FOUR U.S. ORGANIZATIONS HONORED WITH THE 2012 BALDRIGE NATIONAL QUALITY AWARD WASHINGTON, D.C.—Acting U.S. Commerce Secretary Rebecca Blank today named four U.S. organizations as recipients of the 2012 Malcolm Baldrige National Quality Award, the nation’s highest Presidential honor for performance excellence through innovation, improvement and visionary leadership.The winners in this, the 25th anniversary year of the award, represent four different sectors, one repeat recipient and a health network recognized for the same honor earned previously by its flagship hospital. The 2012 Baldrige Award recipients— listed with their category—are: • Lockheed Martin Missiles and Fire Control, Grand Prairie, TX (manufacturing) • MESA Products Inc., Tulsa, OK (small business) • North Mississippi Health Services, Tupelo, MS. (health care) • City of Irving, Irving, TX (nonprofit) MESA previously received a Baldrige Award in 2006, also in the small business category. Another 2006 award winner, North Mississippi Medical Center in the health care category, is the primary hospital of this year’s much larger recipient, North Mississippi Health Services. “The four organizations recognized today with the 2012 Baldrige Award are leaders in the truest sense of the word and role models that others in the health care, nonprofit and business sectors worldwide will strive to emulate,” said Acting Secretary Blank. “They have set the bar high for innovative practices, dynamic management, financial performance, outstanding employee and customer satisfaction, and, most of all, for their unwavering commitment to excellence and proven results.” This year marks the silver anniversary of both the award and the Baldrige Performance Excellence Program (BPEP) that supports it. To date, more than 1,500 U.S. organizations have applied for the Baldrige Award, and there are Baldrige-based award programs in nearly all 50 states.Internationally, the program has served as a model for nearly 100 quality programs. A December 2011 study by Albert N. Link and John T. Scott measuring the Baldrige Program’s value to U.S. organizations conservatively estimated a benefit-to-cost ratio of 820 to 1, while a 2011 report by Thomson Reuters found that health care organizations that have won or been in the final review process for a Baldrige Award outperform other hospitals in all but one metric the company uses to determine its “100 Top Hospitals” in the nation (and were six times more likely to be among the top 100). The 2012 Baldrige Award recipients were selected from a field of 39 applicants. All of the applicants were evaluated rigorously by an independent board of examiners in seven areas defined by the Baldrige Criteria for Performance Excellence: leadership; strategic planning; customer focus; measurement, analysis and knowledge management; workforce focus; operations focus; and results. The evaluation process for each of the recipients included about 1,000 hours of review and an on-site visit by a team of examiners to clarify questions and verify information in the applications. For the first time this year, Baldrige Award applicants were required to have previously received their state’s performance excellence award (seewww.nist. gov/baldrige/2012_applications.cfm). Another innovation added to the Baldrige Award process in 2012 is ability to recognize best practices in one or more of the Baldrige Criteria categories by organizations that are candidates for the award but are not selected as a winner (see http://www.nist.gov/baldrige/ baldrige-062712.cfm). This year, the Baldrige judges have chosen to honor the following organizations (listed with the criteria for which they are being acknowledged): • Maury Regional Medical Center, Columbia, TN (strategic planning, workforce focus) • Northwest Vista College, San Antonio, TX (leadership, customer focus) • PricewaterhouseCoopers Public Sector Practice, McLean, VA (leadership, workforce focus) The 2012 Baldrige Award recipients are expected to be presented with their awards at an April 2013 ceremony in Baltimore, MD. The BPEP is managed by the U.S. Commerce Department’s National Institute of Standards and Technology (NIST) in cooperation with the private sector. It also is a partner in the Baldrige Enterprise, which includes the private-sector Baldrige Foundation, the Alliance for Performance Excellence—a body made up of the 33-plus state, local, regional and sectorspecific Baldrige-based programs serving nearly all 50 states; and ASQ, an international organization promoting quality. The program raises awareness about the importance of performance excellence in driving the U.S. and global economy; provides organizational assessment tools and criteria; educates Leaders in businesses, schools, health care organizations, and government and nonprofit organizations about the practices of national role models; and recognizes them with the Baldrige Award in six categories: manufacturing, service, small business, health care, education and nonprofit. Thousands of organizations worldwide use the Baldrige Criteria to guide their operations, improve performance and get sustainable results. This proven improvement and innovation framework offers organizations an integrated approach to key management areas.The criteria are regularly updated to reflect the leading edge of validated management practice. The Baldrige Award is not given for specific products or services. Since 1988, 93 organizations have received the award. HBS SURVEY REVEALS WIDE AGREEMENT ON PATHS FORWARD TO RESTORE U.S. COMPETITIVENESS BOSTON—A new Harvard Business School (HBS) survey reveals serious concern about America’s competitiveness trajectory, but wide agreement between liberals and conservatives on the policy imperatives that Congress and President Obama should advance following the election. The survey, conducted in September 2012, polled 6,836 HBS alumni, many in top management positions, and 1,025 members of the general public.This is the second annual survey on U. S. competitiveness, following a similar poll in 2011. The research is part of the HBS U.S. Competitiveness Project, a multi-year project started in 2010 to assess structural challenges to the U. S. economy and identify ways that leaders in business, labor, government, and academia can work together to address those challenges. The Project is co-chaired by Professors Michael Porter and Jan Rivkin. “All sides agree that the United States faces existential competitiveness challenges. All sides agree on the basic direction that federal policies need to take. Yet, until now, no progress has been made in Washington. This failure to act is severely damaging America’s competitiveness,” said Professor Michael Porter. “With the election behind us, the President and the new Congress must act now to restore the United States as a highly productive and efficient business location for firms and workers.” Fifty-eight percent of alumni business leader respondents expect a decline in U.S. competitiveness over the next three years, with firms in the U. S. less able to compete in the global economy, less able to pay workers good wages and benefits, or both. Pessimism about the trajectory of U. S. competitiveness eased somewhat from the 2011 survey, though opinions diverged along ideological lines: pessimism among strongly liberal business leaders who responded in both years declined from 72% in 2011 to 53% in 2012, while it fell only slightly among strongly conservative business leaders, from 71% in 2011 to 65% in 2012. “It’s important to note that the 2012 results show a reduction in pessimism, not optimism in an absolute sense,” said Professor Jan Rivkin. “Even among the strongly liberal respondents in 2012, the majority (53%) expect U.S. competitiveness to be worse in three years. They see the boat as sinking more slowly, but still sinking.” The survey showed wide agreement across ideological lines about America’s strengths and weaknesses, as well as agreement between business leaders and the general public. Respondents in both 2011 and 2012 were asked to assess the state and trajectory of 17 elements that drive national competitiveness. Key findings included: • Business leaders and the general public identified America’s political system, tax code, K-12 education system, macroeconomic policy, regulatory environment, and legal framework as weaknesses that were continuing to deteriorate relative to other economies. • Business leaders saw entrepreneurship, quality of management, property rights protection, innovation, capital markets, and depth of regional industry clusters as American strengths that were improving.Members of the general public also saw these elements as strengths, but mostly on the decline. • Between 2011 and 2012, business leaders remained stubbornly pessimistic about the complexity of the tax code, the K-12 education system, and the regulatory environment even as their views of most elements of the business environment brightened somewhat. The 2012 survey provides a consensus roadmap for lawmakers to restore competitiveness, with business leaders across the political spectrum showing robust support for seven policy directions: • A compromise for a sustainable federal budget, corporate tax reform and easing of high-skill immigration got very strong support from both strongly liberal and strongly conservative business leaders. Approval percentages were in the high 80s or low 90s. • Responsible extraction of newlyaccessible energy supplies and more Aggressive pursuit of a level playing field in the international trading system received strong and comparable support from business leaders at both ends of the political spectrum, with approval percentages in the high 70s. • Greater infrastructure investment and selective streamlining of regulations got strong support from business leaders, but the strength of support differed somewhat between liberals and conservatives. Greater infrastructure investment received stronger support from liberal business leaders, while selective streamlining of regulations saw stronger approval from conservatives. • Of these seven policy directions, all but high-skill immigration were supported by the majority of the general public. More than 70% of the general public approved of corporate tax reform.“Our corporate tax code clearly needs to be modernized,” said Professor Mihir Desai. “Restructuring the corporate tax toward a broader base, a lower statutory rate, and a more competitive system of taxing foreign profits can benefit both American workers and shareholders.” The survey also found wide support among business leaders and the general public for a federal budget compromise involving both revenue increases and spending cuts. “We need both if we want to get the budget on a sustainable path while preserving the investments in basic R&D, infrastructure, and education that underpin competitiveness,” said Professor Matt Weinzierl. The survey of business leaders revealed thousands of firms engaged in actions that improve the U.S. business environment, with more willing to consider such actions. Particularly widespread steps by business today were internal training programs, regional initiatives to boost competitiveness, and research collaboratives.When asked about future steps, respondents expressed interest especially in partnerships with community colleges and vocational schools as well As apprenticeships to help train a new generation of workers. “American institutions have tended to operate in silos,” said Professor Rosabeth Moss Kanter. “But to build business ecosystems that can compete in today’s global economy, America needs strong linkages across businesses, educational institutions, nonprofits, and the public sector.” Nitin Nohria, Dean of Harvard Business School, summed up his interpretation of the survey findings: “Historically, the United States has always risen to face the nation’s greatest challenges. Economically, we face such a challenge today. The message from business and labor to our political leaders is clear: we must make the word ‘compromise’ an honored word in American politics again. As we’ve found through our work on the U.S. Competitiveness Project, a diverse group of leaders stands ready to support Washington in this effort.” The 2012 survey was conducted in collaboration with Abt SRBI and GfK. INDUSTRIAL MANUFACTURING M&A ACTIVITY REBOUNDS IN THIRD QUARTER NEW YORK, NY—Overall merger and acquisition (M&A) activity soared in the industrial manufacturing sector during the third quarter of 2012, according to Assembling Value, a quarterly analysis of M&A activity in the global industrial manufacturing industry by PwC US. Total deal value reached $25 billion, up 32 % from $19 billion in the previous quarter, and up 150% from $10 billion in the third quarter of 2011. It was the highest total transaction value for the industrial manufacturing sector in four years. In addition, the total number of transactions worth more than $50 million increased to 43 in the third quarter, up from 32 in the previous quarter and 34 in the third quarter of 2011. There were six mega deals (transactions worth more than $1 billion) announced during the third quarter, all driven by U.S. acquirers. “The M&A environment for industrial manufacturing companies improved significantly during the third quarter, even as other manufacturing sectors continued to witness subdued transactional activity due to the uncertain economic outlook,” says Bobby Bono, U.S. industrial manufacturing leader for PwC. “However, while future industrial manufacturing transaction activity appears promising, a number of macro-economic concerns may curtail near-term activity, including the potential for further economic deterioration, lower levels of new orders and revenues, and a lack of confidence in the direction of global commerce.” Divestitures continued to play a significant role in deal making during the third quarter, which may be considered a sign of ongoing right-sizing, exiting slower growth or more cyclical markets, and moving manufacturing closer to the customer. Domestic manufacturers have spent several quarters restructuring and right-sizing operations, as well as ramping up productivity, which Has left them with significant cash reserves on their balance sheets. “Solid growth in the energy, oil and gas, and green technology sectors, has also stimulated M&A activity in the industrial manufacturing sector, a trend that was evident across all ranges of transactions,” Bono adds. “During the third quarter, tender offers also continued to gain momentum, and there was a slight uptick in the percentage of companies going private.” In the third quarter of 2012, strategic investors continued to drive deal activity with 77 % active in deals worth more than $50 million.Financial investors largely remained on the sidelines during the quarter, although they did participate in four of the ten largest deals. “Strategic investors have generally maintained healthy balance sheets, which may fuel higher acquisition prices, further supported by the potential to drive future synergies. In fact, while strategic investor activity was spread across all subsectors, financial investors remained more conservative in their acquisition strategies, focusing their efforts predominantly on industrial machinery, which had lower transaction multiples,” adds Bono. The resilience of the U.S. manufacturing sector and the slow, but stable overall economic growth, may have been attractive for strategic, longterm investors. Moreover, the value of North American targets far exceeded the value of targets from any other region, an indication of both the size and maturity of targets from this region and the fairly attractive nature of the North American manufacturing market. However, while U.S. acquirers drove the value of deals in the third quarter, it was the non-U.S.-affiliated targets and acquirers that continued to generate higher transaction volumes. In addition, after a quiet first half of the year, the rebound in industrial manufacturing deal activity extended to the BRIC (Brazil, Russia, India and China) countries, driven by optimism for the recovery and growth of their respective manufacturing sectors. “Despite failing to get traction in the M&A arena in the first half of 2012, India generated five deals in the third quarter. Only one of the deals was local, while the remaining four were cross-border deals. The targets were operating in industrial sectors including plastic injection molding machines, electronic transformers and switchgears, and power transmission products,” said Bono.“India’s recovering and expanding manufacturing sector may be one factor in the increase in deal activity.This positive trend was driven by an expansion in output linked to stronger demand.” The regional distribution of deals in the third quarter reversed many trends established in 2012. While the majority of deals in the first half of the year were local transactions involving developed nations, for the most part, and the U.S. in particular, third quarter activity was dominated by cross-border transactions. While North America Continued to be one of the most active regions, Asia and Oceania led the activity in terms of both targets and acquirers. Europe also remained fairly active in the third quarter of 2012 and a larger percentage of transactions worth more than $50 million involved either inbound or outbound deals. “The uncertainty in the EU region has provided outside acquirers with the opportunity to merge with major competitors at a relatively low cost and eliminate significant peers. At the same time, the transactions announced during the third quarter also involved targets in some of the most stable EU countries, such as Germany, France, Switzerland, Netherlands, and Sweden,” concluded Bono. “The valuations were fairly stable, and none of the targets were distressed. There were also no deals in the periphery, which eliminated a significant portion of the acquirers’ foreign business environment risks.” While industrial machinery continued to lead overall deal activity with 42 % of total deals worth more than $50 million, several sub-sectors such as fabricated metal products and electronic equipment showed strength during the third quarter. This is in line with the recent trend whereby the sector is seeing increased activity in smaller sub-sectors. Fabricated metal products generated the second-largest number and largest value of transactions during the third quarter, as the recent growth in fabricated metals’ end markets, such as housing, automobile manufacturing and energy, drove the interest in the subsector. MSCI STRESSES NEED FOR BUDGET CHANGES FOR MANUFACTURING INDUSTRY GROWTH ROLLING MEADOWS, IL—As Congress returns to work, Metals Service Center Institute (MSCI) President and CEO M. Robert Weidner III, expressed the need for Congress and the Obama administration to refocus their energy and efforts on issues critical to manufacturing and the metals industry. Since August, MSCI held 11 manufacturing summits across the country, drawing more than 3,000 members and their employees and Customers to discuss issues important to the industry. “Over the last three months, our members and others within the manufacturing industry have made it clear: Their success is dependent upon political leadership and pro-manufacturing policies,” Weidner says. “Our elected leaders have a responsibility to deliver meaningful results for the American people and the U.S. metals industry.We have real challenges ahead and MSCI is eager to roll up its sleeves and immediately get to work with our elected leaders.” Specifically, MSCI urges the president and Congress to work together to develop and pass a budget that incentivizes growth and corrects our debt and deficit balances. Additionally, members are seeking a commonsense regulatory framework that fosters job and economic growth and at the same time need a simpler, flatter and fairer tax system to have the confidence to invest and innovate. On a global scale, members are dependent on our leaders to expand access to global markets and enforce trade agreements. In particular, MSCI strongly encourages the Obama administration to demand that China comply with all of its WTO obligations and allow its currency to trade freely on the global foreign exchange markets. For a stronger America and a growing economy, members also need a clear energy policy—one that produces steady, reliable and affordable energy from all domestic sources. “Manufacturing could be the primary force of change in turning around the economy,” explains Weidner, citing a study commissioned by MSCI. The study revealed the metals industry has a total economic impact of more than $550 billion or more than 3.5% of GDP.In addition, companies involved in the production, wholesaling and primary processing of metals provide more than 2.4 million jobs nationwide that pay more than $55 billion in wages to families throughout the country and approximately $65 billion in local, state and federal taxes. COMING EVENTS JANUARY 21-24 AUTOMATE 2013 Association for Advancing Automation Chicago, IL (734) 994-6088 firstname.lastname@example.org www.automate2013.com/ BUSINESS NEWS STERLING HEIGHTS, MI—STERLING MFG. & ENG. INC., a leader in manual and automatic precision gage systems for more than 23 years, is moving to a larger facility. The 24,000 square-foot Sterling Heights facility is fully air-conditioned with a 17025 temperature controlled inspection lab. The new facility will provide Sterling with room to expand its in-house design and build capabilities for the automotive, aerospace, farm implement, machine tool and appliance industries. ROCHESTER, NY—OPTICAL GAGING PRODUCTS (OGP), a division of Quality Vision International Inc. (QVI), marked a proud milestone this week with delivery of the 5,000th Smart- Scope Flash multisensor measuring system.SmartScope Flash systems are high performance dimensional measurement tools for components used in industries ranging from consumer products to aerospace components to medical devices. AUBURN HILLS, MI—CHRYSLER GROUP LLC reported U.S. sales of 126,185 units, a 10% increase compared with sales in October 2011 (114,512 units), and the group’s best October sales since 2007. The Chrysler, Dodge, Ram Truck and FIAT brands each posted year-over-year sales gains in October compared with the same month a year ago. The FIAT brand’s 89 % increase was the largest sales gain of any Chrysler Group brand for the month. October marked Chrysler Group’s 31st-consecutive month of yearover- year sales gains. ROCHESTER, NY—TRANSCAT INC., a distributor of professional-grade handheld test, measurement and control instruments and accredited provider of calibration, repair, inspection and other compliance services, reported financial results for its second quarter ended September 29, 2012. Included in the reported results are those of NEWARK CORP.’S calibration services business, which the Company acquired on September 8, 2011 and those of Anacor Compliance Services, Inc., which the company acquired on July 16, 2012. Fiscal 2013 second quarter total revenue increased 6.4%, to $26.8 million from $25.2 million in the second quarter of the prior fiscal year on strong Service segment revenue growth of 19.8%. Product segment sales were consistent with the prior year at $16.9 million. BELGIUM, LUXEMBOURG—Consistent with its strategy to support its customers wherever they are located, TRESCAL GROUP opened six new calibration laboratories this year. Calibration services are based on technical skills but also on a local service that ensures responsiveness and flexibility. For these reasons the group chooses to locate its laboratories closest to its customers. Six new laboratories located in Bayonne, Lyon and Nantes, France; Kecskemet (Hungary), Singapore and Tunis have thus emerged . RANDOLPH, NJ—BRIGHTON CROMWELL has completed the rigorous quality systems review process to attain certification to the SAE Aerospace standard AS 9120 (AS9120A 2009).Brighton Cromwell is a certified small business supply chain integrator providing purchasing, logistics and kitting services to the DoD and prime contractors globally. PEOPLE MAPLE GROVE, MN—Carl Zeiss announces the appointment of MARK SMITH as vice president of sales for the Industrial Metrology group in North America. Smith will use his sales knowledge and skills to provide a better experience for Zeiss metrology customers. Smith will also lead new business initiatives, bringing new technologies to meet the increasing market demands.
Published by QualityMagazine. View All Articles.
This page can be found at http://digital.bnpmedia.com/article/Industry+News/1268718/140053/article.html.