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Introduction to the Shingo Model

Dr Fiona Buttrey, hosted by Megan James

Dr Fiona Buttrey

Partner

Shingo Examiner & Facilitator

Megan James

Business Development

Manager

14 May, 2020© S A Partners

Help us to help you!

• Everyone will be muted during the session

• Ask questions via chat, or in the Q&A at the end

• Actively participate!

• Respect others and their comments

• We will circulate a recording after the session

14 May, 2020© S A Partners

Agenda

► What is the Shingo Prize?

► Understanding the Shingo Model

► Vale’s Enterprise Excellence Journey

► How do you challenge for a Shingo prize?

► Q&A

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Purpose

Based on timeless principles, the Shingo Institute shapes

cultures that drive organizational and operational

excellence.

Mission

To improve the process of improvement

by conducting cutting-edge research, providing relevant

education, performing insightful organizational

assessment, and recognizing organizations committed

to achieving sustainable world-class results.

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Shingo Institute and the Shingo Prize

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Brief Shingo Institute History

1988 Creation of Shingo Prize

1989 First Shingo Prize awarded

1993 First Version of Shingo Model™ developed

2000 Business Week refers to Shingo Prize as“Nobel Prize for Manufacturing”

2005 First Conference in Mexico

2008 Bronze and Silver Medallion Levels CreatedFirst Shingo Prize outside of North America Major revision of Shingo Model

2015 First Latin American and European Conferences

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Recent Shingo Prize Recipients

2019Abbott Nutrition Supply Chain

Sturgis, Michigan, USA

Abbott Nutrition Supply Chain

Singapore, Republic of Singapore

Boston Scientific Coyol - Coyol, Costa Rica

Merit Medical Systems Inc. - Tijuana, México

Regeneron Pharmaceuticals Inc., Industrial

Operations & Product Supply - Rensselaer,

New York, USA

2018Abbott Nutrition Supply Chain Granada

Granada, Spain

AbbVie Ballytivnan – Sligo, Ireland

Ball Beverage Packaging, Naro-Fominsk Cans

Novaya Olkhovka, Russia

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Shingo Award Recipients

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

A Turning Point

Years ago, the Shingo Institute noticed a common trend among organizations that were driving a culture of continuous improvement.

Initial gains were often accompanied with swift decline.

WHY?

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Who builds systems and tools?

CULTURE(Behavior)

?

Tool: A single device or item that

accomplishes a specific task.

System: A collection of tools or

tasks that are highly integrated

to accomplish an outcome.

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Do they all influence culture in the same way?

ExecutivesCorporate executives, board of directors, president, VPs: those who have responsibility over a group of managers and team members andprovide strategic direction for the organization.

ManagersMiddle management: those who have responsibility over a group of team members and have tactical responsibility for the execution of the strategy.

Team MembersSupervisors and front-line employees: those who work under the direction of a manager and have responsibility for the work that they perform.

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

What is culture?

Culture:

Values, beliefs, behaviors“The only thing of real

importance that leaders do

is to create and manage

culture. If you do not

manage culture, it manages

you, and you may not even

be aware of the extent to

which this is happening.”

Edgar ScheinProfessor, MIT Sloan School of Management

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

RE

SU

LT

S

Three Insights of Organizational Excellence

“…Yet I came to see in

my time at IBM that

culture isn’t just one

aspect of the game—it

IS the game.”

Lou GerstnerFormer IBM Chairman

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Ideal ResultsOutcomes that are aligned, that are both excellent and sustainable, and which demonstrate improvement over time.

Ideal BehaviourActions that create outcomes that produce results and are both excellent and sustainable.

Insight #1:

Ideal Results Require Ideal Behavior

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Insight #2:

Purpose and Systems Drive Behavior

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Insight #3:

Principles Inform Ideal Behavior

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Guiding Principles Dimensions

People

Process

Purpose

S H I N G O I N S T I T U T E / E X E C U T I V E O V E R V I E W © Copyri ght 2020 • U ta h S ta te U n i vers i ty

Shingo Guiding Principles

14 May, 2020© S A Partners

That’s interesting but…….

14 May, 2020© S A Partners

► Operating for over 100 years

► Produces high quality refined nickel

Clydach Refinery

•200 employees

•Annual production of around 40,000

tonnes of nickel

•Main products are nickel pellet and

powder

•365 days/year operation, 24hrs per

day

•Products sold to more than 280

customers in over 30 countries

worldwide (Europe, Asia, USA)

14 May, 2020© S A Partners

Clydach’s challenges

• Small cog in a big wheel

• Long history

• Hazardous process

• Continuous chemical reaction

14 May, 2020© S A Partners

• Over 90% reduction in lost time injuries

• Over 2,000 improvement suggestions

implemented

• Average nickel production increased by over

25% by 2013 - more than 9,000t per year

• Energy efficiency improvement of 16%

(> 7,000 tCO2e)

• 100% of waste from the Refinery was re-used

or recycled, up from 51% in 2008

• 55% reduction in Refinery attributable

customer complaints

• Finished product inventory was halved, whilst

at the same time eliminating later shipments

to customers

Enterprise Excellence Resultsover 5 Years

14 May, 2020© S A Partners

Recipients of the Shingo Silver Medallion for Operational Excellence,

January 2014

Clydach Refinery

14 May, 2020© S A Partners

How do I apply for a Shingo Prize?

1. Application form 2. Company profile Sheet &

Results

3. Achievement report

(50 pages)

4. Site Visit

14 May, 2020© S A Partners

► join us for a Shingo

Discover Excellence course

https://sapartners.com/events/

Want to know more?

https://shingo.org/model/

14 May, 2020© S A Partners

Questions?

www.sapartners.com

Call:

Email:

+44 7967 631058

Fiona.Buttrey@sapartners.com

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