kaizen events in office & service environments (part 1 of 2)

Company

LOGO

Kaizen Events in Office &

Service Environments: A Two-Part Webinar

Part I - December 4, 2009

© 2009 Karen Martin & Associates

Learning Objectives (both webinars)

Participants will learn:

The difference between Kaizen & Kaizen Events.

When to use Kaizen Events.

Step-by-step approach to planning and executing

office and service-based Kaizen Events.

The “Kaizen Commandments” that reduce

common pitfalls.

How to create a Sustainability Plan with teeth.

How to navigate common obstacles to success.

2

© 2009 Karen Martin & Associates 3

Kaizen Defined

KAIZEN

Kai Zen

Break apart

To change

Study

Make better

Kaizen = Continuous Improvement

Kaizen Event = Rapid Improvement


Kaizen Event – Definition

A two- to five-day focused improvement

activity during which a sequestered,

cross-functional team designs and fully

implements improvements to a defined

process or work area, generating rapid

results and learned behavior.

Karen Martin & Mike Osterling

The Kaizen Event Planner, 2007

Office Kaizen Events: Less “brawn”; more policies & procedures


When do you need a Kaizen

Event?

Rapid change is desired

Cross-functional problem solving is

necessary

Innovation is desired

Hands-on learning is desired

You want to “bake” the improvement

process into the organizational DNA

You want to shift culture by engaging the

workforce in problem solving


5-Day Kaizen: Sample Structure

Day 1 & 2

(Plan)

Day 3 & 4

(Do, Check)

Day 5

(Check, Act)

Kick-off (executive presence)

Analyze current state

Perform root cause analysis

Design future state

Interim briefing

Design & test improvements

Obtain buy-in

Interim briefing

Finalize improvements

Train process workers & stakeholders

Present results

CELEBRATE!


Common Obstacles to Success

Kaizen Events not tied to a strategic plan.

Scope too broad.

Teams too narrow (functions).

Key leadership not at interim briefings.

Lack of communication and upfront

consensus building.

Inadequate training on new process.

Inadequate structure for sustaining the

improvement.

8


Poll #1

9


Tie Kaizen Events to a strategic improvement plan, such as a

Value Stream Map, Hoshin Kanri, or A3

Avoids “Kamikaze Kaizens,” “Drive-by

Kaizens,” or “Random Acts of Kaizen.”

The Improvement Cycle

Identify & Prioritize

Macro Opportunities

Analyze

Current State

(Micro)

Brainstorm &

Prioritize

Opportunities

Design, Test

& Refine

Improvements

Implement

Improvements

Monitor,

Refine &

Sustain

Plan for

improvement

P

D

A

C

1

3

5 4

6

2

7

P

DC

A

Current State Value Stream Map

Outpatient Imaging Services

VSM Champion: Paul Scanner

Created: July 17, 2007

Demand = 15 per day

Customer Demand:

15 patients per Day

(Takt Time 1920 seconds)

8 hours per day

Referring

Physician

% C&A = 65 %

Check-in

Patient

(Admitting)

Cycle Time = 2 mins.

% C&A = 90 %

5

Send

Reports

(Imaging)


% C&A = 90 %

6

Hospital

5 mins.

Schedule

Appointment


Lead Time = 12 mins.

% C&A = 98 %

6

Pre-register

Patient



% C&A = 100 %

5

CT=Cycle Time

LT=Lead Time

%C&A=% Complete & Accurate

0.0833 hrs.

2 mins.

0.0833 hrs.

1 mins.

0.75 hrs.

10 mins.

0.5 hrs.

15 mins.

0.0833 hrs.

3 mins.

4.13 hrs.

15 mins.

6.08 hrs.

5 mins.

16 hrs.

1 mins.

1.83 hrs.

1 mins.

2 hrs.

3 mins.

LT = 32.5 hrs.

CT = 56 mins.

CT/LT Ratio = 2.87%

Lead Time = 12 mins.Lead Time = 990 mins.

Prep

Patient

(Tech)


% C&A = 100 %

2

Check-in

Patient

(Imaging)


% C&A = 98 %

3

Complete

Exam

(Tech)


% C&A = 90 %

2

Transmit

Images

(Tech)


% C&A = 100 %

2

Read/Dictate

Exam

(Radiologist)


% C&A = 95 %

2

Transcribe

Report

(MDI)


% C&A = 75 %

6

Review

Draft/Sign

(Radiologist)


% C&A = 95 %

2

Print

Reports

(Imaging)


% C&A = 99 %

230 mins. 5 mins. 248 mins. 365 mins. 960 mins. 110 mins. 120 mins.45 mins.

E Pay

Excel

ADS

Symposium

Internet

Waiting Room

Management

System

Fax Order

Solutions

PACS

5 mins.

Lead Time = 24 days

Meditech

123

4

5 6 7 8 9 10 11 12 13 14

Auto Fax 50%

Us Mail 25%

MD Mailbox 25%

Rework Loop via Fax 25% of the time

Rolled First Pass

yield = 29%

Future State Value Stream Map

Outpatient Imaging Services

VSM Champion: Paul Scanner

Created: July 18, 2007

Demand = 15 per day

Referring

Physician

% C&A = 85 %

Send

Reports

(Imaging)


% C&A = 90 %

6

Hospital

Schedule appt

Pre-register



% C&A = 98 %

6

CT=Cycle Time

LT=Lead Time

%C&A=% Complete & Accurate

0.0833 hrs.

1 mins.

0.583 hrs.

10 mins.

0.333 hrs.

10 mins.

0.0833 hrs.

2 mins.

2 hrs.

15 mins.

7 hrs.

1 mins.

0.0333 hrs.

1 mins.

0.5 hrs.

3 mins.

LT = 11.3 hrs.

CT = 43 mins.

CT/LT Ratio = 6.32%

Lead Time = 45 mins.Lead Time = 15 days

Prep

Patient

(Tech)


% C&A = 100 %

2

Check-in

Patient

(Imaging)


% C&A = 98 %

3

Complete

Exam

(Tech)


% C&A = 90 %

2

Transmit

Images

(Tech)


% C&A = 100 %

2

Read/Dictate

Exam

(Radiologist)


% C&A = 95 %

2

Review

Draft/Sign

(Radiologist)


% C&A = 95 %

2

Print

Reports

(Imaging)


% C&A = 99 %

220 mins. 5 mins. 120 mins. 420 mins. 2 mins. 30 mins.35 mins.

E Pay

Excel

Symposium

Internet

Waiting Room

Management

System

Fax Order

Solutions

PACS

5 mins.

Set-upReduction

Remove Check in

and ReduceSystem Access

Work Balancing

StandardWork

Pull System(Supplies Kanban)

VisualWorkplace

Voice Recognition

Batch Reductions

5S

Co-locate

StandardWork

Work Balance

ContinuousFlow

Value StreamAlignment

Auto Fax 80%

Us Mail 15%

MD Mailbox 5%

Rolled First Pass

yield = 40%

Rework Loop via Fax 10% of the time

Customer Demand:

15 patients per Day

(Takt Time 1920 seconds)

8 hours per day

12

3

45 6 7 8 9 10 11

Risk Reduction

(Joint Commision)

Meditech


Outpatient Imaging

Projected Results

14

Metric Current

State

Projected

Future State

%

Improvement

Lead Time 32.5 hrs 11.3 hrs 65%

Process Time 56 mins 43 mins 23%

Activity Ratio (or

% Activity) 2.9% 6.3% 117%

Rolled First Pass

Yield 29% 40% 38%

# Steps/Handoffs 14 11 21%

Tech turnover

(annual) 100% 25% 75%

Value Stream

1 2 3 4 5 6 7 8 9 10 11 12

2 Improve quality of referral KE Sean O'Ryan

3, 4Reduce lead time beween schedulingand

preregistration stepsPROJ

Dianne

Prichard

5, 6Eliminate the need for two patient check-

insKE

Michael

O'Shea

6 Eliminate bottleneck in waiting area KEDianne

Prichard

9Eliminate lead time associated with

transcription stepPROJ Sam Parks

10 Eliminate batched reading KE Sam Parks

7Reduce inventory costs, regulatory risk

and storage needsKE

Michael

O'Shea

12 Reduce delay in report delivery PROJ Martha Allen

12 Reduce delay in report delivery KE Martha Allen

Implement voice recognition technology

Reduce setup required

Cross-train and colocate work teams

Implement additional fax ports

Collect copays in Imaging

Balance work / level demand

5S CT supplies area; implement kanban

Value Stream Mapping Facilitator

Increase percentage of physicians

receiving electronic delivery (rather than

hard copy)

Approvals

Executive Sponsor Value Stream Champion

Signature:

Date: Date: Date:

Signature: Signature:

Block

#Goal / Objective Improvement Activity

Implement standard work for referral

process

Type OwnerImplementation Schedule (weeks) Date

Complete

Date Created

11/21/2007

Allen Ward

Sally McKinsey

Dave Parks 12/13/2007

10/18/2007 1/10/2008

Future State Implementation Plan

Executive Sponsor

Value Stream Champion

Value Stream Mapping Facilitator

Implementation Plan Review Dates

11/1/2007

Outpatient Imaging


Improvement Roles

Who? Accountability Tool

Senior

Leadership

What has to

happen

Value Stream

Mapping

Frontline

Workers

How it will

happen Kaizen Events

16

Middle

Management

Str

ate

gic

Tacti

cal


Kaizen Event Phases

Execution 2-5 Days

Follow

Up 4-8 Weeks Post

Planning 4-6 Weeks Prior

17

Preparation & Logistics

ActivityDue

DateOwner Comments

11 Finalize Kaizen Event charter and gain approval.

12 Distribute approved Kaizen Event charter.

13

Review Event scope and determine which current state data and metrics needs to be

collected and assign accountability (e.g. volumes, metrics, service levels, survey

results, etc.).

14

Identify potential functions / individuals that may need to receive training on the

improvement process be trained during Kaizen Event and send notification email to

them.

15 Prepare training materials for the event (including lean overview and relevant tools).

16Identify potential on-call resources (people and/or supplies) and time commitment

required of those resources.

17Send communication to area staff, as well as "involved" internal customers & suppliers,

advising of upcoming Kaizen Event.

18Post Kaizen Event charter. Solicit improvement ideas from stakeholders (include

upstream and downstream workers, too).

19 Follow-up with people who haven't RSVP'd re: their participation.

20 Schedule senior leadership representation for event kick-off.

Planning ChecklistEvent Name

Event Start Date

Executive

Sponsor

Value Stream

Champion

3 Weeks Prior

4 Weeks Prior

Facilitator Coordinator

Kaizen Event


Kaizen Event Planning

Create Charter. Select a facilitator.

Scope event.

Establish measurable objectives.

Form team.

Schedule interim briefings; invite key parties.

Distribute charter to team, leadership & affected stakeholders; send meeting notices for briefings & team presentation.

Gather supplies, material & data.

Arrange for technology needs.

Obtain input from non-team workers who perform the work being improved.

Conduct pre-Event Lean overview. 19


Poll #2

20


Kaizen Event Charter

Serves as a planning/shaping tool What are our measurable objectives?

Defines the event scope and boundaries

Who needs to be involved?

Serves as a communication tool Why is improvement needed?

To the team – this is what you’re chartered to accomplish

To leadership – this is what you are supporting

To the organization – this is what’s going on and why

Assigns accountability

21

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name

FacilitatorValue Stream Champion

Name

Dates

Start & End

TimesSpecific Conditions

Value Stream

Champion

FacilitatorProcess Trigger

Kaizen Event CharterEvent Scope Leadership Schedule

Last Step

First Step

Executive SponsorEvent Name

Team LeadInterim

Briefings

Location

Value Stream

Event Drivers / Current State Issues Team Members

Final

Presentation

Event Boundaries &

LimitationsEvent Coordinator

Function

Event Goals and Objectives

Potential Deliverables On-Call Support

Function Contact Information

Possible Obstacles Approvals

Signature:

Executive Sponsor


Facilitator’s Role

Teacher

Coach

Motivator

Challenger

Provocateur

Obstacle eliminator

Mediator

Time keeper

24


Lean Facilitators

Necessary Traits & Competencies

Skills / Knowledge Lean principle & tools

Root cause analysis

Project & time management

Team building / facilitation

People effectiveness

Authority / Respect Recognized as a change

agent / influence leader

Trustworthy

Comfortable removing obstacles & reaching out to senior leadership

Personality / Energy Challenging, yet

supportive

Positive, upbeat, energetic

Pushy without irritating

Objectivity / Fairness Not attached to the work

itself




Scope too broad.




consensus building.



improvement.

26

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name


Name

Dates

Start & End


Value Stream

Champion



Last Step

First Step


Team LeadInterim

Briefings

Location

Value Stream


Final

Presentation

Event Boundaries &


Function





Signature:

Executive Sponsor


Define Scope: Narrow & Deep

Define fenceposts, conditions, and limitations.

Gives the team “freedom with boundaries.”

Communicates what the team does not have permission to do.

28


Refining the Focus

Purpose To break improvement into manageable chunks

Counter the temptation to want to solve world hunger in a single improvement cycle.

To select the most effective team.

Process Identify conditions that go through different process

steps.

Select one based on “pain,” volume, cost, customer impact, compliance issues, etc.

Analyze the current state for that single condition.

Attempt to apply future state improvements to a broader set of conditions.

29

Narrowing the Scope: Example

Order

Fulfillment

Process

International

Domestic

Service Parts

Consumables

Units

Non-

Warranty

Warranty

Service Parts

Consumables

Units

Non-

Warranty

Warranty

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name


Name

Dates

Start & End


Value Stream

Champion



Last Step

First Step


Team LeadInterim

Briefings

Location

Value Stream


Final

Presentation

Event Boundaries &


Function





Signature:

Executive Sponsor


Set Measurable Objectives

Goals Objectives Notes

Content Words Numbers

Example Reduce lead

time.

Reduce lead time

from 14 to 7 days.

Helpful to also include

percent improvement

(e.g. 50%).

Includes baseline

& desired state?

No Yes

Measurable? No Yes

32




Scope too broad.




consensus building.



improvement.

33

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name


Name

Dates

Start & End


Value Stream

Champion



Last Step

First Step


Team LeadInterim

Briefings

Location

Value Stream


Final

Presentation

Event Boundaries &


Function





Signature:

Executive Sponsor


Form the Kaizen Team

No more than 10

Highly cross-functional Process workers

Upstream suppliers (internal)

Downstream customers (internal)

Subject matter experts

Outside eyes

External suppliers / contractors

External customers

Administrative support (if needed)

Union representatives (if relevant)

Maintenance / facilities representatives

Management (limited representation) 35

Department

1

2

3

4

5

6

7

8

9

10

11

12

Executive Sponsor


Facilitator First Step

Kaizen Event

Team Formation WorksheetEvent Name

Event Dates

Last Step

Subject

Matter

Experts

Process

Workers

Downstream

Customers

Upstream

Suppliers

Role in Target Process

Work Group

No

Involvement

or Impact


Forming the Kaizen Team:

Key Considerations

Sequestered; Must be relieved of regular duties Full time attendance is mandatory.

Be highly strategic! Action-oriented individuals.

Or thorough prepping / coaching of more passive members

Must currently perform work being improved.

Don’t avoid “whiners,” but only include one or two.

Manage team member selection May need to lobby for team members

Obtain approval of person’s direct supervisor first

Avoid being told who needs to be on the team by people who don’t understand Kaizen Events

Once the Kaizen Charter is finalized, no one is added to the team unless the team requests them.

37

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name


Name

Dates

Start & End


Value Stream

Champion



Last Step

First Step


Team LeadInterim

Briefings

Location

Value Stream


Final

Presentation

Event Boundaries &


Function





Signature:

Executive Sponsor


On-Call Support

May or may not be needed.

If needed, will be time limited.

Must be able to drop everything and serve

the team’s needs.

Typically a subject matter expert.

e.g. Finance, Regulatory, HR, etc.

Typically not directly involved in delivering

value to the external customer

39




Scope too broad.




consensus building.



improvement.

40

Workforce

Training

1

2 1

3 2

4 3

5 4

5

1 6

2 7

3 8

4 9

5 10

1

2 1

3 2

4 3

5 4

1

2

3

4 Date:Date: Date:

Contact Information


Name


Name

Dates

Start & End


Value Stream

Champion



Last Step

First Step


Team LeadInterim

Briefings

Location

Value Stream


Final

Presentation

Event Boundaries &


Function





Signature:

Executive Sponsor


Schedule Interim Briefings to

Leadership

Every day or two.

Team presents their ideas; leadership assures team has considered all options and thought through all implications.

Leadership’s role – no veto power. Instead: “Have you considered this?” “How would we

handle…?” “What if…?”

Workforce grows stronger as they learn how to identify and eliminate waste.

Venue for challenging policies.

Some attendance is mandatory. So schedule Kaizen Events around leadership availability.

42


Poll #3

43




Scope too broad.




consensus building.



improvement. 44




Scope event.


Form team.






Conduct pre-Event Lean overview.

Functional Department

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

Receiv

e n

oti

ficati

on

Ap

pro

ve

Receiv

e t

rain

ing

Lean

/ K

aiz

en

Overv

iew

Tra

inin

g

Inte

rim

Bri

efi

ng

(s)

- R

eq

uir

ed

Att

en

dan

ce

Inte

rim

Bri

efi

ng

(s)

- In

vit

ati

on

Even

t an

no

un

cem

en

t (w

ith

ch

art

er)

to

aff

ecte

d s

takeh

old

ers

Kaizen Event

Communication WorksheetEvent Name

Event Dates

Executive Sponsor

Tra

inin

g o

n i

mp

roved

pro

cess

Team

Pre

sen

tati

on

- R

eq

uir

ed

Att

en

dan

ce

Team

Pre

sen

tati

on

- I

nvit

ati

on

Even

t R

ep

ort

(P

ost-

Even

t)

Au

dit

Resu

lts (

Po

st-

Even

t)

Coordinator

Level of Engagement Email / Meeting Notice Content

No

in

vo

lvem

en

t

Facilitator

Team Lead


Pro

vid

e i

np

ut




Scope event.


Form team.



Gather supplies, material and data.




Event Name

Event Dates

N/A*

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

Markers, white board

Masking tape

Name tents (if preferred)

Paper (white, 36" wide roll)

Laptops or PCs for team use - 2 to 4 based on group size each with access to MS Office, internet,

email, intranet, shared drives and internal applications

LCD projector

Markers, flipchart - various colors

Markers, Sharpie

Laptop or PC for training and presentations

Flip chart pads and stands (at least 2)

Handouts for participants (kick-off info, charter, training material, etc.)

Label maker and label stock (if needed)

Kaizen team t-shirts (if being provided)

Digital camera (with USB cable or memory card/reader)

Laminator and laminate sheets (if needed)

DVD and / or VHS player with monitor and speakers

Calculator

Facilitator

Coordinator

Binder clips or paper clips

Card stock in various colors (if needed)

Batteries for all battery operated devices (extra sets recommended)

Description

Kaizen EventSupplies Checklist


Material & Data Needs

Work volume.

Work samples.

Enough copies for entire team.

Sample forms.

Survey/audit results.

Anything else relevant to the improvement.

49


Technology Needs

2-4 laptops Full access to:

Intranet

All relevant applications

Internet

Email

Everyone must be able to log in.

Printer – in the Kaizen room

LCD Projector

Speaker phone

Arrange for dedicated I.T. resource.

TEST ALL EQUIPMENT The day before the Event begins and every day prior to the

team arriving.

50




Scope event.


Form team.








Build Consensus from the Get-Go

In work areas being affected… Communicate

Post Charter

Obtain input Flip charts in work area

Email (less effective)

Train Kaizen Event and work teams who will be affected by the

improvement.

Content Lean principles & tools

Review Charter

Kaizen Event – their role; what to expect

52

Recommended Resources

Click here to order from Amazon

http://www.amazon.com/gp/product/1563273802?ie=UTF8&tag=karmarass-20&linkCode=as2&camp=1789&creative=390957&creativeASIN=1563273802




Learning Objectives (both webinars)

Participants will learn:

The difference between Kaizen & Kaizen Events.

When to use Kaizen Events.

Step-by-step approach to planning and executing

office and service-based Kaizen Events.

The “Kaizen Commandments” that reduce

common pitfalls.

How to create a Sustainability Plan with teeth.

How to navigate common obstacles to success.

54


Tomorrow’s Webinar

Execution 2-5 Days

Follow

Up 4-8 Weeks Post





Scope too broad.




consensus building.



improvement. 57


Karen Martin, Principal

7770 Regents Road #635

San Diego, CA 92122

858.677.6799

[email protected]

For Further Questions

kaizen events in office & service environments (part 1 of 2)

Business

images tech65 mins

system access5 mins

cycle time lt

days26lead time

days261lead time

day1lead time

complete exam tech520

kaizen kaizen events