making innovation a habit
DESCRIPTION
Adopting Lean innovation thinking involves deliberately practicing Lean innovation routines. too often companies attempt to reduce innovation to a set of tools. Great companies make innovation a part of the fabric of the organization through continuous improvement. We provide thought starters here. Learn more about how organizations are doing this at the 2014 LPPDE Conference on September 23-24 in Raleigh/Durham, NC (www.lppde.org).TRANSCRIPT
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DELIBERATE INNOVATION: ITERATIVE LEARNING TOWARD A CLEAR VISION
By Jim Morgan and Jeff LikerAugust 2014
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More and more companies are engaged in creating new working patterns in product creation that engage people and functions across the organization.
Every organization should have strong routines for effective innovation to keep moving forward!
It’s not so complex, but it is a challenge to introduce new
behavior routines into a team or organization.
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Notice... Your core product or service is the one thing your entire organization has in common.
Delivering a new product or service and creating a better value stream involves every function in the organization.
Focusing on the value you add for your customer is a way to align and engage any enterprise.
A Unique Opportunity
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Delivering the right Productor Service = Growth
Plus 60 – 70% of operating costs are determined in the design phase of a product & process
Lean Product-Process Development is aboutcreating great products and reducing cost
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VALUE ENGINEERING
VISUAL Management
ErrorPROOFING
Knowledge Database
So Many Tools???
Standard Architecture
Value Stream Mapping
Obeya (big room)
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Specifications Development
Concept Development
DetailedDesign
ProductionPreparation
Launch
Time
Value-Added Flow
Rework & Churn
Non-Leveled Processing
Common Waterfall Process of Specialists Not Working Together: Uneven Flow & a Lot of Rework
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Pro
cu
rem
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Fin
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Fin
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Fin
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Ma
nu
fact
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Tech
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log
y
Sch
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Manufa
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Tech
nolo
gy
Sch
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gPro
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Man
ufa
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Tech
nolo
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Co
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Act
ion
Bo
ard
Str
ess
De
sig
n
Tool
Engin
eeri
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Ind
ust
rial
En
gin
ee
ring SP
C
M&
P
Pro
duct
ion
Contr
ol
Sch
edulin
g
Manufa
cturi
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Tech
nolo
gy
Qualit
y
Engin
eeri
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Finance
Rece
ivin
g
Cu
sto
me
r S
up
po
rt
Functional Organization
Pro
cure
me
nt
Much of Waste in Product Development comes from Functional Bureaucracy: Making our own Numbers with No Overall Focus
Value Delivery Process
Manufa
cturi
ng
Engin
eeri
ng
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Time
One Result is Reduced Lead Time
Creating FLOW in Product
Development
Leveled Processing
Specifications Development
Concept Development
DetailedDesign
ProductionPreparation
Launch
What we want is Coordinated Specialists Working at a Leveled Pace to Get it Right the
First Time
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It Takes an Integrated System of People, Processes and Tools to Achieve Leveled Flow
Focused on the Customer
PEOPLE
PROCESS TOOLS
A sustainable system
13 Lean Development Principlesall enable the continuous flow of value
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“We could talk about Toyota’s engineering process and TPS and all these different systems. But just talking about them is not going to necessarily make another company better. It is rooted much deeper in the culture in things like obeya, the Chief Engineer system, kaizen, etc. It is the totality of it working together in the culture established across many years that make it all work.”
Uchiyamada,
First Chief Engineer, Toyota Prius
It’s People Working Together Toward a Common Goal who Turn Lifeless Tools
into Innovation
PEOPLE
PROCESS TOOLS
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What do you See?Isolated Individuals or Collaboration?
(Software Design at Menlo Innovations)
• Introduction
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Innovation Does Not Have to be ChaoticWork Authorization Board:
The Daily Visual Work Schedule - Simplicity & Clarity!
The joy of getting things done!
• Time actual completion of each card vs. planned• Red, green, yellowMenlo Innovations, LLC
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The Scientific Method of Plan-Do-Check-Act is how we should Learn our Way toward Innovation
that Works
PLAN
DOCHECK
ACTGrasp
the Situation
• Understanding• Agreement• Buy-in• Clear Action
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Creative
Problem
Tension
Solving
Grasp The
Situation
Gap = Challenge
Target
Target
Target
Business & People
Purpose
CurrentState
Grasp The
Situation
Grasp The
Situation
Grasp The
Situation
Target
CHALLENGE& VISION
Results and
Condition
KEY ELEMENTS FOR DELIBERATE INNOVATION AREA CLEAR DIRECTION, UNDERSTANDING WHERE WE ARE NOW, AND
ITERATIVELY LEARNING STEP BY STEP TOWARD THE CHALLENGE
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SOLUTION
Unfortunately We Often Jump to Quickly to Solutions because we think we know
Jumping from “problem” to “solution” without clear understanding and analysis
PROBLEM
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It’s LearnedBornOK... HOW?
DesignThinking
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VIDEO - A Way the Brain Learns(2 minutes)
https://www.youtube.com/watch?v=ELpfYCZa87g
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We’re striving for aLearning Organization
HABITS
Knowledge(What, Why)
Skills(How)
Desire(Want)
HABITS
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The Lone Inventor with one Brilliant Ideais a Myth
• Challenge: A working electric Light bulb• Hypotheses: 3000 different filaments• Tested every version• 2 successes/3000
“Genius is one percent inspiration, ninety-nine percent perspiration.”
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It is Many Ideas that Through Experimentation Turn into One Winner!
Experimenting our way forward
Increasing Knowledge
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Visible
LessVisible
Lean tools and techniques to improve quality, cost and delivery
• A systematic, scientific way of thinking and acting
• Managers as the teachers of that way
WE SEE TOO MUCH FOCUS ON IMITATING THE TOOLS AND PRACTICES OF GREAT COMPANIES LIKE TOYOTA AND NOT
ENOUGH SCIENTIFIC THINKING
This less visible part is a contextfor making the Lean tools and practices work
SOURCE: Mike Rother
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We need a way for Team of People to Learn A Systematic Approach To Achieving a Challenging Goal:
THE IMPROVEMENT KATA MODEL PROVIDES THIS
Understandthe Directionor Challenge
Grasp theCurrent
Condition
Establish theNext TargetCondition
CC
TC
1 2 3 4Iterate
Toward the Target Condition
Planning Executing (PDCA)
This pattern is designed for learning a systematic approach to innovation
SOURCE: Mike Rother
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WHAT ARE KATA?Kata are structured routines you practice
deliberately, especially at the beginning, so their pattern becomes a habit and leaves you with new abilities
KATA:• Are typically for learning
fundamentals, to build on.• Are a way of transferring skills and
developing shared abilities and mindset in a team or organization.
“Let’s begin by practicing it this way for a while.”
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SOURCE: Mike Rother
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THE IMPROVEMENT KATA IS A WAY OF DELIBERATELY PRACTICING THE SCIENTIFIC LEARNING CYCLE
This cycle gives you a practical way to reach a target condition, by providing a systematic way of working through the grey zone between here and there.
SOURCE: Mike Rother
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Developing Exceptional Leaders and Engineers takes On-the-Job development by teacher-coaches Who
Ideally are the Managers, not Outside Teachers
Master Chef & StudentsSoccer Coach going over plays
Coaching Girl’s Basketball TeamTeaching Violin
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Exceptional Teams need Exceptional People: Toyota Engineers go through an inverted T career getting some breadth then going deep within a specialty
Breadth of Experience Acrossthe Organization (1-2 years)
Deep Knowledge within a Specialty Domain (5-10 years)
A) T-Type Managers: Deep knowledge then go broad across jobs
B) Inverted T-Type Engineers: Broad exposure then go deep in technical specialty
Deep Knowledge within Technical Specialty throughout Career (rest of career)
Breadth of Experience Across the Organization (rest of career)
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THE KEYS TO LEARNING DELIBERATE INNOVATION
• Common Vision for the Product and Process based on Deep Understanding of the Customer
• Specialists are learning technical knowledge deeply• Specialists are also learning through daily practice how to
improve (a kata)• Managers are skilled at the scientific method for
improvement and how to coach and teach others• Leverage abilities of all employees— Everyone is an
Innovator!