How to Sustain Lean Culture and Practices
This past week I was at one of my favorite clients, a Merck pharmaceutical plant in Pennsylvania. They have been on the lean journey for more than sixteen years, long before anyone called it “lean.” One issue that they are now addressing is the issue of sustainability. Every company faces this issue sooner or later. In our Western culture we are used to jumping on issues, methods or fads for a period of time, going through a training process, and then declaring ourselves DONE!
Of course, there is great satisfaction in being “done.” But, “done” is a direct contradiction to continuous improvement and lean is continuous improvement. Honda and Toyota are still seeking the next level of improvement. They are not done.
To address the sustainability of the lean process we are looking at this model that defines the different components of a culture. At the core is the system of beliefs among the members of the organization. On the outside is the external environment with changes in technology, economics and other trends to which every company must adapt. The sustainability of any system is based on both its ability to adapt to a changing environment and its ability to stay on the course of its core values.
A key issue faced by this client is how to maintain a system of beliefs that encourages and motivates its members to engaged in the work of continuous improvement.
Promoting or maintaining beliefs or a value system of an organization is a key function of leadership. If you were to recommend actions to leaders, or the organization in general, what would you recommend?
Here are a few actions that leaders can take:
1. Promote Creative Dissatisfaction:
In behavioral psychology it is understood that a level of dissatisfaction is required for motivation. In other words you can satiate a behavior. Someone may be motivated to work for ice cream, for example. If you give someone enough ice cream, as much as they might love ice cream, after a period of time of gorging themselves, they will yell “Enough!” They will achieve a state of satiation. If we are satisfied with the state of ourselves or our company, we are likely to slow down our improvement efforts. Some level of dissatisfaction is required.
There is always a gap between where we are and where we could be. No matter how smart, how successful we are, there is always a higher level of achievement. To the degree that we are aware of the gap between current and potential state, we are not satisfied. We become creatively dissatisfied. In other words we have a drive to improve and move toward the better condition.
Leaders have to do two seemingly contradictory things at the same time. They must reinforce the good work and success of improvement efforts. At the same time, they have to raise the bar, and point to the gap between where we are and where we could be and state clearly that we will close that gap by practicing our core beliefs.
2. Learn from Church – The Need and Power of Repetition:
I was with the president of a major transportation company and we were discussing his role in managing the culture. He said that he had communicate the desired culture and values more than once and didn’t understand why employees couldn’t “get it.” Without thinking deeply, I spontaneously asked, “How often do you go to church?” The moment it came out of my mouth I realized it was probably a dumb thing to say. He looked stunned also.
Every religion, in every part of the globe, throughout all human history, has had a Sunday church service. It may not have been Sunday and it may have been in a synagogue, mosque, tent, or home. But, every religion has a regular drum beat, a regular meeting to remind people of their core values and “right” behavior. God must know that it takes us about seven days to forget what is important. If every religion does this same thing, it must say something about our human nature. Why would it be different in large or small organizations?
As bothersome as it may be to leaders, beating the drum, conducting regular “church services” is your job. It is your job to frequently and regularly remind your followers that putting the customer first is a core value; or that continuous improvement is a core value. There are a hundred ways this can be done, through public meetings, company newsletters or video broadcasts, you can communicate what is important. If we can’t remember the Ten Commandments (can you?) why do you think employees will remember your ten core values?
3. I Once Was Lost, But Now I am Found – The Power of Testimony
I know some readers may cringe at this, but think about it. In many churches, and in other religions, there is a practice of “testifying.” I was blind, but now I see. I sinned, but now I am redeemed. Why was this important? What about it worked?
If you have studied social learning theories, particularly of Albert Bandura, you know that there is a great deal of research about modeling, learning from the behavior and consequences of others. If we see that someone was in a bad situation, then they did something to change, then they experienced success and happiness, we learn from that sequence and we are more likely to be motivated to do the same thing. This is what it means to be a model. And it is why the preacher called upon the person who was once the town drunk to stand and testify to the evils of his ways and his new found life. If he can do it, I can do it.
How can this apply to sustain lean?
At my Merck client they have regular “face-to-face” gatherings at which the plant manager addresses and updates employees. This is a good occasion to promote the core beliefs of lean. As we formed the team structure around work processes, we found that there were a number of administrative people who did not fit on natural work teams. So, they were formed into an admin team. At first, they didn’t understand why they were a team, or how scorecards, process mapping or others lean methods applied to them. However, they discovered opportunities to improve processes and they did. At a recent face-to-face their story was told and they were recognized for their effort and success.
Other teams have wondered whether there was any real contribution they could make. This example, this testimony, is motivating to the doubting Thomases sitting in their pews in the back row.
4. Define the Game – Declare the Heroes and Heroines:
Everyone is trying to figure out the rules of the game and what will define winning in their situation. As a leader in your organization it is your job to define the rules of the game. But, more important it is your job to recognize, celebrate, shout about, the winners or heroes of the game.
Can you imagine the broadcast of a Super Bowl and it comes to end with the announcers pointing to the score and saying, “Well that’s it folks.” That wouldn’t be very entertaining or motivating. The broadcast crew is always ready with camera and microphones to immediately interview the most valuable player, someone who set a record, or scored the winning touchdown. We want to see their faces. We want to hear from them what happened and how they experienced it. We want to share in their emotions. Without that, its boring!
In your plant or your company, who are the heroes? Who set a record recently? Who won the game? How were they celebrated? Believe it or not, you are the broadcaster. You are the producer and announcer of the show. It is your job to celebrate the winners and put them on TV for everyone to see. If there is no celebration of heroes, do not expect heroic efforts from your people.
We all learn vicariously. We learn from the success and celebration of others. It is the job of leadership to make it matter for all employees. This reinforces the core beliefs of the organization.
How have you sustained lean by promoting the core beliefs in your organization? What have your leaders found to be successful (or not)?
As usual, very thoughtful and on the mark. This area of work is a Larry Miller specialty, and reflects a whole systems thinking, which this topic requires. Thanks Larry.
Wow – good site Larry with much orginal content. thanks for sharing.
I worked with in public schools for twenty-six years in various capacities and at different levels. There were always challenges with students, parents, colleagues, school boards and administrators; but what always kept us on a positive course was the common mission to do what was best for students and their learning. It seemed to be a great advantage to be in a field where education was the focus. Is it harder to develop sustainable core values in a business that is more product oriented? How do profits and their distribution to employees impact the core beliefs?
Terrific thoughts, observations and insight – very valuable!
In my experience, sustaining continuous improvement requires building a Learning Organization (culture); i.e. places where people continually expand their capacity to create the results they truly desire and where new and expansive patterns of thinking are nurtured. A successful strategy I recommend involves a program requiring individuals (from top to bottom) to lead, facilitate and train others on the tools, principles and personal experiences (The Power of Testimony).
Julie, whether you are engaged in producing a product or service I think it is possible to find a higher purpose in your work. My pharmaceutical client makes life saving antibiotics. The Merck mission is to improve and save human life. But, even if you are making cars, you can conceive that there is a worthy purpose for your customers. If you make cigarettes or alcohol… well that’s another story. I have always told people that if you can’t find a worthy purpose in your work, you should change your work. You only live once in this life.
About distributing profits. I think the primary value of profit sharing is to serve as a unifying scorecard. It gives employees, managers and owners a win-win, common goal.
John, I agree that managers becoming the teachers and facilitators is a good idea. Stephen Covey used to promote this. He understood the idea of “testifying”.
Thank you for a very thoughtful posting. I have been involved in contributing in changing organizations from the grass roots for fifteen years now and you seem to list down the key measures I have found really working in real life. Well done!
When it comes down to how to sustain lean culture and practices I would divide the needed influence by a leader into two categories: Campaigning and Supporting change process in individuals. Campaigning is like promoting good and healthy life: turning the public opinion towards the important issue by using all the communication means available. When one learns more about the importance and get informed about the practical means how to pursue towards the goal then the person can choose: do I want to change, and what concrete actions I am going to take.
The four examples you mention fall nicely into this Campaigning category. Like advertisements in TV it is not enough that you show the ad only once, or show the same ad for a year. So the key words are continuity and on the other hand renewing the message. Do not worry if one effort does not reach everybody: it never does. But make sure that the campaigns you design are so diverse that they reach everybody in the long run. Some may get really exited when team decides to define its own mission – but for some a workshop defining steps for better innovation environment can do the trick.
A change agent like me can work forever without sustainable results if the people themselves do not change. Any effort is useless if it does not result as changed action. Behaviour can change overnight, but making it as a habit needs repetition. Therefore supporting a change process in individuals is at least as important as the campaigning about it.
When people grow – that is, acquire new habits – they are no longer motivated by the challenges they used to have. They need now new growth opportunities. So a leader has to be close by to see the impatience and frustration growing and guide the mental power to the right direction. Use that creative force and reveal them new opportunities to make a difference. This is not an easy task! This means that good leadership services have to be available for everyone who is part of this process. Sincere care and love accompanied with fatherly (or motherly) support comes very valuable here. To sustain lean culture also the line managers have to be educated to become coaches and leaders.
But when the people change and become the change agents themselves then there is no way to stop the train anymore. Then its really sustainable.
Promoting creative dissatisfaction at the leadership level is the important lesson for me on this posting. Though, I think the gap you mention is bigger today.
Thanks and I got it. Let me explain further.
In his book Balthazar” by Lawrence Durrell the author states, “There are historical moments when an alignment of forces causes a shift in human outlook. It happened to art and philosophy and science at the beginning of the renaissance and again at the beginning of the enlightenment.”
It happened again at the beginning of the 19th century (Modernism). Remember, Albert Einstein gave us relativity, and Picasso broke through to abstract art, etc..
I think a shift in human thought is happening again. That is why I think you are right to bring in Tahrir square and now religion into the LEAN conversation.
I relate well to your figure “The dynamics of culture.” Especially important to me are the arrows. Some arrows are within a boundary, while others break through boundaries.
The breakthrough arrows symbolize the breakthroughs from beliefs to structures to spiritual capital and on to climate, technology and economy.
It took two hundred years to figure out the Renaissance and get a majority of humans to understand the new higher thought level. We don’t have that much time now. We are still trying to figure out this shift in human consciousness.
Larry, I think you are very much on the right track to bring in the event of the Middle East and now even bring in religion into the conversation.
Thanks for putting LEAN in this context.
Robert Perez
Robert, Thank you for comments.
Many years ago I remember reading Alvin Toffler’s Future Shock in which he predicted that we were entering a period in which our leadership and our culture would struggle, or fail, to adapt to the speed of changes in technology. He was right, of course. But, it is not only technology, it is the globalization of commerce and culture. In a somewhat perverse way, I feel sorry for the dictators of Middle Eastern countries who for so long have been secure in the positions and have learned that they had the power to control events in their country. Now, neither they, nor our own President, have the power to control events. The Internet and other globalizing technologies have changed everything.
Larry Miller
Great article.
Across 25 years as a change leader my greatest success have come from directly altering the belief systems of the entire organization. Until just recently, this has been easier than it sounds as I’ve always worked in sub-$20M corporations. I’ve led IT initiatives, corporate de-siloing, and, more recently, been Lean Champion. Oddly enough, the last was one of my greatest failures. Yes, we saved 5% of gross in direct costs through 6 primary kaizens and a bunch of little ones. But where I failed was, without my personally driving each step, Lean never grabbed hold.
I’ve pondered this failure at length and again, I can not point to external factors. The company was like the Middle Eastern principality mentioned in comments above, I never touched their belief system to understand that a process (like Lean) was as essential to their survival and success as a good purchase of supplies. I brought a good tool, but somehow failed in that essential communication to move it to Beliefs. I was fully 2 tiers out in your diagram at Technologies. I never even instilled it as a competency, they had me, why did they need the competency themselves? Then with the recession, they ultimately lost me when they were forced to lay me off (the last layoff of a 70% workforce reduction -they went from being the largest roof and floor-truss plant in the U.S. Pacific NW, to still being the largest, at 1/4 the size).
One person does not make knowledge, competency, behavior. Not even in the smallest companies. I know the physical changes I made are still running a year later, because they worked. But I failed to instill the cultural changes as I had in other companies. I needed to alter their beliefs. My answer to your chart, you have to start at the center. It is as you work from the center out that you can address all of the conflicting pressures of the layers above.
Again, thanks for the chart, I’m adding it to my standard references.
MATT