01
Lean Strategy Deployment
In May and June, many companies organize staff to visit customers, study macro policies, research competitors, and summarize their successes and failures in order to prepare a new version of their medium- and long-term strategy. The challenge for every manager is how to translate this hard-won strategy into action and achieve great results.
Lean Strategy Deployment will help you face this challenge. Lean Strategy Deployment is also known as Goal Approach Deployment (Hoshin Kanri). In their book The Lean Toolbox, John Bicheno and Matthias Holweg state, "Essentially, Strategy Deployment (or Hoshin Kanri) is about reaching consensus (Nemawashi) and sharing decisions (Ringi). Translated literally, "Hoshin Kanri" can be interpreted as "captain steering the ship", meaning that the captain gives orders on course and speed, which are then cascaded to the different functions on board. For example, the chief engineer was told how fast the engines should go, and the helmsman was told when to turn the rudder to the left or right by how many degrees. Each functionary receives the exact orders relevant to his or her job, and the objects being measured are part of the work they perform. This way you can ensure that everyone is moving toward a common overall goal.
Lean Strategy Deployment breaks down the strategy of the organization you manage into every subsidiary, every business unit and every manager. The team then works together to discuss and decide which initiatives we want to have this year, what kind of resources we need to equip them with, and who will be primarily responsible for them. Thus, we ensure that our long-term planning can be implemented year by year, quarter by quarter, and month by month. Even if there are deviations in the process, we can still analyze the reasons, take countermeasures, get remedies or adjust the direction in time.
02
Standardized Operations
In the book “Winning at Lean Standardization” (2nd edition), we point out that “standardized operations are the best known method of achieving work.” In companies that have implemented Lean Six Sigma, such as Toyota, Honeywell, and Danaher, not only do junior cadres and front-line employees prepare, execute, and update standardized assignments, but senior management also executes and updates standardized assignments, such as when to set new medium- and long-term plans and annual goals, when to conduct quarterly and monthly business reviews, how much time to spend on customer visits, factory and supplier visits, and when to conduct talent assessments, etc. The higher the manager's position, the more time he spends on medium- and long-term goals. The junior cadre spends more time and energy on what needs to be accomplished today and what needs to be improved. Of course, every business unit and every manager should always think about which things they want to do this year, what initiatives they have, and what kind of resources they need to be equipped with. This will enable our long-term plan to be implemented and executed year after year.
03
Cascade Meetings
Cascade meetings may seem simple, but they occupy an important place in Lean management. There can be three to four cascade meetings within each manufacturing plant, from the grassroots team to the shop floor/section, to the VP in charge of the production line, and finally to the daily meeting chaired by the General Manager. The cascade meetings are held standing room only. Meetings last from 10 minutes (first tier), to 15 minutes (second and third tiers) and up to 30 minutes (fourth tier). As a manager, it is typical to attend two tier meetings per day. In the tier meetings, the topics of discussion center around what was planned to be done yesterday and how it was actually done. As well as today's new tasks, the tough problems faced, what the customer has just requested, what kind of help the next tier needs to get, and so on. Through cascade meetings, every organization can be on top of what's going on down the line and on top of what's going on in the day, so that more time can be spent on value-added work.
04
Field Observation
In the foreword to Field Observations, former Ingersoll Rand Chairman and CEO Mark LaMarche states, "Field Observations is a key element in the leadership implementation of standardized work, and it is critical to the overall Lean management system. It is both a tool used daily by plant and value stream managers and an important activity that the senior management team engages in on a regular basis."
If there hadn't been a new crown outbreak, I would have been at our Tianjin plant, Suzhou plant, Xi'an plant, and companies in Beijing and Wuhan these last few weeks. My task would have been to go to the R&D offices, labs, factories, and customer sites to find out what was happening, to find out what I could do as a manager for my team, for my employees, and for our customers. From there, I can work with my colleagues to implement the company's three-year strategy into our day-to-day work.