Presentation on theme: "The route map by Professor John Oliver OBE. 1 2 3 4 5 6 Understand your business Identify the common crisis Convince yourselves Convince the rest of the."— Presentation transcript:
The route map by Professor John Oliver OBE. 1 2 3 4 5 6 Understand your business Identify the common crisis Convince yourselves Convince the rest of the management team Find the perceived barriers/constraints as seen by the workforce Establish the values
Continued 7 8 9 10 11 12 Construct the architecture Go for the quick wins: communication, Recognition, Management style Focus on the external customer: Going for the customer delight Focus on the internal customer: Learning to work together Enhance team-working and empowerment Create the infrastructure: The right employee systems, The right organisation structure 13 14 Focus on the process Start again
Achievements Reduced truck hours by over 30%, virtually eliminated overtime and almost halved factory overhead/truck. driving forces Improved Product Quality Index by 50%. Reduced lead times from typical 6 weeks to record levels of 12 days.
Achievements driving forces Inventory turns increased from 18 to 50+, releasing £6m cash back into the business. Increased model complexity by a factor of 3 at the same time as build rates moved up from 180 to 300 week.
Breakthrough Change Eliminated need for high bay warehouse by moving to point of fit deliveries and satellite stores – saving operating costs of over £1m. taking the brave pill Moved build rates from 180 to 300 week on a single chassis track against all conventional wisdom.
Breakthrough Change taking the brave pill Reduced off-line WIP from c.120 to c.10 units through the radical reduction of assembly defect levels and elimination of SVO operations. Improved labour productivity through new facility investments, Kaizen activities and assignment changes, releasing 70 heads for the same volume/mix.
Team Enterprise turning those resisting forces around
Team Enterprise Leadership - can we do it? Yes we can! initiating change Involvement = Ownership = Commitment Teams – getting people to work together
Rebels20% Main Stays 15% High Performers 5% Miserable people/sods Moaning people/sods 60%
Rebels4% Main Stays 60% High Performers 20% Miserable people/sods Moaning people/sods 16%
Team Enterprise sustaining change Communication - you can never do enough! Training and development – increasing capability Recognition – the power of the bacon butty!
Team Enterprise Be bold, dont be afraid of the brave pill. lessons from the front Doing what you have always done, gets you what you have always got – great reality check, smoke and mirrors? Key leadership role is to pace change.
Team Enterprise lessons from the front Never underestimate the power of pub logic. Understand balance between task and team. Process knowledge is key to sustained improvement.
The Manufacturing Challenge Reduced Costs Change management only successful when management change DRIVINGFORCESDRIVINGFORCES RESISTINGFORCESRESISTINGFORCES Improved Quality Greater Responsiveness Lower Inventory Higher Product Variety