The document outlines an agenda for a Lean Leadership training seminar. The agenda covers introductions, defining Lean leadership, teaching and learning skills, Toyota Kata, case studies, and conclusions. It also includes background information on the Texas Manufacturing Assistance Center, which provides services to help manufacturers in Texas accelerate growth and competitiveness.

1. Texas Manufacturing Assistance Center
Lean Leadership
Learning to Teach,
Teaching to Learn
Feb’15

2. Agenda
• Introductions
• What’s different about Lean
Leadership?
– The Lean System (Venn)
– House of Lean (Tools)
– Common Mistakes
– Skills vs. Tools
• Lean Leadership: Learning Teach
– The Case for Instructional Skills

3. Agenda
– Training Within Industry Job – Instruction
• Break
• TWI JI Demonstration
• Breakdowns
• Key Points
• Lunch
• Lean Leadership: Teaching to Learn
– Adaptability
– Toyota Kata

4. Agenda
– Omitting the Problem Solving Kata
– Improvement Kata
• Understanding organizational constraints
• Case Study #1 - Healthcare
• Case Study #2 - Manufacturing
– Coaching Kata
• Learning the tenets of Lean Leadership
• Mentoring
• Conclusions

6. A federation of seven
research organizations or
universities (UTA, UTEP,
UTPA, A&M-TEEX, TTU,
UH,SWRI)
Statewide coverage
MISSION
ACCELERATE THE PROFITABLE GROWTH AND
COMPETITIVENESS OF MANUFACTURERS IN TEXAS

7. TMAC Value Proposition
We work with companies in the
manufacturing enterprise to accelerate
profitable growth by developing &
improving products, technologies,
processes, and people.
We work with partners to operate
Regional Centers of Innovation and
Commercialization for the Texas
Emerging Technology Fund.
www.tmac.or

8. TMAC Strategy Supports
Profitable Business Growth
Reduce bottom line expenses through
lean, quality, & other programs for plant
efficiency – Free up capacity for
business growth
Strategy to increase manufacturers’
capacity for innovation resulting in
profitable sales growth
Add to top line sales through business
growth services focused on the
development of new sales, new
markets, and new products

9. Customer Reported Economic Benefits
*5 years (2009-2013)
Dallas
Lubbock
Austin
San Antonio
Houston
El Paso
Edinburg
Ft. Worth
College Station
West Texas – TTU
Paso del Norte– UTEP
South Central– SwRI
Gulf Coast - UH
East Central– TEEX
Metroplex - UTA
New/Retained Sales: $1.43 Bil.
Cost Savings: $642.3 Mil.
New/Retained Jobs: 16,067
South Texas - UTPA
Average Project Cost= $9,353
Average Project Return= $152,078
*Reported by customers in 3rd party survey
TMAC IS MEASURED BY THE
SUCCESS OF ITS CUSTOMERS
Investments: $504.9 Mil.

10. Survey Information
Survey Dates: October 17, 2015
to
November 14, 2015
Address: info@mepclientsurvey.com
Subject: MEP Client Survey Reminder
Add this to your “safe list”

11. Books & References
• The Shibumi Strategy - May
• The 7 Kata: Toyota Kata, TWI
and Lean Training – Soltero & Boutier
• Creating a Lean Culture – Mann
• Lean Thinking – Womack & Jones
• Learning to See – Rother & Shook
• Gemba Kaizen – Masaaki Imai

12. Toyota Respect for People ….
Pass Out

13. TPS – A Philosophical Hybrid

14. If you want one year of prosperity, grow seeds.
If you want 10 years of prosperity, grow trees
If you want 100 years of prosperity, grow people.
- Chinese Proverb

15. Management’s Key Equation
(H x V x F) > R
• Hatred of current state. Hatred > Dissatisfaction.
• Vision of the ideal state – defining a compelling
place to move toward.
• First steps to close the gaps are the most
difficult. It requires bold, powerful, resource
consuming actions to make change.
• Resistance to change will always exist in
organizations. The Hitchhiker’s Guide to Lean
Jamie Flinchbaugh 2006

16. An Overarching Principle
R = Q x A
Results of the
Project =
Quality of
the
Solution
x
Acceptance of
the Organization

17. Leadership
“The greatest leaders of the 20th century
were Hitler, Stalin and Mao: If that is
‘leadership,’ I want nothing to do with it.”
- Peter Drucker

18. Must Get
Here!
Basic Lean Model
Sustainable Results = Tools x Culture x Governance

19. Basic Lean Building Blocks
Must Ultimately
Result in a
Change in
Human
Behavior &
Requires
Structure

21. VS Maturity Stages
Simplify & Standardize (Continuous Improvement)
Prepare
& Align
Stabilize
Flow
Pull
Level
Different Value Streams Mature at Different Rates

22. The Promise of Lean?
• 2% of the companies have
achieved their Lean
objectives.
• 24% of the companies
achieved significant results.
• 74% of the companies did
not make good progress with
Lean.

23. If Lean is so Great…
Why are so many failing?

24. Lean turns the traditional on
its head…
… and it’s not what it seems to be!

25. What has Toyota hidden….
…in plain sight?

26. One-Piece Flow is not Intuitive
10 minutes
10 minutes
• Batch & Queue Processing
Lead Time: 30+ minutes for total order
21+ minutes for first piece
10 minutes
Process
A
Process
B
Process
C
12 min. for total order
3 min. for first part
Process
B
Process
A
Process
C
• Continuous Flow Processing

27. Organizational Backlash

28. Lean Leadership
The Lean Leader leads a very different
way:
It is as different from the commonly
accepted notion of the “enlightened modern
manager” as it is the old command and
control dictator.
- LEI

29. 3 Leadership Models
Old “Dictator” Style
1970’s “Empowerment
Style
Follow me…
let’s figure this out together
Do it my way …
Do it your way …
Lean Style

30. • Two groups can have different perceptions of the same
situation according to their viewpoints and their
assumptions.
• These assumptions can become deeply held beliefs.
• Our beliefs constitute mental models about how the
world works.
• People work to preserve their mental models even when
they acknowledge their inadequacy.
• These mental models can lead to conflict even when
there is no difference in the ultimate objective.
Mental Models

31. Mental Models
• Form our assumptions about how the
world works based on experience,
upbringing & temperament.
• The ‘glasses’ we all wear filters
and often distorts reality.
• The world we see is our own.
Key Mental Model = Teach with Facts
If so, what must we do?Focus on the Facts with Kindness!

32. Different Mental Models
Which Side Best Describes Your Company?

33. Mass Production Mental Model

34. Lean Leadership
“Good leadership means that the leader gets
the people in the organization to do what the
leader needs done, when it should be done,
and the way the leader needs it done,
because they want to do it.”
- TWI Job Relations (circa 1941)
[Toyota Training & Development Section (circa 1989)]

35. Lean Leadership
Lean Leadership
The ongoing activity of directing, guiding,
and building inspired and engaged thinkers
who use their knowledge, skills and abilities
to systematically improve and solve
problems in their own processes so that
business objectives are met.

36. Managing vs. Leading
Manage:
• Steps/Timeliness
• Structure/Resources
• Policies/Procedures
• Monitoring Systems
• Identify Variances
• Problem Solving
Produces:
• Predictability/Order
• Consistent Short-term Results
Lead:
• Long-term Vision
• Teams/Coalitions
• Strategies
• Challenging Targets
• Removing Barriers
• Recognize/Reward
Produces:
• Innovation
• Breakthrough Results

37. Lean Leadership Skills
• Organizing &
Planning
• Communication
• Developing
Trust
• Motivating
• Observing
• Providing
Direction
• Mentoring &
Developing
Leadership Must Adopt a Different Mental Model

38. Leadership
Leaders challenge the process by searching for innovative ways to
improve the organization. They experiment and take risks
accepting inevitable failures as learning opportunities.
Leaders inspire a shered vision by envisioning the future for the company and
enlisting others in that future.
Leaders enable others to act by fostering collaboration and building teams. They
strengthen others, “making each person feel capable and powerful.”
Leaders model the way by setting an example for others to follow and help staff in
achieving small wins as they work toward bigger goals.
Leaders encourage the heart by recognizing contributions from team members and
celebrating accomplishments. “They make people feel like heroes.”
Source: Oozes & Posner

39. The Leader’s Job at Toyota
First, get each person to take initiative to
solve problems and improve his or her
job.
Second, ensure that each person’s job is
aligned to provide value for the customer
and prosperity for the company.
- Womack & Shook

40. Lean Leadership (LEI)
• Not charisma (or heroic fire fighting).
• Not bureaucracy.
• Not “do it my way.”
• Not “do it your way (but be sure you make your
numbers).” Instead …
“ Let ’ s get agreement on our purpose and the
processes that achieve our purpose.”
“Let’s transform processes together.”

41. Lean Leadership in Action (LEI)
Once someone takes responsibility, you
will need a method for:
 Clearly determining the problem.
 Identifying and evaluation alternative
countermeasures.
 Implementing the chosen countermeasure.
 Evaluating the results, adjusting, and
sustaining.
 A3 is an excellent tool if used properly.

42. Leadership

43. Importance of Leadership
Lean Transformation Requires:
– 10 – 30% Management Behavior
– 70 – 90% Leadership Behavior

44. 10 Minute Thought
Experiment
Having learned what a Lean Leader is,
develop an action plan for getting
management “on board” in your
company.

45. Excerpt from 60 Minutes
We’re not a school, we’re a company!

46. Lean Leadership
Principle 9:
Grow leaders who thoroughly understand
the work, live the philosophy, and teach it to
others.
- Toyota Way, p.39
– Teaching is the most highly valued skill
of leaders, and leaders have to deeply
understand the work to teach and coach
others.
- Toyota Talent, p.7

47. Lean Leadership
When asked about his greatest challenge when
trying to teach The Toyota Way to his American
managers, he responded:
“They want to be managers, not teachers.”
He explained that every manager at Toyota must
be a teacher. Developing exceptional people is
Toyota’s number one priority.
- Artushi Niimi, Former President,
Toyota Motor Manufacturing North America

48. Role of Leadership
 Establish
Standardization
 Teach Improvement
 Teach Problem
Solving
 Flow the Product
 Focus on the Process
 Ensure Accountability
Leadership Defines the Culture

49. Different Characteristics
Traditional
• Traffic Cop
• Fire Fighter
(reactive)
• Delegator
• Day-to-Day
survival
Lean
• Teacher
• Fire Marshall
(proactive)
• Team Member
• Quest for
Perfection

50. Lean Leadership
The Lean Leader must Lead:
• by example
• by being knowledgeable
• by getting into the details
• by questioning
• by coaching and teaching
• by influence
• by building robust, sensible systems and processes
that cascade responsibility and authority.

51. Leading People (LEI)
How do you engage people at every
level?
 Teach them to see the process,
 Give them PDCA skills,
 Push responsibility to the level of action,
 Introduce end-to-end metrics,
 Create frequent problem-solving loops,
 Make the abnormal immediately visible.

52. Thought Experiment
Let’s list the characteristics of the
greatest teacher (i.e., grammar school,
middle school, high school, college,
religious, work, parent, etc.) you were
fortunate enough to learn from.
– Good instructor
– Patient
– ???

53. Leadership at Toyota
“Lead the organization as if you have no
power.” (Kan Higashi of NUMMI)
- Womack & Shook

54. Learning to Teach
1. Become an exceptional instructor.
2. Become an extraordinary listener.
3. Inquire nonthreateningly.
4. Empathy, empathy, empathy!
5. Become an accessible resource.
6. Discern what’s important to them.
7. Become an exceptional teacher.

55. Excerpt from 7 Kata
Bill’s first day at work.

56. Pass Out
TWI Brochure

57. Job Instruction Demonstration
Take a 10 minute break,
Demonstration is 75 minutes.

58. PDCA

59. 1. Become an Exceptional Instructor
• Training Within Industry – Job Instruction
– One-on-one OJT; the most effective way to train.
– Follows PDCA.
– Accounts for “ALL” learning styles.
– Parses information logically; just enough at a time
– Provided with instructional aid
– Provides learner rationale for circumstances
– Instructor “knows” if learner understands
– Not just a copy of the motions

60. JI 4-Step Method

61. No. __________
JOB INSTRUCTION BREAKDOWN SHEET
Operation: ____________________________________________________
Parts: ________________________________________________________
Tools & Materials: ______________________________________________
REASONSKEY POINTSIMPORTANT STEPS
Reasons for each key point
Anything in a step that might—
1.Make or break the job
2.Injure the worker
3.Make the work easier to do, i.e.
“knack”, “trick”, special timing,
bit of special information
A logical segment of the
operation when something
happens to advance the work.

63. Toyota Job Element Sheet

64. Job Instruction Follow Up (4 half day schedule)
8 9 10 11 12
8 9 10 11 12
8 9 10 11 12
one or two months later
8 9 10 11 12
`
Report &
Reflect
Review Breakdown and
observe training of 4
Test
Breakdown,
twice
Reflect on
issues Revise
& Test on
workers
D
A
Y
4
Review Breakdown and
observe training of 4
Review
breakdown
and observe
training of 2
Reflect & report
to Management
D
A
Y
3
Review Basic JI, Choose 2
task per group, each
person create breakdown
Group
combines
Breakdown
visually
Reflect on
issues Revise
& Test on
worker
Report &
Reflect
D
A
Y
2
Review Basic JI, Choose 2
tasks per group, each
person create breakdown
Group
combines
Breakdown
visually
Test
Breakdown,
twice
Reflect on
issues Revise
& Test on
workers
Report &
Reflect
D
A
Y
1
Group
combines
Breakdown
visually
Test
Breakdown,
twice
Review Basic JI, Choose 1
task per group, each
person create breakdown
Alternative
schedule
w/ thanks for
inputs from
Agata Pawlukojc
JI Follow-on Workshop

65. Lean Leadership – Teaching to Learn
The Toyota Kata
Improvement Kata
Coaching Kata
Problem Solving Kata

66. Pass Out
Creating an Adaptable Workforce…..

67. Imagination is more important than
knowledge

68. Business Cycle

69. Markets Change

70. How the Org. responds is Important

71. CI is Important

72. The Good News
Humans are adaptable

73. The Bad News
Management Mental Model Must Change

74. People can handle the Unpredictable

75. People in Groups, However, …
… seek security and predictability and therefore change doesn’t happen.

76. So, how do we create …

77. Key Point – Tap Ingenuity

78. Eliminate Management by Results
… which assumes the path to improvement is clear

79. Management by Results
1.Define Target
2.Identify Solutions & Tools
3.Provide Incentives
4.Check Results

80. Problems are Beyond
… our current horizon, knowledge & abilities.

81. The Path is Unpredictable!

82. Management by Results
vs.
Management by Means

83. Management by Results & ROI
Calculation
Focuses on outcomes ….
… not the process that generates outcomes.

84. From: Numbers Management to Process
Management
• Leaders at Toyota, like Leaders anywhere, want to
see measurable results.
• But they know that the financial result is a result of a
process.
• They also realize that the financial results reflect the
past performance of the process.
• Far better is to create a process that can be
managed right NOW.
- LEI

85. Lean Leadership
We get superior results from average
people managing brilliant processes.
We observe that our competitors get
average (or worse) results from brilliant
people managing broken processes.
Senior Toyota Executive

86. • ASSUMPTION:
Profit comes from full utilization of resources
Traditional Measurements
• MEASUREMENT:
Labor efficiency & machine utilization
• BEHAVIOR:
Make more product
• WHAT IS IMPORTANT:
Full utilization of resources
Ramifications of Mental Models
• ASSUMPTION:
Profit comes from maximizing flow.
Lean Thinking
• MEASUREMENT:
Throughput
• BEHAVIOR:
Eliminate barriers to flow
• WHAT IS IMPORTANT:
Flow according to customer pull

87. • Labor efficiency &
machine utilization
• Cost variances vs..
standard
• Budget adherence
• Direct labor as % of
sales
• Cycle time
• Throughput
• First time quality
• Inventory Turns
• Delivery to customer
• Value stream focus
What’s Important Gets Measured
Traditional Assumptions Lean Assumptions

88. • Make more product
• Utilize resources to the
max
• Optimize dept.
efficiencies
• Track direct labor in
detail
• Allocate other costs
• Eliminate barriers to flow
• Focus on value streams
rather than departments
• Continuous improvement
and team-work
• Eliminate waste,
inventory, and over-
production
Measurement Drives Behavior
Traditional Assumptions Lean Assumptions
People Behave And Are Motivated By How They’re Measured

89. Find our Way vs. Get’er Done
Vs.

90. There are only 3 “For Sure’s”
1. Where we’re at
2. Where we want to be
3. Unclear territory between 1 & 2

91. Management by Means
• The main concern is how we are working
toward objectives,
• When we focus on solutions, we are not
adaptive & continually improving
because…
• …today’s solutions may not solve
tomorrow’s problems

92. To Develop Fitting Solutions
The organization must “understand conditions” and do it – again & again.

93. Where Do Solutions Come From?
People’s
MINDSET
People’s
BEHAVIORS
Processes
Products
Services
BUSINESS
OUTCOMES
The organizational culture
Source of Performance Performance

94. Mindset Forms Culture
Mindset
Culture

95. Mindset
A subconscious way of thinking and
feeling, learned via successes and
failures, that determines how you
interpret and respond to situations.

96. Behavior Patterns
Basic ways and routines through which
work is conducted.

98. Scientific (Management) Method
1. What’s ahead of us isn’t predictable.
2. The special capabilities of our brain
get engaged when we learn new
things.
3. We advance to new solutions and
levels of performance through
disproof.

99. A Favorite of Sakiichi Toyoda (LEI)
“It is a mistake to suppose than men succeed through
success; they much oftener succeed through failures.
Precept, study, advice, and example could never have
taught them so well as failure has done.”
- Samuel Smiles

100. So, if you’re going to FAIL, it’s best to…
- Doug Hall

101. Mindsets
FIXED MINDSET
Avoids Uncertainty
• Define path before
starting.
• Financials determine
direction.
• Maintain “status quo.”
• Occasional changes –
try “leaps” to catch up.
• Mistakes & problems =
failure (bad).
ADAPTIVE MINDSET
Accepts Uncertainty
• Planning, but path
determined “real time.”
• Financials used for
refinement.
• Focus - long-term goal.
• Change is frequent &
normal (small steps).
• Mistakes & problems =
normal & useful.

102. Changing Mindsets is Critical
… but, how?

103. Brain Science says …

104. Brain Science says …
Nuerons that fire together, wire together.”
- Carla Shatz
Strength of connection (ease
of transmission) & the number
of connections increase with
use. Whatever you practice
weaves a habit or pattern in
your thinking.

105. Changing Mindset
Mindset is not developed by incentives,
benchmarking, or episodic classroom
training/workshops (declarative memory).

106. Changing Mindset
Brain Research cites 3 mechanisms
Deliberate daily
practice
Over time,
changes mindsets
Long term, builds
organizational
culture
“New experiences are required to change our mind.”
- Professor Gerald Huther

109. Changing Mindset
The measures taken to deal with new situations, develop new solutions and
reach new levels of performance are not predictable.

110. Comfort Comes With Practice
Well worn mental circuits earned through practice decrease discomfort.

114. Management’s Task
People’s
MINDSET
People’s
BEHAVIORS
Processes
Products
Services
BUSINESS
OUTCOMES
In order to
develop this
Organization’s members must practice
a means for developing solutions

115. Management’s Task
BUSINESS
OUTCOMES
Processes
Products
Services
BEHAVIOR
PATTERNS
MINDSET
For true challenges,
this may be a
manager’s only lever!
Because they can’t be affected directly

116. TPS vs. Traditional
Solution How to
Develop solutions
Toyota’s
Management
Tendency
Left Open Specified – guided and
directed
Our
Management
Tendency
Given/Directed Not specified – left to the
employee

118. Why a Kata?
• Kata conditions the central nervous
system for standardizing a reflexive
action.
• Kata passes on both knowledge and
skill from the master of a previous
generation to students of a future
generation – a cultural feature.

119. Why Kata for Lean?
• Build adaptability (behavior patterns)
into individuals.
• Provide cultural traditions.

120. PDCA

121. ProblemSolving Standardization
Maintenance Kaizen
“Maintaining the Status Quo”
Bring it back to standard Establishing the “Status Quo”

122. Problem Solving Kaizen
Time
Improvement
Status Quo
Defective State

123. Improvement Kaizen
Time
Improvement
Status Quo
Improved State

124. Pass Out
Inculcating Adaptive Behavior Patterns in ……..

125. Inculcating Adaptive Behavior
Patterns in Complex
Organizational Systems
Conrad Soltero
Research Institute for Manufacturing and Engineering
Systems
University of Texas at El Paso

126. Research Investigation
Which kata best facilitates adaptability?
Improvement Kata or Problem Solving Kata

127. Research Objective
• Understand which technique produces
higher levels of adaptability, the PS or
Improvement Kata.
• Adaptability is based on the rate of
PDCA cycling.

128. Adaptability
Improvement vs Problem Solving

129. Adaptability Requirement
• Must be done daily!
(Harder than it sounds)
• Only a short duration (15 minutes)

132. Possible Reasons for Slower
PS Kata Cycling
• Extensive analysis of cause
• Investigation of cause
• Containment measures
• Iterative disaggregation of the problem
• Authorization of proposed
countermeasure
• Learning by investigation and
experiment

133. Adaptability
Kaizen Event
• Improvement is the
point
• Step function
improvement
• Team based
• Selected individuals
• Up to 40 hours (1 week)
• Punctuated
• Project management
• Planning necessary
Toyota Kata
• Learning is the point
• Incremental
improvement
• Individual based
• All management
• 15 minutes daily
• Continual
• Highly scripted
• Easily performed

134. PSK/IK Differences
•“Gap” Determination
•Causal Analysis

135. Improvement
The Gap 2. Current
Condition
1. Target
Condition
Key Mental Model = Improvements are Daily
Systematically Improve

136. Problem Solving
1. Current
Condition
2. Target
Condition
The Gap
Key Mental Model = Problems are Treasures
If so, what must we do?
Systematically Surface and Solve Problems

137. PDCA
PDCA
PDCA
PDCA
PDCA PDCA
PDCA
PDCA
PDCA
PDCA
PDCA
PDCA
PDCA
Improvement

138. PDCA
PDCA
Problem Solving

140. Reasons to Start with
The Improvement Kata
1. Can practice daily to enhance
adaptability.
2. Problem solving is not improvement.
3. Can’t schedule problems – planning
practice is difficult.
4. No causal analysis, no blame.
5. Faster cycling, more adaptability!

141. Improvement Kata
• Assumes no problem(s)
• Aligns by the value stream “vision”
• Identifies quickly obtainable target
condition
• Learning/understanding is progress
• Obstacles, not problems
• Many obstacles on the way to the
vision

142. Improvement Kata
For Lean to stick …
… Organization wide tacit knowledge is
more important than any single
improvement.

143. DAILY IMPROVEMENT

144. Improvement Kata
“The point of a kaizen event is to make an
improvement … oh, and by the way, you
might learn something.”
“The point of the improvement kata is to
learn something … oh, and by the way, you
might make an improvement.”

145. Start with a VSM

148. Improvement Kata
• Assumes no problem(s)
• Aligns by the value stream “vision”
• Identifies quickly obtainable target
condition
• Learning/understanding is progress
• Obstacles, not problems
• Many obstacles on the way to the
vision

149. Current
Condition
Challenge/
Obstacles
Next
Target
Condition
Vision
for
Customer
Improvement Kata Map

150. Improvement Kata
• Steps 1 & 2:
– Determine performance gap
• Step 3:
– Pick any obstacle to work on (doesn’t matter
which)
• Step 4:
– Experiment
• Step 5:
– What did you learn?

151. What’s the Gap? (LEI)
• What is the difference between the current offerings
of the enterprise and the customer’s purpose?
• What’s the difference between the performance of
the key processes addressing customer purpose
and the needs of the customer?
• There is always a gap.
• Current State vs. Future State (VSM)
• Current Condition vs. Target Condition (Toyota Kata)

152. TARGET CONDITION

153. TARGET

154. Target Condition

155. Current Condition

156. Current Condition
• Block diagram
• Takt
• Cycle time
• Output fluctuation
• One-piece flow
• Staffing
• Capacity/shift
• Number of
operators
Grasp the current condition, GO & SEE:

157. Three Keys to Lean Leadership
• GO SEE
– “Sr. Mgmt. must spend time on
plant floor.”
• ASK WHY
– “Use the ‘Why?’ technique daily.
• SHOW RESPECT
– “Respect your people.”
- Fujio Cho (LEI)

158. Go See
• Visit the point where value is actually
being created; verify the situation.

159. Lean Leadership Checklist (LEI)
Do you:
Ask 5 whys, or is it 1 “who?”
Show respect by asking questions, or is it “giving
answers.”
Make sure every leader is a teacher manufacturing
new leaders?
Dig into the details (“go see”) to a point that the root
cause of the problem/gap is clear” (Turn hunches and
data into facts).

160. Lean Leadership
• Respect for Others
– “One of the most disrespectful things one
person can do to another is to waste their
time. To allow people to continue to work with
processes that take longer than they should is
disrespectful”.
– To what degree has management embraced
this philosophy?
Toyota Executive

161. TARGET CONDITION FORM
Process: Challenge: TC Date:
CURRENT
CONDITIONS
TARGET
CONDITIONS

167. PDCA CYCLES FORM
Process: _______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn

168. Case Study #1
Involves improvement efforts in a 500 bed
public hospital by an RN Case Manager.
Since it is a public hospital, it must accept
charity cases. If an uninsured patient
requires DME, it must (by law) be provided
before discharge or else the patient must
stay occupying a valuable bed.

169. Improvement Kata applied to …
• The reintroduction of obsolete forms,
• The reintroduction of an obsolete checklist for
training new case managers and social
workers,
• Use of assessment checklists,
• The use of pamphlets to encourage unfunded
patient paperwork retrieval,
• Case manager aid in coordinating bedside
nurse discharge
• Standardizing criteria for indigent out of state
patients.

170. TARGET CONDITION FORM
Process: Discharge Preparation Challenge: TC Date: 10/27/11
CURRENT
CONDITIONS
TARGET
CONDITIONS
Access durable medical equipment
before discharge.
• DME not on assessment for discharge plan.
•Communication gaps
(RN to RN & faculty to resident).
•No Rx prior to CERNER proposal for DME.
Do we propose to faculty or resident?
•Insurance information on admission for the
discharge plan is sometimes incorrect.
•When providing DME list to family or patient,
they think they have to purchase it and delay.
•Sometimes DME arrives day of discharge and
have to wait for it.
•Assess the need for DME early.
•Communicate to RN, MD and Patient the need
for DME.
•Once need is determined, obtain RX for DME.
•Obtain insurance information to pay for DME.
•Provide DME list to family to make arrangements
to purchase one.
•Have DME arrive the day before discharge.

171. PDCA CYCLES FORM
Process: Proposal for DME (durable med. equip.) Process Metric: Time to sign DME (mins.)
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
10/28 Ask CERNER power user if
proposal DME is sent to
faculty, can resident sign?
The proposal sent to
named MD will be the
one signing the
proposal (i.e. faculty).
Proposal to “sent to” is the
MD that needs to sign.
May propose to 2 residents,
Whomever accepts can
sign for the DME.
Don’t send to faculty. Send
proposal to the 2 residents.
The fist to sign eliminates the
Other proposal (i.e. will not
cause a “floating order” in
CERNER}.
10/31 Send proposal for DME to 2
residents and see what
happens.
Make sure they
receive
and accept it.
Expect
to have to train
them
on how.
Proposal was received on
MD’s messages center.
Showed them how to: Click
ok and send to print on
prescription printer.
Learned proposal goes to MD
message center on CERNER.
11/1
Ask CERNER power user.
”Can DME proposal be
chosen for Multiple DME
devices or one Per each?”
I predict that I’ll be
able to propose
multiple devices on
a single proposal.
Attempted to send multiple
DME’s on a single proposal.
Power user was present.
Unsuccessful.
11/2 Email top CERNER power
User to find out if there’s a
way to send multiple DME’s
on a single proposal.
I predict that there
is a
Way to accomplish
this.
…………………. ………………….

172. Case Study #2
Involves improvement efforts in the service
department of a contract manufacturer.
The manager of the service department
would like all the service vehicles loaded
and ready to go by the time the technicians
arrive to work at 8 am.

173. Improvement Kata Applied to …
• Use of credit card to backup invoices.
• Improve pre-production QC order check.
• Uploading photos of goods ready to ship.
• Streamline Drive-Through paperwork.
• Procedure to have PM’s review aging
backorders.
• Producing field quotations.
• Grouping product parts on service orders.

174. TARGET CONDITION FORM
Process: Staging Material Challenge: TC Date: 11-17-14
CURRENT
CONDITIONS
TARGET
CONDITIONS
Procure Materials (4 possible locations)
and stage in 1 area.
Sales orders reviewed daily and
automatically stage when ready
Identify staging area
Materials & quantity “pre” verified
to free up time for Paul
Trucks loaded & ready to go by 5 pm
& possibly taken home by technicians
Staged by 3 pm each day
Trucks loaded late (morning)
1 in woodshop
0 in shipping/receiving
2 in hollow metal shop
8 in cage
Requested 2 to be staged but
weren’t staged by 3 pm
Staged in available area
Paul verifies material & quantities
Sales orders must be requested
Locate & Stage Customer
Material

175. PDCA CYCLES FORM
Process: _______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
Staging Material
Orders ready 48 hrs.
prior to work day
11/24
No automatic
notification that all
materials are ready.
Why?
MAS200 is
capable of this.
- Tina
MAS200 not capable
of generating email
Notification.
MAS200 not capable of
auto generation of ready
material – existing
method still most efficient.
12/1 - - - -
12/2 - - - -

176. PDCA CYCLES FORM
Process: _______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
Stage Material
by 3 pmStaging Material
12/4
How/what materials
are staged:
Tonia – she expects.
Zac – How it facilitates
our delivery.
Zac’s not going
to know.
When he gets
time?
Zac – Staging box on
Wall.
-Hot ticket option
-Priority Make ticket
-If 9 – 11 is best
delivery, Then by
5 pm.
Tania – 2 to 3 requests
per day for staging.
Zac – Best times for
notification, 9 – 11 am.
Tania – affirmed.
12/9
Mock test at 11:00 am
For 3 pm staging
(request sent at 10:55)
Zac will ask for
more time or
earlier request.
Wasn’t staged by
3:00 pm.
11:00 am may be too
late – 2 other sales
orders were staged
(shows randomness
of process).

177. PDCA CYCLES FORM
Process:_______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
Staging Material
Stage material by
3 pm.
12/12 8:30 request by
Mark for a 10 am
staging – promised.
Zac – We were too
Busy.
Tonia – Statement
of time.
Zac – Short-handed
& candidates being
Interviewed.
Tonia – Put in a 3:00
pm email request in.
Too busy? Short-handed?
Maybe a capacity
problem.
12/12
(side-bar)
UMHB order staged,
but not requested.
Why?
Order in the way. Back order, made
sense to do.
It took 2 efforts to get
correct material here
for sales order we did
not ask for.
12/15
Send sales order
for staging by 11
am.
Will be staged
by 3 pm. Staged at 4:45 pm
Late, but staged on the
same day!*
*Important to note, at this point in the kata, the process has improved from a 2 – 3 day period
to stage material, down to a single day. More progress, however, needs to be made.

178. PDCA CYCLES FORM
Process: _______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
Staging
Stage material by
3 pm.
12/16
Meet with Zac and
See about 3 pm
reliability.
You never know
how busy they are.
Do it when they
have time?
Short-handed with staff.
Informed him of the
reason we need 3 pm
delivery. Said that same
day is still better than
next day – self QC.
Zac’s dept. is short-
handed and we need
to work with him on
that.
New worker to help w/
hot tickets. I expect 6
weeks for hire to
occur.
12/17
Meet with Rob (Zac’s
Boss) to see if new
employee for Zac is
true & viable.
-Short-handed?
-New guy on way?
-When?
-Opinion on Zac’s
statement.
Yes, short-handed.
New employee
Hired w/in 6 weeks.
7.5 workers
Perhaps a new hire
in the beginning of
the year.
Should have enough
workers to cover the
work load.
Not expecting new hire.

179. PDCA CYCLES FORM
Process: _______________ Process Metric: _________________
Trial
Dates
What do I
expect?
Trial/Test Result What did I Learn
Staging Material
Stage Material
by 3 pm
12/18
Tonia email to Will Call
for delivery/staging:
- 3pm
- Notice of issues
- Follow-up @ 3 pm.
Tonia will send
email and have
to wait.
Tonia to send email:
• S/O on subject line
• S/O in body
• Send by 11 am
• Follow up if busy
Tonia emails Zac
appropriately & then
waits.
12/19
Monitor daily progress,
especially failures.
Get a percentage.
1 in 5 will be
wrong. 20%
failure rate.
Checked 2 jobs,
both ok.
20% wrong Confirmed
12/22 Check Monday’s jobs
for accuracy.
1 will be inaccurate. Quantities are ok, will
check shop work.

180. Lean Leadership in Action (LEI)
What’s needed to make Lean Leadership
effective?
Employee who takes responsibility for defining &
solving the problem.
Supervisor who can mentor employee along the path
of discovery & resolution.
NOTE: it’s all about dialogue – a continuing
conversation between manager &
subordinate or responsible person & all of
those touching a process.

181. Toyota: From 5 Who’s to 5 Why’s
• Good Toyota leaders don’t jump to conclusions or
solutions – they try to first size up the situation and
then ask “Why?”
• This focuses on the work and problem at hand,
avoiding finger-pointing seeking of where to place
the blame.
• It also keeps responsibility with the person who is
doing the work,
• This is what truly engages and empowers the
workforce.
- LEI

182. Kata Use of
Stand Alone Features
• Genchi Gembutsu, Gemba Kaizen,
Gemba Walks
• Kaizen Teian
• 5 Why analysis
• Daily Improvement
• Incremental improvement
• Achieving conditions versus metrics
• Total Employee Involvement

183. Kata Use of
Stand Alone Features
• Conveys proper use of A3
• Go slow to learn to go fast
• Advances explicit knowledge
• Enhances tacit knowledge
• Small experiments – sometimes big jumps
• Value stream analysis
• Reflection
• Creation of teachers

184. Cultural Modifiers
• Habitual – daily
• Required of all
• Collaboration
• Ease of practice
• Achievement
• Gratification
• Succinct
• Interesting
• Fun -
experimentation
• Recognition
• Relevance
• Different kind of
work
• Broaden system
knowledge

185. Ask Why
• What is the target condition? What are
possible countermeasures? Why is one
countermeasure the best?

186. Show Respect
• Assign clear responsibility for every
process & problem; ask questions
about people’s work.

187. Lean Leadership Checklist (LEI)
Do you:
Ask for alternatives, not one
countermeasure?
Ask about additional countermeasures in
case things don’t go as planned during
implementation?
Assign responsibility to “manufacture”
authority for transformation through detailed
discussions with every function, department, &
person touching processes?

188. Total Employee Involvement
• Involve the people
• Allow them some “say”
• Provide clear
understanding of the
benefits
• Ask for positive,
constructive ideas for
solving any relevant
issues
• Allow them to express their
feelings & ideas
• Measure participation

189. The Coaching Kata
• Tools:
– The Coaching Kata Card
– The Target Condition Form
– The PDCA Cycle Form
• Knowledge/Skill:
– Knowledge of Lean Principles
– Competent TWI-JI Instructor
– Well Practiced in the Improvement Kata

190. What is Coaching?
• An ongoing process of
helping people achieve
results
• Integral part of “face to
face” leadership
• Spending constructive time
with a person or group
• Listening, advising,
instructing, communicating
enthusiasm

191. Preceptor vs. Coach
• A Coach can teach the process
• A Preceptor can teach the process and
maintain the “precepts” of the
organization, i.e. Sensei.

192. Coaching Points
• Choose only 1 obstacle & stick with it
• Compare target & current conditions
• “P” – Don’t forget to predict the outcome
of your experiment
• “D” – Always an experiment, but not
necessarily an implementation
• “C” – Compare prediction to results, this
is the learning.
• “A” – adjust (new cycle) or act
(implement)

193. Coaching Points
• Analyze carefully, but cycle fast!
• There are usually more than one
answer (countermeasure)
• If experiment takes time, don’t move to
another target condition obstacle
• Use lean principals (e.g. 1 piece flow),
process being analyzed, and target
condition to stay on track.

194. TPM / SMED
Quality at Source Standard WIP POUS
Standard Work
5S System Teams Plant Layout
Visual
Cellular/FlowTAKT Production Pull
Value
Stream
Mapping
The New House of Lean Lean
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Improvement Kata Coaching Kata Problem Solving Kata
Continuous Improvement

197. Cultural Transformation Strategy

198. Top Management
Middle Management
Supervisors
Workers
IMPROVEMENT
MAINTENANCE
-Gemba Kaizen
Massaki Imai
Type of Kaizen & Job Function

199. Clam Shell Approach
• TWI Job Instruction – Management trained,
implemented from the bottom up.
• Improvement Kata – Management coached,
implemented from the top down.

200. Being World Class is a Decision

201. Conrad Soltero (512) 585-1567
email: csoltero@swri.org
Larry Rucker (210) 522-3110
email: lrucker@swri.org
For More Information