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Implementing Continuous Process Improvement in Our Schools John Helbling, PE, CLSSBB Director, Field Engineering Processes Alliant Energy.

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Presentation on theme: "Implementing Continuous Process Improvement in Our Schools John Helbling, PE, CLSSBB Director, Field Engineering Processes Alliant Energy."— Presentation transcript:

1 Implementing Continuous Process Improvement in Our Schools John Helbling, PE, CLSSBB Director, Field Engineering Processes Alliant Energy

2 Agenda Introduction Educations Challenge Business Process Improvement Overview Introduction to Lean Business Process Kaizen as a tool to develop a Continuous Improvement Culture

3 Educations Challenge Compete for funding. Compete for talent. Compete for students. Compete for community growth and quality of life. Compete for the hearts and minds of the general public. Do more with less…. –Expand Services –Improve Student Performance –Meet Increasing Public Goals –Keep Students in School –Meet Workplace Requirements

4 CRCSD s Response Established Strategic Plan focused on Customer Satisfaction and Continuous Improvement. Vision, mission, values, goals and guiding philosophy of each department are aligned.

5 Increased responsiveness Provides flexibility to meet changing customer needs without backlog Improves satisfaction of delivery of services Improves quality & reliability Builds customer trust & loyalty Gives a competitive advantage that is hard to match quickly Business Transformation Growth Opportunities

6 Evolution of Process Improvement… Havent we been here before?

7 What is Lean? Lean as a business philosophy refers to a way of thinking that focuses on waste elimination. Waste describes the elements of a process that add no value to the service or product required by the customer. Lean thinking demands an organizational culture that is intolerant of waste in all forms. All steps in a process can be categorized as waste or value added.

8 Precisely define value from the customer's perspective Identify the value stream for each process Allow value to flow without interruptions Let the customer pull value from the process Continuously pursue perfection Principles of Lean Thinking

9 Alignment of Business Process Improvement(BPI) Methodologies

10 Lean? Six Sigma? Lean Six Sigma? Lean Thinking is based on –Simple but powerful tools –Engages the creativity of the people doing the work –Rapid process improvement –Teaches people to see waste Six Sigma is based on –Data dependent –Deep analysis of data –Inferential Statistics –Processes need to be in control and waste eliminated Recommendation: Adopt Lean as your BPI tool set and philosophy…Incorporating any existing TQM and other QC initiatives.

11 Lean Education In its landmark 2004 study, Organizational Improvement & Accountability – Lessons for Education From Other Sectors, the Rand Corporation concluded that Lean Process Improvement offers educators the most powerful improvement and accountability model available to meet the challenges of the 21st century.

12 Lean Culture Continuous improvement focus Bias for action Creativity before capital Total employee / stakeholder involvement

13 Focusing on lead-time reduction to improve responsiveness Achieving simultaneous improvements in quality, cost, and delivery Leveraging improvements for competitive advantage Building a continuous improvement culture to sustain the gains Deploying Kaizen Methodology for rapid transformation What Is Lean Education Transformation?

14 Lean Tools Strategic Tools – Leadership Heavy – Determines WHAT Voice of Customer - VOC –Kano Analysis –Quality For Deployment – QFD (aka House of Quality) Value Stream Mapping – VSM Hoshin – Policy Deployment Tactical Tools – Workforce Heavy – Determines HOW 5-S Kaizen Events: –5-S –Work flow –2 P/Replication –3 P - Mini DFSS –Safety –Changeover

15 Business Process Kaizen (Change – Better) Lean Transformation: A Time-Based Strategy

16 Is focused on lead-time and variation reduction Is measurement focused Is data driven, and fact based Provides a baseline for future improvements (Kaizen) Drives cultural change Kaizen Methodology

17 Quality & Time Cost & Time Delivery & Time Time-Based Impacts on Processes and Delivery of Services

18 Create a business process map to identify areas of opportunity Steps to Implementing Business Transformation

19 A tool used to: Display the current process and information flow from the customer request through the delivery of the service to the customer Identify opportunities and establish project priority Identify and set the vision for the future state Business Process Map. What is a Business Process Map?

20 Process Flow Map

21 Create a business process map to identify areas of opportunity Identify value adding and non-value adding activities and set new performance targets Steps to Implementing Business Transformation

22 Value-Adding Activities…...transform materials and information into products & services which the customer wants. Non-Value-Adding Activities... …consume resources, but don't directly contribute to the product or service…waste! Value-Add vs. Non-Value-Add Definitions

23 Production of Defects Overproduction ahead of demand Unnecessary Transport of materials Waiting for the next process step Inventories (Excess material/information) Unnecessary Movement by employees Over Processing due to poor tools and product design Lead time reduction is achieved by identifying and eliminating waste. Categories of Waste

24 Functional Organization Technology Gaps Excessive Controls Dated Process Design No Back-up/Cross Training Unbalanced Workload Batching of Forms / Applications Data Entry Batching Changing Government Practices and Policies No Decision Rules Poor Visual Control Disorganized Workplace Lack of Training Obsolete Forms or Form Design Poor Layout Government Regulations w/ Ambiguous Interpretation Causes of Waste

25 Value Adding by Process: Submittal of Application 5 hrs. 5 mins. 3.0 hrs. 30 sec. Lead time = 8 hrs. Value Add time = 5.5 minutes Value Add % = = 1.1% 5.5 min. 8 hrs. x 60 min. Open mail Date stamp mail Review packet for complete- ness Prepare file Assign R&C number R&C log into data base Submittal Complete? Call applicant Request update info. & set file aside Is the project required? Assign previous number & pull file Y N Y N

26 Create a business process map to identify areas of opportunity Identify value adding and non-value adding activities and set new performance targets Create process flow Steps to Implementing Business Transformation

27 Shows information flow Shows staff flow Aids in identifying wasteful activities by viewing it from the basis of physical layout Shows what is actually happening versus what people think happens Familiarizes everyone with the process Identifies variations in information handling/storage Enhanced Spaghetti Map

28 Example Spaghetti Map

29 Create a business process map to identify areas of opportunity Identify value adding and non-value adding activities and set new performance targets Create process flow Reduce variation and improve quality Steps to Implementing Business Transformation

30 Customer must always get the same answer no matter who they ask Customer must get the same answers no matter what time of the day, or day of the week they ask Customer must always get on-time, complete, and accurate information Process Must Be Repetitive

31 Sources and causes of variation make standard business processes appear to be random, non-standard work Missing information Wrong work sequence Non-standard training processes Non-standard decision aids Reduce Variation

32 Build system with appropriate information Build poke-yoke (mistake-proofing) devices for common problems Never passing a defect on to the next process; Detecting abnormalities Responding immediately Eliminating root causes Establishing clear decision rules Assuring First-Time Quality Means...

33 Create a business process map to identify areas of opportunity Identify value adding and non-value adding activities and set new performance targets Create process flow Reduce variation and improve quality Intense focus on daily performance management and visual control Steps to Implementing Business Transformation

34 Visual Management Problem! DCQS Index S h r i n k L i n e s Alert Prevent React Data Display

35 Establish a clear vision of continuous improvement Communicate, communicate …… Vision Implementation Plan Passion and commitment Walk the Talk Active participation – know the principles Constant reinforcement – daily, weekly, monthly Management Team Must

36 Lean Education Road Map Provide Directors, Managers, and Team Leaders with BPI Leadership Orientation. Conduct Proof of Concept Event: –Establish initial target for improvement –Conduct Kaizen event –Use Borrowed facilitation –Public event – observe event and reportout. Establish priority list of key areas of focus for improvement Perform additional events: –To further engage organization –Give more experience to internal facilitators –Expand internal facilitation skills Establish delivery model –Centralized –Decentralized –Hybrid

37 Questions

38 References and Acknowledgments State of Iowa, Department of Management, Lean Enterprise - Lean Enterprise Institute - Rand Corporation, Organizational Improvement and Accountability, Lessons for Education from other sectors - Lean Education – Alliant Energy


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