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Monday, January 4, 2010

Ten New Years Resolutions for Lean Managers

Note: The following article is reprinted with permission from the author Patricia Wardwell and distributed by GBMP (Greater Boston Manufacturing Partnership). 

Lean thinking brings about many changes in the way companies do business and operate processes.  New ways of defining customers, value, total cost and measuring elapsed time for fulfilling customer needs are just the beginning.  Everything from the redefinition of what constitutes "work" to breaking away from batch and queue mentality requires a paradigm shift, and employees are expected to support these changes, abandoning old ways of thinking and acting in new ways that may not always be intuitive or comfortable in the beginning. 

However, have you ever stopped to think about the essential changes that managers in a lean organization need to make to their own processes and styles in order to pave the way for change and accelerate the paradigm shifts?   This list offers some suggestions on how managers can commit to changing the way they work in order to help themselves and others adapt to and embrace the changes that are necessary in any successful lean implementation. 

As we head into a new year, I have chosen to put these thoughts in the form of manager "resolutions", with the hope that those who read this article will make a personal pledge to "practice" them in 2010.  Some of them will take a portion of you out of your comfort zone and that is a good thing!  Some will perhaps strike you as too time consuming and you will ask yourself "where will I find time on top of all the other things I have to do?"  The simple answer is you have to make the time.  Striking a balance between daily work and improvement is a critical responsibility of any manager who is going to support and lead lean in a meaningful way.  In fact that leads us to your first resolution!

1.      Set aside time each week to actively and openly nurture the lean journey in your organization. You must understand that one of your most important jobs as a lean manager is to develop and nurture other lean thinkers and to do this you must be engaged with them on a regular basis and be willing to put a high priority on improvement activities for yourself and others.    

2.      Get out of your office and walk the value stream at least once per week.  There is no better way to experience the flow of value (or lack thereof) than taking the same journey that an order, new product, patient or other takes through your processes.  Start where the order, product or person enters your value stream and "go see" all the places they go from start to finish. Look for all forms of the 7 wastes^ and when you see them, think about "why" they exist.  Do this often in order to gain a true understanding of your processes.  What happens on Monday is not necessarily what happens on Friday. See if you can discover why on your Gemba walks.  

3.      Resolve to use your eyes and ears more than your vocal chords when on the shop floor.  Shigeo Shingo noted that improvements come from the "common sense and experience of the people who do the work".  You need to look and listen to what the many intelligent, creative people who make your business run have to say about what goes on in their world each day.  If you don't do this regularly how will you have a prayer of knowing how to support their improvement efforts or gain their trust and commitment to change for the long haul?  


4.      Ask 5 different people who work for you "what can be improved" at least once a week.   This may sound like a simple one but if you ask, you must also be prepared to offer support and provide time and resources to allow them to make the improvements they suggest.  If you do so, you will very likely see your improvement efforts bloom!  If they see you are truly interested in their ideas and are willing to allow them the time and materials needed to change the small things that bug them regularly, you will be surprised how muchthis will mean to them. And your business will benefit at the same time.   

5.      Participate in an improvement project team meeting, training session or kaizen event at least once per month.  Be a visible, active participant in lean training and improvement efforts.  If a manager makes time to participate or attend, it sends the message to employees that the activity is important.  The opposite is also true. 

6.      Ask to be shown an implemented improvement idea from all areas reporting to you at least once per month.  Recognition is an important component of all good lean programs.  When you take the time to "go see" some of the ideas that people have implemented and, better yet, thank them in person for a job well done, you are recognizing and reinforcing desired behaviors. You'll also get an important opportunity to learn more about both your employees and your processes.   And when you ask to see improvements you are also setting the expectation that there will be some!

7.      Read at least one new lean article or book a month.  Lean managers recognize that learning is a life-long endeavor that needs to become as natural to employees as breathing.  The idea behind reading on lean subjects is to become a sponge, soaking up what others who have been on the journey longer than you have learned, and then think hard about how you and your organization can use this knowledge. Don't be surprised if you begin to accumulate your own lean library very quickly once you commit to becoming a reader!

8.      Attend a conference, plant tour or participate in a webinar or podcast on lean topics once per quarter.  Better yet, take a few people along for the ride when you participate in these activities.  Networking, benchmarking, and seeing and hearing about experiences of other companies and people are not only desirable but are expected in the world of lean practitioners.  When a team of people from your company participates together you instantly increase the likelihood that the learning will be more widely shared upon your return and you create a unique way to foster team work and stimulate lean dialogue.  

9.      Vow to visit at least one external customer or supplier each quarter.  The value stream does not stop at your four walls.  Instead it extends both to your suppliers on the one end of the value chain and to the customers who pay the bills on the other end.  The more you know and understand about these key stakeholders, and vice versa, the greater the chances that you can improve your extended value stream.  


10.  Develop your own "Manager's Standardized Work".   How many of you have a written routine that you follow as you go about your daily work?  I imagine if I asked you to list what you do, you would be able to list many things that have to get done in the course of the day, week or month.But nary a one of you would be able to say with great confidence that the order and time required to carry out those activities is entirely repeatable or predictable.  Why not formalize your list and establish your own set of manager's standardized work?  It will help you and the people who work for you more than you know. Write down, in the sequence you will follow, indicating how much time will be devoted to each task and when it will be done each day, the repeatable activities you will undertake on a daily basis, a weekly basis and so forth. It is ok to reserve times for the "unknown" things that invariably come up.  After a few weeks of practice you will have a pretty good sense of how much time you need to hold aside for these activities.  How much more productive and efficient would you and others be if a large majority of your routine tasks were planned and scheduled out on a regular basis?  Once you write it, make the list visual by placing a copy on your desktop, your door, and circulating it to people who work for you. Want to know what I will be doing at 9:00 am on Monday mornings?  Just look at my standardized work.  Am I open for a potential meeting at 2 pm on Thursday, just look at my standardized work.  If a manager can commit to creating and following standardized work, what message does this send to the rest of the organization about its importance? 

These resolutions are intentionally designed to cover activity changes that are in the direct control of most managers.  Therefore there should be few excuses that you can't carry them out because someone won't let you.  Yes, I realize that managers are people too, and may find change hard, but I sincerely encourage you to give them a try. The rewards will far outweigh the risks or sacrifices if you put them into practice.The behaviors you model if you enact these resolutions will demonstrate a personal commitment to lean and a tenacious respect for people, two of the most fundamental characteristics of a strong lean leader - which you are going to become in 2010, right? 

--Pat Wardwell, COO
Greater Boston Manufacturing Partnership

Pat is the Chief Operating Officer for GBMP, Shingo Prize Recipient, SME Lean GOLD Certified Examiner and Chair of the National Lean Certification Oversight and Appeals Committee. GBMP is a not-for-profit organization based at the University of Massachusetts Boston campus working with companies all over the world. They are your one-stop resource for Continuous Improvement education and facilitation. View a video about GBMP's approach and philosophy toward continuous improvement and lean training.


Friday, January 1, 2010

Quote of the Day January, 1, 2010

On Friday’s I will post a Lean related Quote. Throughout our lifetimes many people touch our lives and leave us with words of wisdom. These can both be a source of new learning and also a point to pause and reflect upon lessons we have learned. Within Lean active learning is an important aspect on this journey because without learning we can not improve.

Feel free to share some of your favorites here as well.

"If you don't know where you are going, you will probably end up somewhere else." ~Lawrence J. Peter

It is important to remember as you start this New Year you start with a vision of what you want to accomplish.  Whether it is a personal New Year's resolution or a new business objective you need to set a goal or target condition.  From this a plan can be made to achieve your goal.  You can then monitor your progress toward your goal and adjust accordingly.  In 2010, think Lean, have a vision, and use PDCA otherwise it is anyone's guess where you'll end up.

Jamie Flinchbaugh wrote a nice post on New Year's Resolutions.  He recommends forgoing the resolution in favor of planning and action.  Check out his advice on goal setting before you tackle your own.

Monday, December 28, 2009

Sustainability: Ten Factors for Making Culture Change Stick


Previously, I discussed creating a Lean culture and characteristics of effective change management and I am going to talk about sustaining this change.  Simply, sustainability is about lasting change. Sustainability is discussed often and one of the great issues in management, never mind Lean.  We have all seen facts related to the low rates of sustaining change or seen news about a company who lost its way.

 

Charles Darwin said "It is not the strongest species that survive, nor the most intelligent, but the ones who are most responsive to change" which holds true for culture change.

 

Below are ten factors that will help any organization make the change they make lasting.

 

Capability – Management must employ the time and resources necessary for change.

 

Intention – Determination and drive for the cause is required.  You must insist we make the change and be determined to keep it up.

 

Success – People feel happier and perform better when there is a feeling of success and vice versa.  Attitude drives performance so managers must project confidence.

 

Hard Work – It is hard to keep it going.  This is entropy.  Without it, the system runs down.

 

Emphasis on the team not the individual – In the US we love heroes, but actually teams are more fundamental for long-term survival.  Teams need to be mentored and developed.

 

Many small wins, rather than the occasional big win – Small wins keep up the enthusiasm, and certainly add up.  Management needs to continually recognize small wins.

 

Attitude toward failure – Everyone fails from time to time, but what is crucial is the attitude toward failure: do you punish or do you treat it as part of learning?

 

Motivation – Sustainability requires interest and involvement of all employees.  Ask "What gets rewarded around here?  Build a culture to support improvement.

 

Discipline – Make it a habit.  Without good disciple the system will not be maintained.  Management must teach discipline and correct lapses with respect for people as they occur.

 

Performance measures – It is true you get what you measure, drive good behavior.  Performance measures need to be aligned with what you want to achieve.  Think long term.

 

There is no such thing as self-sustainability, it requires ongoing effort. To quote Jack Welch, 'People always ask, 'Is the change over, can we stop now?' You've got to tell them, 'No, it's just begun!''

Friday, December 25, 2009

Quote of the Day December 25, 2009

On Friday’s I will post a Lean related Quote. Throughout our lifetimes many people touch our lives and leave us with words of wisdom. These can both be a source of new learning and also a point to pause and reflect upon lessons we have learned. Within Lean active learning is an important aspect on this journey because without learning we can not improve.

Feel free to share some of your favorites here as well.

"Create constancy of purpose toward improvement of product and service, with the aim to become competitive and to stay in business and to provide jobs." - Deming

Reivew this post on on Adam Zak's Six Strategies for Change Leaders as we refocus efforts on improvement again in the new calendar.

Monday, December 21, 2009

Guest Post: Happy Employees = Happy Share Holders

This is a guest blog post by Ankit Patel, CEO of The Lean Way Consulting. You can follow Ankit's thoughts on his blog or find him on Twitter @AnkitTheLeanWay.


Only 1 in 5 employees is willing to go the extra mile for the company. Many times we look at lean from the P&L aspect and forget the most important part about lean, the people. It is commonly known that if you do a lean implementation correctly you will have great financial results. The thing that doesn't get publicized is the fact that part (I would argue all) of the success comes from having a happier and more engaged work force. But why are people happier? Are you paying them more? Are you giving them more rewards?

I'm a big fan of continuous improvement on everything including my own life. I have listened and practiced to Tony Robbins materials and the way he models human satisfaction and happiness is by the six human needs:

1) Certainty
2) Variety
3) Significance
4) Connection
5) Growth
6) Contribution

In other words if you have all six then you will be a pretty happy individual.

Certainty
We like to have a certain amount of stability to what we do. With lean we measure to certain outcomes so stability and certainty are a major part.

Variety
Ironically we don't like too much certainty. We need some spice by adding in variety. Continuous improvement is a way of life with lean so if you aren't constantly changing and trying to get better you are not practicing lean. Lean also encourages cross training so you may not work in the same area all the time.

Significance
Everyone wants recognition and the feeling of importance. Lean turns the work area over to the people who run the work area. They have control and feel like they have ownership of the area and the responsibility to take care and improve their area. Their roles become 100x more significant once they have those responsibilities.

Connection
We want a connection with others; we are after all social creatures. With lean we have a more team oriented approach that tends to bond team members together. People have to communicate more with each other and once the system is viewed as the problem then it stops the finger pointing and helps with bringing people closer together.

Growth
We want to grow and develop from our current state. Most companies that implement lean implement cross training that gives people growth opportunities. People also grow by learning new skill sets that come with a lean environment.

Contribution
We like to give back and throw in our two cents. In a lean environment this is an expectation of everyone. Contribution is rewarded even if it isn't fruitful.

You can see why lean is so great for employee satisfaction. You notice pay isn't on the list and in fact if you look at other lists money is never the #1 factor. If you want to improve your bottom line look to make your workforce happier.

Sunday, December 20, 2009

Characteristics of Effective Change Management

The other day I posted about the steps necessary to Create a Lean Culture and mentioned the important role leaders have in this process. Changing the culture of an organization requires effective management. Peter Drucker, one of the most influential management thinkers of the past century, said ‘management is about human beings’ and advocated leadership by effective management.

"Management Effectiveness" means having the perspective and judgment to do the right things. It is about leveraging the power of people and their creativity in doing so throughout the repeating cycle of vision, execution, and outcome. Far from blind execution of orders, effectiveness requires synthesizing information and stepping up to challenge conventional wisdom. Effectiveness is the wholeness of the decisions - it's synthesizing and balancing multiple, often competing, objectives in a manner that enhances individuals and society with no negative impact. Effectiveness also means the ability to make mistakes and learn from them.

With this backdrop from Peter Drucker I propose that there are six C’s for effective change management:

Commitment – Empathy and support from the top levels with the ability to persevere through the inevitable resistance to change. The willingness to assign good personal and the time and money required for the improvement effort.

Communication – The skill to communicate to the entire workforce on how, when and why change is going to occur, combined with the ability to gain their input, ownership and buy-in. Clear and frequent communication is the key to dissipate uncertainty and fear.

Consensus – An agreement on the best path to take forward for success. Involvement of the people concerned to create ownership and alignment of vision. The greater the connection to the change the greater the willingness to change will be.

Consistency – People need to understand that this is not just a fad that will pass, but that you are serious about sticking to it. Repeated desirable thinking, behaviors, and practices form the basis of an organization’s culture.

Cultivation – Encourage and foster learning and teaching at all levels in the organization. Refine the culture of the organization as needs and opportunities change. Make the change relevant to everyone within the organization

Constantly – Regular uninterrupted activity is required for all people in the organization for all the C’s above. Always looking to improve all aspects of what we do to add value and eliminate waste.

The effectiveness of change (E) is the product of the quality of change (Q), time the acceptance of change (A) : E = Q x A. Excelling in either quality or acceptance is not all it takes; both factors complement each other.

There is no quick solution for changing the culture of an organization. With effective management to focus on the quality of change and the six C’s to aid in the acceptance of change you will be well on your way to transforming your organization.

Friday, December 18, 2009

Quote of the Day December 18, 2009

On Friday’s I will post a Lean related Quote. Throughout our lifetimes many people touch our lives and leave us with words of wisdom. These can both be a source of new learning and also a point to pause and reflect upon lessons we have learned. Within Lean active learning is an important aspect on this journey because without learning we can not improve.


Feel free to share some of your favorites here as well.

The problem is not that there are problems. The problem is expecting otherwise and thinking that having problems is a problem – Theodore Rubin”

Check out this post on how to Stop Fighting Fires and learn how to create a problem solving culture.