LEAN CULTUREPRESENTED BY KRISTI ROWLAND, CITY OF RENTONSEPTEMBER 14, 2017

WFOA 62nd Annual ConferenceThree Rivers Convention Center

September 12-15, 2017

Slide 1

OBJECTIVES FOR THIS HOUR

Introductions to: 1. What is Lean Culture?2. Why does it matter?3. How to get there

Slide 2

WHAT IS LEAN CULTURE?“Lean Culture refers to the combination of defining customer value, aligning around a common purpose, striving for perfection while at the same time respecting and developing employees.

The idea is that there is more to process improvement than using a set of tools and concepts. Also, the people who do the work should be the ones who fix the processes.

Lean Culture results when in the quest to provide customer value, the leadership supports and promotes the building of the ‘problem solving muscle’ of the workforce.”

Slide 3

WHAT I LOVE ABOUT LEAN CULTURE…

CompassionRespect

Humility

Slide 4

VIDEO

Inno-Versity Presents: Greatness by David Marquet

https://www.youtube.com/watch?v=psAXMqxwol8

Slide 5

EMBRACING LEAN IS (USUALLY) A CHANGE IN CULTURE

Command and Control Empowerment

Finding/Assigning Blame Respect/Learning

We’ve always done it that way Enthusiastic experimentation

Slide 6

HOW DOES YOUR ORGANIZATION RESPOND TO CHANGE RIGHT NOW?

Slide 7

MYTH: MOST CHANGE IS LIKELY TO FAIL

From the articleStop Using the Excuse “Organizational Change Is Hard,

By Nick Tasler, HBR 7/19/2017

70% of change efforts fail

Slide 8

Management Leadership Engaged Workforce

Successful Change

Slide 9

THE LEADERS JOB? SET THE VISION

Clarity of purpose “Let’s go there because…”

Inspire “We can do it!”

Support “I’m in this with you.”

Slide 10

THE MANAGERS JOB? MAKE IT HAPPEN

• Bosses discourage actions aimed atimplementing the new vision

• Formal structures make it difficult to act• A lack of needed skills undermines action• Personnel and information systems

make it difficult to act

Barriers to Empowerment

From: Leading Change byJohn Cotter

Slide 11

THE MANAGERS JOB? ENGAGE!

• Communicate the vision, often

• Align structure to be compatible withthe vision

• Provide training and more training• Align IT and HR with the vision

Empowering people to effect change

From: Leading Change byJohn Cotter

• Confront supervisors who underminethe vision

Slide 12

WHY BOTHER?

Slide 13

CITY WORKERS IN THE U.S.THAT AREUNHAPPY OR DISENGAGED WITH THEIR JOBS:

GALLUPMay 16, 2017

71%

Slide 14

“I DON’T CARE IF PEOPLE ARE HAPPY IF THEY ARE GETTING THE WORK DONE.”

Slide 15

“I DON’T CARE IF PEOPLE ARE HAPPY IF THEY ARE GETTING THE WORK DONE.”

650 FTE’S X 71%

462 DISENGAGED EMPLOYEES

From October 2013 article How Much Disengaged Employees Really Cost YouJames O'Brien, PhD; Contributor, Amex OPEN Forum

“A recent ADP study put the cost at $2,246 per disengaged employee per year.”

$2,246/year x 462

$1,037,652/year

Let’s do the math

Slide 16

THIS IS WHERE LEAN COMES IN

Slide 17

GO AND SEE…ENGAGE!

• Artifacts• Behavior• Environment• Data

Slide 18

WHY DOES YOUR CULTURE MATTER?

Created by Stanley N. Herman, TRW Systems Group 1970

Slide 19

*From Covert Processes at Work,by Robert J. Marshak

HOW TO UNCOVER YOUR COVERT PROCESSES

O = OmissionsWhat is played down? Avoided? Glossed over? Denied? Ignored? Soft?

C = ContextWho are the players? What’s our history? What is our pecking order? What are our procedures? Where are we in the system(s)?

E = EmphasesWhat is pursued? Loud? In-depth? Proclaimed? Pointed out? Prominent?

Marshak’s Covert Process Diagnostic Formula

P = Patterns What sequences are evident? What do our relationships look like? What is repeated?

Covert Process Clue = F[(P)(C) x (E/O)Slide 20

*From Covert Processes at Work,by Robert J. Marshak

HOW CAN I POSSIBLY….?!

Look in the mirrorBe self aware and seek feedback to explore your blind spots (Don’t get defensive! Honest feedback is a gift!)

Seek progress, not perfectionMeasure progress, clarify outcomes without judgement (and celebrate learning!)

Assume people are trying their bestMake your support visible and obvious, show compassion and humble curiosity

Create safety and trust! Extending trust and creating safety gives autonomy which, in turn, creates more trust.

Be consistent with your roleCommunicate – communicate – communicate; manage expectations constantly

Slide 21

ASK WHY…SHOW RESPECT

• Process-oriented• Confrontational• Diagnostic• Humble

Four types of inquiry

Slide 22

ASK WHY…SHOW RESPECT

• Better conversations• Better relationships

If we learn to do this, the positive consequences will be:

“It takes some discipline and practice to access one’s ignorance, to stay focused on the other person.”

*From Humble Inquiry,by Edgar H Schein

Slide 23

HUMAN RESPONSE TO CHANGE

*From Managing at the Speed of Change,by Daryl R. Conner

“A critical factor affecting our perception of change as positive or negative is the degree of control we exercise over our environment.”

Slide 24

People have a strong need for

control

This need can be met by dictating or anticipating

their future

Specific expectations are established based on what can be

dictated or anticipated

When reality matches

expectation, a sense of control is

achieved and equilibrium is

reached

When reality does NOT match expectations, the feeling of

control is lost and people must adjust to the change they were

unprepared to face.

HUMAN RESPONSE TO CHANGE (D. CONNOR)

*From Managing at the Speed of Change, by Daryl R. Conner

Slide 25

FAILING TO EMPOWER = NEGATIVE RESPONSE TO CHANGE

v.

*From Managing at the Speed of Change, by Daryl R. Conner

Slide 26

EMPOWERING THROUGH CHANGE = POSITIVE RESPONSE

v.

*From Managing at the Speed of Change, by Daryl R. Conner

Slide 27

SO WHY DOES THIS MATTER? THIS ISN’T EASY!

Slide 28

WHAT WE DO AT RENTON

• Weekly discussion group (open to all)• Book clubs (executive and staff)• Management discussion group• Coaching, mentoring, guidance • Facilitation• Resource Library• Training• GPC

Slide 29

WHO I LEARN (AND BORROW) FROM: Many thanks to:

Larisa Benson, Government Performance ConsortiumWendy Fraser, UW-TacomaMegan Gregor, RentonJennine Griffo, SAO LGPCDeb Needham, RentonBrian Willet, VancouverLean Six Sigma Black Belt Classmates at UWT

Government Performance Consortium UW Tacoma Keybank Professional Development Center staff SAO Local Government Performance Center staff WSDOT Lean Program

Slide 30

RESOURCES: Recommended Books:

• Humble InquiryEdgar H. Schein

• Covert Processes at WorkRobert J. Marshak

• Leading ChangeJohn P. Cotter

• Managing at the Speed of ChangeDaryl R. Conner

• Building the FIT OrganizationDan Markowitz

• Toyota KataMichael Rother

• Extreme Government Makeover Ken Miller

Websites I use:

• SAO Local Government Performance Centerhttp://portal.sao.wa.gov/PerformanceCenter/

• Lean Enterprise Institutehttps://www.lean.org/

• Government Performance Consortium hosted by MRSChttp://mrsc.org/Home/Explore-Topics/Management/Performance-Management/Government-Performance-Consortium.aspx

• Minnesota Office of Continuous Improvementhttps://mn.gov/admin/continuous-improvement/

Slide 31

You can reach me at: KRowlandRentonwa.gov