Lean Management System Agile Austin Agile Leaders SIG
- Slides: 43
Lean Management System Agile Austin - Agile Leaders SIG Leland Newsom October 7, 2016 2/22/2021 Charles Schwab @ Agile Austin 1
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 2
Psychological Safety is #1 2/22/2021 Charles Schwab @ Agile Austin 3
Version. One 10 th Annual State of Agile Survey 2/22/2021 Charles Schwab @ Agile Austin 4
Version. One 10 th Annual State of Agile Survey continued 2/22/2021 Charles Schwab @ Agile Austin 5
SAFe House of Lean 2/22/2021 Charles Schwab @ Agile Austin 6
Lean Enterprise Academy – Lean Transformation Model 2/22/2021 Charles Schwab @ Agile Austin 7
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 8
Changing Culture with Lean Leadership The three leadership elements create a closed-loop system that creates process focus and extends new habits to build a culture of continuous improvement. • Focus of leadership shifts from delivery only to delivery + growing the capabilities of the organization. Leader Standard Work Visual Controls Process / Value Flow DELIGHTED CUSTOMERS Transparency/ Accountability 2/22/2021 Charles Schwab @ Agile Austin 9
Making Lean Management Go Original image taken from: Creating a Lean Culture, Third Edition by David Mann 2/22/2021 Charles Schwab @ Agile Austin 10
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 11
Visual Controls – The Transmission § The primary purpose of visual controls is to focus on the process and the flow of value to the client. − show process abnormalities and opportunities so the teams can take appropriate action. − Should provide error proofing. − Measure and show progress of how valuable software flows through the process. 2/22/2021 Charles Schwab @ Agile Austin 12
Tiered Visual Management Systems § Team – Have the most power to affect component or “project” level metrics § Manager/Director – Have the most power to affect tactical execution and influence LOB product direction § Executives – Have the power to affect organizational issues, budgets, and strategy Agile Metrics in Action Christoher W. H. Davis 2015 2/22/2021 Charles Schwab @ Agile Austin 13
SDPI - Balanced Metrics Get the report at: https: //www. rallydev. com/finally-get-real-data-about-benefits-adopting-agile? nid=6201 2/22/2021 Charles Schwab @ Agile Austin 14
Control Chart - Lean. Kit 2/22/2021 Charles Schwab @ Agile Austin 15
2/22/2021 Charles Schwab @ Agile Austin 16
Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 17
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 18
Leader Standard Work – The Engine § Purpose: Provides a structure and routine that helps shift from a sole focus on value delivery to a dual focus on value delivery and building the capabilities of the organization. − Allows leaders to get the routine tasks taken care of with less mental energy, leaving them free to focus on improvements and building the capabilities of the organization. − Provides a way to sustain and extend improvements by updating the standard work as kaizen events occur. − Overlapping elements in leader standard work across levels supports the integrity of the process. § VP Standard Work Strategic Focus MD/Mgr. Standard Work Tactical Focus Guidelines 1. 2. 3. 2/22/2021 Focus on activities and behaviors that demonstrate leading with respect. Make development and coaching a central theme. The higher the level of the manager, the more strategic the focus will be. Charles Schwab @ Agile Austin Team Standard Work 19
Leader Standard Work - Example 2/22/2021 Charles Schwab @ Agile Austin 20
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 21
Accountability/Transparency- The Steering Wheel and Gas Pedal § Sets direction and pace. § Ensures that focus on process leads to action to improve it. § Daily Standup § Kanban Board § Gemba walk – Go see, ask why, show respect − Have a purpose for the walk − Focus on flow and value delivery − Look for wastes (Defects, Over Production, Waiting, Non-utilized talent/resources, Transportation, Inventory, Motion and Excess Processing) § Observations from the visual controls and Gemba walks are converted to assignments for action − Follow up occurs regularly (daily standup) to track progress 2/22/2021 Charles Schwab @ Agile Austin 22
Accountability Board 2/22/2021 Charles Schwab @ Agile Austin 23
Discipline to Sustain f rce o o F t Habi 2/22/2021 Charles Schwab @ Agile Austin 24
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 25
True North § True North defines the strategic objectives of an organization. − defines the outcomes of the system and where we want the system to take us in the future − define direction, purpose and values § Hoshin Kanri and “catch ball” − Hoshin Kanri is a strategic planning process. § "Hoshin" meaning shining needle or compass. § Kanri means management or control − Is a process for embedding strategy and aligning an organization toward common goals. − “Catch ball” is a negotiation process where goals, strategies, action items, and measures are tossed back and forth between management and employees to gain consensus and focus. 2/22/2021 Charles Schwab @ Agile Austin 26
X-Matrix Hoshin Kanri Tactics Results Process Strategy 2/22/2021 Charles Schwab @ Agile Austin 27
X-Matrix Hoshin Kanri cont. 2/22/2021 Charles Schwab @ Agile Austin 28
X-Matrix Example 2/22/2021 Charles Schwab @ Agile Austin 29
Strategy deployment is a negotiation process is known as “catchball, ” because the “ball” of strategy is tossed back and forth from team to team until a final consensus is reached about what needs to be done and how to do it. 2/22/2021 Charles Schwab @ Agile Austin 30
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 31
People Systems 2/22/2021 Charles Schwab @ Agile Austin 32
Management by Objective Strategy Deployment Management by Objectives Strategy Deployment Top Down (unidirectional) Built both top down and bottom up (catchball) Focuses on rear-view mirror results Concentrates resources on key priorities Little effort to understand or improve the system or process Controls means and methods, not just results Usually based on calendar for Continuous/Frequent reviews up & down performance review cycles (annual, bi- the org chart. Not based on the calendar annual, quarterly reviews) Often unlinked (individual goals not tied to strategic objectives) Linked to the strategic objectives Tied to performance appraisals (carrot or whip) Not tied to performance appraisals Focus on profits/delivery. Adding value to shareholders. Voice of the Customer (VOC), not just profit/delivery goals 2/22/2021 Charles Schwab @ Agile Austin 33
Facts about Appraisals 2/22/2021 Charles Schwab @ Agile Austin 34
Capability Matrix 2/22/2021 Charles Schwab @ Agile Austin 35
True North Accountability / Transparency Systems People Systems Lean Management System Leader Standard Work Visual Controls 2/22/2021 Charles Schwab @ Agile Austin 36
Standard Work § Standard work answers the who, what, where, when, why, and how. − Who operates this process? − What are the quality check points? What does the final product look like? − Where is this process completed? − When will it be done? − Why is this step necessary? Why is this a quality check point? Why is this a valueadding? − How is the process followed? How do I know the process is followed? How do we measure success? § Standard work is a collection and implementation of best practices known at that point. − Update Standard work as improvements are made. § Update work instruction documents, training, onboarding, and practice. § Standard work incorporates what is needed to start the process and the finished state of the process. § Standard work should always be questioned and improvements sought. § 5 S – Sort, Set in Order, Shine, Standardize, Sustain 2/22/2021 Charles Schwab @ Agile Austin 37
Standard Work Provides structure and routine to build the capabilities of the organization that sustain and extend improvements. Without standardization, incremental improvements may be lost with time. 2/22/2021 Charles Schwab @ Agile Austin 38
Standard Work Example 2/22/2021 Charles Schwab @ Agile Austin 39
PDCA Loop True North Accountability Systems 2/22/2021 Charles Schwab @ Agile Austin People Systems Standard Work Leader Std. Work Visual Controls 40
2/22/2021 Charles Schwab @ Agile Austin 41
Learn More https: //blog. kainexus. com/ http: //leankit. com/blog https: //www. lean. org/ http: //www. leanuk. org/ http: //www. scaledagileframework. com/lean-agile-mindset/ 2/22/2021 Charles Schwab @ Agile Austin 42
Thank you The Charles Schwab Corporation is an equal opportunity/affirmative action employer committed to diversifying its workforce. It is Schwab’s policy to provide equal employment opportunities to all employees and applicants without regard to race, color, religion, sex (including pregnancy, childbirth, breast-feeding, or related medical conditions), gender identity or expression, national origin, ancestry, age, disability, legally protected medical condition, genetic information, marital status, sexual orientation, protected veteran status, military status, citizenship status, or any other status that is protected by law. © 2016 Charles Schwab Corporation. All rights reserved. (0916 -3223)
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