1 Getting Things Done w/ SBF: SBF 100%. 2 Who has a safety minute - contact/tip? Set- Up.

1 Getting Things Done w/ SBF: SBF 100%

2 Who has a safety minute - contact/tip? Set- Up

What are some other models? To name a few (hundred) 3 Cs ADL Matrix Acquisitions Integration Approaches Blue Ocean Strategy Capability Maturity Model GE-McKinsey Matrix OODA Loop Profit Pools Resource-based View of Firm Scenario Planning Strategy Maps Application Portfolio Optimization Value Stream Mapping Six Thinking Hats 4 Ps Marketing Mix 7 Ps Marketing Mix 6 Change Approaches Cultural Dimensions Theory Six Sigma Quality Management Change Management Iceberg Organizational Learning Performance Prism Crossing the Chasm... Mines Best ! Set- Up

What are some other models? TOM PETERS sez Pick a strategy, and go like hell !!! Set- Up

Other models for SAFETY (Environment and Health) ? SOURCE: 5 Questions: Capt. Chesley 'Sully' Sullenberger, Sept 2012, STANFORD U. interview/article http://med.stanford.edu/ism/2012/september/5q-sully-0910.html Set-Up S

Management Practice & Productivity: Why they matter Other models for QUALITY (Betterment)? Management Matters -McKinsey Study (n = 4000) Further analytical detail available at: http://cep.lse.ac.uk/management Set-Up B

Other models for SPEED of Execution(Faster)? http://www.velaction.com/velaction-continuous-improvement/lean-consultant-jeff-hajek/ Jeff with the jaybird Set-Up F

Were in the Strategy Box VOC Strategy VSM Metrics (CTQ) What customers want What your company wants to do How your company wants to do things How your company measures things Intro

Safer, Better, Faster Voice of Customer (VOC) [effectiveness] Voice of Business (VOB) [efficiency] H. S. & E.Safety QualityYield On-TimeCycle-time ValueCost (COGS, COS et al) Operational Excellence is when the efforts throughout the organization are in a state of alignment for achieving its strategies and where the corporate culture is committed to the continuous and deliberate improvement of company performance AND the circumstances of those who work there to pursue Operational Excellence by Design SM and not by coincidence. Joseph F Paris Jr Intro

Define KPOV (Customer-based) Effectiveness measures look at your process outcomes from the eyes of the customer! How closely are we meeting their needs and requirements? What defects have they received? How satisfied and loyal have they become, based on our performance? Intro

i.e. - How does the auto industry measure effectiveness? Automotive Performance, Execution, And Layout (APEAL): how much consumers like or dislike the way their vehicle looks, drives, and feels! Initial Quality Study (IQS): problems consumers report with their new vehicles during the first 3 months of ownership! Customer Satisfaction Index (CSI): Measure of dealer customer service! Intro

Common Effectiveness Measures Defects Per Unit Customer Percent Defective On Time Delivery Customer Satisfaction Intro

Safer, Better, Faster Voice of Customer (VOC) [effectiveness] Voice of Business (VOB) [efficiency] H. S. & E.Safety QualityYield On-TimeCycle-time ValueCost (COGS, COS) Operational Excellence is when the efforts throughout the organization are in a state of alignment for achieving its strategies and where the corporate culture is committed to the continuous and deliberate improvement of company performance AND the circumstances of those who work there to pursue Operational Excellence by Design SM and not by coincidence. Joseph F Paris Jr Intro

Define KPOV (Process-based) Efficiency measures look at how your process performs in the eyes of the business! What is our process cycle time? What is our process yield? How cost effective are we at meeting customer requirements? Intro

i.e. - How does the auto industry measure efficiency? Assembly Time / Vehicle Defects Per Million Opportunities First Pass Yield Gross Margins Labor / materials cost / unit Intro

Common Efficiency Measures Process Cycle Time Cost of Poor Quality (COPQ) Resources expended per unit of output Percentage of time value-added Rolled Throughput (First-pass) Yield Each process and sub-process should have two efficiency requirements established: a ratio of input-to-output value (i.e. cost per P.O. processed, process yield) a measurement of cycle time (i.e. hours to process a P.O.) Intro

Topics

Safety isnt about a sign or a program S http://www.nsc.org/news_resources/Resources/Documents/Dept.%20of%20Defense%20- %20Driving%20Toward%200.pdf Driving Toward 0 report findings:

No Joke! Safety Pays S SOURCE: Wall Street Journal, 6/6/2014

Pay Me Now or Pay Me Later Faulty Ignition Switch: GM knew since 2004, but failed to warn Of 303 deaths, GM recognized 13 None of the solutions represents an acceptable business case. GM Manager - long and grievous tradition: the cover up SOURCES: USA TODAY, 4/10/2014 Article, Ralph Nader FORTUNE, April 2014 Article, Doron Levin Toyota fined for accelerator cover up: $1.2 BILLION S

Pay Me Now or Pay Me Later S BTW: A shipping container weighs about 30 tons !

S http://www.environmentalleader.com/2010/09/20/how-top-companies-execute-environmental-health- safety-programs/

Expand E.H. & S. In a 2-1 decision, the appeals court said SeaWorld's challenge to the finding was unpersuasive and that the Occupational Safety and Health Review Commission was correct when it found that the SeaWorld park in Orlando, Fla., had violated a federal workplace safety law. The court said SeaWorld had exposed trainers to recognized hazards when working in close contact with killer whales during performances. In its arguments to the federal government, SeaWorld said the finding that it exposed its employees to a recognized hazard is unsupported by substantial evidence. The company contended that when some risk is inherent in a business activity, the risk cannot constitute a recognized hazard. The Associated Press First published April 11 2014, 2:44 PM S U.S. Court Upholds Ruling Against SeaWorld in Death by Killer Whale Case

Expand E.H. & S. S http://news.walmart.com/news-archive/2014/04/29/walmart-convenes-key-partners-at-first- ever-sustainable-product-expo-to-accelerate-supply-chain-innovation

S http://news.walmart.com/news-archive/2014/04/29/walmart-convenes-key-partners-at-first- ever-sustainable-product-expo-to-accelerate-supply-chain-innovation

1.How will we do business if our critical systemsmanufacturing, storage, electronics and distributionare rendered inoperable? 2.How can we resume operations quickly following a business disruption, and what will we need to do so? 3.Are there any particularly vulnerable aspects to our business that we can eliminate as opposed to harden? 4.What are the pieces of our business that are so critical that a major investment in hardening or redundancy would be justified? 5. Despite taking many proper precautions, are we still vulnerable to disruption due to outmoded infrastructure in the region? S SOURCE: Disaster-Proofing Your Supply Chain http://www.industryweek.com/supplier-relationships/disaster-proofing-your-supply-chain-5-question-checklist- execs?utm_campaign=Social%20Media%20Leads%20FY2014&utm_content=5796081&utm_medium=social&utm _source=twitter

S Stevedoring example

Winning! INLAND/COASTAL/LAKE SHIP OPERATOR OF THE YEAR Sponsored by Class NK Winner - Kirby Corporation SHIPYARD OF THE YEAR Sponsored by ABS Winner- NASSCO MARINE CASUALTY RESPONSE AWARD Winner - Titan MARITIME SERVICES AWARD Winner - Dr. Lee Alexander, Center for Coastal and Ocean Mapping Chase Ocean Engineering Lab, University of New Hampshire TRAINING AWARD Winner - British Columbia Ferry Services Inc. with Bridge Team Simulation Team S Get on a LIST !! Darn it !! (I dont care what list)

Winning! OFFSHORE SHIP OPERATOR OF THE YEAR Sponsored by Liberian Registry Winner - Seacor Marine PORT OPERATOR OF THE YEAR Winner - Port of New Orleans ENVIRONMENT AWARD Sponsored by Svitzer Winner (joint) - Fednav - North American Marine Environment Protection Association (NAMEPA) CRUISE/PASSENGER OPERATOR OF THE YEAR Winner - Royal Caribbean Cruises SAFETY AWARD Sponsored by Inmarsat Winner - Maersk Line https://ibiawards.com/north-america/winners/ S Get on a LIST !! Darn it !! (I dont care what list)

Top Ten Environmental Firms 1 CH2M HILL Ltd., Englewood, Colo. 2 URS Corp., New York, N.Y. 3 Veolia Environment North America, Chicago, Ill. 4 Tetra Tech Inc., Pasadena, Calif. 5 Bechtel Corp., San Francisco, Calif. 6 Energy Solutions Inc., Salt Lake City, Utah 7 AECOM Technology Corp., New York, N.Y. 8 MWH Global, Broomfield, Colo. 9 Golder Associates Corp., Mississauga, Ontario, Canada 10 Clean Harbors Inc., Norwell, Mass. http://enr.construction.com/toplists/Top-Environmental-Firms/001-100.asp S

S Prevention is Key

S http://www.foxbusiness.com/personal-finance/2013/11/04/making-health-fun-and-social-affair/ Move it !!!

1Do you have a corporate social responsibility program? 2 Do you have staff dedicated to CSR? 3 Do you have a corporate sustainability program? 4 Do you have staff dedicated to sustainability? 5 Are you a member of VPP? 6 Are you OHSAS 18001 certified? 7 Are you ISO 14001 certified? 8 Do you operate a formal, documented S&H management system? 9 Is your recordable OSHA injury-illness rate better than your industry average? 10 Have you had an OSHA inspection triggered by an employee complaint in the past 3 years? 11 Have you had an OSHA inspection triggered by a fatality or multiple injury incident in the past 3 years? 12 Do each of your employees receive more than 24 hours of safety training per year? 13 Is the ratio of your S&H full-time professional staff at least 1 to every 200 employees? 14 Do you have a formal health promotion program to boost employee overall health? 15 Do you have a formal off-the-job safety program for employees? 16 Does your S&H full-time professional staff have more than 20 years experience combined? 17 Does the majority of your S&H full-time professional staff have CIH or CSP certifications? 18 Are the annual salary increases of your managers and supervisors in part linked to S&H performance? 19 Do you conduct annual S&H perception surveys of employees? 20 Do you have a formal ergonomics program ? S http://www.ishn.com/articles/100- committed-companies

1Do you have a corporate social responsibility program? 2 Do you have staff dedicated to CSR? 3 Do you have a corporate sustainability program? 4 Do you have staff dedicated to sustainability? 5 Are you a member of VPP? 6 Are you OHSAS 18001 certified? 7 Are you ISO 14001 certified? 8 Do you operate a formal, documented S&H management system? 9 Is your recordable OSHA injury-illness rate better than your industry average? 10 Have you had an OSHA inspection triggered by an employee complaint in the past 3 years? 11 Have you had an OSHA inspection triggered by a fatality or multiple injury incident in the past 3 years? 12 Do each of your employees receive more than 24 hours of safety training per year? 13 Is the ratio of your S&H full-time professional staff at least 1 to every 200 employees? 14 Do you have a formal health promotion program to boost employee overall health? 15 Do you have a formal off-the-job safety program for employees? 16 Does your S&H full-time professional staff have more than 20 years experience combined? 17 Does the majority of your S&H full-time professional staff have CIH or CSP certifications? 18 Are the annual salary increases of your managers and supervisors in part linked to S&H performance? 19 Do you conduct annual S&H perception surveys of employees? 20 Do you have a formal ergonomics program ? S

S Implement Standardized Work use photos, simple diagrams, and plain text to make work instructions and present them in a very clear manner

Mistake Proof It! Poka-Yoke (English translation) Yokeru: to avoid Baka: inadvertent errors S Dr. Shigeo Shingo, circa 1986 (Toyota Motors) attributed with developing the methods Target of Zero Defects and elimination of QC Inspection

Danger!! Will Robinson DANGER!! S

Mistake Proof It! Shutdown Process Control Process Warn Operator Shutdown Process Control Flow Warn Operator S Predict Defect (about to occur) Detect Defect (occurred) Eliminate Defect (negate possibility) With the addition of mistake control, Motorola was able to achieve nonconformity rates in the tens of parts per million. SOURCE: Variation, Mistakes and Complexity Hinkley and Barkan [Sandia Labs, Stanford Univ.] Journal of Quality Technology, Vol. 27, No.3, July 1995

Mistake Proof It! (Shut Down) S

Mistake Proof It! (Control) S

Mistake Proof It! (Warning) S

Mistake Proof It! City Trader buys $1000000000 worth of shares instead of $10,000,000.00! Accounts Payable pays supplier twice Failure to invoice customer for services provided Miscalculation in currency exchange Your experiences..? S

Excellence !! (umNot So Much) S

Ah Excellence !! B If you want to serve the customer with uniform Excellence, then you must FIRST effectively and faithfully serve those who serve the customeri.e., your employees, via maximizing tools and professional development. Tom Peters

Ah Excellence !! http://blog.kainexus.com/continuous-improvement-leadership-behaviors-blog-series B

Ah Excellence !! B According to Aberdeen Group benchmark report "BPM and Beyond: The Human Factor of Process Management," Best-in-Class companies work to build an information culture around BPM usage.

Ah Excellence !! In order to improve operational processes and drive down costs, business owners and managers are now looking for employees who can regularly apply BPM tools to their work. B

Guess What? Advanced Supply Chain Capabilities Improve Company Financials Jennifer Baljko, Freelance writer 5/15/2014 Jennifer Baljko, Freelance writer Ah Excellence !! http://www.ebnonline.com/author.asp?section_id=1061&doc_id=273266 B

Ah Excellence !! B H as your company mapped out key processes? H as the collective knowledge of the more experienced members of the team been distilled into an easy to follow step-by-step formula for success? A re new associates armed with best practice process maps to ensure they can more quickly deliver the results of a seasoned employee? A re you measuring performance insuring consistent use of best practices across the enterprise? Some questions for you Process Excellence: Achieve Superior Results http://www.rpesolutions.com/RPE_White_Paper_Process_Excellence.pdf

Lean Six Sigma An Industry Standard B

Total Customer Satisfaction The only strategy I know of which provides equally balanced focus on all five major areas of differentiation is total customer satisfaction, as the fundamental objective of the company. Bob Galvin, when Chairman of Motorola, summed it up by saying, If you take care of the customer better than any of your competition, the business will take care of itself. (1)price, (2) delivery, (3) performance, (4) quality, (5) total customer experience B

Total Customer Satisfaction Don Fitchett Like in the past or currently, reaching "Process Excellence" may be KPIs high enough, you have a lean production process, etc. But at that point you think you reached it, if done right, the goal line should have moved, the bar set higher. Once you are there, you should be looking at the bigger picture, the future. Now the new "Process Excellence" is everyone a customer culture, Lean to the Top, TDC, CMMS that leads - not just a tool, automate to make time for innovation, etc. etc. Now after looking at the bigger picture and to the future, "Process Excellence" where everyone else is, is way behind what your company defines as "Process Excellence" and strives for. B

Total Customer Satisfaction For those who can remember 30 years or so ago, meeting the purchasers demand, reaching production demand was indicator of "Process Excellence", then about 20 years back is was quality (parts per million), then Lean. Someday it will be percentage of your employees who are managers/thinkers/ innovators/creators, and a human doing remedial mundane tasks will be viewed as a company's shortcoming. (you don't want to waste even one humans powerful creative and problem solving capabilities) Even further in the future it may not be the volume and quality of products produced, but the number of products themselves (diversity). 25 PPM or 0.0025% may be an accepted standard, a company's operational excellence may be judged by social and civic involvement and improvements. B

Total Customer Satisfaction Total Customer Experience H.E.B. Trader Joes Chick-fil-A Publix Aidi Food Lion Sonic Drive-In A credit union Diary Queen Kroger Piggly Wiggly Regions Sams Club Starbucks Albertsons Amazon.com B http://www.dmnews.com/the-best-and-worst-companies-for-customer-experience/article/336999/ Get on a LIST !! Darn it !! (I dont care what list)

Teams & Teamwork B Common reasons that warrant team building: To observe the team dynamics of a particular group. To identify possible leaders and people with natural creativity and problem solving ability. To improve motivation and productivity To develop soft skills Simply for fun http://blandfordmanor.com/the-pros-and- cons-of-team-building/

Lean and Six Sigma both contribute to driving excellence across the Milpitas operations, as does a commitment to automation. among the teams at work in Flextronics' Improvement Idea Hub was one dedicated to reducing lead times in setting up new customers. (Meanwhile, it is also hard to miss the 80-foot-long value stream map sprawling across a far wall.) http://www.industryweek.com/iw-best-plants/2013-iw-best- plants-winner-flextronics-partner-manufacturing-excellence B Teams & Teamwork

B Thermo Fisher employs a continuous improvement methodology called Practical Process Improvement (PPI) that is focused on improving safety, material flow and lead time. Plant leaders and employees suggest projects for improvement. The facility completes about 80 to100 kaizen events per year, says Tim Hamel, who manages PPI, as well as another 2,000 solo projects done by employees. http://www.industryweek.com/quality/2013-iw-best-plants-winner- thermo-fisher-scientific-growing-quality-culture-lab

Innovation F Incandescent Florescent L.E.D.

Innovation (Organizations) F http://www.forbes.com/innovative-companies/list/ Check out the listing (May not be what you think!) BTW: Apple Computer is # 79 ! http://creativebits.org/interview/interview_rob_janoff_designer_apple_logo

Innovation (Are You Prepared for Failure?) F

Innovation (Products) Folding Speed Bump Air Knife (Dyson Hand Dryer) Aide to Water House Plants F

Innovation (Products) F http://wonderfulengineering.com/30-innovative- products-you-did-not-know-exist-but-are-too- awesome-to-miss/ Self Stirring Mug Bike Blinkers Heated Knife 3-in-1 Breakfast Maker

Innovation (Service) F http://fivewhys.wordpress.com/2013/09/11/service-innovation-examples/ Checkout Beacon NYCs new phone (communications) system

Innovation (Service) F Netflix was offered to Blockbuster for $50 million in 2000, but Blockbuster declined.Blockbuster Netflix Netflix (2013) Revenue $4.3 Billion Operating Income 228 Million Net Income 112 Million Total assets 5.4 B Total equity 1.3 B 2,000 employees

Innovation (Service) F it leapfrogged rivals in speed, security, and capabilities THE DAWN OF THE CHROME AGE, FORTUNE Article April 28th, 2014

Innovation (Strategy) Value of Thinking in 3 Dimensions: 1) New Product / Service Innovation 2) Market Definition Innovation 3) Process/ Business Model Innovation $4.00 Amazon McGraw-Hill 2005 George Group F

Innovation (Strategy) Map innovations delivered and planned across 3 dimensions Determine % revenue in each dimension Evaluate competitive advantages of expanding into another dimension ID opportunities to extend currently planned innovations by marrying with another dimension: Determine how these dimensions will make CUSTOMERS more successful Estimate potential margin enhancements to sustaining innovations by adopting Fast Innovation approaches Estimate potential revenue and operating profit from all new innovation efforts F SOURCE: Fast Innovation, page 90

Focus on Flow Or the lack thereof F

Focus on Flow F

F GEMBA - Go There

25 25 F

Starbucks boss-founder Howard Schultz, despite a thousand distractions associated with running a huge global business, still/religiously visits at least 25 shops per week. Starbucks boss-founder Howard Schultz, despite a thousand distractions associated with running a huge global business, still/religiously visits at least 25 shops per week. Source: Tom Peters! (a few years ago) Go There F

Simplification F 1992 2005 2011 http://www.choosemyplate.gov/ USDA circa 1945

Simplification F Tethered Gas Cap Gas Cap Eliminated

Simplification F http://www.theverge.com/2014/2/27/5452790/fda-redesigns-nutrition-labels-to-reflect-how-americans-actually-eat

Simple Sells F

In a search for a way to capture the seafaring history of coffee and Seattles strong seaport roots, there was a lot of poring over old marine books going on. Suddenly, there she was: a 16th century Norse woodcut of a twin- tailed mermaid, or Siren. There was something about her a seductive mystery mixed with a nautical theme that was exactly what the founders were looking for. A logo was designed around her, and our long relationship with the Siren began. F

Simple Sells F http://online.wsj.com/news/articles/SB10001424127887323301104578257873705189676

Simple Sells making it simpler for customers to reach a buying decision paid dividends in three ways: 1. It increased the likelihood of repeat business. (Cue Daniel Kahnemans Peak End rule.) 2. A significant fraction of customers (up to 29% depending on industry) were willing to pay more for simpler experiences and interactions. 3. 75% were more likely to recommend a company that provided simpler interactions. Andy Paul is author of the award- winning book, Zero-Time Selling: 10 Essential Steps to Accelerate Every Companys Sales. F

Technology Harley-Davidson uses automated guided carts to improve safety, quality and throughput (speed). Investments like these make the production process flexible. http://www.industryweek.com/iw-best-plants/2013-iw-best-plants-winner-harley-davidson-driving-future-excellence F

Technology BETTERMENT at New Factory York, Penn: 1,000 production workers now fabricate, paint and assemble motorcycles in three process areas with a system simplified by automated guided carts 41 buildings to 2 buildings Production line travel: 9 MILES TO 3 MILES 20% more fenders produced than in years past 65 job classifications to 5 job classifications F

Technology Businesses are learning that it's not enough to gather mounds of data. The data on its own is only marginally interesting. "Where we are today is static," says Vernon Turner, an IDC analyst. A fitness wearable, for instance, might tell users how many steps they've walked in a day. But the device could be much more valuable if it were linked to other health data. In that case, an app could tell the user that lack of activity might explain higher blood pressure results. Or, the device could learn that the user tends to walk less on weekends and send a reminder during a gap on her calendar to get some exercise. http://www.computerworld.com/s/article/9248891/Predictive_data_the_real_workhorse_behind_the_Internet _of_Things?pageNumber=1 Predictive data, the real workhorse behind the Internet of Things F

Improvement: You Cant Stop It Innovation, Flow, Simplification and Technology http://www.wired.com/2014/03/walmart-big-rig/

Conclude

Looking Ahead Conclude Excellent firms don't believe in excellence - only in constant improvement and constant change. -Tom Peters

Safer, Better, Faster Voice of Customer (VOC) [effectiveness] Voice of Business (VOB) [efficiency] H. S. & E.Safety QualityYield On-TimeCycle-time ValueCost (COGS, COS) Operational Excellence is when the efforts throughout the organization are in a state of alignment for achieving its strategies and where the corporate culture is committed to the continuous and deliberate improvement of company performance AND the circumstances of those who work there to pursue Operational Excellence by Design SM and not by coincidence. Joseph F Paris Jr Conclude

Safer, Better, Faster Voice of Customer (VOC) [effectiveness] Voice of Business (VOB) [efficiency] H. S. & E.Safety QualityYield On-TimeCycle-time ValueCost (COGS, COS) Operational Excellence is when the efforts throughout the organization are in a state of alignment for achieving its strategies and where the corporate culture is committed to the continuous and deliberate improvement of company performance AND the circumstances of those who work there to pursue Operational Excellence by Design SM and not by coincidence. Joseph F Paris Jr - - - strong, effective management practices - - - Conclude

Where to go from here Back to the Strategy Box Decide Strategy Higher Level Drill - Down http://www.freeleansite.com/coaching.html Hoshin Planning http://en.wikipedia.org/wiki/Porter_five_forces_analysis 5 Competitive Forces

Questions? The problem is never how to get new, innovative thoughts into your mind, Dee Hock but how to get the old ones out. Dee Hock Thank You!

Voice Of the Customer (VOC) Voice of the Customer Key Customer Issue(s) Critical Customer Requirement What does the customer want from us?What does the customer want from us? We need to identify the issue(s) that prevent us from satisfying our customers. We should summarize key issues and translate them into specific and measurable requirements

Voice Of the Business (VOB) Voice of the Business Key Process Issue(s) Critical Business Requirement What does the business want/need from us?What does the business want/need from us? We need to identify the issue(s) that prevent us from meeting strategic goals/missions. We should summarize key issues and translate them into specific and measurable requirements

1 Getting Things Done w/ SBF: SBF 100%. 2 Who has a safety minute - contact/tip? Set- Up.

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Transcript of 1 Getting Things Done w/ SBF: SBF 100%. 2 Who has a safety minute - contact/tip? Set- Up.