Kaizen Facilitator Project Slides

<Agency/Dept.>

Lean Overview

A quick review of Lean principles, methods, and tools

2

What is Lean?

• A time-tested method and set of tools to help us improve “how” we produce our products and services.

• Lean is also a mindset, where we ask each day “How can we make our services better for customers?”

3

Lean helps us Understand:

1. What adds value to our customers2. How work gets done3. How we can identify root causes of

problems4. What an “ideal / no waste” process looks

like5. How we can improve performance 6. Whether process changes were successful

4

Lean helps Simplify our Work

• Eliminate tasks that do not add value

• Make things easy and intuitive for customers and staff

• Automate repetitive tasks

• Leverage staff talent

5

How Do We Define Value?

• Customer is willing to pay for it

• Actually transforms a product or service

• Done correctly the first time

• Consumes resources without creating value for the customer (often CYA)

• Tasks to resolve incomplete and inaccurate information (percent of the time work is complete and accurate (%CA)

• Requires extra time, effort, or resources to fix

Value-added vs. Non Value-added

6

Why Focus on Process?

7

Why Lean?

• Minnesota’s population is getting older

• Increasing customer expectations

• Pressure for greater accountability and transparency

• Tight and shrinking budgets

• Shrinking workforce and increasing need for a more skilled workforce.

8

Lean helps us improve quality, reduce costs, increase customer and employee satisfaction, & capture knowledge

Lean Example

• Meals Per Hour.mp4

9

Lean Principles

10

PDSA – The Lean Methodology

11

Following the Lean methodology ensures knowledge creation and continuous improvement

Lean Tools

• 7 Wastes • 5S • Error Proofing• Visual Management • Kaizen • Standard Work • 5 Whys• Fishbone Diagram

12

7 Wastes

1. Defects2. Overproduction3. Waiting4. Non-utilized staff talent5. Transportation6. Inventory7. Motion8. Extra processing

DOWN

TIME

13

Can You SEE the Wastes?

14

5S

1. Sort2. Set In Order3. Shine4. Standardize5. Sustain6th “S” for “Safety”

15

A simple method for creating a clean, safe, orderly, high performance work environment.

Poka Yoke – Error Proofing

16

Visual Management

A communication device that tells, at a glance, how work should be done.

•Where items belong•How many items•Standard procedure •Work in progress

There is only one place to put each item.17

Visual Management

18

Kaizen

A Kaizen event is a facilitated, rapid improvement event that engages the creativity of employees to remove waste from a process.

19

Swim Lane Map

Kaizen events use swim lane maps to document the current and future process

20

Standard Work

The safest, highest quality, and most efficient way to perform a task or process.•Focuses on helping the employee be successful •Reduces variation and increases consistency•Improvements cannot be sustained without it

21

“Where there is no standard, there can be no Kaizen.” Taiichi Ohno, Vice-President Toyota Motor Company

5 Whys

• 5 Whys is a SIMPLE and POWERFUL technique for uncovering the root cause of a problem when you lack data regarding why the problem is occurring.

• If we don’t solve problems at the level of the root cause, we risk the same problem resurfacing in the future.

22

Fishbone Diagram

• Fishbone diagram or Ishikawa

23

Kaizen Agenda

24

Our plan during the event

Kaizen “High-Level” Process

25

Kaizen Agenda – Day 1

1. Set ground rules2. Identify customer requirements 3. Define success4. Training: Process Mapping5. Map current state process6. Debrief (Plus / Delta)7. Sponsor Check-in meeting

26

Kaizen Agenda – Day 2

1. Review agenda, ground rules, and check-in report2. Complete current state map 3. Assign task and wait time and characterize

process4. Identify value added steps, wastes, & pain points5. Identify root causes of problems 6. Brainstorm ideas to improve the process7. Debrief (Plus / Delta)8. Sponsor check-in meeting

27

Kaizen Agenda – Day 3

1. Review agenda, ground rules, and check-in report

2. Evaluate and select improvements

3. Take Team photo

4. Map the future state process

5. Assign task and wait time and characterize process

6. Identify performance measures

7. Prepare an Action Plan

8. Debrief (Plus / Delta)

9. Sponsor check-in meeting28

Agenda – Day 4

1. Review agenda, ground rules, and check-in report

2. Finish up work from the prior day

3. If there is time: • Identify project risks and prepare mitigation steps• Revise forms/templates• Prepare communication plan• Implement Quick Hits

4. Prepare report out presentation

5. Deliver report out presentation

6. Celebrate!29

Post Event Work

1. Facilitator follow-up: submit documentation

2. Implement action plan, including training

3. Conduct 30, 60, 90-day status reports

4. Monitor progress and make needed adjustments

5. Document standard work

6. Sustain improvements30

Kaizen Event

31

Working our plan

Customer Requirements

• Who are process suppliers, customers and stakeholders?

• Who is/are the key customer(s)/end user(s)?

• What do they want/need/require?

32

• Is completed entirely by one person

• Is completed one at a time (no batching)

• Is completed as soon as the request is made

• Is completed without interruption

• Is completed with the information provided

• Is completed correctly

• It never returns

The "Ideal" Process

33

1. Documents the content, timing, sequence, and outcome of each process step (standard work).

2. Has simple and direct connections between process steps.

3. Involves as few steps and people as necessary.

4. Implements solutions as close to the problem as possible (in time and staff)

5. Engages the people in the process to define and solve problems and make improvements.

Implement “Lean Rules”

34

Vision of Success

If this process was exceptional, what outcomes or results would you see?

Consider:•The needs/requirements of all process customers•Prioritize the needs of end users•The “Ideal” process and Lean Rules

35

Process Mapping

Reasons, formats and steps for documenting a

process

36

What is a Process?

• Process = a series of steps/tasks to achieve a result.

37

Process Documentation Benefits

1. Staff and customer clarity on the content, timing, sequence, and outcome of each process step (i.e., standard work)

2. Staff clarity on who is responsible for each step and how long it should take to complete each step

3. Standard work makes it easy to deliver consistent services/products to customers

4. Ability to measure progress and performance

5. Easier to onboard/train new employees

6. Easier to improve service quality and efficiency! 38

Process Mapping Formats

Process documentation table• Good for capturing tasks, decisions, and process issues prior to

a process mapping session and good for documenting standard work

Spaghetti map • Good for showing physical movement of people and materials

Flow chart • Good for showing tasks and decision loops

Value stream map• Good for showing where “value” is created, highlighting

improvement opportunities, and is linearSwim lane map

• Combination of a flow chart and value stream map - good for showing who performs which tasks and when

39

Swim Lane Map

Accounting

Customer

Order Entry

Sales

Supplier

Shipping

Customer Service

Customer Calls in order.

Customer Service sends e-mail to Sales

Sales person is assigned to order and delivers paper copy of order to Order Entry

Order is now entered into the company’s data base.

An electronic order is sent to the supplier.

40Time

Swim Lane Map Key

Task

(Time)Decision?

Wait

(Time)

Handoff

Storage Location

41

Mapping Tips

42

• Every time you change lanes, there’s a handoff

• With every handoff, there is almost always a wait

• Putting information into storage requires a task and file/store denoting the storage location

• Every decision should have a task for "yes" and for "no"

• Subsequent tasks appear to the right of the prior task, unless the task occurs simultaneously (e.g., meetings)

Function

or

Position

Function

or

Position

Mapping Tips

• After you have finished mapping assign average times, or use worst and best case scenarios for each wait and each task

• 90:10 Rule - When mapping, consider what happens the majority of the time - don’t focus on the exceptions.

• Identify value added steps43

Process Documentation Questions

1. What is the purpose of the process

2. Who is/are the end-user customer(s) for the process and what are/is their needs or requirements

3. What is the first step What is the next step, etc.

4. Do you use any physical or electronic forms for the step

5. On average, how long does it take to complete the step

6. What percent of information is complete and correct

7. Where does the information go from here

44

Walk the Process

45

From the beginning…. …To the end

Characterize the process

1. What forms, tools, or systems does each step use?

2. How long does each task and wait take?

3. How many steps, waits, storage, handoffs, and decisions are there?

46

Current State

Qty. Time

Tasks

Waits

Handoffs

File/Store

Decisions

Totals

• Lead/Cycle/Elapsed Time: <# unit >• Travel distance:• Percent complete and accurate (%CA)• FTEs: <full-time equivalent staff>• Takt Time:

Process Metrics

47

• Customers served per time period

• Customer satisfaction rate• Transactions per time period: • Others?

Current State

Qty. Time

Tasks

Waits

Handoffs

File/Store

Decisions

Totals

% Change = (Current hours – Future hours)/Current hours) x 100

• [ ] % reduction in lead time • [ ] % reduction in task time

Process Data

48

Process Observations

Strengths• Where does the

process work well? • What are value-

added steps?

Weaknesses / Pain Points• Where are the 7 wastes?1. Defects2. Overproduction3. Waiting4. Non-utilized staff talent5. Transportation6. Inventory7. Motion8. Extra processing

49

Define Future State

50

What we want our process to be

Poor Information •Missing information

•Inaccurate information

•Assumptions

Barriers to the Ideal Process

Poor Information Flow• Hand-offs• Waiting• Poor sequence• Confusion on flow• Linear processing• Organizational structure• Information/Knowledge

silos51

Brainstorm Improvements

Purpose: Leverage the team’s creativity to identify improvement opportunities

Guidelines:•Defer judgment •Strive for quantity:

• No/low cost ideas• Innovative/bold ideas

•Document all unique ideas•Combine and build on ideas

52

Brainstorm Process

1. Silently record as many ideas as you can think of that will help achieve the project objective, remove process wastes, and move the process towards your vision of success (10 minutes).

2. In a round robin fashion, state one of your ideas until the facilitator has documented all unique ideas from the team

3. Remove duplicate ideas from your list once they have been documented by the facilitator

4. Ask questions and build on ideas53

Prioritize Ideas

#

# #

##

####

##

Top Recommendations

(high impact + low difficulty)

Resource Intensive

(high impact + high difficulty)

Poor Ideas

(low impact + high difficulty)

Low Hanging Fruit

(low impact + low difficulty)

#

##

Quick Hit

Quick Hit

54

What are our Quick Hits?

55

Map Future State

1. Agree on improvements

2. Create Future State Map

3. Assign time to tasks and waits

4. Characterize process (value added steps)

56

Expected Improvement

Current State Future StateQuantity Time Quantity Time

Tasks

Waits

Handoffs

File/Store

Decisions

Totals

% Change = (Current hours – Future hours)/Current hours) x 100

• <> % reduction in lead time • <> % reduction in task time

57

Develop an Action Plan

58

# Action Item (Task) Owner Timeline Status

1.

2.

3.

4.

5.

6.

7.

Establish Performance Measures

• What critical few measures will answer:• Did we achieve our goal?• How well did we do?• Is anyone better off? What was our impact?

• Use measures to:• Validate results• Inform decisions regarding adjustments• Set future targets for improvement• Communicate with stakeholders – share success

and lessons learned59

Develop Standard WorkPROCESS PROFILE

Title: Date:

Department/Office: Owner:

Process Purpose/ Description:

Ideal Process / Desired Future State

Scope: (first and last step in process)

References: (applicable federal, state and district requirements/policies/procedures)

Customers: (from SIPOC Diagram)• Customer Requirements

Suppliers: (from SIPOC Diagram)•Supplier Requirements

Tool/Equipment Requirements Templates and Forms (inputs & outputs)

Process Map/Steps Roles and Responsibilities (RACI Diagram)

Glossary Training

Performance Measures: (2-3 success indicators)

60

Share Team Recommendations

• Complete and deliver Project Report Out

61

Kaizen Report Out Presentation

Template:

http://mn.gov/admin/lean/resources/ci-t

ools

/

For More Information

62

• Minnesota Office of Continuous Improvement‒ Dept. of Administration, State of Minnesota‒ MN.gov/Lean | Lean@state.mn.us

• Mary Jo Caldwell |CI Director ‒ Office: 651.201.2560 | Mary.Jo.Caldwell@state.mn.us

• Cristine Leavitt | CI Consultant‒ Office: 651.201.2567 | Cristine.Leavitt@state.mn.us

• Cathy Beil| Improvement Data Coordinator‒ Office: 651.201.2564 | Cathryn.C.Beil@state.mn.us

• CI Users Group (MN.gov/Lean)