New Sponsor - LeanKit Kanban

I am pleased to announce a new sponsor on A Lean Journey Blog - LeanKit Kanban.

LeanKit Kanban is tool that was originally conceived for managing software development that has come to be used in lots of other business areas, construction, manufacturing, logistics, fleet vehicle maintenance, etc., for teams from one to hundreds. I have been using this product for several years now. 

LeanKit Kanban was first highlighted by me in my personal kanban series of posts. I showed how LeanKit Kanban allows you to create a virtual kanban system online. Their software makes it easy to customize your own kanban board, add color, dates, and more like this one. 

I recommend you explore the use of a personal kanban system for improving your productivity and that of your team.  LeanKit Kanban gives you an easy way to convey a tremendous amount of information for the entire organization.


If you are interested in advertising your business on A Lean Journey you can find more information about that here.

Daily Lean Tips Edition #28

For my Facebook fans you already know about this great feature. But for those of you that are not connected to A Lean Journey on Facebook or Twitter I post daily a feature I call Lean Tips.  It is meant to be advice, things I learned from experience, and some knowledge tidbits about Lean to help you along your journey.  Another great reason to like A Lean Journey on Facebook.

Click this link for A Lean Journey's Facebook Page Notes Feed.

Here is the next addition of tips from the Facebook page:

Lean Tip #406 - Clearly specify all Activities

Standardize work

• Content (what is being done?)
• Sequence (in what order?)
• Timing (how long should it take?)
• Outcome (what clearly defined measurable results are expected?)

Lean Tip #407 - Clearly define all Connections to every customer and supplier

No ambiguity

• Direct (no intermediary between)
• Yes or No answers (no maybe)

Lean Tip #408 - Clearly define all Pathways

Organize for uninterrupted flow

• Simple (with as few steps and people as possible)
• Direct steps to deliver the requested product or service

Lean Tip #409 - Continuously improve by applying the scientific method

Develop leaders who can apply the scientific method to improve anything

• Direct response to any problem that arises
• By those doing the work - as close to the problem as possible
• Whenever possible, start as an experiment
• Supported by a coach

Lean Tip #410 – Build in self-diagnostics into your systems.

Create a workplace that is:
     Self-ordering
     Self-improving
     Self-regulating
     Self-explaining

What is supposed to happen, does happen, on time, every time and when it doesn’t you immediately know and can intervene timely.

Lean Tip #411 – Devise strategies for mitigating risk.

Wherever there is investment, there is risk. So a key ability in management is to assess risk, and to devise strategies for mitigating or hedging against it. There are several stages to risk management:

• Prevention aimed at lowering the odds of the risk occurring.
• Control which reduces the damage if it does occur.
• Transfer via insurance where you pay someone else to take on your risk.
• Diversification keeps you from putting all your money on one card.
• Hedging is used to lock up a contract for future prices.

Lean Tip #412 – There are two rules to follow to control risk based on the signal.

Overall risk mitigation follows two rules of forecasting:
Postponement increases quality of the demand signal
Reduction of leadtime increases the quality of the signal

Risk strategies are most effective when the uncertainty with total demand is much less than the uncertainty with any individual item.

Lean Tip #413 – Reduce the bullwhip effect with actual demand not forecasts.

A centralized information system, with actual demand provided to all players in the supply chain is an effective method of reducing the bullwhip effect. A system of target inventory levels is not quite as good.

Lean Tip #414 – Start with a reliable and capable process for a stable supply chain.

Any kind of uncertainty in supply needs to be covered with inventory. Unreliable processes cause unreliable delivery, and ultimately uncertainty at the receiving end. The starting point needs to be a reliable and capable process.

Lean Tip #415 – Avoid hand-offs and decision points to smooth the demand signal.

Every hand-off or tier in the system brings the danger of distorting the demand signal. The more people who interfere with the demand flow, the worse the swings generally become. Be aware of “double guessing” by creating a forecast on someone’s forecast.

Lean Tip #416 – Measure lead time to encourage Lean improvement.

Measuring lead time encourages inventory reduction, one-piece flow, reduction of flow length, and waste reduction. Lead time is best measured from end-to-end from receiving dock to finished goods.

Lean Tip #417 – Monitoring customer satisfaction is where the value is.

Following the first lean principle, monitoring customers is a basic requirement. If failure is indicated here, this has to be the first priority. Get this measure directly from customers, not internally from shipments.

Lean Tip #418 – Consistency comes from measuring schedule attainment.

An internal measure of consistency is schedule attainment. Schedule attainment is the ability to hit the target for quantity and quality on a day-to-day basis lin-by-line not weekly for the plant.

Lean Tip #419 – Track the distribution of your measures.

Build up the distribution – do not just measure the average. You really want to get the shape of the distribution narrower. This is an indication of tighter process control from reducing sources of variation.

Lean Tip #420 – When measuring inventory turns split into three measures.

Inventory turns is an established measure. It is useful to turn this measure into three measures – one for each of raw material, work in progress, and finished goods. Because WIP is fully under your own control where as raw materials and finished goods are not fully under your own control.

Lean Quote: Adversity is an Opportunity for Growth

On Fridays 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.

"That which does not kill us makes us stronger." — Friedrich Nietzsche, German philosopher

We've all heard the old saying, "If it doesn't kill you, it will make you stronger," in some form or another. Most likely from our parents, or teachers, or someone else trying to toughen us up.

A new study published in the December issue of Current Directions in Psychological Science, has found that although we all hope for a life free and clear of stress, the happiest and healthiest people are those who have had at least some early exposure to tough experiences.

Problems, large and small, present themselves to us throughout our existence. Regardless of how sharp, clever, or happy-go-lucky we are, we will encounter struggle, challenges, difficulties and at times, heart wrenching moments.

Learning to deal with, and overcoming adversity, is what makes us who we are. Every challenge, every difficulty we successfully confront in life serves to strengthen our will, confidence and ability to conquer future obstacles.

Business adversity is like a fire. It’s from the inferno where culture is born. Mature cultures know how to deal with the blaze so it doesn’t burn out of control. Without adversity, your culture is nothing more than the potential for greatness. The company’s culture wouldn’t be as strong and mutually supportive as it is. It wouldn’t be as prepared for the next conflagration as it is.

Are you resilient? The possibilities for setbacks are endless. Adversity can make you stronger when you make the choice to grow from it.

Guest Post: Standard Work Enables and Facilitates Improvment

Today, I am happy to be contributing a guest post on Matt Wrye's Beyond Lean Blog. Matt posed the question to his readers last month asking what topic they would like to see a series on.  In this series he would ask 4-5 people to write about the chosen topic posting an article a day for the week.  This is a great idea as you can get various view points on the subject to thoroughly understand it.  Standardized work received 33% of the votes resulting in the chosen theme.

Here is a short introduction to my post:

Standard work is a written description of how a process should be done. It guides consistent execution. At its best, it documents a current "best practice" and ensures that it is implemented throughout a company. At a minimum, it provides a baseline from which a better approach can be developed.

The definition of standard work is "the most effective combination of manpower, materials and machinery". Standard work is the method, and thereby you have the four Ms of manufacturing (manpower, material, machinery, methods). Standard Work is only "the most effective" until the standard is improved.

Standards to a company are like scales and sheet music to a musician. Our team members help develop and maintain standards, which are not static. Standards change as we get better, just as a good band will incorporate chord and melodic variations if they sound good. Thus, standards do not constrain creativity – they enable it, by providing a basis for comparison, and by providing stability, so we have the time and energy to improve.

...

To learn more how standard work can enable and facilitate improvement continue reading here. Be sure to check out the other posts on Beyond Lean about Standard Work as well.

Supply and Quality Go Hand In Hand

Most companies who want to improve the efficiency of their supply chain focus efforts only on the supply chain process itself. Few realize the impact that quality can have an on the efficiency and speed of the supply chain. Ensuring the quality of incoming raw materials, in-process work, and final product before it is shipped increases the responsiveness throughout the supply chain.

With more than 60 percent of the cost of manufactured goods coming from the supply chain, supply chain performance is a core competence that must be mastered. No matter how tightly we manage our processes to proactively control quality, we can still face a series of challenges if the components that we are receiving from our suppliers aren’t meeting specifications. Managing the performance of the supply chain helps eliminate cost and improve quality.

The quality management policies and practices of suppliers must be aligned with the standards of the company and the product. Companies are increasingly setting standards of quality management systems and worker treatment for their suppliers to avoid problems. This is because failures in the supply chain are passed down the line to the companies ultimately marketing the products to consumers. Such failures can result in consumer dissatisfaction, regulatory noncompliance and, in some cases, public criticism of the corporate management practices.

It’s becoming more and more critical for manufacturers to work with suppliers to ensure the quality of the materials that they are producing. Instead of threatening to use another supplier if the quality is unacceptable, manufacturers are trying to work more collaboratively with their select suppliers to ensure that they are meeting requirements and the product is usable. More specifically, the best value supply chains target high quality performance. In this case quality refers to the relative reliability of chain activities.

Perhaps it is easy to see how quality improves the supply chain efficiency compared to the converse. But the effectiveness of the supply chain can directly impact your quality due to the linkage of the chain itself. Therefore I say supply and quality go hand in hand. You really can’t have one without the other.

5 Lean Leadership Behaviors to Transform Your Culture

The concept of “lean” behaviors is analogous to lean production. Lean behaviors is a term my friend Bob Emiliani coined to define those behaviors that add or create value. This is contrary “fat” behavior which is non-value added and can be eliminated. Our behaviors lead us to create the systems we consciously or unconsciously use at work, and our systems help shape and reinforce the culture that is in place. Our culture is the foundation for our daily behaviors, and in turn, our daily results.

Leaders who wish to transform the culture of their organization need to change the behaviors and mindset of their employees. Therefore, I want to present 5 Lean leadership behaviors you need to emulate to make your transformation effective:

1.    Lead = Directing Others and Motivating Others

·         We lead by example, setting the pace by consistently motivating our team members to make the extraordinary happen.

·          Directing Others

·         Is good at establishing clear directions

·         Sets stretching objectives

·         Lays out work in a well-planned and organized manner

·         Maintains two-way dialogue with others on work and results

·         Brings about the best in people

·          Motivating Others

·         Can motivate many kinds of subordinates and team/project members

·         Pushes tasks and decisions down

·         Empowers others

·         Invites input from each person and shares ownership and visibility is someone people like working for and with

2.    Innovate = Creativity

·         Improving and enhancing the way people experience the world means driving technology with keen innovation.

·         Team members work together to break new ground and open up new initiatives that benefit your customers and your workplace.

·         Creativity

·         Comes up with a lot of new and unique ideas

·         Easily makes connections among previously unrelated notions

·         Tends to be seen as original and good in brainstorming settings

3.    Solve = Problem Solving

• Every day, we innovate ways to solve challenges both in the products we develop and in the business practices that sustain your company.
• On a local and global scale, we strive for continuous improvement.
• Problem Solving

·         Solves difficult problems with effective solutions

·         Asks good questions and probes all fruitful sources for answers

·         Can see underlying or hidden problems and patterns

·         Is excellent at honest analysis

·         Looks beyond the obvious and doesn’t stop at the first answers

4.    Collaborate = Building Effective Teams

• Your customers and colleagues are partners and measure your success by how well you help each other perform.
• From working on design challenges at customer sites to sharing ideas with teammates, collaborating is how you and your customers consistently win.
• Building Effective Teams

·         Creates strong morale and spirit in his/her team

·         Shares wins and successes

·         Fosters open dialogue

·         Lets people finish and be responsible for their work

·         Lets subordinates present to senior management

·         Acts as if real success is the success of the whole team

·         Creates a feeling of belonging in the team

5.    Win = Drive for Results and Action Oriented

• Your focus on customer success drives you to look beyond the horizon and find solutions that get the job done.
• Drive for Results

·         Can be counted on to exceed goals successfully

·         Is constantly and consistently one of the top performers

·         Very bottom-line oriented

·         Steadfastly pushes self and others for results

• Action Oriented

·         Enjoys working hard

·         Is action oriented and full of energy for the things that he/she sees as challenging

·         Not fearful of acting with a minimum of planning

·         Seizes opportunities when they arise

If you are committed to becoming Lean then these behaviors will guide you to value. Lead, innovate, solve, collaborate, and win are behaviors that can shape the culture in your organization. Not only leaders but everybody can benefit from these Lean behaviors.

Lean Quote: Employee Appreciation Day

On Fridays 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.

"Appreciation is a wonderful thing. It makes what is excellent in others belong to us as well." — Voltaire (1694-1778); Philosopher, Essayist

Today, March 2, marks annual Employee Appreciation Day, which has taken place on the first Friday of every March since 1995. Employee Appreciation Day encourages managers of all levels to support and reward their employees, and to show their appreciation!

Employee Appreciation Day is all about your employees. Celebrating the value they bring to your organization as individuals is a great way to increase employee engagement, commitment, and motivation. It's important to make employees feel valued.

It seems like a simple concept: Make employees feel appreciated, and they will work harder and be more loyal. But there is often a disconnect between the type of appreciation employees want and what their managers think they want.

Let's be honest: If you have to make a special "day" for it, then it probably isn't happening as often as it should. Maybe that is to be expected. We're all busy. We get consumed in our daily tasks and forget that a few small words of gratitude go a long way. Today is an opportunity to correct that - and a reminder to make appreciation a part of our daily working lives all year long. Even if you think you show your appreciation for others regularly, it never hurts to tell them again.

A key point in respect for people is that actions speak louder than words when it comes to employee appreciation and engagement. Clear communication of expectations, honest and spontaneous acknowledgment, public recognition, and doing what you say you will are all ways to appreciate employees. Develop their talents and respect their diversity. Encourage and empower them to contribute to their causes and give back to the community.