tag:blogger.com,1999:blog-58657688153277167312024-03-13T22:16:46.562-04:00The Lean InsiderA blog of news, research, and trends on operational excellence and Lean enterpriseMichael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.comBlogger750125tag:blogger.com,1999:blog-5865768815327716731.post-38793344365799138592024-02-26T17:07:00.004-05:002024-02-26T17:08:28.726-05:00The Future of Manufacturing -- What are the New Core Technologies?<p><span style="font-family: arial; font-size: large;">This month, <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Philip J. Gisi</a> published his third book with Productivity Press entitled <a href="https://www.routledge.com/The-Dark-Factory-and-the-Future-of-Manufacturing-A-Guide-to-Operational/Gisi/p/book/9781032687476" target="_blank">The Dark Factory and the Future of Manufacturing: A Guide to Operational Efficiency and Competitiveness</a>. His new book provides a view into the future and direction on how to navigate the journey to a more automated, smarter, and continuously learning factory. This book consolidates the major elements of the fourth industrial revolution and describes them in clear terms within the context of integrated manufacturing. It creates awareness and a fundamental understanding of the advanced technologies that are coming together to facilitate highly automated, smarter, agile, and sustainable operations.</span></p><p><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Phil</a> this past week, I asked him: "What are some of the newer core technologies in manufacturing and how are they being used?” Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">Manufacturing is undergoing a significant transformation with the adoption of several newer core technologies such as the Industrial Internet of Things (IIoT), Artificial Intelligence (AI), Augmented Reality (AR) / Virtual Reality (VR), and Digital Twins. IIoT involves connecting machinery, sensors, and other devices to collect and exchange data. This data can be used for real-time monitoring, predictive maintenance, and improving overall efficiency. AI is being used in manufacturing for process optimization, quality control, predictive maintenance, and even autonomous decision-making. Machine learning algorithms can analyze vast amounts of data to identify patterns and make predictions to avoid unplanned equipment downtime. </span></i></p><p><i><span style="font-family: arial; font-size: large;">AR and VR technologies are being used in manufacturing for training, design visualization, and maintenance. These technologies can help improve efficiency, reduce errors, and enhance collaboration while the application of a digital twin, serving as a virtual model of a physical manufacturing asset, process, or system, can enable real-time monitoring, simulation, and optimization, leading to improved performance and reduced downtime. As I stated in my latest book, “Manufacturers must be aware of, understand, and embrace these changes to stay competitive and meet the evolving demands of customers in the modern era. This book enhances the awareness and understanding of these core technologies by explaining what they are and how they are being used in manufacturing." Clearly, these technologies are reshaping the future of manufacturing and will continue to do so as they evolve within the scope of the Fourth Industrial Revolution or Industry 4.0 for short.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Philip's</a> perspective? Are these core technologies now part of your business? If so, have they delivered the expected results?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-48832555811734951272024-01-29T12:09:00.002-05:002024-01-30T01:48:46.099-05:00Lean Six Sigma -- Its Evolving Best Practices and Issues<p><span style="font-family: arial; font-size: large;">This past December, <a href="https://www.linkedin.com/in/terra-vanzant-stern-phd-265a273/" target="_blank">Terra Vanzant Stern</a> published the third edition of <a href="https://www.routledge.com/Lean-Six-Sigma-International-Standards-and-Global-Guidelines/Vanzant-Stern-PhD/p/book/9781032502595" target="_blank">Lean Six Sigma: International Standards and Global Guidelines</a>. Lean Six Sigma (LSS) is designed to accommodate global challenges and constraints by capitalizing on Six Sigma and Lean Thinking, and her book assumes that the overall goal of operational excellence is to ensure that organizational tasks and activities are being performed to the best of their process capabilities. It defines continuous improvement as activities that support and empower environments to make flexible decisions that lead to ongoing improvement and effectiveness. It covers new global LSS standards, international implementation of process improvement programs, new international LSS applications, and international LSS areas of competency.</span></p><p><span style="font-family: arial; font-size: large;">When I spoke with Terra this month, I asked her: "What important updates are covered in this <a href="https://www.routledge.com/Lean-Six-Sigma-International-Standards-and-Global-Guidelines/Vanzant-Stern-PhD/p/book/9781032502595" target="_blank">third edition</a> of your book?” Here is her complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">The updates included in this edition are crucial because I have taken Lean Six Sigma to new heights, incorporating cutting-edge updates and advancements that will leave you captivated. With a focus on enhancing change management and data governance programs, this edition is a game-changer for organizations seeking to optimize their processes and drive sustainable growth.</span></i></p><p><i><span style="font-family: arial; font-size: large;">What sets this edition apart is its ability to seamlessly integrate process improvement methodologies with change management and data governance. We understand that these three pillars are essential for organizations to thrive in the current dynamic business landscape. By leveraging Lean Six Sigma principles, you can streamline your processes, drive efficiency, and achieve remarkable results.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Imagine a world where every process is optimized, every change is seamlessly implemented, and every data point is governed with precision. This vision becomes a reality with the help of the latest edition of this book. I have meticulously crafted a framework that empowers organizations to achieve operational excellence while ensuring compliance and data integrity.</span></i></p><p><i><span style="font-family: arial; font-size: large;">But what truly makes this edition intriguing is the transformative power it holds. By embracing Lean Six Sigma, organizations can unlock their full potential and drive a culture of continuous improvement. From reducing waste and defects to enhancing customer satisfaction, the possibilities are endless.</span></i></p><p><i><span style="font-family: arial; font-size: large;">With this third edition of the book, you surely discover how Lean Six Sigma can revolutionize your organization's process improvement, change management, and data governance programs. Embrace the power of Lean Six Sigma and unlock a world of endless possibilities.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The new edition of this book assists you as you embark on a journey toward operational excellence, enhanced change management, and impeccable data governance. It's time to revolutionize the way you do business.</span></i></p><p><span style="font-family: arial; font-size: large;">What are your experiences with Lean Six Sigma initiatives? What issues and aspects do you feel should be incorporated as organizations change and evolve?</span></p><p><i><br /></i></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-9721093584603173462023-12-19T11:35:00.002-05:002024-01-25T13:35:02.780-05:00"Green" Workspaces = Healthier Workspaces!<p><span style="font-family: arial; font-size: large;">Just this month, <a href="https://www.steviefamulari.net/about-stevie-famulari-llc/" target="_blank">Steve Famulari</a> published an important new book entitled <a href="https://www.routledge.com/Ways-of-Greening-Using-Plants-and-Gardens-for-Healthy-Work-and-Living-Surroundings/Famulari/p/book/9781032391540" target="_blank">Ways of Greening: Using Plants and Gardens for Healthy Work and Living Surroundings</a>. This book focuses on rethinking working and living spaces and understanding how "greening" can make them healthier and their occupants happier. It teaches how to see unique ideas for spaces and some of the materials needed to create the designs. In addition, it gives readers a way to not only understand greening but to understand how to see greening applied to their place. </span></p><p><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://www.steviefamulari.net/about-stevie-famulari-llc/" target="_blank">Stevie</a> this month, I asked her: "What are some of the ways in which ‘greening’ makes working spaces healthier?" Here is her complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">Work spaces as well as home spaces are where people spend much of their time. These are spaces where people need healthy surroundings to be inspired, be safe, be creative, grow, and move forward toward their dreams and goals. Greening these spaces can help people in this. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Having a space with at least 10% of the surface space of the room with living thriving plants improves air quality allowing people to be healthier with each breath. There are also studies that have found that being in green spaces improves people’s memory while studying, improves productivity, reduces the amount of time for people to heal, and reduces stress.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Be creative in designing your workspace and allow it to change over time as the interior garden grows and responds to the light and objects in the space. You can design your own green wall to fit your space which includes plants with colors, shapes, and scents that you enjoy. Using scented plants such as lavender or mint can enhance your space. Some scents such as lavender are helpful for relaxing, while others such as mint are helpful for reducing headaches. Scents have a close correlation with memory. A scent can help people recall a memory from their recent past or from a distant past. Using plants with scents while studying or preparing for presentations, and then having the same scent at the presentation can help people recall what they studied or researched for presentations.</span></i></p><p><i><span style="font-family: arial; font-size: large;">By creating designs that are unique to the space, using green walls, and having plants that have bloomed randomly throughout the year, the site you create with your unique living garden changes and grows with colors and forms daily. Seeing change and growth happen naturally on a daily basis in green office surroundings encourages people to accept change in their lives with more ease and grace.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.steviefamulari.net/about-stevie-famulari-llc/" target="_blank">Stevie Famulari's</a> perspective on how "greening" affects workspaces and their occupants? Has your company incorporated these types of improvements in their office locations? How have employees reacted?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-14560361620422621372023-11-27T12:09:00.000-05:002023-11-27T12:09:01.855-05:00The Evolution of Product Development -- Has Lean Adjusted?<p><span style="font-family: arial; font-size: large;">In October, <a href="https://www.thalesgroup.com/en/speakers-bureau/cecile-roche" target="_blank">Cécile Roche </a>and <a href="https://www.linkedin.com/in/luc-delamotte-0a945429/?originalSubdomain=fr" target="_blank">Luc Delamotte</a> published a book entitled <a href="https://www.routledge.com/The-Lean-Engineering-Travel-Guide-The-Best-Itineraries-for-Developing-New/Roche-Delamotte/p/book/9781032464947" target="_blank">The Lean Engineering Travel Guide: The Best Itineraries for Developing New Products and Satisfying Customers</a>. This book explains many Lean Engineering practices in some detail and the best itineraries to develop better products, discussing the underlying intentions and offering advice for implementation. It includes numerous concrete cases that illustrate this part with case material drawn from the authors’ own experiences. In addition, there is a brief guide to where and how to get started. </span></p><p><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://www.thalesgroup.com/en/speakers-bureau/cecile-roche" target="_blank">Cécile </a>this month, I asked her: "How has Lean adjusted as product development evolves?" Here is her complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">The power of the Lean approach is that it is based on two strong convictions. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The first is that a company will succeed if it really takes care of the customers, and therefore offers products that will solve their real problems - Do the right thing!</span></i></p><p><i><span style="font-family: arial; font-size: large;">The second is that the company will make money thanks to the ingenuity of its employees, which must be encouraged by the existence of organized thinking spaces. </span></i></p><p><i><span style="font-family: arial; font-size: large;">By doing this, you avoid the biggest wastes imaginable: products that don't sell, products that you don't know how to produce, maintain, or recycle at the right cost, and all the rework caused by poor choices - Do the right thing, then do it right!</span></i></p><p><i><span style="font-family: arial; font-size: large;">The practices and tools of Lean are all geared towards answering this question: what are we doing to give our staff the means to understand customers properly, and the means to identify the waste caused by our misconceptions? This constant questioning, which always begins with "Do we know what we don't know?” is the best way of ensuring that we are constantly adapting to change.</span></i></p><p><i><span style="font-family: arial; font-size: large;">To encourage this questioning, we must set up a system that can very quickly identify the gaps, knowledge gaps, and trade-offs that need to give rise to creative discussions and train people to solve problems using appropriate methods. It is the Lean system.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Lean is a dynamic approach. It's not about freezing practices in procedures that are excellent one day but already unsuitable the next, but about regularly questioning all changes (in the context, of technology, resources, skills, etc.) to assess their impact. This is what we call the Kaizen spirit. As Allen Ward said, "Instead of learning to surf, conventional organizations try to control the waves! This almost never works."</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.thalesgroup.com/en/speakers-bureau/cecile-roche" target="_blank">Cécile Roche's </a>thoughts on Lean methodology? Do you feel that Lean continues to benefit the changing face of product development? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-68319256260305372972023-10-27T10:08:00.000-04:002023-10-27T10:08:07.352-04:00Managing Process Downtime -- What Are the Biggest Mistakes?<p><span style="font-family: arial; font-size: large;">In September, <a href="https://www.linkedin.com/in/michael-beauregard-45185345/" target="_blank">Michael Beauregard</a> published a book entitled <a href="https://www.routledge.com/Process-Downtime-Reduction-How-to-Minimize-Waste-from-Breakdowns-Set-Ups/Beauregard/p/book/9781032445489" target="_blank">Process Downtime Reduction: How to Minimize Waste from Breakdowns, Set-Ups, Supply Chain Issues, and Staffing Constraints</a>. This book <span style="background-color: white; color: #212529; text-align: justify;">provides manufacturers the techniques they crucially need to keep their critical manufacturing equipment running correctly and efficiently – which increases production, decreases labor costs, decreases breakdown costs, and ultimately increases the bottom line.</span><span style="background-color: white; color: #212529; text-align: justify;"> </span></span></p><p><span style="font-size: large;"><span style="font-family: arial;"><span style="background-color: white; color: #212529; text-align: justify;">When I spoke with <a href="https://www.linkedin.com/in/michael-beauregard-45185345/" target="_blank">Michael</a> this month, I asked him: </span></span><span style="color: #212529; font-family: arial;">“What are some of the biggest mistakes manufacturers make while trying to manage process downtime?” Here is his complete answer:</span></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>That is an excellent question. </i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>I think the biggest mistake manufacturers make with managing process downtime is that they don’t manage it – instead, they learn to live with it. They make longer runs so that they can amortize the cost of that long product changeover over more parts. They get the order out by working overtime at the end of the month. They buy more equipment than they actually need. Manufacturers are smart – they learn to adapt to survive, but often those adaptations are the fastest way to solve the problem now and not the most efficient. </i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>Another big mistake is not measuring downtime and where it occurs. As I wrote in<a href="https://www.routledge.com/Process-Downtime-Reduction-How-to-Minimize-Waste-from-Breakdowns-Set-Ups/Beauregard/p/book/9781032445489" target="_blank"> </a></i><a href="https://www.routledge.com/Process-Downtime-Reduction-How-to-Minimize-Waste-from-Breakdowns-Set-Ups/Beauregard/p/book/9781032445489" target="_blank">Process Downtime Reduction</a><i>, “Show me the data!” Many companies cannot. They have anecdotal evidence of their downtime. It takes about two hours to complete a changeover. They remember they ran out of bottles once two years ago so they are focusing tremendous efforts and costs to manage inventory at high levels when the numbers actually show that labor is their biggest downtime cause. They do not make a systematic effort to understand the downtime and where it occurs so they attack where they perceive the downtime problems to be and not the issues that cause the greatest amount of downtime. </i></span></p><p><i><span style="color: #212529; font-family: arial; font-size: large;"></span></i></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>And a third big area is not getting the whole workforce involved. Well, maybe “involved” is the wrong word. They fail to change the culture of the workforce to be looking for wastes in the operation. They load and unload parts without thinking that the machine could have been co-extruding 10 minutes earlier if they hadn’t waited until the core had run out to notify the material handler that another roll of core was needed. </i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;">Do you agree with <a href="https://www.linkedin.com/in/michael-beauregard-45185345/" target="_blank">Michael's</a> thoughts here? How does process downtime affect your organization? What do you do to manage it?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-11332623996208041512023-09-27T08:36:00.000-04:002023-09-27T08:36:03.382-04:00The Toyota Production System -- A Humanitarian Economic System?<p style="text-align: justify;"><span style="font-family: arial; font-size: large;">In August, <a href="https://www.linkedin.com/in/olivierlarue/" target="_blank">Olivier Larue</a> publsihed a book entitled <a href="https://www.routledge.com/The-Toyota-Economic-System-How-Leaders-Create-True-Prosperity-Through-Financial/Larue/p/book/9781032391526" target="_blank">The Toyota Economic System: How Leaders Create True Prosperity Through Financial Congruency, Dignity of Work, and Environmental Stewardship</a>, which analyzes the purpose and relationship between the different elements of the Toyota Production System (TPS) and how they add up to an economic system rather than just a production system that brings engineering and managerial solutions to businesses. It argues how TPS can be viewed as a science as opposed to a tool-based technique.<span face="open sans, Helvetica, Arial, sans-serif" style="color: #212529;"><span style="background-color: white;"> </span></span></span></p><p style="text-align: justify;"><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://www.linkedin.com/in/olivierlarue/" target="_blank">Olivier</a> this month, I asked him, "Why do you believe that the various components of the Toyota Production System (TPS) constitute a humanitarian economic system rather than just a production system?" Here is his complete response:</span></p><p><i><span style="font-family: arial; font-size: large;">Many people associate societal economic progress with the creation of goods. However, from the era of craftsmanship to the advent of mass production, the way we organize work also plays a pivotal role in enhancing living standards.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The Toyota Production System represents the most recent methodology in this realm and possesses the potential to become the third and most advanced production system. It comprises three distinctive elements: the better-known technical element, which focuses on eliminating unevenness, waste, and overburden; the familiar managerial element, which prioritizes human safety and development; and the lesser-known philosophical element, which serves as the guiding principle for both the technical and managerial elements. When all three elements are simultaneously implemented, the benefits derived from adopting TPS are not confined to a company's gains alone. Instead, as with previous production systems, these benefits extend to the broader spectrum of our society. However, this is particularly pronounced with TPS because it is not primarily the result of technological advancements, as was the case with mass production systems. TPS also emerges from the application of human principles guided by a distinct philosophical concept of efficiency that markedly deviates from the efficiency favored by the mass production system.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Rather than fixating on a singular notion of efficiency—individual efficiency—with the belief that it will yield the optimal level of efficiency for all, TPS centers around total and true efficiency through the elimination of waste to remove the trade-offs inherent in optimization. Total efficiency entails resolving issues that hinder all factors or actors from attaining their full benefits. True efficiency entails eliminating costs rather than transferring them elsewhere. Eliminating waste entails increasing the ratio of value-added activity in work. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The principle of total and true efficiencies through the elimination of waste is not confined to the shop floor, where TPS originated. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>The principle of total efficiency doesn’t stop at a particular line, process, or piece of equipment which should not be boosted independently from the efficiency of preceding or subsequent processes. Total efficiency extends to the broader realm of efficiency management. For instance, it applies in the boardroom, where the pursuit of profit should not come at the expense of cash flow. Profit is undoubtedly essential for competitiveness, but it is equally crucial and substantially more efficient to achieve sufficient cash flow from operations to meet financial obligations promptly. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>The principle of true efficiency is not restricted to the shop floor either, where the aim is to use the minimum number of workers, equipment, and materials required to produce only what is needed. True efficiency also implies not trading one self-worth in the workplace for better comfort at home, or raising the living standards of people in the present at the expense of the future when payments are due later. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>The principle of eliminating waste is not limited to increasing the portion of value-added activity in the work, reducing unevenness and overburden to reduce cost but it also extends to reducing the environmental footprint as a result of all activities, value-added or not. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Together, the philosophies of total and true efficiencies through the elimination of unevenness, waste, and overburden extend to all the stakeholders of society that contribute to a firm's success. This includes customers, employees, and the ecological environment of our planet. Each benefit supports the other as opposed to itself individually regardless of the cost to others. When all parts of the system reap their full benefits without incurring future costs, it coalesces into an economically humanitarian system. It contrasts with a more primitive economic system based on competition where losers are necessary in order to have winners. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Of course, this call for a specific course of action necessitates problem-solving, and the unattainable remains beyond our reach. However, what is attainable is not always accomplished unless guided by economic humanitarian principles. As Pastor Tim Keller reminds us of what the critical philosopher Jurgen Habermas said “Science might tell us what is, but it doesn’t tell us what ought to be.” Today, The Toyota Production System offers possibilities beyond what a company can gain from adopting it. It presents an opportunity to eliminate socio-economic and environmental contradictions that have historically compelled economic trade-offs. </span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/olivierlarue/" target="_blank">Olivier's</a> thoughts regarding the far-reaching effects of the Toyota Production System? Do you feel TPS can be an "economically humanitarian system"?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-465223004452677222023-08-28T13:28:00.001-04:002023-08-29T10:38:41.496-04:00Human-Centered Design (HCD) -- Does It Benefit the Agile Process?<p><span style="font-family: arial; font-size: large;">Just this month, <a href="https://www.linkedin.com/in/joemontalbano/" target="_blank">Joe Montalbano</a> and <a href="https://www.linkedin.com/in/brad-lehman-hca/" target="_blank">Brad Lehman</a> published a pioneering new book entitled, <a href="https://www.routledge.com/Human-Centered-Agile-A-Unified-Approach-for-Better-Outcomes/Montalbano-Lehman/p/book/9781032036892" target="_blank">Human-Centered Agile: A Unified Approach for Better Outcomes</a>, which functions as a guide on how to apply Human-Centered Design (HCD) practices to an Agile product development model that is used widely throughout industry and government, where it is applied primarily to software and technology development efforts. This has been an ongoing industry challenge due to the fact that HCD prioritizes time spent understanding the problems to be solved (time spent in the problem space), while Agile prioritizes a fast hypothesize-and-deliver model (time spent in the solution space). </span></p><p><span style="font-family: arial; font-size: large;">I spoke with <a href="https://www.linkedin.com/in/joemontalbano/" target="_blank">Joe</a> and <a href="https://www.linkedin.com/in/brad-lehman-hca/" target="_blank">Brad</a> this past week and asked them: “How does Human-Centered Design (HCD) benefit the Agile process?” Here is their complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">Is there any more overloaded and misused term than MVP? Theoretically, in Agile the MVP is a vehicle to test a hypothesis using lightweight code until value is proven. Teams can pivot. Teams can iterate. Teams get actionable feedback with every release and can be responsive.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The real world isn’t always like that. Not every team can pivot. Not every release is lightweight. Not every failure is graciously accepted as a learning opportunity. Oh, and did we mention that production-quality code can be expensive and time consuming?</span></i></p><p><i><span style="font-family: arial; font-size: large;">Bringing HCD into an Agile delivery workflow gives teams a chance to do their learning earlier in the process and do it less expensively. It lets teams explore multiple solutions and mitigate risks by making informed decisions based on what their customers actually want, not just what an executive hopes they want.</span></i></p><p><i><span style="font-family: arial; font-size: large;">So, what does Human-Centered Agile provide?</span></i></p><p><i><span style="font-family: arial; font-size: large;"><b>Earlier learning</b> — Discovery lets teams identify real customer needs, and validate the problems they are going to spend money solving. Concept Validation with lightweight, disposable prototypes and mock-ups (paper drawings, wireframes, etc.) allows teams to test and refine their solution concepts with users before the first delivery, shifting learning left.</span></i></p><p><i><span style="font-family: arial; font-size: large;"><b>Cheaper learning</b> — The cost of engaging with users for Discovery and Concept Validation is far less expensive than it is to write some production-quality code and then release it to get feedback. </span></i></p><p><i><span style="font-family: arial; font-size: large;"><b>Lower risks</b> — The costs of building a product are not the only risk a team takes when launching a product. Releasing products that frustrate customers can harm their relationship to the product, whether they are first-time customers trying it for the first time, or experienced users looking for improvements. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Unfortunately, too many teams and programs think that HCD and Agile are simply incompatible. They aren’t! We wanted to show everyone that they are actually well-aligned in purpose, and can be done together with some adaptation. This requires a change in mindset, but neither the change in thinking nor change in work practices are as dramatic as you might think.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of Human-Centered Design? Have you used HCD within your Agile process and workflow?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-12150135553787670022023-07-26T14:39:00.000-04:002023-07-26T14:39:21.198-04:00Should US Manufacturers Relocate Factories and Production Back to the USA?<p><span style="font-family: arial; font-size: large;">In June of this year, <a href="https://www.linkedin.com/in/williamalevinson/" target="_blank">William A. Levinson</a> published a book entitled <a href="https://www.routledge.com/Reshore-Production-Now-How-to-Rebuild-Manufacturing-and-Restore-High-Wages/Levinson/p/book/9781032445397" target="_blank">Reshore Production Now: How to Rebuild Manufacturing and Restore High Wages, High Profits, and National Prosperity in the USA</a>. The author contends that a manufacturing resurgence in the United States will not only increase the standard of living enormously but generate taxable economic activity that will help pay down rather than increase the Federal debt. Higher productivity also delivers a greater supply of goods to accompany higher wages and thus works against inflation. This can prevent looming recessions and disruptions.</span></p><p><span style="font-family: arial; font-size: large;">I had a chance to speak with <a href="https://www.linkedin.com/in/williamalevinson/" target="_blank">William</a> this month, and during our conversation, I had the chance to ask him two crucial questions. I'm posting them here with William's answers following the questions:</span></p><p><span style="font-family: arial; font-size: large;"><br /></span></p><p><b><span style="font-family: arial; font-size: large;">What aspects of reshoring do manufacturers not fully understand? </span></b></p><p><i><span style="font-family: arial; font-size: large;">Accounting metrics often ignore the total cost of purchase or ownership of a product or service, and focus instead on only the immediate price. Harrington Emerson's Twelve Principles of Efficiency depicted the latter as near common sense, or focus on only the immediate bottom line, in contrast to supernal common sense which seeks to account for all costs. These include but are not limited to the carriage of inventory—one of the Toyota production system's Seven Wastes—in transit, the incompatibility of container ship-sized quantities with just-in-time production systems, the additional lead time associated with transportation, the fact that inventory gives defects a place to hide and additional exposure to force majeure supply chain interruptions. An earthquake that idles a vital offshore supplier factory, a ship that gets stuck in the Suez Canal, or a strike by longshore workers can all paralyze a supply chain. While domestic supply chains also are vulnerable to force majeure, they are also a lot shorter so there is much less exposure.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Many manufacturers and also retailers are also dependent on products from the People's Republic of China (PRC), whose recent activities have proven it to be a dangerous, untrustworthy, and unreliable supply chain partner. The PRC has a long track record of selling us counterfeit semiconductor devices, substandard active pharmaceutical intermediates (APIs), contaminated heparin, melamine-tainted foods, and most recently counterfeit N95 respirators that may have exposed their users to Covid-19. Cheap becomes expensive for domestic sellers who find themselves at the wrong ends of product liability lawsuits because their offshore suppliers, who are often beyond the reach of our judicial systems, cut corners. The PRC also threatened to cut off supplies of vital products, including medications needed to treat Covid-19, and it is now openly threatening nearby countries like Japan, Taiwan (a major exporter of semiconductors), and Australia with military force. The United States was able to respond quickly to wartime losses of access to, for example, natural rubber during the Second World War and we ought to be up to the job of making ourselves independent of the PRC today. </span></i></p><p><i><span style="font-family: arial; font-size: large;"><br /></span></i></p><p><b><span style="font-family: arial; font-size: large;">Why are many company leaders reticent to rebuild manufacturing in the US?</span></b></p><p><span style="font-family: arial; font-size: large;"><i>The dysfunctional focus on labor costs drove the exportation of valuable American manufacturing jobs even though American industrial pioneers like Frederick Winslow Taylor, Harrington Emerson, and Henry Ford proved with real-world results that wages become largely irrelevant if management makes the job sufficiently productive. Emerson's </i><a href="https://www.amazon.com/Twelve-Principles-Efficiency-Harrington-Emerson-ebook/dp/B00I5UEJ5E/" target="_blank">Twelve Principles of Efficiency</a><i> suggests that the idea of a contest of efficiency against inefficiency originated in Prussia where Helmuth von Moltke had to "do more with less" against France in 1870, as France had more soldiers, better rifles, and a superior economy. Japan adopted these principles and used them to win wars against China and Russia, both of whose populations outnumbered them. Japan applied the same organizational principles to its industries, and to the effect that American industrialists were alarmed at the prospect of having to compete against them. Americans such as Taylor, Ford, and Frank Bunker Gilbreth—who cited explicitly the application of military motion efficiency principles to civilian occupations—responded with what we now call lean manufacturing as later adopted by Toyota.</i></span></p><p><i><span style="font-family: arial; font-size: large;">The dysfunctional focus on labor costs drove the exportation of valuable American manufacturing jobs even though American industrial pioneers like Frederick Winslow Taylor, Harrington Emerson, and Henry Ford proved with real-world results that wages become largely irrelevant if management makes the job sufficiently productive. Emerson's Twelve Principles of Efficiency suggests that the idea of a contest of efficiency against inefficiency originated in Prussia where Helmuth von Moltke had to "do more with less" against France in 1870, as France had more soldiers and a superior economy. The Japanese adopted these principles and used them to win wars against China and Russia, both of whose populations outnumbered them. Japan applied the same organizational principles to its industries, and to the effect that American industrialists were alarmed at the prospect of having to compete against them. Americans such as Taylor, Ford, and Frank Bunker Gilbreth—who cited explicitly the application of military motion efficiency principles to civilian occupations—responded with what we now call lean manufacturing as later adopted by Toyota.</span></i></p><p><span style="font-family: arial; font-size: large;"><i>Emerson, Taylor, Ford, and others also pointed out the short-sightedness of choosing cheap labor over efficiency. Ford's </i><a href="https://www.amazon.com/Expanded-Annotated-Life-Work-World-Class-ebook/dp/B00CC3V2XW/" target="_blank">My Life and Work</a><i> urges executives, "to overcome by management what other people try to overcome by wage reduction." Emerson's </i><a href="https://www.amazon.com/Twelve-Principles-Efficiency-Harrington-Emerson-ebook/dp/B00I5UEJ5E/" target="_blank">Twelve Principles of Efficiency</a><i> adds, "It is unfortunate that the employer shies at the suggestion of a 10 percent advance and pays scant if any attention to a 50 percent inefficiency, two-thirds of which is his own fault." Taylor's </i><a href="https://www.amazon.com/Principles-Scientific-Management-Biographical-Introduction-ebook/dp/B0030F2SB6/" target="_blank">Principles of Scientific Efficiency</a><i> talked about the need to hire "high-priced men"—we would say high-priced workers today—who would follow instructions such as those typical of what we now call standard work. Taylor and Ford both added that, when workers realize that the benefits of productivity improvements will show up in their pay envelopes, they will look for ways to make their jobs more efficient. When employers pay as little as possible, the workforce will respond accordingly by doing only what it is told, and probably only when a supervisor is watching. Low wages also give management little incentive to, as Ford put it, "put more brains into the business" to make the jobs sufficiently productive to pay high wages. </i></span></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/williamalevinson/" target="_blank">Willam A. Levinson's</a> perspective on manufacturing in the USA? Do you think manufacturers can be more profitable in the long run by relocating factories and production back to the USA?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-41034472040388234962023-06-27T10:14:00.001-04:002023-06-27T10:14:56.153-04:00The Coaching Manager -- Toyota Kata and Scientific Thinking<p><span style="font-family: arial; font-size: large;">Just this month, <a href="https://www.tiloschwarz.com/" target="_blank">Tilo Schwarz</a> and <a href="http://www.likerleanadvisors.com/staff/jeffrey-liker/" target="_blank">Jeffrey K. Liker</a> published a new book entitled <a href="https://www.routledge.com/Giving-Wings-to-Her-Team-A-Novel-About-Learning-to-Coach-the-Toyota-Kata/Schwarz-Liker/p/book/9780367362287" target="_blank">Giving Wings to Her Team: A Novel About Learning to Coach the Toyota Kata Way</a>, which presents a story about the benefits of becoming a coaching manager and how to get there. We follow the fictional character, named Denise, on a journey of discovery and skill development, as she moves beyond the tools and concepts of Lean and focuses on daily practice that helps her supervisors achieve their goals. It's about the Toyota Kata approach, which helps anyone develop and apply scientific thinking -- an exploratory mindset of curiosity and experimentation.</span></p><p><span style="font-family: arial; font-size: large;">When I recently spoke with <a href="https://www.tiloschwarz.com/" target="_blank">Tilo</a> and <a href="http://www.likerleanadvisors.com/staff/jeffrey-liker/" target="_blank">Jeff</a>, I had the chance to ask them some questions specific to the concepts discussed in their current book, and how those concepts apply to daily work.</span></p><p><b><span style="font-family: arial; font-size: large;">Question 1: What are the benefits of becoming a coaching manager?</span></b></p><p><i><span style="font-family: arial; font-size: large;">In general terms, a coach teaches, watches the student, gives appropriate feedback, and assigns drills to learn specific skills. You can coach anyone on any skill. In <a href="https://www.routledge.com/Giving-Wings-to-Her-Team-A-Novel-About-Learning-to-Coach-the-Toyota-Kata/Schwarz-Liker/p/book/9780367362287" target="_blank">Giving Wings to Her Team</a>, the central character Denise learns a specific type of coaching for a particular skill set -- scientific thinking.</span></i></p><p><i><span style="font-family: arial; font-size: large;">We often think that to navigate today’s complex challenges we need decisive leaders with a clear roadmap that they rigorously implement. In reality, the more complex the challenge the less a roadmap will be helpful. Instead, we need adaptive problem-solving, testing ideas rapidly, and learning our way to goals. In Toyota Kata, this way is called scientific thinking—focus on facts, formulate hypotheses, test ideas instead of making assumptions, reflect, and learn.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Toyota Kata teaches a coaching approach that enables your team to become increasingly adaptive, innovative, and resilient – fostering a culture of continuous learning and improvement, so your team can meet their current challenges and be ready for more.</span></i></p><p><b><span style="font-family: arial; font-size: large;">Question 2: How does Toyota Kata help you to become a coaching manager?</span></b></p><p><i><span style="font-family: arial; font-size: large;">The term “kata” is used in Japanese martial arts and are the small skills the black belt teaches and then the student practices repeatedly, with feedback, until doing it the right way becomes a habit. Michael Jordan put it nicely: “You can practice shooting eight hours a day, but if your technique is wrong, then all you become is very good at shooting the wrong way.” </span></i></p><p><i><span style="font-family: arial; font-size: large;">In the <a href="https://www.amazon.com/Giving-Wings-Her-Team-Learning/dp/0367362287/" target="_blank">novel</a>, Denise faces the biggest challenges of her life as a manufacturing manager and is fortunate to get coaching help from Maggie who runs the local gym. Maggie has studied and used Toyota Kata in her gym. She helps Denise learn to work with her team to set big challenges they can relate to, study the current condition, set short-term target conditions, and then experiment toward these targets. Denise struggles at first, but through practice, and Maggie’s coaching, she gets better and better at giving wings to her team. </span></i></p><p><i><span style="font-family: arial; font-size: large;">You can learn along with Denise how to become a coach of scientific thinking and by coaching your team to achieve goals that at first seem impossible. In this <a href="https://www.routledge.com/Giving-Wings-to-Her-Team-A-Novel-About-Learning-to-Coach-the-Toyota-Kata/Schwarz-Liker/p/book/9780367362287" target="_blank">book</a>, we go beyond laundry lists of coaching best practices and demonstrate how to develop actual skills in yourself and your team. </span></i></p><p><i><span style="font-family: arial; font-size: large;">We hope our <a href="https://www.amazon.com/Giving-Wings-Her-Team-Learning/dp/0367362287/" target="_blank">novel</a> will help you start a learning journey of your own.</span></i></p><p><i><span style="font-family: arial; font-size: large;"><br /></span></i></p><p><span style="font-family: arial; font-size: large;">What are your experiences with Toyota Kata? Have you applied it in your organization? How has it benefited your managers and teams? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-77244799122515954072023-05-26T09:53:00.000-04:002023-05-26T09:53:06.454-04:00Shop Floor Management -- What Are the Future Trends?<p><span style="font-family: arial; font-size: large;">Earlier this year, <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Philip Gisi</a> published a book entitled <a href="https://www.routledge.com/Fundamentals-of-Daily-Shop-Floor-Management-A-Guide-for-Manufacturing-Optimization/Gisi/p/book/9781032370545" target="_blank">Fundamentals of Daily Shop Floor Management: A Guide for Manufacturing Optimization and Excellence</a>, which explores<span style="background-color: white;"> the fundamental elements, management practices, improvement methods, and future direction of shop floor management. </span></span></p><p><span style="font-size: large;"><span style="font-family: arial;"><span style="background-color: white;">During a conversation with <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Philip</a> this past month, I asked him: "</span></span><span style="font-family: arial;">What has changed regarding shop floor management? What is the current direction?” Here is his complete response:</span></span></p><p><span style="font-family: arial; font-size: large;"><i>The discipline of shop floor management has undergone significant changes in recent years due to advancements in technology and changes in industry practices. With the advent of automation and robotics, the shop floor has become more efficient and productive. Robots can perform repetitive tasks with a high degree of accuracy, speed, and reliability, which can help reduce production costs and improve product quality. Automation has also led to the integration of real-time data collection and analysis, enabling better decision-making. As I stated in <a href="https://www.routledge.com/Fundamentals-of-Daily-Shop-Floor-Management-A-Guide-for-Manufacturing-Optimization/Gisi/p/book/9781032370545" target="_blank">my book</a>, companies working toward excellence “can’t lose sight of the fundamental activities necessary to preserve what they have already achieved. This is the role of Daily Shop Floor Management (DSFM); to maintain operational performance while realizing and sustaining productivity improvements on the never-ending journey of operational excellence." </i></span></p><p><span style="font-family: arial; font-size: large;"><i>The current direction of daily shop floor management is towards greater efficiency and productivity through the use of technology and data-driven decision-making. One of the key trends in this area is the use of real-time data analytics to monitor and optimize shop floor performance. By collecting data from various sensors and systems on the shop floor, manufacturers can gain insights into how their processes are performing in real time. This allows them to quickly identify and address any issues that may arise, as well as optimize their processes to improve efficiency and quality.</i></span></p><p><span style="font-family: arial; font-size: large;"><i>Another trend in daily shop floor management is the use of mobile devices and cloud-based applications to enable better communication and collaboration between shop floor personnel and management. This allows for more effective and timely decision-making, as well as improved coordination between different departments and teams. In essence, the goal of daily shop floor management is to continuously improve operations and drive greater value for customers, shareholders, and other stakeholders. This requires a commitment to ongoing learning, experimentation, and adaptation, as well as sustaining what has already been achieved while embracing new technologies and approaches.</i></span></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/philip-gisi-257003258/" target="_blank">Philip Gisi's</a> perspective on the current state of shop floor management? Does it reflect the changes on the shop floor in your company? What trends in shop floor management have you seen?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-9102348738088382462023-04-27T13:30:00.002-04:002023-04-27T13:30:26.702-04:00Discovering Failure Modes Early in the Design Process<p><span style="font-family: arial; font-size: large;">Earlier this month, I spoke with <a href="https://www.linkedin.com/in/ed-henshall-a4a9095/" target="_blank">Ed Henshall</a>, who just recently published a book entitled <a href="https://www.routledge.com/Right-By-Design-A-Novel-Approach-to-Failure-Mode-Avoidance/Henshall/p/book/9781032260068" target="_blank">Right By Design: A Novel Approach to Failure Mode Avoidance</a>. His book presents an approach to product design based on Failure Mode Avoidance that utilizes a series of strongly interrelated engineering tools and interpersonal skills that can be used to discover failure modes early in the design process. The tools can be used across engineering disciplines.</span></p><p><span style="font-family: arial; font-size: large;">During our conversation, I asked him: "Is it possible to discover failure modes early in the design process?” Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">The short answer -- Yes, with difficulty. </span></i></p><p><i><span style="font-family: arial; font-size: large;">In looking at a longer answer, I would rephrase the question slightly -- “Is it possible to discover potential failure modes early in the design process before you have a design?” </span></i></p><p><i><span style="font-family: arial; font-size: large;">Firstly, the word “potential” is important as it indicates that the design can fail but has not yet failed. Secondly, by not having a design I intend that the design is fluid and not finalized meaning that it can readily be changed without impacting the cost and timing of the design process. This latter point is the good news -- if failure modes are found that require fixing early in the design process, this can be done inexpensively. However, the associated bad news is that it is difficult to discover failure modes early in the design process when a design is fluid. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The key to this conundrum is to have a clear understanding of what it is that the design is intended to do, and its function, along with an equally clear understanding of the way in which the design will achieve this function. What is important here is that the design is initially considered from a functional perspective rather than a hardware perspective. To quote the well know architect Louis Sullivan, “Form ever follows function.”</span></i></p><p><i><span style="font-family: arial; font-size: large;">The System State Flow Diagram provides a way of modeling a design from the functional perspective allowing potential failures of function to be identified in a rigorous and systematic manner. This enables design countermeasures subsequently to be developed in moving into hardware design. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Discovering failure modes early in the design process requires effective and efficient teamwork, which does not happen as a matter of course when groups of people work together but requires significant attention to, and coaching of, the team process. </span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/ed-henshall-a4a9095/" target="_blank">Ed Henshall's</a> perspective? Does your organization have effective "team process" and leadership?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-50225215790722088782023-03-24T09:53:00.002-04:002023-03-24T09:53:40.939-04:00Can You Plan and Execute Strategic Productivity Improvements Without Incurring Large Expenditures? <p><span style="font-family: arial; font-size: large;">In February, <a href="https://www.linkedin.com/in/alin-posteuca/" target="_blank">Alin Posteucă</a> published a book entitled <a href="https://www.routledge.com/Beyond-Strategic-Kaizen-Performing-Synchronous-Profitable-Operations/Posteuca/p/book/9781032330358" target="_blank">Beyond Strategic Kaizen: Performing Synchronous Profitable Operations</a>, which presents a methodology that achieves simultaneous and consistent systematic operational and financial improvements in a strategic and operational manner. It achieves both synchronous operations at market demand by fulfilling takt time and profitable operations in accordance with profit demand by fulfilling takt profit. In short, the Strategic Kaizen mission is striving for the fulfillment of the ideal state of operations called synchronous profitable operations.</span></p><p><span style="font-family: arial; font-size: large;">When I spoke with Alin this past week, I asked him: "How do you plan and execute strategic productivity improvements to meet financial and operational expectations simultaneously without further expenditure?"</span></p><p><span style="font-family: arial; font-size: large;">Here is his full response:</span></p><p><i><span style="font-family: arial; font-size: large;">This is a difficult time for manufacturers. To survive, manufacturing organizations must activate their entire potential for planning and executing strategic systematic productivity improvements, they need Strategic Kaizen -- they must go beyond traditional Kaizen activities and beyond the daily activities of continuous improvement based on the reduction or elimination of waste empirically at the shop floor level.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Naturally, a question arises: How is the new concept of Strategic Kaizen for performing synchronous profitable operations defined? "…it is a participatory, systematic, and scientific planning and control process used to align financial and operational business strategy with strategic systematic improvement activities to meet the goals of Takt Profit and takt time at the same time regardless of sales trend (increasing or decreasing)."</span></i></p><p><i><span style="font-family: arial; font-size: large;">Therefore, in this book, I did not limit the Strategic Kaizen to a mere strategic improvement approach. It goes beyond since its main purpose is to direct a complete and continuous strategic transformation to the ideal state of operations, to the state of synchronous profitable operations by meeting successive targets of Takt Profit, or ”the target profit per minute in the bottleneck operation”, and implicitly by meeting the successive targets of takt time. </span></i></p><p><i><span style="font-family: arial; font-size: large;">As is known, the concept of "synchronization", or JIT and its practice are very important, but it is very difficult for all manufacturing companies to achieve a complete and especially profitable "synchronization". For final manufacturers, "synchronization" seems to be still an extremely effective method, but for their suppliers, "synchronization" is not always adequate, and it is not always profitable enough.</span></i></p><p><i><span style="font-family: arial; font-size: large;">But let's return to your question more specifically. By applying the unique methodology in seven basic processes of Strategic Kaizen presented in detail and with real case studies only in this book, executives have a new way of thinking and acting to move the business to the next level.</span></i></p><p><i><span style="font-family: arial; font-size: large;">In the first five processes, strategic productivity improvements are planned, as follows:</span></i></p><p><i><span style="font-family: arial; font-size: large;">1)<span style="white-space: pre;"> </span>measuring and studying the full potential for strategic productivity improvement;</span></i></p><p><i><span style="font-family: arial; font-size: large;">2)<span style="white-space: pre;"> </span>calculating ideal Takt Profit and setting strategic expectations for stratified KAIZENshiro;</span></i></p><p><i><span style="font-family: arial; font-size: large;">3)<span style="white-space: pre;"> </span>annual financial reconciliation by establishing annual KAIZENshiro budgets and the annual Takt Profit target (financial catchball);</span></i></p><p><i><span style="font-family: arial; font-size: large;">4)<span style="white-space: pre;"> </span>annual operational reconciliation by establishing the production target time and by developing the Balanced Scorecard and KPIs (operational catchball);</span></i></p><p><i><span style="font-family: arial; font-size: large;">5)<span style="white-space: pre;"> </span>organizing, planning, and learning for Strategic Kaizen.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Then the last two processes focus on the implementation and management, as follows:</span></i></p><p><i><span style="font-family: arial; font-size: large;">6)<span style="white-space: pre;"> </span>implementing annual feasible Strategic Kaizen projects in six steps;</span></i></p><p><i><span style="font-family: arial; font-size: large;">7)<span style="white-space: pre;"> </span>results, standardization, horizontal extensions, and future plans. </span></i></p><p><i><span style="font-family: arial; font-size: large;">In conclusion, I recommend both final manufacturers and their suppliers use Strategic Kaizen to simultaneously satisfy the urgent need for "synchronization", or operational need and "profitability" to achieve complete and continuous strategic transformation and to achieve continuous strategic improvement in manufacturing costs of at least 6% per year and with a total of 30-45% for five consecutive years, based on the reduction/elimination of costs of excess inputs and the associated cost of failing to utilize those optimally, costs that exist in their organization anyway, without significant investments, with financial visibility of improvements at the level of KAIZENshiro budgets.</span></i></p><p><i><span style="font-family: arial; font-size: large;">So, the main job of managers is to improve productivity systemically, without investment, and especially strategically, through the now available new Strategic Kaizen thinking and methodology.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/alin-posteuca/" target="_blank">Alin Posteucă's</a> idea of <a href="https://www.routledge.com/Beyond-Strategic-Kaizen-Performing-Synchronous-Profitable-Operations/Posteuca/p/book/9781032330358" target="_blank">Strategic Kaizen</a>? Do you think this methodology can achieve synchronous profitable operations?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-81538284847231788452023-02-24T13:00:00.004-05:002023-02-24T13:00:23.755-05:00What Mistakes Do Salespeople Make Regarding Qualification in Customer Relationship Management (CRM)?<p><span style="font-family: arial; font-size: large;">In 2022, <a href="https://www.antoniospecchia.com/" target="_blank">Antonio Specchia</a> published a book entitled <a href="https://www.routledge.com/Customer-Relationship-Management-CRM-for-Medium-and-Small-Enterprises/Specchia/p/book/9780367708863" target="_blank">Customer Relationship Management (CRM) for Medium and Small Enterprises: How to Find the Right Solution for Effectively Connecting with Your Customers.</a> This book discusses how to implement a CRM from the perspective of the businessperson -- not the more typical IT consultant or the technical staff. It benefits business development, sales management, and sales process control.</span></p><p><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://www.antoniospecchia.com/" target="_blank">Antonio</a> earlier this month, I asked him: “What mistakes do salespeople make regarding qualification in CRM?” Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">There are several mistakes that organizations make when it comes to sales -- one of them is failing to understand the needs of their customers. </span></i></p><p><i><span style="font-family: arial; font-size: large;">But there is one that typically goes unnoticed that it is so often ignored if not totally unknown. Even when organizations include it in their sales process it is often diminished and not appropriately performed by salespeople. As it is an essential part of the process of understanding the client’s needs and requirements, the lack of perfect execution affects the quality of the whole process.</span></i></p><p><i><span style="font-family: arial; font-size: large;">This is due to misleading incentives that favor salespeople's shortcuts, and also because of their positive intention to take prospects ahead in the sales process. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The capability to escort contacts toward the last stage of the sales process shows the completeness of the job. No matter how, when prospects convert, that’s great! If they don’t, there will always be many valid reasons to claim just apply the politicians’ golden rule, it’s always someone else's fault!</span></i></p><p><i><span style="font-family: arial; font-size: large;">You probably guessed it, we are talking about the qualification stage -- a small process itself within the whole sales process. It is a delicate task that requires a deep focus to be performed correctly: mastering the art of persuasion. How many sales reps know it? How many of them truly master this technique? Organizations should consider its real implications, benefits, and risks.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Inadequate or inappropriate qualifications can lead to several problems that are not always directly related to it: time wasting, over usage of resources, and excessive effort, all problems that can ultimately damage the organizations.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Failing to establish clear and objective criteria to clarify what makes a good fit for their solutions. Defining a buyer persona means disqualifying everyone else. The ultimate sense of a strategy is about taking long-term decisions to focus on one single track, eliminating all other options. Failing to follow the long-term strategy always results in a messy execution. Salespeople spend time on prospects who are unlikely to convert as they are not a good fit.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Taking the time to ask the right questions to gather the right information from the prospect by mastering the art of persuasion during the qualification process is the way to do it. Lack of a perfect execution can result in missing the opportunity to identify key pain points to offer tailored solutions, which can ultimately result in a lower conversion rate.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Several approaches help in designing the qualification process, two of them are the MEDDIC and the BANT. Both are intended to provide a pathway to assess the same important matter: if prospective clients match the ideal client. </span></i></p><p><i><span style="font-family: arial; font-size: large;">But wrong qualification is often seen just as a go/no-go filter -- in order to proceed any further all the parameters should be in place: the potential client should have a proper budget; a clear, definite need; the power to negotiate and sign the contract; and the necessary time for delivery.</span></i></p><p><i><span style="font-family: arial; font-size: large;">No wonder why salespeople shortcut it: are those parameters fixed and riveted or can they change along the way? </span></i></p><p><i><span style="font-family: arial; font-size: large;">Experienced salespeople know how a budget and the timing may be adapted to fit a more valuable option, or they haven’t clarified the real need. The sales process is well beyond just the process to grow the business by engaging new clients, it is the moment when each relationship, created and nurtured over a long time may finally develop and mature.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Honesty and transparency are getting more relevant in business. Organizations are now expected to operate with honesty and transparency in dealing with potential customers (https://hbr.org/2009/06/a-culture-of-candor). It means the persuasion of the counterpart should rely on transparency and honesty even without neglecting the power of asymmetric information.</span></i></p><p><i><span style="font-family: arial; font-size: large;">And this is what the qualification process aims for, sharing openly and honestly requirements and expectations on one side and possibilities and value of use from the other side, it enables both parties in developing a more trustworthy collaboration, not to avoid possible sources of revenue to deal with the salesperson. The ones that do not fit into the trustworthy framework will walk away without regret.</span></i></p><p><span style="font-family: arial; font-size: large;">Do you agree with <a href="https://www.linkedin.com/in/antoniospecchia/?originalSubdomain=uk" target="_blank">Antonio Specchia's</a> perspective? How do Customer Relationship Management (CRM) systems function within your organization? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-56060068787379050482023-01-24T18:21:00.000-05:002023-01-24T18:21:15.278-05:00How Can Senior Leaders Be Effective in Times of Constant and Dramatic Change?<p><span style="font-family: arial; font-size: large;">At the beginning of January, I spoke with author <a href="https://i2aa.com/about-i2aa/" target="_blank">Joanne Irving</a> about her latest book entitled <a href="https://www.routledge.com/The-C-Factor-for-Leadership-How-the-Alchemy-of-Curiosity-and-Courage/PhD/p/book/9781032080840" target="_blank">The C² Factor for Leadership: How the Alchemy of Curiosity and Courage Helps Leaders Become Champions and Lead Meaningful Lives</a>. This book answers the questions: How do we effectively lead in times of constant, often dramatic change? And, equally important, how do we simultaneously create a satisfying, meaningful life? In addition, it reveals that when leaders manifest both traits, they embrace the professional and personal opportunities the future brings. When the landscape is shifting beneath our feet the C² Factor enables us to lead more effectively and helps us cultivate more fulfilling personal lives.</span></p><p><span style="font-family: arial; font-size: large;">During our conversation, I asked <a href="https://i2aa.com/about-i2aa/" target="_blank">Joanne</a>: "How can senior leaders be effective in times of constant, often dramatic change?" Here is her complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">How can we prepare for the future when COVID and all the changes it provoked remind us of just how surprised we are when it arrives?</span></i></p><p><i><span style="font-family: arial; font-size: large;">Cognitive skills such as business competence, creating a vision, and strategic thinking; and emotional intelligence such as communicating, inspiring, and developing others are necessary but insufficient for leadership today. Beyond specific skills, beyond IQ and EQ, leaders today need personality characteristics that enable them to respond to changes regardless of what conditions emerge. To embrace and exploit the future, leaders need to develop and exercise the <b>C² Factor</b> -- the application of profound curiosity and relentless courage</span></i></p><p><i><span style="font-family: arial; font-size: large;">While both curiosity and courage are often mentioned on lists of desired leadership qualities, the alchemy of the two -- <a href="https://www.amazon.com/Factor-Leadership-Curiosity-Champions-Meaningful/dp/1032080841/" target="_blank">the C² Factor</a> -- is where the magic is. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Curiosity and courage are symbiotic and when applied synergistically, produce exceptional leadership. To be curious often requires courage – the courage to examine one’s assumptions, beliefs, and attitudes, the courage to be curious about what options have not been considered, whose opinion has been left out, why the organization is structured the way it is…</span></i></p><p><i><span style="font-family: arial; font-size: large;">And it helps us be courageous when we adopt a curious mindset. When faced with a challenge, instead of reacting with defensiveness we can explore the validity of that challenge, be interested in what opportunities it could bring, and what innovation it might inspire. Courage is what enables us to take action in the face of ambiguity.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Leaders who want their organizations to nimbly navigate the lightning-speed change of today and be prepared for an assuredly uncertain future must model the C² Factor and embed it in their organization’s culture. This means:</span></i></p><p><i><span style="font-family: arial; font-size: large;">●<span style="white-space: pre;"> </span>Hiring from groups with diverse backgrounds</span></i></p><p><i><span style="font-family: arial; font-size: large;">●<span style="white-space: pre;"> </span>Enabling innovation by encouraging challenges to the status quo</span></i></p><p><i><span style="font-family: arial; font-size: large;">●<span style="white-space: pre;"> </span>Providing time and resources for exploration outside of one’s immediate area of expertise</span></i></p><p><i><span style="font-family: arial; font-size: large;">●<span style="white-space: pre;"> </span>Rewarding judicious risk-taking, even when those experiments fail</span></i></p><p><i><span style="font-family: arial; font-size: large;">Today’s world is different from what tomorrow will bring so business as usual does not work. Leaders must ask questions and make decisions that challenge or even defy conventional wisdom. They must take action to respond to conditions they have never anticipated. They must exercise their C² Factor.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think about <a href="https://i2aa.com/about-i2aa/" target="_blank">Joanne's</a> ideas? Do you believe that this synergistic application of curiosity and courage results in more effective leadership? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-2370666135875825432022-12-19T11:35:00.003-05:002022-12-19T11:35:48.522-05:00Your Workplace Culture -- Is It "Sick"?<p><span style="font-family: arial; font-size: large;">This month, I had a very enlightening conversation with <a href="https://www.linkedin.com/in/robert-b-camp-4685955/" target="_blank">Robert B. Camp</a> about his most recent book, <a href="https://www.routledge.com/Workplace-Culture-Matters-Developing-Leaders-Who-Respect-People-and-Deliver/Camp/p/book/9781032372549" target="_blank">Workplace Culture Matters: Developing Leaders Who Respect People and Deliver Robust Results</a>. Written in a novel format, this <a href="https://www.routledge.com/Workplace-Culture-Matters-Developing-Leaders-Who-Respect-People-and-Deliver/Camp/p/book/9781032372549" target="_blank">book</a> addresses the challenge of changing "sick" cultures that exist in many organizations -- That is, it is directed at those organizations that wake up one day and realize they have become something they never intended. Their employees run scared. There is no innovation, only blind obedience. There are warlords within the ranks of management, and they fight over turf without considering the best interests of customers, their employees, or their organization as a whole.</span></p><p><span style="font-family: arial; font-size: large;">During my conversation with <a href="https://www.linkedin.com/in/robert-b-camp-4685955/" target="_blank">Robert</a>, I asked him specifically: "What are the most common causes of ‘sick’ workplace culture? Here is his full response:</span></p><p><i><span style="font-family: arial; font-size: large;">Cultures become sick when leaders no longer care about their people, when they put products, clients, or profit ahead of the vehicle through which they achieve those things: employees (people).</span></i></p><p><i><span style="font-family: arial; font-size: large;">Factories don’t make anything. They’re just buildings. Machines, including computers, don’t make anything. Without proper guidance, they are just inanimate objects. </span></i></p><p><i><span style="font-family: arial; font-size: large;">It is no coincidence that Toyota lists Respect for People among the two factors critical to its success (Toyota-global.com; Toyota Way 2001). </span></i></p><p><i><span style="font-family: arial; font-size: large;">In <a href="https://www.routledge.com/Workplace-Culture-Matters-Developing-Leaders-Who-Respect-People-and-Deliver/Camp/p/book/9781032372549" target="_blank">Workplace Culture Matters</a>, there is a dialog that takes place that elucidates this concept. Jim, the VP of Operations for Friedman Electronics, explains the following to Jack, the Branch VP of a troubled organization.</span></i></p><blockquote style="border: none; margin: 0px 0px 0px 40px; padding: 0px; text-align: left;"><p><i><span style="font-family: arial; font-size: large;">“At Friedman, we believe our future starts with hiring the right people,” Jim explained. “While there are exceptions, we tend to hire for attitude and train skills."</span></i></p><p><i><span style="font-family: arial; font-size: large;">“Wait,” Jack interrupted, “how do you know you’re getting people who can actually do the job you’re hiring them for?”</span></i></p><p><i><span style="font-family: arial; font-size: large;">“Good point, Jack,” Jim conceded. “First, we try to grow talent within, so most of our openings are entry-level.” </span></i></p><p><i><span style="font-family: arial; font-size: large;">“Also, we have created step-by-step instructions — what is called Standard Work — for all our jobs, so even if someone had come in already having done that job somewhere else, we’d have to retrain them to do it our way. We’ve learned that, if we hire self-disciplined people with the right attitude, we can challenge and grow them for the rest of their careers.”</span></i></p></blockquote><p><i><span style="font-family: arial; font-size: large;">As <a href="https://www.routledge.com/Workplace-Culture-Matters-Developing-Leaders-Who-Respect-People-and-Deliver/Camp/p/book/9781032372549" target="_blank">Workplace Culture Matters</a> makes clear, a healthy culture starts with healthy leaders, leaders who agree to common objectives and hold themselves accountable to them, before they hold anyone else accountable. They then tailor and cascade those objectives down through the organization as a way of aligning everyone and giving them a way of independently knowing how they are doing. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Finally, leaders of healthy cultures get out of their offices and go to where work takes place, both as a way of knowing what problems their people face and of engaging in dialogs that build bonds of trust and bi-directional loyalty.</span></i></p><p><span style="font-family: arial; font-size: large;">What do think of <a href="https://www.linkedin.com/in/robert-b-camp-4685955/" target="_blank">Robert's</a> view on how workplace culture becomes "sick"? How does the leadership in your organization function? Does it encourage or hinder a healthy culture?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-1425553518003520562022-11-28T11:52:00.004-05:002022-11-28T15:58:57.040-05:00Performance-Measurement Systems -- What are the Common Design Mistakes?<p><span style="font-size: large;"><span style="font-family: arial;">In October, <a href="https://www.silverbulletmachine.com/copy-of-strategy-development-and-sc-1" target="_blank">Dennis Sherwood</a> published a book entitled <a href="https://www.routledge.com/Strategic-Thinking-Illustrated-Strategy-Made-Visual-Using-Systems-Thinking/Sherwood/p/book/9781032302331" target="_blank">Strategic Thinking Illustrated: Strategy Made Visual Using Systems Thinking</a> -- His<span style="background-color: white; color: #212529;"> book is about the behavior of systems. Systems are important, for we interact with them all the time, and many of the actions we take are influenced by a system – for example, the system of performance measures in an organization influences, often very strongly, how individuals within that organization behave. </span></span><span style="color: #212529; font-family: arial;">Systems thinking, the main subject matter of this book, is the disciplined study of systems, and causal loop diagrams are a very insightful way to represent the connectedness of the entities from which any system is composed, so taming that system’s complexity.</span></span></p><p><span style="font-size: large;"><span style="color: #212529; font-family: arial;">When I spoke with <a href="https://www.silverbulletmachine.com/copy-of-strategy-development-and-sc-1" target="_blank">Dennis</a> this month, I asked him: “What are the most common mistakes made when designing </span><span style="color: #212529; font-family: arial;">performance-measurement systems?” Here is his complete answer:</span></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>Let me choose just one. The BIG ONE. Unintended consequences.</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>A (real) example. A number of years ago, the UK government was becoming increasingly concerned about how long people had to wait in the reception area of hospital Accident and Emergency Departments until they were seen by a nurse or a doctor. To address this, they introduced a performance measure that at least 98% of those arriving must be satisfactorily treated and discharged, or transferred elsewhere within the hospital, within 4 hours.</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>That all sounds eminently sensible, and the intention was to act as a spur to hospitals to speed things up. </i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>Not long after this performance measure was introduced, a story appeared in a national newspaper with this opening paragraph:</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>"Hospitals were last night accused of keeping thousands of seriously ill patients in ambulance 'holding patterns' outside accident and emergency units to meet a government pledge that all patients are treated within four hours of admission."</i></span></p><p><span style="color: #212529; font-family: arial;"><i><span style="font-size: large;">It turns out that the "4-hour clock’" only starts running when the patient arrives at the front desk of the hospital. So if the patient is still in the ambulance, that doesn’t count… </span></i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>The "holding pattern" enables the hospital to meet its performance measure, but with two "unintended consequences." From the patient’s point of view, nothing has changed, nor has the government’s objective been met. And as a by-product, whilst the ambulance is acting as an "external waiting room," it remains stranded, and can no longer fulfill its primary purpose.</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>Not only did the performance measure not drive the intended outcome, it made matters worse by reducing ambulance capacity. Oh, dear.</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>This is by no means uncommon. Performance measures are introduced to influence behaviors so as to achieve some intended result. The problem, however, is that those behaviors take place within a complex context, and unless that complexity is well-understood, it is very easy to fall into the trap that a well-intentioned intervention has an unintentional, and perverse, effect.</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>How can this trap be avoided?</i></span></p><p></p><p><span style="color: #212529; font-family: arial; font-size: large;"><i>"Systems thinking" can really help, for systems thinking is a very powerful, and pragmatic, way to tame the complexity of real systems, so ensuring that, for example, performance measures can be introduced that really work. That designs out "unintended consequences." Indeed, in my view, that term is just a mask to disguise the fact that whoever designed the performance measures that failed just didn’t understand the corresponding system. Don’t let that happen to you!</i></span></p><p><span style="color: #212529; font-family: arial; font-size: large;">What do you think of <a href="https://www.silverbulletmachine.com/copy-of-strategy-development-and-sc-1" target="_blank">Dennis Sherwood's</a> answer? Has your organization ever instituted a measure or process designed for improvement that drove incorrect or "gaming" behavior? His book is available <a href="https://www.routledge.com/Strategic-Thinking-Illustrated-Strategy-Made-Visual-Using-Systems-Thinking/Sherwood/p/book/9781032302331" target="_blank">here</a>.</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-30661712217498203302022-10-28T09:02:00.000-04:002022-10-28T09:02:12.793-04:00Can Green Six Sigma Help and Enhance Sustainability and Climate-Change Initiatives?<p><span style="font-family: arial; font-size: large;">This past September, <a href="https://www.linkedin.com/in/ron-basu-phd-21067a1/" target="_blank">Ron Basu</a> published a book entitled <a href="https://www.routledge.com/The-Green-Six-Sigma-Handbook-A-Complete-Guide-for-Lean-Six-Sigma-Practitioners/Basu/p/book/9781032214016" target="_blank">The Green Six Sigma Handbook: A Complete Guide for Lean Six Sigma Practitioners and Managers</a>, which details how the benefits of a combined Lean and Six Sigma initiative can indeed encompass sustainability and climate-change concerns. </span></p><p><span style="font-family: arial; font-size: large;">I spoke with <a href="https://www.linkedin.com/in/ron-basu-phd-21067a1/" target="_blank">Ron</a> this past week and asked him specifically: "How does Green Six Sigma help and enhance sustainability and climate-change initiatives?" Here is his complete response:</span></p><p><i><span style="font-family: arial; font-size: large;">If nothing tangible is done climate change will worsen and its impact on our planet will be catastrophic. We have many climate change initiatives, such as clean energy and retrofitting houses. There are also many global initiatives sponsored by the United Nations, such as several COP (Conference of Parties) conferences going on for several years. We need breakthrough technology and breakthrough change methodology. We have the power of invention to assist these initiatives but that takes time. We have to use all our available tools now. Six Sigma is such a tool for breakthrough change methodology. The tools and approaches of Six Sigma when focused and adapted primarily to climate change demands get Green Six Sigma. The approach is underpinned by three tenets: fitness for the purpose of climate change, fitness for holistic Lean processes, and fitness for environmental sustainability.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The importance of climate change or global warming, if you prefer it, cannot be doubted. All land areas of our planet are experiencing heat waves, frequent storms, flooding, landslides, and wildfires. As a result, there are many international and national climate change initiatives in hand, but the outcomes are not always sustainable. We also need a catalyst and a disciplined process to make it happen. This is where Green Six Sigma comes in.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Green Six Sigma combines and extends the tools, techniques, and processes of both Lean and Six Sigma to customize them for climate change initiatives. As a specific example, the DMAIC (Define, Measure, Analyze, Improve, and Control) cycle has been extended in Green Six Sigma to DMAICS with the inclusion of Sustain. The tools and techniques of Sustain ensure and enhance both the sustainability of the outcomes of climate change initiatives and the sustainability of environmental standards. It is vital we harness all our tools and resources to regenerate the economy after the COVID-19 pandemic and Ukraine conflict and implement climate change initiatives for the survival of the planet.</span></i></p><p><i><span style="font-family: arial; font-size: large;">A number of real-life case examples have been included in <a href="https://www.amazon.com/Green-Six-Sigma-Handbook/dp/1032214015/" target="_blank">The Green Six Sigma Handbook</a> to support how sustainability can be enhanced. This <a href="https://www.routledge.com/The-Green-Six-Sigma-Handbook-A-Complete-Guide-for-Lean-Six-Sigma-Practitioners/Basu/p/book/9781032214016" target="_blank">book</a> is a hands-on single-source reference of tools, techniques, and processes integrating both Lean and Six Sigma. I show how to apply the principles of Lean Six Sigma and FIT SIGMA to the practical realities of businesses of all sectors and walk readers through the application of tools and techniques in the environmental context. The uniqueness of the Green Six Sigma approach is that its outcomes lead to the sustainability of both processes and environmental standards of climate change.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/ron-basu-phd-21067a1/" target="_blank">Ron Basu's</a> perspective? Do you think Lean Six Sigma initiatives can encompass sustainability? Has your Lean Sigma process evolved to include climate-change concerns? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-71830008921842906162022-09-27T09:12:00.001-04:002022-09-27T09:12:29.329-04:00What are the Biggest Mistakes Professionals Currently Make When Networking and Negotiating?<p><span style="font-family: arial; font-size: large;">In July, <a href="https://www.linkedin.com/in/doug-gentilcore-74341313/" target="_blank">Doug Gentilcore</a> published a book entitled <a href="https://www.routledge.com/Getting-from-the-Bar-to-the-Boardroom-25-Proven-Sales-Techniques-for-Relationship/Gentilcore/p/book/9781032110622" target="_blank">Getting from the Bar to the Boardroom: 25 Proven Sales Techniques for Relationship Building, Networking, Negotiating, and Dealmaking</a> in which he shares his firsthand experiences and knowledge for developing a promising business career. He clearly explains why any business professional, whether in sales or not, will, at some point, have to persuade an individual or group to change their current course of action in favor of a new one. </span></p><p><span style="font-family: arial; font-size: large;">I had the chance to speak with Doug this past month, and I asked him: "What are the biggest mistakes
professionals make currently make when networking and negotiating?” Here is his full answer:</span></p><p><i><span style="font-family: arial; font-size: large;">There are many things that can inhibit your success when it comes to negotiating and networking. In my experience, allowing emotion to enter into your process is the most detrimental to achieving your goals. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Too many people use passion and emotion interchangeably, but as I say in my <a href="https://www.routledge.com/Getting-from-the-Bar-to-the-Boardroom-25-Proven-Sales-Techniques-for-Relationship/Gentilcore/p/book/9781032110622" target="_blank">book</a>, "With passion also comes respect for others and their opinions. Emotion is usually accompanied by closed-mindedness and disrespect." Every poor decision or overreaction I have ever made in my life has been emotional. Even if I am faced with a challenging situation, my passion allows me to remain driven, logical, and positive. It is important to understand the effects that emotion can have on your mental state, decision-making process, and ultimately, your success. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Whether it is a client you are hoping to sign or a contact that you need to make to win a deal, there will be barriers and challenges you face to accomplish your goal. In order to properly assess, plan and execute to conquer these impediments, you must check your emotion “at the door” so to speak. A customer challenging you during a negotiation is not a personal attack, it is a chance to demonstrate your ability to deliver when it means the most, and your client will remember how you react. To again quote my <a href="https://www.amazon.com/Getting-Bar-Boardroom-Relationship-Negotiating/dp/1032110627/" target="_blank">book</a>, “Behind passion there is reason and logic, behind emotion is ignorance."</span></i></p><p><i><span style="font-family: arial; font-size: large;">In short, don’t be emotional and as a result, ignorant. This is a negotiation, not a prize fight and logic will always keep you on the proper path. To prevent an emotional outburst, you must have a solid accounting of your performance and mental state, so be sure to check in on both and even ask your colleagues and friends for their assessment. Being too close to the situation will cloud your judgment and everyone can use another set of eyes and ears from time to time.</span></i></p><div><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/doug-gentilcore-74341313/" target="_blank">Doug's</a> perspective? Have there been times when emotions have ruined an important negotiation or affected a networking opportunity for you?</span></div><p class="xmsonormal"><o:p></o:p></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-45886262291197559592022-08-25T08:05:00.000-04:002022-08-25T08:05:03.542-04:00What Are the Biggest Mistakes Sales Professionals Make While Trying to Reach New Customers?<p><span style="font-family: arial; font-size: large;">At the beginning of this month, I had the chance to speak with <a href="https://shawncasemore.com/about-shawn/" target="_blank">Shawn Casemore</a> about his recently published book entitled <a href="https://www.routledge.com/The-Unstoppable-Sales-Machine-How-to-Connect-Convert-and-Close-New-Customers/Casemore/p/book/9781032180540" target="_blank">The Unstoppable Sales Machine: How to Connect, Convert, and Close New Customers</a>. His book addresses the shifts sales professionals and their organizations must make for introducing modern sales strategies. It provides insights and proven strategies for business owners, sales executives, leaders, and professionals -- anyone who desires to create a rapid and sustained increase in their sales without investing significant time or money. </span></p><p><span style="font-family: arial; font-size: large;">During our conversation, I asked <a href="https://shawncasemore.com/about-shawn/" target="_blank">Shawn</a>: “What are the biggest mistakes sales professionals currently make while trying to reach new customers?” Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">There is only one mistake sales professionals make while trying to reach new customers or clients – they give up.</span></i></p><p><i><span style="font-family: arial; font-size: large;">A recent <a href="https://www.gartner.ca/en/sales/insights/b2b-buying-journey" target="_blank">Gartner Study</a> has outlined what sales professionals have noticed for years. Buyers spend less time connecting with sales and more time researching their ideal solution.</span></i></p><p><i><span style="font-family: arial; font-size: large;">This continuing shift results in many buyers not engaging with sales until they believe they have a need. This results in one of three possible scenarios for sales -- They must contend with buyers who:</span></i></p><p></p><ul style="text-align: left;"><li><i><span style="font-family: arial; font-size: large;">Engage before they begin researching, with no intention of buying.</span></i></li><li><i><span style="font-family: arial; font-size: large;">Engage while researching and never circle back to confirm their decision.</span></i></li><li><i><span style="font-family: arial; font-size: large;">Do not engage as their need isn’t yet clear or urgent.</span></i></li></ul><p></p><p><i><span style="font-family: arial; font-size: large;">Unfortunately, experiencing any of these three scenarios can result in sales giving up on the pursuit and conversion of their prospect.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Instead, sales professionals must be more strategic about pursuing new buyers to build trust and curiosity. The first three steps to take in accomplishing this are:</span></i></p><p></p><ol style="text-align: left;"><li><i><span style="font-family: arial; font-size: large;">Too many sales professionals find a new lead and pursue them aggressively, only to taper off their efforts within the first two weeks after no response. Instead, sales should slowly build outreach, increasing your buyer’s attention and creating the perception that you have something interesting to share.</span></i></li><li><i><span style="font-family: arial; font-size: large;">Studies have repeatedly found it takes between 8 to 20 touchpoints to get buyers’ attention. As a result, outreach strategies must consist of at least 20 touchpoints if there is ever an opportunity to connect with the buyer.</span></i></li><li><i><span style="font-family: arial; font-size: large;">Many of the sales teams I work with use one primary form of communication - email. Buyers are overwhelmed with emails today, and increasingly complex spam filters are removing more unwanted emails from their inboxes. Instead, sales professionals should use various methods to reach buyers, including direct mail, telephone, video, and social media. </span></i></li></ol><p></p><p><i><span style="font-family: arial; font-size: large;">The only thing to give up when pursuing buyers is old methods of prospecting that are no longer relevant.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://shawncasemore.com/about-shawn/" target="_blank">Shawn’s</a> perspective? Have you or your company experienced these scenarios with potential customers? If so, have you incorporated any of <a href="https://shawncasemore.com/about-shawn/" target="_blank">Shawn’s</a> solutions? What other solutions have you tried?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-41168461252807783192022-07-25T16:43:00.003-04:002022-07-26T07:41:13.179-04:00The Tools of Startup Organizations -- How Do They Benefit Performers, Artists, Entertainers, and Creatives?<p><span style="font-family: arial; font-size: large;">In June, <a href="https://www.paulalandry.com/about/" target="_blank">Paula Landry</a> published a unique book entitled <a href="https://www.routledge.com/Applying-Entrepreneurship-to-the-Arts-How-Artists-Creatives-and-Performers/Landry/p/book/9781032125572" target="_blank">Applying Entrepreneurship to the Arts: How Artists, Creatives, and Performers Can Use Startup Principles to Build Careers and Generate Income</a>. This practical book puts successful startup tools in the hands of creators: performers, artists, entertainers, creatives, and media makers seeking to launch like a business and generate more income.</span></p><p><span style="font-family: arial; font-size: large;">When I recently spoke with <a href="https://www.paulalandry.com/about/" target="_blank">Paula</a>, I asked her: “Why are the tools of startup organizations important to performers, artists, entertainers, and creatives?” Here is her complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">The tools of startup organizations are important to performers, artists, entertainers, and creatives who often battle feelings of overwhelm and self-doubt in addition to limited resources. Like all entrepreneurs, creative people must stay lean, move quickly, and keep DOING while learning. This avoids analysis paralysis and generates results. Creative people who want to generate more income and success now have a path to entrepreneurship specifically adapted to their unique skillset. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Entrepreneurship for artists is a process of discovery that includes: </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>Planning – defining a goal.</span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>Time to build and test – figuring out what works for you. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>The process of creating with constraints – to stay fast, focused, and frugal. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>Bravery to share with awareness – customer feedback helps you improve. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>Committing to generating results with your launch – gathering data to learn from. </span></i></p><p><i><span style="font-family: arial; font-size: large;">•<span style="white-space: pre;"> </span>Time allocated to manage your venture and analyze results – to understand your customers and improve your offering! </span></i></p><p><i><span style="font-family: arial; font-size: large;"><a href="https://www.amazon.com/Applying-Entrepreneurship-Arts-Performers-Principles-ebook-dp-B09YZ3BVLJ/dp/B09YZ3BVLJ/" target="_blank">Applying Entrepreneurship to the Arts: How Artists, Creatives, and Performers Can Use Start-up Principles to Build Careers and Generate Income</a> translates startup processes – ideation, testing, marketing, prototyping, as well as legal and financial management – shaped into a creative approach. This work is not exclusive to artistic talents; it’s inclusive, building upon the artistic skillsets. Why are there so many new, Lean tech companies that startup, launch and generate revenue quickly? The path and workflow have been clearly defined, articulated, and demonstrated. Creative ventures are similar to startups and it’s possible to utilize those tools, now adapted for the creative community. </span></i></p><p><i><span style="font-family: arial; font-size: large;">If you’d like to learn more about the startup concepts and frameworks in <a href="https://www.routledge.com/Applying-Entrepreneurship-to-the-Arts-How-Artists-Creatives-and-Performers/Landry/p/book/9781032125572" target="_blank">Applying Entrepreneurship to the Arts</a>, visit <a href="http://StartupTools4Artists.com" target="_blank">StartupTools4Artists.com</a> and buy the book today. </span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.paulalandry.com/about/" target="_blank">Paula's</a> ideas? As a creative, do you think startup tools used by organizations are applicable to you and your business?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-79524294538045337952022-06-24T11:07:00.001-04:002022-06-24T11:07:37.690-04:00Career Success -- What Are the Basic Factors?<span style="font-family: arial; font-size: large;">At the beginning of May, <a href="https://drbarryfranklin.com/bio/" target="_blank">Barry A. Franklin</a> published a very interesting book -- entitled <a href="https://www.routledge.com/GPS-for-Success-Skills-Strategies-and-Secrets-of-Superachievers/Franklin/p/book/9781032196954" target="_blank">GPS for Success: Skills, Strategies, and Secrets of Superachievers</a> -- which analyzes and highlights the foundational factors underlying future career success. Throughout the <a href="https://www.amazon.com/Gps-Success-Strategies-Secrets-Superachievers/dp/1032196955/" target="_blank">book</a>, <a href="https://drbarryfranklin.com/bio/" target="_blank">Barry</a> provides specific examples and inspirational stories highlighting 10 critical behavioral skills for success. </span><div><span style="font-family: arial; font-size: large;"><br /></span></div><div><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://drbarryfranklin.com/bio/" target="_blank">Barry</a> just this past week, I asked him: “What are the basic factors that underly career success? Why do most people miss them?” Here is his complete answer:</span></div><div><span style="font-family: arial; font-size: large;"><br /></span></div><div><div><i><span style="font-family: arial; font-size: large;">After 10 years of undergraduate and graduate education, ultimately culminating in a Ph.D., it seemed somewhat paradoxical to me that virtually no college course had prepared me for the world of work. Accordingly, I began reading everything I could find on achieving career success and learned how ill-prepared I really was!</span></i></div><div><i><span style="font-family: arial; font-size: large;"><br /></span></i></div><div><i><span style="font-family: arial; font-size: large;">The critical knowledge and experiential perspectives I lacked included: understanding the power of relationships, positive associations, and collaboration; essential people skills; goal setting; the “boomerang effect” of serving others; dealing with setbacks; the virtues of patience and persistence; the potency of preparedness; writing and speaking expertise; understanding the laws of attraction and sow and reap; the dividends of organizational membership; and, the #1 success strategy -- taking action.</span></i></div><div><i><span style="font-family: arial; font-size: large;"><br /></span></i></div><div><i><span style="font-family: arial; font-size: large;">My research identified four foundational factors underlying overwhelming career success. These included: love what you do; realize that to a large extent, you make your own luck; take 100 percent responsibility for your setbacks and achievements in life; and admirably serve others.</span></i></div><div><i><span style="font-family: arial; font-size: large;"><br /></span></i></div><div><i><span style="font-family: arial; font-size: large;">Finally, why do most people miss them? Unfortunately, these underappreciated “soft skills” are seldom even touched on in college curricula that equip students with broad life and career proficiencies that empower them to contribute meaningfully to their communities and the workplace.</span></i></div><div><i><span style="font-family: arial; font-size: large;"><br /></span></i></div><div><span style="font-family: arial; font-size: large;"><i>Perhaps the late professor Randy Pausch, author of </i>The Last Lecture<i>, summed it up best when he said, “It’s not about how to achieve your dreams, it’s how to lead your life. If you lead your life the right way, the karma will take care of itself, and the dreams will come to you.” In so many ways, </i><a href="https://www.routledge.com/GPS-for-Success-Skills-Strategies-and-Secrets-of-Superachievers/Franklin/p/book/9781032196954" target="_blank">GPS for Success</a><i> was written to fulfill this objective, to enable the dreams of others and provide guidance about how to live your life.</i></span></div></div><div><i><span style="font-family: arial; font-size: large;"><br /></span></i></div><div><span style="font-family: arial; font-size: large;">What do you think of <a href="https://drbarryfranklin.com/bio/" target="_blank">Barry's</a> perspective? Did you his recommendations for future career success accurate and inspiring? Are there any factors missing? What would you add?</span></div>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-33798649716200340962022-05-26T08:30:00.000-04:002022-05-26T08:30:05.363-04:00How Should Your Company Pursue and Achieve Innovation?<p class="MsoNormal"><span style="font-family: arial; font-size: large;">This past April, <a href="https://www.linkedin.com/in/parent-michael/" target="_blank">Michael Parent</a> published a book
entitled <a href="https://www.routledge.com/The-Lean-Innovation-Cycle-A-Multi-Disciplinary-Framework-for-Designing/Parent/p/book/9781032072852" target="_blank">The Lean Innovation Cycle: A Multi-Disciplinary Framework for Designing Value with Lean and Human-Centered Design</a>, which addresses what many companies
are facing regarding pursuing innovation. His book addresses these concerns by
introducing a new multidisciplinary framework for both thinking about and
pursuing innovation. By taking key concepts from the quality management
practices of Lean and Six Sigma, the framework augments these tools and
disciplines by incorporating other problem-solving and design techniques,
including Human-Centered Design. The result is a view of innovation that many
business leaders will find fits nicely into their existing paradigm of strategy
and operational discipline.<o:p></o:p></span></p><p class="MsoNormal"><span style="font-family: arial; font-size: large;">When I recently spoke with <a href="https://www.linkedin.com/in/parent-michael/" target="_blank">Michael</a>, I asked him: “How should
companies pursue and achieve innovation now?” Here is his complete answer:<o:p></o:p></span></p><p class="MsoNormal"><i><span style="font-family: arial; font-size: large;">Innovation seems to be on the tips of everyone’s tongues.
Search social media and you’ll find an ethos of innovation behind every post.
But the popularity of innovation and entrepreneurial thinking on social media
has done damage to how businesses and industry incumbents should think about
and pursue innovation. Especially in a world buffeted by global disruptions –
chip shortages, inflation, supply chain issues, pandemics – just to name a few,
companies need to have a greater understanding of what role innovation plays in
their business and the different ways they adapt to a dynamic organizational
landscape.<o:p></o:p></span></i></p><p class="MsoNormal"><i><span style="font-family: arial; font-size: large;">Regarding innovation, the biggest opportunities for
businesses are to pursue an innovative approach styled after the principles of
Quality Management. Organizations can mitigate their risks of disruption by
holistically evaluating their existing processes, and shoring up gaps that put
them in jeopardy. It might not be sexy, but improving supply chain reliability,
capability, and in-process quality has enumerable benefits for most businesses,
from increasing profit margin, to reducing expenses, to driving towards
operational consistency across their entire value chain.<o:p></o:p></span></i></p><p class="MsoNormal"><i><span style="font-family: arial; font-size: large;">Equally important is how businesses should avoid pursuing
innovation. Generally speaking, if you’re anything but a new start-up business,
you should stay away from grandiose ideas of disruptive innovation and
industry-altering advancements. These promise exceedingly high profits and
growth but fail to materialize due to excruciatingly low chances of success,
high resource demands, and even internal organizational disruption to the
existing business. <o:p></o:p></span></i></p><p class="MsoNormal"><span style="font-family: arial; font-size: large;"><i>A business incumbent has already been successful in their
industry. Rather than abandoning the history and tradition of the firm through
radical, disruptive innovation, a business ought to re-evaluate its existing
value propositions through the lens of a fresh perspective. Amidst global
disruptions that have mainly affected business operations (and left the
products and marketing themselves untouched) the principles of quality
management, Lean, and Six Sigma is an excellent framework to begin this
endeavor.</i><o:p></o:p></span></p><p class="MsoNormal"><span style="font-family: arial; font-size: large;">What do you think of <a href="https://www.linkedin.com/in/parent-michael/" target="_blank">Michael’s</a> perspective? What role does innovation
play in your company? How is your company pursuing innovation? What have been
the pitfalls?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-39461889377121572032022-04-26T09:06:00.000-04:002022-04-26T09:06:34.702-04:00Why is the Failure Rate of IT and Change Management Projects So High?<p> <span style="font-family: arial; font-size: large;">A few weeks ago, I had the chance to me with <a href="https://coplan.com/about/" target="_blank">Scott R. Coplan</a> in New York City and discuss the release of his new book, <a href="https://www.routledge.com/The-Integrator-A-Change-Management-Framework-for-Achieving-Agile-IT-Project/Coplan/p/book/9780367431655" target="_blank">The Integrator: A Change Management Framework for Achieving Agile IT Project Success</a>. This book defines change management as the single overarching methodology integrating Agile IT and project management. It does this because all projects are about change – significant organizational and personal change. The people involved – their participation in and understanding and support of these changes – ultimately determine IT projects success or failure. In fact, while all IT projects are about change, successful projects change human behavior.</span></p><p><span style="font-family: arial; font-size: large;">During our conversation, I ask <a href="https://coplan.com/about/" target="_blank">Scott</a>, "Why is the failure rate of IT and change management projects so high?" Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">There’s only one reason projects fail — leadership. You know who I’m talking about. Most of us have worked for that problematic project leader. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Everything stems from a project’s leadership. They are the principal players or sponsors responsible for guiding each participant in completing the project successfully or failing miserably. </span></i></p><p><i><span style="font-family: arial; font-size: large;">A successful project requires a chain of sponsorship, including authorizing and reinforcing leaders. Authorizing sponsors have the power to approve, fund, and allocate resources to achieve a project supporting the organization’s clearly defined purpose. Reinforcing sponsors uphold, strengthen, and execute the project on behalf of the authorizing sponsor. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The pervasiveness of project sponsorship problems stems from one fact. Just because an individual holds a leadership position doesn’t mean they know how to lead. They need guidance. </span></i></p><p><i><span style="font-family: arial; font-size: large;">In these instances, the problematic sponsor’s boss or a change agent must start by working with that struggling project leader. While having a meeting about their inadequacies is never easy, it is necessary. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Most problematic leaders feel inhibited in a sponsorship evaluation meeting with their boss. As a change agent of 45+ years, I’ve conducted hundreds of meetings as the boss’s proxy.</span></i></p><p><i><span style="font-family: arial; font-size: large;">This requires preparation before the meeting, including clarity about what the problematic sponsor must do, described in safe language. It’s typical for a sponsor to have little idea of what sponsorship means. I always start by taking time to listen and understand the problematic sponsor’s viewpoint, particularly about their role and what fulfills them in performing it. That sponsor’s input and my response may help them grasp the importance of their role and improve their performance. </span></i></p><p><i><span style="font-family: arial; font-size: large;">I’ve encountered sponsors that still don’t understand their role, requiring other options, like routinely assessing the sponsor’s performance and providing feedback. At times, I’ve recommended guidance from an effective peer in the problematic sponsor’s development process.</span></i></p><p><i><span style="font-family: arial; font-size: large;">In severe cases, I’ve recommended replacing the sponsor. Their departure offers an opportunity for me to help the organization’s leadership find a suitable replacement. This is an individual who starts by engaging with their direct reports, establishing a shared purpose defined by enterprise-wide collaboration, followed by aligning their beliefs and abilities with that purpose. </span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://coplan.com/about/" target="_blank">Scott's</a> perspective? Have your IT and change management projects been successful? Have there been leadership issues?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-39677769638102485772022-03-25T10:21:00.003-04:002022-03-25T10:21:41.063-04:00The Six Fears that Impede Corporate Innovation<p><span style="font-family: arial; font-size: large;">New business innovation isn’t working in most large corporations. This is true even though we have made great progress over the past two decades in understanding the mechanics and dynamics of radical innovation. We have got the methodologies for creating the businesses right, but our organizations still seem to snatch defeat from the jaws of victory.</span></p><p><span style="font-family: arial; font-size: large;">Why is this? New business creation is thriving in the startup sector, often disrupting incumbents, so the problem is not a lack of opportunity. What is going on? </span></p><p><span style="font-family: arial; font-size: large;">I recently spoke with <a href="https://www.linkedin.com/in/jimeuchner/" target="_blank">James Euchner</a>, whose recently published book -- <a href="https://www.routledge.com/Lean-Startup-in-Large-Organizations-Overcoming-Resistance-to-Innovation/Euchner/p/book/9781138359130" target="_blank">Lean Startup in Large Organizations: Overcoming Resistance to Innovation</a> -- addresses such questions. During our conversation, I asked him about the sources of resistance and their connection to Lean Startup. Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">Any new venture confronts uncertainty: uncertainty in customer demand, uncertainty in the timing of the market, uncertainty about new channels or new business models or emerging technologies. Corporations have gotten better and better at managing these types of risk. The Lean Startup movement has done much to help with this.</span></i></p><p><i><span style="font-family: arial; font-size: large;">It is ironic, but the very methods that have led to success in creating product/market fit have interfered with venture/corporate fit. There are, in fact, six fears that Lean Startup awakens inside the corporation that impede innovation.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The first is the fear of <b>chaos</b>: the concern that the iterative and experimental approaches of the Lean Startup will lead to an unmanaged innovation process. An Innovation Stage-Gate helps to contain the chaos. </span></i></p><p><i><span style="font-family: arial; font-size: large;">The second is the fear that the innovation process will lead to<b> disruption</b> of ongoing operations. Every corporation has established norms that define “how we do things around here.” New business innovation naturally challenges some of these norms. This disruption needs to be acknowledged and explicitly managed for a new venture to succeed.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The third fear is the fear that the lean innovation process will lead the company into opportunities that the company just can’t exploit. Worse, the new directions may even <b>undermine the identity </b>of the firm. A company needs to innovate within clearly defined opportunity spaces to counter this fear.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The fourth fear is that the new business will succeed by <b>cannibalizing</b> the core: the new business will appear to drive revenue and profit, but only at the expense of the financials of the ongoing business. To counter this fear, companies need to explicitly model not only the economics of the business but the impact of the new company on the core business. Sometimes, cannibalization is necessary to the ultimate growth of the firm.</span></i></p><p><i><span style="font-family: arial; font-size: large;">I believe that the fifth fear is the cause of the failure of more new ventures in corporate settings than any other. This is the fear that the investment in the new business will <b>drain resources</b> from the core. It causes the core business to react in ways that smother the new business. Countering this fear often requires separating the new company from the mother ship, at least during incubation. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Finally, executives often fear <b>making a career-limiting blunder</b> when investing in a new venture. After all, the new venture, by definition, moves into spaces that are less well-understood by executives in the company. To counter this fear, companies need to develop ambidextrous leaders – those who can both execute and innovate. A key requirement is for the executives to spend time in the new ecosystems. </span></i></p><p><span style="font-family: arial; font-size: large;">What has your experience been with new business innovation? What are your thoughts on <a href="https://www.linkedin.com/in/jimeuchner/" target="_blank">Jim Euchner’s </a>suggestions for inoculating companies against these corporate antibodies? </span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0tag:blogger.com,1999:blog-5865768815327716731.post-74633667010161764872022-02-25T12:49:00.004-05:002022-02-25T12:51:04.187-05:00Can Six Sigma Help Improve HR Processes?<p><span style="font-family: arial; font-size: large;">In 2021, prolific author <a href="https://dbaiconsulting.com/management-team/" target="_blank">Daniel T. Bloom</a> published the second edition of his book entitled <a href="https://www.routledge.com/Achieving-HR-Excellence-through-Six-Sigma/Bloom/p/book/9781138359192" target="_blank">Achieving HR Excellence through Six Sigma</a>, which describes exactly what excellence in human resources (HR) means and outlines dozens of proven approaches as well as a hierarchy of the exact steps required to achieve it. It illustrates the Six Sigma methodology from the creation of a project to its successful completion. At each stage, it describes the specific tools currently available and provides examples of organizations that have used Six Sigma within HR to improve their organizations. </span></p><p><span style="font-family: arial; font-size: large;">When I spoke with <a href="https://dbaiconsulting.com/management-team/" target="_blank">Daniel</a> this past month, I asked him: "How does Six Sigma actually help improve HR processes?" Here is his complete answer:</span></p><p><i><span style="font-family: arial; font-size: large;">The Human Capital Management field today is faced with a dilemma. It is a dilemma that will determine whether there is a human Capital Management field going forward. </span></i></p><p><i><span style="font-family: arial; font-size: large;">Too many of my colleagues are stuck in a transactional field which means that they see their role as that of the organizational fireman. There to purely put out fires. However, there is another view that Six Sigma encourages and that is the role of being the organizational thinker.</span></i></p><p><i><span style="font-family: arial; font-size: large;">Consider the reactions from two HR professionals who have seen the Six-Sigma approach and have had phenomenal results. The HR Manager of an electronics organization stated that Six Sigma made her rethink the way she viewed HR -- it empowers you to want to make immediate and sustainable improvements to your organization. Using the strategies discussed in the <a href="https://www.amazon.com/Achieving-Excellence-through-Six-Sigma-ebook/dp/B097KN9W8T/" target="_blank">book</a>, she was able to reduce the average time to fill an open position by 58 percent and the cost of hire by 81 percent. The other view is from the VP of HR for a major trade association who told us that the material in the <a href="https://www.amazon.com/Achieving-Excellence-through-Six-Sigma-ebook/dp/B097KN9W8T/" target="_blank">book</a> (and the accompanying course) inspired her to think about additional training and professional practice of these concepts. She had already put some of the key concepts behind the DMAIC method to work.</span></i></p><p><i><span style="font-family: arial; font-size: large;">The ultimate goal of Six Sigma and its associated tools is to enable you to see and feel the problem through the use of logical thinking processes and then to create a new normal by changing the corporate culture accordingly.</span></i></p><p><span style="font-family: arial; font-size: large;">What do you think of <a href="https://dbaiconsulting.com/management-team/" target="_blank">Daniel's</a> perspective regarding Six Sigma and the HR department? Have you incorporated Six Sigma techniques in your HR departments? If so, have the results been positive?</span></p>Michael Sinocchihttp://www.blogger.com/profile/00599950068521490710noreply@blogger.com0