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TOYOTA KATAUnderstandingthe Direction

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These are specific PRACTICE ROUTINES to acquire / develop

the SCIENTIFIC pattern ofthinking and acting

The COACHING KATA is apractice routine for learning

how to teach theImprovement Kata pattern

The practice routines in this are used to learn theSCIENTIFIC thinking pattern of the Improvement Kata through application practice

The IMPROVEMENT KATA PATTERN(the scientific approach)

A KEY POINTABOUT KATA

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THE STEPS OF THE IMPROVEMENT KATA FRAMEAND BUILD ON ONE ANOTHER

What you do in one step frames the next step

The more precisely you define the Target Condition,the better and more quickly you can recognize obstacles and Iterate toward it with rapid experiments .

The clearer the definition of the Challenge, the more appropriate will be your analysis of the Current Condition.

The better your analysis of the Current Condition, the more precise your definition of the TargetCondition can be.

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Target ConditionAchieve by:

Focus Process: Challenge:

Current Condition

PDCA Cycles Record

Obstacles Parking Lot

LEARNERʼS STORYBOARDLearner and Coach are now concentrating on this field

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WhatisthePurposeofanOrganizationalVision?

VisionStatement:(DesiredEnd-State)Aone-sentencestatementdescribingtheclearand inspirationallong-termdesiredchangeresultingfroman organization orprogram’swork.

Examples

Alcoa – Ourvisionistobethebestcompanyintheworld--intheeyesofourcustomers,shareholders, communitiesandpeople.WeexpectanddemandthebestwehavetoofferbyalwayskeepingAlcoa'svaluestopofmind.

Tyco - Wewillincreasethevalueofourcompanyandourglobalportfolioofdiversifiedbrandsbyexceedingcustomers'expectations andachievingmarketleadershipandoperatingexcellence ineverysegmentofourcompany.

CentralStatesManufacturing,Inc- Ourcompanydevotedtothepersonalgrowthandwell-beingofourowners.WearededicatedtoincreasingthevalueofourcompanybymakingRavingFansofourcustomers throughexceedingtheirexpectations, beingeasytodobusinesswith,demonstratingexcellence inallaspectsofourbusinessandbeingcommittedtoimprovingtheirbusiness.

Cree- DeliveringCustomerSatisfactionisaboutprovidingtimely,responsiveservicewithintegrity,simplicityandapassionforexcellence whilemeetingorexceedingthecustomer’sexpectations

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WhatisthePurposeofanOrganizationalVision?

VisionStatement:(DesiredEnd-State)Aone-sentencestatementdescribingtheclearand inspirationallong-termdesiredchangeresultingfroman organization orprogram’swork.

• Didyounoticethesimilarityoftheboldtypewordsinthepreviousslide?• VisionStatementsaremeanttocapturethefuturestateofan

organizationwhileencompassingthecorevaluesoftheorganizationandstatingwheretheywillremainintheirmarket(i.e.#1brand,Exceedingexpectations,…)

• Googleanylistofcompanyvisionsstatementsand75%ofthewordingwillbesimilarandyetvague….becausetheyaredesignedtobe.

• It’slikeimaginingifyourwereblindfoldedandplacedinthemiddleofadesertsuchastheBonnevilleSaltFlats….WithoutaTrueNorth,youaredoomed!

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VisionNextTarget

ConditionCurrentCondition Obstacles Challenge

CONNECTING STRATEGY & EXECUTION

ByMikeRother

Execution Strategy

Leaders establishtheorganizationʼsstrategicconcept(the“rallyingpoint”oroveralldirection)

ManagersdeveloppeoplebycoachedpracticeoftheImprovementKatainthedirectionofthechallenge

The role of Challenge in an organization

2 weeks –1 month

SuccessiveT/Cstoachievethe

Challenge

Distant

Often General

“Principles”

1-3 years

Concrete Hard Metrics

THEKATATRAJECTORY

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AVision/Challenge/TargetConditionAnalogy

VISION– Overthenext500years,mankindwillboldlygoandfindlands,oceans,andplacesonlypreviouslyimaginedindreams.(Althoughvague,itgivesdirectionandpurpose)

“Byprevailingoverallobstaclesanddistractions,onemayunfailinglyarriveathischosengoalordestination”

-ChristopherColumbus1451-1506

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AfterseveralChallengesareachieveinthedirectionofthisVision- ManorbitstheEarth

VostokMissions–1961-1963

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America’sVision/Challenge/TargetConditionAnalogy

CHALLENGE– distant,accepted,andachievable.

Hardmetric=…landingamanonthemoonandreturninghimsafelytotheEarth(fromJFKCongressionalspeech5/25/1961)

VISION– althoughvague,itgivesdirection

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TARGETCONDITION#1– U.S.MannedorbitofEarth

MercuryMissions–1962-1963

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SUCCESSIVETARGETCONDITIONSTargetCondition#2– DockinginSpace

GeminiMissions–1965-1966

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SUCCESSIVETARGETCONDITIONSTargetCondition#3– OrbittheMoon

ApolloMissions–1967-1972

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SUCCESSIVETARGETCONDITIONSTargetCondition#4– LandontheMoon

ApolloMissions–1967-1972

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TheCHALLENGETheTARGETCONDITION

THEPDCASTEP/EXPERIMENT

THEPOWEROFRAPIDPDCAISCHEWINGREALLYFAST

ANOTHERLOOKATTHEKATATRAJECTORY

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SequencetoAligntheChallengewiththeVision

2016VISION

• Developcontinuousimprovementleaders

• Recognition• ExpandKATA&KPIs• Empowered bycommunication,

collaboration,andteamwork• Datadriven&resultsoriented• Passionatelycommitted to

continually improve

Challenge

Itwouldbe_______________ ifby________we could:____________________________________________________________________________________________________________

Metrics: • Passionatelycommitted toc• Fd• Fd• Re• re

TC TC TC

Wearehere

DesiredState6– 18monthsout,leadingtowardstheVision&FutureStateMap

CurrentStateMap

SeriesofTargetConditionsnecessarytoreachChallenge

TheFuture

ACT PLAN

DOCHECK

ITERATETOWARDSTHETCAND

ULTIMATELYTHECHALLENGE(PURPOSEDRIVENACTIVITY)

FutureStateMap

5,20,50ormoreyearsout

12

3

Obstacles

45

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Direc tion

Le a rne rʼsStory board

CoachLearner

(date)

Next SuccessiveTargetCondition Obstacles Condition

Current Challenge VisionTarget

Conditions

2 Weeks outDescribes the next desired condition, to be reached by a specified achieve-by date.

Having a challenge without the ability to execute is ineffectiveJust issuing challenges is not sufficient for achieving improvement, adaptiveness and innovation. People in the organization also need tomaster a systematic, scientific way of working toward a challenge.Looking ahead to the rest of the Improvement Kata (where executiontakes place) itʼs a series of Target Conditions that day-to-day improvement efforts at each level will actually be aiming for.

HAVING A CHALLENGE IS NOT ENOUGH

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ALONE ARE NOT A DIRECTIONJust cutting cost will not likely result in a sustained competitive advantage.

The Improvement Kata improves the skills of the learners to solve problems. It creates a systematic organization wide method to focus on an organizations current challenges.

Note: EFFICIENCYAND COST CUTTING

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WritingyourChallengeBelowisawaytoformulateaChallengestatementthathasbeeneffective.YourChallengestatementmaydiffer,whichisfine,howevermostsuccessfulcompanieswithKatainmyexperiencewriteitinthisform:

AHealthcareexample:ItwouldbeJIBALICIOUS ifbyDatei.e.August26,2017,EachdepartmenthasownershipofTWIJItrainingandispassionateaboutgettingandkeepingstafftrainedonimportantjobs.RequiredjobsandtheirrelatedJIB’sareapprovedthroughaShepherd’sGroupspecificallyforTWI– JIsothatweachievedepartmentspecificstrategicA3qualityandKPImetricoutcomesaidedbystandardizationofjobs.OutcomeMetrics:

• 75%ofdepartmentswithatleasta1:7trainer/staffratio• Clinicaldepartmentshave90%ofidentifiedJobInstructionBreakdowns(JIBS)writtenandapprovedbyleadership

• 75%ofclinicalstaffaretrainedandverifiedondepartmentspecificapprovedJIBS

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Belowisamanufacturingexample:

• Itwouldbe…GLORIOUS ifby1/1/2018,wecouldeliminateovertimewhichwouldgiveeveryoneabetterqualityoflife,havingreducedtherequiredmachineryby½toopenupfloorspacefornewproductcapacity,soweaccomplish:

Outcomemetricsof:

• Nomandatoryweekends

• Overtime=0%• Scrap<2.5%

• FirstPassYield< 98%• EmployeeSatisfactionsurvey< 80%

WritingyourChallenge

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Belowisanexamplefromhealthcare:

Itwouldbe…FIMTABYOULOS ifby3/31/2017,wecouldcaptureanddocumentthepatient’sactualfunctionalstatussothatthegapbetweenouradmissionFIMsandtheregionalbenchmarkisclosed!

Soweaccomplish:

1. IncreasedLOSforourpatientstobenefitfromourcare

2. Receivefullcreditfortheexceptionalprogressourpatientsmake

Andachieveoutcomemetricsof:

• TotalpatientsadmissionFIMscoremeanwillbewithin15%oftheregionalmeanscore

• Estimatedlengthofstay(ELOS)<1dayoftheregionalaverage.

WritingyourChallenge

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Assignment #1Write out your Company or Personal Challenge Statement in this form:

It would be __(use a descriptor more powerful than “great” or awesome”…think COLOSSAL or MAGICAL…)____ if by _(enter date 6mo - 2 years from today)_ we were:

__(on these lines write the “what” the operation/business/environment will look like; it may include the strategy or techniques you think you may use………as well as the “How” of the strategy or techniques you could go about reaching the Challenge and the Outcome Metrics)_BUT DONT WRITE SOLUTIONS!__________________

So that we achieve:

Outcome Metrics:• Metric #1• Metric #2• Metric #3……