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Lean Mindsets and Behaviors
The document outlines strategies for developing lean mindsets and behaviors to foster a high-performance organizational climate that supports continuous improvement. It emphasizes the importance of operational clarity, engagement, focus, and disciplined decision-making processes, as well as the need to proactively manage gaps in organizational behaviors to enhance productivity and results. Key concepts include the strategy deployment method, metrics-based process mapping, and the necessity of process ownership for consistent outcomes.
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Lean Mindsets and Behaviors
- 1. Lean Mindsets &Behaviors Creating a High-Performance Climate for Sustained Transformation Mike Osterling & Karen Martin AMEChicago2012 October 15, 2012
- 2. Learning Objectives • The macro‐ and micro‐behaviors that are at the core of excellence. • How to identify the gaps between “what is” and “what needs to be.” • How to create an operational climate that enables people to grow and succeed. • How to develop Lean mindsets and behaviors throughout your organization. • How to instill and reinforce the new ways of operating. 2
- 3. Success with Improvement 2001 – The Economist 70% 63% 60% 50% 40% 30% 20% 17% 20% 10% 0% None Temporary Lasting 3
- 4. …A Decade Later 2010 – Accenture 80% 70% 69% 60% 58% 50% 40% 33% 30% 20% 10% 0% “Mixed” to Minimal Needs re‐evaluation, “disappointing” financial restart or complete results impact makeover 4
- 5. To Err isHuman Institute of Medicine, 1999 98,000 lives lost Improvement Goal: Reduce by 50% in 5 years. 5
- 6.
- 7. Something Is Terribly Wrong… Up to 98,000 people 180,000 Medicare die from medical patients die annually errors. from medical errors. To Error is Human, Office of the Inspector Institute of Medicine 2005 General 2011 1999 Progress has been 2010 33% hospitalized slow. patients are harmed; 7% result in permanent Journal of the American Medical Association injury or death. Health Affairs 7
- 8. We need to improve how we improve. 8
- 9.
- 10.
- 11. 11 Resilience Agility Business Results Innovation Continuous Improvement Problem Solving that Reduce Mindsets & Behaviors Chaos
- 12. Clarity Engagement Focus Discipline 12
- 13. “Effectiveness is a habit.” — Peter Drucker 13
- 14. Group Discussion 1. Clarity 2. Focus 3.Discipline 4. Engagement 14
- 15. Group Activity ‐ Behavioral Gaps • Part 1 –Rate your organization (company, facility, department, etc.). 2 minutes – Which of the four behaviors is it weakest in? • Part 2 – Move to the appropriate corner for your weakest org behavior. 15 minutes – Give examples of the lack of that behavior – Which metric(s) do they affect (hard impact)? – How do they affect customers, employees and/or suppliers (soft impact)? – Select one example & its impact to share with the full group. • Part 3 – Report out. 10 minutes 15
- 16. Activity: Behavioral Gaps Hard Costs Soft Costs Lack of Clarity Lack of Focus Lack of Discipline Lack of Engagement 16
- 17. 17 Resilience Agility Business Results Innovation Continuous Improvement Problem Solving
- 18.
- 19. Junk Words* (10 mins) • The line at Starbucks is long. _________________ • That car is expensive. ______________________ •That would be a long commute. ______________ * Conceptualized by Sammy Obara, Toyota by Toyota 19
- 20. Seek Unbridled Clarity Around… 1. The direction your organization is heading in. 2.Who your customers truly are and what needs they have. 3. What value you deliver. 4. How specifically you deliver and support the delivery of value. 5. Who delivers and supports the delivery of value. 6. How you’re performing. 7. The language you use. 20
- 21. “Going to the gemba has been life changing for me as a leader.” ‐ Ginny Cattaneo, Sr. VP, Franklin Templeton Investor Services 21
- 22. Lean Management System Plant Manager Standard Work Value Stream Manager Standard Work Supervisor Standard Work Team Leader Standard Work Standardized Processes 22
- 23. Truth Truth Truth Truth Truth Truth Truth Truth Truth 23
- 24. 24 Resilience Agility Business Results Innovation Continuous Improvement Problem Solving
- 25.
- 26. Focus Needs 1. Priorities – What are you striving for? What’s important to accomplish THIS year? – Products – Processes – Marketplace – Margins – People 2. Meetings – What’s the purpose of the meeting? 26
- 27. Booz & Company Findings 90% 82% 80% 70% 64% 60% 49% 50% 40% 30% 20% 10% 0% No written Conflicting Competing priorities priorities demands 27
- 28. There is no such thing as multitasking.* * For cognitive tasks. 28
- 29. The Myth of Multi‐tasking • It’s not possible to do 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 29
- 30.
- 31. Round 1 Task 1: Lack of focus causes chaos Task 2: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Round 1 – Letter, number, letter, number: L, 1, A, 2, C, 3, etc. _________________________________________________ _________________________________________________ 31
- 32. Round 2 Task 1: Lack of focus causes chaos Task 2: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Round 2 – full sentence, followed by numbers 1‐22. _________________________________________________ _________________________________________________ 32
- 33. The Countermeasure: Strategy Deployment Aka Hoshin kanri; policy deployment Hoshin – Direction; compass; shining needle Kanri – Management Two key parts: Creating the plan itself & and fanatic management to that plan. Purpose: Organizational focus & alignment Aligns everyone toward a few high impact objectives while also keeping them accountable for their commitments through visual management and review. 33
- 34. 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? 34
- 35. Improve Productivity through Greater Focus Productivity (Pounds Produced / Hr Worked) 115.0 Pactiv 108.0 Implements Strategy 105.9 Deployment 101.0 95.2 94.0 93.0 90.6 87.0 86.3 84.8 80.0 FY '06 FY '07 FY '08 FY '09 FY '10 YTD '11 35
- 36. Activity: Achieving Focus List Potential Projects Lean Mindsets & Behaviors Achieving Focus: Project Prioritization Project / Priority 36
- 37. “Hoshin‐Lite” Annual Work Plan PRE ‐ Gain clarity around overarching business needs. 1.List everything you could do (and that you are doing and you plan to do). 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!). 37
- 38. Achieving Focus Categorize project list Lean Mindsets & Behaviors Achieving Focus: Project Prioritization Project / Priority Must Do Eliminate Delay Maybe Project A X Project B X Project C X Project D X Project E X Project F X Project G X Project H X Project I X 38
- 39. To create new ideas is a gift, but to choose wisely is a skill. ‐ Ryan Morgan 39
- 40. Achieving Focus Move “Maybe’s” into Other Categories Lean Mindsets & Behaviors Achieving Focus: Project Prioritization Project / Priority Must Do Eliminate Delay Maybe Project A X Project B X Project C X Project D X Project E X Project F X Project G X Project H X Project I X 40
- 41. Label Four Flip Chart Pages & Hang on Wall Must do Maybe 1. 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. Delay Eliminate 3. Decide what you will do. (Move “maybe’s” onto one of the other three pages.) Gain consensus. 41
- 42. Must do Maybe Step 4 Prioritize must‐do’s; Create Plan Delay Eliminate 42
- 43. PACE Improvement Prioritization Grid 9 22 17 23 8 3 21 Easy 10 4 13 5 15 Ease of Implementation 20 14 19 1 16 7 6 2 11 18 12 Difficult Low High Anticipated Benefit 43
- 44. Achieving Focus Prioritize Must‐Do’s Easy Ease of Implementation Difficult Low High Anticipated Benefit 44
- 45. Annual Improvement 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‐out Roll‐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 Not Develop & 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, Fleet Complete "River" (One Soft) Begin Complete Lisa B Roll‐out Develop Safety Begin Complete Gary O Program 45
- 46. Annual Improvement Plan Tier 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 9 10 11 12 13 14 15 16 17 18 19 20 46
- 47.
- 48. Sporting Goods Manufacturer Product Launches Per Year 80 73 70 60 No additional resources; 50 higher quality 40 products launched 30 24 20 10 0 Pre‐Focus Post‐Focus 48
- 49. Rockwell Automation 25 20 20 Projects 15 Started 12 12 10 Projects 5 Completed 3 0 Pre‐Focus Post‐Focus 49
- 50. 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. From The Outstanding Organization, Karen Martin 50
- 51. 51 Resilience Agility Business Results Innovation Continuous Improvement Problem Solving
- 52. Greatness results from Disciplined people engaged in disciplined thinkingthat leads to disciplined action. — Jim Collins, Good to Great 52
- 53.
- 54. How much deliberate practice? 10,000 hours Tied deliberate practice (10 Years) to myelin development 54
- 55. Practice vs. Performance Perform Train 99% 100% 90% 90% 80% 70% 60% Train 50% Perform 40% 30% Perform 20% 10% Train 1% 10% 0% Athletes Businesses Jim Loehr & Tony Schwartz, The Power of Full Engagement 55
- 56.
- 57. MASTERY 57
- 58. Discipline is Needed… • Planning • Decision making • Executing • Problem Solving & Improving • Managing processes 58
- 59. “It takes a different kind of thinking to solve a problem than the kind of thinking that produced the problem.” — Albert Einstein 59
- 60. “Most people spend more time and energy going around problems than in trying to solve them. ” — Henry Ford 60
- 61. The Scientific Method for Problem Solving and Improving 61
- 62. Clarifying the PDSA Cycle Phase Detailed Steps New 1. Define and break down the problem. Problem 50‐80% 2. Grasp the current condition. of the Develop Plan 3. Set a target condition. total Hypothesis 4. Conduct root cause & gap analysis. time Continuous 5. Identify potential countermeasures. Improvement 6. Develop & test countermeasure(s) Conduct Do 7. Refine and finalize countermeasure(s). Experiment 8. Implement countermeasure(s). Evaluate Study 9. Measure process performance. Results 10. Refine, standardize, & stabilize the process. Refine Adjust Standardize 11. Monitor process performance. Stabilize 12. Reflect & share learning. 62
- 63. Developing PDSA Capabilities Complex • A3 Management • Kaizen Events Simple • Daily Kaizen 63
- 64. Group Discussion • How many of you are familiar with A3 Management? • How many of you have a disciplined A3 development program across your organization (including coach development)? • If it’s a good idea, why aren’t more organizations doing it? • What can you do about it? 64
- 65. Discipline is Needed… • Planning • Decision making • Executing • Problem Solving & Improving • Managing Processes 65
- 66. Every key process… Clearly documented 2‐5 Key Performance Indicators Continually monitored & improved 66
- 67. How are you performing? Gray – Highest industry quality scores Purple – Median industry quality scores Blue – Our quality scores 67
- 68.
- 69. Processes MUST be Clearly Documented, Monitored & Improved Current State Metrics-Based Process Map PT Units Process Details Mapping Team Seconds Hours Process Name Order Fulfillment Dianne O'Shea Ryan Austin Minutes Days Specific Conditions Domestic orders through sales force Sean Michaels Mary Townsend LT Units Occurrences per Year 37,500 Sam Parks Seconds Hours Hours Worked per Day 8 Paul Dampier Minutes Days Date Mapped 26-Nov-07 Michael Prichard Step # ? 6 7 8 9 Function / Department Activity PT LT %C&A Activity PT LT %C&A Activity PT LT %C&A Activity PT LT Customer Notify customer Fax PO to Sales Rep Approve PO 15 240 100% 5 20 100% when they can 15 300 95% Account Manager expect delivery Review and Account Manager approve PO; send 5 240 100% to Order Entry Enter order into Order Entry 10 240 SAP Finance / Credit 69
- 70. We need toshift our focus from managing people to managing processes. 70
- 71. Non‐standard Processes Yield Inconsistent Results R1 R2 Inconsistent People R3 Results R4 Inconsistent Processes Standard Processes Yield Predictable Results Desired People Results Standardized Processes 71
- 72. Process Ownership: Working On The Business • All processes MUST have a process owner. – Closer than farther from the work. – Recognized as having the authority to lead improvement. • Accountable for process performance. – Frequent measurement and review. – Lead/organize cross‐functional problem solving. 72
- 73.
- 74. Before improving aprocess, understand – really understand – how it is being performed today. 74
- 75. Traditional Mapping Method: Process Flow Chart How long does the process take? How well is the process performing? Where are the problems? 75
- 76. The Genesis of MBPM Second Edition August 2008 October 2012 76
- 77. What is Metrics‐Based Process Mapping (MBPM)? • A visual process analysis tool, which integrates: – Functional orientation of traditional swim lane process maps – Key Lean metrics: • Lead Time • Process Time • Quality (Percent Complete and Accurate) 77
- 78.
- 79. Why Create an MBPM? • To map admin / office processes • Understand the steps, disconnects, waste, and delays – at a micro level • Measure process performance in terms of: – Time (lead time and process time) – Quality • Visualizes the steps and flow • Use as standard work for training and process monitoring 79
- 80. Typical Current State Findings Islands of value‐adding activities. Shift the focus to the NVA elements. Rework First Step Last Step Adding Value Lead Time 80
- 81. MBPM Results % Process Before After Improvement New Hire LT = 25.75 days LT = 17.5 days 32% Logistics Purchase LT = 21 days LT = 8 days 62% Requisition Sales Order PT = 2.7 hours PT = 1.3 hours 52% Change Supplies 17 steps 11 steps 35% replenishment Product Demo %C&A = 2% %C&A = 20% 900% 81
- 82. MBPM – Getting Started • Define a clear scope –narrow and deep – Define the first and last steps for the process to be improved – Lay out the specific conditions for the process to be mapped Metrics-Based Process Mapping Charter Improvement Scope Leadership Mapping Schedule Value Stream Executive Date(s) Process Name Sponsor Specific Start/End Process Owner Conditions Times Customer Demand Facilitator Location Trigger First Step Mapping Team Food Last Step Lead Provided Boundaries & Briefing Limitations Dates/Times Required Briefing Attendees FS Implementation Logistics Timeframe Coordinator Improvement Drivers / Current State Issues Mapping Team 1 Function Name 2 1 3 2 4 3 5 4 Improvement Goals & Measurable Objectives 5 1 6 2 7 3 8 4 9 5 10 Potential Deliverables On-Call Support 1 Function Name Contact Information 2 1 3 2 4 3 5 4 Possible Obstacles Approvals 1 Executive Sponsor Value Stream Champion Facilitator 2 3 Signature: Signature: Signature: 4 Date: Date: Date: 82
- 83. Scope: Refining the Focus Units Domestic Consumables Warranty Service Parts Order Non‐ Fulfillment Warranty Units International Consumables Warranty Service Parts Non‐ Warranty 83
- 84. MBPM – Getting Started (continued) • Select the team (most effective within a kaizen event) – Highly cross‐functional – workers, upstream suppliers, downstream customers, outside eyes, etc. • Those who currently do the job – No more than 10 individuals – Don’t avoid the “difficult” people – Include “outside eyes” if possible • Use a skilled, objective facilitator • Have a room with (long) wall space for 36” wide butcher paper • Map on consecutive days 84
- 85. Steps in Creating the Current State MBPM 1. Label the map (process, date, team or facilitator) 2. List the functions involved 3. Document all activities / steps 4. Review the map for completeness 5. Number the activities 6. Add activity‐specific information (metrics, etc.) 7. Determine the timeline critical path 8. Create the timeline 9. Calculate the summary metrics 10. Identify value‐adding (VA) and necessary non‐value‐adding (N) activities 85
- 86. Documenting the Current State Step 1 – Label the map in the upper right hand corner. – Include process name, conditions mapped, date, and facilitator name and/or team members. 86
- 87. Document the Current State Step 2 – Label the swim lanes with the functions involved. – Include external functions, if appropriate (e.g. customers, suppliers/contractors, etc.) – Sequence in which functions are listed is not important 87
- 88. Document the Current State Step 3 – Document all activities/steps on 3” x 6” post‐its. Don’t include metrics yet! – Use verb/noun format; clear and concise – Include function. – Separate tasks that have different quality outputs or timeframes; combine tasks otherwise. – Place post‐its in appropriate swim lane, sequentially. 88
- 89. Document Each Activity Activity (Verb / Noun) Function that performs the task Best to use 3 x 6” Post‐its 89
- 90. Step Step Concurrent 1 2 Activities Ticking clock 90
- 91. Document the Current State Step 4 – Review map for completeness (someone other than the facilitator) – Walk through the map, reading aloud. – Verify sequence – Add missing steps and barriers to flow (“flow‐ stoppers”) if any. 91
- 92. Document the Current State Step 5 ‐ Number the activities – Number the activities sequentially from left to right. – For parallel (concurrent) activities, add “A,” “B,” etc. • Example: Step 8A, Step 8B, etc. – Don’t number the post‐its until the map is “final.” 92
- 93. Document the Current State Step 6 – Add activity‐specific information – LT – Lead time – PT – Process time – %C&A – Percent Complete & Accurate – Number of people who perform the work – Barriers to flow • Batches • Equipment downtime • Shared resources, etc. 93
- 94. Key Metrics: Time • Process time (PT) – The time it takes to actually perform the work to complete one item, if it could be worked on uninterrupted. • Lead time (LT) – The elapsed time from when work is available to be worked on until it’s completed and made available to the next person or department in the process 94
- 95. Key Metrics: Quality • %Complete and Accurate (%C&A) – % of the time the downstream customer can perform task without having to “CAC”: • Correct information or material that was supplied • Add missing information that should have been supplied • Clarify information provided that should have been clear 95
- 96. Add Activity‐Specific Information Additional Information # Staff (if relevant) Barriers to flow (if relevant) % Complete & PT Accurate LT 96
- 97. Adding Metrics: Tips • LT, PT and %C&A are typically acquired via interviews – ask high‐quality questions. • Usually looking for the “typical” LT and PT; what happens 80% of the time? • Select units of measure that are easiest to comprehend (e.g. 6 hours instead of 360 minutes). • PT is the time required to complete one “thing” • If your LT is 4 hours, don’t debate a PT of 5 vs. 7 minutes. 97
- 98. Adding Metrics: Tips (continued) • May be OK to group the LT for a series of activities performed by the same function (rather than each individual step). • Place %C&A value on the post‐it of the source step. – If %C&A issues are identified by multiple downstream customers, record each of the %C&As on the Post‐it of the source step (can also indicate on the Post‐it which step reported the problem). – 0% C&A is not uncommon 98
- 99. Barriers to Flow • Look at the process from “the thing’s” perspective • Identify issues that prevent one‐piece‐flow of the work – Batching / periodic processing – Rework – Bottlenecks – Handoffs – Inventory – Setup / changeover – Physical layout 99
- 100. Document the Current State Step 7 – Determine the “timeline critical path” of the process – For parallel activities: • Don’t include “dead end activities” – Steps / path which don’t move the process forward (e.g. filing a document) • If both paths are required to move forward, select the path with the longest total lead time 100
- 101.
- 102. Document the Current State Step 8 –Create the timeline – Bring down the PT & LT from the critical path steps. Timeline 102
- 103. Document the Current State Step 9 ‐ Calculate Summary Metrics – Critical Path PT – Critical Path LT – Activity Ratio (AR) – Rolled Percent Complete and Accurate (R%C&A) – Total PT – Labor Requirements – Number of Activities 103
- 104. Summary Metrics: Time • Timeline Critical Path PT – Quantifies how much of the response time (LT) is spent actually working on the “thing” • Timeline Critical Path LT – Measures speed of delivery to customer & an indicator of cash flow • Activity Ratio (AR) – The percentage of time work is being done to the patient/item/data passing through the process – AR = (Σ PT ÷ Σ LT) × 100 – 100 – AR = Idle time 104
- 105. Summary Metrics: Quality • Rolled Percent Complete and Accurate (R%C&A) = – %C&A × %C&A × %C&A × … – Out of 100 occurrences, the number of times the data/material/people pass through the entire process with no rework required (expressed as a percentage). 105
- 106. Summary Metrics: Labor Requirements • Total PT – Sum of all activities, not just critical path – Factor in determining labor requirements • # FTEs* Required (Total Labor Effort) # FTEs Total PT (in hrs) X # occurrences/year Required = Available work hrs/year * FTE = Full‐time Equivalent (2 half time employees = 1 FTE) 106
- 107. Summary Metrics: Labor Effort • Total PT – Sum of all activities, not just timeline • Labor Effort Time = Total PT (in hrs) x # occurrences/year Total PT (in hrs) x # occurrences/year # FTEs* = Available work hrs/year/employee** Freed = Current State FTEs – Future State FTEs Capacity * FTE = Full‐time Equivalent (2 half time employees = 1 FTE) ** Available work hrs/year = 2,080 ‐ paid holidays and vacations 107
- 108. Documenting the Current State Step 10 – Identify Value‐adding (VA) & Necessary Non‐value‐adding (N) activities – Use small post‐its in different colors to differentiate VA and N – Monitor time allowed for debate – Unlabelled activities = waste 108
- 109. Value‐adding activity Necessary non‐value‐adding activities
- 110. Metrics‐Based Process Mapping (MBPM) Simulation Order Fulfillment Process: Demand = 2,500 orders per year Available work hours per employee per year = 1,800 110
- 111. Create the Current State MBPM Phase I 1. Label the map in upper right corner. • Process name, date, facilitator and/or team members 2. List the functions involved in left column. 3. Document all activities/steps. No metrics yet! • Verb/noun; concise language; include function as well. 4. Review the map for completeness. 5. Number the activities. One number per column; concurrent activities are labeled A, B, C, etc. 6. Add activity‐specific metrics (PT, LT, %C&A). (We are not considering number of workers and barriers to flow in this simulation.) 111
- 112. Create the Current State MBPM Phase II 7. Define the critical timeline path. • Longest LT unless “dead‐end” step; use colored marker 8. Create the timeline. 9. Calculate the summary metrics • CP PT Sum, CP LT Sum, AR, R%C&A, Total PT, Labor Required 10. Identify the VA and necessary NVA activities • Use small colored post‐it labeled with “VA” and “N.” 11. Circle the step‐specific metrics that indicate the greatest opportunity for improvement. • Use red marker. • Long LTs, low %C&As, high PTs, low step‐specific ARs 112
- 113. Document Summary Metrics Projected Projected % Metric Current State Future State Improvement Timeline Critical Path PT Timeline Critical Path LT Activity Ratio Rolled %C&A Total Process Time Freed capacity
- 114. Future State Design • Goals – Reduce overall LT & PT – Improve quality (increase RFPY) – Increase % activity – Improve LT, PT, and %C&A at individual steps • May need to perform root cause analysis before determining countermeasures to realize the future state • Mapping steps – Clean sheet or modify current state map – Same steps as current state – Calculate projected metrics 114
- 115. Future State Design Considerations • Eliminate steps / handoffs • Eliminate motion & • Combine steps transportation • Create parallel paths • Standardize work • Alter task sequencing and/or • Eliminate unnecessary timing approvals / authorizations • Implement pull • Stop performing non‐value • Reduce / eliminate batches adding (NVA) tasks • Improve quality • Co‐locate functions based on flow; create cells • Create an organized, visual (teams of cross‐functional workplace staff) • Reduce changeover • Balance work to meet takt time requirements 115
- 116. 116 Resilience Agility Business Results Innovation Continuous Improvement Problem Solving
- 117.
- 118. Engagement Drivers: The Three C’s Connection Creativity Control 118
- 119. Engagement Drivers • Connection ‐to mission, annual goals, immediate supervisor, people within the organization, customers. • Control – heavy involvement in decisions that influence their work life. • Creativity – Full use of talents, capacities, potentialities, and skills 119
- 120. It’s disrespectful to… 1. Not engage employees in work design and improvement. 2. First blame people instead of systems and processes. 3. Not help employees develop skills. 4. Not coach employees through problem solving – on an ongoing basis. 5. Have poorly designed processes which inhibit performance. 6. Fail to create and clearly communicate organizational goals and priorities. 7. Lack honesty and omit relevant information. 120
- 121. Group Activity – Driving Engagement • Three groups: – Connection – Control – Creativity • Each group: – Identify activities and practices within your organization that engage or disengage employees in that area. • Report out 121
- 122. Activity: Engage or Disengage? Engage Disengage Connection Control Creativity 122
- 123.
- 124. Places to Start… 1. Develop an intolerance for ambiguity. 2. Prioritize your work; reduce the number of active projects at once. 3. Ban electronic devices from meetings. 4. Adopt a problem‐solving methodology and deploy it broadly; get a coach! 5. Document, standardize and improve all major processes with significant involvement of the workers themselves. 6. Identify process owners and KPIs for each. 124
- 125. Group Activity – Closing the Gap • Go back to your “weakest corner” (Clarity, Focus, Discipline or Engagement) – List the lean practices/methods/tools that can be used to improve your organizations’ behaviors – Report out to the class • Next, look at your “self‐assessment” notecard, select one of your organization’s weakest areas, and begin creating a plan for how to start moving the needle (what’s the problem, what are potential root causes, what are potential countermeasures, who needs to be involved, etc.) 125
- 126. As Outstanding as They Come… Discipline 12 6
- 127. Mike Osterling, President Karen Martin, Principal 4320 Woodland Drive 7770 Regents Road #635 La Mesa, CA 91941 San Diego, CA 92122 619.572.3632 858.677.6799 mike@mosterling.com ksm@ksmartin.com Twitter: @karenmartinopex Subscribe: www.ksmartin.com/subscribe 127
- 128. Our Books October 2012 Just released Contributing Author 128