Greatness is Possible!!! Innovation, Leadership and ... · 22/03/2012 · Jack Smith: CV • Education – Princeton: BS Mech Eng. Summa Cum Laude & Phi Beta Cappa – Berkeley PhD

http://TheHighVelocityEdge.Com [email protected] © Steven J. Spear 2011

Steven J. Spear Senior Lecturer,

Massachusetts Institute of Technology

Senior Fellow, Institute for

Healthcare Improvement

Greatness is Possible!!! Innovation, Leadership and

Operational Excellence


Questions… •  …your process?

•  …what customer? •  …what product or service,

what volume, what timing? •  …“ideally…” capability/capacity?

•  …current… capability/capacity?

•  …obstacles?


Section 1 Complexity:

The Common Challenge


…The Modern Day Challenge…(*)

(*) See chapter 2 and 3 for examples

QUALITY, FUNCTIONALITY, & AFFORDABILITY

Time DESIGN PRODUCTION

Problems

• Structural: Manage functions in isolation.

Solutions

• Structural: Create processes and systems.

• Dynamic: Constant workarounds.

• Dynamic: Relentless improvement: Learn to learn.

Modified: Jan 18 11


Complexity and Innovation

Amy • ___ • ___

Brad • ___ • ___

Chris • ___ • ___

Dan • ___ • ___

Ed • ___ • ___

Fran • ___ • ___


Questions… •  …your process…again

•  Target: what product or service, what volume, what timing?

•  Content: What work in what sequence by whom… for whom…

Amy • ___ • ___

Brad • ___ • ___

Chris • ___ • ___

Dan • ___ • ___

Ed • ___ • ___

Fran • ___ • ___


Section 2: Mastering Complexity


Discovering Greatness US Navy: Nuclear Propulsion

• See Problems

• Solve Problems

• Share Learnings

• Lead disciplined innovation



Jet Engine Design

1: Design Objectives:

External Customer

2: Workflow maps

3: Design Criteria

4: Activity Maps -- Proficiency Tests -- Technology Assessment

• ____ • ____ • ____

• ____ • ____ • ____

• ____ • ____ • ____

Deliverables Deliverables

• ____ • ____ • ____

• ____ • ____ • ____

• ____ • ____ • ____

• ____ • ____ • ____

• ____ • ____ • ____

• ____ • ____ • ____

Modified: Jan 18 11


Section 3: Chaos to Stability


Job Shop to Focused Factory

Improvisation to Repeatable Standard

Chaotic Push to Self Pacing Pull

Drill

Mill

Polish

Lathe Drill

Mill

Polish Lathe

Mill Drill

Lathe

SHIP

Drill

Mill Lathe

Polish Drill

Lathe Polish

SHIP

Drill

Production Control

Polish

Drill Schedule Polish

Schedule Drill Polish Ship

Requests

Deliveries Customer

I: Stabilization …Engineer… Chaos Out Stability Innewanima


Section 4: Stability to

Relentless Discovery


Steel Coils

II: High velocity improvement and innovation

Stamp Weld Ship

Stamp Weld Ship Stamp Weld Ship

1: System design

2: Problem solving

3: Knowledge sharing

4: Engaged Leadership

Tool ‘n Die

-- Manage systems -- Develop people

-- Best approach -- See problems

-- Stop spread -- Build knowledge

-- Apply discoveries systemically.

Stamp Stamp

Stamp Stamp

Stamp

Weld Weld

Weld Weld

Customer

Tosh

Bryant

Lesa


Section 5: Building a

Learning System


Jack Smith:

Learning to Lead at Toyota


Jack Smith: CV •  Education

–  Princeton: BS Mech Eng. Summa Cum Laude & Phi Beta Cappa

–  Berkeley PhD Program--All A’s MS in Mech Eng.

–  MIT MS Mgt MS Combustion Engineering

•  Work –  Chrysler Corporation

Develop Chrysler Operating System Van Assembly Plant Manager:

•  1800 employees, unionized, turnaround •  New Engine Design Program Manager •  New Engine Plant Design Manager •  New Plant Ramp Up


Jack Smith On Boarding (I) •  West Virginia Engine Plant •  Final Assembly •  Group of 19 people •  Objectives:

–  Ergo safety –  Productivity –  Ops Availability 90%→95%

•  Approach •  1st Six Weeks: Focus on people’s work

–  Results: Safety ⇑ Productivity 19 →15 ⇑ Ops Availability 90%→85% ⇓

•  “Boss”: Ken Fukanaga –  Monday: Planning

Friday: Review –  On site ‘pointers’

•  2nd Six weeks: Focus on Machine work –  Sit and watch ‘till failure –  Result: Ops Availability 85% → 90% ?


Jack Smith On Boarding (II)

•  Where? ________

•  Doing what? ________

•  With whom? ________

•  Why? ________


Jack Smith On Boarding (II) •  Kamigo Engine Plant

•  Machining •  Cell with 1 operator •  Objectives:

–  Reduce ‘over burden’ –  50 changes over 3 days.

•  Context –  Team leaders being trained in parallel.

•  Report Out –  Current Condition -- Result –  Problem -- Treatment

•  Group Leader Questioning

•  Group Leader Process Improvement


What Jack Learned…

Team Member

JACK Team Member

Team Lead

Team Lead Team

Member

GroupLead

GroupLead

Ken

GroupLead

Prod. Mgr.

Gen. Mgr.

Asst. Mgr.

Mgr.


•  REFLECTIONS •  Learning is visual. •  Exercise: cascade of design, continuous learning,

Learn by doing. Detail in design. •  Start at end (discharge) also cascade of design. •  Understanding linkages/dependencies among

steps. •  Lean processes, employee work includes

improvement, learning science of improvement. •  ‘Improving’ to ‘learning org’ •  What leaders do for quality? •  Improvised to repeatable behavior. •  Make the steps small and reallocate. •  Doing as a way of learning. •  Stability before improvement •  Don’t tweak. •  Bring customer’s voice--counter intuitive. •  Is work approached as a design problem. •  Forced to look at whole process. ‘Local design’


Section 6: Problem Solving and Knowledge Sharing


Background: Patient history

Problem Solving: A sick patient

Patient

` PROBLEM/SYMPTOM

= DEPARTURE FROM DEFINED

NORMAL

Physician/Nurse

Diagnosis:

Particular causes for symptoms

Treatments:

Actions to remove root causes for particular symptoms

Work-up: Symptoms, vital signs, and lab results

Expected outcome: Symptoms gone and lab measures ‘normal’

Implementation plan and follow up: who, what, where, when, how, and why…

Lessons learned: What worked, what didn’t work, why…

SYMPTOM CURED

Patient

Physician/Nurse

Updated Jan 25, 2011


Background: Business case for change • Business • Process • Demands • Successes • Failures (quality, cost, capacity, safety, etc.)

Root cause diagnosis:

Symptom causes: •  Delays <-- Unclear output •  Confusion <-- Broken pathways •  Fumbles <-- Broken handoffs •  Impediments <-- unreliable methods

Countermeasure treatment:

Symptom relief: •  On-time <-- Clear output •  Clarity <-- Well designed pathways •  Well-synced <-- Dependable handoffs •  No obstacles <-- Reliable methods

Current condition: How the process works and the problems (symptoms) it has.

4: Work-activity methods

1: Output

Customer

2: Pathway

3: Handoffs over connections

Request

Response

Request

Response

DELAYS CONFUSION

FUMBLES

IMPEDIMENTS PROBLEM/SYMPTOM


1: Output

Customer

2: Pathway

3: Handoffs over connections

Request

Response

Request

Response

Target condition: Prediction of process with countermeasures in place.

ON TARGET CLARITY

NO FUMBLES

NO IMPEDIMENTS

SYMPTOM CURED

Problem Solving: A ‘Sick’ Process



Problem= Departure

from Defined Normal



Step 1: (Home)work on our own processes

Step 2: Together improve processes to improve process improvement

Step 3: Join up with other teams

Hosts Guests

Guests

Knowledge Sharing: Example



Symptom causes: •  Delays <-- Unclear output •  Confusion <-- Broken

pathways •  Fumbles <-- Broken

handoffs •  Impediments <--

unreliable methods


Symptom relief: •  On-time <-- Clear output •  Clarity <-- Well designed

pathways •  Well-synced <--

Dependable handoffs •  No obstacles <-- Reliable

methods



1:

Output

Customer

2: Pathway 3: Handoffs over

connections

Request

Response

Request

Response

DELAYS CONFUSION

FUMBLES



1:

Output

Customer


connections

Request

Response

Request

Response


ON TARGET CLARITY

NO FUMBLES

NO IMPEDIMENTS SYMPTOM CURED



Problem= Departure

from Defined Normal






unreliable methods





methods



1:

Output

Customer


connections

Request

Response

Request

Response

DELAYS CONFUSION

FUMBLES



1:

Output

Customer


connections

Request

Response

Request

Response


ON TARGET CLARITY

NO FUMBLES




Problem= Departure

from Defined Normal



Takaoka

Motomatchi

Tsutsumi

Kyushu

Global Production

Center Tahara

1:Pull Local Expertise to Best Collectively Known Method

Kentucky Indiana

NUMMI

W. Virginia

Ontario

Texas

3:Share with plants and collect feedback for modification

NA Production

Support Center

2:Share with regional support centers

4:Feedback from regional support centers






unreliable methods





methods



1:

Output

Customer


connections

Request

Response

Request

Response

DELAYS CONFUSION

FUMBLES



1:

Output

Customer


connections

Request

Response

Request

Response


ON TARGET CLARITY

NO FUMBLES




Problem= Departure

from Defined Normal

“Community of Use” “Writer/Researcher” “Reader/User”

Channel w/ Editor/Owner



Section 7: High Velocity Management


Beyond the Vernacular

Value stream maps Continuous flow ‘Focused factory in the factory’ Re-engineering

Design before use

PDCA Shewhart Cycle DMAIC A3 Scientific Method

Poka Yoke SPC Jidoka

Test in Use

Learn from Use

Modified: Mar 2 11

Intent Tool

Standard work Scientific management


…Assignment…

•  What is the complexity in your own work?

•  What is the structure/non structure?

2 steps to increase it!

•  Where is the daily discovery?

2 steps to increase it!


The Perfect Storm to Hit Toyota • Competing on capabilities.

• Capability to develop capabilities gets taxed

-- Market expansion

-- Technological complexity

-- Regional diversification

Documents

Greatness is Possible!!! Innovation, Leadership and ... · 22/03/2012 · Jack Smith: CV • Education – Princeton: BS Mech Eng. Summa Cum Laude & Phi Beta Cappa – Berkeley PhD