My idea of a
In the same light, too often I find clients doing good things but not necessarily the right things in their approach to productivity. Their efforts have good intentions, but in mature companies the wrong tools and structure preclude them from getting the most bang for their buck. Common examples include: using a microscope when the view from an airplane would do, starting multiple initiatives that work across purpose, prioritizing efforts based on rules of thumb, and addressing only a small portion of the opportunity set (ignoring the elephant in the room). Five simple steps can help you avoid some of these pitfalls as you address productivity in your company.
1. Weigh Yourself: Build a Foundation of Control
Most
For a company situation, start by defining the universe of opportunity. This can be done in terms of people, assets, process, systems or some similar method. It doesn't matter how you categorize as long as you're inclusive of all the pieces that affect the area of influence. You wouldn't exclude your left arm when you weigh yourself, so why would you exclude the maintenance process of your critical machinery?
Next, determine how you're going to measure your progress. In the beginning this doesn't have to be precise. I have plenty of clients tell me they "don't have the data". I can still measure
Find out what the variation is. It's hard to track a 1 pound loss with certainty when you naturally swing 5 pounds in a day. Take a look at how the measurement swings over a day, a month, a year. Does it pass the smell test from 50,000 ft? Dig in; what's having the biggest effect on the variation? A process break down? Unreliable tools? Demand variation? There's usually some quick wins when you use an inclusive approach.
2. Remove the Excuses: Look at the white spaces
I once met someone at a picnic who told me he was on a
Have you ever heard "I didn't get the parts'; I didn't know he needed the parts", "They never give me it on time; they never give it back on time", or "Because we've been doing it that way forever". These excuses are about accountability. Each individual builds walls in their mind where responsibility starts and ends. Once it's over the wall it's someone else's problem.
We've all talked about department silos. Well, you can bet that the hand off between people of different departments is rife with productivity opportunity. Notice that I said "people of different departments" not just "departments". The key here is to think about the people and their incentives. Why do people feel it's acceptable to use the excuses?
In the short term solid process roles and responsibilities can help you capture some of the waste. Mid term, it's about shared performance targets with a balance of what I call 3 feet accountability, responsibility for the 3 feet around you. In the long term however, you need to make people not just responsible but prideful with respect to a shared goal.
3. Dream Body: Creating a Vision of the Future
Now that we've established a base and we've proven we can do it without dying of starvation or going off the deep end, we're in need of a little inspiration. Time to open up the old world class benchmarking magazine, maybe Runner's World, Men's Health, FLEX, or Shape. Pick what you want to look like, rip it out and tack it on the wall. Voila inspiration.
Too bad it isn't that easy in corporate world. Plenty of benchmarks are out there but you have to be willing to ask and pursue. Your business is unique you say? No benchmarks available? I'd challenge that. I like to think of myself as unique, but in the end I have the same bones and muscles as you. Yours may be bigger, you may be taller, but if we find the right basis we are comparable.
Break it down, keep it simple and you can find your reference points. For example, in heavy asset industries, reliability, utilization and unit cost of assets provide great benchmarks across sectors. We can pick and choose from different companies to create a composite benchmark if needed.
Benchmarks are only one piece of the puzzle though. Markets are in continuous flux and technology is rapidly changing the way we do business. The key is to combine the three ingredients; benchmarks, markets, and technology to create a tangible vision of the future for all the employees of the company.
4. Get To It: Reengineer
You're staring at the picture on the wall. The question is how to get there. The
You're searching for the place where you can honestly tell yourself "Yup, I pushed myself today, I won't feel bad about sitting on the couch and watching American Idol tonight". Some start by walking and others by running. Sure the change is painful but after a few weeks the soreness goes away and your muscles will get used to the change. At that point it's time to kick it up a notch. You'll be there in no time.
They say "change is a process not an event". Sounds good, but also sounds glacially slow with no urgency or milestones. What fun is that? In any case, a process is really a series of events and I prefer to think of change this way. The events are both our actions and in some cases our milestones. We can build urgency and measure progress in this way.
How fast you can get there is another story. A lot of factors come in to play. How much stress can the organization handle? How open to change has it been in the past? How much is dependent on outside parties? Is there a burning platform?
To make it manageable it's important to find the critical path to the vision. There may be several building blocks that have dependencies on one another in addition to independent initiatives. To create and easily communicated critical path, cut it up into short-term, mid-term, and long-term. Next, create a detailed action plan for the short term and be sure to include any foundational elements (software systems, infrastructure, union agreements) needed for your mid-term and long-term milestones.
5. Cheat Day: Celebrate Success
Pick a day of the week, its cheat day. Eat what you like, drink what you like, do what you like. It's a party for a job well done over 6 days and you're invited. No guilt here, the results are coming and it's time to admire our work.
Celebrating success is an integral part of the productivity process. Your incentive system may provide some reward for improved productivity but celebrating should go beyond that. There are lots of books on how to reward people but often it's as simple as a pat on the back and a little public recognition to let people know you appreciate what they've done. Have you hit a major milestone? Time for a bigger reward? Pick a day, any day, it's cheat day!
Get Off the Couch: Get Started
Just like getting off the couch, execution is often the most difficult part. By holding people accountable for changes and keeping everyone's attention based on an inclusive measure you can make big strides in a short period of time.