Leading the Change

Process
Book Manufacturers
Manufacturers Institute
Institute
Book
Management Conference
Conference
Management
Spring 2006
2006
Spring

David Meier
Lean Associates, Inc.
All materials copyright 1992-2006 Lean Associates, Inc. all rights reserved. No
part of this presentation may be reproduced without written permission from Lean
Associates, Inc.
1000 Falcon Wood Way Lexington, KY 40511 (859) 552-5326

Thanks to Jeffrey Liker for

some information

The Toyota Way 4 P

Model
Problem
Solving

(Continuous
ImprovementandLearning)

Peopleand
Partners

(Respect,ChallengeandGrowThem)

Process

(EliminateWaste)

Philosophy

(LongtermThinking)

Copyright 2006 Lean Associates, Inc.

859-552-5326

Source: Jeffrey Liker,

Author: The Toyota Way

Create a LongTerm Philosophy

A journey of one thousand
miles begins with a single
step
FollowedConfucius
by about 2 Million
difficult, challenging, continuous
steps.
David Meier
All materials copyright 1992-2006 Lean Associates, Inc. all rights reserved. No
part of this presentation may be reproduced without written permission from Lean
Associates, Inc.
1000 Falcon Wood Way Lexington, KY 40511 (859) 552-5326

Lean Systems are a Matter of

Philosophy

Lean Thinking
Learning to See Waste
Thinking Production System
Good Thinking, Good Products

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859-552-5326

Defining the Purpose of the

Organization
Internal

People

External

LearningCommunity

LearningEnterprise

ST:CapablePeople
LT:LearningtoImprove

ST:CapablePartners
LT:LearningEnterprise

Company
Purpose
Business

LeanSystems

ValueAddingContributor

ST:CapableProcesses
LT:ValueStream
Improvement

ST:Profitable
LT:Growthandcontributing
tosociety

Key: ST=Short term LT=Long term

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Philosophy
Waste Elimination

Start with
Philosophy
end with
desired
results

Performance Measure
Reduced Lead Time

Principle
Create Continuous
Process Flow
Strategy
Create Interdependent
"Connected" Processes

Lean Tools
Kanban, Supermarkets,
Defined FIFO Lanes

Method
Pull System

Result
Waste is
Reduced!

Reason
Problems are Surfaced
Quickly and are Critical

Control Method
Utilize Visual Controls so
That no Problems are
Hidden

Effect
Problems Must be
Corrected Quickly

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Establish a Long-term Vision

Why do lean?
What is your personal motive?
How will you create an environment
that goes beyond mere compliance?
Are you committed to the journey?

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What is Leadership?
Getting people to go where they would
not normally go
Getting people aligned to a common
objectives
Having guts
Being a talent scout and developing
talent
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Great Leadership Begins With Desire

More than a desire for the position or rank

Leadership skills can be taught, desire
can not

Desire to learn
Desire to face the challenges
Desire to find the value in people
Willingness to persevere

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859-552-5326

The Process Always Begins With

Leadership
Are you willing to make short-term
sacrifices for long-term benefit?
Can you make the tough decisions?
Are you willing to stand against the
tide?
Are you willing to face the challenges of
changing a culture?
Really?
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Committed versus Involved

Cow, Chicken, and Pig
How much will you learn about the
process?
How will you guide and coach if you do not
learn?

How much time will you personally

invest?
Many people sense the commitment of the
leader and commit to the same degree
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Focus on the Desired Outcome

not just the roles and responsibilities of
the position
Supporting Operations- Continuously
improving process and results
Supporting and developing people (a
leader develops other leaders)
Leading the people in the process of
change
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Copyright 2006 Lean Associates, Inc.
859-552-5326

People
If it werent for the people this
would be easy.
But, if it werent for the people this
would be impossible.

All materials copyright 1992-2006 Lean Associates, Inc. all rights reserved. No
part of this presentation may be reproduced without written permission from Lean
Associates, Inc.
1000 Falcon Wood Way Lexington, KY 40511 (859) 552-5326

Importance of People at Toyota

We build people, not just cars.
Toyota is frugal on manufacturing
expenses, but lavish on people costs
(development, incentives, rewards).
Thinking is a critical ability and it is
expected. Without the ability to think
and to improve the system is useless.

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Importance of People

Motivating
Developing
Challenging
Getting the best thinking
Getting the best effort
Maximizing the return on human
investment
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The $64,000 Questions

How do you get people to buy in
How do you convince the people who
dont want to change?
How do you get people motivated?
What was wrong with the old way?

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Nucor Steel on the Art of Motivation

Employees will make an extraordinary effort if
you reward them richly, treat them with
respect, and give them real power.
The art of motivation is about an unblinking
focus on the people on the front line of the
business.
Nucor does not just create steel, they create
knowledge.
Our culture is a living thing. It will never die
because we will never let it die, ever.
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Business Week 05/01/06

Making the Work Meaningful

People want to know that what they do
matters
People expect to have meaning in their
work
Lets face it, the task can be routine

There is a high priority on learning and

development
People like to feel a sense of
accomplishment
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The Key to Motivation- Know the People

Moving towards
positive
influence
Challenge,
Reward,
Achievement

Money is
not the
only
motivator!

Moving awa
from negativ
influence

Fear,
Reprisal,
Loss

Embarrassment, Failure
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Clarify Expectations
Not everyone
needs to be a
star
Above
Expectation

Below
Expectation
But no one can
be below
expectation
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Helping People Develop Capabilities

Identify interested people
Know people
What do they like and want?

Find what is aligned with the needs of the

organization
Specify your interests and needs
Identify obstacles and need for change
Provide Support
Provide Guidance
Achieve mutual objectives
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The People Bell Curve

W.A.V.E
.

W.A.S

C.A.V.E.

90%

5%

5%
Where will you spend your time and
effort?
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The People Curve

You need to find
the 5% of the
population from
the WAS group
True who can influence True
W.A.V.E the masses
C.A.V.E.

More Wave More Cave

Tendencies Tendencies

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Reach the Critical Mass

Small percentage will influence the
masses
Reach the unofficial leaders
People dont like to be left out of
something good
People dont want to stand alone from
the crowd
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Continuous Improvement
Every day, little up
Some days, big up

Until you take the first step, it will not be

possible to see the next step
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859-552-5326

Questions / Comments
Contact Information:
David Meier
859-552-5326
Dmeier@leanassociates.com

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Copyright 2006 Lean Associates, Inc.
859-552-5326