Know Where to Focus – how to spot the Pacesetter in your process

Prefer to watch rather than read?  Click here – 5 mins with captions.

You don’t want to waste your money and your people’s time by not working on the highest leverage point of the system.  Here’s how to make sure you get this right.

In a previous post I went through the importance of Not Bothering the Barista.  I know I’m a broken record on this, but once again:

If a process must go through A, B and C to get to the customer and the number in each box represents how many they can do per period, then the system can’t go any faster than B.  And rather than using the term ‘constraint’ or ‘bottleneck’, I use ‘Pacesetter’ because it’s, well, nicer.

And conveniently B is the first letter of ‘Barista’, which will always be the Pacesetter in a café.  Therefore, Don’t Bother the Barista!

All of this comes from Eli Goldratt in his book The Goal, where he even lays out five steps for improvement, the first of which is of course (in my words)

Identify the Pacesetter.

Here’s some ways to do that.

Don’t Bother the Barista – make any work system better

Prefer to watch on video than read?  Click here, 6 mins with captions.

If you’ve been with me for a while, chances are I’ve run through this with you.  The purpose of this is to put it all in the one spot.

This is about understanding the focussing point required to get any system (any system) to work better.  And by ‘better’, I mean better for customers, better for those working in it, and better for the bank balance and purpose of the organisation too.

Improve Performance – Use Limits Not Targets

(Prefer to watch on video than read?  Then just click here – 5 mins, with captions.  Previous videos here BTW).

It’s very standard to set some targets when performance is in need.  Often smoke-screened by calling them KPIs (forgetting what the ‘I’ stands for).  Maybe even ‘aggressive targets’.

Yet…they don’t always get the hoped-for result, for a simple reason – targets aren’t how things work in the real world!

The Conventional Way

Here’s how we’d typically do it.  Take this graph, with Performance on the vertical and Time on the horizontal, with the horizontatal dotted target line.  And let’s assume higher is better.

Eliminate change management

We all know the usual routine – management identifies the need for more productivity and/or quality or a new strategy, the necessary actions are identified (internally, externally or a combination of both), this necessitates change, so now we ‘change manage’.

And it works……at best…..sometimes.

What we’re really doing here is coercing people to like the change we’ve decided on.  We’re doing change to them.

What if instead we did change with them?

As Peter Block says,

when someone states ‘we need to get everyone on board‘, the answer is ‘what makes you think you’re in the boat?‘

Imagine if, instead of management calling in the external experts, it went the other way around and the frontline team approached management and said

‘We’re out of ideas.  But if you can find $50k for those improvement consultants we were speaking to last week, we reckon we can work with them and find about $200k per year savings back to the business‘.

Would this require ‘change management’? Read more…

New to management? Not sure what to actually do? Do this.

Lots of people become managers for the first time.  Then for training they’re sent to a course on ‘leadership’ which is actually about how to be a decent human in the world.  Which is useful.   But just like there’s more to being an aircraft captain than getting along with your crew, there’s more to being a boss than knowing how to get along with your people.

So here’s an email I sent to an experienced specialist who is a good operator who has recently become a manager.  They mentioned they would appreciate some advice on what to actually do. It’s the stuff I teach in tailored workshops and coach individuals and teams on. 

Hey there,

OK, this is the stuff that will get your team moving to where it needs to be:

1) Context & Planning – your job here is to make sure the team is clear on their mission Read more…

Improving processes? This first…

Processes in your business are what makes a customer requirement a non-surprising event – your people know what to do to hit the expectations that you’ve put out into the market.  They know what comes first, what comes next, who does what, what they use, and it all flows like a swift-moving happy river to the sea no matter what.

Right?

Right.

I know a couple of outstanding improvement specialists who have never come across a business process where they didn’t create significant ROI for their clients, and when I ask them how they do it, the answer is “we look”. Read more…