Prior to around 1980, the leaders of large corporations had a strong affection for manufacturing operations -- the part of the business that makes money for the company by producing the goods that people want and pay for. Operations was widely seen as a noble part of the company that employees were … [Read more...] about Why Do CEOs Hate Operations?
One Strategy, Two Paths
For many years, certain people have proclaimed that Lean is a corporate strategy. In support of that claim, a book titled The Lean Strategy: Using Lean to Create Competitive Advantage, Unleash Innovation, and Deliver Sustainable Growth was recently published (click here to read my book review). But … [Read more...] about One Strategy, Two Paths
Lean and the Burning Platform
Corporate financial distress -- the so-called "burning platform" -- has long been cited as the crisis necessary to propel a management team to adopt Lean management. Is it? In my book, Triumph of Classical Management Over Lean Management, I said: "Even Lean’s supposed savior, 'the burning platform' … [Read more...] about Lean and the Burning Platform
Lean Retrospective
After nearly 25 years of study, practice, and teaching Toyota's management system and Lean management, it is time for a quick look back.Over the years I have found that many people are confused by my work because I am neither a pure Lean promoter nor a pure Lean critic. My body of work spans … [Read more...] about Lean Retrospective
Why Business Leaders Vote “No” for Lean
Every Lean promoter and advocate knows that the adoption of Lean management is in business leaders’ interests, not against their interests. The interests encompass that of the business itself and all its stakeholders: employees (executive and non-executive), suppliers, customers, investors, … [Read more...] about Why Business Leaders Vote “No” for Lean
Reimagining Lean
After more than three decades, we know one thing for sure: Lean management (as well as TPS) has proven itself to be inadequate as a replacement for Classical management. Why? Because Lean has failed to offer business owners and corporate executives the things that they want and need most: The … [Read more...] about Reimagining Lean
Lean People Never Understood CEOs
Gaining the attention and commitment of CEOs for Lean management requires that we understand them. We think we do. In fact, we have long thought that we do. But in truth, Lean promoters, advocates, and practitioners never have. Even accomplished Lean CEOs don't understand their peer CEOs. The many … [Read more...] about Lean People Never Understood CEOs
How Leaders Sabotage Lean
Let's take the word "leader" to mean anyone in an organization who has management responsibility, beginning with supervisors and extending to CEOs. Most leaders have good intentions when it comes to doing their job, satisfying customers, and helping the organization prosper. Yet, even leaders with … [Read more...] about How Leaders Sabotage Lean
Money vs. Process View of Cost
Two of the principal teachings of Toyota-style kaizen is to think of cost problems in terms of processes and in non-financial terms such as time, distance, space, defects, quantity, turnbacks, etc. To be able to effectively think in non-financial terms, we were taught to understand the difference … [Read more...] about Money vs. Process View of Cost