Presentation on theme: "Iowa Office of Lean Enterprise"— Presentation transcript:
1 Iowa Office of Lean Enterprise Lean Six Sigma Deployment
2 Presentation Outline Lean Six Sigma Deployment Considerations FoundationExecution
3 What is the Long Term Goal for Lean Six Sigma? Long term goals should drive the deployment strategies.A guiding vision is important for change management.Key long term goals to consider:Enterprise transformationStrategic improvementProblem solvingCost reductionImageStart with the end in mind.
4 Public vs Private Sector Issue Government and private sector organizations have much in commonPressure to improve service and productsExpectations to control or cut costsLarge organization behaviorKey differences to recognize during deploymentCustomers, clients, users and taxpayersPoliticsMerit systemFunding and budgetingLean Six Sigma has been successful in governmentLean Six Sigma works in governmentbut differences need to be addressed during deployment.
5 How Does Lean Six Sigma Fit ? The “Flavor of the Month” problemMultiple initiatives confuse employeesLean Six Sigma requires a sustained focusCompeting initiatives may need to be stoppedResolve management conflicts earlyDetermine where Lean Six Sigma fitswithin the entire management system.
6 Which Deployment Model To Use? ImpactBusiness TransformationOrganization wide deploymentMajor culture changeStrategic improvementTargeted deployment on critical problemsProjects necessary for success or survivalProblem solvingSpecific operational problemsIncremental improvements in organizational performanceScaleEntire organizationDepartmentProject/Section/TeamOrganization ReadinessCulturePast process experienceManagement teamStabilitySelect model based on goals and organization
7 Deployment Models There is no one “right” model Adapt the deployment to the organization’s situation.Four models to consider:Enterprise wide (traditional model)Department/business unit (scalable model)Targeted (problem solving model)Grass roots (bottom up model)
8 Enterprise Wide ModelCharacteristicsTop down drivenComprehensiveMajor culture changeRapid, highly visible deploymentDeployment considerationsSolid leadership from the top management is essentialLarge infrastructure and full time staffSignificant planning and management over timeIntegration with other management systemsNeed for common language and problem solving methodologyNeed to address cross functional processesFive years to achieve lasting culture changeThis is the traditional deployment model with a proven track record.However, it is challenging to execute.
9 Department/Business Unit Model CharacteristicsDepartment leadership but enterprise management supportDepartment pilot for enterpriseComprehensive at the department levelCulture changeDeployment considerationsEasier to start due to smaller scaleSlower pace is possible; scale up after initial successGreater use of consultants and outside trainingLess integration with management systemsSimilar to enterprise model but on a smaller scaleRisk of not getting beyond the department levelGood option for a strong mid level leader with a supportive boss.
10 Targeted Model Good model if resources are very limited. CharacteristicsTop management leadershipFocused on a few specific business problemsDriven by a desire for strategic impactCulture change not a deployment objectiveDeployment considerationsEasy to get startedCan work in smaller organizationsQuick results because problems are identified ahead of timeInfrastructure needs are small; use contracted resourcesRisk of not sustaining the gainsGood model if resources are very limited.Can build momentum for organization wide efforts.
11 Grass Roots Model Characteristics Deployment considerations Originates at the bottom of the organizationHighly motivated individuals lead the effortProject or problem specificCulture change not an objectiveDeployment considerationsEasy to doTrack record for sustainable improvement is not goodFew if any infrastructure needsBig success can lead to using other deployment models.Model can produce good results but often fades over timedue to lack of top management attention.
12 Deployment Foundation Unrelenting focus on what matters mostAdopting a deployment maturity modelUnderstanding deployment customer requirementsRoles and ResponsibilitiesDeployment accountabilityTalent developmentChange managementBuild the deployment on a firm foundation.
13 Focus On What Matters Most Fully engage leaders in Lean Six SigmaRequire leaders to be highly visible in leading Lean Six SigmaStructure engagement in key deployment activitiesLean Six Sigma goal settingIdentify the most serious business problemsSet explicit Lean Six Sigma goalsLink to pay and job performance appraisalsUnderstand the business goals and the major organization driversGet leaders to understand their customer requirementsPut deployment accountability where it belongsExecutives and managers need to own Lean Six SigmaThe deployment strategy needs to get executive ownership quicklyKeep Lean Six Sigma relevant to the leaders!
14 Deployment Maturity Model TransformingOptimizingImprovingTwo to five years to a Lean Six Sigma culture.
15 Deployment Customer Requirements Know who your customers are and what they expect.
17 Roles and Responsibilities Project sponsorProject specific supportResource allocationProject focusMaster Black BeltTrains and mentor’s beltsTechnical resourceCoaches deployment champions and managersManages project clustersBlack BeltsLeads projectsMentors green belts
18 Roles and Responsibilities Green BeltsLead smaller projectsKey team member on larger projectsFunctional ChampionsSupport for deployment in key areas such as finance, HR and ITPolicies and proceduresProcess OwnersProject team memberOwnership of the processCross functional coordinationSustain the project gains
19 Organization Structure Options Modify structure for scale of deploymentContract for trainingContract for MBBsFunctional champions may not be neededConsolidate deployment leadershipPermanent Black Belt(s) in DOMAdapt the structure to the existing organizationand the goals and scale of the deployment.
20 Talent ManagementRotate top performers through 2 year assignments as Black Belts.Lean Six Sigma is an outstanding management development experience.Problem identificationSystematic problem solvingManaging using dataLeadershipSelect the best and brightest for black belts.Don’t compromise on talent.Plan repatriation.Make Lean Six Sigma experience a requirement for advancement.Skip talent management if culture change is not a deployment goal.Culture change comes from developing leaders,not from completing projects.
21 Change Management Basics Manage change from the startThe biggest deployment risk is not technicalCreate a formal change management planLean Six Sigma fundamentally changes an organizationAnticipate the impact that Lean Six Sigma will haveAddress problems in the related management systemsThe legacy of enterprise initiatives is a common barrierMany will wait it out if given a chanceSkepticism should be expectedGet to critical mass quicklyWindow for change is often very shortTake advantage of momentum, start-up good will and leadership enthusiasmLeadership countsLeadership needs to be consistent, visible and constantChange is hard - don’t do it if you are not committed
22 Change Management Basics Address the people issues earlyLayoffsPayJob changesUnderstand what helps people changeWhat’s in it for me?CertaintyKnowledgeCommunicate, communicate, communicateYou can’t talk about Lean Six Sigma too muchThe principles of change management are well known.The challenge is to apply them.
23 Deployment Execution Understanding the core process and critical Ys Black Belts and Green BeltsSelecting projectsSupporting infrastructureTrainingMentoring and project supportProject executionLeadership engagementMetrics
24 Understanding the core process helps focus the deployment activities.
26 Black Belts and Green Belts 2 year full time assignment25 days of trainingCertificationComplete projects/yearCan work anywhere in the agencyAbout 1 percent of the workforceDevelopmental assignmentGreen BeltsStay in current jobs25% time leading projects10 days of trainingCertification1 - 2 projects/yearWork primarily in their own areaGreater emphasis on identifying projects and sustaining the gainsThere are differences in the roles for Black Belts andGreen Belts even though they use the same tools.
27 Black and Green Belt Lessons Learned Select Black Belts carefully to get top performersFull time assignment for Black Belts increases resultsManage project execution and cycle timeAddress lagging belt performance promptlyMBBs need to hold black belts accountablePlan repatriations earlyUse performance metrics and share the resultsMake belt expectations very clearHigh performing Black Belts are essential!
28 Supporting Infrastructure ProjectsProject idea and charter development processProject financial validation processProject selection processProject management processAudit results processProject databaseTrainingCurriculumStatistical softwareMaster Black Belt supportTools and templatesProject report outsPeopleSelection processCertification processRepatriation for Black BeltsDevelopment plansRewards and recognitionOrganizational structureEngagementBuild a strong support infrastructure earlyand stay ahead of deployment support needs.
29 Training Types of training Delivery Methods Black Belt Green Belt Directors and AdministratorsDeploymentAwarenessDelivery MethodsContracted trainingOpen enrollmentIn-house
30 Training Lessons Learned Top notch training is criticalDelivering in-house training is hardTraining needs to include more than Lean Six Sigma toolsThinking processProject managementLeadership and change managementCTQs and CTQ flow downsAddress demands for more than Black Belt and Green Belt trainingDon’t forget about the people at the topProvide enough general training to avoid confusionHave good chartered projects to work on during training
31 Mentoring & Project Support Require monthly 1:1 between Master Black Belt and assigned Black Belts to review projectsEncourage Black Belts and project sponsor monthly touch points to eliminate barriersHold weekly “study halls” for project helpAssign executive sponsors on projects with $500,000 annual savings and aboveAssign Black Belts to mentor Green BeltsMeasure customer satisfaction from project sponsors and project teams
32 Mentoring & Project Support Lessons Learned Keep process owners/sponsors involved in the projects and communicate oftenHave discipline in conducting the monthly project reviewsIdentify and address issues earlyReview checklistRecognize the critical leadership development role the MBBs playKnow who is doing well and who isn’t
33 Project Execution Lessons Learned Scope projects appropriatelyUse a formal project management methodologyTrack project progress monthlyBe willing to stop poor projects earlyUse project cluster management for related projects
35 Leadership Engagement Lessons Learned Leadership wants to help but may not know how to help. Provide training and hand holding as necessary.Create and reinforce the expectation that management must lead Lean Six SigmaIdentify projectsProvide resourcesRemove barriersMeasure leadership engagement
36 Use the deployment to set an example on using data to manage. MetricsOutcome measuresLean Six Sigma project financial benefitsCulture changeDeployment management measuresProjects completedProject cycle timeProjects on-trackActive and completed projects per Black Belt and Green BeltBenefits per projectBlack Belt successful repatriationCharters writtenCharter inventoryBlack Belts per employeeProjects per employeeUse the deployment to set an example on using data to manage.
37 Sustaining the Gains Create a Lean Six Sigma control plan Build a data and performance driven management cultureOrganization performanceProcess performanceLean Six Sigma performanceStrengthen management accountabilityMaintain the Lean Six Sigma focus on the most important organization goals and performance gapsTighter integration between Lean Six Sigma and the enterprise’s management systems