Lean in the Public Sector -- What are the Distinct Challenges?

This past November, Kate McGovern published a new book entitled A Public-Sector Journey to Lean: Fighting Muda in Times of Muri, which documents the author's Lean journey based on her experiences at the New Hampshire Bureau of Education and Training. 

During a recent conversation with Kate, I asked her, “What are the different challenges public/government institutions face when beginning a Lean initiative compared to organizations in the private sector?” Here is her complete response:

Lean initiatives in the public sector face greater obstacles than their private sector counterparts in three areas: erratic and unreliable commitment of resources, risk-averse leadership, and the responsibility to serve dual customers. 

Let’s consider each component:

Resources: Elected officials who set public budgets must be persuaded to prioritize efficiency initiatives. Funding is often erratic and inadequate, lacking the staff resources necessary to train, facilitate, and coordinate improvement efforts.   

Risk-averse leadership: Aligning authority and responsibility at the gemba (like Toyota’s Andon cord) is counter-intuitive and frightening for traditional administrators. The multiple layers of checking give them a sense of security, making them reluctant to Lean processes. What if something goes wrong? What if it gets in the press?

Dual customers: The end-user customer is an individual applying for a building permit or a driver’s license, borrowing a library book, or reporting an emergency. The public is also customer, relying on the regulatory system for health and safety. For example, the public values the enforcement of building codes. Permit applicants value a fair, efficient process with courteous, professional staff to assist them. Consider a Lean event to design a process so that every qualified applicant receives a permit within two weeks. The team would identify why customers fail to meet the meet the qualifications, and develop countermeasures such as fact sheets, checklists and staff assistance. To ensure a quality outcome, the team would consider the purpose of each requirement and recommend modifications, if appropriate. Then, they would design the most efficient way to confirm compliance and validate eligibility. 

Are any readers currently part of a Lean initiative within a public-sector organization? Do you agree with Kate's overview of the specific obstacles faced when undertaking the improvement journey?

Are Electronic Networks the New A3s?

I recently read this short article titled Lean Project Ideas by Dan Antony, which appeared on ehow.com. The article reviews basic concepts as defining value streams, identifying waste, kaizen events, and automation. The section that specifically caught my attention advises to "implement social media" -- that is, using electronic tools to share and illustrate improvement ideas throughout the company and worldwide locations. For example, Siemens has established an internal blog so employees can share benefits worldwide almost instantaneously while Microsoft is encouraging its employees to use podcasts to proliferate ideas throughout the organization.

A3 reports have used by Toyota for decades to document improvements, and this problem-solving tool has gained much popularity and use in the US during the past few years. A3s were named after the size of paper used to document a particular solution -- but it's the concept, and the thinking behind it, that holds the real power. Are electronic networks the next logical step in the evolution of A3s?

An A3 Report is a Working Document

Assembly Magazine featured an impressive article authored by Austin Weber, titled "A3 Mistakes to Avoid," in a recent online edition. The piece quotes both Durward Sobek and Art Smalley (co-authors of a definitive book on the subject -- Understanding A3 Thinking: A Critical Component of Toyota's PDCA Management System) and Jamie Flinchbaugh.

A3 reports have gained much popularity during the past decade, and the rush to exploit their benefits has lead to misuse -- most notably, users treating the report as just another "form" to complete and file away. Essentially, the power of the A3 report derives not from the report itself, but rather from the development of the culture and mindset required for the systematic implementation of these reports. In addition, as Sobek points out, these reports should not be filled with excessive written narraration: "An A3 should contain lots of information displayed graphically."

Do you use A3 reports in your organization? Have they aided communication and problem solving?