Sustainable Lean

The Story of a Cultural Transformation

Robert B. Camp

• Publisher: Productivity Press
• Year: 2017
• Print ISBN: 9781466571686
• eBook ISBN: 9781482201550
• Topic: Business
• Subtopic: Operations
• Index: Business

If you've employed consultants and embarked on a Lean transformation only to find your efforts stall after the consultants leave, this book will teach you what you must do to stay the course over the long term. Using a compelling novel format, Sustainable Lean: The Story of a Cultural Transformation illustrates the process of implementing a sustain

1

The Encounter

I’d like to tell you that I met Frank in the first-class section of a flight from China, but that wasn’t the case. No, I met Frank when he addressed our town’s Rotary.

Don’t get me wrong, the Rotary brings in some great lecturers, but Frank had passion and he had a compelling message. The message? Stop bleeding off U.S. manufacturing to other countries.

Frank’s discussion could have been high level and philosophical, but wasn’t. It was data packed and offered solutions. I wasn’t alone in my appreciation for his message. Not only did we give him a standing ovation, several of us approached him after the session ended.

When it was my turn to talk, we exchanged a handshake and I told Frank my story.

Two years ago, I’d brought in some consultants to help me to employ Lean in my factory. At first, they did great stuff. Costs dropped, defects dropped, and delivery times dropped. It was amazing.

When our contract ran out, I expressed my sincere gratitude. Their lead consultant asked me to extend the contract, but corporate had been breathing down my neck to get my consulting costs back in line. I had to decline.

In the months that followed, things did all right, but then seemed to slowly drift back to the preconsultant conditions. I was frustrated. My boss was frustrated. My employees were frustrated. “What did I do wrong?” I asked Frank.

He’d listened politely to my story and only now did a smile creep across his face. “What you did,” he said, “was to trust someone else to perform a job that only you and your managers could really do.”

“I don’t understand,” I admitted.

“What you did was to allow consultants to come in and assume leadership of your Lean transformation. I hate to admit it, but even consultants don’t always get it.”

“I’m not following,” I said, looking at the floor. “What should I have done?”

Frank looked at the line behind me and said, “The answer to your question will take longer than a few minutes.” He handed me his business card and said, “If you are really interested, give me a call tomorrow morning after 7:00 a.m. I’m only in town until 5:00 tomorrow evening, but I’ll meet you for coffee in the morning and answer your question.”

I thanked him again and left.

That night I woke from an ugly dream. My boss was telling me that he was going to have to fire me because my plant’s numbers had all gone south. In a transition that would make no sense in waking life, the consultants were in front of me saying, “We could have told you this was going to happen.”

As I snapped awake, security was leading me out of my office and my boss was shaking someone else’s hand, someone who I knew, and with the clarity that only a dream can provide, I could tell that he was my replacement.

My heart was racing and there was a sour taste in my mouth. Hours later, when I finally got back to sleep, it was only after vowing to call Frank in the morning. Thus began what has become the most amazing transformation of my factory and, more importantly, of me.

The months ahead would see our costs plummet, our on-time delivery go from the low 80s to nearly 100%, and our defects drop by close to 80%. I’d like to tell you that it was a breeze getting there, but that would be a lie. It was hard work and often painful, but more of that later.

2

The Tough Question

Frank met me at a local coffee shop. My fear from the dream had never fully subsided. I was ready for answers and was willing to listen to solutions that would get me back to what I’d had two years earlier.

“So,” Frank opened, “tell me about your experience.”

“Where to begin …” I ventured. “OK, it started like this. A friend had used these folks and they had done wonders for him. He’d done so well that he’d been promoted the following year. ‘What have you got to lose?’ he’d asked me. I called the agency and set up an appointment.”

“The lead consultant described the kinds of things they’d do and that we’d measure results every step of the way. They weren’t cheap, but they guaranteed four times their cost in first-year savings.”

“Did you get it?” Frank asked.

“That and then some,” I replied. “It was amazing how their methodology worked. The more our costs dropped, the higher our first-pass yield got. The better our yield, the faster our processes became and the more pleased our customers were. It was wonderful ….”

Frank interrupted my reverie, “Then what?”

I sniffed derisively. “Then, I didn’t renew their contract and things seemed to fall apart.” I told Frank about the dream and admitted that, since the dream, I’d realized that there were signs that my boss might, indeed, be looking to replace me.

“It takes a good dose of paranoia to reach a general manager position,” he said. “I wouldn’t lose sleep over this.”

Unconvinced by Frank’s bonhomie, I asked, “Is there anything I can do?” already sensing the answer. I suspected that my heydays were behind me and that it was now only a matter of time until I was let go.

“I don’t know,” Frank responded. “How hard are you willing to work?”

“I’m willing to do what it takes,” I replied, “but isn’t the question ‘How much are you willing to pay?’” I asked sarcastically.

“No, if I wanted to know that,” he said, “I’d have asked you that.”

“I’ll tell you the truth,” Frank continued, “it’s a long shot. Most leaders don’t have the commitment to see a Lean transformation through, but on the off chance you’re different, I’ll tell you what the next step is and give you until tomorrow to give me an answer.”

“That simple?” I asked.

“That hard,” Frank responded.

“OK, shoot.”

“Are you willing to change the way you manage so as to become a Lean Leader? Now, before you answer ‘Yes,’ let me tell you what is required of a Lean Leader. You will need to commit to leading with both data and heart. You’ll need to part company with people who aren’t willing to support the transition to Lean; some of them might even be close to you, friends even. You’ll need to listen more and delegate more and lead by truly getting out front.”

“You think about that and ask if you are really willing to do that. If you are, you can turn your company around in six months. In that time, you’ll be well on your way to a lifelong transformation.”

“Of course,” he continued, “if you decide you can’t, you’ll be in good company. Fewer than 20% of executives are able.”

“So, think about it and give me a call tomorrow.” Frank checked his watch. “I’m sorry, Jim, but I’ve got to dash. I’ll look forward to your call.”

“Wait!” I urged. “What will it cost me?”

Frank had already grabbed his mug and was walking to the recycle station. “We’ll talk about that tomorrow. Meanwhile, ask yourself what you’d be willing to pay to be successful, to turn your firm around, to be part of the 20% who were able to become true winners; not only them, but everyone who works for them. You can tell me that tomorrow, too.”

Frank pulled a 3 × 5 card from his breast pocket and made a notation.

“Tomorrow,” he said, waving good-bye.

3

An Honest Answer

I mulled Frank’s question over for hours. Was I willing to change? I thought I was, but the mere fact that Frank assigned so much value to the answer made me hesitant.

What would I be asked to change? Change the way I lead? That could mean lots of things, but Frank had specifically said that I might have to part company with folks who worked for me, maybe even friends. Could I do that?

All told, I only had six direct reports: Phil, my controller; Hank, my engineering director; Gus, my operations director; Flo, my HR director; Justine, my sales director; and Carlos, my materials director. Well, then there was Margaret, my secretary. Which of them would I be willing to lose? Really, the question was which would I be willing to fire?

I rolled that question around all afternoon and into the evening. At supper, Joyce, my 16-year-old, said, “You haven’t heard a word I said,” in a huffy voice more appropriate for a wife than a daughter. Jim Jr., my 11-year-old, said “Can’t you see that Dad’s working something out in his head?”

Out of the mouths of babes, I thought.

“You’re right,” I admitted to Joyce. I gave a sheepish smile across the table to Bridget, my wife. Looking at Jim Jr., I said, “And you’re right, too, son. I’m working through a really tough question that I’ve got to answer tomorrow.”

Bridget reached across the table, taking my wrist. I knew it to be a sign of affectionate support, so when she asked, “Anything we can help you with?” I didn’t get defensive. I just looked down at my plate and shook my head in the negative.

“Do you think you could stick with us a few minutes? Joyce has been invited to the senior prom and wants our permission.”

“Wow, Joyce, that’s quite an accolade. A freshman getting invited to the senior prom?”

I caught a look from Bridget. I could tell that she didn’t want Joyce going, but I hadn’t heard her reasons earlier. I’d been too wrapped up in my own problems.

Then it hit me, didn’t Frank say that part of changing was that I was going to have to listen more? Boy, I’d failed that requirement already. Maybe I really did need to change. I sure wasn’t being much of a leader at home.

I looked at Joyce and said, “Honey, this is a big deal for you, but it’s a big deal for your mom and me, as well. Let us talk it over and we’ll give you an answer by tomorrow night.”

“Whatever,” said Joyce in disgust. She pushed away from the supper table and marched off to her room, only to slam the door. She’d been looking for an easy “Yes,” and, I had to admit, I’d been the one in the past to give it. I’d wanted to avoid confrontation, but now realized that I’d undercut Bridget every time I did. I’d sacrificed my relationship with my wife, for a relationship with my kids. I wondered if being a pushover really gave me a relationship with them, or did they just use me to overcome their mom’s objections?

“Jeez!” I thought, “Was I this bad at work?” That sent me off on another bout of self-reflection. At least I’d been able to defuse Joyce’s crisis long enough to talk things over with Bridget. I suppose I should take credit where I could find it.

That night I tossed and turned. Bridget and I had resolved to let Joyce go to the prom, but that the boy had to come to the house for supper beforehand, and he’d have to have her home by midnight. We knew we’d get pushback from Joyce, but we were both OK with that. I have to admit, it felt good being a real partner to Bridget and working through this problem like a real couple...

Table of contents

• Cover
• Title Page
• Copyright
• Contents
• Preface
• About the Author
• Chapter 1 The Encounter
• Chapter 2 The Tough Question
• Chapter 3 An Honest Answer
• Chapter 4 The Process Begins
• Chapter 5 Day 2
• Chapter 6 Metrics and More
• Chapter 7 Cascading and Catchball
• Chapter 8 Hourly Key Performance Indicators and Summation
• Chapter 9 Home Sweet Home
• Chapter 10 Wrap-Up and Some Advice
• Chapter 11 Confrontations Everywhere
• Chapter 12 When It Rains …
• Chapter 13 Candor and Games
• Chapter 14 A War on Two Fronts
• Chapter 15 At Last, Some Good News
• Chapter 16 Pulling Out the Stops
• Chapter 17 The Showdown
• Chapter 18 A New Day
• Chapter 19 The Fat Lady Sings
• Chapter 20 A New Era
• Epilogue
• Author’s Notes
• Further Readings
• Index