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How do you introduce lean, effectively and sustainably, into a large organisation?  I am thinking of organisations with thousands, even tens of thousands of employees, spread across multiple sites, organisations like big banks, the national health system, and schooling.  

I recently visited a not-so-big single-site factory which has been on its lean journey about two years.  In that time they have completed nearly twenty one-week kaizen events, all carefully documented together with the claimed results.  There are fewer than 400 employees on the site and yet it was clear that despite the energetic commitment to lean by its designated champion quite limited progress has been made.  The clue came in the visual management boards.  Almost all the postings were generated by computer (colourful graphs, tables and charts); the few ‘hour-by-hour’ white boards requiring manual updating were not up to date.  One carried a date a month old!  

The visual management boards were really impressive.  One could track from hour-by-hour boards, to weekly boards updated daily, to monthly boards, to an impressive overall corporate reporting board which showed how the kaizen events linked to corporate vision and strategy.  But when the shop floor data is not entirely up to date, can one trust the weekly/monthly, etc. boards?  I fear not.  

Apart from the fact that the data was not up todate, two things troubled me.  Firstly, the visual management boards lacked ‘fingerprints.’  By this I mean that most of the data displayed was neatly printed following processing by computer.  In a workforce where many are functionally illiterate or at least cannot make sense of percentages, these displays probably mean little.  Indeed, they may even alienate.  How much more effective would the displays be if they were handwritten by the people in each work area?  Secondly, I got the impression that flaws were not followed up; rectification seemed to take second place to recording.  To quote David Mann in his book Creating a lean culture, ‘ Visual controls amount only to wallpaper without the discipline to insist they are taken seriously and used as a basis for action.’ 

At first glance this company has done really well.  But, my overall conclusion is that it has moved too quickly and too broadly.  It has two other, smaller factories in other parts of the country.  Kaizen weeks have been initiated there too.  The champion runs from site to site to support them.  Too much effort is going into ‘events’ and visual management and too little into achieving the essential discipline of consistent use of agreed practices and follow-up problem solving.  

I am reminded of a company I visited overseas some years ago.  At the start of every shift, each team leader and his/her team met for ten minutes to review their previous shift and the needs of this shift, noting any difficulties and attending to them as ability and resources allowed. An hour later, a second team met, of the supervisor and his/her team leaders; they dealt with what the first team could not.  Later in the day a third team met, of the manager and his/her supervisors, to attend to difficulties unresolved by the first two teams.  No meeting went longer than 15 minutes.  I was told that sometime in the week, a fourth team met, to deal with problems unresolved by the first three teams. 

 I believe it is this relentless follow up and support which entrenches the ‘thinking people’ essential to effective and sustainable lean.  Nowadays we would call the process ‘standardised work for managers,’ or ‘leader standard work.’  

So, how does this apply to large organisations and systems?  One hundred percent, I say.  We need to be quite specific about paying attention to the detail of getting things right.  We need to deal with the actual and not the general and adopt a zero tolerance towards non-performance.  Each incident of non-performance is simply a fact, not a discipline situation.  Each incident has causes that need to be identified and remedied, starting with those most closely involved and escalated up if they cannot make progress.  By doing this thoroughly in one part of even a large organisation the new way is entrenched and non-performance is no longer tolerated.  Doing it in a wishy-washy way says ‘this is just another flavour of the month.’  

Having adopted this in one part of the organisation, the process can be replicated and then entrenched through ‘leader standard work.’  The replication needs to be done with great attention to detail until the ‘tipping point’ is reached – the organisation realizes this is good stuff and there is no going back.  Going too fast, or spreading resources so thinly that token visual management and token follow-up are the order of the day will only encourage cynicism and resistance.  

The process reminds me of what Malcolm Gladwell (The Tipping Point) claims are the three characteristics of epidemics: contagiousness, little causes can have big effects, and change happens not gradually but at one dramatic moment.  Being specific about using the lean tools, getting small wins, and persevering: that is how to reach the tipping point for lean in large organisations.  

Speaking of which: the Best Practice Workshop with Mr Takeyuki Furuhashi of Nagoya, Japan, will be at the Rustenburg Provincial Hospital in the last week of July – another specific step in trying to influence a large system!  See our website for details, or phone Lorraine Govender on 021 406 1226 for more information.  

Kind regards,  

Norman Faull