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Lean Misconceptions: Why Many Lean Initiatives Fail and How You Can Avoid the Mistakes PDF

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Lean Misconceptions Why Many Lean Initiatives Fail and How You Can Avoid the Mistakes http://taylorandfrancis.com Lean Misconceptions Why Many Lean Initiatives Fail and How You Can Avoid the Mistakes Cordell Hensley CRC Press Taylor & Francis Group 6000 Broken Sound Parkway NW, Suite 300 Boca Raton, FL 33487-2742 © 2018 by Taylor & Francis Group, LLC CRC Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Printed on acid-free paper International Standard Book Number-13: 978-1-138-21745-4 (Hardback) This book contains information obtained from authentic and highly regarded sources. Reasonable efforts have been made to publish reliable data and information, but the author and publisher cannot assume responsibility for the validity of all materials or the consequences of their use. The authors and publishers have attempted to trace the copyright holders of all material reproduced in this publication and apologize to copyright holders if permission to publish in this form has not been obtained. If any copyright material has not been acknowledged please write and let us know so we may rectify in any future reprint. Except as permitted under U.S. Copyright Law, no part of this book may be reprinted, reproduced, trans- mitted, or utilized in any form by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying, microfilming, and recording, or in any information storage or retrieval system, without written permission from the publishers. For permission to photocopy or use material electronically from this work, please access www.copyright .com (http://www.copyright.com/) or contact the Copyright Clearance Center, Inc. (CCC), 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400. CCC is a not-for-profit organization that provides licenses and registration for a variety of users. For organizations that have been granted a photocopy license by the CCC, a separate system of payment has been arranged. Trademark Notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. Library of Congress Cataloging‑in‑Publication Data Names: Hensley, Cordell, author. Title: Lean misconceptions : why many lean initiatives fail and how you can avoid the mistakes / Cordell Hensley. Description: Boca Raton, FL : CRC Press, [2017] | Includes bibliographical references. Identifiers: LCCN 2016055793| ISBN 9781138217454 (hardback : alk. paper) | ISBN 9781138400153 (ebook) Subjects: LCSH: Lean manufacturing. Classification: LCC TS155 .H385 2017 | DDC 658.4/013--dc23 LC record available at https://lccn.loc.gov/2016055793 Visit the Taylor & Francis Web site at http://www.taylorandfrancis.com and the CRC Press Web site at http://www.crcpress.com Contents Preface ....................................................................................................ix Author ....................................................................................................xi Section i Misconceptions, Where they come from, and How to overcome them chapter 1 Misconceptions ..................................................................3 Headcount Reduction ..................................................................5 Tools and Techniques ...................................................................8 Waste ..............................................................................................9 Speed- or Time-Based Management ........................................11 Executive Engagement ...............................................................11 “Pretty Lean” ...............................................................................12 Bureaucracy .................................................................................14 Functional Approach .................................................................15 Traditional Western Management Practices ..........................16 Project Timelines ........................................................................18 Learning .......................................................................................19 Summary ....................................................................................20 chapter 2 Why and How Companies Start Doing Continuous Improvement (CI) Activities? .....................21 Delays ...........................................................................................22 The Show ......................................................................................26 Survival or Ambition? ................................................................27 Communication .........................................................................28 We’re Actually Doing Something Now, but Is It the Right Thing? .........................................................................30 The Ever-Changing CI Landscape ...........................................31 The Dilemma ..............................................................................34 v vi • Contents chapter 3 Where Should We Focus? ................................................37 By What Method? .......................................................................39 A Model for Implementation ...................................................40 Learn How to Do or Learn How to Think? ............................43 Focus on a Learning Culture ...................................................44 Clarity ...........................................................................................50 chapter 4 A Brief History of Lean. ...................................................51 Interchangeable Parts .................................................................51 The Industrial Era, Taylor, and Ford ........................................52 Japan Enters the Scene ...............................................................53 Ohno and Shingo ........................................................................55 The In-Betweeners .....................................................................56 Lean Begins in Earnest ..............................................................58 Beyond the Shop Floor ...............................................................59 chapter 5 Dynamic Organizations ..................................................61 Tool Focus ...................................................................................64 Learning Focus ...........................................................................65 The Four Capabilities .................................................................67 Making Problems Obvious ...................................................67 Solving Problems ..................................................................68 Sharing Knowledge ................................................................69 Leadership Developing Capabilities ....................................70 Summary .....................................................................................72 chapter 6 The Principles within Lean .............................................73 The Value of Knowledge ............................................................74 Higher-Order Thinking .............................................................76 The Four Capabilities within Lean ...........................................79 Demonstrable Benefits ...............................................................79 Summary .....................................................................................82 Contents • vii Section ii How the tools Support the Learning Process chapter 7 Making Problems Obvious ..............................................87 What Is a Problem?.....................................................................87 Delays in Problem Identification .............................................88 Standardization ..........................................................................90 How Does Standardization Fit into See, Solve, Share, and Show? ....................................................................................91 See ............................................................................................91 Solve .........................................................................................92 Share ........................................................................................93 Show .........................................................................................93 Where Should Standards Originate? .......................................93 Visualization and 5S...................................................................95 Heijunka ......................................................................................96 Heijunka Varieties .................................................................97 Summary ....................................................................................99 chapter 8 Solving Problems ............................................................101 Problem-Solving Principles and Concepts ...........................101 PDCA .....................................................................................102 Tool Selection .......................................................................105 Common versus Special Causes ........................................106 Root Cause Analysis ............................................................107 Problem-Solving Tools .............................................................109 3C/4C .....................................................................................111 A3/Practical Problem Solving ............................................111 The 5i Technique ..................................................................114 Summary ...................................................................................114 chapter 9 Sharing New Knowledge ................................................ 117 Traditional Lean Tools .............................................................119 Read-and-Initial Boards .........................................................122 E-mail ........................................................................................123 Meetings ....................................................................................123 Little Black Books ....................................................................124 Shared Services Files/Programs .............................................125 viii • Contents Intranet Sites ............................................................................126 Newsletters ................................................................................127 Yokoten ......................................................................................127 Summary ..................................................................................128 chapter 10 Show—The Importance of Coaching and Developing Your People ......................................... 131 Introduction ..............................................................................131 Autonomy, Mastery, and Purpose ..........................................132 United States Marine Corps ....................................................135 PepsiCo .......................................................................................138 Summary ...................................................................................140 chapter 11 What Next? .....................................................................143 On the Brink ..............................................................................145 Already Started? ........................................................................146 Haven’t Started Yet? ..................................................................148 Training Programs ...................................................................150 Final Thoughts ..........................................................................151 Appendix: A Selection of Tools and Techniques and How They Support See, Solve, Share, and Show ..................................................153 Bibliography ........................................................................................155 Index ....................................................................................................159 Preface I wrote this book because I have spent the last decade of my life working in and with organizations that fail to maximize the value in what I teach them. Sure, they have obtained benefits. They have made improvements in their processes. In some cases, I have walked away from a weeklong training event having helped the organization save hundreds of thousands of dollars or pounds in waste. However, in most cases, what they have learned is how to use a specific set of tools. They have their program, either developed in house or usually paid for from an external consultancy. The programs I have been involved with have almost always had an integral element of learning, on paper at least. However, the organizations and primarily the senior people within the organizations are, in almost all cases, only focused on the return on their investment in the consultancy project. They want to ensure that the money spent on having people in their site is returned in savings from the output of these projects. It is rare for this not to happen; even today, most organizations have so much waste in their systems that it is reasonably easy to go in, and do some analysis, and find tens if not hundreds of thousands and often millions in savings. However, the reason my industry still exists, the reason why we often get called back to help the same people who have been through this before, is that they are focused too much on the savings or return on investment (ROI) and not enough on the learning. I am not referring to the learning by their people on how to use the tools, but the learning of their organization as a whole each and every day. They learn how to use the tools and techniques inherent in Lean, in some cases very well. They don’t, however, learn to think for themselves and apply the principles behind the tools to innovate and adapt to ever-changing condi- tions. Arguably, many within my industry are still using the same tools and techniques that they learned years or even decades before. Not that there is anything wrong with the tools and techniques or that they do not have their place in a Lean organization. They do, but there is more to Lean than a toolbox full of kanban systems, andons, 5S programs, etc. The thinking that sits behind these tools and techniques is far more important than the ability to use them as they come off the shelf. ix

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It has been reported that about 70% of initiatives fail to achieve desired results. The cause is an unrealistic expectation regarding effort and results and a focus on short-term improvements over long-term capability building. Too many consultants and organisations focus on the tools and the result
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