Using SharePoint to get a LEAN enterprise

#SPSBE28Marijn SomersApril 26th, 2014

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Hello World Business consultant with focus on Governance

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@marijnsomers www.balestra.be

Agenda Why ? History of LEAN Concepts and principles Tools Knowledge management & collaborative workspaces

Why go lean?

Active leadership to drive change, innovation and agility

Service levels Costs

Business looks to IT• Apps are complex!• IT is slow• Not solving business problems• Foreign language• Project failure• Fragmentation

SourcesLoss of 4-5 billion euro / yearProjects + 7.5 million euro: 7% succes rate36% never live - 57% are disputed

Issues:- Projects are too big- Communication Fails- Complicated projects are underestimated

IT looks to business• Firefighting• Users can’t express what they want• Conflicting priorities• IT is brought in after important

decisions are made• Regulatory requirements create

extra layers• Budget constraints

History

Industrial revolution Workers hired for hands, not for minds Dull, repetitive Quality problems Poor morale & absenteism

Taylor (techniques to identify the variables impacting a task) Gilbreth (time and motion studies) Ford (Process flow, interchangeable parts, standard work)

WW II TWI (standardized job instruction, productivity-driven problem solving, supervisor training, worker safety)

Postwar Japan short supply of capital, materials, and labor products perceived as cheap, low-quality imitations

Deming: Turn around in 5 years (“Out of the crisis”)

Feigenbaum: Total Quality Control

Variation: Model T cycle = 19 years Variety: 1 color, 1 model

Toyota Production System pioneering approaches for waste elimination, flow, visibility,

structured training, just-in-time production, workplace organization, and standard work.

60-70: OPEC crisis

Womack, Jones and Roos

Perspective: Prius Developed within 18 months

Typically now: 4 years

150 engineers for development Typically now 600

What is lean ?

15

LEAN is not a set of tools & technology Behavioral and Cultural transformation

Knowing when not to use technology majority of problems are caused by faulty processes, not

people or technology.

Fixing processes, not people

Principles

Value and Value stream Value: what the customer wants and is willing to pay for

Value stream: All the life cycle processes required to bring services, products, and information from concept to customer

3 types of work Value Added Non-value added Necessary but non-value added

3 M’s

Unevenness and variation: Mura Inconsistency in the flow of work Caused by changes in

volume (uneven demand) mix (variation) quality

Management responsibility Minimize the impact of variation Encouraging standardized product and process design level demand introducing flow, pull, and just-in-time production control and delivery

systems

Overburden (Muri) unrealistic workloads on people and equipment Stress Mistakes Rework Poor morale

Management: work design Training standardized work demand management

Waste (Muda) Transport Inventory Motion

Waiting Over production Over processing Defects Skills

Transportation Walking to/from printer, copier, fax machine, filing cabinet, archival

storage

Handoff of information across organisation barriers Filing or moving physical documents that could be stored and

forwarded or linked electronically Toggling between disconnected applications Printing information from one computer then re-entering it into

another Using multiple emails for dialogue when a conference call or face-

toface meeting is more effective

Inventory

Information overload Search result overload Version control issues Old or obsolete electronic and physical files and messages that

should be stored, disposed, or recycled Excess information across local drives, shared drives, SharePoint

sites, data warehouses; duplication of the same data in multiple forms (e.g., electronic and paper)

Sending attachments rather than links Unnecessary, unclear, incorrect, obsolete, or unused documentation Unused/unnecessary software user licenses

Visual waste: logged in user has to give name, manager and team

Waiting System downtime Unneccessary workflow steps Searching for information Delays from excessive review and approval steps Delays in receiving, transmitting, and storing information Unclear lines of decision-making responsibility/authority that cause

delays Waiting for hard copies that could have been handled electronically

Example: dynamic PMO dashboard• Project reports on budget, timing, capacity • Display Templates - Search

Overproduction

Excessive mail / reports / system alerts Entering redundant information into the same or multiple systems Mandated but unnecessary or overly complex processes and

activities Inspection and correction activities required to catch and

correct errors that should be prevented by building quality into the process

Multiple reports containing the same or similar data

Overprocessing Unused reports Features that users don’t need Over automation of processes Developing complex solutions to simple or nonrecurring problems Overly complex governance, funding, prioritization, and control

processes Lack of systems thinking: focus on departmental optimization rather

than overall process performance Attraction to newest, latest technologies rather than existing

systems that serve their purpose

Example: Soup at noon

Visual waste: grayed out ribbon icons• Tobias Lekman script:• http://blog.lekman.com/2011/05/hiding-inactive-

ribbon-commands-in.html

Motion Searching for information Shifting priorities Poor user interface or process design that causes unnecessary

keystrokes, mouse clicks, or navigation steps

Defects (Correction) Incomplete, incorrect, obsolete, or unclear information from

upstream processes that must be corrected Inspection and correction processes Lost information Excessive productivity standards, measurements, and incentives

that emphasize volume/speed over quality Application bugs and design flaws Unauthorized changes to software and systems

Defects

Example: Defects / Quality at the source• jQuery

Quick to implement Easy to write / change

• presaveaction() If “budget needed” > 5000 then “Sponsor” cannot be empty

Waste elimination• != layoffs• = free up human capacity and capability for

value-added work.• Underutilized human potential is the gold mine

hidden within every company.

Tools

Kaizen (Continious improvement)

Teamwork IT & Business Partners Solve problems Simplify processes

A3

Gemba• Go look, go see • Make decisions by fact, not by feeling• See the situation for yourself. • Can be a physical or virtual

Value stream mapping• Flow of information, materials and work across

functional silos• Quantifying waste, time and quality• != process mapping (tasks and decisions)• Macro level

Standardized work• Developed, documented, and continuously

improved • Input for software requirements, documentation,

training, testing and support. • IT organization be standardized to encourage

quality and consistency• Avoid pockets of specialized knowledge that create

dependency

Measurement• Provide feedback to ensure the continuing

effectiveness of currently defined processes• Identify new opportunities for improvement.

• Reporting and analyses• Derived from data generated by the

organization’s manual and electronic information systems

5S• Sort (Seiri)

Remove unnecessary items and dispose of them properly Provide no chance of being disturbed with unnecessary items

• Straighten (Seiton) Arrange necessary items in order so they can be easily picked for

use Prevent loss and waste of time Make work flow smooth and easy

• Shine (Seiso) Use cleaning as inspection Prevent machinery and equipment deterioration

• Standardize (Seiketsu) • Sustain (Shitsuke)

Visual workplace• Make process, project flow and status visible to

everyone• Shows impending problems and avoiding status

inquiry interruptions. • Can be automated• provide proactive notification of exceptions • identify problems and initiate immediate

corrective and preventative action

Demand Management• Year long backlogs• Lacking clear prioritization or decision-making

processes. • Frequent interruptions• Priority changes

• Create steady flow

Kanban (Kalmstrom.com)

Knowledge management and Collaboration

Knowledge is social.

Collaboration is the flip side of knowledge management.

So, to manage knowledge you need to address collaboration and tools that help people collaborate.

Peter Senge (The 5th discipline)

Composition of organizational knowledge

Knowledge management• Manage both unstructured and structured data

• Provide access to collaborative social networks, forums, blogs, wikis, and other sources of free-form knowledge sharing.

Collaborative workspaces• Obeya room

document management Communications Reports Task lists portals linking to external sites and content Group calendars and scheduling project and resource management automated status alerts dashboards and scorecards

Dedicate a workspace to LEAN• Team sport• Lean Center of Excellence• investment in training, coaching, and

experiential learning over time

• Community site Q/A Best practices Knowledge Templates

What is the best time to start?• Best time to plant a tree?

20 years ago Next best time: Right now!

Thank you!