business 
Transformation, Office Depot
P a g e | 4 
Quality & Continuous Improvement in an Age of Transformation 
HOW WOULD YOU DEFINE QUALITY, CONTINUOUS 
IMPROVEMENT AND TRANSFORMATION? 
Vince Pierce, Senior Vice 
President Global Business 
Transformation, Office Depot: I 
define the concepts of quality, 
continuous improvement, and 
transformation very differently. I’ll start with 
continuous improvement: it is incremental in 
nature - it’s not breakthrough - and it should be 
pervasive in nature. I tend to think of local, 
autonomous improvement, where every process 
gets improved every day, very, very tactically. 
These are small improvements, small barriers, 
small countermeasures that, over time, 
accumulate and make a heck of a difference to an 
organization. Continuous improvement is a 
mindset. It’s more of a verb. It is an activity that 
happens pervasively in the business everywhere 
we go. 
This is in contrast to transformation, which is 
breakthrough in nature. Although I believe you can 
apply transformation at multiple levels to an 
enterprise, a division of a business or even a 
process, for me, transformation always has some 
element of strategy, people, process and 
technology. 
My definition of quality is very focused on the 
quality aspects of a product or service, whether it 
be accuracy or quality of craftsmanship. I tend to 
think of quality as how well do we do it? Or how 
well do we make something? 
Estelle Clark, Business Assurance 
Director at Lloyd’s Register: For 
me, quality is about something 
that’s organization-wide; it’s an 
organization-wide approach to 
understanding precisely what your customers 
need and then being able to regularly – that’s 
consistently – deliver those solutions within 
budget, on time and, increasingly in today’s world, 
I think, that quality also needs to encompass 
“minimum loss to society”. There’s a sustainability 
obligation there also, in relation to quality. 
I agree with what Vince has said in relation to 
transformation and continuous improvement. But 
one more thought from me on continuous 
improvement: I think that continuous 
improvement is largely about culture. It’s about 
making sure that everyone in the organization 
understands that they have the ability and an 
obligation to look for changes and things that may 
improve things day by day. This is incremental, for 
sure. But the person closest to the work needs to 
understand that this responsibility [for continuous 
improvement] is a key part of their job. 
Gregory North, Vice President 
Lean Six Sigma, Xerox: I’m 
responsible and have the 
privilege of working within the 
Xerox Corporation, globally. To 
really help define what we need for competencies 
in our corporation to drive quality and continuous 
improvement and then enable those competencies 
at all levels across all our businesses. It’s an 
exciting place to be, Xerox is in the process of a 
very public transformation; moving from a strong, 
innovative technology leader, to one that is a 
services-led technology-driven business. That 
means our very business model and our offering is 
in transformation and as a result everything we do 
in the corporation, from a whole-scale change in 
our offering to a change in the way we think about 
delivering that offering is, in a sense, up for grabs. 
It’s a sweet spot for the area of thinking about our 
business from a quality and continuous 
improvement standpoint, in that, really, process is 
at the center of what we’re doing. Our work here 
at Xerox is designed to help our leadership team 
and our employees across the corporation make 
that journey successfully.

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Quality and continuous improvement in der heutigen Ära des Wandels

  • 1. P a g e | 1 PEX Network Business Insights Quality & Continuous Improvement in an Age of Transformation Quality & Continuous Improvement in an Age of Transformation
  • 2. P a g e | 2 Quality & Continuous Improvement in an Age of Transformation INTRODUCTION: To say that the world has become smaller, faster, flatter, is somewhat of an understatement. Consider this: Until little over five years ago Nokia, Research in Motion (Blackberry) and Motorola controlled over 60% of the smartphone market. Today, the once almighty Blackberry now has a paltry 2.9% of the smartphone market and Nokia, having joined focuses with Microsoft has just over 3.2%, (Q1 2013). And in a sign of just how quickly a company’s fortunes can change, the number of users with phones working on Android operating systems has grown by nearly 80% in the last year alone (from 59.1% in Q1 2012 to 75% today). Emerging technologies, globalization, and a half-decade old economic crisis whose reverberations continue to be felt today mean that change seems to be coming at us fast and furious. This means that companies must frequently adapt and evolve their business and operating models. But sometimes gradual evolution is not enough. Today, there has never been a greater need for more radical transformation, more often. We’ve seen, for instance, whole industries transformed by digital technology. Ten years ago, few in the music industry would have predicted the impact that a couple computer nerds working at a company named after a fruit would have on their industry. The book publishing industry is today going through the same transformation. Quality and continuous improvement approaches grew up in the twentieth century. The era of mass manufacturing required rigorous, methodical approaches to ensure predictable outcomes on safety and quality. The pursuit of continuous improvement became codified as a set of management practices first embodied by the Toyota Production System and then Lean manufacturing. The main principle behind continuous improvement was that small, incremental changes would yield massive results over time. Those practices are still valid today and have since spread beyond the borders of manufacturing companies to just about every industry on the planet. But at a time when just about everything is in flux, what can quality and continuous improvement do to better support the business transformation agenda? In this PEX Network roundtable discussion, Vince Pierce, Senior Vice-President of Global Business Transformation at Office Depot, Estelle Clark, Business Assurance Director at Lloyd’s Register and Gregory North, Vice-President at Xerox Corporate Lean Six Sigma and Business Transformation discuss where they see quality and continuous improvement heading in today’s era of transformative change.
  • 3. P a g e | 3 Quality & Continuous Improvement in an Age of Transformation “Continuous improvement is a mindset. It’s more of a verb. It is an activity that happens pervasively in the business everywhere we go.” - Vince Pierce, SVP Global Business Transformation, Office Depot
  • 4. P a g e | 4 Quality & Continuous Improvement in an Age of Transformation HOW WOULD YOU DEFINE QUALITY, CONTINUOUS IMPROVEMENT AND TRANSFORMATION? Vince Pierce, Senior Vice President Global Business Transformation, Office Depot: I define the concepts of quality, continuous improvement, and transformation very differently. I’ll start with continuous improvement: it is incremental in nature - it’s not breakthrough - and it should be pervasive in nature. I tend to think of local, autonomous improvement, where every process gets improved every day, very, very tactically. These are small improvements, small barriers, small countermeasures that, over time, accumulate and make a heck of a difference to an organization. Continuous improvement is a mindset. It’s more of a verb. It is an activity that happens pervasively in the business everywhere we go. This is in contrast to transformation, which is breakthrough in nature. Although I believe you can apply transformation at multiple levels to an enterprise, a division of a business or even a process, for me, transformation always has some element of strategy, people, process and technology. My definition of quality is very focused on the quality aspects of a product or service, whether it be accuracy or quality of craftsmanship. I tend to think of quality as how well do we do it? Or how well do we make something? Estelle Clark, Business Assurance Director at Lloyd’s Register: For me, quality is about something that’s organization-wide; it’s an organization-wide approach to understanding precisely what your customers need and then being able to regularly – that’s consistently – deliver those solutions within budget, on time and, increasingly in today’s world, I think, that quality also needs to encompass “minimum loss to society”. There’s a sustainability obligation there also, in relation to quality. I agree with what Vince has said in relation to transformation and continuous improvement. But one more thought from me on continuous improvement: I think that continuous improvement is largely about culture. It’s about making sure that everyone in the organization understands that they have the ability and an obligation to look for changes and things that may improve things day by day. This is incremental, for sure. But the person closest to the work needs to understand that this responsibility [for continuous improvement] is a key part of their job. Gregory North, Vice President Lean Six Sigma, Xerox: I’m responsible and have the privilege of working within the Xerox Corporation, globally. To really help define what we need for competencies in our corporation to drive quality and continuous improvement and then enable those competencies at all levels across all our businesses. It’s an exciting place to be, Xerox is in the process of a very public transformation; moving from a strong, innovative technology leader, to one that is a services-led technology-driven business. That means our very business model and our offering is in transformation and as a result everything we do in the corporation, from a whole-scale change in our offering to a change in the way we think about delivering that offering is, in a sense, up for grabs. It’s a sweet spot for the area of thinking about our business from a quality and continuous improvement standpoint, in that, really, process is at the center of what we’re doing. Our work here at Xerox is designed to help our leadership team and our employees across the corporation make that journey successfully.