living lean imeche workshop presented by …...cheaper using approaches such as lean, six sigma and...
TRANSCRIPT
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1 The Burge Hughes Walsh Partnership 1
LIVING LEAN
IMechE Workshop
presented by Stephen Walsh
www.burgehugheswalsh.co.uk
2 The Burge Hughes Walsh Partnership
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BHW: “so what is it you do?”
We work with private and public sector organisations who recognise that they need to improve customer satisfaction through improved products and services.
We help them to improve their performance by making their processes better, faster and cheaper using approaches such as Lean, Six Sigma and Systems Design.
Knowledge transfer is a key principle of ours – enabling the organisation’s people to be able to sustain continuous improvement. We do this by training, coaching and facilitating
them as they undertake real projects in their company.
Develop your leadership and your team as change agents.
Improve your processes and products by reducing and controlling variation.
Make your organization more effective and efficient by removing waste.
Design better products and processes by using the systems approach.
Using the Systems World to understand and improve the real world.
4 The Burge Hughes Walsh Partnership The Burge Hughes Walsh Partnership
•THE BURGE HUGHES WALSH PARTNERSHIP - WHAT WE DO
Six Sigma
Training &
projects ‘Train-the Trainer’
-Lean
-Six Sigma
Systems
Engineering
Systems
Thinking
THINK
TANK:
What IS
CI?
Coaching (Lean) Champions
- facilitation and training skills
‘Focus on Improvement’
-all staff engaged
- branch head team building,
- facilitator training,
- Continuous Improvement
Performance
Improvement
through BSG system
Lean
Kaizen Blitz
8D problem solving
Six Sigma
Coaching (Lean) Champions
- facilitation and training skills
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…AND A FEW MORE
Systems
Engineering
Six Sigma
Training &
projects
Systems
Thinking
Systems
Engineering
Systems
Thinking
Systems
Engineering
Systems
Engineering
Six Sigma
Training &
projects
Systems
Engineering Systems
Engineering
Systems
Thinking
Systems
Engineering
Systems
Thinking
Systems
Engineering
Systems
Thinking
Systems
Engineering
6 The Burge Hughes Walsh Partnership The Burge Hughes Walsh Partnership
•THE BURGE HUGHES WALSH PARTNERSHIP - LOCAL AUTHORITY WORK
Embedding Continuous Improvement – the
‘Bronze Silver Gold’ methodology:
trained and coached CI officers in BSG and
in lean techniques, data analysis and
facilitation skills; supported projects in
housing repair and street cleansing
Supported Rapid Improvement
Workshops
Conducted Rapid Improvement Projects;
trained staff to run their own workshops
Process Excellence
Training, coaching and project
support
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LIVING LEAN
SECTION 1: INTRODUCTION
- aims and objectives of this
workshop
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THIS SESSION: LIVING LEAN
• Lean is more than a technique to improve processes – Lean is not
something you do but something you live. In this interactive session
the focus will be on the heart of Lean – the behaviours that underpin
the philosophy.
• Often described as central to Lean is the identification and
elimination of waste and through a hands-on exercise, the
participants will gain a deep understanding of what is meant by
value adding and non-value-adding activities.
• The practical exercise will demonstrate how Lean can work for any
day-to-day activity and is really a state of mind that steers
behaviours.
•
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LIVING LEAN
SECTION 2: WHAT IS LEAN?
- principles, tools and techniques
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…ENTER THE ‘CHANGE INITIATIVE’
• Tools
• Techniques
• Methodologies
• Philosophies
• Culture
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SYSTEM DESIGN Systems Thinking
SIX SIGMA Variation Reduction
LEAN WORKING Waste Reduction
APPROACHES TO IMPROVEMENT HAVE NAMES…
CORRECTIVE
ACTION Fix it
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LEAN (SYSTEMS) THINKING
Lean (Systems) Thinking provides the holistic
approach that
• puts customers at the heart of change by being
outcomes based;
• ensures that requirements of all stakeholders of a
system are understood thoroughly before
attempting to provide solutions or problem
resolutions, which are otherwise substandard.
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higher quality,
lower cost
and on-time …
which increases
Customer Satisfaction
AN EFFICIENT, EFFECTIVE PROCESS DELIVERS
OUTPUTS
WHICH ARE OF. . .
CONSISTENTLY!
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HOW IT GOES WRONG – why Lean has failed
“Irrespective of the Lean model used …
the organisational and cultural factors shape
the degree of success of Lean.
In most cases, improvement initiatives had not been
integral to organizational strategy…and needed to more
clearly allocate resources to improvement activities.
This implies that a more sustained and effective Lean
application would link strategy and operational
improvement in a whole systems approach.”
Extracted from Zoe Radnor’s report to the Scottish Executive -
Evaluation of the Lean Approach to Business Management
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HOW IT GOES WRONG – why Lean has failed:
Based on findings given in Zoe Radnor’s report to the Scottish Executive -
Evaluation of the Lean Approach to Business Management
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THE WAY WE THINK - A PARADIGM
A paradigm is a view of the world,
a way of seeing things.
In a way, it is a manner of thinking
that can hinder the introduction of
new and more appropriate
solutions.
‘’We’ve always done it this way!’’
‘’That’s life!’’
“It cannot be done”
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THE WAY WE THINK – A PARADIGM
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PULL
FLOW
VALUE
STREAM
CUSTOMER
VALUE Understanding and agreeing
exactly your customer needs
Understanding all your processes
Pulling value through the chain, not
pushing
Smoothing the flow of work
Continuing to attack waste all the
time
PERFECTION
THE FIVE PRINCIPLES OF LEAN
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FEATURES OF A LEAN PROCESS
• Single items or small batches of work keep flowing,
synchronised to delivery requirements
• Error prevention rather than checking
• Minimised work in progress, queues and delays
• Working to the beat of customer demand
• People work in self-managed teams to deliver a first
class service
• Active involvement of everyone in the improvement
process
• Focus on process not functions
The principle is to focus on adding value and removing waste
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FEATURES OF A LEAN PROCESS
REMEMBER -
Smooth the Flow
THEN
Pull the Work Through
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THE LEAN ICEBERG -
TOOLS AND PROCESSES ARE ONLY THE TIP
Process Management
Technology Tools & Techniques
Vis
ible
E
na
bli
ng
& S
us
tain
ing
Leadership
Strategy & Alignment
Culture & Engagement
Staying Lean Thriving Not Just Surviving, Hines, Found, Griffiths
& Harrison, 2008
Lean is a holistic management system with mix of hard and soft
(cultural) features
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LIVING LEAN
SECTION 3: LEADING LEAN
- Leadership Behaviours
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CONTINUOUS IMPROVEMENT AND LEAN CULTURE
Ultimately, Lean is not something you do...
It is something you
It is a set of VALUES that underpin
a particular set of behaviours
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LIVING ‘LEAN’
Lean Six Sigma is a set of Values describing behaviours.
It is a Lifelong journey.
“Go and see the actual situation” means imagining
what you are observing is your own job, rather
than someone else’s problem, and making efforts
to improve it.
Job titles are unimportant. In the end, the people
who know the gemba (where the actual work is
done) are most respected.”
Akio Toyoda, president, Toyota Motor Corporation,
2009
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Respect
For People
Continuous
Improvement
Respect
Teamwork
Go and See to
Understand
Improvement
Challenge
We respect others, make every
effort to understand each other,
take responsibility and do our
best to build mutual trust
We stimulate personal and
professional growth, share the
opportunities of development
and maximise individual and
team performance
We form a long-term vision,
meeting challenges with
courage and creativity to
realise our dreams
We improve our operations
continuously, always striving
for innovation and evolution
We go to the source to find the
facts to make right decisions,
build consensus and achieve
our goals at our best speed
THE TWO PILLARS AND FIVE CORE VALUES
OF LEAN
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LEADERSHIP AND THE FIVE CORE VALUES (REFERENCE SLIDE)
• Respect – is the most fundamental of the core values and the
root purpose of the organisation. Respect for people starts
with a sincere desire to contribute to society through providing
the best possible services. This then extends to respects for
the community, customers, employees and all partners.
• Teamwork – a view that individual success can happen only
within the team and that the team benefits from the personal
growth of individuals is constantly reinforced and lived up and
down the chain of command. This deep belief is built into the
promotion process (which focuses heavily on team behaviour)
and into incentives and measurement for performance (where
team-based performance predominates).
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LEADERSHIP AND THE FIVE CORE VALUES (REFERENCE SLIDE)
• Challenge – is the core value that energises leaders and team members
to strive for perfection. It is by taking on successively greater challenges
and reflecting at each step that Lean leaders develop themselves.
• Continuous Improvement – at the root of this value is the idea that
nothing is perfect and that everything can be improved. This is critical as
every leader is taught that the process is never perfect and that the perfect
lean solution can never be achieved. Successful initiatives are followed
immediately by the launch of a deep reflection to identify weaknesses that
lead to a programme to further improve.
• Go and See to Deeply Understand – this is less in the act of going and
seeing and more in the philosophy of how leaders make decisions. All
leaders must have a first-hand, personal knowledge of any issue in their
charge. Otherwise finding the root cause of the problem and identifying a
solution based on facts is impossible. By first gathering facts, decision
makers can understand the real situation faster and avoid unproductive
debates with peers over proposed solutions that do not target the real
problem.
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PEOPLE AT EVERY LEVEL NEED TO BE
DEVELOPED AND TO BE INVOLVED
FACILITATORS – Support the staff teams;
Provide specialist process improvement
knowledge and experience (eg of DMAICT)
STAFF – Provide system/process
knowledge;
Engage directly in team-based
activity
MANAGEMENT – Identify projects;
Provide resources;
Monitor progress
Support top-down/bottom-up
activity
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LEADERSHIP AND EMPOWERED TEAMS
What does it mean to be ‘self-managing’?
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LEADERSHIP AND EMPOWERED TEAMS
If people are to be empowered, they need to know the DIRECTION to go in
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WHAT A LEAN ORGANIZATION LOOKS LIKE
• Senior Managers DIRECT – i.e. give direction, build
strategy and...
• communicate priorities.
• Managers HELP others to manage themselves by
coaching, supporting, providing resources and removing
obstacles.
• Team members work as a team to MANAGE their work,
identify and SOLVE problems, to ...
CONTINUOUSLY IMPROVE performance for their
customers (internal and external).
In fact , EVERYONE continuously improves what they do.
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MANAGEMENT COMMITMENT
It would seem obvious that a senior manager commits to a
programme that is about improving the business’ …
- so why do they seem to resist?
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MANAGEMENT COMMITMENT:
HURDLES TO OVERCOME
The Senior Team needs to understand what they are being asked to
support;
They need to share the vision of what is to be achieved by the programme
and for that, there needs to be a vision that is articulated and
communicated;
They need to believe that the programme is a valid way of achieving that
vision;
They need to identify the blockers and drivers to the effectiveness of
the programme;
They need to know what they need to do to support the
programme.
They need to DO IT!!!
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BECOME AWARE OF THE NEED
CREATE & COMMUNICATE STRATEGIC DIRECTION
SHOW COMMITMENT
PLAN THE IMPLEMENTATION
TRAIN THEMSELVES & OTHER STAFF
DO IT !!!
MANAGEMENT COMMITMENT:
JUMPING THE HURDLES
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CHARACTERISTICS OF LEAN LEADERS
Lean Leaders…
• Observe the work, “go see” when problems arise and make
fact-based decisions;
• Think long-term. Do not sacrifice the long-term to secure
short-term gains;
• Focus on continuous improvement, not on achieving an end-
point;
• Enjoy challenging their views and are willing to learn new
things.
SERVANT LEADERSHIP is the key to Lean…
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YOUR ROLE AS A LEADER
• Adopt a committed and supportive leadership role throughout the change process
• Participate in improvement activity
• Be involved in team sessions
• Engage with teams to encourage, monitor and sustain continuous improvement activity
• Unblock any problems
• Celebrate with teams
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TEAM EMPOWERMENT
PURPOSE:
– Provide colleagues with the tools, opportunity and responsibility to continuously
improve their ways of working to achieve better results, more efficiently
• Natural work teams
• Training in improvement
• Visual management
• Regular huddles
• Improvement ideas system
• Maturity model
FEATURES:
“with every pair of hands you get a free brain”
– Tom Peters
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EMBEDDING CONTINUOUS IMPROVEMENT IS
LIKE...
Trying to get a barbecue going!
- you need to put more fuel on it than you intended…
- you need to put more effort into it than you expected…
- and you daren’t leave it untended for too long UNTIL those coals are…
SELF COMBUSTING!!!!
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SUCCESS FACTORS INCLUDE…
Zoe Radnor’s report again:
The evidence uncovered a wide range of factors related to
the successful implementation of Lean.
These are:
• Organisational culture and ownership
• Developing organisational readiness
• Management commitment and capability
• Providing adequate resources to support change
• External support from consultants in the first instance
• Effective communication and engagement throughout the organisation
• Strategic approach to improvements
• Teamwork and joined-up whole systems thinking
• Timing to set realistic timescales for change and to make effective use of
commitment to and enthusiasm for change
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SUCCESS FACTORS INCLUDE…
Zoe Radnor’s report again:
The evidence uncovered a wide range of factors related to
the successful implementation of Lean.
These are:
• Organisational culture and ownership
• Developing organisational readiness
• Management commitment and capability
• Providing adequate resources to support change
• External support from consultants in the first instance
• Effective communication and engagement throughout the organisation
• Strategic approach to improvements
• Teamwork and joined-up whole systems thinking
• Timing to set realistic timescales for change and to make effective use of
commitment to and enthusiasm for change
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LIVING LEAN
SECTION 4: WASTE
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Non-
essential
Non-Value
Adding
ie
- WASTE
Value-Adding
Non Value-Adding
(but required
by the business)
Activities that
progress inputs
towards being
outputs - that the
customer values
Activities that we
are doing – but
which DO NOT
turn inputs into
outputs
Activities we are required
to do in order to complete
the VA activities but which
do not actually help to
transform inputs into
outputs
Everything we do adds COST – only some of the things we do add VALUE
The rest is NON-VALUE ADDING ACTIVITY, and some of that is WASTE.
90% of
what is
done is
NVA
SO WHAT IS WASTE?
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T ransport
I nventory
M otion
W aiting
O ver production
O ver processing
D efects
WAYS OF IDENTIFYING WASTE: ‘TIM WOOD’
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AN ALTERNATIVE ACRONYM: ‘DOWNTIME’
D efects
O verproduction
W aiting
N on-engagement
T ransport
I nventory
M otion
E xcess processing
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10% 90 %
Categorise each
activity: is it…
Map process
or conduct
activity listing
nva?
Reduce cost of
va activity
no
yes
essential?
Eliminate
nva activity
Reduce cost of
nva activity
no
yes
10%
DEALING WITH WASTE
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TAKE THE WINDOW CLEANER…
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THE WINDOW CLEANER WOULD LIKE TO
INCREASE HIS INCOME, BUT…
Traditional economic environment
Selling price =
overall costs + profit margin
Current economic environment
Profit margin = Selling price - total costs
The price takes into account the product delivered
together with related costs.
We must work to reduce costs to remain competitive!
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LET’S TAKE A LOOK AT A DAY/WEEK/MONTH IN
THE LIFE OF THE WINDOW CLEANER…
Make a flipchart list of activities that the Window Cleaner does:
• Daily (be quite detailed – task level), from leaving home to returning
• Weekly
• Monthly
Small groups, 10 minutes
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CHALLENGING OUR PARADIGMS AND
THINKING CREATIVELY
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LIVING LEAN
SECTION 5: SUMMARY AND CLOSE
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WORKSHOP REVIEW
In your table group, review
- what were the key learning points?
- how do these points apply to your workplace?
Capture the ‘so what’ learning points on a flipchart.