COMMUNITY TEAM +

Basic Principles of Systems Thinking

Sessions Will CoverAM- Double Loop Learning- Back ground to systems thinking- Difference between systems and

services- Value and Failure Demand- Taguchi Curve- System Perspective- System Purpose and Capability- System Conditions- Basic System theory and intervention

theory- Basics about this next stage of the

intervention

PM

- Waste- Normative Learning- Mapping Demand- Mapping flow- Set you a task

The Way We Think

Can you give examples of typical performance problems?

Can you give me typical examples of how organisations resolve these performance problems?

What are the logics that sit behind these actions?

Most of our management actions and system changes assume the systemis basically OK, we just need to motivate the people.

But what if it isn’t the people?

What I said to you at least some of it is caused bythe way the system is designed and managed?

What if I said to you at least 50% of it is caused bythe way the system is designed and managed?

What if I said to you at least 90% of it is caused bythe way the system is designed and managed?

So Why Don’t We See This?

‘Out of the Crisis’

Toyota Production System

What’s the Difference Between a Service and a System?

Chief Housing Officer

Supervisor Supervisor

Tradesmen

Inspector

Receptionist

Works Manager

Repairs as a System

CallCentre

Worksorder Supervisor

Tradesman

MaterialsAccess

Repair

“Something’s broken…”

Service Level, AvHTDiagnosis & SoR

Target Times, Budget

Diagnosis,Bonus, Fix

Cancel WO’s

favouritism

Delay

No. JobsType of job

40% fail

95% WO’s Reworked

Parts/materialPriority

Activity, Time, CostProp. o/heads

Re-allocateArgue

“What’s going on!”“It’s not fixed!” 65%

Bonus

Distrust

Systems Thinking

'failure demand' - demand caused by a failure to do something or do something right for the customer and 'value demand' - what the call centre exists to provide

All work waiting to be done, is work to do

Capacity = work + waste

Demands are requests for service by, or on behalf of,the service user, including situational demands?

£

Nominal Value

Why Does This Matter?

Taguchi Curve

“He is very sweet and patient. He has saved my sight and I’m very

happy. Halellulah!”

“I don’t know what is likely to happen”

“Until I get my appointment date my

life is on hold”

“I am 85 and reading is my life now”

“The doctor kept getting interrupted and asked me the same question

three times. It’s a safety concern”

“I don’t mind when it is, but because I work I

need to know”

“I’m waiting for an appointment, but I’d like

to speak to someone because I’m worried”

“They rescheduled my operation, they simply don’t understand what

this means to me”

“I know you are busy, but I matter”W

HAT

MATTERS

WHAT

MATTERS

Nominal Values Reflect What Matters to Service Users

Outside In

• Break into groups of three or four and examine the case study examples

• Try to get into the shoes of the service user identify what matters to them

• Discuss the pros and cons• Summarise in the words of the service user what

matters• Suspend any thoughts about what usually

happens, or any judgement of what matters to them

So What Are We Here For?

- Break into groups and spend 3 mins identifying what the purpose of our system is. (This is one of those no right answer things, but think aboutmanagement preoccupations)

- Break into groups again and identify from your private life (you or someone close to you) a memorable interaction with a public sector organisation?

- What matters/mattered to you?

- What do you think the purpose of that system is?

So What Are We Here For?

What is the purpose of the system?

The purpose of the system

is…..

When we study the existing work we see the de facto purpose

When we study value demand we see the real purpose

Capability

De Facto Purpose.

Purpose from outside-in.

When we consider performance against the de-facto purpose, it tells one story

When we consider performance against the outside-in purpose, it can tell another story

Examples?

System Conditions

Why is doing better things difficult?

Break into groups again and identify examples of change projects, or major changes that haven’t worked as well as intended.

“you cannot solve a problem with the same thinking that caused it”

Thinking

System

Performance

“Same Things Better”

“Better Things”

System conditions are things that cause the system to behave the way it does.

Traditional Thinking

Top Down, hierarchySeparated from workControlReactive, projects, by planExtrinsicFunctional specialismOutputs, targets, standards:Relate to budgetContractualContractualMake #’s & manage people

Outside In, systemIntegrated with work

LearningAdaptive, integral, emergent

IntrinsicDemand, Value, Flow

Capability and variation:Relate to purpose

What matters?Co-operation, mutuality

Act on the system

PerspectiveDecision making

EthosChange

MotivationDesign

Measurement

Attitude to customersAttitude to suppliersRole of management

Systems Thinking

New Ethos

You need to help solve a problem called ‘learning how to build the newmodel at scale’.

We’ve got to land that learning so it will require us to be creative but also industrious.

Systems Thinking Intervention Approach

Unlearn Learn

Dissonance Resonance

This is a complex, system and we will need to keep many plates spinning, so we need your help to;

- Work as a team- Bring your skills, but not your roles- Take responsibility for learning- Think outside the box (if there is a box in the

first place)- Keep the pace up

Specific Redesign Roles• Operational Lead – understand, capture and synthesise what is and isn’t

working, learn method and unblock problems, ‘sweeper’.• Crystallisers – Land learning and turn into products• Strategy – understand strategic implications and implications for roles,

work design and measures• Team – to learn how to meet purpose at scale and develop value work • Fort Holders – Keep business running as usual, promote smooth transition

to new model, assist in developing new model

Mapping Demand and Flow

‘Get Knowledge’

‘In god we trust others must bring data’

William Deming

Principle: Base decisions on knowledge.

Control V’s Learning Ethos

Chief Housing Officer

Supervisor Supervisor

Tradesmen

Inspector

Receptionist

Works Manager

‘Processes should be followed’ ‘What can we learn’’

Inhibits learning, problems hidden,Knowledge diluted through hierarchy.

Normative Learning

Mapping FlowCapacity = Work + Waste1. Work (Often called value added)‘The activity changes the product or service towards something that the customer wants’2. Waste (often called non value added)- Enabling activity (work)- Mandatory (usually legal requirement)- Pure waste

‘I need a small car that’s easy to

drive’

What are the two consequences of notjust meeting her nominal value (what matters to her)?

Unmet need

Overproduction

This is Not Just About Reducing Waste

Consequences of Not Meeting What Matters in this System

Low

to h

igh

Triangle of complexity / need

Another Consequence of Waste Activity?

Capacity = Work + Waste

EnablingManadatoryWaste

Waste uses updesperately needed resource

WorkWaste

Potential Tensions In This System

Mandatory Best practice and guidance

Risk Management Risk elimination

You need to work out how much of writing things on screens and on files is ‘work’ or mandatory?

Demand Mapping1. Introduce yourself and explain what you are doing. 2. Stress you are here to listen to service user demands, not how they are

dealt with.3. Listen to the conversation directly with earphones (rather than just the

response).4. Write notes of what the service user says.5. If you can see the service user, observe them and make notes about any

non-verbal or situational signals that may be indicating what matters to them.

6. As soon as practicable, summarise in one or two sentences what matters to the service user (in their words, phased outside in).

7. Write down whether it was a value or failure demand (See earlier definition)8. Write down whether it was successfully dealt with first time (according to

the service user).(If calls go quiet then use the same techniques with any written requests for service such as letters or referrals)

Demand Value or Failure

1st time

Mapping Flow1. Introduce yourself and explain what you are doing. We want knowledge of what

actually happens so go out of your way to put them at ease and reassure 2. Pick up a typical case mid process and follow the flow backwards and forwards.3. Record what actually typically happens (not what procedures manuals or managers

say should happen).4. Write down the main steps and events on post it notes.5. Write down any issues you come across or hear about and write them on a post it

note together with what you believe the cause was.6. Divide into smaller groups if the process is too long to map in a day.7. Note down if the case was known to us previously and how many cycles it may have

been through.8. When you come back together organise the post-it notes into a continuous flow from

start to finish.9. Write down the issues and causes at the relevant points in the flow.

Too Much Detail

Not Enough

70%

13%

17%

Clinic A

ppointment

Receive Letter

Write to

Referral form

other to other

AssSpecific or soon as pos 68%

71 Days

27 Days

40 Days

GP

Practising Mapping Flow

• Break into three groups• Identify a non social care flow that

someone knows well • By asking questions, map the key events

and steps within that process from end to end.

The Task• By Thursday Lunchtime, - Identified typical demands in the system (Expressed in the service user terms)- Got some data on how many are value and failure- Identified a purpose for the system (based on demand and

expressed in the service user terms)- Mapped the typical flow end to end- Identified on the flow the main issues and causes- Fed back to each other (a good cross section to do the feeding

back)(Don’t worry about how robust it is)