How to implement "Lean Thinking" in a Business

How to translate waste to cost - My 1 second lesson!

2012-01-16T20:24:00.000-05:00

So as many of you know, I was blessed with the opportunity to learn lessons from my Japanese trainers during the start up phase at TMMK (Toyota Motor Manuf KY) in 1987-88.   I was in production and we had to determine many things ahead of time in regard to standards, 5S, work instruction, and visual controls in order to meet the needs of our customer which was the Assembly shop.   Each of our groups were assigned a trainer or two depending upon the size and they were there to mentor us every step of the way.   At the time I really didn't think it was so interesting or how priceless their presence really was, they could be very annoying and deep down you wished you could have hid from them. They seemed to ask WHY all the time- go figure!. :)

  Looking back almost 24 years later I didn't realize how special those times were and if I had to do over again I would see it through different eyes- meaning "picking their brains" as much as they would let me.  One of those famous hindsight things we all think about after the fact. Ah! to life experiences!

Their actions and way of thinking did rub off on me and has contributed greatly to the sensei I've become today and how I've led and learned my whole career! I can't begin to thank them for their time and patience they dedicated to our learning.
There is one lesson today I would like to share with you that really opened my eyes to how important the smallest actions are within your daily processes/work and how that translates to the company long term sustainability and also how can learn to do business.

Let's call this the 1 second lesson:

I can remember this vividly as if it was yesterday because it was a moment in time where the lightbulb came on and I was only 19 years old. This lesson defined how I looked at things after that moment. So if know me personally you may say it was the start of my obsession with seeing "muda" or waste. :). If you have been in any of my sessions before you have heard this story.   I speak about it during my morning Culture session on Day 1.   This story was about our culture and how we were taught as individuals to think and how it benefited us in our work and ultimately the company. They valued our thoughts on a minute to minute basis!

So one day our trainer gathered us together and said, "everyone, I have challenge for you"! We were somewhat excited yet nervous regarding what expectation he may put upon us; remember their role was to get us to do what were didn't think we were capable of. Similar to my role now as a sensei!

   So he requested us to all look for 1 sec of waste in our process, for me when he said that it was like a deflated balloon feeling. I was saying to myself inside "Is that all"? "sheesh"!! "Who really cares about 1 sec?" So he sensed we didn't share the same passion for the 1 second as he did so he stopped and explain WHY it was important.   One thing that we were always involved in as workers during my time there was understanding the purpose and why we were doing something.    Many companies explain what they want you to do and sometimes even how they want you to do it, often left out in the cold is the purpose/why its important. See a previous blog post about the WHAT, HOW and WHY! http://thetoyotagal.blogspot.com/2009/04/visual-of-my-lean-implementation-plan.html

So the trainer explained the importance of 1 second.   So basically he translated that 1 second to a cost for the company, which many aren't willing to do nor understand how to do.   He stated, "if everyone in the plant saved 1 sec on their process we could make 8 more cars a shift!"   Internally to myself, I was like "WHAT!" So let's just say that each car was a profit of $1000 dollars (disclaimer** I am making up an easy number for Math) so that is $8000.00 that was "waltzing" out the door that we "rolled our eyes at". No one should care about 1 sec right? Isn't that too picky? Give me a break right? Well after that moment, I started saying "wow", 1 shift, how much is that in a week, month, year? --That adds up! That 1 second could be my Job Security one day Really just 1 second!! So from that moment I was looking for seconds everywhere.

So how do you translate this to your world is the question? I ask companies it may not be a second like it was for us, but it could be:
1 hour of time
1 day of lead time
1 penny
1 dollar
1 week
Where is your waste? Are you seeing it? Can you translate it if you do see it? This type of thinking is a requirement in my opinion not an option. How much has to hemorrhage out your door before you care? "Go Thinking" as my trainer would say!
Until next time
thetoyotagal
Tracey Richardson

You want a tangible action for your leaders trying to do Lean? Try this! GTS "squared"

2011-12-23T11:12:00.000-05:00

As I continue to work with various companies across the United States a common question I'm getting/hearing from clients is - "What should our leaders be doing"?   To me, they seem to be looking for "tangible actions" to tell their leaders to do in this Lean environment they are trying very hard to create.   So many want a magic wand to be waved and the transformation happens quickly.  I wish it was that easy.   As many of you know this isn't the case and Lean has to be "lived", "felt", "experienced", "seen", and backed up by high level leadership walking the walk.   When I was at Toyota the Japanese trainers would commonly use the word "behave". To me that sounded like school, but when you think deeply about an action it can be interpreted as a behavior.

So to help answer that commonly asked question above I would like to introduce an acronym I would like to coin as a quick reminder that ALL leaders should "live".

Unfortunately on this blog I cant insert the little 2 that should go above the GTS, so I will spell it out for you. GTS "squared".   What does this stand for you may ask?   Well let's remember it and start to spread it, its essential if you are trying to transform your company with Lean thinking.

Here is the behavior :)

Go to See & Grasp the Situation! GTS "squared"!!

A leader must always GO TO SEE or Go to the Source, this is a habit that is hard to create.   We tend to rely on assumptions due to our experience or what someone has told us based on "tribal knowledge".   My Japanese training would often say - Please--Go Looking!! Some knew minimal English but we knew what they meant :).     When I do my Gemba (at the work process) days with clients they often cant answer some of the questions I ask because they don't have the facts, just assumptions unfortunately.   Only until we Go To See, we often cant get to the true.

Once we GO SEE, we must then Grasp the Situation, which is the 2nd half of the equation!   How do you grasp the situation?   Well my experience tells me by asking the right questions! In my courses I give out about 200 questions leaders should be asking. We will just begin with the 2 most essential questions a company and their leaders (at every level) should be asking.

What should be happening? (Ideal State or Standard)
What is currently happening? (current state)

These 2 questions should always be quantified! For example:

Productivity should be at 95%

Current productivity is at 85%

This will give us a 10% gap that we will begin to breakdown and ask further questions!

From my experience as a consultant of 13 years now, I find that MOST companies I work with (even ones that you may think should know) can't answer those 2 questions because they do not track the information or they just make an assumption.   To me, because I was raised with this thinking (at Toyota), they are simple questions; its just NOT easy to do or to develop this behavior in our leaders.   Some may ask why not? Mostly because they are running around with a fire hose on their backs! This type of problem solving is weak at best, and surely not repeatable for long term sustainability.    This is NOT the behavior we want but unfortunately its an easy way to do business and inherently learned from above.    Invest in your people, make your leadership accountable for GTS "squared".   It works, try it!
Until next time
thetoyotagal
Tracey Richardson

Sometimes the simplest examples are the best!

2011-12-11T21:41:00.001-05:00

Thanks John Shook for sharing this with me. Sometimes when I train people they want elaborate examples to learn about waste and even how to identify it. As Ive taught, waste is all around us, sometimes we just accept it as "the norm" and never ask enough questions. John shared this with me this week, thought I would post on my blog. Sorry for my absence lately. I have become a sensei on the A3 Dojo at lean.org so its hard to keep up with everything with my travel schedule. I will try harder to post, especially the good stuff from the dojo!! Enjoy the example below, its probably something we all have encounter in one way or another. Merry Christmas and Happy Holiday everyone!!Here is the link. Enjoy!

http://runningahospital.blogspot.com/2011/12/final-toast-to-ihi.html

Organizational Purpose...Do you have one?

2011-04-04T19:42:00.003-04:00

As I am typing I'm in amazement that its Springtime already. I will admit Im ready to travel in warmer weather. The year is definitely progressing quickly and I've enjoyed my training sessions thus far at many different companies across the U.S. My last post was encouraging each of you to grab a copy of Jim Womack's latest book Gemba Walks. I've just finished the book myself over the past few weeks in amongst my teaching and traveling. I have found it very informative as I too, like Jim; try to reflect on my own Lean journey as a teacher/sensei over the last 13 years. With that continual reflection process I've realized how I coached 13 years ago,right after I left Toyota, and how I coach now are a bit different. As Jim states in his book its "hopeful hansei". (Hansei: critical self reflection for the purpose of improvement). It is interesting how we evolve and learn from doing and making mistakes. My Japanese trainer always said "its ok to make them, just learn to ask why they happen and dont repeat!" My goal has always been to teach others not to make those same mistakes I did by sharing my learning process or as the Japanese say shared wisdom.

I've decided to share selected short snippets from Gemba Walks across my next few posts that has reinforced my thinking and allowed me to learn from another viewpoint. We are so lucky that that viewpoint comes from Jim Womack and his experiences. As a consultant its always educational to internalize another sensei's perspective to enhance your own teaching methods. Thank You Jim for sharing with all of us your learning as you have walked over these past few decades.

This post comes from the first section of the book which is "Purpose" (pages 1-18).

As a company do you understand your purpose? How would you define that to others? Some companies may say, "To make a profit!" Is that an unrealistic purpose? Don't we need to have a profit to be successful? I think underlyingly it's a no-brainer that we should make a profit if we want to stay in business. I feel if we look at purpose in a little different perspective, then the outcome of a correctly stated purpose can be linked to your profits. Let me explain.

So if "making a profit and growth" is your company's purpose. Ask yourself, does this purpose have anything do to with what your customers want from you? A better way to look as this is to ask: What does your organization do to solve your customers' problems better than your competitors so that customers old and new will pay good money for your products and buy more over time. Now this is that outcome I was referring to before. If you focus on that question, then by default you will have profits and growth based on customer satisfaction. When we say "make money" that is a result, not a strategy for achieving it.

To some,this is a different way to think about an organization's purpose, as I've always stated in my training sessions that is if you focus on a good process then results will come I believe. In this case, a good process is defining an Organizational Purpose that solves the problems for the customer.

Ask yourself this: What do your customers want that you aren't currently able to supply?
- Lower price
- Better quality
- Rapid Response
- Better Support
- Flexibility

So what do you need to do better to satisfy your customers in order to survive and prosper?

So does your purpose support your goals, the company's, or the customer? It's definitely something to question and rethink if its all about the money for you.
Until next time
thetoyotagal
Tracey Richardson

A Must Read!! Check out the Press Release on- Gemba Walks by Jim Womack

2011-03-17T21:02:00.004-04:00

Hello everyone, I would like to share with you an exciting book that was just released by the Lean Enterprise Institute (LEI - lean.org) called Gemba Walks by Jim Womack. I am currently reading this book and have been so engaged with Jim's experiences and messages based on his "Gemba Walks" over the past few decades. I would highly recommend this book no matter what your level of experience may be with Lean. It's a MUST READ!! Im attaching the press release below from LEI. Get your copy today!!

IMMEDIATE RELEASE

New Lean Management Book, Gemba Walks, by James Womack Challenges the Prevailing By-the-Numbers Management System

On sale today, the latest book from the researcher who led the team that coined “lean production” explores why lean management is better than the currently dominant management system.

Cambridge, Mass., March 14, 2011 -- In the ground-breaking book Gemba Walks, leading business thinker Jim Womack shares a simple approach to business that will help every business leader, policy maker, and anyone working earnestly in any organization re-think how they go about creating value, delivering service, and fulfilling purpose.

Drawing on 30 years of experience as the pioneer in explaining and popularizing the Lean Management System, Womack illustrates the power of rooting improvement efforts in the “gemba,” a Japanese word referring to the place where work takes place, and where value is created.

“How do we understand the gemba?,” asks Womack. “And more important, how do we make it a better place—one where we can create more value with less waste, variation, and overburden?”

Womack provides answers based on trips to countless companies where he keenly observed how people worked together to create value, while applying the critical lean management practice of: go see, ask why, and show respect.

Value-Stream Walking
For the past ten years Womack has shared his thoughts and discoveries from these trips through a monthly letter to the Lean Community. Now, in Gemba Walks, Womack has selected and re-organized his key letters, as well as written new material providing additional context.

His book contains a wealth of insights derived from the seemingly simple process of visiting the gemba, asking questions, and showing respect. Gemba Walks shares:

• a broader historical view of the recent events of the automobile industry, sharing fresh insight into the ascendancy and recent troubles of Toyota, the bankruptcy of General Motors, and the events since.
• a new essay titled “Hopeful Hansei “on the steady forward march forward of lean thinking.
• a deeper understanding of the practice of lean as the most important advance in management thinking of the past 50 years, one that is fundamentally different—and fundamentally superior to the currently dominant management system.
• a methodology for walking value streams from beginning to end to learn the current condition and the most promising areas for improvement.

Among the gems in this book:
• why companies need fewer heroes and more farmers—the types of managers who “work daily to improve the processes and systems needed for perfect work and who take the time and effort to produce long-term improvement.” In other words, “to provide the “steady- paced continuity at the core of every lean enterprise.”
• how “good” people who work in “bad” processes become as “bad” as the process itself.
• why the real practice of showing respect comes down to helping workers frame and solve their own problems. He sheds insight into the way that lean managers and workers solve problems as the essential activity.
• why the lean manager has a “restless desire to continually rethink the organization’s problems, probe their root causes, and lead experiments to test the best currently known countermeasures.”

Gemba Walks also shares Womack’s insights on topics ranging from the application of specific lean tools, to the role of management in sustaining lean, to stories that will challenge and encourage lean managers to press ahead in a new and important way of working.

LEI Chairman and CEO John Shook notes, “Simply seeing—and communicating—lean practice is but one way that Jim Womack has inspired others. Jim gives encouragement in the real sense of the term: courage to try new things. Or to try old things in different ways. I don’t know if there’s a stronger embodiment of showing respect than offering others the courage to try.”

Gemba Walks
- By Jim Womack
- Published, March 14, 2011, Lean Enterprise Institute
- 348 pages
- ISBN: 978-1-934109-15-1
- $25.00 (paperback)
- $9.99 (e-book)

Until next time,
thetoyotagal
Tracey Richardson

AME Training through Auburn Works - 8 step problem solving! Come join my class in May!!

2011-03-11T10:32:00.002-05:00

Hey guys... come and join me for an awesome Problem Solving Event hosted at the Mercedes plant in AL and put on by AME and Auburnworks.org. Go here http://www.ame.org/events/8-step-problem-solving-toyota-business-practices

Or read below!!!! Will be using the Land Cruiser Manufacturing Simulation!!

8 Step Problem Solving-Toyota Business PracticesShare Text Size:AAATue, 05/10/2011 - Thu, 05/12/2011 Vance, Alabama
AME Office: 224-232-5980
Email: schandler@ame.org

Values and Culture – discuss the values that a company, along with its team members, should understand during their daily work activities and interactions. These values and beliefs are centered on Continuous Improvement philosophies and Respect for People.

Toyota Production System (TPS) - Breaks down the elements of the TPS house focusing on the 2 pillars - Jidoka and Just-in-time production and the company philosophies behind them.

8 Step- Problem Solving –gives team members a systematic approach to “thinking” that follows the PDCA (Plan-Do-Check-Act) Management System. This process lays the foundation for all team members to look at problems in the same context giving the team member concrete actions to implement using their values. The 8 step approach is important to understand as the foundation for the Lean journey and essential for team member development which leads to a Lean Culture.

A3 Writing / Problem Solving Theme Reports – provides the team member with tools to create a summarized document of their problem, proposal or status report in order to share the “need to know” information about their report to others involved. The report format we provide will follow the 8 step problem solving approach and provide a roadmap for coaching a development as participants practice and learn the 8 step process.

Land-cruiser Manufacturing Simulation

On the-Job-Development (OJD) – is a key element in developing a Lean Culture by developing team members (at each level) through “supervisory mentoring”. The OJD process puts the “Values” and “8 Step problem-solving process” into practice. It allows team members to pass on their knowledge to others and understand their people well enough to create stretch targets for learning while align their activities to the company hoshin and KPI targets.

AgendaPresented byHost CompanyParticipant BenefitsLocationRegistration.Agenda
May 10, 2011
8:00 am
4:00 pm Day one will consist of:
•Problem solving Culture and
•Brief overview of Toyota Production System
•Discussion how Problem Solving fits into (Standardization and TPS)
•Land-cruiser Manufacturing Simulation- Rounds 1-3
•This simulation provides a “real-life-hands-on” approach to the manufacturing process that the team member initiates improvements on. This simulation brings to life various elements of Lean including: TPS (Toyota Production System), STD work (Standardized Work), PDCA (Plan Do Check Action), 8 Step Problem Solving and A3 activities using the Land-cruiser process to facilitate the hands-on learning. We become facilitators at this point allowing the team members to make the majority of decisions in regard to each work cell. The participants will go through 4 rounds of production which are focused on the process and improving key performance indicators such as quality, productivity, and cost. The participants will be involved in specific roles (production, customer, dealership, quality control, team leader, and kaizen leader) within the process learning several elements of Teamwork, Continuous Improvement and Go and See. The simulation allows for “demonstration of knowledge” after the presentation.
•PDCA (plan do check action)
•Land cruiser Round 4 – with creation of Yamazumi Charts

May 11, 2011
8:00 am
4:00 pm Day two will consist of:

•Problem Awareness and types of problems
•The 8 Steps of Problem Solving
•Land cruiser Round 5-6
•Fill out Problem Solving Flowchart
•What is an A3?
•Grading A3’s
•Report out – Questions and Answers session

May 12, 2011
8:00 am
4:00 pm Day three will consist of:
•Selecting a “real life” problem within the company
•Practicing the 8 steps of problem solving process
•Understanding the importance of “Go and See”
•Practice the A3 format
•Practice using the Problem Solving Flowchart
•Report out of progress
•Tentative Mercedes-Benz Tour

Introducting the new A3 Dojo website by LEI (lean.org)

2011-02-24T13:01:00.003-05:00

Hello everyone,
I am pleased to announce the launching of the A3 Dojo Website brought to you by the Lean Enterprise Institute (LEI - lean.org). The web address is:

http://www.lean.org/a3dojo/

I will share the introductory message posted by John Shook in regard to the site and all it has to offer. I was asked to assist within the site as a Problem Solving coach or sensei. There will be lots to learn from the site, from others, as well as articles and resources shared by myself and others on the faculty at the Lean Enterprise Institute. I look forward to being a part of this online resource, and getting to know many of you by solving one problem at a time :).

Here is John's intro to the site:

Welcome to this MTL-mini site within www.lean.org a destination for thought leadership in lean management in general, "managing to learn" and the A3 process in particular.

The goal of this site is to narrow the gap between reading about how to create an A3 and actually doing A3 management. This site within a site is meant to be a shared space for A3 thinking, a place for you to engage with others on the nitty-gritty daily challenges of your specific problems. Even for you to create an A3 and own it in the process.

This mini-site emerged out of the 2008 publication of Managing to Learn: Using the A3 Management Process to Solve Problems, Gain Agreement, Mentor, and Lead. Managing To Learn (MTL) has been successful as a book. It has had strong sales in 14 languages, led to the creation of effective workshops, and inspired much dialogue and enthusiasm in the lean community. I hope it has also led to effective problem-solving, decision-making, organizational alignment, and managing to learn.

Yet the broad interest in A3s has led to a potential managerial hazard: a reductionist approach to the A3 tool. A narrow, short-term, instrumental use of the tool which prevents people from using it in the generative, people-developing, evolutionary manner in which it evolved. We found the same problem with value stream maps. People often mindlessly copy, as Jim Womack said, "getting the words right but not the tune." What is needed is for people to understand the deeper purpose of the A3 management process and to make this tool their own through practice.

Let me quote from a column I wrote introducing the A3 process:

"The challenge isn't in teaching how to write an A3 but in how to use the A3 as a managerial process. If the A3 was presented as a narrow tool, the deeper and broader aspects of the overall process would be lost. I really didn't want to just introduce yet another narrow tool. It has long been my view that using tools for tool's sake (where everything is a hammer looking for a nail) is one of the very biggest problems in 'Leanworld.'" ...

"The most fundamental use of the A3 is as a simple problem-solving tool. But the underlying principles and practices can be applied in any organizational settings. Given that the first use of the A3 as a tool is to standardize a methodology to understand and respond to problems, A3s encourage root cause analysis, reveal processes, and represent goals and action plans in a format that triggers conversation and learning. A good A3 has sound problem-solving -- science -- embedded inside, but it achieves much more, exemplifying this great quote by a great scientist: "

Science is built of facts the way a house is built of bricks, but an accumulation of facts is no more science than a pile of bricks is a house." - Henri Poincaré

In this space we will be engaging the support and dialogue of the lean community - a network of fellow practitioners, who range in their own journey from just beginning to highly-experienced. We hope you will share your problems and solicit the input of people who are facing similar problems, or who have learned something from experience that can help you.

Over the coming weeks you will read columns from individuals with A3 experience and advice. You will be able to share your work in progress and ask for coaching from others. You will be exposed to helpful resources for your ongoing work. Please join in this conversation and help us to improve the dialogue and practice of this important managerial way.

On this side of the dojo, I will be joined initially by my experienced colleagues David Verble, Tracey Richardson, and Eric Ethington. Eventually, we will be joined by others. And, hopefully, by you.

Please come join us!
Until next time
thetoyotagal
Tracey Richardson

What does the word "Lean" mean to you or your Company?

2011-02-17T10:19:00.008-05:00

As I travel around the U.S. working with various companies that make a variety of different products, I realize a common denominator throughout them. How do they define the word "lean", as well as the word "culture"? What I have realized is very interesting!

When I first started consulting I felt it was all about the "tools", and that's what companies seem to want, so of course, that's what they got. As I have matured as an instructor/consultant I, like many, I have led and learned at the same time. In my experience at Toyota, especially back when we were led by the Japanese and their questioning approach; we all as new leaders were being led but at the same time leading others, so it was bringing about the "respect for people" and developing the workforce as a team. I can't ever recall in my time at Toyota (Toyota Motor Manufacturing KY - TMMK 1988-1998), that we ever labeled what we were doing in a specific word like "Lean", nor did we really think about our daily actions as a "culture". It was just in the atomsphere. It wasn't until I left Toyota to teach others, that those words started to surface. Somehow we felt the need to give it a name, and as I've experience the last 13 years as a consultant, I feel that can have somewhat of a hindering effect.

I guess my point is many companies today misuse or even misunderstand the word "Lean". I suppose in order to practice what I teach, I too, must use a continous improvement approach to enhance my efforts to be the best instructor I can be in the minimal time I have with a specific company. In otherwords, how can I best translate my 23 years of experience in a manner of a couple of days? The Japanese call it "sharing wisdom". What I have learned is the more you call it "lean" or some word to label what you are doing, it tends to create the "add-on" feeling versus - "this is how we just do business"!

When I start my training sessions, to get a finger on the pulse, I ask each participant to define the word Lean and Culture. It's been amazing to see that a very high percentage of companies define it "only" as elimination of waste, or "do more with less" mentality. Which by definition can be a correct assessment of lean, but in my experience the KEY element they are excluding is ___________? Take a guess? How about PEOPLE--engagement, involvement, and development. To me, its the common thread I see missing in the vocabulary of companies trying to implement Lean, especially LEADERSHIP. The paradigm shift in thought that Im trying to embed in my sessions today is - #1 - Without people the tools with NEVER sustain longterm. #2. If you try to label your daily work as "lean" then it can be seen as the add-on.

What Im trying to say in a simplistic way... lead by actions. I spoke of this in a previous post go here http://thetoyotagal.blogspot.com/2011/01/pathway-to-creating-lean-culture.html If I lead in such a way that fosters the thinking and development of people by simply being "on the floor" and "asking the right questions", then by default many times - Lean and Culture HAPPENS, and guess what?? We don't have to call it anything but HOW WE DO BUSINESS.

Hey, its simple, its not easy!!

As Nike has said all along - Just Do It! No need to label, we surely didn't at Toyota. It was an expectation of our job, not a choice. Now go ask questions at the Gemba and involve those people!!!

Until Next time,
thetoyotagal
Tracey Richardson
traceyr@gmail.com

Pathway to creating a "Lean Culture"

2011-01-30T14:51:00.004-05:00

As I travel around to various clients they are always asking me, "How do you implement or create a culture like Toyota has"? I tell them that's a very loaded question :). There are so many aspects of creating that culture it's hard to give a short answer or even "wave a magic wand" to say... "Here is what you should do!!". I wish I was that good .

How I see it, you really need to differentiate the People side of Lean versus the Tool side. The People side will always be the most difficult aspect of the disclipline needed to create this thing called Culture. The tools are just what they are, mostly countermeasures to change some discrepancy in our process. For the tools to be successful, People must understand their involvement or the purpose behind the tools. As I have stated in previous blog posts you must explain from the company perspective the WHAT, HOW and the WHY of any change or expectation within a persons work.

When I teach my Problem Solving sessions I usually spend 3 hours on the cultural side before I ever teach the 8 steps of problem solving. I describe the process or path a person/leader must go through in order to help create the people side of the culture I call this the "Culture Chain", it goes like this.

Values>>Beliefs>>Thoughts>>Actions>>Habits>>Character>>Destiny

Now let's summarize.

Every company must start with Values or Principles. These are the guiding beacons that we can relate specific tangible actions in our daily activities that brings to life the values. For example Toyota has a set of Values called the Toyota Way. They are:

Go and See
Teamwork
Challenge
Continuous Improvement
Respect for People

These are tangible actions I can relate to in my daily work.

The next aspect is Beliefs. Do the people believe in what the company is trying to accomplish through their Values/Principles? Do people respect their leaders? Do people believe that the company has their best interest at heart? Do people come to work with the best interest of the company at heart? (Mutual Trust and Respect). These are all aspects of the Belief system within a culture. For example, while I was at Toyota I could honestly say that I believed in what the company was trying to accomplish each day through our rigid standard work. It meant something, I had a bond with the product I was creating. Our leaders tried very hard to "live the values" through their work each day. In the beginning we had sensei's (Japanese Trainers) helping us along the way. The belief in what you are doing is essential in creating a Lean culture. The person as to bond with the product and the company, and leaders must be servants for their people in order for them to succeed in their daily work. If the culture breaks down at the Belief part of the chain; "lean" will only be seen as a "program, or flavor of the month". In order for a belief to take hold for the individual or leader it must become part of their daily Thoughts when they walk in the door each day.

If that belief becomes an intrinsic thought then its more likely to become an Action(s) that they are doing everything they can to live the company values (Go See, Teamwork .....etc). Leadership's responsibility is to develop their people and be that servant leader we discussed. The leader therefore has to study harder. This is a difficult task in most traditional mindsets, which in turn contributes to an unsuccessful implementation of a Lean Culture. All eyes are on the leaders and they can make or break the lean culture very easily. This is why when I train at various companies I ask for their leadership to be trained first if possible.

Once I have the:

Values>>Beliefs>>Thoughts>>Actions accomplished (as stated above).... then it starts to become a Habit for me. This is where I was at when I worked for Toyota. It wasn't a choice, or a convenience thing for me, as a leader at Toyota the disclipline really became a Habit for us. Take working out for instance, in the beginning its a chore, you make yourself do it, in some ways you dislike it but you know the reward/belief is a healthy self. Once it becomes a habit for you then its part of your routine, the disclipline is more intrinsic--it's part of your day. At Toyota we never used the word lean or culture really, it was just how we did business; in essence it was the Character of our workforce. The key to all this is following the steps above and holding people accountable for that disclipline; that again is very difficult in a traditional mindset. Most company's never see Lean past the "tool phase", partly because their people do not believe in the system and leaders are "telling" not "developing".

Once your workforce has built that character then its the destiny of the company to be #1 in their market, basically Im saying by default the process will get the results. Most company's rely on the manage by the number or results only, forgetting the people along the way. As it says in the Toyota Way values book --"People are the most important asset of the company and the determinant of the rise of fall of the company"- Eiji Toyoda. So please focus on the people side and ask yourself the question--Where am I in this "culture-chain" of thinking?

Until next time,

thetoyotagal

Tracey Richardson

How many different types of A3's are there?

2010-11-15T16:50:00.002-05:00

So what do you think about when you hear the term A3? I can remember back when I first started at TMMK (Toyota Motor Manuf. KY) in 1988 there were no computers or printers on the shop floor or offices. The term A3 was new to many of us; at least me. For a while I tried to figure out exactly what it meant the "A" the "3"? Finally my Japanese trainer explained it was just the size of paper. I remember being a little disappointed, I thought I was going to learn something very technical, little did I know . (grin)!

In my experience the majority of A3's that I completed were "Problem Solving" type A3's. That is where there is a quantifiable GAP in between "what should be happening", and "what is currently happening". On the production floor we gained a lot of experience with these types. I sooned realized after moving in leadership roles/management that other types of A3's existed as well. Today I will briefly describe the 4 different types of A3's and when to use them based on my experience.

• Problem Solving A3
• Proposal A3
• Status Report A3
• Strategic Planning A3

All A3’s should follow the PDCA thinking regardless of which type you are working on. The basic steps of (Plan-Do-Check Action) are:
• Make a Plan (Grasp the Situation) (Where you are versus where you want to be)
• Put it into Action/Implement (Do it)
• Check for Effectiveness (Modify if necessary)
• Reflect/Standardize and Share

Let’s take a look at each one and when can use them.

Problem Solving A3 – Please see my last blog regarding “When to use an A3”. I explain in detail the 4 Levels of Problems and when a Problem Solving A3 should be used. **Note – Not all problems will need an A3. The Problem Solving A3 will follow the 8 Step Problem Solving process (PDCA). They should always be quantified and measured, stating a clear Gap to solve. These are “caused gap” problems—meaning that we aren’t able to maintain a standard or ideal situation. Root Cause is not always apparent and a complete investigation at the GEMBA engaging people will be necessary.

Other types are:

Proposal A3 - A proposal A3 will be future state oriented, (where you want to be) in that you are trying to improve the situation by suggesting an idea. This is an improvement that is normally more focused in an area or department which supports the improvement of an indicator (KPI- Key Performance Indicator-ie. Quality, Safety, Productivity, Cost). The Strategy A3 is very similar but is normally focused more on Value streams and higher level processes related to the Company Business plan. You will start out by explaining the current state or background and why it needs to be improved. Is the current state affecting a KPI for the company? You may show some benefit analysis for the idea, then recommend how you will implement the idea with timelines and milestones. After the implementation begins you should evaluate effectiveness and have a follow up plan to ensure it’s sustainable. This is often called a “Created Gap”. You are trying to potentially “raise the bar” or improve the situation or standard.

Status Report A3 - A Status report A3 can be a specific report that is in direct relationship to a long-term type project that may need a progress report on a weekly, monthly or quarterly type basis. It may show a “plan” vs. “actual” status based on what the implementation plan/project expectations are. Depending upon the status you could be asked to develop a short term plan to get yourself back on the expected schedule if you fall short of a deadline. This particular A3 I did not use too often, but when I did it was normally focused on a product or model change that takes long term thinking/ planning to ensure success at the projects end date/line off. (For example – training, equipment, parts, processes, and manpower needs). If you follow the PDCA thinking it’s about asking the question at specific intervals – Where we are, and where we want to be.

Strategy A3 - A Strategy A3 is normally focused on the Company Hoshin (Business Plan/Strategy) from 1 to 3 to 5 and even 10 to 15 years out. My experience was mainly around the 1, 3 and 5 year planning. The Strategy and Proposal type A3 are very similar in nature as I stated before, the Proposal is more narrowly focused. It’s attempting to take the company from a current state to a future state and this is normally based on what the Business Indicators are telling us that needs to happen. These A3’s are normally a higher level A3 at a high level of leadership which could be a value stream between product and delivery that needs improvement. This is then cascaded downward throughout all the levels of the Organization and they are asked to focus their daily work towards improving the indicator. For example I may have excessive warranty claims, and I want to reduce these warranty claim through improving the quality of the product produced by X%. So this is a high level goal that needs to be tracked through the involvement and progress of the cascade at each level (daily work). Again each type of A3 should follow the PDCA thinking. This too can be considered a “created gap” A3.

I hope this gives you a little more insight as to the different types of A3's that can be done to enhance your daily work and align your activities to the "need" of your company.
Until next time,
thetoyotagal
Tracey Richardson

How do you know when do to an A3, and when to just solve the problem!!!

2010-11-08T11:36:00.005-05:00

This is a question I get in just about every Problem Solving class I teach, so I decided to share some of my experience in when to know the difference.

** Disclaimer - this information/interpretation is based on my 10 yrs experience on the production floor as a Group Leader at Toyota; there were no written rules per say, it was more a "cultural" understanding which was learned through experience and doing.

So some of you may ask? What is an A3?--- So quick review (see previous posts on A3) it's an 11 x 17 size of paper that shares a story which follows the -Plan-Do-Check-Action (PDCA) "thinking" methodology I often share as the 8 steps.

So basically I categorize problems into different levels (1-4). Based on the level of problem it can determine when to "just do it" (solve), and when to document the "thinking" process to share with others (people development/engagement/consensus/strategy deployment).

Level 1 - Normally does not require an A3 to be officially documented but the "thinking" behind the A3 is always important. It is a problem a team member/associate can handle on their own most of the time; root cause seems more apparent, minimal resources are needed to implement a countermeasure. This type of problem is usually details within the actual work or process that they do at the GEMBA. They can normally see a discrepancy (even if there isn’t a standard defined necessarily)... they know this because of their knowledge of the process.

A good practice to develop the culture is that they talk about this with their line supervisor, so the line supervisor can "spark" the questions to further develop their thinking for the next problem and so on. So the problem is tested/solved... and there is no reason for an A3 to be written. There could possibly be some level of tracking that leads them to this... a tic-mark sheet, counter etc. This level should have the associate thinking everyday about when they are out of standard (leaders should develop standards with them if none exist--key to seeing abnormality)... sometimes when they are really "developed thinkers", no supervisor is needed to implement. My experience is that 60-70% of the problems will/should fall into this category once the "PDCA thinking" is practiced through the leadership asking the right questions. . (**Note- It’s always a GOOD practice to set standards, problems become much more visible when standards have been set!)

Level 2 - Is when it requires an A3 or at least the documentation to share the learning with others (developing people) as well as developing the ones responsible (Supervisors/Leaders). The correct thinking (PDCA) is always the underlying priority behind the A3. As I’ve been told, the A3 is only as strong as the dialogue that creates it; meaning the questions we ask regarding the process. So Level 2 - is when Level 1 problems may resurface. That for some reason the associate did not get to the correct root cause, ask enough “whys”, or not getting facts. It’s a consistent/ and or sporadic problem that no one understands "why" it’s happening (maybe Level 1 only got to a symptom and there is a deeper need for research/tracking/fact finding etc.). This level may also require stronger supervisor knowledge/support, and possibly the next level of supervisor. It could require resources like maintenance, engineering, tool and die, and higher level decision making authority. This level is more than likely affecting the KPI's (Key Performance Indicators- i.e. Quality, Safety, Productivity, Cost) of the company in some way. At this level a deeper look into how the Problem was defined is also necessary-- meaning are we tacking the true "pain to the organization"?... for example.... Sometimes we may frame problems in the sense of "productivity issues", but the bigger problem may be "scrap rate". Decreasing Scrap rate will in turn improve productivity/efficiency. So Level 2 problems are mainly for Line supervisors/Group Leaders and above with support of the associate. The supervisor would be responsible for the documentation of the PDCA process. I know Safety "near misses" would fall into the Level 2 category... vs. a team member seeing a potential trip hazard with a cord and immediately fixing it (that would be level 1 thinking.) My experience is that 15-20% of the problems are Level 2.

Level 3- This is when a problem/defect may "flow out" to the customer (internal or external) that creates downtime, quality or safety issues for the customer which in turn can affect your own company indicators. This activity should engage a higher level manager/leadership, and actually they would be responsible for the documentation of the A3, getting support of course from the line supervisors and associates. Engaging the plant manager/high level leadership should create the accountability at that level to be responsible for his/her production floor as well as developing their people to understand how this happened (Especially if there are set standards--if not then it should raise a flag to create standards). If there was a defect that got past an area/department and to the customer, this is unacceptable and should be counter-measured temporary (stop the bleeding) to ensure nothing else "flows out" as well as finding the permanent countermeasure (using PDCA) (again this is all initiated by the plant manager--they should be responsible at this level and gather the resources necessary, and involving their people to ensure this will not happen again and learn from it for the the next A3). This level could also be related to potential recalls, external customer complaints, missed orders etc. Also there could be situations in-house where there may be a major breakdown which could in turn shut your customer down. There could be an internal Safety incident where someone was hurt severely (or potential fatality - near miss), always things like a fire in an area of the building, chemical spills. Management being responsible and leading this level is crucial. Remember the associate’s capability is only as strong as their leader’s capabilities. My experience is that 5-10% of the problems are Level 3.

Level 4 - This level of problem solving is more of the "raising the bar" or proactive problem solving! This goes to my DAMI conversation - define-achieve-maintain-and improve.... going from maintain to improve is “raising the bar”. Some even call it "Purposely creating a GAP". This can also be called a Jishuken event, or Management driven continuous improvement event. I was involved with several of those at Toyota.... where we improved our productivity/efficiency by rebalancing manpower therefore not hiring new people. ***In my experience Lean was never about letting people go based on our process improvements!

Level 4 was a practice in seeing waste, asking the right questions - what should be happening vs. what is happening? Is this standard acceptable? Can we raise the bar to improve our company? It gets the people who are practicing level 1 problems to see deeper, think deeper and bring in that "line of sight thinking" (see previous blogs) to what they are doing is contributing to the company/business indicators. Going back to "Problems Solved=Job Security". This allows them to assist in the other levels of problem solving possibly having a better problem awareness therefore possibly preventing the Level 2 or 3 type problems. Jishuken’s should be part of the culture, not deemed as a "special activity". Unfortunately most companies are always putting out fires... this is a very LOW percentage 0-5% where companies actually purposely create gaps. :( ... Some would think it is crazy to purposely create a problem :):)

I hope this helps in differentiating the Levels of problems (1-4) and when to do an A3 and when not to. (***as I see it, based on my experience).

Until next time,
thetoyotagal
Tracey Richardson

Sharing "Key Learning points" from my class participants!

2010-10-29T12:48:00.002-04:00

I will again apologize for my delays in posting; I am on the road weekly in hopes of helping various companies on their Lean Journey!! Wanted to share with you a great moment in one of my classes this week!

I had the pleasure this week of working with a Company on their "Lean Journey" and would consider them, like many, a Brownfield plant. As John Shook wrote in his latest newsletter to LEI subscribers --- Brownfield's are great opportunities to have an actual GEMBA (work area) to GO and SEE and get the facts. Greenfield situations can often lead to assumptions because the GEMBA may not be evident yet.

I did an exercise during my 2 day session there that I felt opened my eyes, as well as the participants in the class. They were able to see just how much they learned and how each person internalized a specific/different concept from the class. I gave each person 2 post-it notes and asked them to write down 2 concepts/key points they picked up from class over the past 2 days we have covered. For me, this was a "grasping of the situation" as the instructor, and for them; they can see a quick snapshot of others thoughts internalized from the class. Here is the list below; I put numbers by the ones that were mentioned more than once.

To get "Buy-in" with countermeasure implementation- 1

Use the 360 degree communication (Team, Supervisor-Stakeholder)- 2

Not jump straight to a countermeasure or blaming people first -3

Communicate the What - How - and Why to team members- 2

Ask more questions at the Gemba-4

Go to the Gemba-6

Gather info (facts) first before making decisions

DAMI (Define-Achieve-Maintain-Improve) process

Be a better Servant Leader-1

Use the Criteria Matrix for countermeasure selection

Think through the steps not just react (assumption)

Ask What should be happening? vs What is currently happening? more often

Use the Breakdown Tree for Root Cause analysis (5 why) - 3

Practice the A3 with Root cause analysis -2

Ask more questions at the process (where work is being done)

Coach, instead of manage, by asking the right questions

Get team member involvement/engagnemnt on the left side of the A3 to get better buy in on the right side

Work with measurable to the KPI's (Key Performance Indicators- ie Quality, Saftey, Productivity, Cost)

Get the facts not perceptions/assumption/preconceived notions about the problem

Gather deeper info about the problem (how to frame)

Don't spend a lot of time trying to make it perfect the first time

Ask questions

Use the Line of Sight Activity (Activity that helps align a worker's daily activities to the Company Business Plan improving the KPI's) --this is at every level of the Organization.

After looking at this, I said to myself "Wow, if each one of you go back and use/implement the "2" concepts you listed, look what you can accomplish as a Company in changing their culture!!! It was a nice moment for me and the Company which I feel gave them some empowerment to make a difference. It's amazing to visualize on a flipchart what all participants grasped from the training. Each one of them, in my opinion selected what might be most helpful in their situation and also I think you can also factor in learning preferences. I guess the essence of the exercise was to say-- It takes "you" to make the first change that has the ripple-effect in your company. It's up to you to make it a disclipline!!

Until next time,
thetoyotagal
Tracey Richardson

What is the role of middle management in a Lean system?

2010-06-14T18:33:00.002-04:00

Hey guys.... check out my guest blog post on Mark Graban's (author of Lean Hospitals) Lean Blog. It discusses what is the role of middle management in a Lean System. thetoyotagal, Tracey Richardson

http://www.leanblog.org/2010/06/guest-post-the-role-of-middle-management-in-toyota-or-a-lean-system/#comments

Download an A3 Problem Solving Report

2010-06-07T18:56:00.002-04:00

Hey guys... visit this link http://www.pitchengine.com/free-release.php?id=68491 to get a downloadable copy of an A3 I share in my Lean Problem Solving courses. It can be very helpful to see an example of an A3 that uses a good "thinking" process with visual tools. Check it out.!! thetoyotagal
Tracey Richardson

Problem Solving Podcast E-book Transcript

2010-06-05T15:48:00.002-04:00

Hey guys... I'm sharing with you the electronic book or powerpoint copy of the Lean Problem Solving Podcast that I did last month. Please check it out !! Please let me know if you have any questions. Remember Problem Solving is the heart and soul of Lean Implementation and changing your culture.!!!!! Thetoyotagal !!! Tracey Richardson

http://business901.com/blog1/lean-problem-solving-ebook/

Problem Solving really the Core of Lean Implementation

2010-05-25T20:48:00.002-04:00

Check out my Podcast Interview on Lean Problem solving... downloadable on Itunes... for a new class I will teach in June for the Lean Enterprise Institute.

Problem Solving really the Core of Lean Implementation

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Common Mistakes when we are Problem Solving

2010-05-14T12:27:00.005-04:00

Hello everyone,
I again apologize for the delay in my blog posts, I have been on the road training quite a bit the past 5 months. I have enjoyed spending time with various companies on their Lean Journey as they learn, I learn. Thank you for the opportunity.

As I spend time at various Companies across the US teaching Problem Solving, I find there common mistakes made as they are learning the process. It's easy when you are learning to quickly develop bad habits, for example:

Many individuals in an organization do not understand the "Purpose" or- better put -- How does their actions in solving their problem relate to the Company KPI's (Key Performance Indicators-Quality, Safety, Productivity, and Cost Q,S,P,C) Each individual should ask - Why am I selecting this problem to solve? It should be aligned with the Company Business Plan (Hoshin).

Not utilizing the "Power of the GEMBA",--or often referred to as "Go see the work/process".!! I often see teams working together in a room trying to solve the problem by using their experiences, hypothetical guesses, and what their opinion is. I quickly disperse the huddle to "GO-SEE" with their own eyes the current situation. When you can confirm with facts, talk to the worker, you can describe much better the "Current Situation". Then you can utilize that information to see where you are ordering to the Standard. The difference between the 2 would be your GAP. So get out from behind your desk and GO-SEE, set the standard as a leader.

Not finding "Root Cause"-- It's crucial when problem solving to keep asking "WHY" until you get to root cause. Often times, because we get focused on results, we only get to the "symptom level" of the problem. It's then a short term fix, and the problem is destined to return. This is not a sustainable practice, when your problem solving....please ask WHY more than once!!!

Not measuring in performance terms-- There are 2 questions that should ALWAYS be asked when you begin problem solving. 1. What should be happening? 2. What is actually happening? The next level is to quantify the difference between those 2 questions. If you do not have a measurable GAP, then the A3 or Problem Solving report will be very difficult to measure on the right side of the A3. How will you know your countermeasure is effectively addressing the root cause unless you have a quantifiable GAP on the left side?

The last common mistake I will talk about in this post is crucial in my opinion. I often see companies "put on" Kaizen Events or Kaizen Blitzes, these can be called many different things but it can give off the impression that problem solving is only done on "special occasions". If a company's desire is to be successful their motto should be: Problem Solving-Everyday-Everybody. This was a common practice for me during my time at Toyota. It is the biggest difference I see when visiting other organizations/companies--it's deemed more as "special" than the "everyday" culture.

So if you are looking at Problem Solving or Lean Implementation remember these key points, they are crucial for your success and culture change. Until next time,

thetoyotagal

Tracey Richardson

Are you asking the right questions?

2010-01-22T18:26:00.004-05:00

The more I teach problem solving "thinking" at various companies these days, the more I realize that its not just about following the specific steps to problem solve, or filling out an A3 to tell your story...but more so asking yourself or others the right questions. I will borrow a quote from my friend, colleague, and mentor John Shook; he said it perfectly in his column at www.lean.org.

"Lean management is very much about asking questions and trying things, or encouraging others to try things. Lean management itself is not much about providing the right answer but it is very much about asking the right question."

As I have discussed in past blogs, Genchi Genbutsu is a essential element to get the facts. In American terms it means to Go and See at the GEMBA. In Today's environment we tend to rely on our past experiences, tenure, or what we feel is the best countermeasure based on the time we give ourselves to really get to "root cause", rather than invest in Go and See. Not only is that important but as you Go and See as a leader and a problem solver its essential to ask yourself or others the right questions.

For every problem the questions could change, but there are simple ways to inquire what the current situation may be. For Instance, using a the 5 W's as a stratification tool, or even the 4 M's, P's or S's . See below:

WHAT
WHO
WHEN
WHERE
WHY

MAN
METHOD
MATERIAL
MACHINE

PROCESS
PRODUCTIVITY
PLACE
PRICE
PEOPLE
PRODUCT

SYSTEM
SUPPLIER
SKILLS

These questions below may help initiate your inquiry for yourself or others solving problems.

What is the real problem?
What should be happening?
Is there data to support?
Who is it affecting?
Does it happen on all shifts, time frames?
Does this happen certain times of the year?
Where is it happening? which area?
How many times has this occurred?
Is it on a specific machine, part?
What is the standard or expectation for this problem?
Is there a process? Have you gone and seen the process?
Does this involve a supplier?
Does this happen in all work processes?
Does this affect productivity, safety or quality?
Does this involve a team member's safety?
What have you investigated so far? and How do you know?
What are the causes, or why is this happening?
Are there similarities or differences?

There are many other types of questions when you are dealing with specific topics in your work environment but these should "spark" your thoughts when your at the GEMBA ---Asking the right questions.
Til Next time,
thetoyotagal
Tracey Richardson

Are you being S.M.A.R.T. ????

2009-11-12T19:05:00.004-05:00

I often ask this exact question in my A3 classes as I'm teaching different problem solving methodologies. A lot of times I get peculiar looks and participants are waiting for a punch line.8) In my opinion being SMART is necessary to create a solid A3 story using PDCA and the 8 steps of Problem Solving. So what is it you may ask?

S- Specific
M-Measurable
A- Achievable
R- Realistic
T- Timely

When you are creating your A3's you must go to the Gemba, gather facts/data, involve the team members on the process, and remember your "SMART" goals within each step.

Specific

You may ask yourself what you are trying to accomplish in your problem solving activity?

Why your trying to accomplish it, and how it relates to the company. (Purpose)

How you are going to accomplish it? (How much and By When)

Don't use words like - "Some" or "Many", a good trainer will always ask you, "How many?" etc.

Measurable

One of the first things my Japanese trainers taught me in Problem Solving was, "Tracey san, if you can't measure don't do it". Meaning if you can't quantify your GAP how do you know how effective your countermeasures are? Part of being specific is determining a quantifiable GAP in Step 1, therefore you are measuring on the right side of the A3 if you are addressing the root cause.

Attainable

How are you setting your goals when your problem solving? Are they within your control or influence? Are you relating/aligning them to a key performance indicators within the company? (Quality, Safety, Productivity, Cost). When you set the targets/goals they need to be attainable with a slight "stretch" to them ensuring you are always thinking about continuous improvement or raising the bar on yourself. 8).

Realistic

Some may refer to this as "do-able". It's not realistic to set goals that can't be met due to lack of resources or possibly skill set at the time. You want the Problem solving experience to "push" or "stretch" someone as they are learning, but not frustrate them to the point of giving up. Sometimes there is a fine line. It is up to the mentor to assist with what is "do-able" at times by knowing their people.

Timely

Set a proper time-line for the goal or a target, for example by the end of the week, year, month, in 3 months, 90 days etc. Coming up with a solid goal gives you a time-line to work with.

If you don't set a time, the commitment become too nebulous, or it tends not to happen because you feel you have forever to solve the problem. Without a time limit, there's no urgency to start taking action now.

Time-lines must ALSO be measurable, attainable and realistic.

Everyone can benefit from goals and objectives if they are SMART about them when they are problem solving. So the next time someone asks you if your SMART you can say, "As a matter of fact--I am"....

Until next time
thetoyotagal
Tracey Richardson

How to enhance the Visualization of your A3 with Tools

2009-10-18T17:51:00.006-04:00

So let's review...... I did a previous blog post on A3's. So what are they? Go here: http://thetoyotagal.blogspot.com/2009_03_01_archive.html

When developing/creating an A3 report (11 x 17 size of paper) its often useful to embed different types of "A3 tools" to assist the reader in quickly visualizing the problem your trying to solve. Many people are "visual" learners and with the rapid pace of the work day its efficient to quickly see the problem, rather than read through a long report to find it out "what I need to know".

So which tools are most often used?

Bar Graph
Line Graph

Pie Charts

Pareto Charts

Fishbone(brainstorming & cause/effect)

Tree Diagram

What do these tools show and when should you use:

Line and Bar are a similar tool; it really comes down to preference. These 2 tools are often used to quickly see trends, peaks, and valleys in the data that may alert the reader to an "out of standard situation". The Line graph can be used to show progression of an idea, countermeasure or solution implementation that is progressing in different stages. The X and Y axis of the bar graph can be interchangable depending upon your data. Many instances you see the months of a year across the bottom X axis.

Pie Chart is a useful tool in showing contributions of each particular component as it pertains to the whole. A pie chart is also kin to the pareto chart. Instead of the accumulative line graph attached its accumulating the space taken up within the circumference of a circle in the form of angles. So you are accumulating the angle degree of each as it contributes to the full 360 degrees of the complete circle. If you were drawing a pie chart and wanted to ensure accuracy you would need a protractor. 8).

Pareto Chart is a useful tool that allows the reader to select the focus item first on the bar graph. A pareto is known for its descending order format, and a line accumulation showing how each of the problems contribute toward 100% of all the problems. See the visual below.

Notice the last bar is a little higher than the next to last. Why is this? A typical pareto will show a misc. or other bar at the end, which is a compilation of the "onesy and twosey's" put together. As a rule its always at the end, this way you graph isn't drawn out with many very small contributors to the problem.

Fishbone Diagram is a tool used to categorize/breakdown problems. There are 2 different types of Fishbone Diagrams:

1. Brainstorming Fishbone - shows the categories (Man , Method, Material, Machine) by brainstorming the "direct cause" of the problem only. (1 cause or 1st cause). There is no cause/effect relationship "drill down" in this version.

2. Cause and Effect Diagram - actually drills down several levels of causing through asking WHY. (5 WhY's). So each cause will ask WHY afterwards until the root cause is obtained through Go and See and Fact Based investigation. See the diagram below showing several levels of causes.

Tree Diagram is used for obtaining solutions by breaking down the problem and/or showing the relationship between purpose and means to get there. It can also be used as a cause/effect diagram similar to the fishbone above. The Tree Diagram is a very versatile tool. I've personally used it in problem breakdown (smaller pieces to the problem), cause analysis, and breaking countermeasures down (purpose/means - smaller ideas to implement from the larger) all within the same A3.

I hope this has given you a quick overview of the various A3 tools out there to be used to enhance those A3 reports. The more you use the easier they become and I promise you the reader will be 8) (happy). Until next time,

thetoyotagal

Tracey Richardson

WHY is asking "WHY" so important?

2009-09-26T20:04:00.002-04:00

How many times have you thought you have solved a problem just to be plagued by its unwelcomed return? This is not only frustrating for you but think of the team members within your company trying to do their job and the "same ole" problems are hindering them each day. By NOT getting to the root cause of a problem this situation can be a costly act for the company, as well as break the mutual trust between you and your workforce since a leader's responsibility is to serve their customers (the team members).

It is important to ask WHY repeatedly when visiting the GEMBA to determine what is current happening versus what should be happening. In many cases we stop at a symptom to the problem because we are often pressured for results and quickly solving the problem without going past the symptom seems to be the best answer.

By repeatedly asking WHY, you can practice the "Go and See" trait to uncover the layers of symptoms that can lead to the root cause of a problem. Very often the first reason for a problem will lead you to another question then to another. Although some label it the "5 WHY's" you may find that you will need to ask the question fewer or more times than five before you find the issue that is responsible for the problem.

An important key factor to asking WHY is to determine the Cause and Effect relationship between the WHY's. This shows the relationship of given factors or cause that lead to the given situation "or effect" that is happening with the process. A rule or practice that I use is asking WHY or BECAUSE downward as we identify the root cause, and then to test the logic we ask THEREFORE upward back to the problem.

For example:

My car will not start (the problem)
WHY? The battery is dead (first why)
WHY? The alternator is not functioning properly (second why)
WHY? The alternator belt was broken (third why)
WHY? The alternator belt had worn over time (fourth why)
WHY? Owner had not replaced belt at recommended interval (fifth why) - ROOT CAUSE

So what happens if we keep asking WHY? How do we know when to STOP?

A couple of common rules I tend to teach by is:

when the problem changes context by asking another why.
when we tend to blame behaviors in people.
when it is out of our control or scope.

Let's look at an example that ask WHY too many times.

I overslept today (The problem)

WHY? My alarm clock didn't go off
WHY? The clock wasn't registering the time
WHY? The Clock was flashing on and off
WHY? There was a power failure or interruption
WHY? Lightning hit a nearby transformer
WHY? There was a storm
WHY? Barometric pressure changes in the atmosphere
WHY? Hot air and Cold air interact
WHY? Seasonal changes on the Earth
WHY? The Earth rotates.

When did we need to stop in that chain of WHYS? When could we have effectively countermeasured the problem?

If you are countermeasuring "storms" or "earth rotation" you have gone too far, this is out of your control. Will countermeasuring the storm solve the actual problem of oversleeping? These are the questions you ask to determine when you are at the actual root cause.

So the next time you are at the GEMBA remember a few of these rules to effectively getting to root cause and past a symptom. This will not only help your team members but effect cost and productivity as well. Till next time,

TheToyotaGal

Tracey Richardson

The Seven Mudas (Wastes)-- Are you recognizing them?

2009-09-08T13:29:00.002-04:00

What is WASTE? What does it mean to a Company or to the Customer? When we talk about waste within a company we tend to classify it as any activity that takes up company resources that does NOT create value for the customer. Some say its work the customer is NOT willing to pay for. The problem is for many companies they do not recognize waste and tend to pass on these hidden costs. I suppose this is acceptable if the customer is willing to pay for it, but its optimal when a company can recognize its waste, therefore not passing this on. If recognized it can potentially create more profit for long term sustainability and job security. Its a win win situation for both the customer and company.

So what are we looking for out there? Do we have a process for recognizing waste?

Within the Toyota Production System, Taiichi Ohno put waste into Seven different categories:

Over Production
Waiting
Conveyance
Over Processing
Inventory
Motion
Correction

Let's take a look at these a little closer.

Over Production happens when "Just in time" to the customer isn't followed. It allows you to produce, because you can, at a rate that is normally faster than customer demand. These products are then "stockpiled" for a "rainy" day or whatever reason to meet the need at any given time. This waste normally "hides" or "masks" problems since there are plenty of parts stored in any empty space found (Sometimes even warehouses). This is one of the worst waste categories there are because it leads to excess Inventory (another waste) which leads to increasing costs for the company and customer. Other aspects companies do not think about is the Quality control processes with Over Production, it is very hard to control versus a first in first out process.

Waiting takes place when an operator may have idle time when waiting on machines, parts, or production. If fluctuations happen in production volumes, waiting can be seen as more than process related. Entire lines can be effected by Over production, and part shortages can create a snowball effect to others in the process. As you will see these 7 Wastes are all interrelated.

Conveyance is necessary to many production areas in the form of "water-spiders" or production control logistics due to the nature of transferring parts from place to place. Many consider Conveyance itself to be muda or waste. What companies must look at is "how" we transport product or materials and are we doing it the most effective/efficient way. It's important to look at the shortest routes, maximizing space on the truck, the Heijunka (part leveling) of parts taken (highest demand to lowest) and contain sizes. These are just a few ways to look at waste in conveyance.

Over Processing is the one most often confused with Over Production. What is the difference you may ask? Over-processing is happening within a process at the Gemba (work-site)....it can be equipment, resources or people related. For example, if a machine/mold is responsible for cutting out the sunroof opening on the Roof Headliner wouldn't you want that machine to do it in the most efficient and effective way possible. One of the lessons the Japanese taught me was to look for unnecessary motion in equipment. In this case was the machine traveling open too far creating extra time for the cycle time? If the machine time could be cut by 10 seconds it can prevent team members waiting on the machine and add more value to the process instead. These are the types of Over processing wastes we were taught to look for in regard to equipment. Its a very common waste most overlook.

Inventory is related to Over production. Its a very costly waste to the company in regard to excess space, storage and quality control methods. Again it happens when "just in time" isn't being followed to customer demand or takt time. This can be in the form of raw materials, work in process, and finished parts.

Motion is one of my favorites to look for at the GEMBA. These are motions within the process that do NOT add value to the customer or product. These can be see as excess walk time, simple actions of picking up a hand full of screws and orientating them in your hand correctly, reaching too far or in unacceptable ergonomic positions, repetitive actions not being streamlined, and many others in regard to an operators path in completing their work or parts orientation. Sometimes motion can be interrelated to the Heijunka of parts coming down the line, if a flow rack isn't correctly stocked depending upon the part leveling then a lot of wasted motion can occur in unnecessary trips or steps to the flow rack. It's another common waste that is accepted as the "norm" at the GEMBA.

Correction means we do not get it right the first time. It's when we must recreate a product or part because of a quality issue or discrepancy within the process. It can also be in the form of inspection. If a operator doesn't build in Jidoka the first time, re-inspection may need to occur and this is considered a waste in time and manpower. If scrap or rework is high in your company then a daily go and see should be happening to determine current situation.

I hope this has helped to explain the Seven Wastes as described by Taichii Ohno.... if focused upon can change the way you look at your processes therefore adding value to the customer.

Until next time

TheToyotaGal

Tracey Richardson

Enhancing Standardized Work through understanding the Necessary Conditions in our work (JKK)

2009-08-28T14:52:00.007-04:00

The Toyota Production System is based on 2 Pillars which are, Jidoka and Just in Time (JIT). Jidoka is "Building in Quality" at the process and JIT is building what is needed, when is needed in the amount needed. Toyota has always had the philosophy of stopping the line when defects are found, this can be done by anyone who sees a discrepancy with a known Standard (what should be happening within a process). The lines can also be stopped by Machines which are sometimes called "pokeyoke" (fail-safe devices), in order to ensure a defect is not passed on.
Now, more than ever, in this economy it is important to ensure we are looking at our work in the perspective of the customer. If you have a set standard or a known defect rate that is acceptable in "your" company; has that standard been set or determined in the "eye of the customer"? When you think about it, if you are the customer and you have a defect on your vehicle that rate becomes 100% for you. For the company it may be .001% which doesn't seem too big of a deal right? WRONG!! What if you were that person? How does that make you feel in regard to a high quality vehicle?
One way Toyota looks at this perspective is to ensure that Jidoka is within each process on the line, they do this by a process call JKK (Jikotei Kanketsu) literally meaning - Building in Quality with Ownership. What does "Ownership" mean to a person on a process? Ownership is defined in JKK as understand all the "necessary conditions" and "process criteria" so that ZERO defects are passed on. If team members understand these perspectives then they are more apt to understand when the process is NOT to standard and to be able to countermeasure the discrepancy through problem solving or PDCA thinking.
Necessary Conditions can be items like design, equipment parameters, engineering, and manufacturing. Having those aspects understood then Standards can be written and "skills" can be taught in order to ensure the process stops when necessary and defects are not passed on.

For example: If I worked at a Sub shop and my job was to make high quality sub sandwiches for customers based on their favorite selection, then as a sub creator, I must understand my standardized work, necessary conditions and process criteria in order to make the highest quality sub possible. The equipment must be working correctly in order to bake the bread at a certain temperature in a timely manner. (not to over or under cook). Properly labeling all the different kinds of breads to ensure visual controls. A team member must also understand the necessary condition for keeping the meats, cheeses and condiments at the right temperature. The should be laid out in order of need or frequent usage. I need to also understand how thick to slice the cheese, where to put the meat, how much meat is the standard per type of sandwich, how to spread the mayonnaise, and where to cut the sandwich etc. All these items are process criteria and necessary conditions to create a "made to order" sub sandwich which meets the customer needs.

The same criteria needs to be understood in your environment as well, whether your making sub sandwiches, cars, or computers, if there are processes, people, and equipment then standards can be set, along with necessary conditions and process criteria to ensure team member have a "self quality check" giving them the authority to stop the line. I called this "Enhanced Standardized Work" which means taking Standardized work to the next level, understand the key points and reasons to why it was set that way to begin with. Standards are the foundation of the Toyota Production System, understanding their importance and following them is one of the key's to success in implementing Lean. Until Next Time,

TheToyotaGal
Tracey Richardson

Strategy Deployment - What does it mean for a company?

2009-08-14T14:56:00.003-04:00

First off, I would like to apologize for my absence in July, I have been on the road doing great things with companies implementing Lean. I hope to be back on schedule with the blog posts this month and hereafter.

So what does the term Hoshin Kanri mean? Sound familiar to some of you? It is the Japanese term for "Strategy Deployment" or "Policy Management" within companies who have defined their "Line of Sight" or "True North". The words together can be defined as:

A system (or a way of thinking) which intends to create an organization capable of sustained high performace by its leadership and team members to produce continual and repeatable results. A company can achieve this by setting Mid-to-Long Term Management Plans (Annual Plans) that prioritize daily activitites and resources by department or group. The goal is to involve ALL members from the top down who will clarify these targets and value added activity from their own departments/positions. The Hoshin targets can be achieved by continuously turning over the PDCA (Plan-Do-Check-Act) Management Cycle at the MACRO and MICRO levels; checks are performed and follow-ups made during these implementation cycle of the Hoshin. This allows the entire company/organization to have a "line of sight" or work in "one direction" with members at all levels taking initiative solving problems. Some refer to this term as "Catchball". Catchball is a term that describes value added ideas being "thrown back and forth" from management to the team members and team members to the management level which help reach the Hoshin targets.

It's important to remember that a company should first define their values, mission, or goals they want to achieve (which should take into consideration - their customer) in order to understand the strategies involved in developing the Annual Plan. The Hoshin will then be broken down into Divisions, Sections, and Individual Teams. These areas will then determine the value-added activities it takes to successfully meet the goals.

See the visual below of the Hoshin breakdown process between the different levels within a company.

Another key point to remember is that "Problem solving" and "Standardization" are a key components to a Company's ability to see deviation from existing Standards and "thinking" through those discrepancies using the PDCA management cycle in order to get to root cause. The Japanese call this "Kanri Cycle Turnover". Again the micro PDCA activities that solve value added problems towards the company Hoshin goals.

How does your company deploy its strategies for continuous improvement and customer satisfaction? Has your Company Culture evolved to this level or are you still "Managing by Objectives dictated from the top? Til next time,

thetoyotagal

Tracey Richardson

Does it really matter if I "Go and See" or not?

2009-06-29T14:46:00.003-04:00

The answer is YES!!!

I have to admit during my time as a Group Leader on the production floor at TMMK (Toyota Motor Manufacturing KY) I was guilty, on occassion, of doing certain levels of problem solving from behind my desk or at the computer. I was often in such a hurry to get my A3 written and turned in to my Managers that I would often forget the essential element in the problem solving process. I would usually tell myself-- "I just don't have time", or "I already know what the problem is". Do some of these comments/thoughts sound familiar to you? It's ok you can admit, I just did :0).

It was often a hard lesson to understand the importance of actually going to the GEMBA (japanese term for actual workplace) when your in the middle of those daily reactive moments of "fire-fighting". One of the many lessons the japanese taught me was: "What is more value added, spend time getting to the root cause, or only solving a symptom of the problem"? When we try to solve a problem from our desks we miss the experience of actually "seeing" the problem first hand, and also talking with the team members who know the problem characteristics better than we do. I consider them the "professionals" out there! This action helps build mutual trust and respect with your team members as well as the potential on the job development (OJD) opportunities with team members or leaders learning to understand good traits in effective problem solving or A3 writing process.
One of my favorite quotes from Taiichi Ohno (father of TPS) was: "Of course Data is important, but I place the greatest importance on facts or the truth". This statement is about Genchi Genbutsu (Go and See).... in some of my classes at the Toyota plants many have coined that japanese phrase "Get your boots on!". Meaning, go out to the floor, visit the GEMBA and find the facts; not assumptions and get to root cause. When you demonstrate this disclipline to your team members you are being an effective leader, and efficiently solving problems. Repetition of these actions can create a strong problem solving culture and awareness at the worksite as well as developing good habits in the way we think about our GAPS (Gap= a discrepancy in the Ideal Situation and Current Situation).
So the next time you are faced with solving a problem, and you find yourself falling into the time trap trying to solve it from assumptions or past experiences, just remember to "Get your boots on" and GO and SEE. You will actually find you will spend LESS time on your problem than chasing around symptoms. Until next time,
thetoyotagal
Tracey Richardson (Have a good 4th of July weekend!)

Process vs. Results - Which are you focused on as a company?

2009-06-15T13:42:00.008-04:00

In Today's environment we are tasked with getting good results as a company...
my questions are: Are you using a good "process" to get there?
One may also ask: What are good results?

Some choose to get their results by luck, some manage by numbers, and most just stay in the daily reactive mode thinking they are going to get "there" one day.

So what defines a "good process" you ask?

A good process, in my opinion, has several essential elements to it. When a company decides to embrace change (shifting from traditional mind-sets); their way of thinking (the way we frame) must change too. I'm going to list a few elements below that I feel could change the way a company thinks/operates. I will say --It's simple its not easy>>> :o)
1. Does your company understand the purpose behind using a good process? (Why the need for change)?
2. Are you thinking in regard to your customer?
3. Do team members within your company have a "line of sight" (previous blog subject) to the company goals and values (Key Performance Indicators-KPI's)?
4. Does your company visualize problems for all team members to see? (not hide them).
5. Does your company have work/process standards in place to understand when there is a discrepancy from the current situation?
6. Does your company use a good problem solving process (PDCA) to identify, investigate, and solve problems?
7. Does your company use a good problem solving process (PDCA) to develop/challenge its team members through on the job development (OJD)?

I've listed only a few of the elements above(in my opinion) to implement a good process that will get you "continual and repeatable" results as a company, as well as a workforce that is encouraged to "think".
Some companies and their leadership will continue to "manage by numbers" turning their heads to their responsibility as coaches, and continue to give orders "because I say so", instead of offering development and wisdom as leaders should be.
For the short-term the practice of getting results by luck or numbers may keep them out of trouble with their bosses, but this is not the proven method for long-term growth, sustainability, or building mutual trust and respect with your team members. Just look at certain industries today that have managed this way. Do your results meet customer needs? Where do you wanna be as a company? Until next time
thetoyotagal
Tracey Richardson

What is all the fuss about 5S anyway--Is it really important?

2009-05-27T16:31:00.006-04:00

If an individual took a checklist with them and investigated all the different "versions" of the 5S's out there we would have about 10 or 20 different S's. In my experience I've seen different words used in the place of the "original" 4S approach (american culture added the 5th S by the way) established years ago in Japan. The "version" I like to use comes from the original TPS Handbook created by Toyota Motor Corporation (TMC).

I think if a company understands the intent behind 5S then the words chosen to represent the meaning are merely a guide to explain the process or tool. What I find is that companies will implement 5S but very few people really understand WHAT it is and WHY its an important step in Lean Implementation and TPS. (See previous blog posts explaining the WHAT and WHY.)

So what is 5S and Standardization have to do with one another?

5S supports Toyota concept of "abnormality management" by applying visual techniques (visualization) and controls that enable a team member to immediately recognize the standard and any deviation from it. We can also call this Problem Identification, which is the first step in Problem Solving. The 5S condition on the shop floor or in the office can effect our ability to manage those 4 Key Performance Indicators (KPI's) -- Quality, Safety, Productivity, and Cost.

Here is a helpful guide below to determine the different levels of knowledge when it comes to 5S "thinking".

Where is your understanding as a company or an individual in regard to 5S?
Take a look at this: (OJD=On the Job Development)

If a company is really trying to change their culture in regard to Lean and using TPS tools then 5S can be a way to develop team members as shown above.

So what are those S's.....let's take a look below:

Remember 5S is a "visualization and standardization" tool that used to implement Lean (TPS). It can also be used as a development tool for leadership as well as team members across all levels of the company. So the next time someone asks about 5S just know its more than the "flavor of the month".
Til next time
thetoyotagal
Tracey Richardson

What does "Standardization" really mean to a Company?

2009-05-14T15:15:00.005-04:00

As some of you know, Standardization is the "foundation" of the Toyota Production System, it creates the benchmark for improvement. Taiichi Ohno was famous for saying "Without Standards there can be no Kaizen", this is so true when it comes to creating a culture for continuous improvement within a company. Often times we have to know where we are(current situation) to know where we are going (improvements or Ideal Situation).

Standardized work can be defined as:

A TPS tool for making quality products that is centered around human movements outlining efficient, safe work methods that eliminate waste (muda). It organizes and defines the major steps of the job which are important when a worker may do it differently each time. Also there can be certain motions within our work that are disorganized which lead to inefficiencies (waste) within those processes.

I can remember when I started at Toyota Motor Manufacturing Kentucky (TMMK) in Georgetown, KY, we had to write all our standardized work charts (STW) and work instruction sheets (WIS) before we ever made our first vehicle. This ensured we were building in "Jidoka" on our work processes. This was one of my first lessons from the Japanese trainers in Kaizen and making improvements. They consider it a necessity of our job and the culture we were in required us to follow it religiously. By doing this we were able to maintain and improve our team goals in quality, safety, productivity and cost. This has been one of the secrets to Toyota's success over many companies who struggle in their lean journey. I often hear " We don't make cars, or we dont do the same thing everyday; so standardized work doesnt fit in our daily activities". I reply by saying, "if there are people, processes and systems" standardized work, problem solving and kaizen can apply ANYWHERE!!!"

Another common myth about standardized work I hear is that many think of a rigid work environment where workers arent required to think (robots) when they hear about "Standardization", this wasn't the case at all at Toyota. If we had ideas to make an improvement to the current standardized work we discussed our idea with our leaders and it was considered depending upon the consensus and buy-in from other members and shifts. Once consensus was reached then we ran a trial to determine the effectiveness, if it was deemed an effective change then the Standardized work was re-written and everyone was trained in the new method. This was continuous improvement at its best, and I lived this "way of thinking" for 10 years while working on the production floor at TMMK. These were priceless moments in my own journey in understanding the tools of TPS.

Until next time,
thetoyotagal
Tracey Richardson
http://www.linkedin.com/in/traceyrichardson

A Visual of my Lean Implementation Plan - WHY, WHAT, and HOW to Implement

2009-04-20T12:07:00.009-04:00

I've been working on a visual of my Lean Implementation Plan, this methodology is used as part of my training sessions at various companies around the U.S. I have discussed different segments of this throughout my previous blogs.

As you can see "problem solving" is the core of implementing change within a company and their ability to implement a Lean culture. Most companies tend to jump to the "how" start with the TPS tools which usually only show short-term gains. This is because the "purpose"...(Why we are doing this?) Isn't understood totally. Once a company's employees understand WHY then we move on to the WHAT and that is engaging, involving, and challenging them to "think" or problem solve. Only then can the tools be taught and fully understood as the "whole management system".
Once this new way of thinking (culture development) begins it must be visualized and posted for all to see. This can quickly show team members their current situation vs. where they need to be in regard to the standard or --companies expectations (key performance indicators). We call this Workplace Management Development System (WMDS) and it brings together the goals of the company with the ability to develop team members in the systems/tools to reach those goals. All these processes lead a company to eliminating waste, and profits by cost control. It looks simple, its just not easy!!! You implement all these processes while managing them by the PDCA (Plan-Do-Check-Act)...these systems=success in a company guaranteed!!!!
Til next time
thetoyotagal
Tracey Richardson

8 Step Problem Solving - Everybody-Everyday...Is this your Culture?

2009-04-07T19:57:00.003-04:00

In traditional Cultures only the "six sigma black belts" or "highly skilled" problem solvers are looking at the day to day issues team members may have. There are so many problems and yet not enough of the "specialized people" to go around; often we create a low morale in the workplace because team members have lost faith in management to make a difference in "their" work area.

In Toyota's culture we tend to think "Problem-Solving, Everybody-Everyday", meaning we empower our people to make a difference in their own work areas therefore in some ways they are contributing to their own job security. This is a powerful paradigm shift in how we do business in today's industry.

This can easily be applied by valuing and respecting people as the most important "asset" to the company. If we do not ask our people to think and respect that they are the "professional" on the job then we are missing out on the extraordinary "brainpower" they have to make a difference that could very well lead to improved company business indicators. This is a essential element of Toyota's culture and how they implement so many ideas that leads to improving the "cost" indicator for the company. It's not only a process the team member learns but really an "expectation" of their job to think about improvements and not become complacent in their actions.

The process used to strengthen our problem solving skills is called the 8 step Problem Solving process, some know it as TBP or Toyota Business Practices.

the 8 Steps consist of:

Step 1 - Clarifying the Problem

Step 2 - Breaking Down the Problem

Step 3- Setting a Target

Step 4 - Root Cause Analysis

STep 5 - Develop Countermeasures

Step 6 - Seeing Countermeasures Through

Step 7 - Monitor process and results

Step 8 - Standardizing and Share Successful Practices

The 8 step Problem Solving is basically PDCA, then first 5 steps of the 8 Steps are planning, Step 6, 7 ,and 8 and the D, C and the A of the process. It's a very efficient and effective way to "think", again thinking is what we should value in people.

Stayed tuned to further posts regarding the 8 Steps.

Til next time

thetoyotagal

Tracey Richardson

What is an A3? Does your company embed this "Lean communication tool" in their culture?

2009-03-28T13:28:00.005-04:00

When I started at TMMK (Toyota Motor Manufacturing KY) in Georgetown, KY, back when we were still building the plant, I can remember our japanese trainers discussing "problem solving" with my supervisors and how important it was for us to "practice" this thinking in our daily activities. I also remembered overhearing the acronym or term "A3" and wondered exactly what that meant in regard to solving problems. Now you have to remember, in 1988, we didnt have computers or printers in the workplace so it wasn't a well-known reference as the "size of paper" we know it to be now (11 x 17). I can remember thinking in my mind what does A and 3 stand for? (grin)
When my trainer referred to it as a "storyboard" it started to make a little more sense, and I was very intrigued to learn more about this unique methodology. I was only 19 years old when I came to TMMK so solving worksite problems and documenting them in the PDCA format wasn't commonplace to me, nor was it for the majority of team members I worked with.

My group leaders and japanese trainers quickly developed my/our "thinking" process (PDCA) and how it would be part of my/our everyday activities at the Gemba. We were taught that it was our responsibility to "think" and make improvements within our processes and area. Problems were to be looked at as our "friends" at Toyota; instead of the traditional mentality where we covered them up to make ourselves look good. When you cover up problems its guaranteed to increase costs and could possibly effect the quality of the product.
Being so young and growing up with this "culture" of visible problems, its hard for me to understand how a company could have long-term growth and sustainability without this "way of thinking". Now at the age of 40, it has become part of my life both within my work and home life; you could say its part of my character.

Toyota takes this process of "thinking" and "problem solving" to the next level. The expectation of all team members at every level within the company is to use the PDCA thinking process to tell your "story", and relate why this problem was "value-added" to the company.
I consider an A3 as a "Lean Communication Tool", to basically share with someone "how" I thought through this problem and "what someone needs to know" to understand; not everything I did to get there, which could be in some cases a very large document to read through.
For Toyota this is not respecting people and their value-added time, therefore a Lean communication tool such as the A3 is necessary to eliminate waste and can also be used as a development tool to teach others in the PDCA thinking. I've been blessed to have been "raised" in a company that expects this from its employees and to know how valuable it is to sustain long-term and development the next generation workforce.
Stay tuned for future blogs where we will dig deeper into the 8 steps of an A3.
Till next time
thetoyotagal
Tracey Richardson

Company "Values"..What does that really mean to employees?

2009-03-15T15:38:00.002-04:00

In Today's time you will find many companies have "posted"or hanging on their walls some type of Mission statement, Vision statement, guidelines, or what many consider to be the Company "Values". These are often placed in the lobby, production floor or throughout the office areas and can be very decorative and impressive to visitors walking through. My question to many companies I work with is: What does this really mean to team members or employees? Has the company invested time explaining what this really means? How they should "act"or as the japanese may say "behave" on a daily basis to "live" these values? When I teach Lean Culture implementation within a company I express my concern for these "decorations" on the walls without explaining "WHY" its important. (Check out my previous blog posts).

I believe a company must give direction with their selected values and "put-to- life" those expectations. I tend to call them "Tangible Actions" to the values. These actions should be something an employee can understand and integrate into their daily activities. For example these bullet points below could be considered "Tangible Actions" to the Values.

Have a Customer First approach (looking from the eye of the customer).
Having a "Line of Sight" to the Company Indicators when problems are solved.
Taking Ownership and Responsibility to making a difference in the workplace.
Visualizing the company goals and status in work areas or the production floor sharing with employees the current situation.
Judge each situation finding the facts using the "Go and See" for yourself approach.
Never giving up - a commitment to complete the task/problem at hand
Using a complete and timely process when solving problems (with the Customer in mind)
Follow a good "thinking process" to solve problems (PDCA management steps)
Ensure there is Thorough Communication between all stakeholders within the company
Develop Standards within the company to easily see problems when they occur

These are just a few "tangible actions" that can assist in creating a strong culture within a company. So the next time you see the mission statement hanging in a company's lobby take a second to ask yourself what does that really mean?

Til next post

Tracey Richardson

thetoyotagal

PDCA (Plan - Do - Check - Action) Management (Macro and Micro)

2009-02-28T11:11:00.003-05:00

Do companies really see the importance of those (4) letters in the alphabet when it comes to doing business effectively and efficiently? The PDCA cycle is (4) simple letters but a powerful management tool when understood by a company as a way to do business. Dr. W. Edwards Deming was responsible for creating this "way to manage/think" and introduced it to the Japanese in the 1950's when Ford Motor Co., didn't seem to be too interested at that time to embrace the concept. The original process was actually PDSA, the "S" standing for "Study"...Plan-Do-Study-Act. When the Japanese embraced this management tool they changed the "S" to a "C" to create the "Check".

When I teach this "way to manage" process I also introduce the terms "MACRO" PDCA and "MICRO" PDCA... because I think its very important to company's and their employees to understand all the dynamics in this management process, some like to also refer to it as "small scale" or "large scale" PDCA, it all means the same in the eyes of the company as long as the employees are thinking through their daily work which should support the company's business goals.

A company's first step in implementing the PDCA management system is to understand what is happening within each step of the process. Proper planning is an essential element for successful implementation. Within the Japanese culture, in general, when they are given a year long project for example, they will immediately "plan" for 9 months of that year and implement for 3 months. On the other hand, some traditional cultures (like us Americans at times), could be given the same project and we would plan for 3 months and have a frustrating implementation for 9 months because we tend to jump to the answers(the how) first instead of the problem first (the what).

A company must understand "Why" and "What" they want to accomplish each year, set company business indicators to measure those accomplishments monthly, share those indicators with employees, and give the employees the resources and opportunities to solve daily issues which contribute to the overall business goals. This goes back to my first post in having a "line of sight". This concept is in essence what I'm referring to as MACRO PDCA (business level planning as a company) and MICRO PDCA (employees solving daily problems supporting the business goals). This visual can show the micro PDCA activities supporting the business. This I believe is a key factor in creating a culture driven towards continuous improvement.

Til next time,

Tracey Richardson

TheToyotagal

What is the importance of "Jidoka" Building in Quality within your culture?

2009-02-02T19:18:00.003-05:00

Often when I'm instructing at various companies I will ask the question. How do you ensure you are building "Quality" into the products you make? Are all your team members building the product with the "customer" in mind? Do team members understand how they are contributing to the companies goals when they build these products? These are all important questions to answer in regard to the strength of the "culture" within your company. How do you define Culture:

The basic philosophies that a given group has invented, discovered, or developed in learning to cope with arising issues that have worked well enough to be considered valid, and therefore, to be taught to new team members as the correct way to perceive, think, and feel in relation to those issues.

Does your company have a strong culture? Do your team members (employees) believe in the work standards and goals your company has? When it comes to Culture, Toyota isn't perfect but they do demonstrate a strong belief system within the team members better than most companies today.

These questions take us back to the basic philosophy Toyota has in regard to Standardized Work. Standardized work is present for every position on the production line. How is Standardized Work defined:

Record of best known method to perform work repeatedly and orderly in order to ensure production without waste

The Toyota Production System "house" (TPS) has 2 main pillars - Jidoka, Just-in-Time, and Standardization as the foundation of the house. Taichii Ohno often said "Without Standards there can be no Kaizen", hence the need for Standardized Work, and the foundation of what Toyota builds its production system on.

Where does your company rate in regard to Standardized Work development? Does your leadership see it as important? It's a foundational piece to Culture and continuous improvement that most overlook as a need for success.

Til next time,
The Toyota Gal

Why does Lean "Implementation" fail with most companies?

2009-01-23T16:13:00.001-05:00

It has been my experience with companies that are trying to implement lean or change, is that one of the main reasons their "lean initiatives" fail is that TOP management feels its a "program" for the workers to try, and not necessarily a requirement at their level. Some management feel they may be exempt from the change because of their experience, time in grade, or an earned title within the company. This is a common belief and a major stumbling block for long term sustainability in a company trying to change its business practices.

When a company attempts to create a positive "culture"; lean thinking should be practiced by all levels (team member to the plant president). One of the keys to a successful transition is to ensure a company has "buy-in" from your team members doing the work, and that the company explains the "why" along with the "what".

By doing this the change it creates a "value-added'ness" (a Tracey word) to the team members doing the work and they are more apt to understand the bigger picture (company business plan) than not. It's easy for anyone to tell someone what to do, but explaining "why" it's important is often left aside. The "why" should be related to the Company's Key Performance Indicators (KPI's) i.e. Quality, Productivity, Safety, and Cost. I tend to call this the "Line of Sight". When a team member has a line of sight to what the company is trying to accomplish, then they have a better understanding of what is value-added and non-value added work (waste).
Till next post...
thetoyotagal
Tracey Richardson