Subscribe: http://www.ksmartin.com/subscribe Karen’s Books: http://ksmartin.com/books This is a presentation I gave at the American Society for Quality Lean and Six Sigma Conference in Phoenix, AZ in March 2011.

1. Making It Stick:
A Four-Step Process for Creating
Sustainable Change
ASQ Lean & Six Sigma Conference
March 1, 2011
Company
LOGO

2. You will learn…
 Practical how-to’s for implementing the four essential
elements for creating lasting change.
 The role key performance indicators play in keeping
the organization focused on results.
 The characteristics, roles and responsibilities of effective
process owners.
 How to help leadership understand that, to achieve an
adequate return on investment and create sustainable
change, improvement must follow a disciplined
process.
 How your improvement process creates culture, not
the other way around.
© 2011 Karen Martin & Associates
2

3. Making ^ improvement is 80%
psychology and 20% tools.
20%
80%
3

4. Sustaining Improvement
Four Essential Elements
1. Strategy
2. People
3. Improvement Process


Design & Implementation
Post-Implementation
© 2011 Karen Martin & Associates
4

5. Improvement via PDCA Cycle
• Create charter
• Scope effort
• Form team
• Discover
• Design, test,
implement
• Create
sustainability plan
• Train staff
Plan
Act
• Adjust process
as needed
• Continuously
improve
Do
Check
• Monitor process
performance
• Conduct regular
process audits
5

6. Improvement via PDCA Cycle
• Create charter
• Scope effort
• Form team
• Discover
• Design, test,
implement
• Create
sustainability plan
• Train staff
Plan
Act
• Adjust process
as needed
• Continuously
improve
Do
Check
• Monitor process
performance
• Conduct regular
process audits
6

7. “Plan”
Sustainability Checklist
□ The improvement area of focus is closely aligned with the
organization’s business goals.
□ A detailed charter has been developed, agreed to and widely
distributed (including clear drivers why the improvement is
needed, what the target state looks like, project scope, etc.)
□ The project manager and/or improvement facilitator are highly
skilled in improvement psychology, problem-solving and a
wide range of improvement tools.
□ An engaged executive sponsor is supporting the
improvement.
□ A highly cross-functional project team has been formed,
heavily weighted with the people who use the process.
© 2011 Karen Martin & Associates
7

8. Sustaining Improvement
Four Essential Elements
1. Strategy
2. People
3. Improvement Process


Design & Implementation
Post-Implementation
© 2011 Karen Martin & Associates
8

9. You need an
improvement
strategy that’s
aligned with
overarching
business goals
9

10. Risks If No Clear Improvement
Strategy Exists
You’ll spend limited resources (time, people,
money) on lower priority issues.
More difficult to establish a sense of urgency.
Sub-optimization.
Introducing more chaos into an already
chaotic system.
More difficult to measure success.
More difficult for improvement professionals
to prove their worth.
© 2011 Karen Martin & Associates
10

11. One Option - Hoshin Kanri X-Matrix
11

12. “Plan”
Sustainability Checklist
□ The improvement area of focus is closely aligned with the
organization’s business goals.
□ A detailed charter has been developed, agreed to and widely
distributed (including clear drivers why the improvement is
needed, what the target state looks like, project scope, etc.)
□ The project manager and/or improvement facilitator are highly
skilled in improvement psychology, problem-solving and a
wide range of improvement tools.
□ An engaged executive sponsor is supporting the
improvement.
□ A highly cross-functional project team has been formed,
heavily weighted with the people who use the process.
© 2011 Karen Martin & Associates
12

13. Purpose of Improvement Charters
Plan
Communicate
Gain consensus and alignment
Create a sense of urgency
© 2011 Karen Martin & Associates
13

14. Improvement Project Charter
Spell-check Sheet
Project or Event Scope
Leadership
Value Stream
Dates
Value Stream
Champion
Start & End
Times
Specific Conditions
Facilitator or
Project Manager
Improvement Charter
Project or Event Scope
First Step
Value Stream
Champion
Facilitator or Project
Manager
Process Trigger
Start & End
Times
Last Step
Improvement Drivers / Current State Issues
2
3
4
5
Improvement Drivers / Current State Issues
3
4
5
Improvement Goals and Objectives
1
2
Improvement Goals and Objectives
3
1
2
5
3
1
4
5
1
Planned Deliverables
5
6
7
5
8
9
10
7
4
Additional Support / Subject Matter Experts
Function
2
3
5
4
Function
Executive Sponsor
4
4
2
Signature:
Date:
Project Manager
Signature:
Date:
Signature:
Date:
4
Potential Obstacles
1
Name
Facilitator /
© 2010, 2007 Karen Martin and Mike Osterling
3
5
Value Stream Champion
1
3
3
Additional Support / Subject Matter Experts
Approvals
Potential Obstacles
1
2
Name
1
10
2
Name
4
4
3
1
Name
3
3
9
Planned Deliverables
CoreFinal BriefingMembers
Team
Core Team Members
2
2
8
2
Final Briefing
1
6
4
Workforce
Training
Function
Function
1
Use data to establish a
sense of urgency
Interim Briefings
Administrative
Support
Event Boundaries & Limitations
Workforce
Training
Location
Administrative
Team Lead
Support
First Step
Interim
Briefings
Dates
Specific Conditions
2
Meeting Schedule
Executive Sponsor
Team Lead
Event Name
Event Boundaries
& Limitations
Location
Leadership
Value Stream
Last Step
1
Meeting Schedule
Executive Sponsor
Event Name
Process Trigger
License Agreement
Approvals
Executive Sponsor
Value Stream Champion
Facilitator / Project Manager
2
3
4
Signature:
Date:
Signature:
Date:
Signature:
Date:
© 2010, 2007 Karen Martin and Mike Osterling
14

15. Improvement Project Charter
Project Definition
Project Sponsor & Team
Value Stream
Key Milestones / Due Dates
Current State
Analysis
Executive Sponsor
Project Team
Process / Area
Member
Manager
Root Cause
Analysis
Team Lead
Demand / Volume
Trigger
Future State
Design
Additional
Members
First Step
Last Step
Test / Pilot
Complete
Specific Conditions
(includes/excludes)
Implementation
Complete
Team Meetings
Dates & Times
Potential Barriers
to Success
Project Drivers / Current State Issues
Results
Validated
Cross-Functional Involvement
Function / Role
1
2
3
Involvement
2
4
Name
1
3
5
4
Improvement - Benefits to Customers / Company / Staff
5
1
6
2
7
3
8
4
5
9
10
Improvement Goals
Measurable Objectives
Baseline / Current State
1
2
3
3
5
Proj % Improve.
2
4
Desired State
1
4
6
5
Approvals
Executive Sponsor
Initials:
Date:
Results Validation - Planned Method & Accountability
Team Lead
Initials:
Date:
Project Coach
Initials:
Date:
15

16. Sustaining Improvement
Four Essential Elements
1. Strategy
2. People
3. Improvement Process


Design & Implementation
Post-Implementation
© 2011 Karen Martin & Associates
16

17. “Plan”
Sustainability Checklist
□ The improvement area of focus is closely aligned with the
organization’s business goals.
□ A detailed charter has been developed, agreed to and widely
distributed (including clear drivers why the improvement is
needed, what the target state looks like, project scope, etc.).
□ The project manager and/or improvement facilitator are highly
skilled in improvement psychology, problem-solving and a
wide range of improvement tools.
□ An engaged executive sponsor is supporting the
improvement.
□ A highly cross-functional project team has been formed,
heavily weighted with the people who use the process.
© 2011 Karen Martin & Associates
17

18. The Role of Executive Sponsors
If it’s not important to leadership, why should
frontlines care?
You may have to teach / coach your leaders re:
their role in the improvement process.


They need to be present for kick-offs and briefings.
Ask the right questions to assure the improvement’s
“on track.”
Don’t wait for the exec sponsor to ask for an
update.

Schedule briefings in advance.
© 2011 Karen Martin & Associates
18

19. “Plan”
Sustainability Checklist
□ The improvement area of focus is closely aligned with the
organization’s business goals.
□ A detailed charter has been developed, agreed to and widely
distributed (including clear drivers why the improvement is
needed, what the target state looks like, project scope, etc.).
□ The project manager and/or improvement facilitator are highly
skilled in improvement psychology, problem-solving and a
wide range of improvement tools.
□ An engaged executive sponsor is supporting the
improvement.
□ A highly cross-functional project team has been formed,
heavily weighted with the people who use the process.
© 2011 Karen Martin & Associates
19

20. Common Team Weaknesses
 Teams thrown together without enough strategic
thought.
 Teams too large – 10 max; 12 on rare occasions
 Too many supervisory staff; not enough frontline
representation.

The improvement must be designed, tested and implemented
jointly by the people who actually work the process!
 Missing internal customers and suppliers.

The “users” must have a very strong voice.
 Missing functions.
 Team is “advisory” rather than actively engaged in
making the improvement.

Facilitator’s role isn’t to “do” – it’s to LEAD, teach, manage.
© 2011 Karen Martin & Associates
20

21. Improvement sustainability is highly dependent on the
levels of engagement of those most affected by the change.
It’s uplifting to
kaizen.
It’s traumatizing
to be kaizen’d.
21

22. Sustaining Improvement
Four Essential Elements
1. Strategy
2. People
3. Improvement Process


Design & Implementation
Post-Implementation
© 2011 Karen Martin & Associates
22

23. Improvement via PDCA Cycle
• Create charter
• Scope effort
• Form team
• Discover
• Design, test,
implement
• Create
sustainability plan
• Train staff
Plan
Act
• Adjust process
as needed
• Continuously
improve
Do
Check
• Monitor process
performance
• Conduct regular
process audits
23

24. “Do”
Sustainability Checklist
□ The current state is deeply understood, including root causes.
□ Input and consensus has been obtained from the larger user
group throughout the improvement process.
□ The countermeasures have been tested thoroughly.
□ The countermeasures are “user friendly.”
□ 2-5 relevant key performance indicators are used to
consistently monitor process performance.
□ The new process has been documented.
□ Process suppliers, “do-ers” and customers have been
properly trained.
□ A process owner has been designated.
© 2011 Karen Martin & Associates
24

25. Key Performance Indicator Categories
Quality
Morale
Safety
© 2011 Karen Martin & Associates
Cost
Delivery
25

26. Establishing Key Performance Indicators
What problem(s) are we trying to prevent from
recurring?
What’s the best measure of success?
How frequently should the process be measured?
Who will analyze the data?
Aim for as many “leading indicators” (vs. lagging)
as possible.
Heavily operational in nature, but can also include
financial, customer-focused, and staff-focused
measures.
Post & discuss the results!
© 2011 Karen Martin & Associates
26

27. Process Management & Improvement
KPI
Target
Result
Actual
Result
Root
Cause
Corrective
Action
Taken
New
Result
Target
Result
Actual
Result
Root
Cause
Corrective
Action
Taken
New
Result
Modified
order form to
reduce errors
3.8 hrs
N/A
N/A
KPI-1
KPI-2
KPI-3
KPI-4
KPI-5
KPI
Turnaround
4.0 hrs
6.2 hrs
Errors on
incoming
orders
Output errors
2%
1%
N/A
27

28. Sample Visual KPI – Quality Scores
TA NQR - KPIs
5
TA NQR Ratings
4
3.8
3.7
3.6
3.3
3
3.6
3.9
4.0
3.7
3.3
NQR Target
TA Actual
2.7
NQR Benchmark
2
1
FY10 Q3
A3 began
FY10-Q4
FY11-Q1
FY11-Q2
FY11-Q3
FY11-Q4
FT Quarters
28

29. KPIs - Visual Display
29

30. KPIs – Visual Display (close-up)
30

31. Flat screens used to display
relevant KPIs
31

32. “Do”
Sustainability Checklist
□ The current state is deeply understood, including root causes.
□ Input and consensus has been obtained from the larger user
group throughout the improvement process.
□ The solutions have been tested thoroughly.
□ The solutions are “user friendly.”
□ 2-5 relevant key performance indicators are used to
consistently monitor process performance; they are posted.
□ The new process has been documented.
□ Process suppliers, “do-ers” and customers have been
properly trained.
□ A process owner has been designated.
© 2011 Karen Martin & Associates
32

33. Process Ownership
Why?

Processes do not typically “self-manage.”
 Focus and discipline are needed.

When everyone’s responsible, no one’s responsible.
What?



Responsible for process performance at a tactical level.
Oversees measurement, reporting & continuous
improvement.
Has authority for process monitoring and improvement
across all functional areas.
 Obligated to include all appropriate parties in ongoing problemsolving and continuous improvement.
© 2011 Karen Martin & Associates
33

34. Process Ownership (continued)
Who?

A sole person (with designated back-up for
vacation coverage, etc.) at a manager level or
below.
 Typically resides in the functional area with the greatest
“skin in the game” across the process.
 Should NOT be a dedicated improvement professional.

Director or above assures process owner is
managing process appropriately, provides support
(mentoring and resources), and aids in removing
obstacles to success.
© 2011 Karen Martin & Associates
34

35. Process Owner ≈ Process Doctor
• Diagnose
condition
Plan
Act
• Modify
treatment
as needed
Do
• Consider
treatment
options
• Provide
treatment
Check
• Monitor
condition
35

36. Sustaining Improvement
Four Essential Elements
1. Strategy
2. People
3. Improvement Process


Design & Implementation
Post-Implementation
© 2011 Karen Martin & Associates
36

37. Improvement via PDCA Cycle
• Create charter
• Scope effort
• Form team
• Discover
• Design, test,
implement
• Create
sustainability plan
• Train staff
Plan
Act
• Adjust process
as needed
• Continuously
improve
Do
Check
• Monitor process
performance
• Conduct regular
process audits
37

38. “Check”
Sustainability Checklist
The process owner:
□ Reviews, communicates, and posts the KPIs as scheduled.
□ Leads work group “status” meetings (brief!) where the KPIs are
posted to discuss trends, create strategies for responding to
changing conditions, brainstorm solutions to new problems, etc.
□ Schedules and leads root cause analysis activities immediately
when the KPIs are not met.
□ Leads or arranges for the process to be audited at regularly
scheduled periods (annually, at a minimum) to test for “robustness”
and identify opportunities for further improvement.
□ Talks with process workers to assess the need for additional
training, revised standard work, etc.
□ Assures the process is being followed and, if not, determines why.
© 2011 Karen Martin & Associates
38

39. Improvement via PDCA Cycle
• Create charter
• Scope effort
• Form team
• Discover
• Design, test,
implement
• Create
sustainability plan
• Train staff
Plan
Act
• Adjust process
as needed
• Continuously
improve
Do
Check
• Monitor process
performance
• Conduct regular
process audits
39

40. “Act”
Sustainability Checklist
□ The process owner organizes and/or leads continuous
improvement activities via engaging all relevant parties
(from simple process “tweaks” to significant overhauls).
And the PDCA cycle begins again…
© 2011 Karen Martin & Associates
40

41. So how do you get improvement
to “stick”?
Create a clear improvement strategy that
creates alignment between improvement
effort and the organization’s business goals.
Involve the right people.
Use a robust process to create the
improvement.
Use a robust process to sustain the
improvement.

It takes consistent and focused attention or it
won’t happen.
© 2011 Karen Martin & Associates
41

42. What Doesn’t Typically Sustain?
When the process is merely “changed”
(process tampering) vs. truly improved.
When the new process makes the work
more difficult.

…after excellent training and adequate time
for learning curves.
When the workforce isn’t fully engaged in
the process.
When the process isn’t monitored
consistently and continuously improved.
© 2011 Karen Martin & Associates
42

43. In Conclusion
The process you use to make
improvement will shift culture faster than
any amount of workforce training,
leadership hype, or facilitator development
you can possibly engage in.
© 2011 Karen Martin & Associates
43

44. Sustainability Plan
Sample
Sustainability
Plan
Executive Sponsor
Value Stream Champion
Facilitator
Team Lead
30-Day Audit Date
Event Name
Event Dates
"Go Live" Date
"Go Live" Location
60-Day Audit Date
Communication / Training
Requirement
Plan
Provide training for those who missed initial training.
Who will deliver it and when?
Integrate new process into ongoing department training.
Who leads identification of training that need to be updated (ongoing and for
new employees), when will training be in place?
Update Value Stream Map.
Which value stream map(s) need to updated, who will do it and when?
Update training records to reflect who has been trained. Who maintains training records?
Communicate to affected parties who were not advised
Who communicates? How? To whom?
during event.
The Kaizen Event Planner,
Martin & Osterling
Post the Event Report, 30-Day List, Sustainability Plan.
Who is accountable? Where posted?
Update SOPs and other ISO or regulatory documents
impacted by changes.
Who identifies relevant documentation? Who updates it? By when?
Communicate and post 30-day and 60-day audit
results.
Who communicates? How? To whom? Where posted?
Communicate audit results to stakeholders and
leadership team.
Who communicates? Via what medium?
Communicate process performance measurement
plan.
How is process performance going to be communicated to workers? Are
additional visuals needed? Who owns this activity?

45. Monitoring / Measurement
Requirement
Identify process owner.
Sample
Sustainability
Plan
Plan
Who has ultimate responsibility for how process is performing?
Observe process one day after event is over. Talk with Which Kaizen team member(s) will observe the process? How will they
workers, assure they understand how process should communicate results? Who is responsible for adjusting the process, if
needed?
be performed; see if there are problems.
The Kaizen Event Planner,
Martin & Osterling
Who is responsible for finalizing process performance metrics and by when?
Observe process one week after event is over. Talk
with workers, assure they understand how process
should be performed; see if there are problems.
Which team member(s) will observe the process? When? How will they
communicate results? Who is responsible for adjusting the process, if
needed?
Define corrective actions required if new process not
being followed (rewards and consequences).
Will there be rewards / recognition for sustaining improvements? What will
corrective actions be if workers are not following new process? Who will
enforce these rewards/consequences?
Monitor process performance frequently; post results
put continuous improvement plans in place.
(p. 2)
Put in place key metrics to measure process
performance; post performance.
Who monitors process performance on an ongoing basis? Who
communicates the results? When, to whom, in what format?
Conduct 30-day audit.
Who will lead audit & when? How will results be communicated? To whom?
How will the process be adjusted, if needed? What's the plan for continuous
improvement?
Conduct 60-day audit.
Who will lead audit & when? How will results be communicated? To whom?
How will the process be adjusted, if needed? What's the plan for continuous
improvement?
Value Stream Champion
Process Owner
Name
Name
Signature
Signature
Date
Date

46. You will learn…
 Practical how-to’s for implementing the four essential
elements for creating lasting change.
 The role key performance indicators play in keeping the
organization focused on results.
 The characteristics, roles and responsibilities of effective
process owners.
 How to help leadership understand that, to achieve an
adequate return on investment and create sustainable
change, improvement must follow a disciplined process.
 How your improvement process creates culture, not the
other way around.
© 2011 Karen Martin & Associates
46

47. For Further Questions
7770 Regents Road #635
San Diego, CA 92122
858.677.6799
ksm@ksmartin.com
Free monthly newsletter:
www.ksmartin.com/subscribe
Learn / Connect :
47

48. It’s about how people FEEL about
their work…
48