Date post: | 16-May-2015 |
Category: |
Business |
Upload: | ryder-system-inc |
View: | 5,091 times |
Download: | 2 times |
Lea
d 3
60
, In
c –
Sale
s an
d M
ark
etin
g K
aize
n
20
10
Co
urs
e P
roje
ct
Improve the Sales & Marketing process at the firm, to impact the revenues of the organization. Kaizen Workshop will be used to identify the problems, address root causes and propose solutions. February 20th, 2010
HR587 – Organizational Management Prof. M. Luckett
Author : Hector A. Rodriguez 305-588966 – [email protected]
Contents 1. Executive Summary ............................................................................................................................... 3
2. Organization .......................................................................................................................................... 4
3. Need for Change- Scope ....................................................................................................................... 6
4. Project Approach .................................................................................................................................. 6
5. Research Plan ........................................................................................................................................ 8
5.1 Purpose ............................................................................................................................................... 9
5.2 The Workshop Structure ..................................................................................................................... 9
5.3 The Team ........................................................................................................................................... 11
6. Workshop ............................................................................................................................................ 12
6.1 Introduction ...................................................................................................................................... 12
6.2 Brainstorming .................................................................................................................................... 13
6.3 Idea Grouping.................................................................................................................................... 13
6.4 Idea Voting - Prioritizing.................................................................................................................... 15
6.5 Problems Table Results ..................................................................................................................... 16
7. Problem Analysis and Solutions .......................................................................................................... 17
8. Conclusion ........................................................................................................................................... 19
8.1 Evaluation Efforts .............................................................................................................................. 19
8.2 Workshop Experience ....................................................................................................................... 20
9. References .......................................................................................................................................... 22
1. Executive Summary
Lead360 is a brand new organization, intending to lead the way in Lean and Productive
Management. As any other new organization is full of challenges and new projects and its seek
for perfection is infinite. All the operations and products strategies of Lead360 are defined, and
you can see our range of products at www.lead360inc.com . However, an inconvenient is still
present in the marketing, sales and promotion activities, which are the key to bring new
customers, more income and revenues to the company. As Lean experts, we have decided to
perform what is called a Kaizen or Continuous Improvement workshop, following the
philosophy of lean culture. The purpose of the Kaizen workshop is to identify problems and
causes to the slow sales and promotion of Lead360 products and services. We are following the
Star Model as our Change Organization Management model, so we look for the Strategy,
Process, Structure, Reward System and Human Resource as our categories to implement
change. We are going to follow the steps through a Kaizen workshop ensuring that our
solutions and actions plans relate to the 5 Star Model, to address issues that will touch each of
the five components of this change model. The failure and success of the workshop will depend
on the understanding and commitment of the participants.
As part of this project, we are going to prove how following the Kaizen workshop and the 5
Start model we can motivate our team, keep our members committed to this entrepreneurial
endeavor, while instilling a culture for change, and start cultivating that behavior in our
partners, the seek for perfection, to constantly find ways to do leaner, better and faster.
As conclusion, we see how this workshop was not only productive as to the ways to improve
our Sales and Marketing process, but also help to consolidate the different phase of team
building: Formation, , Norming, Performing. We are committed to build LEAN behaviors and
culture, staring from our own.
2. Organization
Lead360, Inc is an organization that was founded 2009 with the mission to “ To transform
organizations from the inside-out, aiming at leaner, better and faster working environments,
promoting a culture of efficiency, waste and defect elimination, with value added to your
business.” Currently the firm is form of three, all professional with more than 15 years of
experience working for Fortune 500 companies. The world economic downturn motivated the
three members to start their own consulting business, and assist other companies, institutions
and organizations in Lean Training and Project implementation, while provide a broad range of
services that goes from Lean Training to Grant writing and Business Plan assessment. I am the
VP of Operations in charge of the project planning, training manual development, and strategic
planning. My role in the organization is to lead the products and services to fit the customers
and to promote our motto: “Give a man a fish and he eats for a day, teach him to fish and he
eats for a lifetime.” The organization is composed of four lines of services as shown in the next
page. As any new and start up business there are many challenges, and changes to face.
3. Need for Change- Scope
The Company has the business plan ready, and the preparation of trainings manual is on-going.
We have developed some trouble to meet the marketing and sales goals. We have found that
none of the members are experts on sales or marketing, so a learning process is currently in
process. However, this is affecting on the most important goal of the business which is to gain
customers and revenues. We need to bring more customers, to build a strong reputation in the
market to win more contracts. All three members are ready for change, we all come from
working experiences in companies that are used to constant change in the manufacturing
world, adapting to all external and internal situations. Our sales are stagnated and we need to
push them to bring more revenues to the firm, and set a growth pattern in 2010.
4. Project Approach
In order to resolve the Sales and Marketing stagnation, we have decide to perform a Kaizen
workshop ( Continuous Improvement), to find the possible causes and solutions that will aid to
better perform in the Sales and Marketing activities. I’m a Kaizen (word for Continuous
Improvement in Japanese) Coach, and as such I will be leading the workshop, to bring new
ideas to the group and prepare and action plan to boost the Sales in the organization.
Kaizen: “teams are generally comprised of employees from all areas involved in the process
who understand it and can implement changes on the spot. Improvement is immediate,
exciting and satisfying for all those involved in the process”. (Evans & Lindsay, 2008). “ Kaizen is
an intense and rapid improvement process in which a team or department throw all its
resources into an improvement project over a short time period, as opposed to traditional
Kaizen applications, which are performed on a time basis.” (Evans & Lindsay, 2008).
The Kaizen workshops follow the Deming Cycle of Quality, constitute of four Steps: Plan, Do,
Check, Act.
Figure No. 1 Deming Cycle
Plan: is the problem identification phase, and where problems are address.
Do: is to find alternative solutions to the problem, and to address the root cause.
Implement the solution.
Check: This phase is intended to see the effect of the solution and look for
improvement.
Act: This phase is to follow any action plan developed to address any failures or
improvement of possible solutions. A plan to implement and follow up with the
solutions and its consequences.
5. Research Plan
A Kaizen workshop will be conducted to identify root causes to the problem. Several Total
Quality Management tools such as Fishbone diagrams, 5-Whys, Prioritizing, are used to address
the current state and to identify “waste” in the process or system under study. Our intention to
perform the workshop is to validate our results will comply with the Five Star Model, providing
solutions that will cover the five aspect of this change model.
Figure No. 2 Star Model
5.1 Purpose
The purpose of the workshop is to understand the effects of change management through the
Five Star Model, and to discover new behaviors in the team. The workshop will put in practice
some of the tools offer to customers, while teaching other members about the Kaizen
methodology. A final survey after the workshop will be performed to check the impact of this
kind of methodology for continuous improvement.
The intention of the workshop exercise is to identify problems and issues within the Sales and
Marketing process. The teams need to design a better process flow and identify risk and
opportunities within this process. The goal behind performing the workshop is to improve the
revenues goals for 2010.
5.2 The Workshop Structure
A Kaizen workshop is structure in 5 steps: (General Motors, 2007).
Activity Moderators Content Results Time
Introduction •Champion
•Coaches GoFast!
• Present sense of urgency• Identify issues where you can
implemente sense of urgentcy, problem processes
• Set norms and expectations for the workshop
•The Champion is focus to results and decision making•Set norms to participants
30 minutes
Problem indentification
•Coaches GoFast! Identify:•Barriers agains sense or urgency •Sources of Bureocracy•Adicional Work with no Value •Sources of damages, hits, mutilations•Unnecessary Activiites
•List of burocratic problems•Agreement over problems•Division of problems in subgroups
1 hour
Analysis of problems and Solutions
•Coaches GoFast! •Prepare recommendations about the work done, what is to stop doing, start or support•Review recommendations•Summarize the results in groups•Ensure uniformity and eliminate duplication
•Specifics Measures to increase sense of urgency •Group recommendations to increase sense of urgency
1 hour
Recommendations Preparation
•Coaches GoFast! •Incorporate Comments•Complete the presentation materials and Action Plans
•Presentation Materials 1 hour
Present recommendations
•Sponsor•Champion•Decision Panel•Coaches GoFast!
•Share final recommendations•Decide:
1. YES2. NO3. Postpone
•Recommendations •Decisions Making on action plan
30 minutes
1. Introduction: present the process of a Kaizen workshop and introduction to terms.
2. Problem Definition: Define the problem; identify issues with the current process.
3. Root Cause Analysis: find possible causes to the problem, identify wastes in the process.
4. Solution Generation & Selection: find new ideas and solutions to the future state.
5. Action Planning: Prepare an plan of activities to perform and eradicate the problem.
The process of transformation of the Kaizen workshop will depend on the team integration. The
process is shown in Figure No.3.
Figure No. 3 (Go Fast – Kaizen Workshop Steps)
5.3 The Team
In order to implement this kind of workshop a define team needs to be in place in order to
make effective decision. The following table shows the minimum roles and responsibilities.
(General Motors, 2007)
Table No 1. Workshop Composition
Roles in the Workshop
Key Activities
Sponsor Helps identify the topic of discussion and establish some expectations
Selects the Champion for the Workshop
Provide resources ( e.g. money, time, systems) and monitors the implementation
Champion Plans and determines the scope of the workshop ( natural owner)
Make decision related to the recommendations in the workshop
Remove roadblocks, monitors the implementation and reports results
Decision Panel Decision Making to recommendations
Work as a road blocker remover, to eliminate any barriers and help through the approved recommendations
Participants Employees related to the topic of the workshop. Develop and present recommendations to the Decision Panel.
Participate in all activities of the workshop and act as guidance to implement the recommended actions after the workshop
Coach Plans the workshop and act as a facilitator, focusing on the group and leading them to think wisely
Acts as a facilitator
Expert Support with specific knowledge in matters before, during and after the workshop ( e.g. usually an IT )
6. Workshop
6.1 Introduction
The first step to do in a Kaizen workshop is to give a brief introduction to the purpose of Kaizen
or Continuous Improvement. The Kaizen workshops follow a similar structure and plan, and
they try to increase the sense of urgency in process that are short, concise and with clear
problems. When process become to complex and required deeper analysis a Value Stream
Mapping workshop will work better. For our case, the Sales and Marketing process of the
company is in trouble, we are having difficulty bringing more customers and sales to the
company. So Decide to go over the following process:
Figure No. 4- Workshop Preparation
Select Issue, Workshop Champion and Define Workshop
Scope
Select Workshop
Participants and
Leadership Panel
Coach Leadership Panel
Hold Workshop
Follow-Through and Implement
Before the Workshop During the
Workshop
After the
Workshop
Champion Activities
• Select a good topic
• Clearly scope the
workshop issue
• Select the right
people to attend
• Confirm logistics
with Lead Coach
• Prepare workshop
opening remarks
• Introduce and
close workshop
with key objectives
and goals
• Emphasize the
importance of
implementation,
ensure
recommendations
are doable
• At end of
workshop, meet
with drivers and
schedule 30-60-90
day progress
reporting
• Communicate
decisions and
progress
• Track and monitor
implementation
• Hold 30-60-90 day
review sessions on
implementation
status
• Recognize and
reward success
6.2 Brainstorming
During the Brainstorming phase, the team must identify problems, issues with the process. Not
focusing yet on solutions or root causes which are a later part of the workshop.
Our list of problems, was define for each participant to bring 5 big problems they find in the
Sales and Marketing Process. Have the group generate as many unique, creative ideas as
possible using brainstorming techniques:
No idea is wrong or off limits!,
Write legibly on large post-its.
Ensure they frame issues as problems, not solutions or questions
Remind them to be specific and concise
Have a participant gather ideas into logical groupings or categories (pre clustering)
Identify duplicates and/or related issues and group them accordingly (twins and cousins)
Gain consensus on the groupings (clustering)
Keep everyone engaged throughout the whole process
Once this is complete you will proceed to dot voting
6.3 Idea Grouping
We group our problems in the following structure: when post-it are overlap, it means ideas as
duplicated. Three groups of problems were discovered: Marketing Plan, Sales Strategies,
Product and Process.
Marketing Plan Sales Strategies Product
Development
Process
Don’t have a clear
target and how to
promote
Don’t know how
to approach our
customers or
target customers
Don’t know what
are our quick wins,
and quick
products
Don’t know our
promotion
channels clearly
Find quick
attention getter
including pricing
for quick wins
There is no clear
target or
segmentation of
customers by
products
There is not
enough exposure
of marketing
materials in the
network Products are not
innovative
Not 100% full time
dedication to Sales
There is no
Marketing and
Sales Process
define
1
2
3
4
5
6
7
8
There is lack of
communication
for marketing and
sales
Lack of
mentorship,
partnership with
experts
Product is too
common, not easy
to sale
There is no place
to office place to
concentrate, and
be more
productive
9
10
11
6.4 Idea Voting - Prioritizing
Prioritized categories from the Gallery of Issues go into the breakout sessions for resolution.
Each participant is give a red dot (5 points) , a yellow dot (3 points) and a blue dot (1 point) .
Each participant is supposed to pick the three most critical issues they can identify from the
group of problems. One the voting is over, pick the activities that were mostly voted and
prepare to identify root causes and solutions. This is the result from the team’s votes.
Marketing Plan Sales Strategies Product
Development
Process
Don’t have a clear
target and how to
promote
Don’t know how
to approach our
customers or
target customers
Don’t know what
are our quick wins,
and quick
products
Don’t know our
promotion
channels clearly
Find quick
attention getter
including pricing
for quick wins
There is no clear
target or
segmentation of
customers by
products
There is not
enough exposure
of marketing
materials in the
network
Products are not
innovative Not 100% full
time dedication to
Sales
There is no
Marketing and
Sales Process
define
1
2
3
4
5
6
7
8
There is lack of
communication
for marketing and
sales
Lack of
mentorship,
partnership with
experts
Product is too
common, not easy
to sale
There is no place
to office place to
concentrate, and
be more
productive
9 10
11
6.5 Problems Table Results
Summarizing, after the voting phase we consolidate the problems and count the points. After
our voting exercise these were our problems results in order of importance:
Table No 2. Priorities
Problem
ID
5
Points
3
Points
1
Point
Total
1 We don’t have a clear target and how to promote There is no clear target or segmentation of customers by products
5 3 1 9
7 Products are not innovative Product is too common, not easy to sale
5 3 8
8 There is no Marketing and Sales Process define
5 5
5 Not 100% full time dedication to Sales
3 1 4
11 There is no place to office place to concentrate, and be more productive
1 1
10 Lack of mentorship, partnership with experts
0
9 There is lack of communication for marketing and sales
0
6 We don’t know what are our quick wins, and quick products Find quick attention getter including pricing for quick wins
0
4 There is not enough exposure of marketing materials in the network
0
3 We don’t know how to approach our customers or target customers
0
2 We don’t know our promotion channels clearly
0
7. Problem Analysis and Solutions
Once the problems have been categorized and grouped, we proceed to the analysis of root
causes and solution generation process.
After reviewing our potential
problems list we have team up to
formulate the problems and find
their root cause analysis using the
5-Why’s methodology and the
ISIKAWA Fishbone diagram which
usually leads to the root cause and
to possible solution in factors like
environment, people, measure, procedures. Figure No. 4 Ishikawa Diagram
Problem Definition
Key Activities OutcomeProcess Step
Root Causes Analysis
Solution Generation
Solution Selection
Action Planning
• Cluster and prioritize problems; address in
order of importance
• Formulate problem statement
• Concise problem
statement
• Evaluate and identify the cause(s) of the
problem
• Root cause(s)
identified
• Brainstorm solutions to problem that address
root cause
• Alternative solutions
generated
• Evaluate and select solution(s) that best solve
the problem, can be addressed by workshop participants, and are implementable within 90 days
• Final
recommendation(s) selected
• Build action plan that will be used to implement
recommendation
• Action plan outlined
Breakout Group Tasks
We have defined 5 Problems in our workshop and their potential root causes and solutions.
Table No 3. Results and Action Plans
Problem Root Causes Solution and Action Plan Not Clear Target and Market Segmentation
1. Poor Marketing Plan and market research
2. Lack of Human Resource
3. Lack of team Communication
1. Review marketing plan and market research to define potential customer and promotion strategy
2. Develop and Portfolio Strategy and Selection Criteria
3. Setup weekly meetings for Marketing Review
Generic Product, Not Innovative
1. Focusing on current offer only
2. Did not apply Blue Ocean Strategy
3. Did not tested the product first
1. Apply blue Ocean strategy to develop new products
2. Validate product before launching 3. Look for Project Funds
No Marketing Sales Process Define
1. Too many task for too many people
2. Did not have computer aid tools to draw faster process
3. Lack of meeting places and conflicts
1. Draw the marketing and sales process in IGrafx
No Sales force 1. No financial resources budget for sales
2. No expertise in Sales and Marketing from the team
1. Find a salesperson under commission
Unproductive Working Environment
1. No financial resources to rent a place
1. Look for office space to meeting and produce better work results.
8. Conclusion
Our conclusions include the evaluation of the workshop process, the experience we
experimented during the workshop and how this will impact our approach to change
management.
8.1 Evaluation Efforts
We have considered using the Star Model for our analysis because it pertains much about
strategy and team participation. We know from Managing Organizational Change (Evans &
Lindsay, 2008), that the Star Model covers five (5) pillars, and that its impact is based on
identifying the strength and weakness on each one of them. In our workshop we try to cover
each of the terms of the Five Star Model, ensuring we include solutions that will reform the
current situation. We are listing our solutions under each of the Star Model categories, so we
can validate the improvement and be consistent with the model for change management.
Strategy Structure Process&
Lateral
Capabilities.
Reward
System
People
Practices
1. Review marketing
plan and market
research to
define potential
customer and
promotion
strategy
2. Develop and
Portfolio Strategy
and Selection
Criteria
3. Apply blue Ocean
strategy to
develop new
products
1. Find a
salesperson
under
commission
1. Draw the
marketing and
sales process in
IGrafx
2. Setup weekly
meetings for
Marketing Review
3. Validate product
before launching
1. Look for office
space to meeting
and produce
better work
results.
1. Apply blue Ocean
strategy to
develop new
products
2. Look for Project
Funds before they
are launch
As we can see from our results, we have touched all 5 categories of the Star Model, which
consolidates an integral proposal for change, to remain sustainable and to be implemented by
the team.
8.2 Workshop Experience
We conclude that in our brief workshop and concise actions, we have address the 5 points of
the Star Model, leading towards a good result for change and sustainability of a more solid
process for Sales and Marketing. In order to promote LEAN behaviors in our organization, we
must understand that sustainability of any process must rely of its documentation and
reliability, on a process that can be performed by any individual in the organization, and that
can be repeated with constant quality results.
"We created a lean improvement team and conducted a comprehensive campaign to kaizen the
organization's key value streams. And we had dramatic results. Faster patient flows. Better
outcomes. Lower costs. But we couldn't sustain the gains. The improvement efforts weren't
connected to the way the organization was managed and the value streams started to regress
to the mean as soon as the improvement team left. After I left the organization, the whole
program came to an end. What a shame." (J.Womack)
To build solid and mature processes, we must design them robust, and for people who are the
ones to perform the tasks and activities.
This was our first Kaizen event and we have experience a lot of transformation change in the
team, some of the effects of participating in the workshop were:
Higher commitment to the business
Increase of ownership of the business and products
Team building efforts : formation, norming and performing is improving
Motivation from the group has impacted our results
“One core principle of lean is respect for the individual. While employees do not represent the
entirety of lean impacted humanity, they are the primary learners, doers, beneficiaries and
sometimes, when kaizen events are improperly applied, “victims.” They are also enablers,
adopters and/or saboteurs of change. Resistance is rooted in the human side at least as much
as the technical”. (Wolfe)
Organization Change Management brings much of the philosophy of handling with change, is
not only about implementing tools and methodologies, is more about instilling a cultural impact
shift in the organization. As we try to promote in our organization, we want to build LEAN
BEHAVIORS, not only teach how Lean can benefit your process and systems, but for everyone in
the organization to be committed with Lean Thinking, its benefits and flaws, its cultura impact
to constantly “seek for perfection”.
“ The concept of perfection in lean production means that there are endless opportunities for
improving the utilization of all types of assets. The systematic elimination of waste will reduce
the costs of operating the extended enterprise and fulfills customer's desire for maximum value
at the lowest price. While perfection may never be achieved, its pursuit is a goal worth striving
for because it helps maintain constant vigilance against wasteful practices.” (The Manufacturing
Edge).
9. References
1. (2008). Managing for Quality and Performance Measurement. In J. R. Evans, & W. M.
Lindsay, Managing for Quality and Performance Measurement (pp. 677,678). West
Eagan, MN, USA: Thomson, SouthWestern.
2. General Motors. (2007). Go Fast Coach Clinic Manual. Detroit: General Motors.
3. General Motors ( 2006). Value Stream Mapping Clinic Manual. Detroit: General Motors
4. Managing organizational Change (2009). In Ian Palmer & Richard Dunford & Gib Akin
5. Lean Enterprise Memory Jogger(2002), Lean Enterprise Institute.
6. Gembutsu Consulting Newsletter. How to Conduct a Kaizen Workshop
http://www.gembutsu.com/newsletters/newsletter8-
07/ConductWeeklyKaizenWorkshop.htm
7. Defense Industry Daily . Want and Effective Kaizen Event? Don’t Forget the Human side.
Mark R. Hamel and Charles J. Wolfe
http://www.defenseindustrydaily.com/Want-an-Effective-Kaizen-Event-Dont-Forget-
the-Human-Side-06139/
8. The Nation Business. The Toyota Way – Road to Marketing Excellence. P.Changsorn
http://www.nationmultimedia.com/2009/01/14/business/business_30093187.php
9. Lean Enterprise Institute. The problem of sustainability. J. Womack
http://www.lean.org/common/display/?o=752
10. The Manufacturing Edge. Intro to Lean.
http://www.mamtc.com/lean/intro_intro.asp#Perfection
11. Lean Enterprise Institute. Principles of Lean
http://www.lean.org/WhatsLean/Principles.cfm