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Volume 10 Issue 8   |   August 2009   |    www.superfactory.com

From the Editor

Welcome to the Superfactory Newsletter!

We apologize for being a little later this month due to some unexpected summer projects! The September issue will appear in your inbox in about a week.

Now is the time to invest in lean improvements. Check out Gemba Academy, which has just added a new course on Quick Changeover, as well as a series of Lean Thinker Interviews and Lean Leader Interviews. The Seven Wastes course is also now available with Spanish subtitles.

The Superfactory LinkedIn group has over 3,000 members. If you're a member of LinkedIn, or are interested injoining the largest professional social networking group, also join theSuperfactory Group.

You can also follow us on Twitter to stay informed of new content and lean manufacturing news.

- Kevin Meyer

 

Manufacturing Excellence News

Stories of interest to the lean community.

 

In the Evolving Excellence Blog

Join over 5,000 readers who get their daily dose of blunt manufacturing and business reality by subscribing to the Evolving Excellence blog!

  |  Subscribe to Evolving Excellence by Email

Recent posts in the Evolving Excellence blog include:

Visit the Evolving Excellence blog...

 

Upcoming Events

09/01/2009PLC Training Workshop - Denver, CO - Business Industrial Network
09/02/2009Benchmarking & Performance Measurement 2009 - Dallas, TX - AME
09/09/2009Motivating Others While Leading Change - Mason, OH - Definity
09/09/2009Achieving Supply Chain Excellence - Austin, TX - AME
09/10/2009Effective Communication - Mason, OH - Definity
09/14/2009Six Sigma White Belt - Dayton, OH - U-Dayton
09/15/2009Setup Reduction TPM Blitz - San Antonio, TX - AME
09/15/2009Training Within Industry - JI - Bakersfield, CA - AME
09/15/2009Setup Reduction and TPM Blitz - San Antonio, TX - AME
09/15/2009Green 101 - Burlington, ON - AME
09/16/2009Lean Service - Dayton, OH - U-Dayton
09/16/2009Change Agent Skills - Cambridge, MA - LEI
09/16/2009MES Multi-Country Rollouts - Webinar - WTG
09/17/2009Lean Tools for the Office - Morris Plains, NJ - NJ MEP
09/21/2009Accelerating Cost Reductions - Pasadena, CA - Caltech
09/21/2009Process Excellence for Service - Chicago, IL - IQPC
09/21/2009Lean Experience - Novi, MI - Lean Learning Center
09/22/2009PLM Road Map 2009 - Detroit, MI - CPD Associates
09/22/2009Human Error Prevention - Chattanooga, TN - High Tech Seminars
09/22/2009Thinking About Manufacturing Excellence - Athens, GA - AME
09/23/2009How to Lay Out a Warehouse or Distribution Center - San Diego, CA - U-Kansas
09/24/2009Principles of Lean Manufacturing - Morris Plains, NJ - NJ MEP
09/24/2009Root Cause Analysis - Chattanooga, TN - High Tech Seminars
09/24/2009Lean Supervisor - Hamilton, ON - EMC
09/26/2009Operational Excellence Conference - St. Louis, MO - IIE
09/28/2009Six Sigma Executive Champion - Dayton, OH - U-Dayton
09/28/2009Nuclear Quality Requirements for Procurement - Chattanooga, TN - High Tech Seminars
09/28/2009QEH&S Auditing - ISO 19000 - Chattanooga, TN - High Tech Seminars
09/28/2009Lean to Green Manufacturing - Austin, TX - SME
09/28/2009Factory Physics: The Science of Lean Manufacturing - Ann Arbor, MI - U-Michigan
09/28/2009Lean Kaizen Boot Camp - Novi, MI - Lean Learning Center
09/28/20095S for the Office - Hamilton, ON - EMC
09/29/2009Getting the Right Things Done - Philadelphia, PA - LEI
09/29/2009Value Stream Mapping for the Office and Service - Philadelphia, PA - LEI
09/29/2009Key Concepts of Lean in Healthcare - Philadelphia, PA - LEI
09/29/20095S for the Office - London, ON - EMC
09/29/2009Strategies for Lean Purchasing - Hamilton, ON - EMC
09/30/2009Global Supply Chain Management - Ann Arbor, MI - U-Michigan
09/30/2009How to Perform a 5S Event - Webinar - 5S Supply
09/30/2009Managing to Learn: The Use of the A3 - Philadelphia, PA - LEI
09/30/2009Value Stream Mapping for the Office - Brockville, ON - EMC
09/30/2009Dyna-Flo Plant Tour - Edmonton, AB - AME

View the full events calendar...

 

Featured Book

The Birth of LeanThe Birth of Lean

By Koichi Shimokawa

There are a lot of books that describe the Toyota Production System, but most do so in a way that implies that there was a master plan to create a company-wide improvement system. But as the pioneers in The Birth of Lean explain, there was no master plan—TPS came about through experimentation, trial and error, and an evolution of ideas that shaped Toyota’s structure and management system.

This is an honest look at the origins of Lean, written in the words of the people who created the system. Through interviews and annotated talks, you will hear first-person accounts of what these innovators and problem-solvers did and why they did it. You’ll read rare, personal commentaries that explain the interplay of (sometimes opposing) ideas that created a revolution in thinking.

More information - Previous featured books

 

Featured Article

  The Obstacle to Lean Accounting

  By Bill Waddell
 

The big problem with lean accounting is that, for the most part, we are incapable of dealing with reality - and I don't mean accounting's inability, I mean the rest of management. I have discussed lean accounting with literally hundreds of accountants, and I have yet to meet one who says that standard costs - or any version of full costs with all of the overheads allocated or assigned, whether it was done via traditional methods, activity based methods, or anything else - are accurate. Accuracy and integrity are accounting's stock in trade. The South American coffee industry thrives because of it. These people will work all day and night to resolve a few pennies of discrepancy in a million dollar balance sheet.

They know the full cost they generate is not a true statement of the cost of something. But they also know that their customers - the people who set prices, make planning and capital investment decisions, and those responsible for make-buy decisions - are far too often incapable of sorting through and making good business sense of the complicated realities. Full costs are not accurate, but they make life simple. Accountants often believe that full costs, while not true, are directionally good enough and that decisions made with them will generally be better than the decisions made by people with true, but messy, data that lean accounting provides. In many companiess they are probably right, but that does not mean that lean accounting is not an improvement. It only means that management has a problem to solve.

Read the entire article...

 

Featured Evolving Excellence Blog Post

Leading in the Gemba
by Kevin Meyer

Dr. Henry Mintzberg of McGill University's management school penned an article in the latest Business Week decrying a lack of management... not leadership.  He eventually comes to the correct conclusion that traditional "leadership" needs to change... into something similar to what many of us know as "lean leadership."

It became fashionable some years ago to separate "leaders" from "managers"—you know, distinguishing those who "do the right things" from those who "do things right." It sounds good.

Yes, and then many organizations began to think use catchy phrases like "everyone's a leader" and "individual leadership" and such... without truly diving into what real, effective, leadership is.  So what happened?

But think about how this separation works in practice. U.S. businesses now have too many leaders who are detached from the messy process of managing. So they don't know what's going on. We're overled and undermanaged.  Corporate America has had too much of fancy leadership disconnected from plain old management.

So traditional "leadership" has evolved into ego-driven uninformed pontification...

I hear stories about this every day: about CEOs who don't manage so much as deem—pronouncing performance targets, for instance, that are supposed to be met by whoever is doing the real managing.

Moreover, studies show that vital information is typically transmitted to a CEO informally—orally, often, rather than in formal reports. Leaders removed from managing aren't going to get these messages.

So what's missing?  Lean leaders know: the gemba.  The place where it all happens, where value is created, and innovation is born.  Dr. Mintzberg comes to that same conclusion.

American enterprise, so admired around the globe, was not built by currently fashionable "heroic" leadership but with leaders tangibly engaged in managing—and without today's bonuses, I might add.

Being an engaged leader means you must be reflective while staying in the fray—the hectic, fragmented, never-ending world of managing. The reward: access to the ideas flowing around you. As Stanford University emeritus professor James G. March put it: "Leadership involves plumbing as well as poetry."

Very true.  Real leadership, lean leadership, involves a direct and ongoing relationship with the gemba... be it the factory floor, data center, classroom, or lab.  Real leaders teach, challenge, support, and especially learn from the gemba.

Read the rest and comment (3 comments so far)...

 

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