real toc: why implementations fail and what to do about it

1© 2014TOCICO. All rights reserved.

TOCICO 2014 Conference

REAL TOCWhy Successful

Implementations Fail, Fade or Revert and What to Do About It

Presented By: Humberto R. Baptista

Date: June, 11th 2014

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TOCICO 2014 Conference

From Eli

• Three laws of good administration:

Be sure the initiative will

succeed

Be sure its SUCCESS will

succeed

Stop looking for negatives

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The problem

No Real POOGI

(not even close)

Time

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The Hypothesis

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Core problem

• Not abide to (at least) one of the Core TOC Values:

Newton (Principia)N&S # 2, The Choice, …

SLP # 7, The Choice

TQM,Intro to

Science of Management

The Choice, Never Say “I Know”, SOSOG,…

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Case 1

Construction fixtures company (Brazilian branch of an international group):

• Successful production functional implementation (up to the point the production manager (youngest top manager locally) became the Americas Production Director of the group)

• Sold by one consulting company with me as the lead consultant

• No continuation (failure to sell the natural continuation)

My personal dilemma

• Approach the company to sell the next step (Sales & Marketing)

• Let them be

Result Dismantling of the of local company and loss of knowledge and jobs

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Cloud 1

Be Moral

Respect the original Contractor

Refrain from selling the next

step

Try to sell the next step

Help the company

Consistency?

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TOCICO 2014 Conference

Case 2

Large department store

• Beautiful (and difficult) pilot (significant increase in turns, decrease in inventory, etc.)

• Strong champion

• Systems unable to deal with SKU on all the mix

My personal dilemma

• Change the S&T keel (possibly dulling it)

• Insist on the “standard” first entities on the S&T

Result Deceleration and distortion of implementation small results

See my presentation on TOCICO 2009 (Anatomy of a VV S&T)

See Silverio’s and mine presentation on TOCICO 2014 (Pilots TOC: navigating the Change)

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Cloud 2

Strong Implemen-

tation

Support Champion

Wait for SKU system to be programmed

Start implementation w/o

full SKU support

Quick results

(CfGS #5)

Variability?

See my presentation on TOCICO 2011 (Retail TOC – Get Your Hands Dirty on the Implementation

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TOCICO 2014 Conference

Case 3

Large apparel factory (integrated into a retail) :

• Strong implementation (unusual environment, quick results)

• Strategic position of the factory (supplied 45% of the retail’s sales with – now – very short LTs)

My personal dilemma

• Fight the decision to lay off an entire shift (and more) or

• Take care of the many other important aspects in the implementation

Result Deceleration of improvement (almost halted POOGI) and 8.000 lost jobs.

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TOCICO 2014 Conference

Cloud 3

Ever Flourishing Company

Protect the project

Cater to other elements of the implementation

Make a stand against layoffs

Protect Company’s

future

Respect?

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Core Cloud

Long Lasting Impact

Secure Relationships

Tolerate TOC value(s)

violation

Be adamant about TOC

values

Secure Future

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Core Assumptions

Long Lasting Impact

Secure Relationships

Tolerate TOC value(s)

violation

Be adamant about TOC

values

Secure Future

- To be liked we must tolerate what other people do- Unconditional love means accepting everything

- Without any of the TOC values wasting human potential is certain- All TOC values are necessary to allow a very fast growth and high stability

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Evaporating

• Challenge the assumption:

• With:

• Therefore:

- Unconditional love means accepting everything

- Unconditional love means accepting everyone

Tolerate TOC value(s)

violation

Protect people from self-mutilation

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What can prevent the problem

To implement:

we need:

• A clear shared CRT of the damage of tolerating TOC values violation (have you ever done it?)

• Meet each significant potential violation (or past violation) with unconditional love, meaning: making clear the damage sustained by the person and

• Draw the persons’ cloud (as a dilemma, never as an interpersonal conflict)

• Evaporate it and demonstrate Qualitatively and Quantitatively (T.I.OE. if applicable) the superiority of the injection compared with previous actions for the person.

Protect people from self-mutilation

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Thank You

• Comments, questions?

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About Humberto

• Husband and father changing the world one person at a time

• Scientist seeking to apply science to people’s endeavors

• Hunter of hidden assumptions

• Teacher, student and colleague of students

• Strong believer of values over tools

• Practicing atheist and skeptichumberto@vectis-solutions.com