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10 Keys
To Lean Daily Management
Tom Fabrizio
Effective Lean Leadership
An Overview
What is Lean Daily Management?
• A system (including the structure) to
manage daily work, including
• Customer demand
• Best Practices and Standards
• Equipment & the workplace
• Improvement
• People
Who Does It?
• Work Teams
• Supported by supervisors and managers
• Supported by specialists
• These are not temporary project teams
• Note: Technicians and specialists may be on the
team as full or extended members
• Also Note: The team concept extends beyond front
line teams – it includes management teams
Time Frame
• At the speed of “now”
• Actions, information flow, measurement,
and improvement occur in the moment
(no waiting)
Location
• Designated, discrete area “owned” by the work team.
Everything else is for support.
Why Lean Daily Management?
• Know the real facts
• Team members are closest to the work and
ongoing events
• Quick Response
• Team members can be fastest to respond
• Have a complete view
• Team thinking is more complete
• Create a Learning Organization
• Provides a platform for personal and
professional growth and improvement
How to Build the System
Kaizen
Visual
Management
Intent Teams
Daily
Processes
Standardized
Work
10 Keys
To Lean Daily Management
The 10 Keys
1.KPIs that matter
2.Work Teams
3.Best Practices
4.Daily Huddles
5.Visual Displays
6.5S
7.Problem Solving
8.Coaching
9.Gemba
10.Leadership
1. KPIs that Matter
Key Performance Indicators
that matter
Key Performance Indicators
• Quantifiable measurements
• Agreed to beforehand
• Reflect critical success factors
• Measured as summaries, over
time (trend charts)
• Linked to organizational goals
• Examples:
• # units per hour
• Cycle times
• On time delivery
• Patient wait times
• Rework time
• Lost time due to accidents
• Accounts receivable turnover
0.0
0.5
1.0
1.5
2.0
01 J F M A M J J A S O N D
Defects/MachinesAudited*
2002 Actual Target Trend
0.0
0.5
1.0
1.5
2.0
01 J F M A M J J A S O N D
Defects/MachinesAudited*
2002 Actual Target Trend
Outgoing Quality - Defects / Units Audited
2. Work Teams
Work Teams that are
Accountable for Daily Work
Work Teams
- Functional teams who do the work
- Base daily work on customer demand
Work Teams: A Shift In Thinking
• The team manages daily work
• The team facilitator may be the supervisor or can be
chosen by the team
• The facilitator is an operator and also a coordinator
(spokesperson/link)
• The team receives business objectives from
management
From Group to Team
3. Best Practices
Standardized Work
What is Standardized Work?
• The most effective way for a worker to
complete their work (doing the right
work right)
• Standardized Work considers the
relationship of the worker with:
• Work flow (sequence of work)
• Time (demand and efficiency)
• Materials (parts and supplies)
• Information
• Equipment and tools
• Work space and environment
Purpose of Best Practices
• Perform work in the best way possible
• Define the “job” of a worker
• Create a training platform
• Determine normal from abnormal
• Establish a platform for improvement
Without standards there can be no improvement
Taichi Ohno
Operator Instruction Sheets
4. Daily Huddles
Scheduled Stand Up Meetings
Shift Start Up Meetings
• Daily meetings are a forum for
communicating and sharing information
5. Visual Displays
Team Display Boards
Facility-wide
Team Board
6. 5S
An Organized & Standardized
Workplace
Remember the 5S System?
Standardize
Sort
Set In OrderSustain
Workplace
Organization &
Standardization
Workplace
Organization &
Standardization
Shine
When in doubt,
you must move it out
Make it clean &
keep it clean
A place for everything,
with everything in its place
Get control through a
visual show
Maintain the gain,
forget the blame
10 Keys to Lean Daily Management
7. Problem Solving
Systematic Frontline
Problem Solving
Daily Problem Solving
• Small tests of change
• Every day
• By everyone
• Using a systematic method
• Standards are your platform for improvement
• KPIs provide the context
• Teams do the work
Problem Solving is a later step in building a lean daily
management system. Putting it first is like putting lipstick on a pig.
DO IT Every Day
•Define problem
•Open yourself to
solutions
•Identify the best
solution
•Take Action
(use PDSA)
Focus
Categories
Small Tests
of Change
Improvement Tracking
Work Team Action Sheets
ACTION SHEET “TO DO” LIST
David Miller Large Assembly Line
1 Overall Layout
Install U-shaped
layout
2 Hard to grasp
bases from bin
Install gravity
feed bin
3 Center fixture
4 Keys stick on
keyboard
Install new
keyboard
Tool arrangement
locating/reaching
Rearrange to eliminate
repetitive motions
6
Reaching to stack
cartons
Install workplace
organization
Off center
fixture
5 Hard to grasp
parts from bin
Install gravity feed
bin & change location
7
Item
# Problem Corrective Action
Manager Or Team Leader Area Or Process Name
05/16/03
Bill Bucher
D. McAlpine 5/17
L. Slonski 6/19
A. Zver 5/5
T. Lenke 5/20
6/2
5/30
7/1
E. Haromi
G. Erkman
R. Tustin
Date: Page of
Person
Responsible
Date
Due
Percent
Complete
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
Person Doing This Sheet
ACTION SHEET “TO DO” LIST
David Miller Large Assembly Line
1 Overall Layout
Install U-shaped
layout
2 Hard to grasp
bases from bin
Install gravity
feed bin
3 Center fixture
4 Keys stick on
keyboard
Install new
keyboard
Tool arrangement
locating/reaching
Rearrange to eliminate
repetitive motions
6
Reaching to stack
cartons
Install workplace
organization
Off center
fixture
5 Hard to grasp
parts from bin
Install gravity feed
bin & change location
7
Item
# Problem Corrective Action
Manager Or Team Leader Area Or Process Name
05/16/03
Bill Bucher
D. McAlpine 5/17
L. Slonski 6/19
A. Zver 5/5
T. Lenke 5/20
6/2
5/30
7/1
E. Haromi
G. Erkman
R. Tustin
Date: Page of
Person
Responsible
Date
Due
Percent
Complete
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
25
50
100
75
Person Doing This Sheet
.
8. Coaching
Continuous Coaching Cycles
Two Primary Roles
Coach
Uses coaching methods to
teach Kaizen. Usually one
level up from Learner
Learner
Person leading or
responsible for a group,
team, or process
Coaching Cycles
• Used to guide the learner through the steps of the
Improvement Kata for a real issue
• They are a way to guide and give feedback
• They are short, to the point, with follow-up
• Assess the current status of readiness & the focus process
• Find out how much the learner knows about the current condition
• Give procedural guidance
• In addition, you are also learning and growing as a coach
Each cycle should lead to a small test of change, a
next step
9. Gemba
Go to the Source
Go to the Gemba
• Gemba means “the real place”
• Go to gemba means “go to the source”
• Go to the scene
• Report from the scene
• Talk to real witnesses
LDM
10. Leadership
Standard Work for Leaders
Plan
day
The 3 Actions
• The 3 Actions for Standard Work for
Leaders are:
• Find
• Fix
• Fortify
• These actions relate to standards
• Find problems or non-adherence (see)
• Fix the variation, problem (solve problems)
• Fortify, make stronger (sustain)
Mapping Your Standard Work
People
here &
ready to
work?
Plan
day
Effective
startup
meeting?
Standards
followed?
Goal
Board
meeting
Assign
Improvement
Tasks
Gemba
Walk
Complete my
improvement
tasks
Coaching &
Facilitation
Post
today’s
results.
OK?
Plan
tomorrow’s
staffing.
Open Circle Implementation
1. Full staff presentation
2. Management Team
3. Std. Work for Leaders
4. Work Teams
5. Improvement Kata
6. Long-term improvement
2
3
4
1
5
6
Reasons Why Attempts to Empower Fail
• Lip service but no belief
• Managers don’t really understand it
• No clear boundaries for empowerment
• Micromanagement of the work
• Second guessing
• No strategic framework (no compass)
• Lack of information & training
• Allowing barriers to exist
• Blame environment
• Overburden & underpaid
Do You Want to Know More?
• I will be teaching these related workshops at
Portland State University, Center for Executive and
Professional Education
• The Kaizen Way – October 14
• Standardized Work and The Visual Workplace – December 2
• 10 keys to Lean Daily Management – December 9
For more information and to register you can go to
pdx.edu/cepe/lean-practitioner
Thank You
Tom Fabrizio
tfabrizio@nwcpe.com

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10 Keys to Lean Daily Management

  • 1. www.NWCPE.com 25 NW 23rd PL, Suite 6 PMB 381 Portland, OR 97210 +1 503 610-3166 10 Keys To Lean Daily Management Tom Fabrizio
  • 3. What is Lean Daily Management? • A system (including the structure) to manage daily work, including • Customer demand • Best Practices and Standards • Equipment & the workplace • Improvement • People
  • 4. Who Does It? • Work Teams • Supported by supervisors and managers • Supported by specialists • These are not temporary project teams • Note: Technicians and specialists may be on the team as full or extended members • Also Note: The team concept extends beyond front line teams – it includes management teams
  • 5. Time Frame • At the speed of “now” • Actions, information flow, measurement, and improvement occur in the moment (no waiting)
  • 6. Location • Designated, discrete area “owned” by the work team. Everything else is for support.
  • 7. Why Lean Daily Management? • Know the real facts • Team members are closest to the work and ongoing events • Quick Response • Team members can be fastest to respond • Have a complete view • Team thinking is more complete • Create a Learning Organization • Provides a platform for personal and professional growth and improvement
  • 8. How to Build the System Kaizen Visual Management Intent Teams Daily Processes Standardized Work
  • 9. 10 Keys To Lean Daily Management
  • 10. The 10 Keys 1.KPIs that matter 2.Work Teams 3.Best Practices 4.Daily Huddles 5.Visual Displays 6.5S 7.Problem Solving 8.Coaching 9.Gemba 10.Leadership
  • 11. 1. KPIs that Matter Key Performance Indicators that matter
  • 12. Key Performance Indicators • Quantifiable measurements • Agreed to beforehand • Reflect critical success factors • Measured as summaries, over time (trend charts) • Linked to organizational goals • Examples: • # units per hour • Cycle times • On time delivery • Patient wait times • Rework time • Lost time due to accidents • Accounts receivable turnover 0.0 0.5 1.0 1.5 2.0 01 J F M A M J J A S O N D Defects/MachinesAudited* 2002 Actual Target Trend 0.0 0.5 1.0 1.5 2.0 01 J F M A M J J A S O N D Defects/MachinesAudited* 2002 Actual Target Trend Outgoing Quality - Defects / Units Audited
  • 13. 2. Work Teams Work Teams that are Accountable for Daily Work
  • 14. Work Teams - Functional teams who do the work - Base daily work on customer demand
  • 15. Work Teams: A Shift In Thinking • The team manages daily work • The team facilitator may be the supervisor or can be chosen by the team • The facilitator is an operator and also a coordinator (spokesperson/link) • The team receives business objectives from management
  • 18. What is Standardized Work? • The most effective way for a worker to complete their work (doing the right work right) • Standardized Work considers the relationship of the worker with: • Work flow (sequence of work) • Time (demand and efficiency) • Materials (parts and supplies) • Information • Equipment and tools • Work space and environment
  • 19. Purpose of Best Practices • Perform work in the best way possible • Define the “job” of a worker • Create a training platform • Determine normal from abnormal • Establish a platform for improvement Without standards there can be no improvement Taichi Ohno
  • 21. 4. Daily Huddles Scheduled Stand Up Meetings
  • 22. Shift Start Up Meetings • Daily meetings are a forum for communicating and sharing information
  • 23. 5. Visual Displays Team Display Boards
  • 26. 6. 5S An Organized & Standardized Workplace
  • 27. Remember the 5S System? Standardize Sort Set In OrderSustain Workplace Organization & Standardization Workplace Organization & Standardization Shine When in doubt, you must move it out Make it clean & keep it clean A place for everything, with everything in its place Get control through a visual show Maintain the gain, forget the blame
  • 29. 7. Problem Solving Systematic Frontline Problem Solving
  • 30. Daily Problem Solving • Small tests of change • Every day • By everyone • Using a systematic method • Standards are your platform for improvement • KPIs provide the context • Teams do the work Problem Solving is a later step in building a lean daily management system. Putting it first is like putting lipstick on a pig.
  • 31. DO IT Every Day •Define problem •Open yourself to solutions •Identify the best solution •Take Action (use PDSA) Focus Categories Small Tests of Change
  • 33. Work Team Action Sheets ACTION SHEET “TO DO” LIST David Miller Large Assembly Line 1 Overall Layout Install U-shaped layout 2 Hard to grasp bases from bin Install gravity feed bin 3 Center fixture 4 Keys stick on keyboard Install new keyboard Tool arrangement locating/reaching Rearrange to eliminate repetitive motions 6 Reaching to stack cartons Install workplace organization Off center fixture 5 Hard to grasp parts from bin Install gravity feed bin & change location 7 Item # Problem Corrective Action Manager Or Team Leader Area Or Process Name 05/16/03 Bill Bucher D. McAlpine 5/17 L. Slonski 6/19 A. Zver 5/5 T. Lenke 5/20 6/2 5/30 7/1 E. Haromi G. Erkman R. Tustin Date: Page of Person Responsible Date Due Percent Complete 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 Person Doing This Sheet ACTION SHEET “TO DO” LIST David Miller Large Assembly Line 1 Overall Layout Install U-shaped layout 2 Hard to grasp bases from bin Install gravity feed bin 3 Center fixture 4 Keys stick on keyboard Install new keyboard Tool arrangement locating/reaching Rearrange to eliminate repetitive motions 6 Reaching to stack cartons Install workplace organization Off center fixture 5 Hard to grasp parts from bin Install gravity feed bin & change location 7 Item # Problem Corrective Action Manager Or Team Leader Area Or Process Name 05/16/03 Bill Bucher D. McAlpine 5/17 L. Slonski 6/19 A. Zver 5/5 T. Lenke 5/20 6/2 5/30 7/1 E. Haromi G. Erkman R. Tustin Date: Page of Person Responsible Date Due Percent Complete 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 25 50 100 75 Person Doing This Sheet .
  • 35. Two Primary Roles Coach Uses coaching methods to teach Kaizen. Usually one level up from Learner Learner Person leading or responsible for a group, team, or process
  • 36. Coaching Cycles • Used to guide the learner through the steps of the Improvement Kata for a real issue • They are a way to guide and give feedback • They are short, to the point, with follow-up • Assess the current status of readiness & the focus process • Find out how much the learner knows about the current condition • Give procedural guidance • In addition, you are also learning and growing as a coach Each cycle should lead to a small test of change, a next step
  • 37. 9. Gemba Go to the Source
  • 38. Go to the Gemba • Gemba means “the real place” • Go to gemba means “go to the source” • Go to the scene • Report from the scene • Talk to real witnesses LDM
  • 39. 10. Leadership Standard Work for Leaders Plan day
  • 40. The 3 Actions • The 3 Actions for Standard Work for Leaders are: • Find • Fix • Fortify • These actions relate to standards • Find problems or non-adherence (see) • Fix the variation, problem (solve problems) • Fortify, make stronger (sustain)
  • 41. Mapping Your Standard Work People here & ready to work? Plan day Effective startup meeting? Standards followed? Goal Board meeting Assign Improvement Tasks Gemba Walk Complete my improvement tasks Coaching & Facilitation Post today’s results. OK? Plan tomorrow’s staffing.
  • 42. Open Circle Implementation 1. Full staff presentation 2. Management Team 3. Std. Work for Leaders 4. Work Teams 5. Improvement Kata 6. Long-term improvement 2 3 4 1 5 6
  • 43. Reasons Why Attempts to Empower Fail • Lip service but no belief • Managers don’t really understand it • No clear boundaries for empowerment • Micromanagement of the work • Second guessing • No strategic framework (no compass) • Lack of information & training • Allowing barriers to exist • Blame environment • Overburden & underpaid
  • 44. Do You Want to Know More? • I will be teaching these related workshops at Portland State University, Center for Executive and Professional Education • The Kaizen Way – October 14 • Standardized Work and The Visual Workplace – December 2 • 10 keys to Lean Daily Management – December 9 For more information and to register you can go to pdx.edu/cepe/lean-practitioner