At GBMP’s launch of the Shingo Institute’s BUILD EXCELLENCE workshop, it occurred to me that perhaps systems thinking might be more aptly named systems rethinking. Workshop participants offered up current systems in their organizations that actually impeded continuous improvement, each time expressing frustration with the difficulty to create system change. For larger organizations with more explicit codification of systems, the task to create a change was more onerous. One class participant commented, “Our standard procedures are documented in dozens of binders – all of them covered with dust.” But even in smaller organizations, creating a new system will mean undoing a de facto process that, despite its shortcomings, feels normal.
According to the Shingo Institute, these systems are the domain of managers who should be reviewing them regularly. But, when business systems are ingrained as part of the corporate fabric, the idea of changing even one of them instills concern regarding the global effects. Will changing one system negatively impact others? Concern for unanticipated consequences will trigger risk-averse behavior. Add to that challenge the fact that existing systems may, in fact, have been authored by the same persons who are now charged with evaluating their effectiveness. When Shigeo Shingo declared that subjective inspection of one’s own work is not good practice, he might have included the work of managers along with that of front line employees. It would be better apparently for these organizations to have no systems to start their Lean journeys than to be saddled with status quo systems that evoke the wrong behaviors. So, what can be done?
According to the Shingo Institute:
First, stop basing the design of systems purely on local results. This practice creates silos and disharmony. Each part of the organization is rewarded as if it were its own company, rather than for its contribution to system goals. Speaking at a Shingo Conference many years ago, Russ Scaffede, formerly an executive at General Motors (and later at Toyota) quipped, “At GM we used to say ‘All of our divisions made money, only the corporation lost its shirt.’” That is the status quo condition for many organizations: local bogeys driven by systems that simply don’t knit together.
Second, consider the foundational principles beneath the Lean tools, or, as Shigeo Shingo noted, first ‘know-why’ before you ‘know-how.’ Many organizations parrot the tools without understanding the philosophy that makes them effective. Simply layering tools on top of a faulty philosophy also generates disharmony rather than real results. Many organizations, for example, have invested time to develop a quality system like ISO including QC tools and problem-solving methods; but employees are afraid to report problems for fear of reprisal. Shingo Principles articulate the culture that must be present to make systems work.
O.L.D.
P.S. Speaking of the 'know-why' before the 'know-how', GBMP's Lean conference is coming to Worcester MA on September 19-20. The theme for our 13th annual event - "The Integration of Culture & Tools" - will be an exploration of the value of Lean tools when embedded with a Lean culture. I know September feels like a long way off, but it'll be here before you know it. The event features four keynote presenters including Paul Akers, author of '2-Second Lean' & Brian Wellinghoff from Barry Wehmiller, plus 30+ breakout sessions and more than a dozen poster presentations for yokoten in our Community of Lean Lounge. Simply put, it's the best opportunity for Lean learning and networking with professionals just like yourself - passionate Lean practitioners. Early bird registration discount (save close to $200!) in effect through May 31. That's tomorrow folks. I hope you take advantage of the savings. But don't take my word for it. Check out the agenda at a glance, testimonials and photos from last year's event and much much more on the website and decide for yourself. I sure hope to see you in September!