Chapter 2Implementation “Show-Stoppers,”

Roadblocks, and Barriers

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Before implementation can begin, it is necessary to have completed two prerequisites:

Top-down leadership Employee empowerment

Show-Stoppers

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Any improvement effort must have management support

Leaders are responsible for:◦ Creating and communicating the company’s vision,

direction, and strategy.◦ Hands-on leadership.◦ Empowering the workforce.◦ Vision of long-term payback.◦ Creating a culture change.

The above has to be in place for WCM to begin – without these you can make things worst

“Manufacturing Insanity” is defined as doing the same thing day after day, and expecting different results.

Top Down LeadershipChange = Improvement

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A supporting management base is required. This level has the toughest job implementing

continuous improvement.◦ Must be supportive of the change◦ Top leadership must reduce conflicting metrics

These leaders must understand:◦ Elimination of all waste is required for development of

customer satisfaction.◦ Communication facilitates teamwork - everyone

needs the corporate playbook.◦ Be prepared to repeat the message – many times◦ WCM desire is required – draw a line in the sand and

no going back.

Middle Management

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Culture - the unwritten rules of behavior, or norms, that are used to shape and guide behavior, is shared by some subset of organization members and is taught to all new members of the company.

Implementing change requires every department to “think” differently

Once this occurs, then we can achieve improvement results

This can be a very difficult task - organizational culture was formed over years of interaction between the participants in the organization.

Culture changeChange = Improvement

Have you heard of “The Toyota Way?”

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Accomplished through hands-on leadership from the top level

For people to consider culture change, usually a significant event must occur◦ Even then – culture change can be tough

Everyone must understand the vision, direction, and strategy – at the same time

An empowered workforce must be established

Culture changeChange = Improvement

Think different Be different

See different results

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Three steps to change1. You must first understand the current culture -

the way things are now. 2. Decide where you want to go

◦ define strategic direction◦ create a vision statement◦ decide what the organizational culture should

look like to support the vision statement

3. Finally, the individuals in the organization must decide to change their behavior

◦ This is the hardest step in culture change

Culture changeChange = Improvement

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Fear Zone

Learning Zone

Status Quo

Fear Zone

Learning Zone

Status Quo

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1. Establishing a Sense of Urgency

2. Form a Powerful Guiding Coalition

3. Creating a Vision

4. Communicating the Vision

5. Empowering Others to Act on the Vision

6. Planning for and Creating Short-term Wins

7. Consolidating Improvements and Producing Still More Change

8. Institutionalizing New Approaches

From “Leading Change” by John P. Kotter

The Kotter Model

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This is the second show-stopper.◦ Entire team must pull in one direction, with one

agenda.◦ Provides employees with the opportunity to

influence results while having a sense of accountability and ownership.

Empowerment Prerequisite

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Lean ProductionLean Production

Six SigmaQuality

Six SigmaQuality

Workplacesafety, order,cleanliness

Workplacesafety, order,cleanliness

Flow and PullProduction

Flow and PullProduction

EmpoweredTeams

EmpoweredTeams

VisualManagement

VisualManagement

Pursuit ofPerfectionPursuit ofPerfection

The workplace issafe, orderly, and very clean

Products are built“Just In Time,”

to customer ratebased demand

Six Sigma Qualityis built into theproduct and the process

Member teamsare empowered

to make keydecisions

Visual Managementto track performance

and open the companyto all people

There is arelentless pursuit

of perfection

The Lean Enterprise Principles

What does ‘Empowerment’ Mean?

“Empowerment means employees use their knowledge and skills to make decisions and act responsibly in pursuit of company goals.”

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Occurs in an environment where the following exists:◦ Leadership vs. management◦ Employees are recognized as the most valuable

resource◦ Teamwork◦ Decision making is delegated◦ Openness, initiative, and risk taking are promoted◦ Accountability, credit, responsibility, and

ownership are shared

Empowerment

“Empowerment means you have freedom to act; it also means you are accountable for results.”

-Ken Blanchard

Empowerment Is: Empowerment Is Not:

Being an active participant in process improvement activities

Showing up for THEIR process improvement activity, or, showing up and not participating

Identifying problems and being part of the solution Identifying problems and complaining about them

Making team decisions WITH others Making team decisions FOR others

Creating and using meaningful measuresGetting around the system of measurements, or,

refusing to measure

Communicating shortcomings Hoping shortcomings will go unnoticed

Disagreeing professionally Ignoring and degrading other’s opinions

Making tough decisions based on information Avoiding making tough decisions

Communicating both good news and bad news Failure to communicate

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What Does ‘Empowered Teams’ Mean to You?

“An empowered team is an identifiable collection of people who know why and how they need each other to accomplish a common purpose to which they are committed.”

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“Individual Commitment…

to a group effort – that is what makes a team work, a company work, a society work, a civilization work.”

-Vince Lombardi

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Lack of trust◦ Poor relationship between management and labor

Poor communication◦ Supports a lack of trust – leads to unclear expectations◦ “The problem with communication is the illusion that it has

been accomplished" - George Bernard Shaw Fear

◦ People fear the unknown, therefore resist change◦ 8. "Drive out fear" - Deming

Lack of training◦ Inadequate training leads to confusion, frustration, and anger◦ New expectations set, but the tools to get there are not

given Lack of measurement

◦ What gets measured, gets done.

Empowerment Barriers

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Concrete mindsets and bad habits◦ We have always done it this way◦ This is how it has always been

People◦ Most valuable asset and the largest roadblock

Plant baselines◦ Need to understand education and culture◦ Perform a needs assessment – aka a Gap Analysis

Continuous communication◦ Must repeat the message

Middle management conversion◦ Goals must be aligned with the top management

Implementation Roadblocks

#1) Not believing things can be better!

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Force Field Analysis - a useful technique for looking at all the forces for and against a decision

Identify forces favoring WCM implementation Identify forces opposing WCM implementation

Class exercise-Force Field Analysis

For Against

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Forces Favoring Implementation

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Forces Opposing Implementation

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What reactions do you expect to see from implementing changes?

How will you deal with them?

Reactions to Change

Denial

Anger

Bargaining

Depression

Exploration

Acceptance

Em

otio

nal L

evel

Time

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Education and Communication

- Inform and educate people about the change effort

- Communicate early and often

Participation and Involvement

- People involved in the change effort are more likely to want change rather than resist it

Facilitation and Support- Be supportive

- Management support helps members deal with their fear

and anxiety during a transition period

Negotiation and Agreement

- Offer incentives for positive changes

Explicit and Implicit Coercion

- Forced change of behaviors to expedite a predetermined

outcomeThis is to be used as a last resort

Dealing With Resistance to Change

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Why change?

Citizens Against Virtually Everything – CAVE people an acronym for people who regularly oppose any changes.

Results

Events

Tools

Culture

Enterprise Alignment

Results

Architecture

Continuous Improveme

nt

LeanExcellence

Why change?

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A month? 6 months?? A year??? 10 years???? Where are you starting?

◦ Near world class?◦ General supplier◦ Not sure how to spell Lean?

An average company could reach world class in 5-6 years if they are on an aggressive schedule, but should see results beginning in the first year

How do we know when we are lean?

How long does this take?