Tactical Operation Excellence – Shop Floor Respect for People

Continuous Improvement

Developing Problem Solving Skills

Strategic Operation Excellence – Plant Leadership Team

Hoshin – Pulling improvements thru each department

Focus

Alignment

Gemba Walks

Value Steam Mapping - Hoshin

Overview of a Lean Management System

1/5/2017 Cummins Confidential3

Management System

Walking the Talk Daily

Production System

Develop a “Floor Management Development System”

Lean Leadership

Retrain Front Line Supervisors and Team Coordinators

•Hoshin Kari

•Value Stream Map Mgmt

•Coaching and Teaching – Gemba Walks

•Pulling / Hold the entire System

accountable “Why”

•Mini-Business

•Daily Morning Meeting

•Andon Board

•One Pcs Flow

•Leaders Standardized WorkKnowledge

•Knowledge of the Work

•Knowledge of Responsibilities

•Skills in Instruction

•Skills in Leading

•Skills in Improving Process

“Don’t blame people

for problems created

by the system.”

— W. Edwards Deming

This is a story of one Supervisor and how Standardized Work Change his performance.

What do we want LSW to be?

Support

- To much time spent off of the floor, not helping T/C & using T/C time to review after the fact (which is a waste of my time.)

- To many meetings by Supervisors again not helping me.

- To many programs of the mth when will mgmt follow thru and help us to complete something.

- Supervisors not even attending our team critical meetings, but we still have to waste our time attending

-15 Vacation request not signed

- Std Work Audits not being done by the Supervisor

- No review of our A3’s for support

Why do we have you! What is your

Responsibility???????

Our task is how do we help in

Developing Supervisors –

through Standardized Work.

Make expectation or vision clearly

understood

Align front line Supervisor with the Plant

Expectation

Establish Metrics

Start by making time for problem solving

– with team members

Provide ongoing feedback and coaching

Force Self Reflection (Supervisor – great

tool for developing future )

-Humble

-Coach and Teacher

Hold them accountable to expectation

What do we want LSW to be?

This is a wkly standardized work audit report

Josiah,

How do we get 100% audit completion rate?

This is Josiah Boss Mason asking

The Supervisors Comments back. Sound Familiar Give me an extra hour in the day? No, I'm kidding... I understand what Walt is saying about this and I

have since I first went through the training. I think the firefighting itself gets in the way most of the time,

but I can't place all the blame on that even though it does happen frequently. I try to get the SW Audits

completed before the 1:15pm break at the latest, but that's obviously not bullet-proof because I'll get

called elsewhere and have to take care of a problem and do follow-up afterward.

I'm a believer in peer accountability, and I think as we start implementing Standardized Work into our

Mini-Businesses we should start talking about it with each other just as we do with the team coordinators

and the operators we're observing during our audits. It needs to become part of our everyday routine

and discussion so that it's more of a focus. Right now, it still feels like that thing in the back of my mind

that I always "still need to get done." Joe on 6C does what he can to remind me if it's getting late in the

day, but it needs to become a more emphasized part of our regular daily operations. I think it would help

to "implement" it into our Production Meetings, Shift Notes, Shift Hand-Off, and everyday language or it'll

continue to be incomplete.

Other than that, the best thing I can think of is just setting a time for Standard Work Audits every day of

production and sticking to that time slot. If you have any other suggestions, maybe we could discuss it in

the next Shift Handoff tomorrow morning and just get all the BUM's together to talk about some ideas to

improve this. I know it's extremely important and we need to come up with a process for it just like

everything else.

"Hey, did you remember to do your Standard Work Audit?" needs to be eliminated from our daily

Moving from Firefighter

To Coach and teacher

Our objective through LSW is to

align Senior Mgmt to Operators by

connecting front line Supervisors with

a clear set of expectation and shared

vision.

We call this Alignment – Everybody

should have the same picture – What

is our shared Purpose.

How do we create LSW?

Set the expectation

•Problem Solver

•Teacher / Coach

•Data – Based

decisions

•Fairness /

Accountability

•Runs their Mini-

Business like a

business ownerHow do we create

LSW?

(First step 1)

Making time for

Problem Solving.

Start small - one

thing at a time –

review one small

problems

•Pareto – reoccurring

problems - what is the

source of the fires

•Fix one problem

for good

•This will create

more time

Every hour now the Supervisor

walks the shop floor.

Matching expectation with reality

No Blame - just gathering data &

Helping where necessary

And now that they have good data.

Helping the team in problems solvingHow do we create LSW?

(Step 2)

Never allow one bad hour to

creep into the next hour if you

can help it.

If you can’t help it document

every detail of the problem.

Wkly review with your team for

Any idea of what happen that last hour yesterday?

I talked to all the coordinators about that this

morning at 6:45, asked them how we lost 8-9

engines the last hour since we were up 5 at

one point. They said they had a lot of

gaps/weren't seeing a steady flow of engines.

Mason said he thought damper torque faulted

out at the end of the hour. So I didn't get a

clear answer on that. Like you said, it's

unacceptable and I should have been on that

right away. Gaps in the line could affect that if

issues were reported down the line toward the

beginning of the hour, but I don't have any

2. Identify and Quantify

the biggest issues for

action or problem

solving

6. Feedback into the

meeting the Cause and

Countermeasure

3. Target the biggest

losses and capture

the Concern

5. Identify the Root

Cause and a robust

Countermeasure

4. Take the Concern

out of the meeting and

address with rigorous

problem solving,

where appropriate

7. Drive the progress of

embedding the PDCA

within the Morning

meeting

8. Check back and

clarify the impact

on the results

Action identified Responsibility & date

allocated

In progress Action complete

StatusWhenOwnerAction for Transferring Best PracticeRaised

By

Key SuccessDate

Key Successes

9. Recognise and

celebrate

Successes

1. Review Performance

& daily TBWS Audits

CMEP Mini-Business Daily morning meeting

Plant Senior Mgmt

Plant Middle Mgmt

Supervisors - Bums

OperatorsTactical A3’s

Strategic A3’s

By Involving People…We Empower People to Grow the Business

NEW REALITY WITH CMEP

Purpose of the Mini – Business is -Total Cross Functional Employee Involvement

through Continuous Improvement

Plant Team Coord.

Core Values of Mini- Business Implementation;

Respect for People

Continuous Improvement

People Involvement – Problem Solving Skills are developed

and honed at the Mini-Business level

Focus & Alignment from Goal Tree to the floor – Putting the

Customer first

Plant Communication & Critical Information sharing

Support team works with Shop Operations in Problem Solving

Resources Alignment – Mini-Business Develops future leaders

Performance is understood – Customer & Supplier

relationship

What is Leader Standard Work

Leader standard work defines what the leader will

check, when it will be checked, and how it will be

checked. It also defines how the leader will respond if

there is a problem.

– Looking for solid evidence of process control.

– Are things going as planned?

– Is anything abnormalities to the work cycles or flow of

material?

– Are quality checks being made as specified?

– Are problems being handled correctly, or worked around?1/5/2017 Cummins Confidential27

Layers of Leader Standard Work

Sen

ior

Man

agem

ent

Team

Lea

der

Ass

ocia

teS

uper

viso

rD

irect

orM

anag

er

Takt Board

Schedule AttainmentAssociate

Standard

Work

Leader

Standard Work

Leader

Standard Work

A3

Problem Solving

Leader

Standard Work

Leader

Standard Work

Leader

Standard Work

Lean Training

Monitor and support supervisors in their ability

to carry out their standard work

Time on the floor to verify the chain of

standard work is upheld and production

process is stable and improving.

10%

Maintain production and ensure standard work

is followed

Monitor and support team leaders in their

ability to carry out their standard work

Leaders standard work should be layered (developed) from the bottom up

25%

50%

70%

80%

95%

Follow Standard Work

Review

performance

trends

Layers of LSW?

What is Leader Standard Work?

Visual hourly & daily performance management

system that is:Visual

TimelyDrives

Action &

Learning

Something to “go see”

2. Visual Controls

Who, what, when to check

Check that we checked and acted

3. Daily Accountability

Process

Lead by example•Leaders as teachers

•Ask the 5 whys

4. Discipline

1. Leader Standard Work

Summary

-Skills and behaviors of supervisors have

a tremendous impact on performance and

mindset of the operators

-The decision to develop high performing

supervisors is strategic, it will differentiate

you from your competition

-You should only make the investment if

you are willing to commit, training by itself

is a waste of time and money.

But if you are the

results are

outstanding!!!!!