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Putting an End to "Organizational ADD"


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Karen’s Books:

Businesses routinely attempt to accomplish too much and quickly lose focus when the next fire erupts or a new "shiny ornament" appears.

Strategy Deployment (also known as hoshin kanri and policy deployment) is a highly effective means for prioritizing and maintaining focus on the projects and improvement activities that lead to outstanding business performance. But many organizations need to build fundamental skills before they're ready to fully utilize strategy deployment as it was intended.

In this webinar, you'll learn how to build fundamental skills by:

• Prioritizing the laundry list of what you COULD focus on as an organization and create a "must do, can't fail" list of what you WILL focus on.

• Gaining organization-wide alignment, the key to successful plan execution.

• Managing the plan to keep distractions at bay and generate the level of results all organizations are capable of.

In short, you'll learn how to accomplish meaningful improvement in a way that aligns rather than divides, and puts improvement in its rightful place as an integral part of achieving overarching business goals.

Published in: Business
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Putting an End to "Organizational ADD"

  1. Putting an End to Organizational ADD: Creating Your 2013 Work Plan Webinar October 4, 2012
  2.  Founder: Karen Martin & Associates, LLC (1993). Consultant / Coach: Lead Lean transformations &develop people in office, service and knowledgeenvironments. Teacher: University of California, San Diego’sLean Enterprise program. Author: Karen Martin, Principal Just released! 2nd Edition October 2012
  3. The Problem 1. Leaders are frustrated by the “little” measurable improvement they’ve seen. 2. Improvement professionals are not held in as high regard as they need to be. 3. Too much to do; too few resources; too little time. 4. Juggling multiple balls: o Is inefficient o Produces lower quality o Creates stress; saps morale o Slows results o Produces organizational chaos o We honor the ability to juggle instead of reducing the need to juggle. 3© 2012 Karen Martin & Associates, LLC
  4. We need toimprove how we improve. 4
  5. Typical Organization UnstableFoundation Leadsto Unpredictable Performance Lacking Proper Mindsets & Behaviors© 2012 Karen Martin & Associates, LLC 5
  6. The Outstanding Organization PredictablePerformance Business Performance Problem Solving Improvement Continuous Resilience CoreCapabilities Solid CHOSFoundation 6
  7. Clarity Engagement Focus Discipline© 2012 Karen Martin & Associates, LLC
  8. Lack of Clarity Lack of Focus Lack of Discipline Lack of Engagement© 2012 Karen Martin & Associates, LLC 8
  9. Booz & Company Findings90% 82%80%70% 64%60% 49%50%40%30%20%10%0% No written Conflicting Competing priorities priorities demands 9
  10. 70%Organization is attempting “more than” or “significantly more than” we can reasonable handle.* * Poll of 700+ Subscribers 10
  11. The Temptation… …Saying YES to everything 11© 2012 Karen Martin & Associates, LLC
  12. “The difference between successful peopleand very successful people is that verysuccessful people say no to almost everything.” — Commonly attributed to Warren Buffett 12
  13. A Key to Apple’s Success? “…saying no to 1,000 things to make sure we don’t get on the wrong track or try to do too much. We’re always thinking about new markets we could enter, but it’s only by saying no that you can concentrate on the things that are really important.” — Steve Jobs© 2012 Karen Martin & Associates, LLC 13
  14. To create newideas is a gift, butto choosewisely is a skill.— Ryan Morgan 14
  15. The Reality… …You CAN’T do it all – and do it well. 15© 2012 Karen Martin & Associates, LLC
  16. There is no such thing as multitasking.* * For cognitive tasks. 16
  17. The Myth of Multi-tasking • It’s not possible to perform two conscious activities at once. • You are “switch-tasking.” • David Meyer – University of Michigan – Engineers switched between projects 5-8 times per day – Each switch added 20 minutes of process time – If switch only 5x per day, adds 1.7 hrs per day or 407 hours (10 weeks) of process time per engineer – In company w/ 15 engineers = 3 FTEs* worth of labor. * FTE = Full Time Equivalent 17© 2012 Karen Martin & Associates, LLC
  18. Not Convinced? Try this timed experiment. Focus reduces chaos. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Round 1: Write F, 1, O, 2, C, 3, U, 4… etc. (alternating—switch- tasking—between letters and numbers) Round 2: Write the complete sentence, followed by numbers 1-17 (focused on one task at a time. Common result: Round 2’s time is 1/3 to 1/2 of Round 1’s. 18© 2012 Karen Martin & Associates, LLC
  19. What’s Your Improvement Plan? 19
  20. You Need a Written Annual Improvement Plan: How to Get from Point A to Point B Problems Opportunities Current Target Condition Condition Point A Point B Environmental Factors 20© 2012 Karen Martin & Associates, LLC
  21. Hoshin Kanri (Strategy Deployment)© 2012 Karen Martin & Associates, LLC
  22. Hoshin Kanri X-Matrix 22
  23. “Hoshin-Lite” Annual Work Plan PRE - Gain clarity around overarching business needs. 1. List everything you could do (and that you are doing). 2. Categorize into: – Must-do, can’t fail – Maybe – Eliminate – Delay (next fiscal year) 3. Decide what you will do; gain consensus. 4. Prioritize and create plan. POST - Manage plan via weekly updates (may be able to reduce to monthly reviews – but be careful!). 23© 2012 Karen Martin & Associates, LLC
  24. PRE WORK Gain clarity (and consensus) around annual business goals. 24© 2012 Karen Martin & Associates, LLC
  25. Label Four Flip Chart Pages & Hang on Wall Must do Eliminate1. List what you could do on 3x6” post-its (active or planned initiatives, projects & improvement activities). Gain consensus.2. Categorize them (place post-it on appropriate page. Gain consensus. Maybe Delay3. Decide what you will do. (Move “maybe’s” onto one of the other three pages.) Gain consensus.© 2012 Karen Martin & Associates, LLC 25
  26. Strategy Deployment Key Feature: Catchball What? How? Executive Who? Team When? What? How? Senior Who? Mgmt When? What? How? Middle Who? Mgmt When? What? How? Frontlines Who? When? 26© 2012 Karen Martin & Associates, LLC
  27. Must do Eliminate Step 4 Prioritize must-do’s; Create Plan Maybe Delay© 2012 Karen Martin & Associates, LLC 27
  28. PACE Improvement Prioritization Grid 9 22 17 4 23 8 21 10 3 Easy 13 5 1 16 15Ease of Implementation 20 14 19 6 7 11 2 18 12 Difficult High Low Anticipated Benefit
  29. Evolving Prioritization Grid Third dimension: Urgency Highest priority Mathematical Formula 0.7 0.6 0.5 Ease of Implementation 0.4 0.3 0.2 0.1 0 0 0.1 0.2 0.3 0.4 0.5 0.6 Potential Benefit© 2012 Karen Martin & Associates, LLC
  30. Downloadable Excel Prioritization Chart The Outstanding Organization: Achieving FocusChart Title Prioritization Chart To use this Template: 1) Enter the title of the chart in Cell B2Number of Items 5 2) Enter the number of items (e.g. projects, improvement activities, etc.) in cell B4 4 3) Enter the item name and ranking information into A8-D8 and so on. Organizational Degree of Item Name Benefit Execution Ease Urgency*Item 1 9 1 1 Prioritization ChartItem 2 7 3 2 10Item 3 5 5 3Item 4 3 7 4 9Item 5 1 9 5 8 7 Execution Ease 6 5 4 3 2 1 0 0 1 2 3 4 5 6 7 8 9 10 Organizational Benefit * Degree of urgency is indicated by bubble size.
  31. Annual Work Plan Company ABC Priorities FY 2012 FY 2013 Exec Tactical Priority Others Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Owner Owner MS-2 MS-1 Integrate DHR Begin Acct Brad P Ops Complete Complete New Travel Program Begin Complete Scott R Fred S Roll-outRoll-out Tablets to Begin & Brad P Installation Complete Lisa D, Complete 360 Marina, Begin Complete Justin C Steve R Roll-out SM, Tech, Hal, Doug Create Line-item Begin Complete Lisa B Mark C P.O.s Refinance credit Begin Scott R facility Complete ADP Begin Complete Gary O Roll-out NotDevelop & Roll-out MS-1 MS-2 MS-3 Begin complete Steve C TBD Handheld 2.2 Clean Code Pilot Go live until 2013 Complete GPS RDs Cons., Begin Complete Steve C Roll-out HR, FleetComplete "River" (One Soft) Begin Complete Lisa B Roll-out Develop Safety Begin Complete Gary O Program© 2012 Karen Martin & Associates, LLC 31
  32. Annual Improvement PlanTier 1 Priority: Executive Owner: Date Created:Tier 2 Priority: Tactical Owner:Background/Scope: Next Review:Measurable Objective(s):Core work team: Input/Review needed by:Relationship to Annual Business Goal(s): Timeline Status = Original Plan X = Complete % (Red, Due Complete Yellow, 2012 Date Green) # Action Item Owner Deliverable Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 1 2 3 4 5 6 7 8 91011121314151617181920 32
  33. Frequent StatusMeetings AssureOngoing Alignment &Distraction Avoidance 33
  34. POST: Plan Management • Weekly status meetings to start, then 2x a month, then monthly (required attendance). • Focus: how to turn yellow & red items into green. • Expectation: Full team helps remove obstacles • Tone: supportive but tough • Plan is adapted to changing conditions, but avoid Org-ADD (organizational attention deficit disorder) and falling prey to unnecessary distractions. 34© 2012 Karen Martin & Associates, LLC
  35. By Instilling Greater Focus, ThedaCare Doubled its operating margins without layoffs during a period where 74%of hospitals reported reduced margins ThedaCare reduces initiativesfrom 31 to 4 35
  36. Sporting Goods Manufacturer – Product Launches Per Year80 737060 No additional resources;50 higher quality40 products launched30 242010 0 Pre-Focus Post-Focus 36
  37. Rockwell Automation25 2020 Projects15 Started 12 1210 Projects 5 Completed 3 0 Pre-Focus Post-Focus 37
  38. Avoiding the Shiny Ball Syndrome (Organizational ADD) Requires… • Clarity – about what really matters & organizational direction. • Consensus – about how best to get there. • Courage – to actively choose to “not do” or “not do now.” • Commitment – to stick with the plan. 38© 2012 Karen Martin & Associates, LLC
  39. Karen Martin, Principal 7770 Regents Road #635 San Diego, CA 92122 858.677.6799 Twitter: @karenmartinopexMonthly newsletter: 39