Making it visual can help your organization create prioritized project pipelines
By Fabrice Bouchereau
February 2017 | ISE Magazine 37 In most companies, the day-to-day priorities of keeping business needs and are next in line for implementation. production lines running, meeting shipment commit- When most people start their careers as industrial and sys- ments and interfacing with suppliers and customers are tems engineers, they dream of making an impact, of working urgent matters that need to be dealt with immediately. on major projects that change the course of companies and Industrial engineers have a wealth of knowledge and a elevate organizations to the next levels of safety, quality and I plethora of tools that can be used to streamline and im- profitability. prove processes. They should be change agents, but unfortu- But things usually don’t work out exactly as planned. Most nately much of their time is spent doing routine work and ISEs and their peers do get involved in change management, “fighting fires.” but they become firefighters. They develop skills that allow Adding kaizen to your kanban Adding kaizen to your Nearly 20 years in the industry has revealed that many or- them to react quickly and address the burning issues of the ganizations struggle with identifying issues that need to be ad- day. Many of them enjoy being a superhero and saving prod- dressed through improvement projects. They often want to ucts, processes and people. Being a firefighter can be fun. It improve their operations, but they don’t know where to start. can bring instant gratification and give you incredible stories This is somewhat surprising given the overabundance of prob- that you can use to impress family, co-workers and potential lems that many organizations face; yet it is likely that the sheer next bosses. number of problems is what makes it hard for organizations to But after being involved with change for years, some ISEs prioritize and select the ones most in need of attention. are lucky enough to have their responsibilities change. They The approach described in this article, kaizen kanban, pro- become less about reacting to crises and more about being vides unique solutions to this problem. It complements and proactive and strategic in nature. Numerous well-branded or- enhances the effectiveness of quality and continuous improve- ganizations invest large amounts of time and money in train- ment initiatives that may already be in place in an organization ing initiatives to equip employees with the tools necessary to by helping them identify opportunities for improvement in an become effective change agents. efficient and value-added way. Most of these organizations tended to favor mainstream Kaizen kanban is an innovative adaptation of traditional methodologies such as lean, Six Sigma and project manage- quality tools and methods. For example, concepts derived ment, which complement and reinforce classroom learning by from SIPOC (suppliers, inputs, process, outputs, customers) requiring all participants to apply their newly acquired skills diagrams and FMEA (failure mode and effects analysis) are to actual projects. integrated within process mapping activities, which signifi- But doing is learning, and completing projects is fundamen- cantly increases the depth of analysis within the process being tal in developing a student’s ability to understand and apply examined. lean, Six Sigma and continuous improvement methodologies. Then, logical and well-known approaches are employed to Many participants in these programs struggle to complete prioritize the opportunities for improvement that have been their first project, just as I did, and often for the same reasons. I identified and categorize them within the appropriate type of will illustrate with examples from my own journey. kaizen event. This approach provides an effective method for I was first exposed to Six Sigma in 2001 in a mandatory in- coordinating project selection that efficiently feeds the deploy- troductory course offered by my employer. Three days before ment of improvement projects across an organization using a the start of class, I was asked to identify and charter two proj- visual communication approach. ects as part of my green belt certification pre-work. I had no idea what a project charter was, and I arrived at the class emp- What is kaizen kanban? ty-handed, fearing I was in trouble and feeling inadequate. The Japanese word kaizen is commonly used to describe a A few years later I accepted a position at another company team approach to break apart a process quickly and rebuild and found myself in a similar situation. Two weeks before my it in order to function better. It is a philosophy that advocates start date, while on the road moving cross-country, I received continual process improvement. an email informing me that I had been registered for a black Kanban is the Japanese word for “signboard” or “billboard.” belt course and that I was expected to have two black belt Traditionally, kanban cards are used to signal to workers what projects chartered within a week. to build next or what parts to retrieve. How could the company expect me to identify opportuni- Like traditional kanbans, kaizen kanbans, or improvement ties for improvement if I had never set foot in the plant? display boards, are visual communication tools and should be Since then I have witnessed countless organizations that had made visible to all levels of employees within the organiza- the same expectations of employees who were about to start tion. The difference is that instead of telling operators what to their training. Invariably these candidates felt set up for failure build next or what parts to retrieve, the cards tell improvement and often arrived in class with a high level of anxiety and even teams what preapproved projects are most relevant to current resentment.
38 ISE Magazine | www.iise.org/ISEmagazine FIGURE 1
A traditional SIPOC tends to focus on high-level process Capture the information maps with fewer than 10 steps, and thus the information The enhanced SIPOC box, or ESB, is the key to kaizen kanban. shown is often too general. It often fails to clearly show the linkages between suppliers, inputs, outputs and customers and the process step they relate to. Our enhanced SIPOC methodology enables you to capture the information needed for a SIPOC visually and associates it with each corresponding process step. The tool that makes all this possible is the enhanced SIPOC box (ESB), which is shown in Figure 1. The following sections provide a step-by-step recap of how the team should use the ESB to capture layers of information one iteration at a time. First, start by filling out an ESB for each step of the process map by writing in the process step details on the blue section of the ESB labeled “Process.” Make sure you follow the verb- noun structure and make adjustments as needed. Note that the “Process” section of the ESB can be used to show process steps and/or decisions. Organize the ESBs in sequential order and connect them using the same connectors used with a regular process map. Capture the information for the process owners and pro- cess operators for each of the process steps during the second iteration, putting this information in the ESB. This step is a facilitation enhancement to traditional SIPOCs that does not require the process owners and operators to be identified for each step. Note that from a facilitation perspective, specifying the process operator and the process owner makes it easier for ev- erybody to visualize who does each step and eliminates a lot of discussions when it comes time to identify suppliers and customers. Countless hours observing smart, motivated trainees stum- In the third iteration, identify the outputs and customers for ble as they started their first project revealed two main con- each step and add them to the corresponding section of the tributors to this situation that usually lead to project failure: ESB for each step. poor project selection and a lack of facilitation skills. In the fourth iteration, identify suppliers and inputs for each This realization led me to develop a faster and better way step and add them to the appropriate section of the ESB. to address these gaps by complementing traditional problem- The fifth iteration is an enhancement to traditional SIPOCs solving methods with a step-by-step facilitation approach to in which “triggers” are identified and added to each process identify improvement opportunities for entire value streams, step. Triggers cause something to happen or let the operator compile them in a prioritized project pipeline and set up im- know the conditions are right to proceed to the next step. provement display boards. These boards, or “kaizen kanbans,” The best way to identify them or realize one is missing is to must be linked to key business objectives and must be visible work backward from the last process step to the first and ask to everyone. the process owners to identify the signal that lets them know everything is in place for them to execute their step. If a trigger The methodology exists but doesn’t come from one of the previously identified This approach builds on a process map developed on a wall to steps, the map may be incomplete; a discussion should take capture and display the suppliers, inputs, outputs and custom- place with the subject matter experts, and the necessary up- ers associated with each step in a process. For a kaizen kanban, dates should be made to the map. this process map usually covers the entire organization. How- Every time a trigger is found to be missing, the team should ever, the same principles can be applied to an entire depart- add a starburst directly on the process map to indicate an op- ment if it is well-scoped. portunity for improvement. The absence of a trigger indicates
February 2017 | ISE Magazine 39 FIGURE 2
potential delays in starting the next step, as the operator of that next step has no A box for everything, including failure way of knowing the previous step was Fboxes created for each consequence can help your improvement team decide which completed. issue to tackle first. The sixth iteration is an enhancement to traditional SIPOCs that is essential in setting the team up for success when the team members create the FMEA in the steps to come. Adding kaizen to your kanban Adding kaizen to your The team reviews each of the inputs/ outputs and adds detailed specifications that must be met to ensure the material received by the operator is exactly what was expected. Put this information in the corresponding “input requirements” and “output requirements” boxes in the ESB. For example, if the input is water, clearly defined requirements could spec- ify a volume, temperature and/or purity. Specifying the volume of water can help reduce the likelihood of spills.
Failure modes and effects analysis After the team members clearly defined the input and output requirements for each process step, they have a much bet- ter understanding of the current state of the plant. They also have all the infor- mation they need to analyze how the previously expended using an ESB, use (RPN) calculated for each step using the various steps could fail and the impact an Fbox to capture the answer to the fol- formula: RPN = Frequency × Sever- each potential failure could have on the lowing questions: ity × Detectability. Assign a numerical overall process. value as the answer to each question and FMEAs are traditionally complet- • What could go wrong in this step? place it in the corresponding location on ed in a group setting with one person • What could prevent this step from the Fboxes. capturing the information on a laptop being completed? Leverage the Pareto principle to select or whiteboard, while the other team • How could we fail to meet a require- the top 20 percent of the steps with the members come up with each potential ment? highest RPN that should resolve 80 per- failure. This process is time-consuming, cent of the issues. places stress on the scribe and leads to Each failure mode may result in one For each of the failure modes in the team member disconnect due to its slow or more effects or consequences. An top 20 percent, write a problem state- speed. Fbox should be created for each conse- ment. The failure box (Fbox) was developed quence. For example, the failure mode At this point you have identified op- as an alternate approach that allows the “Part cut too short” has three potential portunities for improvement and have entire team to be engaged and speeds up effects or consequences: scrap, rework translated the most critical ones into the process by leveraging the clearly de- and line stoppage. potential project problem statements. fined requirements captured in the ESB. Team members tape the Fboxes next Team members may be eager to start ex- This builds the FMEA directly on the to the corresponding ESB for each step ecuting these projects one after another previously created map using the fol- on the map, as shown in Figure 2. based on the RPN ranking. lowing steps. Determine which effect to address We encourage you to adopt a mind- For each step on the map that was first based on the risk priority number set of continuous improvement using a
40 ISE Magazine | www.iise.org/ISEmagazine FIGURE 3 FIGURE 4
A little help with that decision The x’s and y’s have it A PICK chart is a two-by-two decision matrix that can help your Use these scores to calculate the difficulty (x) and payoff (y) of teams decide which projects will have the most benefit and be potential improvement ideas. easiest to implement. For the x coordinate: Duration Score Resource type Score
Short 1 Individual 1 Medium 5 Localized team 5 Long 9 Cross-functional team 9
For the y coordinate: Delay Score Impact magnitude Score Long-term 1 Localized 1 Midterm 5 Departmentwide 5 Short-term 9 Plantwide 9 two-pronged approach: kaikaku for fast could boast to management about. The implementation difficulty value and significant improvements and kai- They all expected to start with a radi- (x coordinate) for any one idea is cal- zen for slow and steady improvement. cal change, or kaikaku. culated using the formula: Difficulty = Kaikaku means “radical change” and We recommended resisting this temp- Duration score × Resource type score. is used in reference to a business concept tation and focusing on earning quick The y coordinate, the benefit value that aims to make fundamental and radi- wins to gain credibility and buy-in with resulting from any one idea, is calculated cal changes to a system or organization. small, easy, low-risk and low-cost pro- using the formula: Benefit = Delay score It is a revolutionary approach to change, cess improvements, things that can eas- × Impact magnitude score. the sustainability of which is difficult ily be evaluated with small and quick See Figure 4 for the scores to be used to maintain without continuous im- experiments. In due time the team will in calculating these x and y coordinates. provements, such as those accomplished have the opportunity to complete a radi- As a company progresses through its through kaizens. cal change. lean transformation, team members will Kaizen is a philosophy that advocates Use the PICK chart shown in Figure be at different stages in their lean jour- the continuous improvement of pro- 3 to prioritize projects and ensure the ney; therefore, it is important to match cesses. It addresses systemic and organi- company focus is on the projects with individuals only with projects they can zational opportunities for improvement the highest benefit-to-effort ratio. The do and that are important to the com- by having employees at all levels of a acronym PICK comes from the labels pany. company work together proactively to for each of the quadrants of the grid: Per the lean handbook, improvement achieve regular, incremental improve- needs to be organized on five levels in ments to the process. • Possible (easy, low payoff) most, if not all, organizations on a lean This creates an engine for improve- • Implement (easy, high payoff) journey in order of increasing scope and ment powered by the collective talents • Challenge (hard, high payoff) depth. within the organization. Kaizen is evo- • Kill (hard, low payoff) lutionary and focused on incremental • Individual (point kaizen): Con- improvements. Ideas written on sticky notes by team ducted at the individual workstation Your staff members may be deter- members are then placed on the grid level to reduce waste and improve mined to show how committed they based on the payoff and difficulty level. workplace organization, inventory are to embracing change and taking the In the interest of reducing the subjectiv- and tool location, work sequence company to the next level. From their ity sometimes associated with the use of and/or ergonomics. perspective, only initiatives with a large a PICK chart, we developed and use a • Work teams (minikaizen): Un- impact on process performance would more objective system to determine x dertake improvement projects af- result in a significant return on invest- (difficulty) and y (payoff) coordinates fecting their collective work area of ment, in other words, something they for each idea. a cell or on a line segment. Examples
February 2017 | ISE Magazine 41 include work flows, cell layout, line blitz teams are the prime engine for the basics, as it will allow them to see balancing, 5S and quality improve- improvement. For this type of im- the complete process cycle faster. Smart ments. provement, the team forms for the management teams reserve supply chain • A kaizen blitz is an event carried specific purpose of the event and dis- kaizens for more experienced practitio- out in a local area, but it involves bands thereafter. ners. more time and outsiders. These • Flow kaizen teams typically work When you first start with improve- events address more complex issues across a full value stream, taking ments you may find it difficult to dif- than what the work team can handle weeks or months for a project. They ferentiate among short-, medium- and comfortably. For many companies, are the prime engines for creating long-term goals. It is best just to start Adding kaizen to your kanban Adding kaizen to your future states. Their targets are those and then sort things out as you go. set out in a future state. These teams To facilitate the selection and as- FIGURE 5 are multidisciplinary and have cross- signment process, create visual display functional members. Flow kaizen boards of prioritized projects. This can Remember, projects usually address process, sys- easily be accomplished by preparing an kanban is visual tem and organizational issues. index card for each kaizen with the kai- To make your kaizens visual to your entire • Supply chain kaizens leverage zen name and the problem statement, as organization, create display boards of part-time representatives from par- shown in Figure 5. ticipating companies within the value Use wall-mounted folder holders to prioritized projects. stream. They are focused on optimiz- create the structure to place the kaizen ing the entire value stream so that all cards. Emphasize that there are five within the supply chain can benefit types of kaizen by creating five columns from improvement. These teams usu- of file folders and labeling each one with ally have a project manager, typically a different kaizen type. Figure 6 shows from the original equipment manu- an example. facturer (OEM) company, and are Compiling the kaizen kanban boards supported by champions and consul- fulfills the goal of identifying and priori- tants. tizing projects in a visual management board display. It improves project selec- We recommend assigning point kai- tion for new practitioners, and the pro- zens to team members who are learning cess of creating the board itself is a lesson in applied facilitation. FIGURE 6 While a kaizen kanban does not solve the issues, it provides management the context and background needed to The finished kaizen kanban board make informed decisions. Placing the kaizen cards in wall-mounted folders helps emphasize the five different kinds of kaizens and keeps your staff up to date on progress. Fabrice Bouchereau is a senior industrial engi- neer and lean project manager for ProcessZen Consulting. The industrial and systems engi- neer has nearly 20 years of experience manag- ing lean, quality and continuous improvement projects. He has a B.S. in industrial and sys- tems engineering and an MBA in interna- tional business and marketing, both from the University of Miami. He is certified in pro- duction and inventory management (CPIM) and is a licensed professional engineer, project management professional (PMP) and Six Sigma black belt.
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