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    DiscussionPaper

    Leanfor

    Leaders:

    ToyotaManagementSystem

    intheExecutiveOfficeTakashiTanaka

    ToshioHorikiri

    CraigFlynn

    Toyota

    Engineering

    Co.

    QVSystem,Inc.

    PresentedattheNewHorizonsforLeanThinkingSummit,

    2nd

    &3rd

    November2010,ChesfordGrangeHotel,Kenilworth,UKAn

    electronic

    version

    of

    this

    paper

    is

    available

    to

    download

    at

    www.leanuk.org

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    LeanforLeaders: ToyotaManagementSystemintheExecutiveOffice

    ByTakashiTanaka,ToshioHorikiriandCraigFlynn

    Executivevisitors

    to

    Toyota

    Development

    System

    (TDS)

    visualizations

    often

    remark

    on

    the

    intense

    energy and the high rate of information transfer in these very technical product development

    meetings.Theyareamazedby thenumberofdecisions, largeand small,made in thecourseofa

    single hour. They also remark on the spontaneous and interactive nature of problemsolving

    betweenmembers.

    Toyotas oobeya1 process for project management has proven very useful in the product

    developmentenvironmentautomotive,ofcourse,butalsoIT,construction,electronics,aerospace

    andother industrysectors. Inapreviouswhitepaper2weoutlinetheprocesswecallQuickening

    Visualization (QV), incorporatingoobeya,whichcan reducecycle timebyhalf, reduceproduct life

    cyclecostsignificantly,andimproveontimequality.

    Whatexplainsthepowerfulactivitiesthatvisitingexecutivesobserve?

    Thesearesome factors: meetings includeallrelatedmembersofproductdevelopment, including

    marketing, service/maintenance and human resources. With all relatedmembers involved, its

    easiertogainagreementthattheactionplanisalignedwiththetargets. Ifofftarget,itseasierto

    create countermeasures with the resources and creativity of the whole team. Team culture

    encouragesfindingproblemsearlyand

    finding a problem is praiseworthy, not

    blameworthy.

    And

    its

    also

    because

    the

    com

    municationsmodalitiesare facetoface.

    Inthecharttothe left,onecansee the

    powerlaw increase of creativity and

    effectiveness as transmitreceive tech

    nologiesgivewayto individualandthen

    groupinteraction.

    Having seen an oobeyameeting,many

    executivesvoicefrustrationsabouttheirownwork:

    I

    hate

    my

    meetings!

    Too

    much

    time,

    too

    little

    output.

    Ourmetrics are confusingsometimes contradictoryand there are too many of them(sometimesahundredormore).

    Igetcomplaintsandproblemsinthemiddleofthenight,becausewedontdelivertherightqualityontime.

    Wearefirefighting,Iwishwecouldsolveproblemsproactively,andsooner. Mymanagementteamneedstofreeuptimeforcoachingandmentoringtheirownstaff.

    Withalittlereflection,executivestendtoagreethatthechallenge,inlargepart,istostrikeabetter

    balancebetweenimprovementinitiatives,routineandrepeatingdailywork,andtheinevitableneed

    om in Japanese.ent, 2007, QV System. Inc..

    1

    Oobeya (ohbayuh) means big conference ro

    2010QVSystem,Inc.3

    2 Quickening the pace of new product developmhttp://www.qvsystem.com/whitepaper.html

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    for troubleshooting.By visualizing theirwork and taking immediate countermeasures, executives

    canincreasetheproportionofimprovementactivity.

    More time comes free for improvement as the dailywork ismade smoother andmore routine.

    Troubleshooting is reduced by creating newwork routines. This enablesmore than 50% of the

    executivestimetobedevotedtoimprovement.

    What sort of impact ormacro target

    should executiveshave in theirminds

    as they contemplate applying Toyota

    principles?

    The chart below illustrates improve

    ment of quality, cost and delivery for

    one product development imple

    mentation. In addition to the time

    savings, total expenditures have been

    reducedconsiderably. Costsavingscome fromactivitiessuchas frontloadingofeffort,energetic

    problemsolving,robustfeedback,andgettingmoretestresultsfromfewerprototypes.

    Quality improvesby eliminating reworkand rework elimination is themost significant factor in

    timesavings. Thischartindicatesthatexecutivesshouldsetveryaggressivetargetsforthemselves

    andtheirteams.

    Executives, managers and

    contributorshaveagreatdealof

    tacit knowledgeabout theworkthat they do. Quickening

    Visualization isallaboutmaking

    thetacitexplicit.

    Specifically, executives and

    managersshould lookforresults

    andbehaviorslikethese:

    Fasterexecutionofwork Betterdecisionmaking Moreimprovementactivity Claritythroughtheorganizationaboutorganizationgoalsandtargets Broadagreementandalignmentintheorganization Rightontime,rightfirsttime Commitmentmade=commitmentkept.

    Last,executives shouldanticipatebetterqualityofwork life froman improved flowofworkwith

    fewer interruptions and more time for creativity and strategic thinking. When work is fully

    visualized, delegation becomes easierboth authority and responsibility become clearer. New,

    spontaneouseffortsofstaffmembershelpbalancetheworkloadacrossthewholeteam.Coaching

    and

    mentoring

    become

    more

    clear

    and

    more

    effective.

    2010QVSystem,Inc.4

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    Some executives report working fewer hours, and many feel that the hours worked are,

    professionallyandpersonally,morerewardingandsatisfying.

    Anarchitectureforenterprisewideimprovement

    ToyotaManagementSystem(TMS)isthedirectingandguidinghierarchyoverToyotasproduction,

    sales/marketinganddesignsystems. Thewheelbelowshowstheserelationships,andunfoldsone

    of the key aspects of each system element:

    coordinated phases of concept, preparation

    andexecution.

    TMS has much in common with the Toyota

    Development System (TDS)the oobeya

    architecture is only slightly modified for

    executive work. Feedback, checklist and

    checksheetprocessesareverysimilar.

    Both TMS and TDS rely on the principles of

    frontloading of activity; gathering all related

    members to create oobeya and Quickening

    Visualization;ahierarchyofthreeboardsfrom

    thecontributor to theexecutive level;and the

    meetingbehaviorssuchasreportoutapproach,

    honoringmilestones and issue processing and

    problemsolving.

    Of course, all aspects of TMS find their

    foundation intheprinciplesarticulatedinphysicalwork,theToyotaProductionSystem.ItisoneofthereasonsthatclientsmostoftenchooseTPSexperiencedmembersforinternalconsultingrolesto

    partnerwiththeexternalconsultants.

    TMS: ToyotaManagementSystem

    TDS: ToyotaDevelopmentSystem

    TotalTPS:ModernToyotaProductionSystem

    TMSS:ToyotaMarketingandSalesSystem

    Aftera reviewof the howofQuickeningVisualizationandoobeya,wewill return todiscuss the

    concept,designandexecutionphasesofToyotaManagementSystem.

    HowdoesQuickeningVisualizationwork?3

    Visual control boards in the factory, value streammaps for process improvement and Ishikawa

    fishbonediagrams forproblemsolvingaremethodsofvisualizingwhatoncewascapturedonly in

    thewritten

    word,

    often

    in

    long

    detailed

    reports.

    Bringingvisualization toproductdevelopment (orotherknowledgework, for thatmatter) isnew.

    Thevisual toolsused in theoobeya,alongwith thestructureanddiscipline required touse them

    effectivelyhaveenableda fewcompanies todramaticallyshortenprojectcycle timeand improve

    quality.

    Theword quickening isadeliberate choice. Quickmight seem likeabetterword touse.Yet

    quickeninghasadeepermeaning thansimplymakingsomethinghappen faster.Quickening,as to

    makealiveor tocausegrowthanddevelopment,addsan importantdimension to this innovative

    process.i

    2010QVSystem,Inc.5

    3 An excerpt from Quickening the Pace of New Product Development, ibid.

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    Thevisualizedprojectlives,growsanddevelopsbecauseofthepeopleandhumanrelationshipsthat

    allowittomoveforward.Thepeoplebringwidelyvaryingexperiencefromallpartsofthecompany.

    Whentheylearntoworktogetherconcurrentlyinanewway,theysolveproblemsmorequicklyand

    find better solutions. The visual tools brought together in the oobeya nurture teams and help

    individualsinteractwithrespectandcommitment.

    LinkedObjectivesthroughouttheCompany

    Seniormanagementestablishesthecorporateobjectives.Theobjectivesincludetargets,thestarting

    pointfortheR&Dmainboard4:

    C orporate

    O bjective

    R & D

    M id-term Ta rget

    S ales

    P rofit

    Tim ing

    Q uality

    C ost

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    M etrics

    D eliver

    Product

    P 1

    P 2

    P 3

    P 4

    P rocess

    C hange

    Q uality

    C oaching

    Kn ow ledge

    E tc.

    Long T ermJan F eb M ar April..A ug.N ov..D ec.

    W eekly A ction1w 2w 3w 4w/

    A ction B oa rd

    Issue B oa rd

    P roduct

    P rocess

    C hange

    P 1

    P 4

    P 2P 3

    Q ua lity

    C oaching

    P otential R e al F inish

    Know ledge

    Senior M anagem ent

    2 issues p er w eek

    2 issues pe r w eek

    Thisboard visualizes itsmidterm target,brokenout into salesand

    profit targets. Metrics important to achieving the targets are

    displayed. Making the metrics visual means that progress can beeasilytracked.

    Timing isdetermined tobethemost importantmetric forachieving

    target sales.Quality and costwillbemanaged to achieve the profit

    target.Qualitymetricsmay includenotonlydurabilityandreliability

    butalsoattractivenessandperformance.

    Visuallymonitoringthecostmetricshelpstodisplaythecostimpactof

    specificationchanges.Theimpactonthescheduleisalsoshown.

    Theactionboardshowshowactualvaluesmatchupwiththetarget.Integratedproblemsshowup

    rightaway,andcorrectiveactionwillbevisible.Theupper leveloftheactionboardshowsdelivery

    milestonesandactionitemsforeachproject(P1,P2,etc.)beingdeployed.

    Tim ing

    1 4 7 10 12

    Tim ing

    1 4 7 10 121 4 7 10 12

    M etrics

    D eliver

    Product

    P 1

    P 2

    P 3

    P 4

    Long T ermJan Feb M ar Ap ril..A ug.No v..D ec.

    D eliver

    Product

    P 1

    P 2

    P 3

    P 4

    Long T ermJan Feb M ar Ap ril..A ug.No v..D ec.

    2010QVSystem,Inc.6

    4This board structure is similar to the TMS executive board.

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    The lower levelactionboard integratesprocess improvementactivity.Process improvementsare

    thusfullyconnectedtotheexistingproject,andtheworkofsupportfunctions(quality,IT,training,

    HR)isdisplayedandmonitoredontheschedule.

    Q uality

    C ost

    1 4 7 10 12

    1 4 7 10 12

    Q uality

    C ost

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    P rocess

    C hange

    Q uality

    C oa ching

    K now ledge

    E tc.

    P rocess

    C hange

    Q uality

    C oa ching

    K now ledge

    E tc.

    The issue board is a special tool to speed up

    decisionmaking. On the issue board, the

    Potential columnallowstheteamto identifyfuture problems and proactively focus the

    project.

    Oobeya, which simply means big room in

    Japanese, is where project coordination and

    decisionmakingtakesplace.Theoobeyaisteam

    oriented,taking intoaccounttheneedsandstrengthsofthepeopleontheproject. Ithelpsteams

    visualizetheentireprojectsituation.Thedisplayboards intheroom formahighlystructured,but

    simplesystem5.

    Itstartswiththeprojectobjectives,asdefinedbythecurrentR&Dstrategyandplan.Thiscreates

    alignmentwithR&Dobjectives,whichinturn,werecarefullyalignedwithcorporateobjectivesusing

    themain

    board,

    discussed

    above.

    Project

    objectives,

    expected

    outputs,

    metrics,

    action

    plans,

    and

    reportingmechanismsbecomealignedperfectlywiththecompanysintentandmarketassessment,

    servingasaneffectivepolicydeploymentprocess.

    No functional area is left out of the product development process. Marketing, sales, design,

    engineering,manufacturingengineering,productionand logisticspeoplework intheprojectroom

    together.Thestructuredactionintheoobeyamakestheirmeetingsshortandproductive.Meetings

    dontendinpostponedissues,confusionaboutdecisions,andfrustration.

    Theoobeyaanditsvisualcontrolsallowedthechiefengineersteamonthehybridvehicleprojectto

    dramaticallycutproductdevelopmenttime,andthequicklyresolveproblems, latedesignchanges

    practicallyunnecessary.

    2010QVSystem,Inc.7

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    TheOobeyasStructure6

    The oobeya helps the design and development team visualize the entire project situation. The

    illustrationaboveshowsanexampleofaprojectroom.

    Atthecenter (1) isamodel,mockup,drawing,orsomeothervisualrepresentationoftheoutput

    theteamisresponsiblefor.Projectobjectives(2)appearinthetopleftofthefirstwall.Theytypically

    aredeterminedat the corporate

    or department level before the

    product development team is

    formed.

    To the right of the objectives is

    the expected output (3) of the

    project.Theredsquares indicate

    urgent issues.Themetricsboard(

    4) shows current project

    performance.Again, red squares

    showhot issues thatneedquick

    attention, while the green ones

    show where current targets are

    beingmet.

    Onthenextwall,(5)theconcurrentscheduleboard,oractionboard,showstheactivityofproject

    members or teams (marketing, design, engineering, production, logistics and sales, sometimes

    suppliers). Wheremilestonesmaybe introuble,redsquaresareposted.Thedecompositionboard

    (6)on the thirdwall shows subprojects from theexpectedoutputboard (3),and thehot issues

    needing attention. Different decomposition boards will be used throughout the stages of theprojectsomedominatedbystyleissues,somebycost,qualityorperformance.

    Theissueboard(7)displayscriticalproblems.Potentialrisksareidentifiedinonecolumn,andthose

    thathavebecomerealinthenext.Theboardalsoshowsthetypeofissuethatneedstobereferred

    toahigherlevelmanager.Inanygivenmeeting,nomorethantwohighpriorityissuesmaygotothe

    companyshigherlevelmainboard. Althoughvisualtoolsintheoobeyaarethemostimportantpart

    oftheprocesstomaster,companieswitha lotofexperiencewiththemmayaddcarefullychosen

    onlineprojectcontroltools(8)tosupportglobalcollaboration.

    This roomshouldbesimple tomanage.The layoutand flowof theboardsarevery important for

    efficientand

    effective

    project

    meetings.Teams

    use

    Plan

    Do

    Check

    Act

    (PDCA)

    cycles

    to

    organize

    activity,stayon schedule,andmakeadjustmentsasneeded.

    FocusedMeetings

    Weeklymeetings are conducted in the oobeya,which include the chief engineer and all project

    leaders plus important staff function representatives, andon a monthly basissenior

    management.

    2010QVSystem,Inc.8

    6 This board structure, second in the Quickening Visualization hierarchy, is similar tomanager or department boards in TMS implementations.

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    Visualizingtheprojecthelpsmeetingparticipantspointoutcurrenthot issues.Intheprojectroom

    meeting, communication becomes more focused. If A is on the agenda for the meeting, all

    membersareconcentratingonlyonAtocreateasolutionanddecideonthenextsteps.

    While in the room, someone may notice

    something missing at point B. Without

    interruptingthemeeting,heattachesasticky

    noteonthevisualizationboard.Someonesees

    the need for an additional action item and

    assignsatasktoanothermemberoftheteam

    (C).

    Theprojectcontrolroomiswherecontentious

    priorities are resolved and harmonized. In a

    multinational auto companys

    project,American, German, Swedish and

    Italian teams each advocated their own design needs. Italian team members wanted higher

    performance, Swedes stressed improved reliability and theAmerican teammembers insisted on

    lowercost. Thevisualizationprocessenabledoptimal,balancedtradeoffs.

    At themeetingwrapup, issues that can only be resolved by higherlevelmanagementmust be

    prioritized.Aswith theR&Dmainboard,nomore than two issues thatcouldnotbesolvedat the

    meetingmaybebroughttoR&Dmanagement.Althoughthereareoftenatremendousnumberof

    issues,onlythetwowiththehighestprioritycanbechosen.

    Asworkhabits change,meetingsbecome short, regular,vitalandproductive.Theyhavea rapid,

    exciting cadence. Before each meeting, project members update all charts and action items.

    Agendas are very detailed and pertinent,with strict control over time. Individual accountabilityincludesaweekly reportof thecurrentsituation,andas issuesare raised, themeetinggenerates

    cleardecisionsandagreements. Cuttingwastefrommeetingtimeisarelieftoeveryone.

    ChangesthatMakeEveryoneHappy

    Mostpeoplefeeltheyreceivetoomanyemails.Somearenotreadrightaway.Thenthesendere

    mails to ask,Did you get my email?An unwanted email may beforwarded to someone

    else,temporarilysuspendingtheobligationtoanswer.Becausetherootcauseofemailproliferation

    is a lack of clear objectives and responsibilities, the clarity achieved in the structured oobeya

    meetingsreducestheproblemgreatly.

    OobeyaandQuickeningVisualizationmakeeveryonerealisticaboutheavyworkloads. If150%ofa

    persons timewill be required,managers find it difficult to say, Work harder! Tasksmust be

    prioritizedorresourcesadded.Ifthereisacapacityproblem,itbecomesanissuetobepresentedto

    seniormanagement. People leave projectmeetings confident they can complete theirwork,not

    overwhelmedby impossibledeadlines.Managersareconfidentthatworkwillbecompletedwhen

    promised.Teamleadersareconfidentthatconcurrencywillbemaintained,sotheywontlosetime

    becauseanotherteamwasunabletodoitsworkwell.

    QuickeningVisualizationDependsonPeople

    Dontmake

    the

    mistake

    of

    viewing

    the

    oobeya

    and

    Quickening

    Visualization

    boards

    as

    methods

    or

    tools that can bring great product development results by themselves. Its the human side that

    2010QVSystem,Inc.9

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    makes the visual product development system work. The humanside approach allowed one

    automobile firm to cut leadtime by 40% in a single design cycle.It has become a competitive

    advantage.

    Inattemptstoshortenproject leadtime,traditionalmethodbasedapproaches looktosuchthings

    as new IT systems, employee training or organizational changes. Changedmethodsmay achieve

    leadtime reductionsof 1020%.In theproductsbeingdesigned, the focusmaybeon technology

    breakthroughsattheexpenseofprocessexcellence.

    Whatmanagers insuchfirmsdontrealize isthatprojectobjectivesmaybeunclearornotbroken

    down intospecific tasks.Objectivesandplansmaynotbe sharedwidelyenough.Employeesmay

    workwithouteffectivecoordination.

    Inatraditionallymanagedfirm,peopleworkingaprojectrunningpastitsduedatehavelearnedto

    expectmanagerstoorderthemtoworklongerhourstomakeuplosttime.Peopleareblamed,even

    formattersoutsidetheircontrol.Intheabsenceoftrust,fearcanmakepeoplereluctanttobringup

    problems.Managementisbasedonfearand,asDr.Demingwarned,theresultsaredisappointing.

    Thehumansideincludescloseattentiontocommunication,thebasisforknowledgemanagement.It

    fostersanatmosphereofcooperationandintellectualstimulation.

    Anopenatmosphereboth intheoobeyaandthroughoutthecompany isessential.Allpartieswill

    needhonestly toshare theircurrentsituations.With teammemberscoming fromallpartsof the

    organization, theyneed tounderstandeachothersconcernsandgoals if theyare tocome toan

    optimalresult.

    Withthehumansideapproach,anyproblemisreadilyidentified.Theteam,perhapswiththehelpof

    ahigherlevelmanager,agreesonasolution,andmovesforwardtoimplementit.Fearisreplacedbythesatisfactionofsolvingadifficultproblem.

    TheHierarchyofQuickening

    Visualization

    In no more than three hierarchical

    layers,theenterprisecanvisualizeall

    of its work. The detailed

    implementation in highly matrixed

    organizationsis

    beyond

    the

    scope

    of

    this papereven so, three and only

    threelayerswillwork.

    The glueofoobeyaandQuickening

    Visualization is a PlanDoCheckAct

    cycle,andthegraphicbelowshowsseveralmacroPDCAs. Theredarrowsandrighthandtextbox

    showthePDCAofdecisionreadyissues:

    Planwrite and escalate a decisionready issue to the next level; Domake a rapid

    managerial disposition of resources; Checkrework the issue if itsjudged unclear; and

    Actimplementthe

    decision

    to

    go

    ahead,

    or

    find

    another

    countermeasure

    to

    solve

    the

    problem.

    2010QVSystem,Inc.10

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    Managementspolicycycleislikethis(greenarrowontheleft):

    Plan policy initiatives; Docommunicate through the organization; Checkfor under

    standingandfeasibility;Actimplementandkeepupdated.

    Also: Planthreetargets(Quality,Cost,Delivery);Docommunicatethemandhelp lower

    levelboardsbreakdown themetrics for theirwork;Checkensure fairnessandaccuracy;

    andActmonitortargets,holdmilestones,helpwithcountermeasures,praiseandvaluethe

    discoveryanddispositionofproblems.

    Tackling an enterprisewide implementation requires enterprisegrade strategies. A Tstyle

    approachresultsinrapidbehaviorchangeandhabitformationfrompilotprograms,andthenrapid

    growth and culture change across

    departments and functions. Quickening

    Visualization/oobeya is the horizontal

    foundation.

    Verticalactivitiesarethe designportion

    of TMS. The following graphic,Quality

    intoProcess, shows how several deep

    processesare interrelated. Theyrelyon

    the horizontal implementation of

    Quickening Visualization/oobeya (text

    box #1, Management) to anchor,

    measureandcoordinateimprovements.

    Aneducationalcomponent(#2)isdesignedaroundtheinternalconsultancywhichwillsustainTMSover time. Internal consultantswill also ensure consistent quality of the fundamentalmeeting

    behaviorsandhabits. Theyareaculturalcoreofthenewenterprise.

    Executive education

    and development is

    also necessary to

    provide leadership and

    an orientation to the

    qualityofworklife

    improvements thatbe

    comeavailable.

    Exec

    utives have a unique

    modeling and men

    toring role in TMSto

    show people how to

    work, to help them

    begin thework and to

    praise them for their

    progressandresults.

    Thestandardization

    of

    work

    (#3)or,

    making

    routine

    and

    regular

    work

    truly

    consistent

    and

    rapid

    in

    its accomplishmentfrees up a surprising quantity of executive resource. The freed time is

    2010QVSystem,Inc.11

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    reinvested in the improvement and shaping of the new organization. So, executives welcome

    standardworkoncetheyseeitspotential.

    Qualityassuranceactivity (#4)determineshowtofittheToyotaprinciplesofdesignreview,check

    sheet,checklistandfeedbacksheetintotheenterprise. SomeQIPdesigneffortisrequiredbecause

    of differences between businessesthere is no universal form. Adaptation is required and the

    assistanceofasensei,anexperiencedexpert,isveryproductive. Inturn,theregimensarisingfrom

    theQIPeffortcanbeappliedacrossdepartmentsforsignificantimprovementintheenterprise.

    RevisitingtheOobeyaMeetinginanExecutiveSetting

    WhatkindofevidencewillexecutivesobserveintheirownorganizationsastheTstyleconceptrolls

    out? It ismeetingevidence,and the seeingandhearingof itwill reinforce theexecutives initial

    impressionsoftheproductdevelopmentoobeya.

    Members make this PDCA reportout in three minutes or less if they represent a group or a

    department. Contributorsmakethereportintwominutesorless. Thishabitiswhatwillreassure

    the executive that the enterprise is on the right track, and that improvement activities will be

    anchoredtodailyworkandrobustcountermeasures.

    UsingthelefthandorqualitativesideoftheVisualization,membersreportonthePLAN:

    Policy D eploym entC orporate

    O bjective

    R & D

    M id-term Target

    S ales

    P rofit

    Policy D eploym entC orporate

    O bjective

    R & D

    M id-term Target

    S ales

    P rofit

    S ales

    P rofit

    Tim ing

    Q uality

    C ost

    1 4 7 10 12

    1 4 7 10 12

    1 4 7 10 12

    M etrics

    S ales

    P rofit

    Tim ing

    Q uality

    C ost

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    M etrics

    PLAN

    Mytargetis

    Iamahead,or

    I am behind, and my counter

    measureis

    (Countermeasures are activities that

    preservemilestonesorkeeptargets)

    2010QVSystem,Inc.12

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    Next,membersrefertothequantitativesideoftheboard,thelongtermschedule,forDO:

    D eliver

    P roduct

    P1

    P2

    P3

    P4

    P rocess

    C hange

    Q uality

    C oaching

    K now ledge

    E tc.

    Long TermJan F eb M ar April..A ug.N ov..D ec.

    W eekly Action1w 2w 3w 4w/

    A ction B oard

    DO Since our last meeting, I have

    accomplishedtowardsthetarget.

    (Theseare

    results,

    not

    activities).

    CHECKandACTrefertotheentireboard,andgivethememberandgroupanopportunitytogain

    deeperinsightintotheircollectivework:

    Tim ing

    1 4 7 10 12

    Tim ing

    1 4 7 10 121 4 7 10 12

    M etrics

    D eliver

    Product

    P 1

    P 2

    P 3

    P 4

    Long T ermJan Feb M ar Ap ril..A ug.No v..D ec.

    D eliver

    Product

    P 1

    P 2

    P 3

    P 4

    Long T ermJan Feb M ar Ap ril..A ug.No v..D ec.

    Q uality

    C ost

    1 4 7 10 12

    1 4 7 10 12

    Q uality

    C ost

    1 4 7 10 121 4 7 10 12

    1 4 7 10 121 4 7 10 12

    P rocess

    C hange

    Q uality

    C oach ing

    K now ledge

    E tc.

    P rocess

    C hange

    Q uality

    C oach ing

    K now ledge

    E tc.

    Check Hereswhat Ihave learned(or, here is

    myAHA!)aboutourwork.

    ACT

    And, because of that learning, Heres

    whatIwillnowdo.

    Insight and action are themost vital parts of oobeya andQuickening

    Visualization, because they represent the point of the spear in

    continuousimprovement.

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    AfterallmembersdeliverthereportoutPDCA,thefinalstageofthemeetingisissueprocessing. In

    thisuniquePDCA,drivenbymanagerialleaders,membersidentifypotentialproblemsanaspectof

    frontloadingthework. Also,theyproposecountermeasurestostayontargetandonmilestone

    and this is the best use of the issue board because it focuses on the preventers of target

    achievementormilestonetimeliness.

    The issue process is also part of the glue that bindsoobeya in the Quickening Visualization

    hierarchy. Its expected that groups use internal resources to solvemost problems, and this is

    generally the case. When problems cross group boundaries, or are extraordinarily difficult, or

    require unbudgeted resources, the group can choose up to two of them permeeting cycle to

    escalatetothenexthierarchicallevel. Bypracticingdecisionreadybehaviorwhenwritinganissue,

    thegroupcanexpectrapidandcrispdecisions.

    Issue B oard

    P roduct

    P rocess

    C hange

    P 1

    P 4

    P 2P 3

    Q uality

    C oaching

    P otential R e al F inish

    K now ledge

    Escalatetwoissues

    permeetingcycle

    In conclusion, executives can observemany of the behaviors and habits developing into a new

    cultureofcontinuousimprovementbyvisitingthemeetingsofoobeyaandQuickeningVisualization.

    In this white paper, we have linked the proven product development approaches to new

    applications in theworkofexecutivesandmanagers. Forbackgrounddetail,wealso republished

    thehowandwhyofoobeya.

    Thesehumansideapproachesdependon the involvementof apassionateexecutive inahuman

    side,aggressiveenterprise. It ispossible radically to improvework throughputandmakebetter,

    faster decisions. Improvement initiatives can proceed simultaneously across the organization

    becausetheyaregroundedintargetdriven,milestonehonoringculturewhereapromisemadeisa

    promisekept.

    Executivesandtheirstaffwillexperienceahigher levelofjobsatisfactionaswell,byturningawayfrom firefightingmode toan improved flowofwork.Theenterprise candeploy itspolicieswith

    greatconfidence. Departments,teamsandindividualcontributorsbecomeadeptatbreakingdown

    the policy and attendant targets into real daily activity. And the entire enterprise can make

    significantadvancesintheagreeddirection.

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    AbouttheAuthors.

    Takashi Tanakahas implementedVisualManagement for

    morethan

    33

    Western

    corporations

    in

    Europe

    and

    North

    America. He began his career with a major Japanese

    consultancy, where he worked on oobeya

    implementations at Toyota, Canon and otherwellknown

    Japanese corporations. He was graduated with a BSME

    fromOsaka IndustrialUniversity,andholdsanMBA from

    OklahomaCityUniversity. Heisthefounderandprincipal

    consultantofQVSystem,Inc.

    Toshio

    Horikiri,CEO

    of

    Toyota

    Engineering

    Corporation

    (TEC),worked forToyotaMotorCorporation for36years.

    He served as Global Production Department, Far East

    Division General Manager; and prior to that, General

    ManagerofToyotasMotomachiplant. Hisspecialtiesare

    Total ToyotaProduction SystemandToyotaManagement

    System. He founded TEC as an independent corporate

    entity inNagoya, Japan. Hewas graduated from Kyushu

    UniversitywithadegreeinAeronauticsEngineering

    .

    Craig Flynn is CEO of QV System, Inc., his seventh

    entrepreneurial venture. He holds an MBA from The

    UniversityofRochesterSimonSchoolofBusiness.

    QVSystem,Inc.

    2190E.HenriettaRd.,Rochester,NY,USA 14623

    +15853303262

    [email protected]

    www.qvsystem.com

    www.toyotaengineering.co.jp/english/indexeng.html

    Blogwithus! http://qvsystem.wordpress.com

    2010QVSystem,Inc.15

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