Engage Employees To Reduce Waste & Cost

Engage Employees to Reduce Waste & Cost

Jo UmbergerJo Umberger

TrainSpeakCoach.comTrainSpeakCoach.com

Reducing manufacturing waste is significant to financial success.

© Umberger Development Partners Inc., 2011. All rights reserved.© Umberger Development Partners Inc., 2011. All rights reserved.

Don’t neglect the people side of lean. Engage them to reduce waste & cost.


Here are several means of engaging people in the

process.

Involve people to a greater degree in problem solving & decision-making so they own their results.


It’s no secret that the people doing the work often have the best ideas for reducing costs.


Example of results from asking people how they can reduce waste:

“I reduced the amount of time on each manufacturing run from 18 to 12 hours by reducing scrap.”


People change only when they want to change.

What motivates people to want to change?


When their ideas really count.When they have a say.

When they know the value of their contributions.

In short, when they are ENGAGED.


It begins with building more trust: Credibility Score.

Be the kind of leader you admire enough Be the kind of leader you admire enough to follow, such as to follow, such as

HonestHonest

Person of integrityPerson of integrity

Care about peopleCare about people

GenuineGenuine

Admit mistakesAdmit mistakes


Be real with them.


Ask them to create a list of Team Values.

dependable dependable results resultscontinual improvementcontinual improvement quality quality friendly friendly competitive competitive integrity integrity fun fun profitable profitable accountable accountable teamwork teamwork consistent consistent positive attitude positive attitude knowledgeable knowledgeable competent competent respectful respectful excellence excellence responsible responsible honest honest successful successful


Do more selling. Do less telling.

1. Do we all agree that last year’s 1. Do we all agree that last year’s production numbers are unacceptable?production numbers are unacceptable?

2. We’ve been told to increase production 2. We’ve been told to increase production by 10% this year.by 10% this year.

3. What are possible ways to do this?3. What are possible ways to do this?

4. How will we do it? Who? When?4. How will we do it? Who? When?


Include them in the process of identifying behaviors that they need to change.

“I don’t like to ask for business but I began asking for business on every maintenance call. Each deal averages $6,700. If one additional deal is procured per month, the value of this action will be $80,400 per year.”


Communicate in all directions.


Don’t micro-manage. There’s more than one way to get to Ohio!


Give them freedom within boundaries.

“Create your own tactics to support the goals

you have been given.”


When asked how to increase production, one suggested this:

““I made use of 30 minutes of I made use of 30 minutes of downtime in one department on downtime in one department on each shift by rearranging lunch each shift by rearranging lunch schedules. The increased schedules. The increased production value equals $171,600 production value equals $171,600 per year.”per year.”


When asked how to improve the bottom line, one person did this:

““I streamlined Invoicing and I streamlined Invoicing and Collections which saved 15 days in Collections which saved 15 days in the collections process.”the collections process.”


Four Levels of Delegation

Level 1:Level 1:

I give you assignments. I give you assignments.

You ask clarifying questions, implement the You ask clarifying questions, implement the instructions, and report back immediately instructions, and report back immediately for further instructions. for further instructions.

I make the decisions.I make the decisions.


Level 2:Level 2:

I give you assignments with your input. I give you assignments with your input.

You implement and report back for further You implement and report back for further instructions. instructions.

I make the decisions.I make the decisions.


Level 3:Level 3:

You initiate your own work with input You initiate your own work with input from me.from me.

Implement it and report back to me for Implement it and report back to me for feedback. feedback.

We make decisions together.We make decisions together.


Level 4:Level 4: You initiate work and handle You initiate work and handle

problems. problems. Keep me informed of your progress. Keep me informed of your progress. You make many decisions by yourself. You make many decisions by yourself. I serve as coach.I serve as coach.I am freed up to spend time on higher I am freed up to spend time on higher value activities.value activities.


Support them. He who is greatest is the servant of all.


Summary

• People change only when they want to change.People change only when they want to change.• Engaging them gives them reason to change.Engaging them gives them reason to change.• Increase your “Credibility Score.”Increase your “Credibility Score.”• Be real with them.Be real with them.• Ask them to create the Team Values.Ask them to create the Team Values.• Sell the necessary changes.Sell the necessary changes.• Give feedback. Give feedback. • Don’t micro-manage.Don’t micro-manage.• Use the appropriate Level of Delegation.Use the appropriate Level of Delegation.• Support them.Support them.


Jo UmbergerJo UmbergerPresidentPresident

Umberger Development Partners Inc.Umberger Development Partners Inc.DFW, TexasDFW, Texas

214.697.0242 | www.TrainSpeakCoach.com 214.697.0242 | www.TrainSpeakCoach.com [email protected]@TrainSpeakCoach.com

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Engage Employees To Reduce Waste & Cost