Overcoming Internal Skepticism of Lean and Six Sigma to Ensure Successful Deployment

1
Overcoming Internal Skepticism of Lean and Six
Sigma to Ensure Successful Deployment
Lean and Six Sigma for Defense Implementing Lean
and Six Sigma in Defense to Achieve Excellence
20-21 July 2005 Marriott Crystal Gateway
Arlington, VA, United States

• Presented by Don A. Blake

• Accelerating Lean and Six Sigma thinking
• Fostering a spirit of excitement in your
  department about Lean and Six Sigma
• Clarifying key roles in Lean and Six Sigma to
  personnel

2
Overview

• Presentation Intent
• Simple Definitions
• Lean
• Six Sigma
• Skepticism, Fear, Reluctance, and Subversion
• Diffusion Of Innovation As A Guide
• Courage, Leadership, Persistence, and Tools
• Examples Success and Setback
• Summary
• QA

3
Presentation Intent

• Accelerating Lean and Six Sigma thinking

4
Presentation Intent

• Fostering a spirit of excitement in your
  department about Lean and Six Sigma

• Understanding how innovation and technology
  diffuses across organizations
• Benchmarking (of the good and the bad)
• Planning for success
• Celebrating at each opportunity

5
Presentation Intent

• Clarifying key roles in Lean and Six Sigma to
  personnel

• Community of scientists
• Leaders as teachers
• Consultants and coaches

6
Simple Definitions

• Lean

TQM
TEI
From the same tree?
JIT

• Six Sigma

TEI Total Employee Involvement TQM Total
Quality Management JIT Just In Time Production
7
Simple Definitions?
Source APICS Dictionary

• Lean

A philosophy of production that emphasizes the
minimization of the amount of all the resources
(including time) used in the various activities
of the enterprise. It involves identifying and
eliminating non-value-adding activities in
design, production, supply chain management, and
dealing with the customers. Lean producers employ
teams of multiskilled workers at all levels of
the organization and use highly flexible,
increasingly automated machines to produce
volumes of products in potentially enormous
variety. It contains a set of principles and
practices to reduce cost through the relentless
removal of waste and through the simplification
of all manufacturing and support processes.

• Six Sigma

8
Simple Definitions?
Source APICS Dictionary

• Lean

A philosophy of production that emphasizes the
minimization of the amount of all the resources
(including time) used in the various activities
of the enterprise. It involves identifying and
eliminating non-value-adding activities in
design, production, supply chain management, and
dealing with the customers. Lean producers employ
teams of multiskilled workers at all levels of
the organization and use highly flexible,
increasingly automated machines to produce
volumes of products in potentially enormous
variety. It contains a set of principles and
practices to reduce cost through the relentless
removal of waste and through the simplification
of all manufacturing and support processes.

• Six Sigma

9
Simple Definitions?
Source APICS Dictionary

• Lean

A philosophy of production that emphasizes the
minimization of the amount of all the resources
(including time) used in the various activities
of the enterprise. It involves identifying and
eliminating non-value-adding activities in
design, production, supply chain management, and
dealing with the customers. Lean producers employ
teams of multiskilled workers at all levels of
the organization and use highly flexible,
increasingly automated machines to produce
volumes of products in potentially enormous
variety. It contains a set of principles and
practices to reduce cost through the relentless
removal of waste and through the simplification
of all manufacturing and support processes.

• Six Sigma

10
Simple Definitions?

• Lean

Source APICS Dictionary

• The six-sigma approach is a set of concepts and
  practices that key on reducing variability in
  processes and reducing deficiencies in the
  product. Important elements are
• Producing only 3.4 defects for every one million
  opportunities or operations.
• Process Improvement initiatives striving for six
  sigma-level performance.
• Six sigma is a business process that permits
  organizations to improve bottom-line performance,
  creating and monitoring business activities to
  reduce waste and resource requirements while
  increasing customer satisfaction.

• Six Sigma

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Simple Definitions?

• Lean

Source APICS Dictionary

• The six-sigma approach is a set of concepts and
  practices that key on reducing variability in
  processes and reducing deficiencies in the
  product. Important elements are
• Producing only 3.4 defects for every one million
  opportunities or operations.
• Process Improvement initiatives striving for six
  sigma-level performance.
• Six sigma is a business process that permits
  organizations to improve bottom-line performance,
  creating and monitoring business activities to
  reduce waste and resource requirements while
  increasing customer satisfaction.

• Six Sigma

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Simple Definitions?

• Lean

Source APICS Dictionary

• The six-sigma approach is a set of concepts and
  practices that key on reducing variability in
  processes and reducing deficiencies in the
  product. Important elements are
• Producing only 3.4 defects for every one million
  opportunities or operations.
• Process Improvement initiatives striving for six
  sigma-level performance.
• Six sigma is a business process that permits
  organizations to improve bottom-line performance,
  creating and monitoring business activities to
  reduce waste and resource requirements while
  increasing customer satisfaction.

• Six Sigma

13
Simple Definitions

• Lean

TQM
TEI
From the same tree?
JIT

• Six Sigma

TEI Total Employee Involvement TQM Total
Quality Management JIT Just In Time Production
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Skepticism, Fear, Reluctance, and Subversion

• Skepticism
• doubt about the truth of something
• Fear
• an emotion experienced in anticipation of
  some specific pain or danger
• Reluctance
• a certain degree of unwillingness
• Subversion
• destroying property or hindering
  normal operations

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

Source Rogers, Everett M. (1962). Diffusion of
Innovations. The Free Press. New York

• Is venturesome, daring, risk loving
• Can understand and apply complex technical
  knowledge
• Can cope with high degree of uncertainty

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

• Serves as a role model
• Respected by peers and colleagues
• Will attempt new ideas but in a careful way

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

• Thoughtful and careful, slightly behind the
  opinion leadership of the early adopter
• Deliberate before adopting an idea

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

• Skeptical and cautious
• Will adopt when pressured by peers or when it
  becomes an economic necessity

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

• Guardian of tradition
• Point of reference is in the past
• Are suspicious of innovations

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Skepticism, Fear, Reluctance, and Subversion

• The Diffusion of Innovation Theory As A Guide To
  Managing Change?

• Early wins are absolutely critical
• Targeting initial areas where innovators and
  early adopters reside are the obvious choice.

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Courage, Leadership, Persistence, and Tools

• Courage
• mental or moral strength to venture, persevere,
  and withstand danger, fear, or difficulty
• mental or moral strength to resist opposition,
  danger, or hardship. COURAGE implies firmness of
  mind and will in the face of danger or extreme
  difficulty ltthe courage to support unpopular
  causesgt.

Source http//www.m-w.com/cgi-bin/dictionary
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Courage, Leadership, Persistence, and Tools

• Courage
• mental or moral strength to venture, persevere,
  and withstand danger, fear, or difficulty
• mental or moral strength to resist opposition,
  danger, or hardship. COURAGE implies firmness of
  mind and will in the face of danger or extreme
  difficulty ltthe courage to support unpopular
  causesgt.

Source http//www.m-w.com/cgi-bin/dictionary
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Courage, Leadership, Persistence, and Tools

• Education Training Based On A Comprehensive
  Curriculum

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Examples Success and Setback
1996 1997 1998 1999 2000 Events Conducted
103 234 250 202 135
A
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Examples Success and Setback

• MIT LAI Lean Effects on Aerospace Production
  737 Fuselage Case Study Report (March 1, 2002)
• Boeing Wichita aggressively pursued Lean
  principles to drive the culture change for the
  entire 737 Program and enlisted the support of
  organized labor, their local IAM union chapter.
• They have been so successful in getting total
  workforce ownership and buy-in, that one of the
  IAM Union Stewards is the Lean Leader in one of
  the fuselage sections.
• Workforce training in the Boeing Production
  System (BPS)Boeings adaptation of the Toyota
  Production Systemis very important, and the
  extent to which Lean in the various divisions has
  been formally trained is as follows
• Lean Basics Training 80-90 of 737 Program
  employees
• Employee Participation in Lean Academy 30-80
• Training in Standard Operations 20-60

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Examples Success and Setback
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Examples Success and Setback
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Examples Success and Setback

• MIT LAI Lean Effects on Aerospace Production
  737 Fuselage Case Study Report (March 1, 2002)
• Although the acceleration of production rate
  started in the 1997-1998 timeframe, with the
  initiation of the Next Generation 737, the Boeing
  personnel we interviewed were clear that the
  giant steps forward in Lean did not occur until
  critical mass was achieved in terms of (1)
  Sufficient top down management alignment and (2)
  Factory employees receiving Lean training and
  proficiency.

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Examples Success and Setback
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Examples Success and Setback

• Conveyed Production Lines Sometime Stop
• Many Lean Manufacturing implementers believe that
  the ultimate condition is have continuous flow
  production cells or lines.
• Even the best designs for conveyed lines can be
  undermined when system harmony is never achieved.
• Process Kaizens will suffer from entropy unless
  System Kaizen is also accomplished.

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Summary

• Overcoming skepticism and all the other behaviors
  is dependent on the leaders at every layer.
• Accelerating the change (transformation) is a
  marketing and self-enrollment event. Targeting
  innovators and early adopters is essential.
• Fostering a spirit of excitement begins with
  leaders and sponsors remembering to communicate
  the vision in some way or form everyday.

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Review

• Presentation Intent
• Simple Definitions
• Lean
• Six Sigma
• Skepticism, Fear, Reluctance, and Subversion
• Diffusion Of Innovation As A Guide
• Courage, Leadership, Persistence, and Tools
• Examples Success and Setback
• Summary
• QA

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Additional Definitions
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Simple Definitions?

• Just In Time

Source APICS Dictionary
A philosophy of manufacturing based on planned
elimination of all waste and on continuous
improvement of productivity. It encompasses the
successful execution of all manufacturing
activities required to produce a final product,
from design engineering to delivery, and includes
all stages of conversion from raw material
onward. The primary elements of Just-in-Time are
to have only the required inventory when needed
to improve quality to zero defects to reduce
lead times by reducing setup times, queue
lengths, and lot sizes to incrementally revise
the operations themselves and to accomplish
these activities at minimum cost. In the broad
sense, it applies to all forms of
manufacturingjob shop, process, and
repetitiveand to many service industries as
well. Syn short-cycle manufacturing, stockless
production, zero inventories.
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Simple Definitions?

• Total Quality Management

Source APICS Dictionary
A term coined to describe Japanese-style
management approaches to quality improvement.
Since then, total quality management (TQM) has
taken on many meanings. Simply put, TQM is a
management approach to long-term success through
customer satisfaction. TQM is based on the
participation of all members of an organization
in improving processes, goods, services, and the
culture in which they work. The methods for
implementing this approach are found in teachings
of such quality leaders as Philip B. Crosby, W.
Edwards Deming, Armand V. Feigenbaum, Kaoru
Ishikawa, J. M. Juran, and Genichi Taguchi.
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Simple Definitions?

• Total Employee Involvement

Source APICS Dictionary
An empowerment program in which employees are
invited to participate in actions and decision
making that were traditionally reserved for
management.