how the lean transformation model works

How the Lean Transformation Model

Works

Developing a continually learning and improving system. Model developed by John Shook

(Lean Enterprise Institute)

Lester Sutherland Housing Opera4ons R12

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What is the Lean Transformation Model? This presentation is developed to introduce the Lean System. Lean is much more than mapping and the tools to eliminate waste. It is a complex cultural system which enables a company to continuously Learn and Improve. Many organization fail to move into a more systemic approach in their implementation of Lean, and never gain the true benefits of the system. Partial implementations of a system are normally unsustainable, it is a little like thinking having a car engine will enable you to drive around the city.. In this presentation I will introduce the elements of the Lean System and some of the training offered by the Office of Housing Operations.

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Situational Approach

Value Driven Purpose

What problems are we trying to solve?

True North

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Developm

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Management System 3. How will we

develop our people?

Every transformational change situation is unique – you cannot just copy what someone else did.

Fractal, from organizational problem to team problem.

Lean is not just a process improvement tool. It is for System Improvement.

Leadership behaviors

Basic thinking mindset and assumptions that underlie and drive the transformation, and constitute the culture.

Successful transformations deal with all five dimensions of the Lean System in balance.

1. Establish our target condition.

2. How will we improve the value creating work?.

4. What leadership behaviors and management system is required?

http://www.lean.org/LeanPost/Posting.cfm?LeanPostId=135 Lester Sutherland Housing Opera4ons R5 3

5. What basic thinking (mindset, fundamental assumptions) underlie/drive this transformation?

Enterprise Level

Department Level Team/Process Level The Transforma4on model Is fractal in nature -‐ it should be used at all levels of the organiza4on

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True North 1. Strategy Development

1A. Strategy Deployment

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Strategy

Strategy Development

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Bryson, J. M. (1988). A strategic planning process for public and non-‐profit organiza4ons. Long Range Planning, 21(1), 73-‐81.

Lester Sutherland Housing Opera4ons

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Strategy Development

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Bryson, J. M. (1988). A strategic planning process for public and non-‐profit organiza4ons. Long Range Planning, 21(1), 73-‐81.


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Opportunities & Threats

Strengths & Weaknesses

Gaps

Plans: •  3-5 year BTO’s •  This Years Plan

The Five Phases of

Strategy Deployment Planning

Phase 1: Strategic Planning and Setting the Improvement Goals

Phase 2: Goal Deployment Phase 3: Monitoring the Goals; Controlling with Metrics

Phase 4: Check and Act on the Improvement Process. Phase 5: President’s Diagnosis

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Only targets relevant to each area are cascaded to the area.


1A Strategy

Alignment




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True North 2. Value Stream Mapping

2A. Waste Elimination 2


Process Improvement


Re-‐finance

Value Stream Mapping

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2


2A




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True North 2B. Huddles

2C. Scien4fic Method 2


Process Improvement

Huddles

Mapping Huddle Office Huddles


2B

SeaYle Visual Management -‐Team Huddles


2B

What is happening? What should be happening?

How can I help you?


SeaYle Mul4-‐Family Development Team Board 2B

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hYp://www.sciencebuddies.org/mentoring/project_scien4fic_method.shtml

Scientific Method

Shewhart Cycle


2C




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True North 3. Versatility Charts

3A. Standard Work 3


Capability of Employees

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Member A Skill 1 Skill 2 Skill 3 Skill 4 Skill 5 Member B Skill 1 Skill 2 Skill 3 Skill 4 Skill 5 * *

Ski

ll 1

Ski

ll 2

Ski

ll 3

Ski

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Ski

ll 5

Ski

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Ski

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Ski

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Ski

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Member B

Member A

Can teach others to perform

Improvement Goals

Can perform solo

Can not perform the task

Familiar with elements of the job

Skills Matrix for Task ARevision Date: 11/15/2010

Symbol Level

Can perform with help

Name

Process

The skills matrix is developed from the brainstorm action. Each Team member along with leader input self-assesses their skill from the Standard work documents.

* *

Versatility Chart

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Standardized Work

•  Opera0ons safely carried out with all tasks organized in the best known sequence, using the most effec0ve combina0on of these resources: – People – Supplies – Methods – Equipment – Time

Standard Work Instruction Process: __Order Processing_______________ Operation: _Order Entry___________________

Task Key Points Time / Timing

Visual References

1. Enter Order - Enter header first, then each line item for efficiency - All required fields must be input to insure accuracy

- 5-10 mins per order

- Enter within day of receipt

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Work Form


3A




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True North 3C. A-3’s

3D. Empowerment 3


Capability of Employees

Typical A3 layout A3’s are used as an Employee/Team mentoring and training tool

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Background What is the problem?

Goal/Target • What specific outcomes are desired?

Initial Condition/CSM • What are the conditions right now at the workplace? Use charts, graphs, drawings. • Discuss with Stakeholders and co-workers.

Countermeasure • What is your proposal to reach the future state, the target condition? • How will your recommended countermeasures affect the root cause to achieve the target?

Implementation Plan • What ac4vi4es will be required for implementa4on and who will be responsible for what and when? • What are the indicators of performance or progress? -‐ Incorporate a chart

Follow-up • What issues can be an4cipated? -‐ Ensure ongoing PDCA. -‐ Capture and share learning.

Analysis • What is the root cause? • Use the simplest problem analysis tool that clearly shows cause relationship

Plan/Do Study-Check/Act


3C




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True North 3B. Empowerment and Training

A3 for Hospital admitting


3C


3D




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True North 4. Management system

4A. Leadership Behaviors

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Leadership

Copyright © 2008 Richard M. DiGeorgio & Associates http://www.change-management.net/index.html


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•  Employee Development •  Succession Planning

•  Training •  Versatility (chart) •  Mentoring

•  Placement

•  Double-Loop Learning


4A

Leadership’s Role?

Role: •  Process reviews at regular intervals:

–  What is happening? –  What should be happening? –  How can I help?

•  Roadblock removal /reduc4on during improvement implementa4on: –  Resource constraints –  Poli4cal issues –  Technical barriers –  Unplanned changes –  Not able to do work to standard

Leadership must provide (Mentor/Teach/Afford) the ability and resources to self-‐manage toward IDEAL!

4A




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True North 4B. Types of Leadership

4C. Coaching for Improvement

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Transformational Leadership Idealized Attributes Idealized Behaviors Inspirational Motivation Intellectual Stimulation Individualized Consideration Transactional Leadership Contingent Reward Management-by-Exception (Active) Passive/Avoidant Management-by-Exception (Passive) Laissez-faire Outcomes of Good Leadership Extra Effort Effectiveness Satisfaction Lester Sutherland Housing Opera4ons R5 31

4B


Process Improvement Coaching Cycles

The answer is usually unclear – as leaders we must coach our people so they learn how to experiment and arrive at an optimal solution.

4C Toyota Kata (employee coaching)




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True North

5. Culture

5A. Culture Change & Systems Thinking

Copy others or experiment and develop? Theory X – Theory Y?

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Culture


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58. Managers promote communication among different work units (for example, about projects, goals, and needed resources). 55 56 57 58 59 60 64

Emergent Culture 5

4. My work gives me a feeling of personal accomplishment.

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OHP

Lean is a system…. It works from the synergy of all the parts. Systems Thinking is required. Systems work because of the interaction between all parts, if only one part is developed the system will not function. An engine is not a car, and cannot move passengers, in fact an engine cannot move itself…..

Just as a car is not just an engine, Lean is not just process improvement.

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5A


Reinforcing loops

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5A


Systems Mapping Process Improvement

R1

Reinforcing loops

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5A


R2


Reinforcing loops

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5A



Opposing Loop

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5A



Opposing Loop

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5A



Questions?

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how the lean transformation model works

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