northeastern pennsylvania industrial resource center Principles of Operational Excellence a brief overview of the initial assessment

Similar documents
APPROACH to Operational Excellence

AN INTRODUCTION TO THE WORKS OF W. EDWARDS DEMING

How the Ideas of a 1950s Statistician Taught me more about Management than Business School. Amy Shropshire, CASK Communications

Using the Shingo Model for Operational and Quality Excellence

Institute For Enterprise Excellence

The Philosophy of TQM An Overview

Leading in a Lean Environment. By: Amanda Langston

TQM and Reliability Engineering

LEAN CERTIFICATION BODY OF KNOWLEDGE RUBRIC VERSION 3.0

Applications of The Deming s 14 Principles. Who was Dr. W. Edwards Deming? Deming s Principles 10/14/13. W. Edwards Deming s 14 Points

Lean Gold Certification Blueprint

Intelligent Solutions, Inc. Copyright 2008 Intelligent Solutions, Inc., All Rights Reserved. Geiger - 1

Total Quality Management

"Agile Testing: What Would Deming Do?"

Corporate Principles. Basic philosophy and its implementation process. cp_02 [ Guiding Principles at Toyota ] Guiding Principles at Toyota

Enhancing Audit Program Using Dr. Deming s 14 points. Naren Patel ASQ Fellow October 12-13, 2017

Institute For Enterprise Excellence

PMPA Tech Conference Do we have the Tools and Knowledge to weather the Storm?

From the Perspective of the Worker Making Things Run Better. Mike Taubitz

There is no quality in construction

CORE VALUES AND CONCEPTS

Chapter 2 Quality Theory

QUALITY MANAGEMENT PRINCIPLES

14 Ways to Destroy Your Organization - And 14 Ways to Develop It!

THE DEMING CUP FOR OPERATIONAL EXCELLENCE 2015

WHY QUALITY IS IMPORTANT? PRODUCT AND QUALITY COSTS OF POOR QUALITY COST OF ACHIEVING GOOD QUALITY. Prevention costs.

Historical Phases of Production

Corporate Principles. Guiding Principles at Toyota. Corporate Principles

Lean Silver Certification Essential Body of Work

WHY LEAN PLASTIC INJECTION MOLDING COMPANIES ARE BETTER SUPPLIERS

Quality Management EOE-072. It costs a lot to produce a bad product. Norman Augustine

Core Values and Concepts

THE CULTURE CANVAS A Working Guide and Checklist to Support the Development of a High-Performing Culture

Sharing Your Lean System For Total Success

The expectations of my role are clear to me

Building a Culture of Daily Problem Solving

10 Steps to become a Lean Enterprise. Level 2 Lean Practitioner In Manufacturing Training Course. Step 1 - Part 2

Quality Engineering (ME522)

Our Journey in Creating a Memorable Customer Experience. Vision Mission Values Culture

High. Performance. Working (HPW) Improving Organisational. Performance SENIOR LECTURER WORK BASED LEARNING LORD ASHCROFT INTERNATIONAL BUSINESS SCHOOL

MODULE 3 Introduction to Quality and Quality Improvement in Health) Unit 3.3 The Theoretical Framework for Modern Quality Improvement

Self Assessment Guide for a Great Safety Culture

Getting TPM & Lean / CI to Sustain using CTPM s Australasian approach

WorkPlace Engagement Survey

Training Within Industry (TWI) The Missing Link To Continuous Improvement

Level & Stable Operations

EASING THE TRANSITION

Value Add not Overhead The Next 10 Years

THE HEART OF A LEADER- PART 1

TEAM LEADERSHIP FOR TOTAL QUALITY TL/TQ PRINCIPLES & CONCEPTS PROGRAM MATERIALS

Operational Excellence Maturity Assessment. Profound Change. Sustainable results.

How to Engage Employees. A Guide for Employees, Supervisors, Managers, & Executives

Incident & Injury Free (IIF)

SHORT ANSWER QUESTIONS (KEY) UNIT- I

Work Expectations Profile

Trend and Business. Business and Quality Management

5-Minute Drivers. The Oz Principle Accountability Training. The 5MDs are our tools to See It, Own It, Solve It, Do It and achieve our key results.

Sharing Your Lean System For Total Success

The Toyota Way. Using Operational Excellence as a Strategic Weapon. Chapter 1 9/11/ Ps. September 11, 2014

Lean Enterprise Achieving efficiency in a world demanding effectiveness

Assistant Deputy Minister Profile

CSU Project Management Certificate Program

Total Quality Transportation Through Deming s 14 Points

xq COMPARATIVE REPORT

Toyota s 14 Steps to Becoming Lean

Cultural & Strategic Alignment

The 10 Core Values of Zappos

Career Values Scale Report John Smith

ABC Employer Guide. for Diversity. and Inclusion

ATTACHMENT #1 Value-of-Work Activity

BBA Sixth Semester Total Quality Management. -BIJAY LAL PRADHAN M Sc Statistics, FDPM(IIMA) PhD Scholar (TQM)

Individual Feedback Report for

The #1 Adsorption Technology Company FILTRATION PURIFICATION SEPARATION DEHYDRATION. Statement of Core Values and Beliefs

Labor Management Committee (LMC) Presented By FMCS Commissioners Barbara Rumph & Glen Reed

Understanding the Functions and Roles of Management. Managerial Functions. The Roles of Management. Organizing. Planning. Leading.

LEAN PRODUCTION SYSTEM

FOUR GENERATIONS OF LEADERSHIP

Nothing changes until leader behavior changes.

Introduction to Lean CAPTURE AND LEVERAGE THE LEAN ADVANTAGE. Introduction to Lean. Learning Objectives

Implementing SAFe: A Roadmap

Mentor Application. What is the Mentoring Jail Leaders Program?

Marine Corps Intelligence Civilian. Career Development Program Individual Development Plan

Escape the Improvement Trap

Feedback Report. ESCI - University Edition. Sample Person Hay Group 11/21/06

Brad Staats NE Indiana Lean Network. Dec 8, 2016

SEVEN (7) PRINCIPLES FOR IMPROVING WORKFLOW

Lean Transformation in the Rail Industry. Kevin Orton, Head of Business Development Unipart Rail Karen Beardsley, Director Unipart Expert Practices

Copyright 2008 The Shingo Prize for Operational Excellence Page 1

OUR PEOPLE STRATEGY

Lean IT From Theory to Application

Performance Management Competencies. for Schedule II Levels 1-6

Performance measurement and targets: Dr Deming s Five Deadly Diseases

Instructor Guide Lesson 6 Performance Management. Cyber Excepted Service (CES) HR Elements Performance Management.

Project Resource Management includes the processes to identify, acquire and manage, the resources needed to successfully complete the project.

Total Quality Management

Visionary Leadership. A leadership style to get your team aligned toward achieving your vision.

SpeasTech Smart Products

Employee Information. Performance Goals

Chapter 1 Statistical Quality Control, 7th Edition by Douglas C. Montgomery. Copyright (c) 2013 John Wiley & Sons, Inc.

1 This document was adapted from information from Center for Public Health Quality, Charlotte Area Health Education Center, NC State University

Transcription:

northeastern pennsylvania industrial resource center Principles of Operational Excellence a brief overview of the initial assessment

Shingo Transformational Process

Principle Based Architecture A culture of operational excellence requires more than programmatic improvement initiatives. It is the application of principles that truly transforms culture and ignites an organization's success. Think in terms of categorical principles - Shigeo Shingo

Principle Based Architecture 1."Create constancy of purpose towards improvement". Replace short-term reaction with long-term planning. 2."Adopt the new philosophy". Management should actually adopt the philosophy, rather than merely expect the workforce to do so. 3."Cease dependence on inspection". Reduce or eliminate variation to eliminate defects. 4. Do not purchase based on price alone." Multiple suppliers mean variation between feed stocks. 5."Improve constantly and forever". Constantly strive to reduce variation. 6."Institute training on the job". If people are inadequately trained, they will not all work the same way, and this will introduce variation. 7."Institute leadership". Enhance both individual creativity and the value of teamwork, while honoring mutual trust and respect between labor and management 8."Drive out fear". Management by fear as counter- productive, because it prevents workers from acting in the organization's best interests. W. Edward Demming 9."Break down barriers between departments". Each department serves not the management, but the whoever uses its outputs. 10."Eliminate slogans". It's not people who make most mistakes - it's the process they are working within. Do not harass the workforce. 11."Eliminate management by objectives". Production targets often encourage the delivery of poor-quality goods. 12."Remove barriers to pride of workmanship". Develop worker satisfaction. 13."Institute education and self-improvement". 14."The transformation is everyone's job, take action".

Principle Based Architecture Kiichiro Toyoda 1. Challenge "Always be faithful to your duties, thereby contributing to the company and to the overall good. 2. Seek Perfection Always be studious and creative, striving to stay ahead of the times. 3. Direct Observation Always be practical and avoid frivolousness. 4. Respect for People Always strive to build a homelike atmosphere at work that is warm and friendly. 5. Humility Always have respect for spiritual matters, and remember to be grateful at all times.

Shingo Principles The Shingo Principles of Operational Excellence 1. Respect every individual 6. Embrace Scientific Thinking 2. Lead with humility 7. Focus on process 3. Seek perfection 8. Think systemically 4. Assure quality at the source 9. Create constancy of purpose 5. Flow and pull value 10. Create value for the customer

Predict The Outcome Link Principles to Categories Natural Business Laws that Govern the Consequences of Business (Timeless) 1. Respect every individual 2. Lead with humility 3. Seek perfection 4. Assure quality at the source 5. Flow and pull value 6. Embrace Scientific Thinking 7. Focus on process 8. Think systemically 9. Create constancy of purpose 10. Create value for the customer (Outcomes) Customer Results Alignment of Enterprise Process Improvement People Enabled

Behavior Matters; Numerical Score BEHAVIOR ASSESSMENT 1. Frequency of action (Rare to Constant) 2. Duration of doing action (Initiated to Culturally Engrained) 3. Intensity of Commitment (Apathetic to Tenacious) 4. Scope of action (Isolated to Enterprise) Driving Category Customer Results Alignment of Enterprise Process Improvement People Enabled 5. Role (Associate to Principle)

Shingo Transformational Process

System Definition A system is an organized collection of parts that are highly integrated to accomplish an overall goal or objective.

Tools and Systems What do your systems look like today? Employee / Process Control Level Scheduling Reduction of Variation Supplier Development Value Stream Mapping Workplace Organization Process Capability Error Proofing Standardized Work Planned Maintenance Pull Systems Office Layout Inventory Control Accounting Product Development Innovation Often, current systems are perfectly designed to take up over 100% of the available time, not integrated, and waste is disguised as useful work.

Performance Driven Systems A system is an organized collection of parts that are highly integrated to accomplish an overall goal or objective. Respect Every Individual Principle People Development System Training Communication Coaching Behavior Cross Skill Lean A3 On the job Train Tool Elements

Principle Performance Driven Systems A system is an organized collection of parts that are highly integrated to accomplish an overall goal or objective. R Behavior Ideal Behavior TSP MAP Principle Tools and Techniques Tool Elements Systems System

Shingo Transformational Process

Results Create Value for the Customer Measure What Matters Align Behaviors with Performance Identify cause and effect relationships

Results, Measure What Matters Create Value for the Customer Specific in that they are specific and they target the area one is measuring. Measurable in that one is able to collect data which is accurate and complete Actionable in that they are easy to understand and its clear when chart your performance overtime which direction is good and which direction is bad so that one knows when to take action. Relevant in that one does not have to measure everything including those that irrelevant. There is a common trap of trying to measure everything one has to avoid Timely in that one can get data when they need it. Its real time. Value Driven (Customer Focus) Move the Dial (Direct Linkage) Drives Action (Instant Feedback, Cycle of Measurement) Linked to Principles and Vision

Shingo Transformational Process Start With an Assessment of the Entire Current State

Assessment PEOPLE Round 1. 10 min. prep. 45 min. in area 45 min. team consensus 5 min. report out 10 min. prep for next area Area Focus Round *See Shingo Guidelines for Systems: specific focus Key Questions *Create a series of Tool, System,, and principle questions to ask 1. What do you do when you see a problem in your area? 2. What support do you receive when you are fixing a problem? 3. What was the last time you were recognized or awarded something? 4. Who awarded you? What was it of? Can you show me the award? 5. If you could change and improve ONE thing in your area that would make life easier, what would you change? Tell me about how you would make that change, what is the process? NOTES & OBSERVATIONS: PROCESS Round 2. 45 min. in area 45 min. team consensus 5 min. report out 10 min. prep for next area ALIGNMENT Round 3. 30 min. in area 30min. team consensus 5 min. report out

Behavior Assessment 1. Identify Systems in the observed area. 2. Create Swim Lane for each System 3. As a group, discuss and identify the Level of overall behavior driven in the system, Level 1 through Level 5 1. Frequency of action (Rare to Constant) 2. Duration of doing action (Initiated to Culturally Engrained) 3. Intensity of Commitment (Apathetic to Tenacious) 4. Scope of action (Isolated to Enterprise) 4. Identify KEY Opportunities and Strengths for the System (The opportunities should help the system get to the next level) 5. Repeat steps 1 4 for the next system 5. Role (Associate to Principle) Level 1 Level 3 Level 5 Recognition System Idea Suggestions Communicati on System

Action to Improve Results through Improved Behavior 1. Identify KEY Opportunities and Strengths for the System (The opportunities should help the system get to the next level) Level 1 Level 3 Level 5 Strengths Opportunities Recognition System Idea Suggestions System Standardized A lot of Ideas Actions for consideration Actions for consideration Communication System Great enthusiasm Actions for consideration

Objectives 1. Lead a principle-based cultural transformation 2. Move beyond a tool/result focus 3. Connect Tools, Systems and Principles to achieve key results 4. Sustain ideal behavior

Next Steps Three fundamental paradigm shifts are embedded into the Shingo model for organization improvement. When these new paradigms are well understood and acted on, cultural transformation can be accelerated. The new paradigms are: 1.There is a clear and strong relationship between principles, systems, and tools. 2. Operational excellence requires focus on both behaviors and results. 3. Business and management systems drive behavior and must be aligned with correct principles. The Shingo Prize has three areas of focus: education, assessment, and recognition

Principles of Operational Excellence THANK YOU Gerry Giza, CGBP Director Lean & Continuous Improvement NEPIRC Your Resource for Profitable Manufacturing Growth 75 Young Street Hanover Township PA 18706-1471 Direct (570) 704-0019 Cell (570) 592-5506 e-mail: gerry@nepirc.com www.nepirc.com