Lean Leader GB Series 1 - Lead Change

Your Gateway to Operational Excellence
© PSL 2010 All Rights Reserved
LEAN LEADER TRAINING PACKAGE
Module 1 –Lead Change in an Organisation

Session 1
Introductions
• Participants
• Performance Coaches
• Training Sessions
• Expectations
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What is Lean Manufacturing?
The ability to produce products
• more cost effectively,
• at a higher quality, and
• faster and more consistently than
your competitors.
The ‘Pathway’ toward:
• ‘Best Practice’
• ‘Best in Class’, or
• ‘World Class’

‘World Class’ Businesses
Manufacturing Practices
ManufacturingPerformance
60%
60%
80%
80%
World
Class
Rich with Opportunity Promising
Vulnerable
Contender

History of ‘Lean Manufacturing’
• TQM was introduced to Japan in the late
1940’s
• It developed over the next 50 years in
Toyota and other company’s
• Discovered by the rest of the world in mid
1990’s
• Promoted by the Australian Government
(2006) through VET training to assist
Australian businesses to compete in a global
market

Value Adding Activities
Those activities that the customer is
prepared to pay you for
Non-Value Adding
Activities, but necessary
Taxes, other legal requirements
Non-Value Adding Activities
Activities that the customer is not
prepared to pay you for
Value Adding Vs Non-Value Adding

What is Value Adding?
Value Adding Steps
Non-Value Adding Steps
What happens in
here?
What do you do with the green ‘Value Adding activities?
What can you do with the red ‘Non-value Adding steps?
What does the ‘white’ space mean?
Components
Enter Process
Product Exits
Process
TIME

Scrap, off cuts, rejects, corrections /
rework
Often caused by:
• Poor instructions
• Lack of training
• Material quality
• Lack of maintenance
• Incorrect design
• Insufficient information
The Goal is Zero Defects.
Don’t Make Defects – Don’t Pass on Defects – Don’t Accept Defects
Defects

Knowledge, skills, experience, creativity,
personal drive and leadership
Often caused by:
• Lack of knowledge
• Poor communication
• Too many levels
• Individualism
• Attitudes
• Personality
Non-Effective use of People & Resources

Any movement that does not add
value to the product or service.
Often caused by:
• Work area design
• Process design
• Lack of work standards
• Congestion
• Storage system
• Housekeeping
Motion

The Goal of Lean Manufacturing
Value Adding Steps
Non-Value Adding Steps
New Cycle Time
What is the impact of
this on your business?
Reduce the ‘white’
space.

Waste Hunt Activity
Use the ‘Waste Hunt’ worksheet and
conduct a waste hunt review of your own
work area.
Report your findings to the rest of the
group.
Time allowed – 15 minutes

Waste Hunt Report
Report your findings back to
the group.
What was the most significant
observation?
What could you do to reduce
or eliminate this waste?
Select one waste and complete
an Improvement Opportunity
worksheet.

Lean MANUFACTURING
Session 2 - Leading Change

The Need for Business Improvement
What is the ‘need’ that is
driving Lean Manufacturing
in your business?
Where is your business
failing to control the ‘value’
for the customer?
Identify the
Need to
Improve
Understand
The Current
State
Plan the
Future StateImprovements
Implement
Improvements
Consolidate
Improvement
Consolidate
& Sustain
Improvement
Lean
Manufacturing
Cycle

Define the Change
It is important that Businesses have
a clear Vision and well defined
Goals associated with the
implementation of Lean
Manufacturing practices.
Communicate the Vision and Goals
to all staff.
WHY?
What are your teams CM Goals and
Objectives?
Business Goals and Objectives
Obstacles are those Frightful Things
When you Take your Eyes Off Your
Goals

All process improvement changes
have an impact. Mostly these are
positive, however some times they
can be perceived as negative.
What impact can changes have on:
• the business process,
• business procedures,
• the team,
• individuals, and
• the customer.
Define the Change
Impact of Change

Measuring Improvements
“If it cannot be measured, it cannot be
improved with confidence”
Measurements create understanding of
the ‘current state’; and they set the
objectives for the ‘future state’.
They help establish ‘milestones’ for
changes in performance.
And they confirm that the change process
has been successful.
What do you measure in your current business?

Measuring Improvements
Key Performance Indicators
Key Performance Indicators (KPIs)
are the most used index for
measuring performance.
They must be:
• Specific
• Measurable
• Achievable
• Relevant to the business goals,
and
• Time framed
Write KPIs for your performance in the CM training program.

• Inspiring your people to follow you
on the journey.
• Providing a vision of success.
• Finding the right buttons to push
to enable change
• Leading by example
• Follow a sound ‘strategy’
Leading Change
Engaging Stakeholders

Resistance to new ways is
common in most work areas, and
is often due to issues or concerns
resulting from not fully
understanding the change
process or outcomes.
Stakeholder engagement is
dependent on removing the
barriers to change
implementation?
Managing Issues and Concerns
Plan to manage the issues or concerns of the stakeholders

Will the change require new
knowledge or skills?
Will the team members be
able to perform to the
required level?
Knowledge
Skills
Attitude
Stakeholder Ability

Project Guidelines (Continued)
Use the required competencies below
as a checklist for your improvement
project.
These competencies come from the
unit ‘Lead a Lean Manufacturing
Team’.
This is the first Element from that unit.
Review this checklist now and after completing your project work.

Project Evidence – Part 2
The following project activities
supplement the ‘Lead Change
Worksheet’ and address criteria
relating to units:
MCMC411A Lead a Lean
manufacturing team
MCMC413A Lead team culture
improvement
Answer the questions listed below.

Present an overview of your waste
reduction project and report on the
current state of progress:
• What was the scope of your waste
reduction activity?
• What did you achieve?
• How will you measure the result of your
improvement?
Project Activity Review

Plan the Implementation
The tools of change that you might use
include:
• Project Plan template
• Project schedule – Gantt Chart
• Risk Assessment and management
strategy
• Stakeholder Communication plan
• Role / Responsibility List
• Action Plans

Activity – Gantt Chart
Draw up a Gantt Chart for your change activity, using the template provided.

Action Plans are a critical tool to
successful change implementation.
Action plans …
• keep projects on track,
• make the work activity visible,
• assist with progress reviews, and
• simplify complex projects.
Plan the Implementation
Project ‘Action Plans’

Important tasks that must be
performed in the implementation
stage are:
• schedule regular reviews
• establish a visible progress board
• check off each task as it is completed
• have informal one-on-one discussions
with team members
• be aware of the presence of any risks
• respond immediately to any issues
• recognise and praise achievements
• make the process ‘fun’ for the team
Implementation

Corrective action is a natural part of
change implementation.
Better options may become clear
during implementation or after a
team have adopted the change.
Change initiatives need to be
reviewed frequently to keep the
team engaged in the outcome.
Monitor Change
Adjusting the Change

Monitor Change

Project Guidelines
Use the required competencies below as a
checklist for your improvement project.
To successfully complete these units of
competency, you should ensure that you
document as many activities as possible
using the templates provided. Your coach
will guide you in the process.

Project Evidence – Part 4
Implement and monitor your change project.
Use the tools discussed in this package to
guide the team in the commencement and
completion of the change project.
Control the progress of your change
initiative.
Make adjustments to the project to make
sure the outcome meets or exceeds the
projected result.
Use the Visual Management System to keep
the team and others informed of progress
and to publicise the teams success.

Lean MANUFACTURING
Session 4 - CM Assessment

Process Improvements

• Increased productivity
• Greater job security
• People are more valuable
to industry
Process Improvements
Group Activity
Describe how this would
benefit your team.
What do you need to do to
make this happen?

CM Performance Assessment
Complete the benchmark
questionnaire.
Graph your results.
Activity Duration – 2.5 Hours

CM Performance Review - Continued
Category Three – Operations
Excellence
• 5S
• Quality Process
• Visual Controls
• Total Productive Maintenance How do we rate ourselves?This document is a partial preview. Full document download can be found on Flevy:

Wrap Up
• Participants identify one key item
that they will remember from
today’s session
• If you have not completed your
assessment, don’t forget to bring
all the assessment information to
the next session for submission.
• Good luck !

1
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Lean Leader GB Series 1 - Lead Change

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Lean Leader GB Series 1 - Lead Change