9/15/2010

Creating a Lean Enterprise Beyond the Tools to Transforming a Culture

Change Management Associates

Creating a Lean Enterprise What is it to be a Lean Enterprise….really? Enterprise really? Delivering value while maximizing flow at the pull of the customer demand while continuously striving for perfection. Th key The k to sustaining i i any llean enterprise i iis the h relentless pursuit of perfection To develop a culture of continuous improvement Change Management Associates

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9/15/2010

Creating a Lean Enterprise What is “culture”? culture ? The set of shared attitudes, values, goals and practices that characterizes an institution, organization or group Who defines culture in an organization? “Spirit creates culture which in turn creates results” - Ejii Toyoda Change Management Associates

Creating a Lean Enterprise A culture of continuous improvement implies a continual willingness to change Why are people unwilling to change? For most people, what is more scary than the thought of change?

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9/15/2010

Creating a Lean Enterprise

Change Management Associates

Creating a Lean Enterprise

Why are people unwilling to change? “The certainty of misery is better than the misery of uncertainty” - Pogo comic strip

Discussion

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9/15/2010

Creating a Lean Enterprise Leaders must create an environment that treats problems as gold. “The day soldiers stop bringing you their problems is the day you have stopped leading them. They have either lost confidence that you can help them or they concluded l d d that th t you d do nott care. Either Eith case iis a failure of leadership.” — Colin Powell Change Management Associates

Creating a Lean Enterprise

Leaders must create a learning environment safe for experimentation. “We now know a thousand ways not to build b ild a light b bulb” lb” - Thomas Edison

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9/15/2010

Creating a Lean Enterprise The Change Process Most processes follow this cycle

B i i Beginning Phase

I t Intermediate di t or Neutral Phase

Ending Phase

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Creating a Lean Enterprise How to motivate people to change? Maslow (1943) defined 5 levels of needs Physiological: water, food, sleep, breathing, etc. Safety: security of body, employment, of resources, health, property Love/Belonging: g g friendship, p, family, y, etc Esteem: confidence, achievement, respect of/by others Self actualization: creativity, problem solving, lack of prejudice, acceptance of facts Change Management Associates

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9/15/2010

Creating a Lean Enterprise How to motivate people to change? Herzberg (1959) identified characteristics of work that are motivators (and de-motivators) Leading to Dissatisfaction

Leading to Satisfaction

Company policy Supervision Relationship with boss Work conditions Salary Relationship with peers

Achievement Recognition Work itself Responsibility Advancement Growth

In order of higher to lower importance Change Management Associates

Creating a Lean Enterprise With this knowledge knowledge, what can leaders do?

Is it magic?!?!

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9/15/2010

Creating a Lean Enterprise What can leaders do? Change the way you think, act, interact, make decisions and communicate

I never said that it would be easy!

☺

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Creating a Lean Enterprise What can leaders do? First and foremost, treat people with respect. How do leaders (and organizations) treat people with disrespect? Maintain processes that waste people’s time Not solicit ((and value)) p people’s p opinions p Be unresponsive to problems Treat people differently (unfairly) Not share information, particularly “why” Etc, etc, etc Change Management Associates

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9/15/2010

Creating a Lean Enterprise “To be learning something new is the chief pleasure of mankind.” - Aristotle Leaders must promote an atmosphere for learning Learning is more effective & efficient with experimentation Leaders must encourage experimentation (i.e. provide a safety net) Change Management Associates

Creating a Lean Enterprise What can leaders do Recognize positive behaviors rather than negative behaviors Don’t allow measures to trump common sense Challenge but (really) support people Encourage people to identify problems (“no problem is problem”) Teach, teach, teach – Leaders as Teachers Change Management Associates

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9/15/2010

Creating a Lean Enterprise Teach what? Plan-Do-Check-Act – the time tested improvement cycle (Deming (1950s), Shewhart (1920s)) Basic quality “tools” – Some are quantitative in nature – All are visual “Impossible is not a fact – just an opinion” Change Management Associates

Creating a Lean Enterprise Teach how? Ask questions, don’t provide answers Application based learning Trystorming versus Brainstorming

Encourage multiple cycles of learning Repetition deepens understanding, understanding creates habits

Challenge and accept being challenged “If the student did not learn, the instructor did not teach” Change Management Associates

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Creating a Lean Enterprise What can leaders do? Institutionalize the culture How do you select, orient and educate new members? How do you make certain that the loss of knowledge and experience is minimized?

Invest in the ongoing development of your human assets Change Management Associates

Creating a Lean Enterprise

Make it easy on yourself – practice the key lean management principles Standard work for leaders Visual Controls Daily accountability Discipline

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9/15/2010

Creating a Lean Enterprise Standard work – daily checklists for leaders that specifically define required activities and expectations that will result in process focus. Visual Controls – using visual means to track performance to expectations, identify non-standard conditions, and generally manage the process. Daily accountability process – brief (15 minutes) communication processes (e.g. meetings) focused on performance with visual action assignments and follow-up to close gap between actual results and expected performance Discipline – the key! – to consistently follow established processes and to follow-up with others who do not. This means strict adherence to the first three elements.

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Creating a Lean Enterprise Make it easy on yourself Go to the “gemba” Talk to people…rather listen to people Keep it simple “Walk the talk”

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9/15/2010

Creating a Lean Enterprise

“You do not have to do this. Survival is not compulsory” - W. Edwards Deming

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Contact Information

Email: [email protected] Website: www.cma4results.com

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