Transforming your organization

Hello Lean Nation,

I wanted to discuss briefly today two of the many approaches to transforming an organization. One approach involves taking a measured approach using selected value stream transformation. The other approach involves using an organization wide PDCA approach.

While the two activities are not necessarily mutually exclusive, they both have their strengths and weaknesses.

I am fascinated by the organizations that have PDCA embedded in their DNA. These organizations have managers and leaders at all levels that are intimately familiar with PDCA, and you can see the thinking in action on the key measures of human development (morale), quality, delivery, and cost. (frequently growth is the fifth measure)

The underlying question is how did they get there? Did the training begin at all levels simultaneously? Who was the leader of the process and how did everyone get trained. How is the understanding so deep?

The second approach involves identifying key value streams for the organization, performing a value stream analysis, and execute the improvement through practical kaizen training. When one value stream is transformed and is self sufficient, then the organization can move to the next value stream. What do we mean by self sufficient? Isn't that a subset of the previously discussed transformation model?

My guidance would be if you want to get the first model discussed, you might begin with the second model. Without the deep understanding of how to transform a value stream, I do not believe it is possible to train managers a level of understanding to do justice to a strategic PDCA approach.

Having been at this 25+ years, I think is is much more important to go deep than to go wide. The challenge is, "do you have the patience to go deep"? I'm not sure most organizations do.

Want to spot the one's that do have the patience? Look for the organizations that deliver year over year double digit improvement.

Lean Blessings,

Ron

Ron Bercaw
www.breakthroughhorizons.com