Driving the Enterprise to Sustainable Excellence Driving the Enterprise to Sustainable Excellence A Shingo Process Overview Gerhard Plenert A PRODUCTIVITY PRESS BOOK First published 2021 by Routledge 600 Broken Sound Parkway #300, Boca Raton FL, 33487 and by Routledge 2 Park Square, Milton Park, Abingdon, Oxon, OX14 4RN Routledge is an imprint of the Taylor & Francis Group, an informa business © 2021 Gerhard Plenert The right of Gerhard Plenert to be identified as author of this work has been asserted by him in accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988. All rights reserved. No part of this book may be reprinted or reproduced or utilised in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. 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ISBN: 9780367484019 (hbk) ISBN: 9781003041849 (ebk) Typeset in Minion by Deanta Global Publishing Services, Chennai, India Dedication To the Love of My Life – Renee Sangray Plenert Who Keeps Trying to Drive Me to Excellence!!! – Gerhard Plenert Contents Acknowledgments .................................................................................xi About the Author. ...............................................................................xiii Introduction ..........................................................................................xv PART I The Growth of the Shingo Approach Chapter 1 A Personal Experience .......................................................3 The Story of a Drive to Enterprise Excellence ..........................3 References (These References are utilized throughout the book) ......................................................................................11 Chapter 2 Who Is Shigeo Shingo? ....................................................13 A Time for Reflection .................................................................13 Shigeo Shingo – a Little History ...............................................15 Shigeo Shingo – Western Influence .........................................17 References ...................................................................................20 Publications and Books by Shigeo Shingo et al. ....................20 Chapter 3 What Is the Shingo Institute and the Shingo Prize?......21 More to Reflect About ................................................................21 The Shingo Institute ...................................................................22 The Shingo Institute History .....................................................22 Driving toward Enterprise Excellence .....................................24 The Shingo Institute: Still Striving for Enterprise Excellence ....................................................................................25 The Shingo Prize .........................................................................31 Shingo Bronze Medallion ..........................................................33 Shingo Silver Medallion .............................................................33 Shingo Prize ...............................................................................34 Publication Award ......................................................................36 vii viii • Contents Research Award ..........................................................................36 The Guiding Principles of the Shingo Institute and the Shingo Model ..............................................................................37 Summary .....................................................................................39 References ...................................................................................40 PART II The Shingo Methodology Chapter 4 Integrating the Shingo Methodology. .............................43 More to Reflect About – An Example of a Winner (In Their Words) ...............................................................................43 REXAM – Beverage Can South America – Águas Claras ......................................................................................43 Achievements ..............................................................................45 Lean Enterprise Achievements ...........................................45 Safety and Environmental ...................................................46 Quality ....................................................................................46 Employee Morale ..................................................................47 Delivery Performance and Cost Reductions .....................47 More about the Shingo Methodology .....................................48 Learning the Toyota Production System (TPS) Methodology ...............................................................................49 Cultural Shift ...............................................................................51 Why Are There Three Insights and Why Are They Important? ..................................................................................54 What Are the Characteristics of Principles and Why Are They Important? ..................................................................55 Systems .........................................................................................57 Metrics and Results ....................................................................58 Tools .............................................................................................61 Cultural Shift ...............................................................................62 References ....................................................................................62 Chapter 5 Systems ..............................................................................65 More Reflection ...........................................................................65 Systems Transformations ..........................................................67 Contents • ix Purpose and Systems Drive Behavior .................................67 Three Types of Systems/Systems Maps ....................................82 Definition of a Good System ....................................................90 Summary .....................................................................................91 Chapter 6 Metrics ..............................................................................95 Another Reflection .....................................................................95 The Building Blocks of Cultural Shift ......................................97 KBIs and KPIs ...........................................................................102 What Makes a Good Assessment? .........................................103 KBIs and KPIs Revisited ..........................................................104 Moving the Needle ...................................................................105 Assessing KBIs and KPIs .........................................................108 Summary ...................................................................................108 Chapter 7 Guiding Principles ..........................................................111 More Reflection .........................................................................111 The Ladder of Success ..............................................................112 Why Principles? ........................................................................112 The Shingo Model – A Review ................................................114 The Ten Principles ....................................................................116 Summary ..................................................................................120 Chapter 8 Tools ................................................................................121 More Reflection .........................................................................121 Tools ..........................................................................................122 Summary ...................................................................................132 Chapter 9 Results .............................................................................133 More to Reflect On ...................................................................133 Assessments ..............................................................................134 The Assessment Tool – An Example ......................................136 External Assessment ................................................................138 Shingo Insight ...........................................................................139 The Shingo Prize .......................................................................142