lean management system
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Lean Management SystemAgile Austin - Agile Leaders SIGLeland NewsomOctober 7, 2016
10/7/2016
True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
10/7/2016
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Psychological Safety is #1
10/7/2016
VersionOne 10th Annual State of Agile Survey
10/7/2016
VersionOne 10th Annual State of Agile Survey continued
10/7/2016
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SAFe House of Lean
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Lean Enterprise Academy – Lean Transformation Model
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
10/7/2016
The three leadership elements create a closed-loop system that creates process focus and extends new habits to build a culture of continuous improvement. • Focus of leadership shifts from delivery only to delivery +
growing the capabilities of the organization.
DELIGHTED CUSTOMERS
Process / Value Flow
Visual Controls
Transparency/
Accountability
Leader Standard
Work
Changing Culture with Lean Leadership
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Making Lean Management Go
Original image taken from: Creating a Lean Culture, Third Edition by David Mann
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
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Visual Controls – The Transmission The primary purpose of visual controls is to focus on the process and the
flow of value to the client. − show process abnormalities and opportunities so the teams can take appropriate
action.−Should provide error proofing.−Measure and show progress of how valuable software flows through the process.
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Tiered Visual Management Systems Team – Have the most power to affect component or “project” level metrics Manager/Director – Have the most power to affect tactical execution and
influence LOB product direction Executives – Have the power to affect organizational issues, budgets, and
strategy
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Agile Metrics in Action Christoher W. H. Davis 2015
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SDPI - Balanced Metrics
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Get the report at: https://www.rallydev.com/finally-get-real-data-about-benefits-adopting-agile?nid=6201
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Control Chart - LeanKit
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Visual Controls
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
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Leader Standard Work – The Engine
VP Standard Work
MD/Mgr. Standard Work
Team Standard Work
Purpose: Provides a structure and routine that helps shift from a sole focus on value delivery to a dual focus on value delivery and building the capabilities of the organization. − Allows leaders to get the routine tasks taken
care of with less mental energy, leaving them free to focus on improvements and building the capabilities of the organization.
− Provides a way to sustain and extend improvements by updating the standard work as kaizen events occur.
− Overlapping elements in leader standard work across levels supports the integrity of the process.
Guidelines1. Focus on activities and behaviors that
demonstrate leading with respect.2. Make development and coaching a central
theme.3. The higher the level of the manager, the
more strategic the focus will be.
Strategic Focus
Tactical Focus
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Leader Standard Work - Example
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
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Accountability/Transparency- The Steering Wheel and Gas Pedal
Sets direction and pace. Ensures that focus on process leads to action to improve it. Daily Standup Kanban Board Gemba walk – Go see, ask why, show respect −Have a purpose for the walk− Focus on flow and value delivery− Look for wastes (Defects, Over Production, Waiting, Non-utilized
talent/resources, Transportation, Inventory, Motion and Excess Processing) Observations from the visual controls and Gemba walks are converted
to assignments for action− Follow up occurs regularly (daily standup) to track progress
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Transparency/Accountability Board
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Discipline to Sustain
Force of
Habit
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
10/7/2016
True North
True North defines the strategic objectives of an organization.−defines the outcomes of the system and where we want the system to take
us in the future−define direction, purpose and values
Hoshin Kanri and “catch ball”−Hoshin Kanri is a strategic planning process.
"Hoshin" meaning shining needle or compass. Kanri means management or control
− Is a process for embedding strategy and aligning an organization toward common goals.
− “Catch ball” is a negotiation process where goals, strategies, action items, and measures are tossed back and forth between management and employees to gain consensus and focus.
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X-Matrix Hoshin Kanri
Strategy
Tact
ics
Process
Resu
lts
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X-Matrix Hoshin Kanri cont.
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X-Matrix Example
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Strategy deployment is a negotiation process is known as “catchball,” because the “ball” of strategy is tossed back and forth from team to team until a final consensus is reached about what needs to be done and how to do it.
10/7/2016
True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
10/7/2016
People Systems
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Management by Objective
Management by Objectives Strategy DeploymentTop Down (unidirectional) Built both top down and bottom up
(catchball)Focuses on rear-view mirror results
Concentrates resources on key priorities
Little effort to understand or improve the system or process
Controls means and methods, not just results
Usually based on calendar for performance review cycles (annual, bi-annual, quarterly reviews)
Continuous/Frequent reviews up & down the org chart. Not based on the calendar
Often unlinked (individual goals not tied to strategic objectives)
Linked to the strategic objectives
Tied to performance appraisals (carrot or whip)
Not tied to performance appraisals
Focus on profits/delivery. Adding value to shareholders.
Voice of the Customer (VOC),not just profit/delivery goals10/7/2016
Strategy Deployment
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Facts about Appraisals
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Capability Matrix
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True North
People Systems
Standard Work
Visual Controls
Leader Standard
Work
Accountability /
Transparency Systems
Lean Management System
10/7/2016
Standard Work
Standard work answers the who, what, where, when, why, and how.−Who operates this process?−What are the quality check points? What does the final product look like? −Where is this process completed? −When will it be done?−Why is this step necessary? Why is this a quality check point? Why is this a value-
adding?−How is the process followed? How do I know the process is followed? How do we
measure success? Standard work is a collection and implementation of best practices known
at that point.−Update Standard work as improvements are made.
Update work instruction documents, training, onboarding, and practice. Standard work incorporates what is needed to start the process and the
finished state of the process. Standard work should always be questioned and improvements sought. 5S – Sort, Set in Order, Shine, Standardize, Sustain10/7/2016
Standard Work
Provides structure and routine to build the capabilities of the organization that sustain and extend improvements. Without standardization, incremental improvements may be lost with time.
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Standard Work Example
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PDCA Loop
True North
People SystemsStandard WorkLeader Std. Work
Visual Controls
Accountability Systems
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Learn More
10/7/2016
https://blog.kainexus.com/
http://leankit.com/blog
https://www.lean.org/
http://www.leanuk.org/
http://www.scaledagileframework.com/lean-agile-mindset/
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