Lean Psychology: Leveraging Human Nature to Achieve Optimal Improvement
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Transcript of Lean Psychology: Leveraging Human Nature to Achieve Optimal Improvement
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Lean Psychology: Leveraging Human Nature to Achieve e e ag g u a atu e to c e e
Optimal Improvement
Company
LOGO
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Learning Objectives
Participants will learn: How psychology affects the entire improvement
process, from strategy to execution. What you can do to ensure both short- and long-
term success.H t t th b i d l h How to meet the basic needs people have through the improvement process.Specific tactics that leverage human nature to Specific tactics that leverage human nature to achieve optimal business performance.
© 2011 Karen Martin & Associates 2
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Your Instructor
Early career as a scientist; migrated to quality & operations design in the mid 80’squality & operations design in the mid-80 s.
Launched Karen Martin & Associates in 1993.
Introduced to Lean in 2000. Specialize in applying Lean in non-
f i imanufacturing environments. Co-author of The Kaizen Event Planner;
co-developer of Metrics-Based Processco developer of Metrics Based Process Mapping: An Excel-Based Solution.
Instructor in University of California, San
Karen MartinPrincipal, Karen
Martin & Associates
© 2011 Karen Martin & Associates
Diego’s Lean Enterprise program.
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Why Lean Psychology?
Long term interest in human behavior.Avid practitioner of hansei (reflection) –
began to notice trends and patterns.Success in changing my own paradigms
and approach.ppGrowing concern that Lean isn’t being
properly appliedproperly applied.
© 2011 Karen Martin & Associates
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The Win-Win
A well-executed improvement approach not only serves the customer and generates significant return for the organization, it also meets the psychological needs of individuals, creating a highly motivated workforce.
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Two Pillars of The Toyota Way
Respect for H it
Elimination of waste th h tiHumanity through continuous
improvement
Plan
DoAct
Check
© 2011 Karen Martin & Associates
Sakichi Toyoda (1867-1930)
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The Change Agent’s Many “Non-Technical” Hats
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The Change Agent’s Most Important Hat: Psychologist
Psychologist Ab h M lAbraham Maslow
What motivates people?What do they fear?
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Maslow’s Hierarchy of Needs
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Typical Work Needs
To belong To be needed
To understand To see progress
To learn To create
To be adequately compensated To create
To contribute T b h d
co pe sated To work in a pleasant
environment To be heard To be recognized
environment To be safe
Ph i ll To be competent Physically
Emotionally (treated well)
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To Succeed
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When needs aren’t met…
ApathyTurnover / absenteeismObstacle creation (overt and/or covert)Obstacle creation (overt and/or covert)LawsuitsS b tSabotage
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Components for Effective Change
EffectiveEffectiveChangeChange
VisionVision SkillsSkills IncentivesIncentives ResourcesResources Action PlanAction Plan
ConfusionConfusionSkillsSkills IncentivesIncentives ResourcesResources Action PlanAction Plan
AnxietyAnxiety
Gradual Gradual
VisionVision IncentivesIncentives ResourcesResources Action PlanAction Plan
Gradual Gradual ChangeChange
FrustrationFrustration
VisionVision SkillsSkills ResourcesResources Action PlanAction Plan
VisionVision SkillsSkills IncentivesIncentives Action PlanAction Plan FrustrationFrustration
False Starts False Starts VisionVision SkillsSkills IncentivesIncentives ResourcesResources
s os o SkillsSkills IncentivesIncentives ct o act o a
© 2003, Enterprise Mgmt Ltd.
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Resistance toResistance toChangeg
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Why people resist change
Poor understandingCynicism & skepticism (low trust / faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Reducing Resistance – Improve Understanding
Clear strategy – established by leadership Hoshin kanri Value stream maps
Customer Demand:15 patients per Day
(Takt Time 1920 seconds)8 hours per day
Referring Physician
% C&A = 65 %
Hospital
ScheduleAppointment
Cycle Time = 11 mins.Lead Time = 12 mins.% C&A = 98 %
6
Pre-register Patient
Cycle Time = 30 mins.Lead Time = 990 mins.% C&A = 100 %
5 Lead Time = 12 mins.Lead Time = 990 mins.Lead Time = 24 days1234
CT=Cycle Time LT=Lead Time %C&A=% Complete & Accurate
E Pay
Excel
ADS
Symposium
Internet
Waiting RoomManagement
System
Fax OrderSolutions
PACS
Meditech
Auto Fax 50% Us Mail 25%MD Mailbox 25%
Rework Loop via Fax 25% of the time
Check-in Patient
(Admitting)
Cycle Time = 2 mins.% C&A = 90 %
5
Send Reports
(Imaging)
Cycle Time = 3 mins.% C&A = 90 %
6
5 mins.
0.0833 hrs.
2 mins.
0.0833 hrs.
1 mins.
0.75 hrs.
10 mins.
0.5 hrs.
15 mins.
0.0833 hrs.
3 mins.
4.13 hrs.
15 mins.
6.08 hrs.
5 mins.
16 hrs.
1 mins.
1.83 hrs.
1 mins.
2 hrs.
3 mins.
LT = 32.5 hrs.
CT = 56 mins.CT/LT Ratio = 2.87%
PrepPatient(Tech)
Cycle Time = 10 mins.% C&A = 100 %
2
Check-inPatient
(Imaging)
Cycle Time = 1 mins.% C&A = 98 %
3
CompleteExam(Tech)
Cycle Time = 15 mins.% C&A = 90 %
2
TransmitImages(Tech)
Cycle Time = 3 mins.% C&A = 100 %
2
Read/DictateExam
(Radiologist)
Cycle Time = 15 mins.% C&A = 95 %
2
TranscribeReport (MDI)
Cycle Time = 5 mins.% C&A = 75 %
6
ReviewDraft/Sign
(Radiologist)
Cycle Time = 1 mins.% C&A = 95 %
2
PrintReports
(Imaging)
Cycle Time = 1 mins.% C&A = 99 %
230 mins. 5 mins. 248 mins. 365 mins. 960 mins. 110 mins. 120 mins.45 mins.5 mins.5 6 7 8 9 10 11 12 13 14
Rolled First Pass i ld 29%
© 2011 Karen Martin & Associates 15
yield = 29%
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Reducing Resistance – Improve Understanding
Clear communication Why is improvement needed? Establish a sense of urgency Data sells!
What’s our strategy? What do you expect from us? How will you support us?
You may need to coach your leadership team.
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Pick your Crisis
Shrinking margins Regulatory pressure / li iCustomer dissatisfaction
Shrinking market share
compliance issuesRising litigation
Rising costsRising competition
Social, economic, environmental, or political pressures
Desire to absorb growth without adding typical
political pressuresDownward
performance trendscommensurate staffingImpending acquisition
performance trends (in speed and/or quality)
© 2011 Karen Martin & Associates
Staff burnoutq y)
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Reducing Resistance – Why is Improvement Needed?
Data sells!Data sells!
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V l St M i Ch t
Reducing Resistance – Improve UnderstandingClearly Communicate via Charters
Value Stream Mapping Charter Event Scope Leadership / Coordination Schedule
Value Stream Recruiting, Hiring, & Onboarding Process Executive Sponsor Sherrye Hutcherson Event Date(s) Oct 27, 28 & 29, 2009
Specific Conditions External hires Value Stream Champion N/A Start/End
TimesOct 27, 28 8:00 am - 4:30 pmOct 29 7:30 am - 2:00 pm
Customer Demand 100 per yearFacilitator Karen Martin Location 9 West SeminarFacilitator Karen Martin Location 9 West Seminar
Trigger Vacancy
First Step Hiring manager completes VPATeam Lead N/A Meals
Provided?Lunch, morning & afternoon snacksLast Step Employee completes NEI
Boundaries & Limitations N/A
Coordinator Andrew Peacock
Interim Briefing(s)
Oct 27 & 28 3:30-4:30 pmOct 29 1-2 pm
Improvement Timeframe Future state will be fully implemented by 2/15/2009 Briefing
AttendeesTim Burke, Sherrye H and other Division ManagersTimeframe Attendees Division Managers
Event Drivers Mapping Team1 Cumbersome process as perceived by the customer. Function Name Contact Information
2 Need to free capacity and operate more effectively. 1 Staffing Paula Pittman
3 2 FCS HR Patty Yager
4 3 Talent Management Tad Leeper
5 4 HRIS Chris Ritz
Measureable Objectives 5 HR Compliance Carl Olsen
1 Reduce LT from req to offer acceptance from 45-55 days to 30 days. 6 Comp & Benefits Nyla Cork
2 7 Recruiting Sheila Love
3 8 Diversity / Affirmative Action Joyce Cooper
4 9 Hiring Manager, Call Ctr Deb Emerson
5 10 Hiring Manager, Production Ops
Planned Deliverables On-Call Support1 Current State VSM Function Name Contact Information
2 Future State VSM 1 IT Gary Van Osdel
3 Implementation Plan 2 Fort Calhoun - Security Herb Childs
4 3
5 4
Potential Obstacles Approvals1 Executive Sponsor Value Stream Champion Facilitator
2
3 Signature: Signature: Signature:4 Date: Date: Date: 19
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Reducing Resistance – Improve Understanding
Waste is at the root of most workplace frustration d i t l d i t d t t l fli tand interpersonal and interdepartmental conflict.
Use this reality to sell the need for improvement.“Think about the last time you left work feeling
© 2011 Karen Martin & Associates
y gfrustrated? What was the real reason?”
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Psychology 101
People resist change unless you address “WIIFM.”
If change isn’t viewed as a personalimprovement for the worker it’s unlikely to
© 2011 Karen Martin & Associates
be embraced and sustained.21
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Reducing Resistance – Improve Understanding
The entire workforce must eventually be exposed to L i i l d t l d d t d h thiLean principles and tools, and understand why this approach is different.
M d iMy advice: Provide as much upfront training and exposure as
possiblepossible. Include a simulation – let them experience a
transformation. Provide leadership overviews that include discussions
about their roles and responsibilities, and key success factors Help them gain alignment
© 2011 Karen Martin & Associates
factors. Help them gain alignment.
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“Going to the gemba” heightens awareness and creates understandingg
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Why people resist change
Poor understandingCynicism & skepticism (low trust / faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Cynicism & Skepticism Goes with the Terroritory
“How many improvement approaches have been attempted here over the past 10-20 years?”“Is the work environment fundamentally
more pleasant than it was 10-20 years p yago?” Lower stress More teamwork and comraderie Greater fulfillment
© 2011 Karen Martin & Associates
Greater fulfillment
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Tactics for Dealing with Cynicism & Skepticism
Don’t expect people to check it at the door.Draw it out – invite them to admit it.Ask them to “get in the car one more time and
come along for a ride.”Acknowledge that the “proof’s in the pudding.”Make sure all changes are improvements and
not merely changes.f ’ ’ If it doesn’t improve the worker’s ability to be successful, it’s merely change.
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Why people resist change
Poor understandingCynicism & skepticism (low trust / faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Reducing Resistance – Invite / Require Involvement from All Stakeholders
The workers know best!All i t t b hi hl f ti lAll improvement must be highly cross-functional.Cross-functional problem-solving builds a sense of
b l i id th t it t b tibelonging, provides the opportunity to be creative, and generates a feeling of accomplishment.
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Maslow’s Hierarchy of Needs
Aided by cross-functional improvement activities
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Improvement Roles
Who? Accountability ToolWho? Accountability Tool
Senior What has to Value Stream rate
gic
Leadership happen MappingMiddle Management
Str
Frontline Workers
How it will happen
Just-do-itsKaizen EventsP j t
Management
actic
al
ProjectsTa
© 2011 Karen Martin & Associates
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Improvement Roles and Responsibilities
Leadership – set strategy (what needs to happen)Frontline workers – determine tactics (how (
it will happen)Improvement professionals – CoachImprovement professionals Coach,
Teacher, Facilitator.Not Toyota like: “Getting your employeesNot Toyota-like: Getting your employees
to buy into the change that you want to implement to improve the operation ”
© 2011 Karen Martin & Associates
implement to improve the operation.
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Why people resist change
Poor understandingCynicism & skepticism (low trust/faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Change Fatigue
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It’s a marathon, not a sprint
Help leadership develop realistic expectations regarding results and the resources needed to getregarding results and the resources needed to get there. “How long has this been a problem? It may not get How long has this been a problem? It may not get
solved overnight.”Allow “absorption time”; schedule regular hanseip g
sessions.Pacing is key - avoid “organizational implosion” by
attempting too much too fast.Check in with the customer (workforce) frequently
© 2011 Karen Martin & Associates
and adjust accordingly.34
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Why people resist change
Poor understandingCynicism & skepticism (low trust/faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Consensus-Building Tactics
Alignment around strategy.Improvement is well-defined and well-
communicated.Cross-functional teams.Upfront and periodic input from teamUpfront and periodic input from team
member’s peer groups.R i d t ti t id th tReview and testing outside the team.Interim briefings between teams and
© 2011 Karen Martin & Associates
leadership.36
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Interim Briefings
Periodic updates Discoveries Direction team is taking – process check
Minimize the surprises; get buy-in as the team moves along; reduces rework by the g; yteamVenue for challenging policiesVenue for challenging policies
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Why people resist change
Poor understandingCynicism & skepticism (low trust/faith)Low involvementChange fatigueLack of consensusLack of consensusFear
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Types of Fear & Countermeasures
Fear CountermeasureJob loss • “No one will lose a paycheck due to
improvement ”improvement.• “Your job may change but your paycheck is assured.”• Job loss only due: to 1) poor
f 2) k t d tperformance, 2) market downturns.Incompetence • Training, training, training
• Confidence leads to competenceLoss of control (leadership) • Adequate workforce skill development.
• Help them see how freed time will enable them to be more effective leadersleaders.
Improvement won’t be adequately resourced (workforce)
• Leadership commitment
Chaos sustainability permanence • Pilots; experiments
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Chaos, sustainability, permanence, failure
• Pilots; experiments• Monitoring• Continuous improvement
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A Spirit of ExperimentationExperimentation
Reduces Resistance t Ch d tto Change due to
“Fear of Permanence”
Plan
PDCA reduces risk of failure
Do
Check
Act
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Cultural Transformation Process
Results
Actions The Results Pyramid
Partners in Leadership
Beliefs
p
Experiences
© 2011 Karen Martin & Associates
Experiences
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Creating New Experiences
Scientific method (PDCA)Leadership setting clear strategy via hoshin
kanri and value stream maps.Leadership staying out of the weeds – frontline
workforce designs and implements tactical solutionssolutions.
Cross-functional collaboration.D di t d ti f ki i tDedicated time for making improvements.Rapid, consensus-driven improvement.R l t ti iti ff ti t i i
© 2011 Karen Martin & Associates
Relevant, time-sensitive, effective training.
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If you expect resistance, ill t i tyou will get resistance
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Miscellaneous Thoughts and Observationsand Observations
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Psychology 101
We seek pleasure and avoid pain.
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Observation #1
If it’s too hard to do, we will delay or avoid doing it Builds up work-in-process Prolongs lead times
Aim for work simplification –pmake it easy to be successful, difficult to fail.,
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Observation #2
The more you create a y“safe haven” for people to tell the p ptruth and share their feelings, the faster gthe improvement, the greater the results, gand the deeper the organizational healing.
© 2011 Karen Martin & Associates
g g
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Observation #3
When processes are monitored, we perform differentlyperform differentlyPost metrics!
Especially leading indicators
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Observation #4
Most inspection (reviews, approvals, audits, t ) i d d i l k f t t fetc.) is grounded in lack of trust or fear. Low faith in process reliability Low confidence in people performing the work Fear of losing control High “need to know”
Risk aversion Fear re: outcome
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Observation #5People want to perform well
Most people will do h t it t k twhatever it takes to
get their jobs done, hi hwhich may cause
them to: Ignore policies and
proceduresI l i Ignore regulations
Cut corners
© 2011 Karen Martin & Associates 50
The right process will produce the right results.
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Observation #6
Poorly designed processes are typically behind interpersonal and interdepartmental tension – not personalities.
Poorly designed processes are behind poor
© 2011 Karen Martin & Associates
process performance.
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Observation #7 – Words Matter
Words greatly impact “group think” and i di id l h lindividual psychology. Help staff transform their thinking and speech
f “N b ” t “Y if ”from “No, because…” to “Yes, if…” Sensitize people about the word “can’t”:
/ “ ” Disempowers / creates “victim thinking” Closes off possibilities Stifles innovation and creativity Stifles innovation and creativity
They (and possibly you) will need to break habits
© 2011 Karen Martin & Associates
habits.
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In Summary
If used properly, Lean principles and tools are 100% grounded in leveraging human nature to achieve: high functioning organizations that perform optimally, and that everyone wants to work for and do business with.
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What can you do to become a better psychologist?
ReflectBe fully present
Listen deeply – use every sense Observe
ExperimentExperimentBe an active learner
Read Read Take classes
I l d h l i k di i
© 2011 Karen Martin & Associates
Include psychology in work discussions
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Learning Objectives
Participants will learn: How psychology affects the entire improvement
process, from strategy to execution. What you can do to ensure both short- and long-
term success.H t t th b i d l h How to meet the basic needs people have through the improvement process.Specific tactics that leverage human nature to Specific tactics that leverage human nature to achieve optimal business performance.
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Lean Resources
The Toyota Way, Jeffrey LikerLean Thinking, Jim WomackLean Hospitals, Mark Grabanp ,The Kaizen Event Planner, Karen Martin &
Mike OsterlingMike Osterling
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Recommended Resource
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For Further Questions
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