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com

27th InternationalConferenceofthe
TOCPractitionersAlliance TOCPA
www.tocpractice.com

August1618,2016Johannesburg,SouthAfrica

Managing & Inspiring People

Konrad Bartel, OpsLogik Solutions, South Africa


17th 18th August, 2016

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Konrad Bartel
Konrad Bartel studied Industrial
Engineering & MBA, has 20 years
experience as Production Manager /
Director
in
the
manufacturing
environment and 16 years TOC
Consulting experience in Marketing &
Sales, Supply Chain, Manufacturing
and CCPM Implementation. He
worked with Goldratt Consulting on
Viable Vision Projects. Konrad is also
an Ontological Business Coach and
implements TOC at organizations
throughout
South
Africa
and
internationally

Mobile: +27 83 262 0062


Office: +27 21 843 3103
konrad.bartel@opslogik.com

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Introduction

A comprehensive solution to Manage and Inspire People


in a TOC managed company

What is the Problem with People in TOC?


Understanding the Core Problem
Developing the Solution Manage & Inspire
Details of the Solution The MIP S&T
Implementing Managing and Inspiring People S&T

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What is the Problem?

Two aspects to the Problem:


How do we motivate / manage people in a TOC Business?
You can buy a man's time; you can buy his physical
presence at a given place; you can even buy a measured
number of his skilled muscular motions per hour. But you
cannot buy his enthusiasm...you cannot buy loyalty...you
cannot buy the devotion of hearts, minds, or souls. You
must earn these.
Clarence Francis
From: The Logical Thinking Process H William Dettmer

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What is the Goal

We have a solution for Managing and Inspiring People


first part:

Harmony is gained through aligned


company, team and individual
ambitious goals

ArrievanNiekerk TOCPAConference2014
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What is the Problem?

Two aspects to the Problem:


Not aware of a comprehensive TOC based solution of how
to manage people in a TOC Business.
While TOC has some ways to address human behavior
with a set of processes called Management Skills (see
the TOC TP books mentioned previously), there are
some other necessary conditions of executing a great
strategy that remain.
Choose one of the science-based behavior programs
(e.g., Covey, Influencer) based on the most important
current company needs.
Dealing with Human Behavior Gerald I Kendall - Chapter 18 ; TOC Handbook
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What is the Problem?

Two aspects to the Problem:


Not aware of a comprehensive TOC based solution of how
to manage people in a TOC Business.

Bringing other technologies / solutions are always a problem due to


the misalignment between the Cost World approach and the
Throughput World approach.

Change Management People Resist Change!

Do people really resist change?

Theory 1 Yes, the larger the change, the larger the resistance
or Theory 2 Yes, we resist all changes that will not benefit us

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What is the Goal

We have a solution for Managing and Inspiring People


second part:

A comprehensive Strategy and


Tactic addressing all the People
management issues aligned with
the Generic S&Ts
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Develop the Solution

Do it RIGHT Develop the Solution form basic principles


Brought three companies together
Aerosud: 600 people
Logo Print: 120 people
Coetzee & Coetzee: 20 People
Developed the Solution using the
Simplified TOC Analysis Roadmap

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Develop the Solution


STEP 5

STEP 1
WHY CHANGE?

Performance
Metric 2

Performance
Metric 1

Performance
Metric 3

STEP 4
HOW TO CAUSE THE
CHANGE?

DEFINEGOAL/
SUBJECT
UDE5(2%)
UDE4(3%)
UDE3(10%)
UDE2(15%)
UDE1(20%)

Target
Level

Current
Level

UDE
Conflict3

Need

UDE
Conflict1

STEP 3
TO WHAT TO CHANGE?

Tactic
SufficiencyAssumption

Copyright2015

Action

UDE3

S&T5.X:

UDE4

Action

UDE1
Need

Action

Need

Action

Need

Goal

Action

Action
Need

Action

UDE2

Stop

UDE
Conflict2

Need

Goal

CoreConflict

DE5
DE3

DE4
DE2

STOP

ParallelAssumptions

S&T5.X:

Need

FutureRealityTree

S&T3.3:
Sustain

Strategy

S&T5.X:

Action

UDE5

NecessaryAssumption

S&T4.X:
Managingand
MotivatingPeople

Need

Goal

S&T2.1:
DCE:Reliability/Availability
CompetitiveEdge
S&T3.2:
Capatilize

CurrentRealityTree

Goal

S&T1:
EverFlourishingCompany

S&T3.1:
Build

STEP 2
WHAT TO CHANGE?

GAP?

HOW TO CREATE
POOGI?

DE1
NewWin/win
Need

START
Goal

Need

LEGEND
Yes, but

UDE = UnDesirable Effect

PUDE

PUDE = Potential UnDesirable Effect


DE = Desirable Effect

START

STOP = Old Rules we must STOP using


START = New Rules we must START using
OBS = Obstacle
IO = Intermediate Objective

Reference: Alan Barnard

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Understanding the
Core Problem

Define a problem precisely and you are half way to a solution


from What is this thing called Theory of Constraints? by Dr. Eli Goldratt

Lets examine, what is the meaning of a problem


Intuitively, we understand that a problem exists whenever there is a
GAP between our current reality and some desired objective.
What limits us from solving this problem or closing the GAP?
It must be that some unresolved conflict or compromise limits or blocks
us from achieving the desired objective
Therefore, defining a problem precisely must start with a declaration of
the desired objective and the conflict that limits or blocks us from
Solving the problem.

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Understanding the
Core Problem

The Conflict Cloud - The Major Logical Tool


for developing an understanding of a
problem/conflict/dilemma AND developing a
solution.
B
D
Need

Action

A
Objective
C

D
Need

Action

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Understanding the
Core Problem

UDE

UDE

UDE

C
A

UDE
D

C
A

CoreConflict
D

C
A

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Understanding the
Core Problem

AnExample:

Focus on Win for


Customers & Consumers

Growth

Increase &
Protect
Sales

Take actions that improve


our competitive advantage
(Availability/Range, Cost/Inv,, Price, )

Profitably
Grow the
Company
Improve or at
least protect
Profits

Take actions that increase


margin & reduce costs
(Efficiency, Range, Cost,, Price)

Stability
14

Focus on Win for


Company & Shareholders

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Understanding the
Core Problem

In order to make sure that we all agree on the problem we will


use the Three Cloud Process to confirm the Managing and
Inspiring People core problem we are going to:
Identify your Managing People UDE,
Develop your conflict cloud,
Write youre A, B, C, D & D on sheets and stick then on the
big Cloud on the wall,
And well see what it reveal to us!
Please observe our behavior while we develop the Clouds and Core Conflict.

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Understanding the
Core Problem

Sequence:
Step1:WriteyourUDE

Step5:TransferA,B,C,D,
DtotheA5sizedCard

A
Objective

Step2:Polish&rewrite
yourUDE

B
Need
Step3:Developyour
ConflictCloud

C
Need
D
Action

Step4:Polish,Checksides
&rewriteyourConflict
Cloud

D
Action
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Understanding the
Core Problem

Step 1: Write Your UDE:

Whatisthebiggestproblemorundesirablesituation
thatyouhavewithManagingPeople?
Step 2: The UDE has a clear syntax with clear guidelines:

It is a complaint about an ongoing problem that exists in your reality


and because of this problem, you cannot perform better.
It should be written in present tense.
It is a description of the state, not an action.
It is within your area of responsibility.
Something can be done about it.
It must not blame someone.
It must not be a speculated cause.
It must not be a hidden solution to the problem (wishful thinking of
solving the problem).
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Understanding the
Core Problem

Step 3: Develop the Conflict Cloud:


D

Whatisthe
COMMON
OBJECTIVE
achievedbyhaving
BandC

WhatNEEDofthe
systemis
endangeredbythe
identifiedUDE?

WhatACTIONis
takentomeetthe
NeedB?

WhatNEEDofthe
systemwillbe
jeopardizedbythe
ActioninD

WhatActionis
takentomeet
NeedC and
jeopardizeNeedB?

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Understanding the
Core Problem

Step4:Polish
Inorderto

Imust
B

Inorderto

Imust

D
Need

Action

A
Objective
C

Imust
Inorderto

Andcheckthat:
DandDareinconflict
DjeopardizesachievingtheneedinC
DjeopardizestheneedinB

D
Need

Action

Imust

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Understanding the
Core Problem

Step 4: Polish, Check sides & re-write your Conflict Cloud


Check if your cloud must be flipped:
Global/EffectivenessSide
B

D
Need

Action

A
Objective
C

D
Need

Action

Local/EfficiencySide

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Understanding the
Core Problem

Step5:TransferA,B,C,D,DtotheA5sizedCard
A
Objective
B
Need
C
Need
D
Action
D
Action
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Validate the Core Conflict

Business,Dept.
andIndividual
GoalAlignment

Growing
Capabilities&
Relationships

Empower,Motivate
andUpskillpeople

Systemic&
Procedural
Control

Ensureprocedural
complianceandplay
theblamegame

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Validate the Core Conflict


Becauseempowering,motivatingandupskillingpeopleunlocks
theinfinitepotentialoftheindividualforthebenefitofthe
individualandthebusiness

Business,Dept.
andIndividual
GoalAlignment

Growing
Capabilities&
Relationships

Empower,Motivate
andUpskillpeople

Systemic&
Procedural
Control

Ensureprocedural
complianceandplay
theblamegame

Empoweringandup
skillingstaffisinconflict
withcontrolforprocedural
compliancebecause:
we(I)lackknowledgeon
howour(my)behavior
impactsonthe
Company,Dept.andmy
individualgoal
thereismisalignment
betweenCompany,
Dept.andIndividual
goals

Becausevariabilityintroducedbypeoplemustbesubstantiallylimited.Thecombinationof
environmentalandindividualdifferencessignificantlyincreasetheunpredictabilityand
magnitudeofvariability.Leadershiphasthebiggestenvironmentalimpact.
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Validate the Core Conflict


UDE

UDE

UDE

UDE

Fullunderstandingby
resourcesofthebenefitsor
consequencesofchangeare
notknown(PotofGold,
Mermaid,Crutch,Crocodile)

UDE

Trainingnot
focusedon
Constraint

TrainingQuality
(content&
application)

Empower,
Motivateand
Upskillpeople

Ensureprocedural
complianceand
playtheblame
game

Growing
Capabilities&
Relationships

Systemic&
Procedural
Control

Peoplearenot
clearonwhatto
focuson

Business,Dept.
andIndividual
GoalAlignment

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The Core Conflict D D


Assumption

Empoweringandup
skillingstaffisinconflict
withcontrolforprocedural
compliancebecause:
we(I)lackknowledgeon
howour(my)behavior
impactsonthe
Company,Dept.andmy
individualgoal
thereismisalignment
betweenCompany,
Dept.andIndividual
goals

Not knowing my own contribution or


thinking that my contribution is not
recognized.
Not knowing how others should
contribute or thinking that their
contribution is recognized too much or
too little.
Inherent conflicts on which rules to use to
best contribute to the company goal.
Unresolved gaps between responsibility
and authority (resulting in ongoing fire
fighting).
Inertia or fear that is not verbalized,
which block continuous improvement.
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Breaking the Conflict

Business,Dept.
andIndividual
GoalAlignment

Growing
Capabilities&
Relationships
Systemic&
Procedural
Control

Provide peoplewith
theknowledgeto
contribute(Goals,
capabilties,
measurementsand
feedback)

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Breaking the Conflict

Knowing exactly how I should contribute and knowing


that my contribution will be recognized.
Knowing exactly how others will contribute and knowing
that their contribution will be recognized
All rules are aligned with the goal and strategy of the
company.
Gaps between responsibility and authority are
systematically identified and removed.
Constraint focused Continuous improvement process
and culture is in place.
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The Solution:
Manage & Inspire Injections
Recognize
Performance
Communicate
Goals

Eliminatethe
BlameCulture
Management
Change

Developa
ProblemSolving
Culture
Personto
PositionMatch
Remuneration
Alignedto
Performance

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The Solution:
Strategy And Tactics Entities
1

ProjectsCompanyS&T

Ever
Flourishing
BaseGrowth

EnhancedGrowth

2:1
2:1
Reliability

2:2
Early2:2
Delivery

Comp. edge

Build

Capitalize

Comp. edge

Sustain

Capitalize

Build

3:1

3:2

3:3

3:4

3:5

3:6

3:7

High
3:1
DDP

Reliability
3:2
Selling

Expand
3:3
Client
base

Load
3:4
Control

Capacity
3:5
elevation

Shifting to
3:6
Bonus
Deals

Rapid
3:7
Project
completion

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The Solution:
Strategy And Tactics Entities
1

ReliableRapidResponseS&T

Ever
Flourishing

Build

BaseGrowth

EnhancedGrowth

2:1

2:2

Reliability
Comp. edge

Rapid
Comp. edge

Capitalize

Sustain

Build

Sustain

Capitalize

3:1

3:2

3:3

3:4

3:5

3:6

3:7

3:8

3:9

99%
DDP

Reliability
Selling

Expand
Client
Base

Load
Control

Capacity
Elevation

LT
1/4

RR Load
Control

RR
Selling

Expand
RR client
base

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The Solution:
Strategy And Tactics Entities

Build
3:1
99% Due Date
Performance

4:11

4:12

Management
Attention

Inspiring &
Managing
People

5:12:1

5:12:2

5:12:3

Managing
People Rollout

Management
Change

Eliminating
Blame

5:12:4

5:12:5

Goal
Performance,
Communication Recognition &
Corrective
Action

5:12:6
Problem
Solving
Culture

5:12:7

5:12:8

Person to
Remuneration
Position Match

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Manage & Inspire S&T


Entity 4.1

Necessary
Assumptions
(NA)

Implementing TOC in companies does not


reach its full potential if the people factor is not
addressed,
As people resist change that they have a good
reason to resist, EFFORT is required to
remove the layers of resistance,
for people to adopt the required changes
voluntarily and with enthusiasm.

Harmony is gained by aligned company,


team and individual ambitious goals (in
Strategy aligned Growth, Relationships, Systemic &
Procedural Control)
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Manage & Inspire S&T


Entity 4.1

The Company adopts a people


management approach based on Respect
by implementing a zero blame tolerance,
putting the right people in the right positions,
Tactic giving them ambitious goals, knowing how
they and others should contribute to achieve
the goals and how they will be measured
and acknowledged.

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Entity 5.1.2
Management Change

Leadership (Executive management) is


responsible for setting clear goals and direction
for the organization. This creates a gap in terms
of grasping the new concepts and the execution
Necessary
of the new management MOO.
Assumptions
(NA)
Management change is necessary because the
MOO required for training, implementing &
managing in a flow focused environment is
vastly different from, and in conflict with,
managing local efficiencies.

Management has changed Respect is the


Strategy new MOO and the potential of the company,
team, manager and individual is unlocked.
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Entity 5.1.2
Management Change

Parallel Assumptions:
Leadership is required to change the Team/Department
approach from cutting cost & waste to understanding
subordination
Set new Goals relevant to the department
Create a safe space for change to take place
Must be able to Un-learn and Re-learn takes a lot to
swop the cost world paradigm for the Throughput world
paradigm.
Continual change must become part of life
Actively eliminate blame culture
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Entity 5.1.2
Management Change

Tactic:
Set the Local Goal(s),
Agree there is an Improvement gap, at the personal
level, as well as team/department level,
Choose to make the change,
Agree I can solve all problems Use Clouds & TP,
Show commitment, alignment with the new way,
Enable performance, leading from the front,
Live the No-blame & 6 layers of buy-in way.

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Entity 5.1.3
Eliminate Blame

"Letmespeculatethatyou,likeanyotherperson,havebeen
involvedinrelationshipsthatwerefarfromharmonious.Canyou
tellmewhatyouthinkwerethereasonsforthedisharmony?
IrushafewsuchrelationshipsthroughmymindbeforeIanswer."It
isbecausethepeopleIhadtherelationshipswithweretoo
egotistical.Theywerelookingmainlyaftertheirowninterestsand
didn'tcaremuchhowtheirdemandsaffectedme.
Sincehedoesn'taskfurtherIsay,"Nowcanyoutellmewhatthe
thirdobstacleis?"Hepauses.
"Thethirdobstacleisthatwetendtoblametheotherparty."
Smilingheadds,"Exactlylikeyoujustdid.
Chapter7 TheChoice;EliGoldratt &Efrat GoldrattAshlag

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Entity 5.1.3
Eliminate Blame

Icannotstopmyselffromcommenting,"It'snotthatI'mblaming.
I'mjuststatingthefacts."AndthenIask,"Inwhatwayisblaming
anobstacle?"
"Blaminganotherpersonisnotasolution..."
Iinterject,"Butitdoespointinthedirectionofthesolution."
"Thatisexactlytheproblem,"hesays."Intoomanycasesblaming
pointsusinthewrongdirection,inadirectionwherewewillnot
findagoodsolution.Evenifthepersonwillberemoved,inmost
casestheproblemwillstay."
Icheckseveralsuchscenariosinmymindtoverifyifheisright.He
mightbe.
"Moreover,"hecontinues,"blamingotherspoursfuelontothefire.
Itisarecipetoruintheharmonyintherelationship."
Chapter7 TheChoice;EliGoldratt &Efrat GoldrattAshlag
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Entity 5.1.3
Eliminate Blame

Blaming blocks the blaming persons ability to


think clearly and causes the person being
blamed to feel they are not making a positive
Necessary
contribution or adding value to the company.
Assumptions
It directs energy into protection mode and away
(NA)
from the reasoning required to find win:win
solutions and move to the new management
MOO

A blameless environment where high levels


of candour is commonplace. People feel
Strategy they are making a positive contribution by
adding value and keep taking stability and
improving actions
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Entity 5.1.3
Eliminate Blame

Tactic:
FindtheWin:Winsolution:
CapacitatepeoplewiththeTOCTPtoolsto:
1. Effectivelydealwithdaytodayandchronicconflicts,
2. Effectivelydealwithhalfbakedsolutions
3. Alignmentofresponsibilitywithauthority.

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Manage & Inspire S&T


Entity 5.1.3

InnerDilemmaConflictCloud
4
Need

5
Objective

1
Action

DotodayConflictCloud&
OrganizationalInterestConflictcloud
3
1
Need
Action
5
Objective

2
Need

Objective

2
Action
4
Need

Action

3
Need

5
Objective

Action

FireFightingCloud

Need

2
Need

Action

UDEConflictCloud
1

Action
2

Need

Action

EachtypeofcloudissolvedbyansweringtherelevantquestiontosurfacetheAction,
NeedorGoalinthesequenceasindicatedbythenumberinthecircle
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Entity 5.1.4
Goal Communication

Necessary
Assumptions
(NA)

Making a contribution is the way that peoples


security (stability) and satisfaction (growth) needs
are met which in turn lead to motivated / satisfied
people.
Knowing how to contribute and being recognized for
their contribution is at the core of having motivated
people.
Peoples contribution must be towards achieving the
global goal.

Every person know what the company


ambitious goal is, the connection between
Strategy their contribution and the company goal,
what they must contribute and how their
contribution will be measured.
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Entity 5.1.4
Goal Communication
AnEverFlourishing
Company

Goal

Manufacturing ProjectsReliability
ReliabilityDecisive
Decisive
CompetitiveEdge CompetitiveEdge
Critical
Success
Factors
Necessary
Conditions

CompanyCulture
andMOO
alignment

Manufacturing
capacityand
capabilities

Harmony is gained by
aligned company, team and
individual ambitious goals

PeopleInspiredtochangeand
managementeffortisbya
feather

Management
Change

Effective
Marketingand
Sales

GOALTREE TOCTP

Capabilitytodeal
withincreasing
demand

ReliableProject
capabilities

Use the Goal Tree to cascade


the Business goals down the
organization
Necessary Conditions become
the Goal for the next level
Business > Division >
Department > Team > Individual

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Entity 5.1.4
Goal Communication

AfewNotesonGoals&SettingGoals:
GoalsareopportunitesforPositiveRegognition,
Goalsmustbesetsothattheycanbeachievedbutstill
movingtheneedle
Nothingismoreunequalthantheequaltreatmentof
unequals.(AttributedtoVinceLombardi)
ExploitationandSubordinationmustbeclearlyundestood

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Entity 5.1.5
Performance Recognition

The correct actions need to be known


Necessary
The incorrect actions need to be known
Assumptions Correct Actions need to be taken and done in
(NA)
the correct way
The incorrect actions must not be taken

Every person in the organization do what


Strategy they should do and dont do what should
not have been done.

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Entity 5.1.5
Performance Recognition
Consequencesthatincreasebehavior

BehaviorDriver:
Schedule,
Tasklist
Instruction

Getsomethingyouwant

Positive
Reinforcement

Avoidsomethingyoudontwant

Negative
Reinforcement

Getsomethingyoudontwant

Punishment

Losesomethingyouhave

Penalty

Behavior

Consequencesthatdecreasebehavior

WorkOnce

PositiveReinforcementchangebehavior
MostPowerful Positive,Immediate&Certain
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The Company High Level


Effectiveness Model

TConverted
SalesProcess

TPurchased
Procurement

Order Book

TPicked
Raw
Materials

Operations

Distribution

Net
Throughput
Generated
Debtors &
creditors

TReleased
Procurement

Copyright2016

47

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Control Point Measurements

LittlesLaw
WorkInProcess=LeadTimeXAverageFlowRate
Bottleneck,CCR,SystemFlow

NonCCRFlow/ProtectiveCapacity

Example Manufacturingcompany
Copyright2016

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Control Point Measurements

LittlesLaw

Example Projectscompany

WorkInProcess=LeadTimeXAverageFlowRate
SalesCCRFlowConversion

SalesWIP(FuturePlanned)

ExecutionWIP(Historical)

ProjectExecutionCCRFlow
KOM
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WMS TactCat2345

ARC EoHExpD2834

EMC FSmnfOM2632

100%

% P r o je c t B u f fe r I n c u r s io n

90%
StyC2897

80%

BRU-RelMech2867

70% eCon2902EME-GenAdpt2883

60%
RDM-20Slide2907

PAT-FneAstr2886

50%

40%

30%

20%
TMT-iCam90L2884

10%
EME-InsPads2908

0%
0%

Copyright2016

10%

20%

EMC-fSv1Mnf2895

30%

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WMS-TowReel2572

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% Critical Chain Complete

60%

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Printed on Thursday, August 11, 2016

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

SalesProcess

Order Book

Procurement

Production

Debtors &
creditors

Market

Control Point Measurements


CCRs

ProcuretoOrder
FlowRate

LeadTime

WIP

Copyright2016

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.5
Problem Solving Culture

People tend to see more clearly when the water


Necessary
level drops
Assumptions creating a culture of problem solving at all levels
(NA)
frees up management time/effort and
develops skills to do proper problem solving

A self generating problem solving culture


Strategy exists aligned with achieving the company
goals

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Protective Capacity
Measurement

CellName

PCrevealed

Res pons i bl e

Date

84

Rate

parts/day

100
90
80
70
60
50
40
30
20
10

24 6:00

23 5:00

22 4:00

21 3:00

20 2:00

19 1:00

18 0:00

17 23:00

16 22:00

15 21:00

14 20:00

13 19:00

12 18:00

11 17:00

10 16:00

9 15:00

8 14:00

7 13:00

6 12:00

5 11:00

4 10:00

3 9:00

2 8:00

1 7:00

0 6:00

Cumpartsmoved
Cum moved+Cum PC

Notes

Durationofno

Reason(s)fornotachievingflowrate

Copyright2016

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Defining Exploitation Gaps

SalesProcess

Order Book

Procurement

Production

Debtors &
creditors

Market

IncreasingProtectiveCapacity

ProcuretoOrder

Ideallyacompanyssystemconstraintshouldbeinthemarket
Thefurtherawaythefunction/resourcefromthemarketthemoreprotectivecapacityis
required referBalancedFlowvs BalancedCapacityConcepts
InthisexampleSalesmustaddsignificantmorerevealedprotectivecapacitythan
anyotherfunction

Copyright2016

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Identifying and Defining


Improvement Projects
ReasonsforRed&
Black:

Primary=Bufferperformance
Secondary=CCR

ParetoAnalysis

Reason3Potential
Reason2Potential

Reason1Potential

AssociatedwitheveryControlPointMeasurement
andwitheveryNONCCRProtectiveCapacityisa
reasonforred,blackorratenotachieved
recordingmechanism
ThismechanismisusedtodoaParetoanalysisof
reasonforred,blackorratenotachieved
TheRequiredimprovementGOALisdefined
ACauseandEffectrootcauseanalysisisdonefor
eachReasonsexistenceandthepotentialcapacity
oftheimprovementisdetermined
Sufficientactionsareplannedforimprovementto
ensuretherequiredprotectivecapacity
DeveloptheProjectCharterforeachimprovement
project

Copyright2016

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.7
Person to Position

Necessary
Assumptions
(NA)

Matching persons to positions is necessary to


ensure that the right person is in the right seat
this will achieve goals.

The right person on the bus and in the


Strategy
right seat and continualy improving.

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.7
Person to Position

Tactic:
ToalignpeopletopositionsFormalHRpoliciesneedtobedefinedand/or
implementedbymeansof:
Indepthdefiningofjobprofiles(togettherightguidelineinordertoget
therightpersononthebus);
Recruitment&selectionprocessthatisalignedwithjobprofiles;(getting
therightpersononthebus)
Inaligningpersonstopositions,gapsareidentifiedwhichwillbe
addressedbymeansoftraining&development.
Clearcareerpathsforindividualscanbedevelopedwhichisalignedto
companyandindividualgoals
Establishaparadigmandprocessestoenableupwardmobility

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.8
Remuneration

The local efficiency based management


paradigm often lead to a fragmented approach
to remuneration.
Necessary
The flow focused management paradigm
Assumptions
require workforce flexibility which is often
(NA)
hampered by remuneration policies.
It is also important that employees goals are
aligned with the company by meeting stability
and growth needs.

The companys remuneration system is


Strategy
aligned with a Flow focused Mode of
Operation
27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.8
Remuneration

Tactic:
ImplementaJobprofilealignedremunerationsystem.
ImplementaRemunerationsystemthatisalignedwiththegrowthinprofit
ofthecompany.EitherGainShareorSpecificperformancelinkedtothe
PerformanceRecognitionSystem

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.1
Implementation

Everything cant be done at the same time.


Inspiring and managing people will go through
phases of application as the implementation of
Necessary
the TOC intervention progress. Sequence is
Assumptions
important!
(NA)

People are Inspired to change and


Strategy
management effort is by a feather

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.1
Implementation

ParallelAssumption:
ManagementChange,EliminatingBlameandGoalCommunicationare
crossfunctional,highermanagementinterventionsthat,ifdonequickly,
willalignthemanagementteam,setthestageforagrowthculture,and
supportachievingtippingpoint.AstheImplementationrolloutprogress
andtheflowfocusedMOObecomethenormmanagementwillbemet
withnewrequirementsinmanagingtheirpeople continualmanagement
improvementmustbecomethenorm.
AstheTOCsolutionsareimplementedandthetransitioninMOOtakehold
PerformanceRecognition&CorrectiveActionandProblemSolvingCulture
shouldbeimplementedastheMOOchangebecomerelevanttoan
environment.
PersontoPositionMatchandRemunerationareHR&Executive
interventionsthatwilltaketimetodevelopandimplement.

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

www.tocpractice.com

Entity 5.1.1
Implementation

Tactic:
TheManagingandInspiringPeopleRolloutisdoneasfollows:
1. ManagementaretrainedinandadopttheManagementChange,
EliminatingBlameandGoalCommunicationentities.
2. ManagementadoptthePerformanceRecognition&CorrectiveAction
andProblemSolvingCultureandapplyittothemselves.
3. PerformanceRecognition&CorrectiveActionandProblemSolving
Cultureareimplementedasthefunctionalrollouts(DBR,DBM&CCPM)
takeplace
4. ExecutivemanagementandHRimmediatelystarttheImplementationof
PersontoPositionMatchandRemunerationentities

27th InternationalConferenceoftheTOCPractitionersAlliance TOCPA

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