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Lean ACCOUNTABILITY & PERFORMANCE National Summit on State Government Redesign National Governor’s Association December 5, 2012 Wendy Korthuis-Smith, Ed.D. Director, Accountability & Performance Office of the Governor Washington State Government Lean Transformation

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Lean ACCOUNTABILITY & PERFORMANCE

National Summit on State Government Redesign National Governor’s Association

December 5, 2012

Wendy Korthuis-Smith, Ed.D. Director, Accountability & Performance

Office of the Governor

Washington State Government Lean Transformation

Lean ACCOUNTABILITY & PERFORMANCE

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Lean ACCOUNTABILITY & PERFORMANCE

Washington’s Management Framework

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Lean ACCOUNTABILITY & PERFORMANCE

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Overview: Washington State’s Lean Transformation Journey Washingtonians value and trust state government to deliver services with innovation, efficiency, and integrity

Lean ACCOUNTABILITY & PERFORMANCE

Executive Order: Initiated enterprise-wide approach

All executive cabinet agencies were directed to begin implementing Lean by:

Learning about Lean principles, concepts and tools Completing a Lean project Deploying efforts to build capacity Reporting Lean results and lessons learned

The Governor’s Accountability and Performance staff were responsible for:

Providing guidance Providing resource options Developing a roadmap for implementation Reporting progress and results

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Lean ACCOUNTABILITY & PERFORMANCE

Guidance and Resources

Purchase

Partner

Build

Master Contract

Examples include: •The Boeing Company •Impact Washington

•Virginia Mason •Group Health

•Seattle Children’s Hospital •Starbucks

•Premera Blue Cross •Alaska Airlines

• Learn • Do

Initial Focus Here!

Goal: Internal capacity

to produce results

Getting Started with Lean guide Engagement Plan Resourcing the Lean journey

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Lean ACCOUNTABILITY & PERFORMANCE

Lean Transformation Report: Overview

All executive cabinet agencies met EO requirement. • 95 Lean example projects were submitted by August 31, 2012 • Over 200 projects have been initiated Report includes: Accomplishments to Date Lessons Learned Recommendations & Next Steps

- See last page for link to report -

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Lean ACCOUNTABILITY & PERFORMANCE

Category Accomplishment/Result Lean Awareness Survey Survey details: • Distributed July 2012 to approximately 52,000 executive cabinet agency staff • Response rate of 34% (17,970) • 75% employee and 25% executive leader, manager, supervisor

73% of respondents know what Lean is 60% know about Lean transformation efforts in Washington state government About 60% have been involved in planning, facilitating or participating in Lean

efforts 46% know of the Governor’s Lean executive order

Employee Lean Training Trained more than 6,400 employees on Lean thinking, tools and techniques

Leader Lean Training Trained more than 1,600 leaders on Lean thinking, tools and techniques

Events Related to Lean Conducted more than 700 events related to Lean

Lean Practitioner/Facilitator Training Trained more than 180 Lean practitioner/facilitators

Event/Training Satisfaction Obtained an average satisfaction rating of 4.3 for all events evaluated (on a 1-5 scale with 1 as poor and 5 as excellent)

Example Projects 95 project examples were submitted. Agencies used Lean thinking, tools and techniques to: •eliminate or dramatically reduce backlogs, •reduce lead times and decrease the complexity of processes, •improve the quality of applications and the consistency of reviews or inspections, •allocate more staff time to "mission critical" work, and •improve staff morale and process transparency.

Lean Transformation Report: Key Lean Accomplishments

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Lean ACCOUNTABILITY & PERFORMANCE

When asked the question “How important is Lean to your agency?,” 65% of agency leaders stated “critical” or “very important,” 23% stated “important,” and 12% stated “somewhat important.”

What worked well: Expertise with internal practitioners/facilitators Engaged leadership Employee engagement Training Communications Strategic alignment

What didn’t work: Insufficient resources Limited time for full integration of Lean principles Need for clearer roles and responsibilities

What our private-sector partners say: Embrace a long-term view Develop a Lean management system Actively involve employees in training Deliver consistent Lean training just in time Develop a centralized cadre of Lean practitioners/consultants

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Lean Transformation Report: Lessons Learned

Lean ACCOUNTABILITY & PERFORMANCE

Champion a Lean leadership evolution Build capacity for Lean transformation Ensure strategic alignment of Lean efforts and resources within and among agencies Foster cultural change to support a Lean transformation Increase communication to support Lean accountability, transparency and cultural change

For more detailed recommendations, please see the link to the Washington State Government Lean Transformation Report on the last slide of this presentation

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Lean Transformation Report: Recommendations

Lean ACCOUNTABILITY & PERFORMANCE

Continue path of learning, doing, and supporting Lean thinking, tools, and techniques • Leverage innovative partnerships for creating improvements

The report lists the following next steps: • develop a high-level roadmap for 2020, • prioritize the recommendations for focus during 2013, • develop performance measures and targets, • develop a 2013 tactical plan, • assign leads to key activities, • determine a mechanism for reporting on recommendations,

and • report Lean progress and results annually in October per

Executive Order 11-04. 11

Lean Transformation Report: Next Steps

Lean ACCOUNTABILITY & PERFORMANCE

Washington State Government Lean Transformation Conference

October 23-24, 2012 Conference Purpose: • Share information and showcase progress • Continue to increase employees’ awareness of Lean. • Give back – reciprocate knowledge sharing

Over 2200 attendees 87% of survey respondents said they would attend the conference if offered again next year. 84% of respondents gave an “excellent” or “very good” rating to the conference overall More than 70% of respondents gave an “excellent” or “very good” rating to 15 out of 19 conference breakout sessions 12

Lean ACCOUNTABILITY & PERFORMANCE

Referenced Materials Website: www.accountability.wa.gov Washington State Government Lean Transformation Report: http://www.accountability.wa.gov/leadership/lean/documents/2012_Lean_Report.pdf Executive Order 11-04 Lean Transformation: http://www.governor.wa.gov/execorders/eo_11-04.pdf Washington State Government Lean Transformation Conference http://www.accountability.wa.gov/leadership/lean/2012.asp Washington State Government 2012 Organizational Chart

http://www.ofm.wa.gov/reports/orgchart/orgchart.pdf Accountability and Performance

o Email: [email protected] o Phone: 360-902-0577

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