10 Keys to Lean Daily Management

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10 KeysTo Lean Daily Management

Tom Fabrizio

Effective Lean LeadershipAn Overview

What is Lean Daily Management?• A system (including the structure) to manage daily work, including

• Customer demand• Best Practices and Standards• Equipment & the workplace• Improvement• People

Who Does It?• Work Teams

• Supported by supervisors and managers• Supported by specialists• These are not temporary project teams• Note: Technicians and specialists may be on the team as full or extended members• Also Note: The team concept extends beyond front line teams – it includes management teams

Time Frame• At the speed of “now”• Actions, information flow, measurement, and improvement occur in the moment(no waiting)

Location• Designated, discrete area “owned” by the work team. Everything else is for support.

Why Lean Daily Management?• Know the real facts

• Team members are closest to the work and ongoing events• Quick Response

• Team members can be fastest to respond• Have a complete view

• Team thinking is more complete• Create a Learning Organization

• Provides a platform for personal and professional growth and improvement

How to Build the SystemKaizen

VisualManagement

Intent Teams

Daily Processes

StandardizedWork

10 Keys To Lean Daily Management

The 10 Keys1. KPIs that matter2. Work Teams3. Best Practices4. Daily Huddles5. Visual Displays6. 5S7. Problem Solving8. Coaching9. Gemba10.Leadership

1. KPIs that MatterKey Performance Indicatorsthat matter

Key Performance Indicators• Quantifiable measurements• Agreed to beforehand• Reflect critical success factors• Measured as summaries, over time (trend charts)• Linked to organizational goals• Examples:

• # units per hour• Cycle times• On time delivery• Patient wait times• Rework time• Lost time due to accidents• Accounts receivable turnover

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Outgoing Quality - Defects / Units Audited

2. Work Teams Work Teams that are Accountable for Daily Work

Work Teams- Functional teams who do the work- Base daily work on customer demand

Work Teams: A Shift In Thinking• The team manages daily work• The team facilitator may be the supervisor or can be chosen by the team• The facilitator is an operator and also a coordinator (spokesperson/link)• The team receives business objectives from management

From Group to Team

3. Best Practices Standardized Work

What is Standardized Work?• The most effective way for a worker to complete their work (doing the right work right)• Standardized Work considers the relationship of the worker with:

• Work flow (sequence of work)• Time (demand and efficiency)• Materials (parts and supplies)• Information• Equipment and tools• Work space and environment

Purpose of Best Practices• Perform work in the best way possible• Define the “job” of a worker• Create a training platform• Determine normal from abnormal• Establish a platform for improvement

Without standards there can be no improvementTaichi Ohno

Operator Instruction Sheets

4. Daily HuddlesScheduled Stand Up Meetings

Shift Start Up Meetings• Daily meetings are a forum for communicating and sharing information

5. Visual DisplaysTeam Display Boards

Facility-wide

Team Board

6. 5SAn Organized & Standardized Workplace

Remember the 5S System?

Standardize

Sort

Set In OrderSustain Workplace Organization & StandardizationWorkplace Organization & Standardization

Shine

When in doubt, you must move it out

Make it clean & keep it clean

A place for everything,with everything in its place

Get control through a visual show

Maintain the gain, forget the blame

7. Problem SolvingSystematic Frontline Problem Solving

Daily Problem Solving• Small tests of change• Every day• By everyone• Using a systematic method

• Standards are your platform for improvement• KPIs provide the context• Teams do the work

Problem Solving is a later step in building a lean daily management system. Putting it first is like putting lipstick on a pig.

DO IT Every Day•Define problem•Open yourself to solutions•Identify the best solution•Take Action (use PDSA)

Focus

Categories

Small Testsof Change

Improvement Tracking

Work Team Action SheetsACTION SHEET “TO DO” LIST

David Miller Large Assembly Line

1 Overall Layout Install U-shapedlayout2 Hard to grasp bases from bin Install gravityfeed bin3 Center fixture4 Keys stick on keyboard Install new keyboard

Tool arrangementlocating/reachingRearrange to eliminaterepetitive motions

6 Reaching to stackcartons

Install workplaceorganization

Off centerfixture

5 Hard to grasp parts from bin Install gravity feedbin & change location

7

Item# Problem Corrective Action

Manager Or Team Leader Area Or Process Name05/16/03Bill Bucher

D. McAlpine 5/17L. Slonski 6/19A. Zver 5/5T. Lenke 5/20

6/25/307/1

E. HaromiG. Erkman

R. Tustin

Date: Page of

PersonResponsible DateDue PercentComplete2550

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Person Doing This SheetACTION SHEET “TO DO” LIST

David Miller Large Assembly Line

1 Overall Layout Install U-shapedlayout2 Hard to grasp bases from bin Install gravityfeed bin3 Center fixture4 Keys stick on keyboard Install new keyboard

Tool arrangementlocating/reachingRearrange to eliminaterepetitive motions

6 Reaching to stackcartons

Install workplaceorganization

Off centerfixture

5 Hard to grasp parts from bin Install gravity feedbin & change location

7

Item# Problem Corrective Action

Manager Or Team Leader Area Or Process Name05/16/03Bill Bucher

D. McAlpine 5/17L. Slonski 6/19A. Zver 5/5T. Lenke 5/20

6/25/307/1

E. HaromiG. Erkman

R. Tustin

Date: Page of

PersonResponsible DateDue PercentComplete2550

10075

2550

10075

2550

10075

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Person Doing This Sheet

.

8. CoachingContinuous Coaching Cycles

Two Primary Roles

CoachUses coaching methods toteach Kaizen. Usually one

level up from Learner

LearnerPerson leading or

responsible for a group, team, or process

Coaching Cycles• Used to guide the learner through the steps of the Improvement Kata for a real issue• They are a way to guide and give feedback• They are short, to the point, with follow-up

• Assess the current status of readiness & the focus process• Find out how much the learner knows about the current condition• Give procedural guidance• In addition, you are also learning and growing as a coach

Each cycle should lead to a small test of change, a next step

9. GembaGo to the Source

Go to the Gemba• Gemba means “the real place”• Go to gemba means “go to the source”

• Go to the scene• Report from the scene• Talk to real witnesses

LDM

10. LeadershipStandard Work for Leaders

Planday

The 3 Actions• The 3 Actions for Standard Work for Leaders are:

• Find• Fix• Fortify

• These actions relate to standards• Find problems or non-adherence (see)• Fix the variation, problem (solve problems)• Fortify, make stronger (sustain)

Mapping Your Standard WorkPeople here & ready to work?

Planday

Effective startupmeeting?

Standards followed?

GoalBoardmeeting

Assign Improvement TasksGembaWalk

Complete my improvement tasks

Coaching &Facilitation

Post today’s results.OK?

Plan tomorrow’sstaffing.

Open Circle Implementation1. Full staff presentation2. Management Team3. Std. Work for Leaders4. Work Teams5. Improvement Kata6. Long-term improvement

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Reasons Why Attempts to Empower Fail• Lip service but no belief• Managers don’t really understand it• No clear boundaries for empowerment• Micromanagement of the work• Second guessing• No strategic framework (no compass)• Lack of information & training• Allowing barriers to exist• Blame environment• Overburden & underpaid

Do You Want to Know More?• I will be teaching these related workshops at Portland State University, Center for Executive and Professional Education

• The Kaizen Way – October 14• Standardized Work and The Visual Workplace – December 2• 10 keys to Lean Daily Management – December 9

For more information and to register you can go topdx.edu/cepe/lean-practitioner

Thank YouTom Fabriziotfabrizio@nwcpe.com