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Companies are facing increasingly tough competition in the global economy. Previously sustainable competitive advantage strategies are insufficient in the changed market conditions. The only sustainable advantage is continuous innovation at a faster pace than rival organizations. This requires a systematic approach to innovation and engaging staff on all levels to effectively take part in the innovation efforts. Toyota Kata is proven and highly successful method for continuous improvement at the whole organization level. Toyota Kata was discovered by Mike Rother while he researched Toyota’s quality improvement methods. It is a holistic system method for improvement efforts which contains processes and behavioral patterns for strategically aligned goal setting, problem solving, coaching, management and training. It is a simple and teachable approach which also covers the management of improvement efforts. The downside of the approach is its focus on incremental improvement instead of breakthrough innovation. The approach can be improved by adding TRIZ techniques like contradiction analyses, FAA, inventive principles and trends of evolution to various parts of the method. This approach will allow to keep the benefits of the Toyota Kata approach while changing the focus from incremental improvement to true innovation. The combined approach is also better suited for the more complex problems of today’s knowledge workers. Toyota Kata can also be used as method for introducing and training TRIZ to the organization in an effective and incremental way. The combined method for continuous innovation can be further improved with the Lean Startup methods to validate the solutions. The Lean Startup experimentation approach is geared to design quick and inexpensive approaches for the market validations of service, management and software innovations.
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Continuous innovation-
Combining Toyota Kata and TRIZ for sustained
innovation
Teemu Toivonen [email protected] / @number_9_
[email protected] / @number_9_
Senior Lean Consultant @ Nitor Delta Education: Master of Science – Helsinki University of
Technology 15 years of experience in the IT industry
Consultant, Manager, IT Executive Board, Team Leader, Project Manager, Programmer, Concept Designer…
10 years of Experience in Lean and Agile 2 years of experience with TRIZ Professional interests: Lean, Agile, Systematic Innovation,
Service Design, Systems Thinking, Complexity and Resilience
Goal for the presentation
To introduce the continuous innovation model which is based on Toyota Kata and TRIZ tools and techniques and get some of you curious enough to do some experimentation
Consequences of global competition
The market pressure…• Increasingly ”winner takes all markets”• High expectations for customer
experience • Continuous market disruptions • Cost pressure from global competition • ”More with less” • Sustainability, global warming, euro
crises, etc.
Key challenges for organizations
External • Choosing the right direction/focus/problems • Creating innovative solutions Internal • Engaging everyone in the organization to improve and
innovate effectively• Creating alignment throughout the organization
Partial solutions
TRIZ - Create innovative solutions to problems - Find the right problems - Predict the future direction of a market
Toyota Kata - Engage everyone in the organization to improve in a systematic way - Create alignment throughout the organization - Support and coach improvement efforts as part of the everyday
management system
Previous work
Toyota Kata Mike Rother, (Steven Spear)
TRIZ for IT and business problems Darrel Mann
TrenDNA techniques Darrel Mann and Yekta Özözer
Lean startup Eric Ries
Toyota – engaging employees in improvement
“We are what we repeatedly do. Excellence, then, is not an act but a habit.”
- Aristoteles
Mike Rother
“The evolution of Lean”Lean tools processes principles habits and routines
What does Toyota do differently in every day work and management that explains their ability to improve and align the organization?
What is a Kata?
Kata is a routine or repeating pattern for doing something
Mentee
Improvement Kata Coaching Kata
Mentor
Toyota KataPhilosophy:• Continually improve as part of everyday work • Align improvement to with shared vision and challenges • Grow people and maximize human potential
Toyota Kata is two behavioral routines to realize these goals
The Improvement Kata
Next target condition
A good target condition is about one month away
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
PDCA experiment1. Hypothesis2. Experiment3. Result4. Learning
Find the route with PDCA experiments
Current conditionUnderstand deeply
Vision”North Star”
Challenge
Short iteration cycles Go and see Focus on learning
The Coaching Kata
The purpose of the Coaching Kata is to teach and coach the Improvement Kata using real world problems as practice.
Mentee
Improvement Kata Coaching Kata
Mentor
Teach/coach Support Alignment
Improvement Kata challenges
• How to set the a meaningful vision?• What is the right challenge?• Understanding the current situation
in complex problems?• Where to get ideas for experiments
for difficult problems?
TRIZ for IT and business problems 1/3• TRIZ techniques customized for business
and IT problems by Darrel Mann • Includes interesting examples • Includes techniques for
• Understanding market evolution • Defining and analyzing problems • Generating solutions
Key take a ways
Predicting market development Understanding perfection for stakeholders Analyzing complex problems Generating creative solutions
TRIZ for IT and business problems 2/3
40 inventive principles with examples
The inventive principles offer patterns for designing innovative solutions to problems. They are based on the patent database and are documented with relevant examples to provoke ideas.
Conflict-contradiction conversion template
The template offers a good visual representation for the problem as a problem statement, conflict and contradiction.
Conflict matrix The conflict matrix documents the most likely inventive principles to generate good solution for conflicts between different attributes.
Where to innovate A useful template to categorize innovations for an industry and discover good candidate areas for future innovation.
Function and attribute analyses
FAA is proven technique to form an understanding of the current state of a system by mapping its elements and their interactions. FAA also helps to map both the positive and negative intangibles of a system.
TRIZ for IT and business problems 3/3
Trends of evolution Systems evolve towards perfection through certain trends of evolution. By mapping a systems current state regarding these trends it is possible to discover areas where there is a lot of potential for improvement. Trends of evolution can also be used to generate solution ideas.
Resources By mapping the available resources in a system it is possible to generate solution ideas that rely on free and/or underutilized resources. Resources can also act as a trigger for solutions. Recourses can also be intangible like human cognitive biases.
Perception mapping
Perception mapping is a good method for approaching complex problems by mapping the network that the individual perceptions form and identifying which perceptions hold key positions in that network and focus improvement efforts to those areas.
System operator The system operator, also known as the nine windows, method helps to look at the problem from different viewpoints regarding time (past, present, future) and abstraction level (system, micro system, macro system) It is very flexible and can be used to understand a problem, discover resources and generate solutions.
Stakeholder ideal final result definition
This tool allows the mapping of what perfect looks for different stakeholder groups regarding different attributes of the system (like speed, cost, etc.). The results are documented in matrix where on dimension is formed by stakeholders and the other by system attributes. The matrix is useful for identifying contradictions.
TrenDNA techniques 1/2
• Techniques for understanding and predicting the behavior of populations Darrel Mann and Yekta Özözer
• Tools for designing product and service ideas based on scientific understanding of intangibles
• Based on generational cycle theory (William Straus and Neil Howe) and spiral dynamics (Clare Graves)
Key take a ways
Predicting consumer market evolution Understanding human intangibles Segmentation based on thinking styles and generations
TrenDNA techniques 2/2
List of challenges (table)
Thinking styles By mapping the (potential) customers of a product/service it is possible to identify user segments with distinct likes and dislikes. This also a good way to discover contradictions between difference thinking style preferences for a product/service.
Generational mapping
By mapping the (potential) customers into the generational archetypes it is possible to gain insights into their intangible preferences. This type of mapping will also reveal potential shifts in preferences as the age boundaries of generations move due to aging.
Functional world The functional world is a method of mapping the functions provided by product/service. It is a 2 by 2 matrix with one dimension being me/we and the other tangible/intangible. It is very useful for discovering the intangible functions of the product/service.
Contradiction resolving provocations
18 strategies or provocations that help create innovative solutions to resolve contradictions. They offer an interesting alternative for the 40 inventive principles for some situations (especially workshops).
Lean startup
A systematic approach to startups by Eric Ries 1. Document your hypothesis 2. Build a quick prototype 3. Learning – validation or update hypothesis
Key take a ways
Very creative techniques for fast empirical validation of complex ideas
The Continuous Innovation Model The continuous innovation model combines the basic structure of Toyota Kata to engage and align everyone effectively in innovation efforts and TRIZ techniques to create a vision, understand the right challenges and create innovate solutions.
Engaging everyone in the organization to improve and innovate effectively
Creating alignment throughout the organization
Choosing the right direction/focus/problems
Creating innovative solutions
Solves challenges
TRIZ
Create innovative solutions to problems
Find the right problems
Predict the future direction of a market
Toyota Kata
Engage everyone in the organization to improve
Create alignment throughout the organization
Support and coach improvement efforts
Lean startup – Quick experimentation and validation of innovative ideas
Continuous innovation model
Background- Initially I started integrating TRIZ techniques to Toyota Kata “ad hoc” - Last spring I did a more systematic integration analyses and some
experimentation - I have only used TRIZ tools that I have personal experience with
Getting started - Start with ”vanilla” Toyota Kata and integrate TRIZ tools on a pull basis- Toyota Kata has established patter of introducing it to an organization - Setting the vision and challenge happen relatively rarely and expert help is
an option to think about to get started better - Building a strong coaching capability related to Toyota Kata and TRIZ is
critical
Remember the context - The model was developed with IT and business problems in mind - Every context is different – be open minded about what TRIZ tools to
integrate- The model is only a starting point, TRIZ tools and ideas can be integrated
with Toyota Kata (and Lean) in very creative ways
Next target condition
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
Find the route with PDCA experiments
Current condition
Vision”North Star”
Challenge
Continuous innovation model - vision
Vision
• Stakeholder ideal final result definition• Functional world
Next target condition
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
Find the route with PDCA experiments
Current condition
Vision”North Star”
Challenge
Continuous innovation model - challenge
Challenge
• Conflict-contradiction conversion template• Where to innovate• Functional world• Trends of evolution• Thinking styles• Generational mapping• Perception mapping
Next target condition
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
Find the route with PDCA experiments
Current condition
Vision”North Star”
Challenge
Continuous innovation model - current condition
Current condition
• System operator• function and attribute analyses• Perception mapping• Resources
Next target condition
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
Find the route with PDCA experiments
Current condition
Vision”North Star”
Challenge
Continuous innovation model - current condition
Target condition
• Conflict-contradiction conversion template• Changes to FAA model • Changes to perception map
Next target condition
1. Understand the direction2. Understand the current condition3. Define next target condition 4. Find route with PDCA experiments5. Start over
Find the route with PDCA experiments
Current condition
Vision”North Star”
Challenge
Continuous innovation model - current condition
PDCA experiments
• System operator,• 40 inventive principles• Conflict matrix• Contradiction resolving provocations• Lean startup techniques
”Pros” ”Cons”
More creative and larger quantity of improvement ideas
Adding TRIZ techniques and ideas to Toyota Kata increases complexity
Systematic way of incorporating intangible aspects to improvement efforts
Requires coaches proficient in both Toyota Kata and TRIZ
Offers (partial) solutions to many of the pain points of traditional Toyota Kata
Counterintuitive for traditional management thinkers
Summary – the continuous innovation model
Solves problems - Creating alignment throughout the organization
- Engaging everyone in the organization to improve and innovate effectively
- Choosing the right direction/focus/problems
- Creating innovative solutions
Experiences- Initial experiences in small scale use have been promising
- Offers solutions the challenging aspects Toyota Kata
- Missing data from large scale implementations
Next steps - Fine tune the model and write better documentation
- Gain data from large scale implementations, preferably compared to ”vanilla” Toyota Kata
- Collaboration is more than welcome
The continuous innovation model combines the basic structure of Toyota Kata to engage and align everyone effectively in innovation efforts and TRIZ techniques to create a vision, understand the right challenges and create innovate solutions.
The Continuous Innovation Model The continuous innovation model combines the basic structure of Toyota Kata to engage and align everyone effectively in innovation efforts and TRIZ techniques to create a vision, understand the right challenges and create innovate solutions.
Engaging everyone in the organization to improve and innovate effectively
Creating alignment throughout the organization
Choosing the right direction/focus/problems
Creating innovative solutions
Solves challenges
TRIZ
Create innovative solutions to problems
Find the right problems
Predict the future direction of a market
Toyota Kata
Engage everyone in the organization to improve
Create alignment throughout the organization
Support and coach improvement efforts
Lean startup – Quick experimentation and validation of innovative ideas