hoshin kanri: creating a strategy deployment plan that gets results

HoshinKanri:CreatingaStrategyDeploymentPlanthatGetsResults

WebinarDecember5,2013

2013TheKarenMartinGroup,Inc.

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Coach/Facilitator/Consultant/Trainer:LeadLeantransformations&developpeopleacrossallindustries.

Teacher:UniversityofCalifornia,SanDiego Author&Speaker:

KarenMartin,PresidentTheKarenMartinGroup,Inc.

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2013TheKarenMartinGroup,Inc. 6


RequirementsforExcellenceinANYEndeavor

7

TopurchaseShingoawardwinningTheOutstandingOrganization:www.amzn.to/VSMbk

*Pollof700+Subscribers

70%Organizationisattemptingmorethanor

significantlymorethanwecanreasonablyhandle.*

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Booz&CompanyFindings

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90%

Nowrittenpriorities

Conflictingpriorities

Competingdemands

82%

64%

49%

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Sporting Goods Manufacturer Product Launches Per Year

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0

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PreFocus PostFocus

73

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Noadditionalresources;higherqualityproductslaunched


FocusLaw#1:STOPDOING

FocusLaw#2:DOFEWERTHINGS

ATONCE

AKeytoApplesSuccess?

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sayingnoto1,000thingstomakesurewedontgetonthewrongtrackortrytodotoomuch.Werealwaysthinkingaboutnewmarketswecouldenter,butitsonlybysayingnothatyoucanconcentrateonthethingsthatarereallyimportant.

SteveJobs

2012KarenMartin&Associates,LLC


WhatisYourImprovementStrategy?

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AnnualHoshinPlanning(StrategyDeployment)

BuildsconsensusaroundTRUENORTH. Createsorganizationalfocusonwhatmattersmost

ForFurtherStudy


ValueStreamMapping

StrategyDeployment(HoshinKanri)

orA3

DailyImprovement,Projects,&RapidImprovementEvents

BuildingPDSACapabilities


Develophypothesis

Conductexperiment

Measureresults

RefineStandardizeStabilize


StrategyDeployment(HoshinKanri)XMatrix


UsingA3forStrategyDeployment:UndergoingMother(macro)andBaby(micro)PDSACycles

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Whatsthegap? Whatspreventingusfrommeetingtargets? Why? Whatactionsdoweneedtotake?


QuarterlyUpdate:Q120XX

20XXActual 20XXTarget 20XXActual Goal SuccessMetric Owner Initiative/Priority/ProjectABCDEFABCDEFABCDEFABCDEFABCDEFABCDEF

Performance,Gaps,andTargets ThisYear'sActionPlan

CurrentBusinessConditions

Rationalefor20XXPlans

FollowUp/UnresolvedIssues

TemplateisprovidedcourtesyofMattWryewww.beyondlean.com

StrategyDeploymentPlanFiscalYearXX

Explainhowthecurrentbusinessconditionswillaffectyourplansforthecomingyear.

MissionTypethemissionthatistryingtobeachievedbytheorganization.

Reflectionofthecurrentbusinessconditionsthatcouldcauseworkneededtobedoneorworkthatneedstostop.Whatwillbedrivingthisyearswork?

Anythingfromthecurrentthatneedstobecarriedovertothenextyear.Why?

LastRevised:XX/XX/XX

2)

3)

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6)

1)Metric

WillbeavailablefordownloadbyThursday,December12 www.ksmartin.com/downloads


HoshinLiteAnnualWorkPlan

PRE Gainclarityaroundoverarchingbusinessneeds.

1. List everythingyoucould do(andthatyouare doing).2. Categorizeinto:

Mustdo,cantfail Maybe Eliminate Delay(nextfiscalyear)

3. Decide whatyouwilldo;gainconsensus.4. Prioritize andcreateplan.

POST Manageplanviaweeklyupdates(maybeabletoreducetomonthlyreviews butbecareful!).

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PLANDEVELOPMENTPREWORK

Gainclarity(andconsensus)aroundbusinessneeds.

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Whatmatters?Towhom?Why?


PLANDEVELOPMENTPREWORKReflectontheorganizationscurrentperformance&

itspositioninthemarketplace/community.

Wherearewehavingproblems?

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Whatopportunities

canweleverage??


PLANDEVELOPMENTPREWORK

Gatherlistsof: Allactiveprojectsandinitiatives Allstalledprojectsandinitiatives Allplannedprojectsandinitiatives Alldesiredprojectsandinitiatives Allstealth/rogueprojectsandinitiatives

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StrategyDeployment:

Themechanicsofa23dayplanningsession


Mustdo

Eliminate

Maybe

Delay

1. Listwhatyoucould doon3x6postits(activeorplannedinitiatives,projects&improvementactivities).Gainconsensus.

2. Categorizethem(placepostitonappropriatepage.Gainconsensus.

3. Decidewhatyouwill do.(Movemaybesontooneoftheotherthreepages.)Gainconsensus.

LabelFourFlipChartPages&HangonWall


Mustdo

Eliminate

Maybe

Delay

Step4Decidewhatyouwill do;CreatePlan


PrioritizationGrid

Low HighAnticipated Benefit

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PACEImprovementPrioritizationGrid Example

Low HighAnticipated Benefit

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PotentialBenefit

PrioritizationGrid Highestpriority

SeeTheOutstandingOrganization,p.83foranextensivelistofprioritizationconsiderations.


www.ksmartin.com/TOOSeeTheOutstandingOrganization,p.83foralistofprioritizationlistconsiderations

Chart Title

Number of Items 54

Item NameOrganizational

Benefit Execution EaseDegree of Urgency*

Item 1 9 1 1Item 2 7 3 2Item 3 5 5 3Item 4 3 7 4Item 5 1 9 5

* Degree of urgency is indicated by bubble size.

The Outstanding Organization: Achieving Focus

Prioritization Chart 1) Enter the title of the chart in Cell B2 2) Enter the number of items (e.g. projects, improvement activities, etc.) in cell B4

3) Enter the item name and ranking information into A8-D8 and so on.

To use this Template:

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OrganizationalBenefit

Prioritization Chart

FreeDownloadableExcelPrioritizationChart


1.Increasesales5%.3.Achieve10%profit.

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec IT Mktg Ops HR Bob Fin PE Pario COMDirect

CDs/AMs

PDRec

PDMgmt

BMD SWS

2 3,500units soldby12/31/2013throughal l channels (approx.$700K)

X X X X X X X X X X X X Bob Dana 2 3 3 3 2 3 3 1 1 3 3 1 3

11 Develop&del ivertra iningtotop50Dealers X X X X X X Bob Rex/Tim 3 3 3

21 Revisedcourse materia ls by6/30/2013 X X X Bob JoshR? 2 3 3 2 2

5Education:1school dis trictspec'd/underperformingCOMdis tributor(25)by12/31valuedatmin$35Keach

X X X X X X X X X X X X Howard Michael S 1 3 2 3 3

810newdea lers onboard(net)($500Kperdealerthis year)

X X X X X X X X X X X X Howard Mike B 2 3

95newdis tributors bringing$200Kannual rev(&5terminated)

X X X X X X X X X X X X Howard Howard 1 1 1 2 3

17 10projects spec'dby12/31;$300Krevby12/31 X X X X X X X X X X Howard Dana 1 3 3 3

29 20byyearend X X X X X X X X X X X X Howard MarkH 2 3 3 3

32 TBD X X X Howard Howard

33 TBD X X X X X X X X X Howard Howard

10Useful reportingandmetrics are establ i shedandinplace

X X Jim Randal l 3 1 1 1 1 1 1

30 TBD X X X X X Jim Josh 3

31 TBD X X X X X X Jim Josh 1 1 1 3 1 1 1 1 1 1 1 1 1 1

25 TBD Jim Shannon 3 3 1 1 1 1 1

26 System7.0's inplace X X X Jim Randal l 3 2 1 2 1

15100%accurate payrol l ;100%managementsati s factionatApri l mgmt.meeting

X X X Josh Phyl l is 1 3

20Internettaskl i s ti s s impl i fiedandstreaml inedforPDs thenplani s rol ledouttoPDs

X X X X Michael M Michael M 2 3 2 3

22Des ignCalculatori s updatedsuccess ful lyandrol ledout

X X X Neal l MattD 3 1 1 3 2 2 3

24 Competi tive Analys is complete anddistributedforuse X X X Neal l Dana 2 3 3 3 3 3 3

1 Des ignchangedtosolve delami ssue longterm X X X X X Susan DavidR 3 2 3

12 30parts sourcedinU.S.;completedplanformanagingChina sourcedparts

X X X X X X Susan Shannon 3 3 2 2

13 Warehouse la idout;kanbanrevised;Sysproimplemented

X X X Susan Shannon 3

14 Layoutcomplete;equipmentins ta l led X X X Susan David R 3 3

X=Planned

2013Priorities

2013Goals&Objectives4.Improvemorale(metricTBD).2.Achieve50%grossmargin. Created:011413

Revised:LevelofEffort/InvolvementRequired

Priority GoalorMeasurableObjective ExecOwner

Planreviewdates:

TacticalOwner

=Actual

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ModifiedStrategyDeploymentAnnualPlan


POST:PlanManagement

Weeklystatusmeetingstostart,then2xamonth,thenmonthly(requiredattendance). Focus:howtoturnyellow&reditemsintogreen. Expectation:Fullteamhelpsremoveobstacles. Tone:supportivebuttough.

Visibilitymatters:postprogressphysically! Planisadaptedtochangingconditions,butavoidOrgADD(organizationalattentiondeficitdisorder)andfallingpreytounnecessarydistractions.

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StrategyDeployment:

Necessaryleadershipbehaviorsandculturalshifts


Necessaryleadershipmindset&behavioralshift:

FROM:Wehavealltheanswers.TO:Whatdoyouthink?


StrategyDeploymentKeyFeature:Catchball

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ExecutiveTeam

What?How?Who?When?

SeniorMgmt

What?How?Who?When?

MiddleMgmt

What?How?Who?When?

FrontlinesWhat?How?Who?When?

Year1

Year2

Year3


Goingtothegembahasbeenlifechangingformeasaleader.

GinnyCattaneo,Sr.VP,FranklinTempletonInvestorServices


CascadingGoalsistheMeanstoOrganizationalAlignment

Organization

Division/BusinessUnit

Department

Individual

Individual

Department

Individual

Individual


Department

Individual

Individual

Department

Individual

Individual


Department

Individual

Individual

Department

Individual

Individual

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84.886.3

90.693.0

95.2

105.9

80.0

87.0

94.0

101.0

108.0

115.0

FY '06 FY '07 FY '08 FY '09 FY '10 YTD '11

Productivity (Pounds Produced / Hr Worked)

PactivImplements

Strategy Deployment


Rockwell Automation

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20

12

3

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PreFocus PostFocus

ProjectsStarted

ProjectsCompleted


ClarityConsensusCourageCommitment


AvoidingtheShinyBallSyndrome(OrganizationalADD)Requires

Clarity aboutwhatreallymatters&organizationaldirection.

Consensus abouthowbesttogetthere.

Courage toactivelychoosetonotdoornotdonow.

Commitment tostickwiththeplan.

FromtheFocuschapter:TheOutstandingOrganization,KarenMartin


KarenMartin,President7770RegentsRoad#635SanDiego,CA92122

858.677.6799

[email protected]

46

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hoshin kanri: creating a strategy deployment plan that gets results

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