2012 Lean Kanban France Stephen Parry Sense and Respond

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Stephen Parry Keynote Speech.

Author of Sense and Respond: The Journey to Customer Purpose.

Lean and Kanban: What’s the purpose?

This keynote speech will discuss what we mean by changing our thinking and the mind-sets of organisations. What are the challenges for our methods and our movement as a whole? How are we dealing with those challenges and what is needed from our community for future success. In essence, what is Lean Kanban’s purpose and have we set our sights high enough?

What is the difference between a traditional organization and a sense and respond lean organization.

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2012 Lean Kanban France Stephen Parry Sense and Respond

  1. 1. TMAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  2. 2. Lean Kanban Stephen Parry What’s the purpose? Author of Sense and Respond @Leanvoices Senior Partner at Lloyd Parry Twitter: @LeanVoices and Linkedin Blog : www.LeanVoices.com Stephen.parry@lloydparry.com www.lloydparry.com www.slideshare.net/SGParry/presentationsAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  3. 3. Recognition Achievement Motivated Passion Harmony Nurture Encouraged Acceptance Collaborative Respectful Rational TogetherCourage Exploring Purpose Engaging Optimistic Sharing Creating Trust Ease Agreement DiscoveringChallenging Excited Growing Learning Kind Supportive Integrity Thoughtful Intelligent All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012 Knowledge
  4. 4. Sense and Respond Lean is about connecting everyone to customers Extracts from Sense and Respond by Stephen Parry SENSE what matters DRIVE the service and the strategy to customers Build trust with customers Build trust with suppliers Drive support services Capture Demand Data 1. 2. 3. People People People Your clients and their Your front-line Your support customers operation organisation Adapt – Evolve – Inform – Innovate RESPONDAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  5. 5. Traditional approach: Feasible parts creating an infeasible whole. Functional units F1 F2 F3 F4 FnIndependent It’s notsolutions S1 S2 S3 S4 Sn unusual todesigned to have thirtymeet functional or moretargets and solutionsgoals. lining up for attention. Improved Customer Experience ? All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  6. 6. The customer/service user challenge: They don’t have time………….they say things like: Solve my problem completely. Dont waste my time or cause me hassle. Minimise the cost of doing business with you. Provide exactly what I need and deliver value where I need it. Reduce the number of decisions I must make to resolve my problems. Don’t get me to help you; I want you to help me!Adapted from Lean Solutions: Jim Womack and Dan Jones by Stephen Parry All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  7. 7. Question: What would delivery organisations do if they had to pay for all the operational and service user time they wasted?Adapted from Lean Solutions: Jim Womack and Dan Jones by Stephen Parry All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  8. 8. Tee Value Stream: Effective provision of service for service users where I need it, when I need Provide exactly what I need, Don’t get me to help you; decisions I have to make. doing business with you. I want you to help me! Reduce the number of Dont waste my time Minimise the cost of or cause me hassle. Solve my problem completely. it. Service User Business Process Specify value from the Make value-creating steps occur in a standpoint of the end customer. tight and integrated sequence so the product/service will flow smoothly Identify all the steps in Delivery Process toward the customer. the value stream eliminating every step and every action Let customers pull value and every practice that from the next upstream activity. does not create value. Pursue Perfection. These steps lead to greater transparency, enabling teams to eliminate further wasteAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  9. 9. What type of climate do you create for customers, employees, managers and leaders? The Behaviours, Measures, Job Design and Purpose are different. Customer pulls products and services ON-DEMAND Customers and employees are designed in Sense and Respond Lean Enterprise Relational Willing End-to-end Listen and personal contribution effectiveness and adapt Customer/User Employee motivation Support operations Executive leadership experience Transactional Incentivised Functional Direct and processed contribution efficiency and control Make-and-Sell Organisation Mass Production Company pushes products and services ON-COMMAND Customers and employees are designed outAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  10. 10. Sense and Respond vs. Make and Sell CUSTOMER EMPLOYEE IMPROVEMENT MANAGEMENT COMPETITIVE LEADERSHIPCHARACTER OFFERINGS EXPERIENCE EXPERTISE RESPONSIBILITY FOCUS BASIS FOCUSSense and Personalised, Customer Expert Broad Front-line Creativity, Trusted Listen andRespond individual, experience is knowledge to experiments expertise, new advisor and adapt Bespoke. personal and provide and learning products and expert Unique. unique integrated services. solutions Integration Flexible Co-Creation of Customer offerings solution Disciplined outcomes. design experimentation Business Problem solving outcomesMake and Sell Low variety Transactional Basic Improvement Employee Commoditised Direct and and processed boards utilisation, cost control reduction, work High Volume intensification. No customer Improvement involvement in specialists Low Margins solution Disciplined design compliance Suggestion Economies of schemes scale All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  11. 11. The organisation is a hindrance to both employees and customers. Designing a better end-to-endPerformance is a matter of people having ‘System’ Choice which is a matter of Policy Role Design Freedom Processes and Procedures with the Performance Measures Power Technologyto do what matters for customers. All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  12. 12. CORE Profile: Value definitions Is defined by ‘Customer Purpose’. Deliver value effectively to customers and efficiently CREATE to the organisation. (Optimise) Creates the possibility for developing new OPPORTUNITY services that will satisfy customers or (Innovate) increase production and revenue. REMEDIAL Occurs when the organisation delivers unfit (Restore and Remove) products or services. Production is lost, the customer is unhappy, resulting in loss of EXTERNAL money, time, and reputation. (Restore and Re-think) Originates externally and is usually waste or demand that is created by other organisations, agencies or institutions.All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  13. 13. CORE Profile for Global IT end User support (November 2009)All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  14. 14. CORE Profile: ICT support operations Before changing the service. Create 8% Opportunity 2% Remedial 80% External 10% Source Fujitsu Case Study: Sense and Respond Book Used with kind permissionAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  15. 15. CORE Profile: ICT support operations After changing the service. Create 50% Opportunity 12% Remedial 33% External 5% Source Fujitsu Case Study: Sense and Respond Book Used with kind permissionAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  16. 16. What you measure tells everyone what you think You’ll not find many Mean time End to End to process by priority level Average IT Availability Time measures in this zone. % resolved within Customer Target priority MTP Satisfaction ? Depends No. Calls Exceed SLA Av time for 2nd Calls/ Agent ‘If you measure your level to respond /Day % of Calls Convt to Tickets No. calls without Functional Esc/agent % Incorrectly assigned % Incorrectly Av Time Call Answr business using averages, Categorised don’t be surprised to find % Incidents Agent Re-assigned yourself running an % Calls Utilisation Bypass 1st Line Av Time to First Average resolve Time % of calls that are Fix average business.’ Service Requests Handle Time No Matters to Customers YesAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. Purpose ©Copyright 2012
  17. 17. What we measure today…staff, 17All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  18. 18. IT and application support staff Measurement before and after understanding users.18
  19. 19. What we feel pain about today….Global Services.19All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  20. 20. Wrong measures, wrong pain, wrong outcomes.Service Measures and SLAs. End-user Measures. End User pain points
  21. 21. Delivering the bad news or is it good news? to the management.21
  22. 22. Averages throw away the data for improvementAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  23. 23. All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  24. 24. User Experience – Sample Size SLA Level 4 Priority Medium Reference Line 140hrs MPTAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  25. 25. Recognition Achievement Motivated Passion Harmony Nurture Encouraged Acceptance Collaborative Respectful Rational TogetherCourage Exploring Purpose Engaging Optimistic Sharing Creating Ease Agreement DiscoveringChallenging Excited Growing Learning Kind Supportive Integrity Thoughtful Intelligent All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012 Knowledge
  26. 26. Whose perspective ?All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  27. 27. Pretence, reality and cost: but what’s the benefit? Pretence Reality Cost What we say its like What it is really like What it costs us to pretendCaring for people. Working to the numbers. Low self-esteemGiving people Ticking the boxes. Futility.opportunities. Manipulating the numbers. No fulfilment.We are coping, everything Back-stabbing. Withdrawing.is OK. Lying. No fun.We are doing a good job. Covering up. Loss of honestyWe work as a team. No trust. Loss of integrity.We listen to people. Blaming. Loss of repeat business. Cheating. Customer dissatisfaction. Play the game. Little or no innovation. Cynicism. Missed opportunities. Fear of being found out.All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  28. 28. Authenticity Gap: Making the pretence, reality and cost visible:It’s like telling a mother ‘Your baby is ugly’ All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  29. 29. New Purpose a new ClimateAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  30. 30. From first to last, Respect for People. Extracts from a broadcast by Stephen Parry We believe people are capable of learning and taking on additional responsibility, and if you create the right environment, people will want to learn and will actively seek more responsibility. In this context, ‘respect for people’ means Managers helping employeesunderstanding that all people have the ability freely choose how they solve to learn and the right to be given problems displays total opportunities to learn. respect. There is a world of differencebetween helping people to see and telling them they are blind. Most of all we must trust that people are capable of owning and solving their own problems with a little bit of help. All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  31. 31. Survey: Telco before and after highlightsStatement Before % After % Statement Before % After %Understanding our services allows me to take 42 100 I am involved in decision making. 28 45effective action.Understanding the customer improves my 14 83 I make decisions with the customer in mind. 14 67commitment.Understanding customers helps me make better My data improves the quality of decision 15 95 0 83decisions. making.It is my job to share information with my peers I can improve processes and methods to serve 0 63 15 65and managers. the customer.I help my organisation understand what I use customer data to help managers make 0 82 17 63customers value. better decisions.My manager supports my decision when I have I am confident making decisions with customer 0 49 13 66customer data. data.The management team is committed to I understand how the whole organisation works 17 50 16 68improving the quality of work for customers.
  32. 32. It’s not about waste, its always been about value.Customer Purpose Defines Value, Value defines meaningful work All the rest is waste. There needs to be a clear line of sight between everything we do and customer value. All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  33. 33. Recognition Achievement Motivated Passion Harmony Nurture Encouraged Acceptance Collaborative Respectful Rational TogetherCourage Exploring Purpose Engaging Optimistic Sharing Creating Trust Ease Agreement DiscoveringChallenging Excited Growing Learning Kind Supportive Integrity Thoughtful Intelligent All Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012 Knowledge
  34. 34. TMAll Trade-Marks and ©Copyright 2012 Owned by Lloyd Parry. All Rights Reserved. ©Copyright 2012
  35. 35. © 2012 Service Climate Management Ltd. All rights reservedNo part of this publication may be reproduced or transmitted in any form or for All other product and service names mentioned are the trademarks of theirany purpose without the express permission of Service Climate Management respective companies. Data contained in this document serves informationalLtd. The information contained herein may be changed without prior notice. purposes only. The information in this document is proprietary to Service Climate Management Ltd. No part of this document may be reproduced, copied, or transmitted in anyService Climate Management ® is a registered trade mark of Service Climate form or for any purpose without the express prior written permission of ServiceManagement Ltd. Climate Management Ltd. This document is a preliminary version and not subject to your license agreement or any other agreement with Service Climate Management Ltd. ThisCustomer Value Enterprise ® is a registered trade mark of Service Climate document contains only intended strategies, developments, models, methodsManagement Ltd. and products and is not intended to be binding upon Service Climate Management to any particular course of business, product strategy, and/or development. Please note that this document is subject to change and may beClimetrics ® is a registered trade mark of Service Climate Management Ltd. changed by Service Climate Management Ltd. at any time without notice. Service Climate Management assumes no responsibility for errors or omissions in this document. Service Climate Management Ltd. does not warrant theThe Engaging, Learning, Leadings Improvement device is a TM of Service Climate accuracy or completeness of the information, text, graphics, links, or other itemsManagement. contained within this material. This document is provided without a warranty of any kind, either express or implied, including but not limited to the impliedCORE Demand Profile TM is a trademark of Service Climate Management Ltd. warranties of merchantability, fitness for a particular purpose, or non- infringement. Service Climate Management Ltd. shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of these materials. This limitation shall not apply in cases of intent or gross negligence. The statutory liability for personal injury and defective products is not affected. Service Climate Management Ltd. has no control over the information that you may access through the use of hot links contained in these materials and does not endorse your use of third-party Web pages nor provide any warranty whatsoever relating to third-party Web pages.

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