the psychology of rapid - lean 1. renewal or stagnation! 2
TRANSCRIPT
The Psychology of
Rapid - Lean
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Renewal or
stagnation!
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RapidLeanSixSigmaSpeed and Simplicity
Lean• Waste Reduction
Six Sigma• Problem Solving Methodology
A common complaint of traditional Lean and
Six Sigma is that they “take too long.”
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RapidLeanSixSigma promotes a culture that targets continuous improvement through the relentless elimination of waste.
“Simplicity”
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Quantum improvements come not from simply working harder or smarter at the same old things, but from figuring out how to eliminate the need to do the same old things.
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Cost Reduction (improved profitability)Continuous ImprovementWorkforce EngagementSpeed and Simplicity
Example: Targets
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For Consideration
Management: “Do things right.”
Leadership: “Do the right things.”
What are we doing now that shouldn’t be done at all?
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For Discussion
The person closest to the work knows how that activity can be simplified or eliminated altogether.
The challenge is to create an environment that energizes and stimulates workers to share their ideas.
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Two “Sides”
The “HARD” Side: is about
• processes• measurement• tools• structures• procedures
The “SOFT” Side: is about
• buy-in• commitment• attitude• overcoming
resistance to change• self-leadership
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Anticipate
Outdated Management Philosophies
Organizational Culture
Lack of Knowledge
In-bred Complexity
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For Discussion:
Deming’s 85/15 Rule
85% of professional errors are a result of business systems.
15% of professional errors are a result of individual workers.
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From ToStrong leaders Dispersed leadership
I am powerless to change The choices I make the big systems that everyday significantlyaffect my life. affect my life.
We all need to take care We are all connected.of ourselves. We must take care of
both ourselves and each other.
Assumptions
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“… more organizations fail from a lack of creating the right culture and infrastructure than from using the wrong tools!”
“… the key lesson is not to get lost in the statistical weeds or the improvement tools. Important as these are, the source of power is first and foremost in the culture.”
For Discussion
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A “Systems Approach” that creates a culture in which everyone is continuously improving processes and eliminating waste.
A Systems Approach
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… as a critical responsibility of everyone.
It must involve all areas and requires a commitment to hard work and the uncompromising drive to seek out new and better ways of doing things.
Continuous Improvement
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Activity
What are we doing now that we shouldn’t be doing at all.
1)
2)
3)
There may be too many To-Do lists.
Consider A “Not-To-Do” List
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RapidLeanSixSigma Current
Lean 2004
Six Sigma 2000
TQM 1990’s
American business rediscovers Deming 1970’s & 1980’s
Japan emerges as a leader of Lean
Transformation of Japanese economy
Japanese adopt Deming’s principles 1950s
Deming goes to Japan 1950
Deming in America 1940s
JOU
RN
EY
“Journey” Never Ends
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History
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RapidLeanSixSigma Everyone On-Board Upfront
Action
Commitment
Understanding
Information
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Transformation Curve
Goal: Shift the Curve
Cynics
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Clarity … Consistency … Commitment
Alignment
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Culture
Traditional• Authoritarian
• No risk-taking
• Fear of job loss
• Status quo
• Systems policies
• “Beat on” supplier
• Distant from customers
• Few people trained in basic tools
RapidLeanSixSigma• Participative
• Encourage change
• Job security
• Continuous improvement
• Policies that inspire people to want continuous improvement
• Work with supplier
• Close to customers
• Everyone trained in basic tools
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20-60-20 Rule
20% of the people in the organization
will be “Transformation Friendly”
60% will sit on the fence
20% will resist
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As Is
Vision
GrowthAwareness
To Be
“Emotional Rollercoaster”
Phase 1 Phase 2 Phase 3
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Leading in a RapidLeanSixSigma Environment
Build a Shared Vision Create a Guiding Coalition Empower Broad-Based Action Generate Short-Term Wins Communicate the Vision Anchor RapidLeanSixSigma in the Culture
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Essential Skills
Building TrustManaging RelationshipsCommunicating Effectively
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Activity
One of the keys to success is highly visible Leadership commitment to RapidLeanSixSigma initiatives. (Employees must perceive active leadership during implementation.)
How do we do this?1. 2. 3.
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Example of “Vision”
An agile, flexible and disciplined organization that employs groups of capable and empowered people who are learning and working safely together to produce and deliver products that consistently exceed customers’ expectations in quality, cost, and time.
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Build Behavior First
People will believe in RapidLeanSixSigma when they see behavior that leads them to conclude that it works.
Use action to gain understanding and commitment to RapidLeanSixSigma. Learn by doing.
Accept “stumbling” as part of the journey.
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8th WasteWorkers Who Are Engaged
26%-55%-19%
26% engaged (loyal and productive) 55% not engaged (just putting in time) 19% actively disengaged (unhappy and
spreading their discontent)
Source: “The leadership kit: Leadership is confusing as hell”
Fast Company Magazine
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Learning to See A process is a sequence of steps that must be carried
out in proper order to create value for the customer and managed as a whole.
The best way to learn to see your processes is to take a product and follow its path from beginning to end – from order entry to delivery to customer.
“Mapping” what we call a value stream reveals how the current process operates today – not how it is supposed to operate.
It reveals all the wasted time and effort in the process. It is both a consciousness raising exercise for all those involved and powerful diagnostic of how broke the current process is.
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There is no “one answer.”
“No plan survives the first battle.”
Need active, executive-level sponsorship.
Planning 5%, Execution 15%, Sustainment?
For Discussion
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Bias - from Plan to Actions
Plan Actions
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It’s OK to learn by trying!
ATTITUDE
Choice
My happiness depends on me.
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Keep a Positive Attitude
Your attitude as a Leader will be a major factor in determining what the climate is within your organization… your attitude is one of the few things that is totally under your control.
Be upbeat, positive and enthusiastic. Model the way for your teams.
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Work as a ProcessA series of activities used to transform input(s) into output(s).
Inputs OutputsInternal
WorkProcess
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Kaizen
KAI ZENTo modify, to change Think, make good, make better
= KAIZEN
Make it easier by studying it and making the improvement through elimination of waste.
The organized use of common sense to improve cost, quality, delivery and responsiveness to customer needs.
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Kaizen
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Problem Solving Is … a logical process and a learned skill.
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“In God we trust;
all others must bring data.”
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DMAIC
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Why is this a problem?What specifically is the problem?What “pain” is occurring?Where is the problem occurring or not occurring? When did the problem first occur?How much of a problem do we really have? Who is involved with the problem? Who is not?
Define
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Identify essential information that is needed to understand the problem.Collect data.Use data; a lot of people will have opinions, but data are more reliable.
Measure
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Brainstorm as many solutions as possible.Get the ideas of those who are affected by the problem, involving them directly.Don’t be concerned about cost or feasibility at this point.Don’t be judgmental of either people or ideas.Select the best solution from among the alternatives generated in the prior step.
Analyze
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ImproveCreate an action plan.Identify the steps that will need to occur to implement the solution.Identify the time each step will take and create a schedule.Identify the human, material and financial resources required for each step.Determine the decision makers whose approval will be sought.Determine accountability for carrying out each step.
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Once a problem has been eliminated - follow up the corrective action to make it permanent.
Make sure the corrective action is documented and understood by everyone.
Control
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Resistance to Change
Asking people to work differently often meets with stiff resistance.
Overcoming resistance to change can be the hardest part of our job.
It is against human nature to want to change the way things are done unless there is a compelling reason to do so.
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Resistence Looks Like ... Anger
Blame
Anxiety
Depression
Isolation
Fear
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Burning Platform
Getting Started
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A Simple Change Model
Unfreezing
Moving
Refreezing
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Stage 1 Awareness of
Need for Change
Decision to Alter Status
Quo
Stage 2 Entry and
Intervention
Mutual Expectations
and Obligations
Stage 3 Development
of Mutual Expectations
Identification of Problem Areas
Stage 5 Diagnosis of
Specific Problems
Formulating Plans and Programs
Stage 6 Making Things Happen
Participation of and
Feedback to Members
Stage 7 Monitor,
Review and Stabilize
Self – Renewal
Capability
Transformation Planning
Stage 4 Data Collection
Intervention
Need for Valid
Information
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Activity
Examples of Cultural Changes
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CATEGORY PREVIOUS STATE NEW CULTURE
Customer Requirements
Incomplete or ambiguous understanding of customer requirements
Use of systematic approach to seek out, understand, and satisfy both internal and external customer requirements.
Suppliers Unidirectional relationship Partnership
Objectives Orientation to short-term objectives and actions with limited long-term perspective
Deliberate balance of long-term goals with successive short-term objectives
Improvements Acceptance of process variability and subsequent corrective action assigning blame as the norm
Understanding and continually improving the process
Problem-Solving Unstructured individualistic problem-solving and decision-making
Predominantly participative and interdisciplinary problem-solving and decision-making based on substantive data
Jobs and People Functional, narrow scope, management-controlled Management and employee involvement, work teams, integrated functions
Management Style Management style with uncertain objectives that instills fear of failure
Open style with clear and consistent objectives, which encourages group-derived continuous improvement
Role of Manager Plan, organize, assign, control, and enforce Communicate, consult, delegate, coach, mentor, remove barriers, and establish trust
Measurement Orientation toward data gathering for problem identification
Data used to understand and continuously improve processes
Examples of Cultural Changes
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Activity
Role of a RapidLeanSixSigma “Master”
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Highly effective Team Facilitator Highly Respected by Superiors, Peers and Subordinates Inspires Others to Excel Possesses a Creative, Critical, Out-of-the-Box Intellect Accepts Responsibility for identifying choices Encourages Commitment, Dedication and Teamwork Solicits Diverse Ideas and Viewpoints Acts Decisively Under Pressure Effective in Consulting, Mentoring and Coaching others Team Engagement
Characteristics of a RapidLeanSixSigma Master
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Activity
RapidLeanSixSigma Coaching
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ExampleCoaching – Annual
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
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On time!
To edit the timeline, select the timeline object, and then click Ungroup on the Draw menu.
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Parking
Lot
Activity: Success Stories
Success stories that demonstrate how RapidLeanSixSigma is applied (and results) strengthens the culture.
How do we communicate “success stories?”1. 2. 3.
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“I don't look to jump over 7-foot bars; I look around for 1-foot bars that I can step over.”
Warren Buffett
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"The problem is at the top; management is the problem."
Dr. Deming emphasized that the top-level management has to change to produce significant differences, in a long-term, continuous manner.
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"The worker is not the problem.
The problem is at the top! Management!"
It is management’s job to direct the efforts of all components toward the aim of the system. The first step is clarification: everyone in the organization must understand the aim of the system, and how to direct his efforts toward it.
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