Lean Leadership: Building the Lean Culture
Lean Leadership: Building the Lean Culture Robert Martichenko CEO, LeanCor December 1, 2014
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Socrates – Plato – Aristotle ► “All men by nature desire knowledge” ► “The only real wisdom is knowing you know nothing ► “The more you learn the more you realize you don’t know” ► “If you know but you don’t do, then you don’t really know”
Seem like pretty bright dudes ! Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leader – The Story W H O W H E R E W H E N
The Leader who wants to create a learning culture based on creating customer value at the lowest possible total cost Across the entire End to End Value Stream of the organization When the organization is looking for a business system to leverage people, eliminate waste and maximize value
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Rp4 R Respect Purpose People Process Problem Solver Results Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leadership Assessment Results Assessment participants rated themselves on a scale of 1-3-5 on 40 statements:
1
UNSTABLE – I am not doing this at all.
3
FUNCTIONAL – I somewhat do this.
5
HIGH PERFORMANCE – I do this very well.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leadership Assessment Results How Assessment Participants are Performing on Average Per Category: 100% 90% 80%
High Performance 70% 60%
Functional
50% 40%
Unstable
30% 20% 10% 0%
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Assessment Results Assessment Area
Score
I understand and embrace the fact that people learn by doing and solving their own problems. I make decisions based on facts observed where the work is being done (process vs. people). I ask for and encourage open communication from all people. I regularly ask my team members: “Why?” (as opposed to “Who?”) and “How can I help?” I embrace the true reality of the current state – as bad as it may be. I listen and act upon what the data and the team is telling me. I am aware of and embrace that everybody has different learning and work styles and personalities. I create a safe environment for learning – both physically and emotionally. I develop people for long term lasting success. I use inquiry to deeply understand the problem, create progressive learning, and engage people. I share successes of teamwork across the organization as best practices and reflect upon failures. I gain an understanding through first hand observation of the business where value is being added – talking directly to customers, suppliers and team members. I pilot small lean initiatives and improvement work to show how good it can be. I use advocacy to challenge the situation and drive critical thinking – using data and real examples. I listen at multiple levels: what people are saying, how they are saying it, and why they are saying it.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
4.2 4.2 4.2 4.1 4.1 4.1 4.1 4.0 4.0 3.9 3.9 3.8 3.8 3.7 3.7
Assessment Results Assessment Area
Score
I understand what I need to learn as a student and have a personal development plan. I measure the performance of the process (inputs and outputs) and not the people. I know and communicate the purpose and operational principles of the business. I focus on material and information flow throughout the value stream. I leverage peoples’ strengths and manage peoples weaknesses, using teams to develop future leaders. I appreciate where resisters are coming from and let people know that together we can get it done. I show people how their work is important to the purpose of the business. I create metrics that add value to monitoring and improving the value stream. I ensure all teams are responsible and held accountable for results. I show people the whole vision so they can see where they fit in the big picture and the importance of their role. I manage the balance between lean tools and thinking. Before lean initiatives, I show people what challenges and hurdles are expected – acknowledging how their work will be impacted. I create an overall vision for the organization, including short and long term tollgates. I use reflection as tool to formally drive continuous improvement – aligning focus and purpose, developing people, and challenging mental models. I understand that my day is made up of routine and non-routine work, and only focus on activities that add value.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
3.7 3.7 3.6 3.6 3.6 3.6 3.5 3.5 3.5 3.4 3.4 3.4 3.3 3.3 3.3
Assessment Results Assessment Area
Score
I manage and communicate the connection points of process to process, people to people, and processes to people.
3.1
I identify and eliminate measures that drive functional silo behaviors.
3.1
I formally plan time for “go see activities” and stick to it.
3.1
I use visual management to produce data that results in knowledge to act. I know that processes want to fall apart (entropy) and implement PDCA as a countermeasure.
3.1
I use reflection to enable cross functional collaboration. I cascade the vision to strategy to tactics – and communicate these to the organization through value stream maps and A3 documents.
3.0
I make my standard work visible to the team to drive accountability. I, along with my team, create operations that are self-explaining and problems are visible (“status of the operation”).
2.8
I build reflection into daily, weekly, monthly and annual PDCA processes.
2.7
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
3.1
2.8
2.8
Assessment Results Out of a total 200 possible points…
LOWEST SCORE
AVERAGE SCORE
HIGHEST SCORE
72
142
200
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #1 “I use reflection to enable cross functional collaboration.” Problems often happen due to silo thinking Reflection can overcome defensiveness that results from trying to break down silos “We clearly have some business challenges. This is a safe environment, so let’s reflect on some of the things going on in your departments and functions.” Schedule some time to meet them away from the day to day work Advancing the World’s Supply Chains
Average Score: 3.0
“Everyone gets the experience; some get the lesson.” -TS Eliot Copyright © LeanCor 2014
Impact of No Guiding Principles
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #2 “I cascade the vision to strategy to tactics – and communicate these to the organization through value stream maps and A3 documents.” 52 weeks to reach annual improvement goals. Define and make visible what is important on a tactical level each day A3: Information limited to one sheet of paper
Document a problem, corrective actions, and responsibility Manage alignment in real time – clear map to follow
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Average Score: 2.8
Thought Leaders of Lean “What is the purpose?” “Purpose. People. Process” - J i m Wo m a c k
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #3 “I make my standard work visible to the team to drive accountability.”
The team should see what is important and hold you accountable Don’t over-commit! Failing to complete standard work can make leaders lose credibility Know the difference between what is urgent and what is not
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Average Score: 2.8
Thought Leaders of Lean “There are three kinds of leaders. Those that tell you what to do. Those that allow you to do what you want. And Lean leaders that come down to the work and help you figure it out.” - John Shook
“How can I help?” Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #4
“I, along with my team, create operations that are self-explaining and problems are visible (“status of the operation”).” Problems and urgency should be visual Effective visual tools convey facts that prompt action “Getting it” should be immediate Give people the “score of the game” “What are the objectives we want to attain today and how close are we to achieving them?” Advancing the World’s Supply Chains
Average Score: 2.8 Copyright © LeanCor 2014
Thought Leaders of Lean “The problem is at the top; management is the problem. You have to manage the system, the system will not manage itself.” - W. E . D e m i n g
Ask: “What do you think happened?” Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #5 “I build reflection into daily, weekly, monthly and annual PDCA processes.” “What problems did we have? What caused the problems? How did we fix them?” 10 minutes at the beginning and end of the day. Keeps team members aligned with lean principles and organizational goals Acts as a “mini-reminder” Allows team members to “let go”
Shows respect for people and creates a safe learning environment for solving problems
Advancing the World’s Supply Chains
Average Score: 2.7 Copyright © LeanCor 2014
Evolution of Thinking
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Thank You For Your Time !
Use Discount Code “leanleader” to receive 15% off!
For More Information or to Schedule a Virtual Tour, Visit leancor.com/online-lean-training or Email [email protected]. Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Socrates – Plato – Aristotle ► “All men by nature desire knowledge” ► “The only real wisdom is knowing you know nothing ► “The more you learn the more you realize you don’t know” ► “If you know but you don’t do, then you don’t really know”
Seem like pretty bright dudes ! Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leader – The Story W H O W H E R E W H E N
The Leader who wants to create a learning culture based on creating customer value at the lowest possible total cost Across the entire End to End Value Stream of the organization When the organization is looking for a business system to leverage people, eliminate waste and maximize value
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Rp4 R Respect Purpose People Process Problem Solver Results Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leadership Assessment Results Assessment participants rated themselves on a scale of 1-3-5 on 40 statements:
1
UNSTABLE – I am not doing this at all.
3
FUNCTIONAL – I somewhat do this.
5
HIGH PERFORMANCE – I do this very well.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Lean Leadership Assessment Results How Assessment Participants are Performing on Average Per Category: 100% 90% 80%
High Performance 70% 60%
Functional
50% 40%
Unstable
30% 20% 10% 0%
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Assessment Results Assessment Area
Score
I understand and embrace the fact that people learn by doing and solving their own problems. I make decisions based on facts observed where the work is being done (process vs. people). I ask for and encourage open communication from all people. I regularly ask my team members: “Why?” (as opposed to “Who?”) and “How can I help?” I embrace the true reality of the current state – as bad as it may be. I listen and act upon what the data and the team is telling me. I am aware of and embrace that everybody has different learning and work styles and personalities. I create a safe environment for learning – both physically and emotionally. I develop people for long term lasting success. I use inquiry to deeply understand the problem, create progressive learning, and engage people. I share successes of teamwork across the organization as best practices and reflect upon failures. I gain an understanding through first hand observation of the business where value is being added – talking directly to customers, suppliers and team members. I pilot small lean initiatives and improvement work to show how good it can be. I use advocacy to challenge the situation and drive critical thinking – using data and real examples. I listen at multiple levels: what people are saying, how they are saying it, and why they are saying it.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
4.2 4.2 4.2 4.1 4.1 4.1 4.1 4.0 4.0 3.9 3.9 3.8 3.8 3.7 3.7
Assessment Results Assessment Area
Score
I understand what I need to learn as a student and have a personal development plan. I measure the performance of the process (inputs and outputs) and not the people. I know and communicate the purpose and operational principles of the business. I focus on material and information flow throughout the value stream. I leverage peoples’ strengths and manage peoples weaknesses, using teams to develop future leaders. I appreciate where resisters are coming from and let people know that together we can get it done. I show people how their work is important to the purpose of the business. I create metrics that add value to monitoring and improving the value stream. I ensure all teams are responsible and held accountable for results. I show people the whole vision so they can see where they fit in the big picture and the importance of their role. I manage the balance between lean tools and thinking. Before lean initiatives, I show people what challenges and hurdles are expected – acknowledging how their work will be impacted. I create an overall vision for the organization, including short and long term tollgates. I use reflection as tool to formally drive continuous improvement – aligning focus and purpose, developing people, and challenging mental models. I understand that my day is made up of routine and non-routine work, and only focus on activities that add value.
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
3.7 3.7 3.6 3.6 3.6 3.6 3.5 3.5 3.5 3.4 3.4 3.4 3.3 3.3 3.3
Assessment Results Assessment Area
Score
I manage and communicate the connection points of process to process, people to people, and processes to people.
3.1
I identify and eliminate measures that drive functional silo behaviors.
3.1
I formally plan time for “go see activities” and stick to it.
3.1
I use visual management to produce data that results in knowledge to act. I know that processes want to fall apart (entropy) and implement PDCA as a countermeasure.
3.1
I use reflection to enable cross functional collaboration. I cascade the vision to strategy to tactics – and communicate these to the organization through value stream maps and A3 documents.
3.0
I make my standard work visible to the team to drive accountability. I, along with my team, create operations that are self-explaining and problems are visible (“status of the operation”).
2.8
I build reflection into daily, weekly, monthly and annual PDCA processes.
2.7
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
3.1
2.8
2.8
Assessment Results Out of a total 200 possible points…
LOWEST SCORE
AVERAGE SCORE
HIGHEST SCORE
72
142
200
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #1 “I use reflection to enable cross functional collaboration.” Problems often happen due to silo thinking Reflection can overcome defensiveness that results from trying to break down silos “We clearly have some business challenges. This is a safe environment, so let’s reflect on some of the things going on in your departments and functions.” Schedule some time to meet them away from the day to day work Advancing the World’s Supply Chains
Average Score: 3.0
“Everyone gets the experience; some get the lesson.” -TS Eliot Copyright © LeanCor 2014
Impact of No Guiding Principles
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #2 “I cascade the vision to strategy to tactics – and communicate these to the organization through value stream maps and A3 documents.” 52 weeks to reach annual improvement goals. Define and make visible what is important on a tactical level each day A3: Information limited to one sheet of paper
Document a problem, corrective actions, and responsibility Manage alignment in real time – clear map to follow
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Average Score: 2.8
Thought Leaders of Lean “What is the purpose?” “Purpose. People. Process” - J i m Wo m a c k
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #3 “I make my standard work visible to the team to drive accountability.”
The team should see what is important and hold you accountable Don’t over-commit! Failing to complete standard work can make leaders lose credibility Know the difference between what is urgent and what is not
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Average Score: 2.8
Thought Leaders of Lean “There are three kinds of leaders. Those that tell you what to do. Those that allow you to do what you want. And Lean leaders that come down to the work and help you figure it out.” - John Shook
“How can I help?” Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #4
“I, along with my team, create operations that are self-explaining and problems are visible (“status of the operation”).” Problems and urgency should be visual Effective visual tools convey facts that prompt action “Getting it” should be immediate Give people the “score of the game” “What are the objectives we want to attain today and how close are we to achieving them?” Advancing the World’s Supply Chains
Average Score: 2.8 Copyright © LeanCor 2014
Thought Leaders of Lean “The problem is at the top; management is the problem. You have to manage the system, the system will not manage itself.” - W. E . D e m i n g
Ask: “What do you think happened?” Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Opportunity #5 “I build reflection into daily, weekly, monthly and annual PDCA processes.” “What problems did we have? What caused the problems? How did we fix them?” 10 minutes at the beginning and end of the day. Keeps team members aligned with lean principles and organizational goals Acts as a “mini-reminder” Allows team members to “let go”
Shows respect for people and creates a safe learning environment for solving problems
Advancing the World’s Supply Chains
Average Score: 2.7 Copyright © LeanCor 2014
Evolution of Thinking
Advancing the World’s Supply Chains
Copyright © LeanCor 2014
Thank You For Your Time !
Use Discount Code “leanleader” to receive 15% off!
For More Information or to Schedule a Virtual Tour, Visit leancor.com/online-lean-training or Email [email protected]. Advancing the World’s Supply Chains
Copyright © LeanCor 2014
