LEAN CAN'T FIX A SICK BUSINESS -

LEAN CAN'T FIX A SICK BUSINESS -

Dawn Armfield had posted on LinkedIn a few days back, asking "Is it possible to "do lean" without doing Kaizen?" I thought this was a great discussion question, so I posted this question - "Is Kaizen an "Event" or a "Way of Working"?" - at work to collect responses and sentiment from the staff. One of our GE航空 employees, Jesse Dye , provided a brilliant analogy between fixing a sick business and restoring physical health, and how singularly focusing on cost-out (for a business) or weight loss (for a human body) are both short-sighted and doomed to failure. My sincere thanks to Jesse not only sharing his thoughts, but for permitting me to share them with the larger LinkedIn audience. (Disclaimer - the discussion shared below is based on objective observations and in no way reflects nor implies any association with GE Vernova or GE航空 .)

"I think the insight that western companies jump on the "LEAN" without embracing the "core values" is an apt one.

Lean that does not respect people, protect psychological safety, and/or empower employees is unhealthy.?

"Lean" is only ever an anthropomorphic analog comparing healthy human bodies to healthy businesses, but I feel like there is a lot of value in that analogy. The best way to get lean is to regularly eat right (bring in good employees with good ideas and invest in quality equipment); exercise (invest in training, growth opportunities and promotion of the good employees, provide routine maintenance for the equipment); and take care of your body (good pay, good benefits, good work-life balance, and good planning for the future). A healthy body produces healthy results and can provide mutual support for its family, its community, and the world (and a healthy business will provide sustained profits while ACTUALLY being a good thing for its customers, its employees, their families, the community, and the world)

?But, just like a human who only looks at weight as the ONLY indicator of health, this can lead to some terrible decisions, like anorexia (never hiring anyone, relying on existing employees to keep momentum with no influx of new ideas or vigor causing stagnation and discontent; never investing in equipment or maintenance unless absolutely necessary); bulimia (hiring a glut of employees for a big project then laying them all off inspiring distrust and discontent; buying a ton of equipment only to scrap it before ever getting good use out of it), or cutting off your left arm and left leg because you are right handed. Yes, you are lighter now, that does not mean you are healthier. (just because Jimmy can do the work of 4 people and Suzanne can do the work of 5 doesn't mean you're stronger by not having help for them and others that know how to do what they do, you've just made it so if you lose 1 you may have to hire 6 to replace them. It's not sustainable.)

?A sick human is a source of stress for those around them. You can tell they're not healthy, but they might not understand that. You may not even be able to help them because their mind is warped by some deep-seated untruth that is killing them (if only I lost this many more pounds I'd be healthier and feel better). Worse, society may tell them they're 'looking great'. As they waste away to skin and bones and scar tissue those that love them must prepare for the day that they are gone because they would not wake up and see the light.

?A sick company does the same. 'If only I can cut this much more expenses I'll be more profitable and the investors will be so happy' while the infrastructure crumbles and the employees that built the recent successes retire with no chance to exchange ideas with those who should be replacing them. Single people fulfill multiple critical roles while getting burned out and looking for greener pastures. Sick companies ruin lives while investors reward unhealthy and unsustainable actions. Employees, families and communities have to prepare for a future where that company will be no more.

?Even if we love them, I don't know if we can we save them."

GIRIDHARAN RAMANUJAM

Corporate Governance, Strategy & Performance and Business Excellence Professional

6 个月

Business is an output and outcome of a Dream, Vision and Great idea all working in tandem when implemented aptly in reality provides prosperity, reputation and great opportunities to people deserving supported by able suppliers with the patronage of Well satisfied Customer base and added value. Lean is a philosophy and methodology chosen and advocated by Leaadership deployed to conduct a business efficient and effectively to achieve competitive edge by doing right things instead of things right. Business is the purpose whereas Lean is one of the means to realise the purpose. ???

回复
Sean Fields

Business Improvement | Practitioner | Author

6 个月

I like the human body analogy. Many companies are anorexic.

Al Smith

Retired / Management Consulting

6 个月

The first mistake often made is the concept that one size fits all.

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Robin Ayme

Life Athlete. I write to think. I share to grow.

6 个月

Critical thinking is vital. In my experience, it fuels innovation and resilience. Embracing LEAN as a mindset can transform not just processes but the entire organizational culture.

Ravishankar S

Global Business Excellence and Transformation

6 个月

Brad Hagemann I disagree on this, It’s the other way round. It’s sick (attitude/mentality) driven people who cannot fix a sick business. The right choice of people and strategies can turnaround a sick business. I would recommend you to read and know about the “Navarathna” public sector companies of India which were once a liability on the country but today they are the 9 jewels of the country. Indian Railways has adopted tremendous Lean initiatives. You would be surprised to know that Indian Railways has 96% of railway tracks electrified and has cut off 48% of overheads and maintenance costs of diesel locomotives. The US has just 2-3% electrified tracks, Definitely the right people and strategies can transform a sick organisation.,

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