Support Services Department- Leadership Teams

1. Support ServicesDepartment- Leadership Teams Involving Everyone in continuous improvement! Session 3 – January14th, 2011

3. 2010-11 Key tasks • Department Plan on a Page • Connecting support service departments to the strategic plan • Department Balanced Scorecard • Using data to identify opportunities for improvement and monitor progress of the department plan on a page • Implementing a department data display • Continuous Improvement • Use quality tools and process to seek stakeholder input and drive improvement within the department

4. Two Objectives 1.) Make the department work better And 2.) Make the department a better place to work

5. Effective Teams Make Collective Commitments to Each other… -Department Leadership Team Norms Review your team norms!

6. As a team, please share… • Department Plan on a Page • SMART goals • Why did you select the goals? • What will you team do to accomplish goals? • Measures and indicators • How will you measure progress in the SMART goals? • How will you monitor and display your progress? • How will you collect the data/information?

7. Effective Teams Are Data Driven! Using data to drive the department plan on a page!

8. Department Plan on a Page Quality Tools and PDSA To Obtain SMART Goals SMART Goals For Each Workgroup Data Display To Track Progress

9. Example

10. Introduction to Process Improvement How do we get from point “A” our current state to point “B” our desired future state?

11. S Q C D 5 0 4 0 s e n i L k 3 0 n i r h S 2 0 1 0 0 I n d e x 1 0 2 0 3 0 4 0 5 0 6 0 7 0 8 0 9 0 Visual Management Problem! Data Display Study Results! Process Improvement!

12. Work Organization; Definition of 5S • Step 1: Sort - Remove unnecessary items; keep only what is needed. • Step 2: Set - Assign and label for ease of use; designate a home for everything; (a.k.a. Straighten/Store). • Step 3: Shine – Keep area clean on a continual basis. • Step 4: Standardize – Create a process that is easy to follow and maintain. • Step 5: Sustain – Training and discipline; stick to the rules and maintain motivation.

13. 5S Applies to Everyone!

14. 1. Sorting: Decide What is Needed • Definition • Sort out necessary and unnecessary items • Dispose of items that are not needed • Why: • Removes waste • Safer work area • Gains space • Easier to visualize process The Mess

15. 1. Sorting Decide What is Needed • Things to remember • Start in one area, then sort through everything • Discuss removal of items with all persons involved • Use environmental/safety procedures • Items that cannot be removed immediately should be tagged (“red-tagged”) Is This Item Needed?

16. 2. Set: Arranging the Workplace Definition • Arrange all necessary items Why: • Have a designated place for everything • Visually show what is required or is out of place • More efficient to find items/documents/files • Saves time by not searching for items • Shorter travel distances (motion)

17. 3. Shine: Sweep and Cleanliness • Definition • Keeping areas clean on a continual basis • Why • A clean workplace is indicative of a quality process, product or service • Helps to identify abnormal conditions New Labels are Now On File Cabinets! ‘Everything in its place’

18. 4. Standardize • Definition • Create a new process that is easy to follow and maintain • Why • Maintain the workplace/office at a level which uncovers and makes problems obvious • Need to sustain the improvements • Sustain sorting, storage and shining activities every day

19. Definition We need to practice and repeat until it becomes a habit Why To build 5S’s into our every day process Things to Remember Develop schedules, check lists Good habits are hard to break Commitment and discipline toward housekeeping is essential in taking the first step to world class performance 5. Sustain: Trained & Disciplined Culture

20. Before & After A Place for Everything!

21. So, Why Don’t We Just Do It? • It is a habit issue – sounds easy, difficult to implement and sustain • Discipline exists only if there is commitment on all levels A well organized 5S program delivers significant results with minimum investment

22. Process Improvement; Defining “Value Added” Value-Adding Activities… ...transform materials and information into products & services which the customer wants. • “Customer” must be willing to “pay” for it. • Must transform the product or service in some way. • Must be done correctly the first time.

23. Non-Value-Adding Activities... …consume resources, but don't directly contribute to the product or service…waste! • Type 1 – Business necessary – does not add value but we do not know how to eliminate it right now. • Type 2 – Unnecessary.

24. Categories of Waste • Production ofDefects • Overproductionahead of demand • UnnecessaryTransportof materials • Waitingfor the next process step • Inventories(Excess material/information) • UnnecessaryMovementby employees • OverProcessingdue to poor tools and product design Lead time reduction is achieved by identifying and eliminating waste.

25. Defects • Internal or external suppliers providing incomplete or incorrect information or material. • Errors become defects that require rework. • Produces dissatisfied customers, frustrated workers, lost productivity, and extended lead times. • Make decisions based on incorrect or incomplete data.

26. Overproduction • Producing too much, too fast or too soon. • Evidence: Build up of work-in-progress (WIP) between process steps. Build up of queues, people waiting, filled in-boxes or email queues, etc.

27. Transportation • Movement of “things” – paperwork, electronic information, material, drawings, equipment, and supplies. • Evidence: Hand carrying. Traveling to shared equipment. Searching for information; seeking information clarification. Searching for material. • Risks: Damage or loss during transport. Delay in work being available.

28. Waiting • People waiting for people. • Evidence: “The Thing” passing through the system stops. • Waiting for meetings to begin. Waiting for information, input, decisions, approvals or authorization to proceed. • Risks: Extended lead times, long work days, and paid overtime. Unnecessary capital expenditures for equipment.

29. Inventories • Excess paperwork, supplies, materials, equipment, etc. • Work partially completed. Work completed but not utilized. • Evidence: Stockpiles of supplies, forms, materials, etc. Disorganized storage areas. • Risks: Lost productivity due to searching. Excess space. Damage. Obsolescence.

30. Movement • Movement of people. • Evidence: Hand carrying work product. Traveling to shared equipment. Searching for information; seeking information clarification. • Risks: Reduced capacity to perform value-adding work, which results in increased staffing requirements.

31. Over Processing • Doing more to anything than the customer is willing to pay for. • Effort that adds no value from the customers point of view. • Evidence: Inspections, audits, and reviews.. Redundant task. Duplicate data entry. • Too many handoffs. Multiple approvals/signatures. Unnecessary meetings. • Risks: Excessive lead times. Low productivity. Frustrated workforce.

32. Waste Examples • In your department, identify examples of waste in your area. • As a group identify a few examples of waste within a few of the seven types of waste areas. • Be prepared to report out to the group

33. Waste Examples

34. Waste is a Symptom • Waste is merely a symptom of an underlying root cause. • To permanently eliminate waste, we must determine the root cause of that waste and eliminate it! • Waste is the first place to begin process improvement!

35. Functional Silos Technology Gaps Excessive Controls Dated Process Design No Back-up/Cross Training Unbalanced Workload Batching of Forms / Applications Mistrust Practices and Policies No Decision Rules Poor Visual Control Disorganized Workplace Lack of Training Obsolete Forms or Form Design Poor Layout Root Causes of Waste

36. Steps To Implementing Business Transformation Gathered from your Data Display

37. Process Improvement Debrief • Identify one area to apply the 5 “S” process • What are your next steps • Identify one area of waste as it might relate to one of your SMART goals • What are your next steps

38. Board Presentation Sharing progress of Department Leadership Teams!

40. Next Steps…

41. Please submit 1 summary evaluation from your department