Taking Lean to the Next Level with Evidence-Based Leadership. CME Disclosure. Clay D. Linkous, MBA Coach, Speaker & Lean Expert

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1 CME Disclosure Accreditation Statement Studer Group is accredited by the Accreditation Council for Continuing Medical Education (ACCME) to provide continuing medical education for physicians. Designation of Credit Studer Group designates this educational event for a maximum of 1 AMA PRA Category 1 Credits. Physicians should only claim credit commensurate with the extent of their participation in the educational event. Disclosure Policy The faculty listed below are employed by Studer Group. They have disclosed that they do have relevant financial relationships as employees related to the content of this continuing education activity. Studer Group sells products and solutions that relate to the tactics and processes that are being demonstrated throughout this event. Studer Group did not receive any support from commercial interests related to this education activity. Clay Linkous, Studer Group Coach Taking Lean to the Next Level with Evidence-Based Leadership Clay D. Linkous, MBA Coach, Speaker & Lean Expert 1

2 Learning Objectives Understand the challenges that many organizations are having with Lean and why those challenges exist Understand how to use the Evidence-Based Leadership execution framework to improve your results and outcomes with Lean Understand how Studer Group can help support your organization s Lean efforts 2

3 Why you re participating. WHY WHAT HOW Have you ever.. Hired a Lean Specialist, but.. Provided Lean training for leaders, but.. Optimized your work areas with 5S, but.. Achieved improved results during a Kaizen event, but Developed standard work for a process, but Improved outcomes for a few months, but.. Wanted to improve a process that involved multiple departments, but. Had some initial wins with Lean in some areas, but. 3

4 You are in the right place today! When you know you have a solution to a problem that is causing pain for someone you have a human responsibility to act, and to do so with all urgency. ~ Quint Studer LEAN Triangle Methodology LEAN Alignment Culture 4

5 Executing Lean Using Evidence-Based Leadership SM Foundation STUDER GROUP : Objective Evaluation System Leader Development Must Haves Performance Management Standardization Accelerators Implement an organizationwide Aligned Goals Aligned Behavior Aligned Process Create process to assist leaders Software in developing skills and leadership competencies necessary to attain desired results Principle 4 & 8 Agreed upon tactics and behaviors to achieve goals Principle 3, 5, 6, & 9 Re-recruit high and middle/solid performers Move low performers up or out Principle 4 Processes that are consistent and standardized Process Improvement PDCA Lean Six Sigma Baldrige Framework Principle 1 & 2 Alignment Culture Methodology staff/leadership evaluation system to hardwire objective accountability Principle 1, 2, & 7 Rev

6 Alignment Leader evaluation Goal alignment Proper ownership Support Service Leaders internal evaluation Monthly Meetings 90 Day Plans Why Leaders Must Be Developed. we did not meet our goals for continuous daily improvement, particularly our goal of productivity by 10% annually. We then concluded that we needed to change the way our managers (including unit leaders) in ThedaCare s hospital division conduct and manage their daily work. ~Kim Barnas, System Vice President of ThedaCare ThedaCare s Business Performance System: Sustaining Continuous Daily Improvement Through Hospital Management in a Lean Environment. The Joint Commission Journal on Quality and Patient Safety. 6

7 Why Leaders Must Be Developed. John Maxwell; The 5 Levels of Leadership Why Leaders Must Be Developed When metrics are red When mistakes happen When designing processes Traditional Thinking Bad You ve failed Shame & Blame Specify value from the standpoint of the internal user or stakeholder Lean Thinking Good Thanks for bringing this opportunity to our attention. Focus on the process & problem Specify value from the standpoint of the end customer 7

8 Alignment What Development Do Leaders Need? Lean training (Waste, Value, 5S, Lean Thinking) Rapid Improvement Event Facilitation skills Daily Management (KPI Boards) Change Management Project Management Analysis and Problem Solving Leadership Standard Work Why We Must Always Connect to Purpose 8

9 Why the Heart Matters. Extrinsic Motivation works in manufacturing Consequences: replacement/outsourcing Intrinsic Motivation is needed in healthcare licensed Knowledge & education Shortage of professionals No risk job cannot be outsourced overseas Why Physician Engagement is needed for Lean to be successful Vocabulary Challenges with Physicians Customer A3s Value Stream how about care pathway Standard Work how about best practice Not to mention all of the Japanese terms. 9

10 Speaking of Vocabulary Challenges.. Weight Watchers why communication is so important Less Employees Are Needed.and you need me to help you do this???? Employee Engagement is Critical to Lean Paul O Neill (former Secretary of Treasury) Former Alcoa Executive with legendary results National leader and speaker for patient safety and quality Three Questions We Must Ask Our Employees 1. Do you leave here every day saying that you are treated with dignity and respect by EVERYONE you encounter? 2. Am I given the things I need to be successful such as tools, equipment, and training so that I can do what I need to do that gives meaning to my life? 3. Am I recognized everyday by someone that I value their opinion? 10

11 Let s not forget that Senior Executive Team Toyota Production System Key 3 +1 top management roles 1) Strong Visible TPS Commitment 2) Understand TPS Correctly 3) Make problems visible - build culture to expose & solve problems 4) Genchi Genbutsu (i.e. Senior Leader Rounding) 11

12 Culture Must Haves for Employee Engagement Senior Leader Rounding Leader Rounding on Employees Rounding on Physicians TY Notes Stop Light Reports 30/90 Day Conversations Employee Forums Why standardize behavior across Leadership? There is one thing most companies struggle to standardize, and ironically, it s the most important part of our efforts to gain and sustain results. It is leadership Results That Last, Quint Studer, Chapter 5, Pg 75 12

13 Is this what standard work looks like at your facility? How to ensure Standard Work..works Does Standard Work Exist? Have we trained people on standard work? Is standard work being followed? If yes reward. If yes, but not well coach. If no.coach. 13

14 What it takes to make standard work.work Accountability Execution Consistency Reliability If you can make standard work.work Strategy Results Structure Execution 14

15 However, You can t underestimate how Lean makes people feel. Even with positive change, there is resistance... Performance Curve L M H 8% 58% 34% Middle = Solid Performer 15

16 Mandatory Required Expected Sample Compliance When you hear this word do you think must comply? It s the People or the People Focus on Standards of Behavior before Standard Work Focus on Values before Value Stream Mapping 16

17 Culture ALIGNED BEHAVIORS PERFORMANCE MANAGEMENT Individual accountability MVV Driving Performance Model used to hardwire standard work Understanding of how to manage change resistance Clear expectations for all stakeholders Effective performance management highmiddlelow ) John Touissant - ThedaCare The single most important critical factor missing in healthcare is a management system. Lean Healthcare Transformation Summit 2013 Keynote Speech 17

18 Execution Framework Evidence-Based Leadership SM Foundation STUDER GROUP : Objective Evaluation System Leader Development Must Haves Performance Management Standardization Accelerators Implement an organizationwide Aligned Goals Aligned Behavior Aligned Process Create process to assist leaders Software staff/leadership evaluation system to hardwire objective accountability Principle 1, 2, & 7 in developing skills and leadership competencies necessary to attain desired results Principle 4 & 8 Agreed upon tactics and behaviors to achieve goals Principle 3, 5, 6, & 9 Re-recruit high and middle/solid performers Move low performers up or out Principle 4 Processes that are consistent and standardized Process Improvement PDCA Lean Six Sigma Baldrige Framework Principle 1 & 2 Alignment Culture Methodology Rev Everything I needed to know about Lean, I learned at.. Something has to be the priority Leaders are the key People matter Sometimes you gotta bounce folks outta ya club 18

19 Oh, and By the Way.Evidence-Based Leadership is a Pull System When Leaders are accountable for outcomes they will Pull : Lean training and development needed to achieve outcomes Necessary Lean tools and tactics The ability to become a better Lean coach/mentor Results that Lean could potentially produce Always bring it back to values... Quint Studer 19

20 My Why How Studer Group Can Help Your Pain Possible Next Steps? Lean Validation and Coaching Partnership Lean Diagnostic Assessment of Alignment and Culture Facilitation of Lean Events Lean Speaking Engagement Taking Lean to the Next Level with Evidence-Based Leadership Crosswalk between Lean & Evidence-Based Leadership Tactics Basic Lean Training Lean Management System Training Curriculum for Leadership Development Institutes 20

21 While LEAN should not mean Less Employees Are Needed, it definitely means Leadership and Execution are Always Necessary. Clay D. Linkous Questions? Contact me by How To Acquire CME Certificate You must take the entire survey to receive your CME Certificate. Survey access is located on the right side bar of this webinar page. To take the survey, visit To receive CME credit for this webinar you must take the survey prior to December 31, Your certificate will be available for you to print & complete upon survey submission. The Studer Group is accredited by the Accreditation Council for Continuing Medical Education to provide continuing medical education for physicians. The Studer Group designates this educational activity for a maximum of 1AMA PRA Category 1 Credits TM. Physicians should only claim credit commensurate with the extent of their participation in the activity. 21

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