Lean Transformation Know-How For Business Leaders

Few business leaders in the world have applied Lean strategy as successfully as Art Byrne has - and none has the ability to explain how to do it with succinctness and clarity. Art has successfully implemented Lean strategies in more than 30 companies in 14 different countries. Famous for turning around Wiremold which has been written about by Jim Womack in Lean Thinking and Masaaki Imai in Gemba Kaizen.  Now Art has written his own story in The Lean Turnaround. This book is a business leaders guide to succeeding with a Lean strategy to create value and transform their company.

The beginning of The Lean Turnaround Art describes journey to learning Lean from more traditional management at General Electric to his introduction to Lean at Danaher Corporation to his Lean transformation at Wiremold to his leadership transforming businesses and J.W. Childs. In the last part you will hear a simple method for transforming any organization in any industry. The core of Byrne's method is to configure your company to be responsive to the customers not the other way around.

Art doesn't dwell on the theory rather he shares from his experience what Lean does. He outlines the two main barriers to successfully implementing lean (lack of understand of lean and lean strategy and a lack of leadership to achieve turnaround) for all to learn. Byrne forcefully stresses the importance of the CEOs personal engagement in the daily application of Lean principles and practices. Art explains CEOs must understand three key management principles:

• Lean is a strategy. (Don't just do Lean, be Lean.)
• Lead from the top. (Lead by example with kaizen at the gemba)
• Transform the people. (Get Lean knowledge)

Art even cautions leaders about the changes to your business that converting to Lean causes.  He strongly suggests adopting Lean accounting methods as soon as possible in the transformation.

This book is written for executive leaders of organizations wishing to know how to use Lean to transform their company but anyone interested in continuous improvement will learn valuable lessons. He is very skilled at simplifying Lean thinking so that it can easily be understood. Art shares real world examples of how he learned, applied, and improved work practices at all levels of the organization. You'll be able to feel Art's passion for Lean as you learn from his experiences.

I thoroughly enjoyed The Lean Turnaround and recommend it to anyone wanting to learn a better management system to create lasting value for people and customers.

Lean Quote: Getting People To Do Ordinary Things Extraordinarily Well

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.

"Good management is about getting people to do ordinary things extraordinarily well." — Shigeo Shingo

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.

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.

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.

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.

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.

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.

Meet-up: Improve With Me's Brian Buck

Today I am proud to introduce a long time friend and frequent guest blogger Brian Buck. Brian is the blogger behind Improve With Me. I have been following and talking with Brian since I started blogging myself. I have always admired his simple approach to Lean. He transitioned from applying Lean in the Logistics industry to Lean Healthcare several years ago so it has been fascinating following his experiences and lessons along the way.

Who are you and what do you do?
I am Brian Buck. I am an internal kaizen promotion office consultant for an academic pediatric hospital.

How and when did you learn Lean?
I first learned about Lean in 2007 when I was looking for a transition from doing project management at a tech company. I used to lead improvements as a business analyst for a shipping company prior to the tech company. The KPO position seemed like a good fit for me since it merged my improvement background with my project management skills. While I wasn’t doing Lean as a business analyst, I discovered retroactively that I was using many of its principles!

How and why did you start blogging or writing about Lean?
I was once told to learn like I was going to have to teach it. A blog felt like an opportunity to help solidify my learning by making me present it in a way that teaches people. It also functions as a journal of sorts because I can go back and see my progress.

What does Lean mean to you?
I have a passion for people and have seen how continuous improvement unlocks great potential in them. When people can create value for customers without hassle or feats of heroics, they can feel a sense of accomplishment or progress every day. Customers benefit greatly from organizations that are filled with people who are happy and utilizing their creative brains.

What is the biggest myth or misconception of Lean?
Leaders often add Lean work to already filled schedules and improvement activities become a source of overburdening waste. People often think of Lean as “extra work” instead of building it into their schedule.

What is your current Lean passion, project, or initiative?
I am primarily working with our nutrition department to be able to meet an increased demand for meals and baby-formula due to a new tower being built.

OSHA Floor Markings Colors and Its Meanings

Today, I would like to introduce a guest post by Mike Wilson from Creative Safety Supply. Mike enjoys blogging and reading about the lean manufacturing niche. He is invested in Creative Safety Supply, known for its safety products to help manufacturers with their 5S and Lean Projects. Mike is going to talk about the importance of 5S, specifically set-in order with floor marking to improve safety for employees.
----------------------------------------------------------------------------------

Factories, warehouses as well as other facilities in the industry are expected to know about the guidelines that are being imposed by the OSHA or Occupational Safety and Health Administration. OSHA is a government agency that has the role to ensure that workers from all over the country are working under safe conditions.

Their job is to come up with standards that must be followed by various facilities to boosts their 5s programs. One of these measures is the osha floor markings standards that aim to promote safety in the workplace by setting up proper safety markings.

About OSHA
OSHA is a government agency that works under the Department of Labor. Its task is to develop systems and standards to ensure the best benefits for the workers. In actuality, OSHA makes sure that their agents are scattered in various workplaces each day to take part in essential tasks such as measuring the railings of the stairway ensuring that it do not exceed even by an inch.

OSHA is serious about their job to prevent workers from getting involved in accidents as well as life threatening injuries. In order to meet up with the demands of the job, they habitually issue rules that will guide employers in creating and modifying their facilities to preserve the welfare of the workers.

The Color Scheme
Each safety line marking being promoted by OSHA corresponds to specific meaning. The workers should be able to employ these meanings in their safety markings and the employees must be able to have a comprehensive idea of these so that they can stay safe all the time while in the workplace. These are the following colors used in OSHA safety markings and their meanings:
• Red- This color signifies danger or a warning or some kind of limitation. Similar to the traffic lights, red tells you to stop as you may encounter hazards with heavy equipments, machines and power lines that can break your limbs or put your life in danger.
• Yellow- This is the usual color that you will encounter and it is considered as the basic color for marking tapes. It does not signify special meaning but it is widely used to catch attention or to make someone observe the safety marks.
• Orange¬- It also suggests warning but not as intense as red. It is mostly used for to caution you if you are near heavy machineries that can predispose you to accidents leading to injuries.
• White- This color does not have anything to do with warning. Instead, it is used to determine the appropriate storage areas for things such as benches and carts.
• Blue- It is a color used to caution against low levels of danger. It signifies that certain machinery needs repair and can be dangerous.

These are the most widely used color for safety line marking and those who are operating the business must stay aware and updated with the standards so that they can employ maximum safety conditions in the workplace.

Gemba Kaizen, 2nd Edition is a Powerful Resource to Improving Your Business

Gemba Kaizen, Second Edition (McGraw-Hill, 2012) is an in-depth revision of Imai’s best-selling work explaining how to implement cost-effective, incremental improvements in the most critical business processes. Masaaki Imai

Gemba Kaizen has two parts. The first half is a general theory where Masaaki describes all the tools necessary for any type of business to implement a lean strategy. Readers will have a better understanding of the "Why" and the "How" in the application of the tools. Imai lays out the lean philosophy and tools in a very simple way so that business leaders no only understand them but more importantly so they can apply them.

The second half of the book focuses on more than 20 different case studies of successful lean projects led by the Kaizen Institute. They highlight a wide range of industries where Lean has been applied successfully including: Medical, Logistics, Electronics and even Transportation (airports.)

While the book's title may make one think the book is only about kaizen methods, The book "Gemba Kaizen" talks about moving beyond kaizen (continuous improvement) to an approach that is also "gemba" focused (gemba meaning the "actual place" or the place where the work is actually done). These are fundamental concepts in the Lean management approach.

Imai's perspective is that Kaizen is the umbrella concept encompassing all efforts to improve not just factories but all businesses. In his view, TQC/TQM, the Toyota Production System, TPM, Hoshin planning, suggestion systems and small-group activities are all "Kaizen Systems. I don’t know if I buy into his all-encompassing view of Kaizen but that doesn’t change the impact of the book. It is still a powerful resource to improving your organization.

Although the second edition is a solid 400 pages, it is a fairly quick read with lots of great insights and tools. This is not a book of theory, but a book of action. Its ultimate message is that no matter how much knowledge the reader may gain, it is of no use if it is not put into practice daily. Gemba Kaizen provides a simple frame of reference to use in solving problems. To that end Imai provides a number of checklists, examples, and case studies.

I recommend this book to anyone wanting to improve their business with simple, common sense thinking founded in the gemba. I think this is a resource you will continue to reflect on as you move along your Lean Journey. I know I will.


 Note: The publisher provided a copy of Gemba Kaizen for review.

Lean Quote: Seek Multiple Views

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.

"Most disagreements about the right solution, decision, or course of action are really disagreements about the interpretation of current reality…Most statements about current reality are not wrong; they are incomplete. The person who adopts this principle seeks to put multiple views of current reality together to build one common and more complete view of it." — The Hitchhiker’s Guide to Lean: Lessons from the Road by Jamie Flinchbaugh and Andy Carlino

This quote has been sitting with me a while and I hope it is relevant for you too. So often, even a gemba experience may be different for people. Even though facts are found at gemba, people may only see certain things and not the whole picture (like the four men & elephant story). I think the Respect For People principle is at play here too because it suggests to mutually respect multiple perspectives and put together into one common view.



Today's Lean Quote is courtesy of my friend Brian Buck. Brian is an internal Lean consultant at a hospital in Washington State. He blogs at http://improvewithme.com and can be found on Twitter as http://twitter.com/brianbuck.

Meet-up: Michel Baudin

Today on the Meet-up, blogger Michel Baudin is here to share his thoughts.  Michel Baudin's Blog serves as means to share ideas from manufacturing operations. He works to understand the human and technical dynamics of manufacturing, and to contribute to their improvement. Michel has a wealth of experience from implementing manufacturing improvements and drive for continuous learning.

Who are you and what do you do?
I write, teach, and consult on Lean Manufacturing, and have been at it since 1987. Within Manufacturing, I have worked on Lean implementation in industries ranging from frozen foods to aircraft, on four continents. I have occasionally ventured outside of Manufacturing and to topics other than Lean, but have always come back. Overall, since 1981, I have been working to understand the human and technical dynamics of manufacturing, and to contribute to their improvement. Why did I choose this field? It was not the direction I had started in.

I was born and raised in France, and studied Engineering there in the 1970s. The French-Lebanese writer Amin Maalouf wrote that people should view themselves as having origins rather than roots. Origins are where you came from. They don’t restrict you. Roots hold you in one place like a tree. I have lived 31 years in the US, 23 in France, 4 in Japan and 1 in Germany. And I have visited other countries on consulting assignments. I am from France, but have immersed myself in other cultures from an early age. This is why and how I have learned English, German and Japanese well enough to function professionally in these languages. 

How and when did you learn Lean?
In 1980, I was a researcher in probability theory, working out results that were later published in 81, 83, 84 and 86. This theoretical work was intended for earthquake prediction, which had led me to Japan in 1977. By 1980, I had understood that this pursuit was futile and the task impossible with the available technology. As of 2012, it still is. 

As a French draftee with knowledge of Japan, in late 1979, I was assigned to the Scientific Service of the embassy in Tokyo, where part of my job was organizing and leading factory tours for visiting industrialists. Their reactions made me realize that there was something special to these factories, and it piqued my curiosity. 

One of my colleagues, Francis Lecroisey, told me that Toyota had developed a remarkable production system and that I would find at least two books about it in any neighborhood bookstore in Tokyo. It was true, as I checked down the street from my apartment. To this day, when I visit Japan, I still hit the larger bookstores for the latest about Manufacturing, and find hundreds of titles on topics ranging from cell design to quality and company-specific approaches. This literature, unique to Japan, is targeted at practitioners and full of concrete, actionable ideas, clearly and graphically explained.

How and why did you start blogging or writing about Lean?
I have always wanted to be a writer when I grow up, and I still do. Blogging is to book writing as one-piece flow is to batch production. On a blog, you publish small pieces and receive immediate feedback in numbers of page views and comments. With a book, it takes two years of hard work before you find out whether your intended audience is interested in what you have to say on a subject. I learned both Lean and the means of implementing it by working with Japanese consultant Kei Abe for eight years. In the beginnning, I made myself useful to him by generating slides and writing reports to clients. Later, these slides became the basis for my initial course materials, and the reports, duly sanitized, for my books and articles. 

I didn't start blogging until a year ago. Until then, I participated in discussion groups, particularly NWLEAN on Yahoo, where I was the most prolific contributor. For years, it was the most active forum on Lean, but it is now dwarfed by LinkedIn groups. NWLEAN topped out at about 6,000 members; the Lean Six Sigma group on LinkedIn, as of this morning, has 144,717. But LinkedIn has many groups on Lean, with overlapping memberships. 

Blogging has the following advantages over participation in discussion groups: 

1. You have full editorial control. 
2. You can format and illustrate the content with photographs and even videos as you see fit. 
3. Everything you write is concentrated in one place. 

And you can still participate in most LinkedIn groups by sharing your blog posts. 

What does Lean mean to you?
I define Lean Manufacturing as the pursuit of concurrent improvement in all dimensions of manufacturing performance by eliminating waste through projects involving both the production shop floor and the support activities. 

To me, it is essential to Lean that the changes you make do no harm. For example, you don't improve quality by sacrificing productivity or lead time. You focus on ways to improve all at the same time, which, by simple logic, leads you to focus on waste and takt-driven production. But you don't go around with a checklist of waste items to eliminate. Instead, you structure the transformation into projects like cells, chaku-chaku lines, SMED, milk runs, or Kanbans, each of which addresses many instances of waste at once. 

I think this definition is applicable with small vocabulary changes to other types of businesses, but my concern is Manufacturing.

What is the biggest myth or misconception of Lean?
The engineering dimension of Lean is given short shrift, just about everywhere outside of Japan, and it is the main reason so many implementations fail. A complete approach covers all the four dimensions that my colleague Crispin Vincenti-Brown identified: 

1. The manufacturing and industrial engineering of production lines and work stations.
2. Logistics and production control. 
3. Organization and people. 
4. Accountability. 

In the US, you do see some milk runs and Kanbans, some production teams, and performance boards. Logistics, organization and accountability do get some attention, but engineering doesn't, except from the few Lean consultants with an engineering background, who think nothing else matters. 

In reality, everything matters. If you want Lean implementation to succeed, you can't leave out any of the four dimensions, which doesn't mean you address them all at once. Engineering is the foundation, and usually where the low-hanging fruits are to be found.

What is your current Lean passion, project, or initiative?
I have a particular interest in manufacturing data mining. In my practice, wrangling information out of clients' legacy systems has always been one of my strengths, and I would like to share both the kind of results I found and the methods I used with the community. 

However, even though my clients find this work useful, I have yet to find disciples. Last year, we offered a class on this subject through UC Berkeley extension, but no one signed up. The announcement was as follows: 

Recommending a road-map to Lean for a plant requires understanding its business and its technology. Much -- but not all of this understanding -- can be gained by directly observing the shop floor and listening to managers, engineers, and operators. Direct observation and human perceptions, however, must be supplemented by data mining. Among the sources the analyst must draw on for this purpose are the data generated by manufacturing operations: production is driven by orders converted to schedules, it is performed according to specs, its status is monitored and results are recorded both in terms of quantities and quality. 

The size of manufacturing data sets permits analysis to be done with tools that are either already present on engineers’ laptops or can be downloaded at little or no cost. Focused data cleaning is the most challenging first step. Making clean data talk requires tools that are much simpler and easier to use than those described in the data mining literature. The effective presentation of the results requires focusing on graphics for communication, not decoration. 

On my blog also, posts on this subject generate little echo, so I am keeping this bag of tricks to myself for now. My posts on metrics, on the other hand, have the most page views and comments. Through the blog, my audience is telling me to pivot rather than persevere...