Bob Kerr October 2014

“We know where most of the innovation lies....

- the stuff that drives productivity - It’s in the minds of those closest to the work”.

Jack Welch Chairman and CEO of General Electric

Being Creative

Stages • Kindergarten 90

• Grade 4 70

• High School 40

• College/University 50

• Business 40

• Possibilities 80?

Score out of 100

Comfort Zone

Creativity

Kindergarten

Possibilities Through

Experimentation

Few Barriers

Business

Comfort Zone

Creativity

Possibilities Through

Experimentation

Many Barriers

Exalted Order Of the

Extended Neck

“Even a Tortoise Doesn’t Get

Anywhere Unless He

Sticks His Neck Out”

Management Innovation

• Established a Vision for the Organization

• Senior and Middle Management had to learn to be Leaders

• Created a ‘No Blame Environment’

• Established a ‘Team Based Environment’

• Trained all the staff in Problem Solving and Facilitation Skills

• Had ‘Blue Sky’ Meetings with all employees

• Set Goals and Objectives

“Imagination is more important than knowledge.”

“Anyone who has never made a mistake has never tried anything new.”

Albert Einstein

“Success is going from failure to failure without loss of enthusiasm”

Winston Churchill

Customer Service

On time delivery was 78.5%

Internal quality level was 89%

External quality level was 97%

Lead time (through the plant was 3 weeks)

On time delivery was 98.5%

Internal quality level was 97%

External quality level was 99.5%

Lead time (through the plant was 2 days)

Initial Situation New Situation

Inventories

Finished Goods Warehouse was full

Raw materials were taking up excessive space

Finished Goods reduced by 60%

Raw materials reduced by 32%

Overall ‘Productivity’ Improvement = 30%

Initial Situation New Situation

“The ability to innovate is not lost completely. It lies dormant in every person in every organization. We just need to find ways to awaken it from sleep”.

Bob Kerr

Feb. 2014