Tactics of Lean Innovation: Improving Your Lean Transformation. Lean Learning Center

Transcription

1 Tactics of Lean Innovation: Improving Your Lean Transformation Lean Learning Center

2 Lean Systems Principles Essential to the lean journey Principles drive behaviors and behaviors drive results Lean Learning Center

3 Lean Principle: Directly Observe Work Identify how customers and suppliers are connected Identify the information, material and people flow Move beyond traditional sources of information Adopt new way of thinking Lean Learning Center

4 Develop a New Lens to Observe Work Reports Old Way My view of the world Information quantity Equipment, materials, paper and tools New Way Walk the floor Build a common view Information quality Activities, connections and flows Lean Learning Center

5 Lean Principle: Systematic Waste Elimination Waste Type Transportation Inventory Motion Waiting Overproduction Overprocessing Defects Example Retrieving and returning files, multiple handling of products Retaining files/forms for obsolete activities Just-in-case buffers Hand delivery of hard copy reports, excessive reaching/bending for tools Waiting for approvals, waiting for materials to arrive at work station from storage Generating unused reports, over-speed in a production line Re-keying data, multiple inspections Forms with typos, shipping wrong parts Lean Learning Center

6 Waste Examples Operational Waste Long set-up time Layout/Distance Supplier Quality Batching Process Variation Organizational Waste Lack of training Lack of standardization Ineffective policies Poor communication Changing priorities Lean Learning Center

7 Lean Principle: Systematic Problem Solving Problems indicate the gap between ideal state and current reality Problems build creative tension Problems embraced as opportunities to learn Lean Learning Center

8 Lean Principle: Systematic Problem Solving Principle Behaviors Problems are immediately brought to the surface without fear of repercussion Stay with problems longer and dig deeper Problems are opportunities Lean Learning Center

9 Lean Principle: Establish High Agreement Value a common way or process more than we value our own way Standardization ensures utilization of the common way Lean Learning Center

10 Tools to Establish High Agreement Standard Work Instructions Visual Controls Error Proofing Control Point Standardization Master Schedule Lean Learning Center

11 Lean Principle: Create a Learning Organization Glue Principle holds other 4 together Learning organization learns from its improvement efforts Use processes as laboratories and employees as scientists Every new idea generates more learning, more capabilities, more skill Experimentation is key to a learning organization Lean Learning Center

12 A Learning Organization Structure Learn Obtain knowledge formally and informally Apply Apply knowledge learned LEARN APPLY HEAD HAND Reflect What worked well? What didn t work well? Why? REFLECT HEART Lean Learning Center

13 Inventor or Innovator? Inventor Devises by thinking Produces for the 1 st time Innovator Makes changes Introduction of something new Lean Learning Center

14 Tactics of Innovation Lean Learning Center

15 Upside Yes/Downside No Lean Learning Center

16 Seemingly Simple/Small Steps Lean Learning Center

17 Clear Message/Reliable Fit Lean Learning Center

18 Credible Messenger/ Reliable Performance Lean Learning Center

19 Easy In/Easy Out Lean Learning Center

20 Assessing the Tactics of Innovation: Your Reflection Assingment What tactics do you address well? What do you currently do in your organization to currently satisfy those tactics? What tactics don t you address well? What do you need to do to satisfy these tactics? Lean Learning Center

21 Innovative Technique 1: The Lean Learning Laboratory A place to learn, experiment and practice with ideas Small group of people in a highly visible area that will learn and apply rules, principles and tools Allows for the application of tools at a faster pace with less risk Lean Learning Center

22 Visible Lean Learning Laboratory Characteristics Teaches skills, leadership and implementation Low-risk, bounded space Living model to set the example Builds culture Meaningful performance gains Lean Learning Center

23 Common L3 s Audience Sports Teams Students Nurses Student Pilots Army Learning Method Used Scrimmages Homework CPR Dummy Boeing Simulator Simulated Missions Lean Learning Center

24 L3 Roles and Responsibilities Team Member Actively participates in team meetings Day-to-day application Frequent contribution of ideas Reviews scorecards Open communication Support Member Actively participates in problem solving meetings Organizational support Frequent contribution of ideas Solicits opportunities to contribute Open communication Lean Learning Center

25 L3 Structured Activities Module Training Decision Making Huddle/Team Meeting L3 Reviews/Audits Presents brief modules that are provided 4 weeks apart Empowers learners to brainstorm solutions and makes then less reliant upon others Huddle to review performance and identify improvements Managers periodically review the progress of the L3 to determine current state Lean Learning Center

26 Innovative Technique 2: Management Lean Learning Laboratory Provide an often ignored structured set of tools that executives and managers would use on a daily basis to lead and direct the lean transformation throughout the organization LEARN APPLY REFLECT HEAD HAND HEART Lean Learning Center

27 ML3 Characteristics Transforms management into leadership Encourages behavior and culture change by becoming a living example of lean Not just talk the talk, but walk the walk Utilize lean thinking to analyze the most critical tasks and issues Lean Learning Center

28 ML3 Structured Activity: Vision of ideal state Grasp of current reality Right skills and actions to close gap Creative Tension Lean Learning Center

29 ML3 Structured Activity: Control Point Standardization Audit forms Check lists Area maps Process owners manual Placards Lean Learning Center

30 ML3 Structured Activity: Direct Observation Reports Old Way Controller drives costs First answer accepted My view of the world Information quantity Equipment, materials New Way Walk the floor Waste walks drive cost Dig past first answer Build common view Information quality Activities, connections Lean Learning Center

31 ML3 Structured Activity: Five Why Problem Solving Simple and structured way to solve any problem as it occurs Five is not the magic number Asking why 1x answers the surface symptom Asking why requires you to dig deeper to the root cause Lean Learning Center

32 ML3 Structured Activity: Visual PDCA Lean Learning Center

33 Visual PDCA Plan Do Check Act Identify the condition Analyze the current state Develop solutions Develop hypothesis Execute a solution Evaluate the results Strategize revisions to the solution? Standardize? Lean Learning Center

34 Innovative Technique 3: Demonstration Projects Coach instructs participants in lean principles and practices Produces minimum of $500,000 in savings or additional revenue High value placed on participant learning Lean Learning Center

35 Demonstration Project Characteristics Generates significant results Builds skill and culture Uses real work as the learning tool Develops leaders with the assistance of a lean coach Lean Learning Center

36 Demonstration Project Method 1. Identify Opportunity 2. Form Team and Scope Project 3. Analyze Current Reality 4. Define Desired Outcomes 7. Refine and Implement Solutions 6. Prioritize, Plan, and Test Proposed Solutions 5. Identify Gaps and Countermeasures 8. Measure Progress and Hold Gains 9. Acknowledge Team, Reflect and Communicate Results Lean Learning Center

37 Innovative Technique 4: Communication Rooms Recognizes the gap occurring between the current and ideal state Lean Learning Center

38 Communication Rooms Characteristics Aligns and connects goals and objectives Provides high agreement of where and how Simple methods to communicate Helps management identify problems Utilizes PDCA Reinforce accountability and continuous improvement Lean Learning Center

39 Communication Room Tools Scoreboards Continuous Improvement/PDCA Measurements Value Stream Mapping Master Schedule Area/Line Shop Floor Status Board Shop Floor Action Planning Lean Learning Center

40 Innovative Technique 5: A3 Projects and Report Writing Structured process for guiding thinking Used throughout a project, problem solving or continuous improvement activity Lean Learning Center

41 A3 Projects and Report Writing Characteristics Simplifies all report writing Makes thinking visible Structures processes Lean Learning Center

42 A3 Projects Coached by lean master Follow step-by-step Peer reviews Visible posting Project Area: Background & Business Case Current Condition Owner: Target Condition Steps, Schedule and Measurements Information should FLOW and be simple. Lean Learning Center

43 Project Area: Remit. Process Owner: Joe Cool BACKROUND Remittance processing is based on operations but is considered a support organization Over 40 employees, 3 shifts, 3 departments TARGET CONDITION Lean Facilitator Leadership Group Leadership Group Shift Teams BUSINESS CASE Has continually been a candidate for outsourcing Suffers from 25% misreads that need to manually input Best opportunity for finance to learn about TPS because of its operation focus Very little pressure to adopt any continuous improvement philosophy and practice Create a simple flow where the facilitator guides and teaches the leadership team and the leadership team guides the shift teams (rule 3 flow of learning and information Create a clear link between facilitators and leadership (rule 2) Create a learning process that involves supervisors- their teams and projects will be more sustainable CURRENT CONDITION STRATEGIC STEPS Production QC System Shift 1 Lean Facilitator Start with 5 S as a simple lesson that can be transferred Get commitment from each supervisor to take responsibility 2 Start with a small project for each team led by each supervisor 3 SCHEDULE MEASUREMENT Multiple shifts that don t match up or overlap No process for driving change through this group Desire to engage to engage everyone in the organization Lack of traction and ability to engage Hold Learning Start Circle Projects 12/10/00 1/30/01 1/15/01 2/15/01 Supervisors Begin Next Present to Learning Teams Circles # of Interactions % Teams Involved Lean Learning Center Much stronger commitment to than before

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45 A3 Report Guidelines Report for each major action item on master schedule 11x17 paper Write in pencil Should explain how Operating System is improving business Lean Learning Center

46 Innovative Technique 6: After Action Reviews Structured way to reflect on an incident Designed by United States Army Identifies performance gaps Develops strategies to improve future performance Used for any repetitive event Lean Learning Center

47 AAR s Address: Ideal State Current Reality Learning Organization High Agreement What was supposed to happen? What did happen and why? What can we learn? What successes can we sustain? What weaknesses can we improve? What will we do differently next time? Lean Learning Center

48 Innovative Technique 7: Master Schedule Method to monitor and manage major projects Designed to quickly surfaces problems Lean Learning Center

49 Master Schedule Characteristics Applies lean principles to projects Assists in reflection process Manages implementation in open environment Problems surface quickly Improves problem resolution speed Lean Learning Center

50 The Master Schedule Activity / Week Setup reduction / Bob Develop supermarket in shipping / Sue Change scheduling procedure / Sue Visual process mgmt to takt time / Matt Ran into problems in access to scheduling data will get extra help from Chris Develop new measurement system / Chris OK At Risk In Trouble = Start Date = Target Completion Date Lean Learning Center

51 Master Schedule Development Use whiteboard, flipchart, butcher paper Large and visual Keep schedule at a fairly high level Conversation and schedule development go hand in hand Easy to update Lean Learning Center

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53 Utilizing the Master Schedule Everyone updates their area of responsibility prior to the meeting Ignore on-track areas Focus on areas that need attention Work to identify root cause of problems Agree upon a modified course of action Lean Learning Center

54 Master Schedule Meeting Guidelines Structure every meeting Stand up around the schedule Go see problems that have surfaced Take off line lengthy debates Focus on the system, not blame Leaders use meetings to model and coach Reflect on both successes and failures Lean Learning Center

55 Master Schedule Cascading The Master Schedule = Start Date = Target Completion Date Activity / Week Setup reduction / Bob Develop supermarket in shipping / Sue Change scheduling procedure / Sue Visual process mgmt to takt time / Matt Ran into problems in access to scheduling data will get extra help from Chris Develop new measurement system / Chris OK At Risk In Trouble The Master Schedule = Start Date = Target Completion Date The Master Schedule = Start Date = Target Completion Date Activity / Week Setup reduction / Bob Activity / Week Setup reduction / Bob Develop supermarket in shipping / Sue Develop supermarket in shipping / Sue Change scheduling procedure / Sue Visual process mgmt to takt time / Matt Ran into problems in access to scheduling data will get extra help from Chris Change scheduling procedure / Sue Visual process mgmt to takt time / Matt Ran into problems in access to scheduling data will get extra help from Chris Develop new measurement system / Chris Develop new measurement system / Chris OK At Risk In Trouble OK At Risk In Trouble Lean Learning Center

56 Some Final Thoughts A lean transformation is more than training A lean transformation requires mechanisms to engage and build momentum There is no one tool Engage the entire organization Failures will occur Reflection is essential Lean Learning Center