A couple of key reflections stand out from my experiences at Starbucks, Kroger, and Legal Sea Foods. I’ve also seen the possibilities of a complete lean management system on a recent trip to Toyota.
My First Key Reflection
Sustainable lean transformation that delivers meaningful business results, in the sense that critical business needs are met, requires more than process improvement and capability development on the frontlines. Both are absolutely necessary, and the frontlines are where real value is created for customers. But without the scaffolding of a management system, lean transformation efforts will stall or even disappear, no matter how successful your efforts on the frontlines.
In my experience, enterprise transformation needs hoshin kanri to clarify strategy and align on execution, daily management to maintain stability and foster continuous improvement, and structured problem solving to deal with things that will inevitably go wrong.
My Second Key Reflection
Lean transformation is neither linear nor one-dimensional, and definitely not predictable given ever-changing market conditions. Plus, gaps in knowledge and skills are always present. All of this makes a mechanism for PDCA invaluable. Regularly stepping back, assessing the situation, defining gaps, and making necessary adjustments is essential for the success of your transformation.
The Lean Transformation Framework prompts you to ask not only, “What are we improving, who is developing, and why?” but also, “What systems are we building, with what leadership behaviors and mindsets?” It challenges leaders to continually use PDCA and reflect on their role in making transformation possible and successful.
A Complete Lean Management System at Toyota
In my role at LEI, I have the privilege of visiting Toyota on a regular basis. In fact, I recently visited the Toyota Motor Manufacturing Kentucky (TMMK) factory in Georgetown, Kentucky, as part of the Lean Leadership Learning Tour that LEI offers twice per year. (Learn about the next tour here.) Due to my working on this series, I paid particular attention to Toyota’s management system in TMMK, which was remarkably visible on the shop floor.
First, information about problems to solve was everywhere. Type 1 “troubleshooting” problems (one-offs) were regularly signaled by the plant’s andon system. Type 2 “gap-from-standard” problems (recurring gaps) were displayed physically and digitally. Type 3 “target condition” problems (proposed kaizen) were visible in various locations on bulletin boards. And finally, on a lineside board, Type 4 “open-ended” problems (breakthrough challenges) were shown in the form of the plant’s annual hoshin.
What problems are the people in TMMK trying to solve? With visible information accessible everywhere, answering that question is no problem at all—even for a visitor like me. Simply incredible!
Second, evidence of problem-solving activities was everywhere too. We saw team leaders quickly responding to andon signals, troubleshooting problems to make team members successful. A group leader showed us how recurring gap-from-standard problems can be handled by team leaders who have capacity for problem solving, assigned to engineers or other support functions as required, or set aside for the next quality circle to tackle and learn from.
Another group leader gave us a presentation about a recent jishuken — a hands-on learning activity where people who work in the same department (e.g., assembly) across multiple sites came together for an intensive problem-solving activity. In the example I witnessed, they had taken on a target-condition problem to elevate performance.
That same problem-solving jishuken, in fact, was tied to the plant’s hoshin. Overall costs were a challenge for Toyota globally and in North America regionally. TMMK had taken on this challenge by attacking productivity. Then this was broken down to the line level. The group leader spoke clearly to specific process issues on the line that had been worked on through jishuken.
Needless to say, it was inspiring!
Final Thought
Lean transformation is first and foremost about changing the work and enabling people to learn and grow to (a) help customers meet their needs and/or fulfill their desires and (b) build sustainable success for the company. To ensure such goodness happens, lean transformation is also about changing the way leaders think and behave. None of this happens organically. It must be built—deliberately, patiently, and systematically.
I hope these reflections encourage you to pause, examine your own efforts through the lens of the Lean Transformation Framework, and strengthen the systems needed for managing both your work and your organization’s work. Lean is a practice of continuous learning. And the best leaders—like the best organizations—are those who never stop practicing.
Lean Leadership Learning Tour
Go beyond theory—see lean leadership in action.
