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This is the Business901 presentation at the Lean Software and Systems Conference 2012. What I have learned from many of my podcast guests is how it started.
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What is changing is the way weThink, Identify & Deliver Value
Business901 blog
Lean Thinking
• Identify Value• Map Value Stream
• Create Flow
• Establish Pull
• Seek Perfection
Business901 Podcast
What does the customer value from us?How are you delivering it?
Use Jobs as a filter, more customers needs are revealed.
People naturally network as they work so why not model work itself as a network?
You cannot be great at everything
The Customer Experience will mimic
the Employee Experience
Design Thinking will be what quality
and the process methodologies were.
We are in a Service Economy but do we think that way
Why Positive Change may be more important than Problem Solving
Joe Pine introduce the Multiverse as we were getting started with the Experience Economy
Think Value
“It is not about the things we make, it is about how we use the things we make.” – Malcolm Gladwell
Tangible Transactional to Intangible
Value transfers are not yet well understood by organizations but are recognized by customers.
New models of value recognition are bringing unprecedented competition
The End of Best in Market
Shifting from Goods Dominate Thinking and Transactions to
Service Dominate LogicTM and Co-Creation of Value
Buy
USE
Service Dominant LogicThe Service-Dominant Logic of Marketing edited by Robert Lusch and Stephen Vargo
SD-Logic
Value is always determined by the customer (in-use)
All economies are services economies
The customer is always a co-creator of value
Goods are distribution mechanisms for service provision
Indirect exchange masks fundamental unit of exchange
Service-centered view is customer oriented & relational
Knowledge is fundamental source of competitive advantage
Service is exchanged for service
SD-Logic
Identify Value
We must establish and understand Touch Points
Its not all about problem solving it’s about what we do best – Appreciative Look
Moving Design to the forefront
Designing the Experience
Designing the Journey
Finding the next hassle map of the customer where tomorrow’s demand exists.
Deliver Value
“Every Industry will be disrupted and rebuilt with people at the center.”
- Sheryl Sandburg. COO Facebook
People expect to access information and whenever and wherever we want too.
We want information available on every device
Use of social technology for understanding and learning are in its infancy
Experimentation with new applications, technology seen as young persons role.
World is increasingly collaborative driving changes in the way decisions are made.
Most organizations do not understand the shift of VALUE and the shift to a
COLLABORATIVE world.
Organizations need to challenge themselves by experimenting and creating co-creation of value
opportunities through Lean Thinking.
We hang on to past practices
But It’s not your Grandmother’s Lean Anymore
Knowledge is Everywhere
The quality of the organization and the customer relationship networks will make the difference.
President
Admin Sales Finance Quality Operations
Plant
Shipping
Facilities
Assistant
President
Administration
SalesQuality
Operations
Transaction to teams
Obtainable goal setting.
Willingness to train people.
Commitment to measurement
Understanding and agreement on the need for processes.
Knowledge capture & sharing internally & externally.
Clear-cut business strategy and objectives.
Follow the 2 Pizza Rule- Amazon, Jeff Bezos
Make it manageable
Line of Sight
Know what your Team Members are doing:
• Daily Standups
• Weekly Tactical
• Monthly Strategic
• Quarterly Strategic
Successful Lean teams are iTeamsTeamwork is an individual not group skill
Individuals must take responsibility for…
• the quality and productivity of each team
• relationships they are part of
• individual accountability
• the larger, shared tasks or deliverables
Customer Experience will mimic your Employee Experience
• Know your team, design for personal & social needs
• Build fun/pleasure/satisfaction into activities
• Design cycles based on desired customer experience
• Embrace motivators like power, autonomy & belonging
What is your iCustomer Level?
The iCustomer level is not a tangible number. It is strictly based on the degree of interaction your organization needs based on the products/services it is delivering.
Consider the kind of team needed
Roles
Effectiveness & Time
Adva
ncem
ent EDCA
PDCA
SDCA
What is the process?
Effectiveness & Time
Adva
ncem
ent
EDCA
PDCA
SDCA
EDCA PDCA SDCA
How important is Standard Work?
Standard Work puts the food on the table!
The way we do things
Process Focus
Leader Std. Work
Visual Controls
Daily Accountability
Leadership Discipline
Standard Work provides discipline thru
• Clarity on What to do
• Commitment on When to do it
• Translation from Goals to Actions, the Why
• Enablement of the actions, How
• Accountability thru establishing the Who
• Line of sight on Where your circle of influence effects
Standard Work in 1 word
Execution
Do
CheckAct
Standard
Select the Team Goals of the Project
Empower the Team
Locate the people who will be on the team
Agree on the method
State the standard
Provides Line of Sight for Team at Daily Standup
Line of Site for resources needed at weekly tactical
Can auto-populate or be completed by hand. Easily used as part of the task board in a War Room type environment. Virtual Teams can use something as simple as Google Documents or many other popular software packages.
Providing a visual, simple and easily access document is the key.
Line of Site for Goal review at Monthly Strategic
Lean is essentially a knowledge transfer system; it's a training system on how to define
knowledge gaps and close them
PDCA is a Call to Action
Start with a problem that you don’t have the current knowledge to solve.
What don’t I understand that I need to learn?
What change do I need to see?
Close the knowledge gap before closing the performance gap.
Do
CheckAct
Plan
Select the Improvement
Empower the Team
Locate the people who will be on the team
Analyze the current process
Select the initial Problem Perception
Explore when Problem is unknown
EDCA =
• What is?
• What If?
• What Wows?
• What Works?
Do
CheckAct
Explore
Select a limited set of needs you are designing for
Empower the Team
Locate the people who understand the user and the needs
Analyze the user
Sense-making: Give meaning to experience.
Create Pull - DemandValue – in – Use
Service and Products are a means to an end
Value Co-CreationNot for customers rather with customers
TrustReal value with all stakeholders
Lean is targeted to certain kinds of organizations who actually enjoy learning.
Positioning your organization in your customer’s playground is the most important role an organization has.
The only competitive advantage you have is the rate at which you learn from your
customers.
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