Embed Size (px)
Citation preview
Lean Thinking and Lean Government
Jeff Fuchs
Lean Thinking Defined
• Lean can improve any process in any organization• Lean is satisfying customers better, more efficiently & hassle‐free• A philosophy – a way you do everything, not another thing to do• A journey vs a destination: becoming lean vs achieving lean• Lean is an organization‐wide habit of learning and adaptation
Lean Thinking is precisely defining value byspecific product/service, identifying the valuestream for each, making value flow one-by-one without interruptions, letting eachcustomer pull value from the producer, andcontinuously pursuing perfection.
- adapted from Womack and Jones
The Lineage of Lean Thinking
The EarlyToyota
ProductionSystem(TPS)
Lean Thinking:Generic TPS
TPS + The Toyota Way
SakichiToyoda
HenryFord
TrainingWithin
Industry
TheQuality
Movement
The Toyota Way
Continuous Improvement
Respect forPeople
The Toyota Way is a set of principles and behaviors that underlie Toyota’s managerial approach and production system.
The Evolution of Lean Thinking
Lean Automotive
Lean Manufacturing / Service
Lean Construction
Lean Healthcare
1960 1980 2000
Lean Gov’t
Lean AerospaceOperations
Supply Chain
Lean Office / Service
ProductDevelopment
Accounting
Sales &
Mktg
Lean Is About:
Cycles of PDCA
Customer Value, Less Waste
Total Culture Change
The Way You WorkEvery Day
Systematically
Solving Problems
Everybody
“SSPEED”
Continuous Improvement Family Tree
The Scientific Method
Lean Is About The Scientific Method
Using the Scientific Method for “non‐sciencey stuff”
XPS: The _____________Performance System
Lean Is About The Scientific Method
Lean Is About The Scientific Method
• What is the current process performance?• What is the target process performance?• What is causing the performance gap?• What is your hypothesis for closing the gap?• What is your improvement experiment?• Do actual results match predicted results?• What did you learn?
Toyota Meals per Hourhttps://www.youtube.com/watch?v=EedMmMedj3M
Lean Is About Problem‐Solving Abilities
Toyota is a company that is totally focused on developing the problem‐solving abilities of its people.
(And they also make cars.)
Everybody, Every Day
TraditionalImprovement
[Dis]continuousImprovement
True ContinuousImprovement
The State of the Lean Union
Lean Government Case Study:Michigan Dept of Environmental Quality
• Major Permits: 422 to 98 days (77% faster)• Minor Permits: 143 to 50 days (65% faster)• Application C&A: 82% to 95% (16% better)• Staff time redirected to mission‐critical work• Improved relationships, better communication with industry applicants
• Improved staff morale
Lean Government Case Study:Minnesota Services for the Blind
• Employee Work Time: 13.7 to 7.2 hours (47% less)• Handoffs: 11 to 6 (45% fewer)• Filing Steps: 4 to 2 (50% fewer)• Decision Reviews: 3 to 1 (66% fewer)• Processing Time: 70 to 20 days (71% faster)
Lean Government Case Study:Jacksonville FL Sheriff’s Office
• Complete, people‐centric lean transformation• “We took over $30M out of our budget because of lean.” (Excluding cost avoidances)
• Elected to a third term as Sheriff “based largely on results achieved through lean.”
http://results.wa.gov/what‐we‐do/measure‐results/results
• 2000 attendees (1500 from 58 state agencies, boards and commissions, 10 counties)
• 127 private sector partners
Challenges to Lean Government
• No Profit Motive• Employee Complacency• Bureaucracy• Systemic Push‐Back• Leadership Turnover• Poor Process Measures• Public Scrutiny• Regulatory Compliance
Keys to Lean Government Success• Lean Thinking: Not a Program ‐ a Philosophy• Lean Is a Way to Improve Every Process Anywhere• Lean, Not Mean! Improvement + Respect for People• Target Performance: Growth, Value, Service • Build an Empowered, Involved Improvement Culture• Develop People To Do Lean; Don’t Do Lean to People• Build Habits, Practice, Learn, Tolerate “Failure”• Lean Transformation = Leadership Transformation• Change the System That Drives BehaviorSystematically Solving Problems, Everybody, Every Day
To Learn More:
Lean TransformationRequires Lean Leadership
Traditional LeanDirector FacilitatorAnswers QuestionsManager CoachResults ProcessProcess People
Short‐Term Long‐TermTransactional Transformational
