Se ha denunciado esta presentación.
Utilizamos tu perfil de LinkedIn y tus datos de actividad para personalizar los anuncios y mostrarte publicidad más relevante. Puedes cambiar tus preferencias de publicidad en cualquier momento.

How Organizational Chaos Destroys Improvement Initiatives & What to Do to Prevent It

2.952 visualizaciones

Publicado el

To subscribe: http://www.ksmartin.com/subscribe

To buy the book: http://bit.ly/TOObk

This material is from a talk I gave to SME CONNECT in San Diego on Wed, Sep 12, 2012. It was not recorded. Promotional copy:

More than 80% of improvement efforts fail to make a discernible difference in overall business performance, regardless of the improvement methodology in use. The reason isn’t a flaw in the methodologies, but a flaw inside of companies. Organizations in all sectors fail to meet their full potential because of self-inflicted chaos.

In this high energy session, Karen Martin will share her findings from more than 20 years of working with organizations of all types and sizes and offer practical how-to’s for preventing and eliminating organizational chaos. Specific topics will include:

• Why Lean, Six Sigma, and other improvement efforts don’t deliver the results you want and need.
• The four fundamental conditions for outstanding performance – and how their opposing conditions are preventing you from moving forward.
• How to instill clarity, focus, discipline and engagement into your organization’s DNA, enabling success!

You will leave the session armed with the know-how to build the organizational behaviors you need to achieve greatness.

  • Sé el primero en comentar

How Organizational Chaos Destroys Improvement Initiatives & What to Do to Prevent It

  1. How Organizational Chaos Destroys Improvement Initiatives & What to Do About It Karen Martin SME CONNECT September 12, 2012
  2.  Founder: Karen Martin & Associates, LLC (1993). Consultant / Coach: Lead Lean transformations & develop people in office, service and knowledge environments. Teacher: University of California, San Diego’s Lean Enterprise program. Author: Karen Martin,  Principal www.ksmartin.com Just released 2nd Edition  October 2012
  3. Topics • Why Lean, Six Sigma, and other improvement  efforts don’t deliver the results you want and  need. • The four fundamental conditions for outstanding  performance—and how their opposing conditions  are preventing you from moving forward. • How to instill CLARITY, FOCUS, DISCIPLINE, and  ENGAGEMENT into your organization’s DNA,  enabling success.© Karen Martin & Associates, LLC
  4. Success with Improvement 2001 – The Economist 70% 63% 60% 50% 40% 30% 20% 17% 20% 10% 0% None Temporary Lasting© Karen Martin & Associates, LLC 4
  5. …A Decade Later 2010 – Accenture 80% 70% 69% 60% 58% 50% 40% 33% 30% 20% 10% 0% “Mixed” to  Minimal  Needs re‐evaluation,  “disappointing”  financial  restart or complete  results impact makeover© Karen Martin & Associates, LLC 5
  6. To Err is Human Institute of Medicine, 1999 Up to 98,000 deaths annually due to medical errors. 8th leading cause of death in U.S.© Karen Martin & Associates, LLC 6
  7. 7
  8. To Err is Human Institute of Medicine, 199998,000 lives lostImprovement Goal:Reduce by 50% in 5 years. 8
  9. Not. Even. Close.© Karen Martin & Associates, LLC 9
  10. Something Is Terribly Wrong… 33% hospitalized  180,000 Medicare  patients are harmed;  patients die annually  7% result in permanent  Progress has been  from medical errors. injury or death. slow. Office of the        Inspector  General Health Affairs Journal of the American  Medical Association 2009 2010 2005 Annual death toll  2010 No significant change  2011 from medical  in rate of  errors is closer to  preventable errors. 200,000. New England Journal of  Dead by Mistake Medicine Heart Newspapers  Special Report 10© Karen Martin & Associates, LLC
  11. 11
  12. We need to  improve how we improve. 12© Karen Martin & Associates, LLC
  13. Self‐inflicted© Karen Martin & Associates, LLC
  14. A Chaos‐Cracked Foundation  Can’t Support Excellence© Karen Martin & Associates, LLC 14
  15. Mindsets &  Behaviors  that Reduce  Chaos© Karen Martin & Associates, LLC
  16. “Effectiveness is a  habit.” — Peter Drucker 16© Karen Martin & Associates, LLC
  17. Clarity Engagement Focus Discipline© Karen Martin & Associates, LLC
  18. How Does Your Organization Rate? 1. Clarity – Truthful, accurate, timely, relevant,  unambiguous information. 2. Focus – Avoiding unnecessary distraction;  organizational consensus around priorities and  consistent follow‐through. 3. Discipline – One known way to do work,  manage & make decisions; processes that are  continuously measured and improved. 4. Engagement – Workforce is eager to come to  work each day and leave each day feeling  creatively, intellectually, and emotionally  fulfilled.© Karen Martin & Associates, LLC
  19. © Karen Martin & Associates, LLC
  20. © Karen Martin & Associates, LLC 20
  21. How Does Your Organization Rate? 1. Business Goals & Priorities – What are you striving for?  What’s important to accomplish THIS year? 2. Customers & Products – Who are your customers? What  value do you deliver to them (e.g. which problems of theirs  are you solving?) 3. Roles & Responsibilities – Who delivers value and  supports the deliver of value? Who do you go to for what?  Who needs to be involved in each decision? 4. Process performance – How does work get done? How  well are you performing? How should you be performing? 5. Problems – Do you avoid attempting to solve problems  until the problems and the root causes for them are clear? 6. Communication – Do you refer to forms, depts, projects,  products and processes by the same term? Do your  acronyms confuse or clarify? © Karen Martin & Associates, LLC
  22. 22
  23. Gaining Clarity: How Work Gets Done Value Stream Maps© Karen Martin & Associates, LLC
  24. Key Process Metrics: Quality • %Complete and Accurate (%C&A) – % of incoming work that’s “usable as is”; the downstream  customer can perform task without reworking (“CAC”): • Correct information or material that was supplied • Add information that should have been supplied • Clarify information that should have or could have been clearer – Determined by the person receiving the input; metric goes  on the output block. – Measured by the immediate downstream customer and all  subsequent downstream customers© 2012 Karen Martin & Associates, LLC 24
  25. How clear is the information   needed to perform work? Customer Process Process Process Process 1 2 3 4 25© Karen Martin & Associates, LLC
  26. Measuring In‐Process Quality Customer %C&A = 50% Step 1 Step 2 Step 3 Step 4 %C&A =  %C&A =  %C&A =  %C&A =  75% 80% 99% 80% %C&A is placed on the output step Rolled %C&A = 24%© Karen Martin & Associates, LLC 26
  27. How are you performing? Gray – Highest industry quality scores Purple – Median industry quality scores Blue – Our quality scores 27
  28. “Going to the gemba  has been life changing  for me as a leader.” ‐ Ginny Cattaneo, Sr. VP, Franklin Templeton Investor Services © Karen Martin & Associates, LLC 28
  29. Truth Truth Truth Truth Truth Truth Truth Truth© Karen Martin & Associates, LLC Truth 29
  30. Booz & Company Findings 90% 82% 80% 70% 64% 60% 49% 50% 40% 30% 20% 10% 0% No written Conflicting Competing priorities priorities demands© Karen Martin & Associates, LLC 31
  31. “The difference between successful people and very successful people  is that very successful people  say no  to almost everything.” — Commonly attributed to Warren Buffett 32© Karen Martin & Associates, LLC
  32. Distraction Kills© Karen Martin & Associates, LLC 33
  33. The Master of Focus “…saying no to 1,000 things to  make sure we don’t get on the  wrong track or try to do too  much. We’re always thinking  about new markets we could  enter, but it’s only by saying no  that you can concentrate on  the things that are really  important.” — Steve Jobs© Karen Martin & Associates, LLC 34
  34. To create new  ideas is a gift, but  to choose  wisely is a skill. ‐ Ryan Morgan© Karen Martin & Associates, LLC 35
  35. There is no such thing  as multitasking.* * For cognitive tasks.© Karen Martin & Associates, LLC
  36. Timed Activity Focus reduces chaos. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Round 1 – Letter, number, letter, number: F, 1, O, 2, C, 3, etc. Round 2 – full sentence, followed by numbers 1‐17© Karen Martin & Associates, LLC 37
  37. Improve Productivity through Greater Focus Productivity (Pounds Produced / Hr Worked) 115.0 Pactiv 108.0 Implements Strategy 105.9 Deployment 101.0 95.2 94.0 93.0 90.6 87.0 86.3 84.8 80.0 FY 06 FY 07 FY 08 FY 09 FY 10 YTD 11© Karen Martin & Associates, LLC 38
  38. Company ABC Product Launches Per Year 80 73 70 60 No additional  resources;  50 higher quality  40 products  launched 30 24 20 10 0 Pre‐Focus Post‐Focus© Karen Martin & Associates, LLC 39
  39. Rockwell Automation 25 20 20 Projects 15 Started 12 12 10 Projects 5 Completed 3 0 Pre‐Focus Post‐Focus 40© Karen Martin & Associates, LLC
  40. Recession deepens 2.5x  more Medicaid patients ThedaCareImplements  Strategy Deployment 41
  41. Create an Annual Work Plan 1. Gain clarity and consensus around overarching  business needs. 2. List everything you could do (and that you are doing). 3. Categorize into: – “Must‐do, can’t fail” – Maybe – Eliminate 4. Decide what you will do – prioritize “maybe’s”; gain  consensus. 5. Create plan. 6. Manage plan via weekly updates (may be able to  reduce to monthly reviews – but be careful!). 42© Karen Martin & Associates, LLC
  42. PACE Improvement Prioritization Grid ‐ Example 9 22 17 23 8 3 21 Easy 10 4 13 5 15 Ease of Implementation 20 14 19 1 16 7 6 2 11 18 12 Difficult Low High© Karen Martin & Associates, LLC Anticipated Benefit
  43. Prioritization Grid 1 2 3 EasyEase of Implementation 4 5 6 7 8 9 10 Difficult 11 12 13 14 15 Low High © Karen Martin & Associates, LLC Anticipated Benefit
  44. Downloadable Excel Prioritization Chart  The Outstanding Organization: Achieving Focus Chart Title Prioritization Chart To use this Template: 1) Enter the title of the chart in Cell B2 Number of Items 5 2) Enter the number of items (e.g. projects, improvement activities, etc.) in cell B4 4 3) Enter the item name and ranking information into A8-D8 and so on. Organizational Degree of Item Name Benefit Execution Ease Urgency* Item 1 9 1 1 Prioritization  Chart Item 2 7 3 2 10 Item 3 5 5 3 Item 4 3 7 4 9 Item 5 1 9 5 8 7 Execution Ease 6 5 4 3 2 1 0 0 1 2 3 4 5 6 7 8 9 10 Organizational Benefit * Degree of urgency is indicated by bubble size. www.ksmartin.com/the‐outstanding‐organization www.scribd.com/doc/101695938/Prioritization‐Chart© Karen Martin & Associates, LLC
  45. Annual Improvement Plan Company ABC Priorities FY 2012 FY 2013 Exec  Tactical  Priority Others Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Owner Owner MS‐2  MS‐1 Integrate DHR Begin Acct Brad P Ops Complete Complete New  Travel Program  Begin Complete Scott R Fred S Roll‐out Roll‐out Tablets to  Begin &  Brad P Installation Complete Lisa D,  Complete 360  Marina, Begin Complete Justin C Steve R Roll‐out SM, Tech, Hal, Doug Create Line‐item  Begin Complete Lisa B Mark C P.O.s Refinance credit  Begin Scott R facility Complete ADP  Begin Complete Gary O Roll‐out Not  Develop & Roll‐out  MS‐1 MS‐2 MS‐3 Begin complete  Steve C TBD Handheld 2.2 Clean Code Pilot Go live until 2013 Complete GPS  RDs Cons.,  Begin Complete Steve C Roll‐out HR, Fleet Complete "River"  (One Soft)  Begin Complete Lisa B Roll‐out Develop Safety  Begin Complete Gary O Program© Karen Martin & Associates, LLC 46
  46. Strategy Deployment Key Feature:  Catchball What? How? Executive  Who? Team When? What? How? Senior  Who? Mgmt When? What? How? Middle  Who? Mgmt When? What? How? Frontlines Who? When? 47© Karen Martin & Associates, LLC
  47. Frequent Status Meetings Assure Ongoing Alignment & Distraction Avoidance 48
  48. Avoiding the “Shiny Ball Syndrome”  Requires the 3 C’s: • Clarity – about what really  matters. • Consensus – about what  really matters. • Courage – to actively  choose to “not do” or “not  do now.”© Karen Martin & Associates, LLC 49
  49. Greatness results fromDisciplined people engaged in disciplined  thinking that leads to disciplined action. — Jim Collins, Good to Great 51
  50. 52
  51. Discipline:  A deliberate practice  repeatedly performed. Discipline = Consistency© Karen Martin & Associates, LLC
  52. Practice vs. Performance Perform  Train 99% 100% 90% 90% 80% 70% 60% Train 50% Perform 40% 30% Perform  20% 10% Train 1% 10% 0% Athletes Businesses Jim Loehr & Tony Schwartz,               The Power of Full Engagement© Karen Martin & Associates, LLC 54
  53. Building mastery takes 10,000 hours  of deliberate practice© Karen Martin & Associates, LLC 55
  54. Areas in Business & Government  That Benefit from a Disciplined Approach • Planning • Decision making • Executing • Problem Solving & Improving • Managing processes© Karen Martin & Associates, LLC
  55. “It takes a different kind of thinking to  solve a problem than the kind of thinking  that produced the problem.” — Albert Einstein 57© Karen Martin & Associates, LLC
  56. “Most people spend more time and  energy going around problems          than in trying to solve them. ” — Henry Ford 58© Karen Martin & Associates, LLC
  57. The Scientific Method for Problem Solving         and Improving© Karen Martin & Associates, LLC 59
  58. Clarifying the PDSA Cycle Phase Detailed Steps New    1.  Define and break down the  problem. Problem50‐80%    2.  Grasp the current condition. of the  Develop  Plan   3.  Set a target condition. total  Hypothesis   4.  Conduct root cause & gap analysis. time Continuous    5.  Identify potential countermeasures. Improvement   6.  Develop & test countermeasure(s) Conduct  Do   7.  Refine and finalize countermeasure(s). Experiment   8.  Implement countermeasure(s). Evaluate  Study   9.  Measure process performance. Results 10. Refine, standardize, & stabilize the process. Refine  Adjust Standardize  11. Monitor process performance. Stabilize 12.  Reflect & share learning. 60
  59. Developing PDSA Capabilities Complex • A3 Management • Kaizen Events • Daily Kaizen (Improvement &  Simple Coaching Kata)© Karen Martin & Associates, LLC 61
  60. Areas in Business & Government  That Benefit from a Disciplined Approach • Planning • Decision making • Executing • Problem Solving & Improving • Managing Processes© Karen Martin & Associates, LLC
  61. Standard Work Practices (Discipline) Produce  Consistent Results R1 Inconsistent People or  Approaches R2 Inconsistent Equipment R3 Results R4 Standardized Work People or  Consistent Equipment Results© Karen Martin & Associates, LLC
  62. Every key process… 2‐5 Key Performance Indicators Monitored Continually© Karen Martin & Associates, LLC 64
  63. Processes MUST be Clearly Documented,  Monitored & Improved Current State Metrics-Based Process Map PT Units Process Details Mapping Team Seconds Hours Process Name Order Fulfillment Dianne OShea Ryan Austin Minutes Days Specific Conditions Domestic orders through sales force Sean Michaels Mary Townsend LT Units Occurrences per Year 37,500 Sam Parks Seconds Hours Hours Worked per Day 8 Paul Dampier Minutes Days Date Mapped 26-Nov-07 Michael Prichard Step # ? 6 7 8 9 Function / Department Activity PT LT %C&A Activity PT LT %C&A Activity PT LT %C&A Activity PT LTCustomer Notify customer Fax PO toSales Rep Approve PO 15 240 100% 5 20 100% when they can 15 300 95% Account Manager expect delivery Review andAccount Manager approve PO; send 5 240 100% to Order Entry Enter order intoOrder Entry 10 240 SAPFinance / Credit
  64. We need to shift our focus from managing people to managing processes. 66© Karen Martin & Associates,LLC
  65. Criteria for “Minding the Store” • All processes MUST have a process owner. – Closer than farther from the work. – Recognized as having the authority to lead  improvement. • 2‐5 KPIs for every major process. • Frequent measurement. • Visual display of the results. • Relentless pursuit of problems and/or “raising  the bar” (continuous improvement).© Karen Martin & Associates, LLC 67
  66. Don’t Look Away. Ever.© Karen Martin & Associates, LLC 68
  67. © Karen Martin & Associates, LLC
  68. Energy Crisis: Widespread Disengagement 70
  69. Engagement Drivers: The Three C’s  Connection Control Creativity© Karen Martin & Associates, LLC 71
  70. Establishing the conditions for full engagement: The workforce designs how work should be done. 72
  71. Signs that You’re Disrespecting the Workforce 1. Employees aren’t actively engaged in determining how  work is done, making improvement and planning for the  future. 2. If someone makes a mistake, you blame the person  versus your systems and processes. 3. Employees lack the skills to feel confident and display  competence and you haven’t provided ample training  and development. 4. You don’t provide ongoing, effective coaching. 5. Your processes don’t allow employees to be successful. 6. Employees aren’t clear about organizational goals and  priorities. 7. You’re not honest and/or omit important information.© Karen Martin & Associates, LLC
  72. Reducing Self‐Inflicted Chaos:  Where Should You Start?© 2012 Karen Martin & Associates, LLC 74
  73. Places to Start… 1. Develop an intolerance for ambiguity. 2. Prioritize your work; reduce the number of  active projects at once. 3. Ban electronic devices from meetings. 4. Adopt a problem‐solving methodology and  deploy it broadly; get a coach! 5. Document, standardize and improve all major  processes with significant involvement of the  workers themselves. 6. Identify process owners and KPIs for each.© Karen Martin & Associates, LLC 75
  74. As Outstanding as They Come… Discipline 76
  75. 77
  76. Karen Martin, Principal 7770 Regents Road #635 San Diego, CA 92122 858.677.6799 ksm@ksmartin.com Twitter: @karenmartinopexSubscribe: www.ksmartin.com/subscribe 78

×