Advice & Counsel: Maximum Operating Effectiveness...The Leader's Role

Most corporate leaders have realized the great promise in cost reduction, throughput, productivity, and speed of the techniques which today often fall under the label "Lean". They are neither new nor untested. Each individual element has proven itself over decades...and as a combination, Lean has been well documented since its creation in the late 1970s as total quality and just in time. Also, its use has become so widespread that there are many benchmarking opportunities to learn best practices.

In addition to measurable financial benefits, these techniques, if used wisely, can benefit the leader in other ways.

• The language of Lean can make it easier for the in-place leader to describe a better, more productive, more satisfying state and to motivate managers to change.
• For the new leader, it can distinguish the era he is starting from what was inherited from his predecessor.
• And the designated successor can use the impressive results available from Lean to further the chances of promotion.

But, for every example of success, there are dozens of cases of failure. The company Dan ran (which created many of these techniques and had more experience than any other at implementing them) estimated that two thirds of company-wide improvement efforts failed to achieve what they set out to do. With all the advantages they offer, why do these efforts often miss expectations? Because hearing about impressive results and achieving anything close in one's own organization are two entirely different matters.

The low success rate has little to do with the techniques that make up these company-wide initiatives...we know they work. Rather, it has everything to do with how the leader approaches the task.

What it comes down to is how he links them to the strategy of the business, whether he understands the role the organization culture plays in these approaches taking hold and lasting over time, and whether he has a practical plan to put it all together. They affect who is designated to lead the improvement effort, whether it remains a priority on the leader's agenda, and whether those being asked to change are involved...three signs that will impact the motivation of managers to experiment and stay the course. The improvement efforts that disappoint are always in organizations where there has been inadequate or wrong-headed management of the effort to drive improvement.

Wise use of the right help is part of the answer as well. Even though leaders put their credibility on the line by sponsoring these programs, most do not receive the staffing & support they need to get the job done. Neither most outside consultants nor managers who take day-to-day responsibility fully grasp the leader's unique role in making these tools & techniques successful.

Dan was the first to recognize and document that role when these approaches were created, and through the years has remained the recognized leader in this area. He combines broad understanding of the tools & techniques, deep experience at tailoring them to meet the needs of each organization, and as important, is among the preeminent counselors to corporate leaders during times of change.

When the strategy changes and the pressure is on for better results, achieving operations excellence throughout his organization is essential for the leader. Understanding the tools and how they're best employed is important...motivating people to use them and sustaining improvement efforts require more... and ensuring early successes turn into permanent habits takes even more. That's where the leader faces the challenge of getting the culture to change.