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Functional Quality Management Systems

John D. Lawrence Extension Livestock Economist Iowa State University

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Overview
n Complex

world n Quality Management System n EMS example n Two upcoming programs

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Marketplace Trends
n

Market segmentation n Player consolidation n Globalization n Product differentiation n Supply chain coordination n Integration and disintegration co-exist n Innovation
n process n product

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Supply Chain Trends

Three Ts are driving and enabling change 1) Technology 2) Traceability 3) Transparency

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Given That Answer This for Your Business

n

Who are we? Who is our customer? n What do we do? How do we plan to do that? How will we measure our efforts? n How good do we expect to be? How do we plan to improve? n Where are we headed? How will we get there?

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Business model
n Develop

a mission statement n Evaluate strengths and weaknesses n Set goals and objectives n Identify priorities and action plan n Monitor progress n Review plan

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QMS Model
Plan

Act

Policy Statement

Do

Check

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Eight Quality Mgt. Principles

1) Customer Focus 2) Leadership 3) Involvement of People 4) Process Approach 5) System Approach to Mgt. 6) Continual Improvement 7) Factual Approach to Decision Making 8) Mutually Beneficial Supplier Relationships

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QMS Examples
n ISO

9000 n USDA Process Verified n ISO 14001 EMS n Organic n SWAP

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Functional QMS
n Practical

to implement n Builds upon existing programs n Economically feasibly n Beneficial to your business n Beneficial to your stakeholders n Meaningful outcomes

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QMS is Based on ISO Principles

Say what you do Do what you say Prove it Improve it
Focus on the Process Not the Product

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QMS Communication
n Internal

team members
employees

n Family,

n External

Stakeholders

n Suppliers n Customers n Regulators n Neighbors

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Environmental Management Systems

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Confidence that current expertise meets operations needs

60 50 40 Number 30 20 10 0

Livestock Crop Business Environment

Not confident

Confident

58% of producers had no written management plans

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Existing Technical Plans are the Foundation to EMS

Defining Farm s Environmental Direction
re nu ng Ma eti rk Ma lan P

Documenting Plan s Implementation

Environmental Farm Plans and Permits

Nutrient Plan
Ma St nur or e Pl age an

CN MP

or Od n Pla

Identifying Performance Goals & Implementation Plan

Conservation Plan

Review & Improve Plan s Performance

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EMS Adds Management to Insure Implementation

re nu ng Ma eti rk Ma lan P

Defining Farm s Environmental Direction

Documenting Plan s Implementation

Environmental Farm Plans and Permits

Nutrient Plan
Ma St nur or e Pl age an

CN MP

or Od n Pla

Identifying Performance Goals & Implementation Plan

Conservation Plan

Review & Improve Plan s Performance

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Nutrient Mgmt. Plan

Inventory Review as Necessary Strategic Plan Annual Review Plan Modification Documentation & Records

EMS
Plan Plan

Review

Environmental Policy

Implement

Annual Plan

Check & Correct

Strengths Technical
- Plan - Record keeping - Industry recognition

Strengths Process
- Assessment of risks - Plan implementation - Continual improvement

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What Questions Are You Asking?

n

Why bother, its not required? n How can I be sure that I am doing the right things? n How do I be proactive to avoid risks? n How do I show I am a good actor? n How do I to stay ahead of the curve?

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EMS as a Business Model

n

Manage your business for profits n Incorporate into your management

n Environmental

regulations n Stewardship principles

Many things you already are doing n Management is key to environmental protection n You cant manage what you dont measure

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EMS Steps
n Write n Plan n Implement n Check

policy statement

and correct n Review and improve

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Policy statement
n Defines

scope n Defines your goals n Should include commitment to

n Environmental

protection n Continual improvement n Regulatory compliance

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Plan and Implement

n Assess

current operation
evaluation

n Objective

n Prioritize n Develop
n Who

issues
first

n Important things
n Objectives

action plan

and when n SOPs n How to monitor and measure

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Check and Review

n Check
n What

and take corrective action

problems occurred n When, how, and who fixed it

n Regular
n Is

review

the plan still on target? n Revise n Repeat

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Why do an EMS?
n n n n n

Recognize the need to document environmental performance Financial and regulatory incentives for developing EMS and its continued use. Credible response to environmental issues Improved management Enhanced ability to respond to emergencies because of emergency management planning Support for responding to multi-media regulations

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Two Upcoming Programs

n Leopold

Center n Smithfield n Teach participants to develop and implement their own QMS
n Workshops n Guidebook n Coaches

and templates

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Leopold Center Project

n Customer expectations:
n Attribute-based

marketing programs n Source-verified pork n Pork Quality Assurance

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Leopold Center Project

n Animal care guidelines
n Swine

Welfare Assurance Program

n Market

access n Assessments, audits and reporting

n Trucker
n As

Quality Assurance

a trucker n Hiring a trucker (supplier relationship)

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Leopold Center Project

nRegulatory

expectations

n Environmental regulations regarding

permit requirements and report filing, n EQIP contract requirements, nutrient management and application n Worker health and safety criteria and training, equipment inspection, reporting

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Leopold Center Project

nBiosecurity practices
n Herd

health and production level n Consistency of pig flow n Foreign animal disease risk

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Leopold Center Project

nPerformance expectations:
n Production

Best Management

Practices n Marketing and risk management planning and implementation n Contract review with suppliers and buyers

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Smithfield Program
Develop a culture of professional pork producers that use a systematic management process to continuously improve competitiveness and stewardship that enhance the profitability of their operations and image and acceptability of their industry.

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Smithfield Program
n

Participants identify the aspects and impacts of their operation to prioritize

n environmental management,

nutrient utilization, mortality disposal, feed management, energy cost savings, biosecurity, labor efficiency, animal health, and facility maintenance

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Functional QMS Programs

n Beta

test this summer/fall n Roll out in winter n Peer group sessions in workshops n Watch for more details

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For More Information: http://www.uwex.edu/AgEMS/livestock