A3 Management: Effective Problem Solving via PDSA

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July 3, 2014

A3 Management: Effective Problem Solving

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© 2014 The Karen Martin Group, Inc. 3

Consultant / Coach / Facilitator / Trainer: Lean transformation & business performance improvement in all industries.

Teacher: University of California, San Diego

Author & Speaker:

Karen Martin, President

@KarenMartinOpEx

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Next Webinars

• Thursday, July 31 – Coaching

• Thursday, August 28 – Kaizen Events


You will learn…

• The mechanics of using PDSA (plan-do-study-adjust) for solving problems.

• The vital role coaching plays in building organization-wide problem solving capabilities.

• How to break the “telling” habit that disrespects a worker’s creative potential.

• How to systematically build coaching capabilities to accelerate learning.


Problem: Defined

• A deviation from a known standard.

• A gap between where you are and where you’d like or need to be.


Very few people are born highly proficient problem solvers


Develop hypothesis

Conduct experiment

Measure results

Refine Standardize

Stabilize

See pp. 120-131 in The Outstanding Organization



Continuous Improvement

New Problem

50-80% of the total time

Detailed Steps

1. Define and break down the problem.

2. Grasp the current condition.

3. Set a target condition.

4. Conduct root cause & gap analysis.

5. Identify potential countermeasures.

6. Develop & test countermeasure(s)

7. Refine and finalize countermeasure(s).

8. Implement countermeasure(s).

StudyEvaluate

Results 9. Measure process performance.

10. Refine, standardize, & stabilize the process.

11. Monitor process performance.

12. Reflect & share learning.

Adjust

Do

Clarifying the PDSA Cycle

PlanDevelop

Hypothesis

Conduct

Experiment

Refine

Standardize

Stabilize

Phase


The Purpose of PDSA: Effective Problem Solving

• Provides a methodical structure to improve results.

• Breaks the habit of being unclear about what the problem actually is.

• Breaks the habit of jumping to solutions.

• Develops fact-based decision making.

• Develops deep critical thinking skills.


A3 Management drives answers to these key questions…

• What do we know?

• What do we not know?

– What is still missing from the picture?

• How are we going to find out?


Options for Developing PDSA Capabilities

• Strategy Deployment (Hoshin Kanri)

• A3 Management

• Kaizen Events

• Daily Kaizen / Kata

Macro

Micro


What is A3?

• The core of Toyota’s renowned management system.

• A structured method for applying the scientific method (via plan-do-study-adjust) to problem solving.

• International designation for 11 x 17” paper.

15


2008: A3 Management is “Codified”

http://www.amazon.com/gp/product/1563273608?ie=UTF8&tag=karmarass-20&linkCode=as2&camp=1789&creative=390957&creativeASIN=1563273608

http://www.amazon.com/gp/product/1934109207?ie=UTF8&tag=karmarass-20&linkCode=as2&camp=1789&creative=390957&creativeASIN=1934109207


Notice that it’s called A3 Management

and NOT A3 Report Generation


The Purpose of the Report: Learning & Development

• Reflect the problem-solving process

• Assess learning

• Define developmental opportunities

• Build effective storytelling skills

• Create organization-wide consensus about the problem and next steps

Using A3 without a highly proficient coach is like learning to play the piano from YouTube.

Common Components & Structure of the A3 Report

Theme: “What is our area of focus?” Owner: Person accountable for results.

Plan Do, Study, Adjust

Background

Current Condition

Countermeasures / Action Plan

Effect Confirmation

Follow-up Actions

• What?

• Who?

• When?

• Where? (if relevant)

Target Condition / Measurable Objectives

• Diagram of desired state VISUAL!

• Measurable targets – how will we know that the improvement has been successful?

• Diagram of current situation or process VISUAL!

• What about it is not ideal?

• Extent of the problem (metrics)

• Problem statement

• Context - Why is this a problem? How large is the problem? VISUAL!

Root Cause & Gap Analysis

• Graphical depiction of the most likely direct (root) causes VISUAL!

• What measurable results did the solution achieve (or will be measured to verify effectiveness)?

• Who’s responsible for ongoing measurement?

• Where else in the organization can this solution be applied?

• How will the improved state be standardized and communicated?


George Koenigsaecker, Leading the Lean Enterprise Transformation.

A3 Reports Need to Reflect the Problem-Solving Process vs. Fitting into a Defined Template

http://www.amazon.com/gp/product/1439859876/ref=as_li_tl?ie=UTF8&camp=1789&creative=390957&creativeASIN=1439859876&linkCode=as2&tag=karmarass-20&linkId=3RBMICYSL4ILYAH6



Background

Current & Target Conditions


Effect Confirmation

Follow-up Actions

• What?

• Who?

• When?


• Include pre- and post metrics table


• Context - why is this a problem?


• Graphical depiction of the most likely direct (root) causes





Metric Current State Desired Target

Condition

Projected %

Improvement

Lead Time

Quality

Labor Effort

Morale/Turnover

Inventory Turns

Market Share

Returned Parts



Sample A3 Report

Problem Countermeasures / Implementation Plan- Ÿ32% of customers dissatis fied with office space cleanl iness- 80% of emergency service requests are to wrong contact - Standard work for restroom cleaning

- Standard work checklist for non-routine items

- Service levels vary by bui lding - Standard process for measuring & mixing chemicals

- 10% of da i ly s taffing ava i lable i s a l located to travel/check in time - Restroom cleaning log

- Standard facil ity service plan (Plan A & Plan B)

Current Condition - Modify & standardize process for unplanned absences

- 31 Facil ity areas require custodial services - Modify starting points and schedules to reduce transportation waste

- Evaluate fleet availability to reduce waiting waste

Effect Confirmation

Target Conditions/Measurable Objectives

- 80% Daily staffing availability

- 50% Improvement - customer satisfaction with restroom cleanliness

- Defined standard work (for custodial staff and customers)

Follow Up Actions


- Undefined level of service (office parties, special events)

- No defined process for unplanned absences (call ing in, redistribute work, etc.)

- Inconsistent availability of communication tools (vary by building)

- No defined process for requesting/responding to emergencies

- Variation in cleaning schedules versus facil ity operating schedules

- Unpredictable daily staffing

- Travel time + Check in Time = 16.00 hrs/day = 2 FTE

- Customer requested personalized service (newspaper delivery, parties, trash)

CUSTODIAL SERVICES

A3

Plan Do, Check, Act

- 22% of customers dissatis fied with restroom cleanl iness

8%

20%

8%

14%17%

33%

0%

5%

10%

15%

20%

25%

30%

35%

Phone Callto

Custodian

Phone Callto Custodial

Supervisor

Phone Callto Custodial

Manager

Phone Callto Public

WorksDispatch

(x6000)

Emai l NotifyCustodial

Staff On Site

Survey: When you require emergency services, how do you request them?

32%

22%19% 18%

6%

0%

10%

20%

30%

40%

Office Spaces Restrooms CommonAreas

Overall ConferenceRooms

Survey: Custodial Services - Areas of Dissatisfaction

Travel/ Check In Time

16.00 10%

Absent Staff 24.00 15%

Vacancies 24.00 15%

Special Events2.00 1%

Staff Available94.00

59%

Daily Staffing Availability(Hours)

41% of daily staffing is

unavailable for custodial tasks

T it le # Staff H rs/ Wk H rs/ D ay

Lead Custodian 4 160 32

FT Custodian 8 520 64

FT Custodian (Vacant) 2 80 16

PT/Perm (avg 30 hrs each) 3 90 24

PT/Temp (avg 20 hrs each) 3 60 24

T o tal 20 910 160

Travel/Check In Time 8.00 5%

Absent Staff 24.00 15%

Special Events 2.00 1%

Current State Staff Available

94.0050%

PI Time Savings15.00 9%

Fill Vacancies 24.00 15%

Reduced Travel/Check In

Time 8.00 5%

Staff Available

126.00

79%

Future State Daily Staffing Availability (Hours)

22%

10%

12%

0%

5%

10%

15%

20%

25%

Dissatisfied Customers(Current)

Target

Future State Restroom Cleanliness Customer Satisfaction

Current Actual Result

State (+ 60 days)

Customers dissatis fied with restroom cleanl iness 22% <10%

Avg minutes per restroom cleaning 35 30

Avg hours per day cleaning restrooms (184 restrooms) 107 92

Dai ly s taffing avai labi l i ty 59% 80%

Dai ly travel/check in time (hours/day) 16 8

Travel mi les per day 139 <70

Metric Projected

Remaining Actions Owner 1 2 3 4 5 6 7 8 9 10 11 12

Explore options to improve cell phone availability Mark R.

Define process for requesting and responding to emergencies Custodial Supvs

Equip carts for recycling Mark R.

Process mapping for specialized facilities Mark R.

Standardize Cart Equipment & Supplies Custodial Supvs

Process improvement for other facility types, e.g. offices, common

areas, etc.Mark R.

Consider alternative staffing models (floaters, modified shifts) Mark R.

Actively manage vacancies Mark R.

Implementation Schedule (Months)

269

220

91

27 19 15

0

50

100

150

200

250

300

Office Space RecCenter/Gym

Library Shops Misc. AnimalShelter

Work Hours per Weekby Facility Type


Sample A3 Report

Sample A3 Countermeasures / Action Plan

BEWARE: Plans are subject to

PDSA!




Plan Do, Study, Adjust

Background

Current Condition


Effect Confirmation

Follow-up Actions

• What?

• Who?

• When?

















A3 Roles & Responsibilities: The Owner

• Individual who’s accountable both for the results and the process for achieving results.

• Problem owners have the authority to engage anyone needed and the responsibility to engage all relevant parties.


A3 Roles & Responsibilities: The Coach

• An individual who’s highly proficient in both the technical aspects of problem solving AND coaching itself.


The Key to A3: Coaching

REFLECTIVE DEVELOPMENT DIRECTIVE DEVELOPMENT

From The Outstanding Organization, p. 117

Heavy use of Socratic questioning to assess learning, develop critical thinking, and

build confidence

Here, the coach serves as teacher. Beware of the difference!



A3 Coaching Tools


A3 Coaching Tools: Coaching Session Prep Checklist

& Socratic Questions for A3 Coaches

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Building Organization-wide Coaching Capabilities

Executive Team

Senior Leaders

Middle Managers

Frontlines

Second Coach

Second Coach

Second Coach


Final Thoughts


Theme: “What is our area of focus?”

Plan

Background

Current Condition











Nailing the Plan stage of PDSA is the most

important element in the entire process.

Background: “The problem is…” and “this is how big it is…”

37


Understanding the Current State

• Go to the gemba! – OBSERVE

• Performance data

• Spaghetti diagrams

• Documentation / job aid review

• Videotape / photos

• Worker interviews

• Work samples

• Mapping

– Value Stream Maps (VSM) - strategic

– Metrics-Based Process Mapping (MBPM) – tactical


Root Cause Analysis: 4 Key Tools

CauseCause--andand--Effect DiagramEffect Diagram

Machine Measurement Environment

People Material / Info Method

Budgets

Submitted Late

Lack of experience

Time availability

No sense of import

No stnd spread sheet

Email vs. FedEx

No standard work

Input rec’d late

Forecast in other system

Manual vs. PC

System avail.

No milestones

$ vs. units

Weather delays

Dispersed sales force

Changing schedule

Machine Measurement Environment

People Material / Info Method

Budgets

Submitted Late

Lack of experience

Time availability

No sense of import

No stnd spread sheet

Email vs. FedEx

No standard work

Input rec’d late

Forecast in other system

Manual vs. PC

System avail.

No milestones

$ vs. units

Weather delays

Dispersed sales force

Changing schedule

5 Why’s

Why?

Why?

Why?

Why?

Why?

Check Sheets Quantify Occurrences

|Equipment failure

|||||||||||||Changing customer

requirements w/ no

adjustment to expected

delivery

||||||||||Order entry error

|||Staffing/absenteeism

|||||Quality issue requiring

rework

|||||||Material shortage

Tally Reason

|Equipment failure

|||||||||||||Changing customer

requirements w/ no

adjustment to expected

delivery

||||||||||Order entry error

|||Staffing/absenteeism

|||||Quality issue requiring

rework

|||||||Material shortage

Tally Reason


Common Questions

• How long does it take to complete an A3?

• Can I use A3 for daily kaizen or during kaizen events?

• What’s the relationship between Strategy Deployment (Hoshin Kanri) and A3?

• What’s the relationship between Value Stream Mapping and A3?



Problem solving and making

improvement done properly

is a high.


You HAVE to have a Coach!


Coaching Summit

July 28-30, 2014 Long Beach, California

www.leancoachingsummit.com

http://www.leancoachingsummit.com/


Karen Martin, President 858.677.6799

@karenmartinopex

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A3 Management: Effective Problem Solving via PDSA

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Transcript of A3 Management: Effective Problem Solving via PDSA