Leading Improvement: The Skills You
Need Webinar October 2, 2014

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 We help clients in
all industries deploy Lean management & achieve business performance improvement.  Teacher at University of California, San Diego  Author & Speaker: Karen Martin, President The Karen Martin Group, Inc. @karenmartinopex 3 www.ksmartin.com/subscribe 2013 Shingo Prize winner!

Webinar Focus 1.Help deepen your
understanding about: –What Lean actually is –The full spectrum of mindsets and skills you need to function at top levels 2.Help you assess your current level of proficiency and recognize your blind spots. 3.Provide the means for you to develop a personal development plan.

© 2014 The Karen Martin
Group, Inc. 5 Improvement Professionals’ Varied Roles Role Primary Focus Objective Practitioner Doing Results Facilitator Leading others in doing Primary - results; Secondary - people development Coach Teaching others how to do Primary - people development; Secondary - results

© 2014 The Karen Martin
Group, Inc. 6 Improvement Facilitators Wear Many Hats

© 2014 The Karen Martin
Group, Inc. 7 Know Thyself

© 2014 The Karen Martin
Group, Inc. 8 Beware of The Dunning-Kruger Effect The Outstanding Organization, p. 14 The Problem: Cognitive Bias •Most people lack the meta-cognitive capacity to properly evaluate their own performance. •“Blind spot” Dual burden •Erroneous choices •Inability to recognize the problem

© 2014 The Karen Martin
Group, Inc. 9 Begin with the end in mind Habit #2 – Stephen Covey’s The 7 Habits of Highly Effective People

© 2014 The Karen Martin
Group, Inc. 10 What problem are we trying to solve?

© 2014 The Karen Martin
Group, Inc. 11 Problem = Gap between where you are and where you want or need to be Level of proficiency with improvement knowledge & skills You: Future State You: Current State Organizational Performance PROBLEM Target Condition Current Condition

Hypothesized Root Causes for the
“Proficiency Gap”

1.
naiveté

© 2014 The Karen Martin
Group, Inc. 14 What is Lean? •Lean is a business management approach that focuses on creating products, improving operations, and developing people to deliver customer value and create prosperity, while consuming the fewest possible resources.

© 2014 The Karen Martin
Group, Inc. 15 Common Misunderstandings About Lean •Misunderstanding –Lean focuses on waste reduction and speed; Six Sigma focuses on quality and variation reduction. •Fact –Lean is a holistic performance improvement methodology; quality is at the core. The heavy emphasis on time forces quality problems to the surface for resolution.

© 2014 The Karen Martin
Group, Inc. 16 Common Misunderstandings About Lean •Misunderstanding –Lean is qualitative; Six Sigma is quantitative (data driven). •Fact –Lean is heavily based on fact-based decision making, but aims to avoid the common trap of analysis paralysis. (Has a bias to action, followed by iterative improvement cycles.)

© 2014 The Karen Martin
Group, Inc. 17 Common Misunderstandings About Lean •Misunderstanding –Lean doesn’t rely on statistical tools. •Fact –Lean relies on using whatever you need to use to properly solve the problem at hand.

© 2014 The Karen Martin
Group, Inc. 18 Common Misunderstandings About Lean •Misunderstanding –Lean doesn’t rely on precise measurement. •Fact –Lean honors accuracy over precision when precision isn’t necessary to make a decision. (Has a bias to action, followed by iterative improvement cycles.)

© 2014 The Karen Martin
Group, Inc. 19 Common Misunderstandings About Lean •Misunderstanding –Lean is a method for improving processes. •Fact –Lean is an overarching business management approach that includes process improvement.

© 2014 The Karen Martin
Group, Inc. 20 Common Misunderstandings About Lean •Misunderstanding –Lean is a tool. •Fact –Lean is an overarching business management approach.

© 2014 The Karen Martin
Group, Inc. 21 Common Misunderstandings About Lean •Misunderstanding –Lean is events based (a series of mapping and rapid improvement activities). •Fact –Lean organizations have a strong culture of daily improvement, and use traditional projects for complex improvement, and use “events” on a selected basis for making targeted rapid improvement.

© 2014 The Karen Martin
Group, Inc. 22 Summary: Common Misunderstandings About Lean Category Misunderstanding Fact Lean vs. Six Sigma Lean focuses on waste reduction and speed; Six Sigma focuses on quality and variation reduction. Lean is a holistic performance improvement methodology; quality is at the core. The heavy emphasis on time forces quality problems to the surface for resolution. Lean is qualitative; Six Sigma is quantitative (data driven). Lean is heavily based on fact-based decision making, but aims to avoid the common trap of analysis paralysis. (Has a bias to action, followed by iterative improvement cycles.) Measurement Lean doesn’t rely on statistical tools. Lean relies on using whatever you need to use to properly solve the problem at hand. Lean doesn’t rely on precise measurement. Lean honors accuracy over precision when precision isn’t necessary to make a decision. (Has a bias to action, followed by iterative improvement cycles.) Purpose Lean is a method for improving processes. Lean is an overarching business management approach that includes process improvement. Lean is a tool. Lean is an overarching business management approach. What Lean “Looks” Like Lean is events based (a series of mapping and rapid improvement activities). Lean organizations have a strong culture of daily improvement, and use traditional projects for complex improvement, and use “events” on a selected basis for making targeted rapid improvement.

© 2014 The Karen Martin
Group, Inc. 23 Why the Umbrella? And what do I mean by “overarching management approach”?

© 2014 The Karen Martin
Group, Inc. 24 The Toyota Triangle Philosophy People Adapted from figure in Mark Graban’s Lean Hospitals, p. 21, which is adapted from Gary Convis’s article, The Role of Management in Lean Manufacturing Environment

© 2014 The Karen Martin
Group, Inc. 25 Karen’s Lean Management Triangle Principles People

© 2014 The Karen Martin
Group, Inc. 26 Principles Practices Tools Lean Management

© 2014 The Karen Martin
Group, Inc. 27 Principles •Customer-defined value & eight wastes •Value streams / value stream alignment •Flow & pull •Continuous improvement (kaizen); seek perfection •Visualize and solve problems •Humility •Respect for people •Total employee involvement

© 2014 The Karen Martin
Group, Inc. 28 Practices •Robust problem solving up, down and across the entire organization –Via detailed PDSA – plan, do, study, adjust •Strategy deployment (hoshin kanri) •Go and see (Gemba) management •Consensus building (nemawashi) •Reflection (hansei) •Iterative continuous improvement •Visual management

© 2014 The Karen Martin
Group, Inc. Tools •Analysis –Data analysis –Visually displaying data –Value stream mapping –Process mapping –Spaghetti diagrams –Root cause analysis •Five why’s •Problem trees •Cause-and-effect diagrams •Pareto charts –Video –Documentation review –Interviews –Surveys •Countermeasures –5S –Batch size reduction –Changeover & setup reduction –Cross-training / multi-functional workers –Cellular layout / co-location –Error proofing & quality at the source –Load leveling / demand smoothing –Pull systems (one piece flow, Kanban systems, FIFO lanes) –Work balancing via takt time –Work standardization –Visual management •Executing Improvement –Projects –Just do it’s –Kaizen Events •Process Management –Key performance indicators –Process documentation –Visual job aids –Process flow charts –Process ownership –Process monitoring

© 2014 The Karen Martin
Group, Inc. 30 “The Big Guns”: Analysis tools you should be aware of, know when you need them, and have a resource you can turn to: •ANOVA •Control Charts •Design of Experiments (DoE) •Failure Mode Effects Analysis (FMEA) •Hypothesis testing via F-tests and T-tests •Scatter plots & regression analysis •Standard deviation calculations

2.
impatience

Developing Mastery Takes Time: 10,000
Hours From The Outstanding Organization, p, 115.

Countermeasures

© 2014 The Karen Martin
Group, Inc. 34 You MUST Read www.ksmartin.com/reading-list

© 2014 The Karen Martin
Group, Inc. 35 The Lean Classics: A Brilliant Beginning 1996 Little mention of PDCA, leadership or culture 2004 Doesn’t address how Lean applies outside of manufacturing 1999 No mention of tying value stream improvement to overall business strategy

© 2014 The Karen Martin
Group, Inc. 36 You MUST Be Coached

Deliberate practice, incorporating regular corrective
coaching, is the norm in music and sports.

© 2014 The Karen Martin
Group, Inc. 38 We Need Improvement Apprenticeships!

Other
Learning
Options

© 2014 The Karen Martin
Group, Inc. 40 Certificate vs. Certification Certificate Program (attendance-based) Certificate Program (assessment/demonstration-based) Certification Awarded by educational programs or recognized parties Awarded by educational programs or recognized parties Awarded by a standard-setting organization Typically results in a physical certificate Typically results in a physical certificate Results in credentials; typically results in a designation to use after one’s name High variation in course content & requirements High variation in course content & requirements Standards are set through a defensible, industry-wide process (job analysis/role delineation that results in an outline of required knowledge and skills) Is the end result; demonstrates attendance at a program Is the end result; demonstrates knowledge of course content at a point in time Typically has ongoing learning requirements in order to maintain via annual CEUs or equivalent Information obtained from: •My thesis for my master’s degree in education (adult learning) •University of Michigan - http://www.sph.umich.edu/distance/certificate_vs_certification.html

© 2014 The Karen Martin
Group, Inc. 41 The Only Lean Certification

© 2014 The Karen Martin
Group, Inc. 42 Buyer Beware: Very Little Lean

© 2014 The Karen Martin
Group, Inc. 43 Buyer Beware: Very Little Lean

© 2014 The Karen Martin
Group, Inc. 44 Buyer Beware

© 2014 The Karen Martin
Group, Inc. 45 Questions Before Investing in a Program •What new knowledge and skills do I need to acquire? •Will this program lead to the acquisition of the knowledge and skills? •Is this the best way to acquire the knowledge and skills? •What will I be able to do as a result of engaging in the program that I cannot do now? •Is the program content validated by industry-recognized experts? •How will my new knowledge and skills be assessed in order to earn the certificate?

© 2014 The Karen Martin
Group, Inc. 46 Attend Workshops and Conferences

© 2014 The Karen Martin
Group, Inc. 47 View and Attend Webinars & Online Learning

© 2014 The Karen Martin
Group, Inc. 48 Read Blogs

© 2014 The Karen Martin
Group, Inc. 49 Get on Social Media

We are working on a
comprehensive skills inventory Subscribe to be notified when ready: www.ksmartin.com/subscribe

© 2014 The Karen Martin
Group, Inc. 51 Thank you! www.ksmartin.com/subscribe