presented by David Brunt at the UK Lean Transformation Summit on 21st November 2008.

1. Lean Enterprise Academy www.leanuk.org
21st November 2008
How to Develop Managers able
to Lead & Sustain end-to-end
Value Streams
David Brunt
Senior Fellow
Lean Enterprise Academy

2. Lean Enterprise Academy www.leanuk.org
Lean Implementation
Some Lessons Learned
Cherry picking tools
is not enough
The tools comprise a
system
We focus on the
flow of value to
create a system
A way of thinking
underlies the tools &
system
We learn the thinking
through doing
Ref: John Shook: Lean Enterprise Institute Senior Advisor

3. Lean Enterprise Academy www.leanuk.org
What is this way of Thinking?
Purpose, Process, People
Lean starts with value from the perspective of
the customer
Delivers value through end to end processes
(Value Streams) that no one sees
The aim is to get all the actions that add value
to flow at the pull of customer demand
Building in quality and standardising work
Performance delivered by a management
system that at its heart is characterised by two
principles
Respect for people and the engagement of everyone
in continuous improvement
How do we Develop Managers
in this Thinking?

4. Lean Enterprise Academy www.leanuk.org
Learn to Use PDCA
Do 4. Implement
Plan
What
Why
How
1. Definition of Problem
2. Analysis of Problem
3. Planning Countermeasures
Check 5. Confirm Results
Act 6. Standardise

5. Lean Enterprise Academy www.leanuk.org
Systems Viewpoint
Problem Consciousness at Different
Levels in the Organisation
Important to
understand:
The purpose of the
cause of action
How the action
furthers the
organisation’s
goals, needs &
priorities
How it fits into the
larger picture &
affects other areas
of the organisation
Ref: Sobek & Smalley “Understanding A3 Thinking” (2008)

6. Lean Enterprise Academy www.leanuk.org
Grasp the Situation
What is the Role of the Manager?
Knowledge of work
How we do things “Go
and See”
Knowledge of
responsibility
What we need
to do by when
Skill in improvement
How can we do things
better?
Leadership behaviour &
motivation
Why we do things this
way?
Teaching ability
How to pass along skills
to others?
Management
Responsibilities
Right person
on right job
Start new
employees
Train
employees
Plan handling
& storing
Control
material costs
MAN MACHINE
MATERIAL METHOD
Availability
Control
machine costs
Maintain safety
Operate
Co. policies
Timing
schedules
StandardsMaterial quality
Develop cooperation
Maintain
high morale
Improve everyone’s
performance

7. Lean Enterprise Academy www.leanuk.org
Define the Problem
A “problem” is… the gap between the way things are
now & the way they’re supposed to be, or you want
them to be, in the future
A manager has a problem when the work assigned fails
to produce the expected results (Ref: TWI Training
Materials)
Different levels of the organisation have different gaps to
close

8. Lean Enterprise Academy www.leanuk.org
How should it be done?
Learn how to learn
Focus on real problems
Learn by doing & “Go See”
Teach the correct process for closing gaps
Prioritise the “vital few”
Design a series of experiments
Set based concurrent development
No one best intervention method, but a mix that we
test to find out the best ways
Specifications
Launch
Analyse
& Test
Detail
(repeat for sub-
systems, then assemble)
Improve
Pick One
Concepts
Diagram Ref: Allen C. Ward, “Lean Product & Process Development” (2007)

9. Lean Enterprise Academy www.leanuk.org
From Strategy Deployment
through Value Streams to
Standardised Work
AssemblyWipersStamping
Current State
44d
55m
73
8
Steps
Time
Steel
DELTA
STEEL
Stamping
GAMMA
STAMPING
Warehouse Cross Dock
Wipers
BETA WIPERS
Assembly
Dist. Centre
Cross Dock
ALPHA MOTORS
Amplification
F E D C B A
%
40
30
20
10
0
F E D C B A
Quality & Delivery
ppm
2000
1500
1000
500
0
F E C A
%
10
5
0
Steel
Dist. Centre
16d
55m
39
8
Steps
Time
Amplification
F E D C B A
%
40
30
20
10
0
Quality & Delivery
ppm
2000
1500
1000
500
0
F E C A
%
10
5
0
F E D C B A
DELTA
STEEL
GAMMA
STAMPING BETA WIPERS ALPHA MOTORS
Future State
Flow and Pull between Plants
The lessons can be
used from strategy
deployment,
through value
stream re-design to
process step levels

10. Lean Enterprise Academy www.leanuk.org
What is a Plan?
A set of agreements for
making a change or series of
changes

11. Lean Enterprise Academy www.leanuk.org
How do we get Agreement?
Make performance
visible
Regularly review,
audit & apply PDCA
to the gaps
Ask why
Tell persuasive
stories
Create dialogue
through the process

12. Lean Enterprise Academy www.leanuk.org
Summary
Define the business problem and understand the gap(s)
Teach managers how to see work as a process
The difference between value and waste
Identify where problems occur
Grasp the situation visually
Get consensus on the “vital few” countermeasures
Develop a plan (with alternative experiments) to give
managers the skills to think in the right way & create
stability in the management process so we can connect
activities together
Gemba walks & Value Stream Maps
Structured “learn by doing” activities
Problem solving - “No problems is a problem!”
Reviewing progress
Coaching – “one to one” & peer based
Managing visually
Be sure to make responsibility for the plan and
deliverables clear
Develop a Check & Adjust process (with regular reviews)
so we can see how successful we are & build learning
into the process

13. Lean Enterprise Academy www.leanuk.org
Conclusions
Mastery of tools is important
But success will come when we apply the right
thinking to management development
Use the P-D-C-A methodology
“What is/are the gaps we are trying to close?”
Think in terms of alternatives rather than one best
way
If we can compress time “from finding and
defining a problem to implementing
countermeasures” we will have a true
competitive advantage
Over time we will be able to apply the
methodology to ever more difficult problems
our businesses face

14. Lean Enterprise Academy www.leanuk.org
21st November 2008
How to Develop Managers able
to Lead & Sustain end-to-end
Value Streams
David Brunt
Senior Fellow
Lean Enterprise Academy