Establishing a Continuous Improvement Culture for Business Success

1. Establishing a Continuous Improvement Culture Jack Strong Director EMEA for Leankit

2. Two tools from Lean to help you:- Plan/Do/Check/Act (PDCA) Continuous Improvement Cycle Policy Deployment Catch Ball Deploying Improvement Strategy/Policy Establishing a Continuous Improvement Culture

3. 60s-80s 80s 90s 2000s Today Decimation UK Manufacturing Industry Why Do it? Motorcycle Industry Car Industry TV, Radio ?? Industry Compelling Reason to do it.. Change or Die Main Players Then:- Main Players now:- IBM ? ICL Microsoft, Google, Apple Honeywell Digital DG Prime When will you start? .Proprietary Mainframes. ..Mid Range UNIX PCs..Networks Microsoft MS Dos.Windows ..Apple ..India, China ..Cloud ..Mobile Devices Blackberry.iPhone Android

4. What is Lean? Toyota Production System TQM TOC Just-In-Time EQM Lean Healthcare Agile Scrum XP FDD Lean Manufacturing Lean Construction 60s-80s 80s 90s 2000s Today Lean Software Development Six Sigma SAFe Visual Management - Kanban Value/Specification Quality Lead Times Delivery On Time Cost Continuous Improvement Lean Engineering

5. What is Lean? Continuous Improvement O Establish a long term vision O Meet challenges with courage and creativity O Improve value and business operation continuously, always driving for innovation and evolution O Go to the source to find facts and make correct decisions O Build consensus and achieve goals at best speed Respect for Others O Make every effort to understand each other O Take responsibility O Do your best to build mutual trust O Teamwork Stimulate personal and professional growth Share the opportunities of development Maximise individual and team performance The Two Pillars of Lean

6. Lean is Zealous About Establish a Long Term Vision 1. Continuous Improvement and Teamwork 2. Quality at every step and every direction Right first time, on time, every time 3. Value and Removal of Waste everywhere 4. Smallest Lead Time = Delivery on Time Maintaining Steady Flow and Pace Predictability = Confidence Some of the Tools of Lean Continuous Improvement Problem Solving Cycle - PDCA 5 Whys? A3 Problem Solving Sheet Visual Management Kanban 5S (Sort, Store, Shine, Standardise, Sustain) Policy Deployment Catch Ball X Matrix Planning and A3 Planning A3 Value Stream Mapping Removal of Waste Evolutionary Change (Kaizen) What tools from Lean can we use to help us?

7. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK Action Plan Do Check Continuous Improvement Cycle/ Problem Solving Cycle What is Plan, Do, Check, Act?

8. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK Step 1 1. Create Team relevant to Scope 2. Communicate, Discuss, Agree Approach with Team (PDCA) 3. Analyse current situation, Brainstorm Problems, Root Causes Brainstorming Methods 1. Identify a Theme (Scope) 2. Set a Time Limit 3. Have a Scribe 4. Have a Leader 5. No evaluation during the session 6. Filter/Evaluate afterwards 7. Go round in order 8. Pass 9. Ask for just one more idea 10. Record on Flip Charts/White Board How do you apply PDCA?

9. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK How do you apply PDCA? Endorses Behavioural Pattern Continuous Improvement O Establish a long term vision O Meet challenges with courage and creativity O Improve value and business operation continuously, always driving for innovation and evolution O Go to the source to find facts and make correct decisions O Build consensus and achieve goals at best speed Step 1 1. Create Team relevant to Scope 2. Communicate, Discuss, Agree Approach with Team (PDCA) 3. Analyse current situation, Brainstorm Problems, Root Causes

10. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK Step 2 Choose Problem(s) to solve Opportunity to take - Team Prioritise - Team Decide on Problem(s) to tackle How do you apply PDCA? Totally Partially Not Problem within control of Team Categorise N(ot) P(artially) T(otally) in Team control Choose Totally first to get Team Forming, Storming, Norming, Performing Simple Prioritisation Method

11. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK Step 2 Choose Problem(s) to solve Opportunity to take - Team Prioritise - Team Decide on Problem(s) to tackle How do you apply PDCA? Endorses Behavioural Pattern Respect for Others O Make every effort to understand each other O Take responsibility O Do your best to build mutual trust O Teamwork Stimulate personal and professional growth Share the opportunities of development Maximise individual and team performance

12. Anon It is easier to act people into thinking differently than to think people into acting differently Establishing a Continuous Improvement Culture

13. Plan Analyse current situation Prioritise and Select Problem, Opportunity Confirm Root Causes, 5 Whys Choose Solutions Long term, Short Term Set Objectives, Targets, Measures Resource Required Risk Analysis Produce Plan Do Plan Carry out plan Check Measure Improvement Check Improvement Act Standardise Ensure Problem will never happen again Next Problem Not OK OK Step 3 Confirm Root Causes Real Data where possible Brainstorm/Choose Solutions to solve the problem Choose Measures - What is current situation = Measure - Set Objectives and Targets - Consistent with Solution ..Produce Plan How do you apply PDCA? Measure what you need to measure Not what is easy to measure

14. Customer Order Maximum Value Delivered on Time with Best Quality Minimum Delivery Time Key Performance Indicators Re-Work Delivered Quality End to End Lead Time Output Value Work Mix In Rate: Volume, Size, Value Delivered on Time Too much WIP Customer Satisfaction What are we trying to achieve as a business? Blockers Urgent Jobs Constant Stop/Start Long Lead Times Team Overloaded Re-Work

15. Dog Food Defect Class of Service Choose Problem = Re-Work Measure Dog Food Defects Identify Root Causes Fix R.C. PDCA is Simple and Rigorous Check

16. Two tools from Lean to help you:- Plan/Do/Check/Act (PDCA) Continuous Improvement Cycle Policy Deployment Catch Ball Deploying Improvement Strategy/Policy Establishing a Continuous Improvement Culture

17. Establishing a Continuous Improvement Culture Typical Problems Deploying Improvement Strategy/Policy - Executives l aunching too many strategic initiatives - C ascad ing strategic improvement policy Delivering Continuous Improvement - Large queues of continuous improvement initiatives - Year long initiatives with little progress lots of starting not much finishing - Initiatives with poor visibility

18. Where there is no vision the people perish. Vision and Goals Vision and Goals Directorate Directorate Department Department Team Team What How Policy Deployment Catch Ball Respect for Others O Make every effort to understand each other O Take responsibility O Do your best to build mutual trust O Teamwork Stimulate personal and professional growth Share the opportunities of development Maximise individual and team performance Vision:- Number 1 player in the market PDCA PDCA

19. Long Term Achievable Plan= Direction Link to Improvement Delivery Board The Value of Visual Management and Kanban

20. The Value of Visual Management and Kanban

21. 60s-80s 80s 90s 2000s Today Decimation UK Manufacturing Industry Why do it? Compelling Reason to do it.. Change or Die Main Players Then:- Main Players now:- IBM ? ICL Microsoft, Google, Apple Honeywell Digital DG Prime When will you start? .Proprietary Mainframes. ..Mid Range UNIX PCs..Networks Microsoft MS Dos.Windows ..Apple ..India, China ..Cloud ..Mobile Devices Blackberry.iPhone Android

22. What is your compelling reason to do it? 60s-80s 80s 90s 2000s Today Will you do it? Will you do it? When will you start? When will you start? What do your customers think? Where do you add value? Can it be sourced better elsewhere? What is morale like? Who is your competition? What is changing around you? What do you need to change? What do your customers think? Where do you add value? Can it be sourced better elsewhere? What is morale like? Who is your competition? What is changing around you? What do you need to change?

23. Two tools from Lean to help you:- Plan/Do/Check/Act (PDCA) Continuous Improvement Cycle Policy Deployment Catch Ball Deploying Improvement Strategy/Policy Establishing a Continuous Improvement Culture When will you start? When will you start? Will you do it? Will you do it? What Problem or Opportunity Will you start with? What Problem or Opportunity Will you start with?