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Achieving Change in a Manufacturing Environment

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OBJECTIVES

To cover:

Why is Change so Difficult

Steps for Achieving Change

Example of Operational Visibility

Involvement from all Levels

Review Key Performance Indicators

Making Change Stick

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THE CHANGE CURVE

PERFORMANCE

T I M E

UnfreezingSTAGE Transition Acceptance

DENIAL(Apathy)

RESISTANCE& FEAR(Anger

& Apprehension)

UNDERSTANDING(Assessment)

EXPLORATION(Activity)

COMMITMENT(Acceptance)

“We don’t need help”We have a plan”

“I hate this.“What about me?”

“I understand this”

“I like this!””

““Why didn’t wedo this before?”

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Have a common goal – identify specific issues that will be addressed, implementation plan must be reasonable and practical

Change management efforts – Change requires everyone within the organization, even management

Involve factory floor personnel – Operators in continuous improvement events, empowering them to feel they can make a difference

Take action and provide feedback – Allow operators to see how they are performing and that action items are being addressed

Enable real time visibility and transparency – Quickly identify the root cause of a problem on the floor and take action

Just do it – Quick wins

Be reasonable and practical

ACHIEVING CHANGE

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OPERATIONAL VISIBILTIY

• Helps show root cause and what/where our improvement efforts need to be placed

• Helps to drive focus

• Operators can see their performance – allowing them to take appropriate action

• Management can see KPI’s and to take action when needed

Dashboard

Visibility builds towards Accountability

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OPERATOR INVOLVEMENT

• Operators can take action and see what other shifts are doing

• Diverse team allows for input from each department

• Allows for better communication – department to manager to individual

• Everyone can feel they can make a difference

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• Find and establish the few Key Performance Indicators and targets at each level• Goals should be aligned throughout all levels of organization• Find and establish the few Key Performance Indicators and targets at each level• Goals should be aligned throughout all levels of organization

Profit Cost Quality Market share

Profitability Quality cost Delivery times Inventory costs

Example targets Example targets Division Level

(Weekly to Monthly Reviews)

Plant Level

(Daily to Weekly Reviews)

Department Level (Daily Reviews)

Downtime Productivity OEE Loss Points

REVIEW KEY PERFOMANCE INDICATORS

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MAKING CHANGE STICK

Get people affected by change involved to help define the opportunity and Get people affected by change involved to help define the opportunity and design the solutiondesign the solution

Base change on facts and business intelligence that are accessible to Base change on facts and business intelligence that are accessible to everyone in the organizationeveryone in the organization

Institutionalize the change by starting with a pilot initiative….Institutionalize the change by starting with a pilot initiative….

…….Then move to consistently apply a repeatable process to sustain it.Then move to consistently apply a repeatable process to sustain it

Build accountability into the process and….Build accountability into the process and….

…….Through the use of scorecards and dashboards create interlocking .Through the use of scorecards and dashboards create interlocking dependencies between all levels of the organization so that their mutual dependencies between all levels of the organization so that their mutual interest is in sustaining the change interest is in sustaining the change

Perhaps the most important, view change as a Perhaps the most important, view change as a continuous processcontinuous process, not a , not a one-time eventone-time event