Lean Daily Management System

The Lean Daily Management System (LDMS): Using Structure to Engage Employees and Optimize Value

In the late 1990s, when Kaufman Global developed the Lean Daily Management System® (LDMS®), we recognized that “Lean” as a method for improving business was often viewed as a set of tools aimed at machines and inventory. On the surface, and in the simplest of explanations, it was considered to be a group of useful techniques that could be “directed and applied”. I think this was more of a Western interpretation that still reverberates today. In this, the practitioners of the day put less emphasis on the human element and treated engagement as a collateral benefit of Lean, rather than the primary contributor to Lean results. Much of the information available focused on technical aspects such as pull systems, inventory leveling and quick change-over with a bias for discrete manufacturing versus continuous flow, business process or service industries.

Consider these highlights from the 1990s Lean landscape:

Waste Wheel

Taiichi Ohno’s original waste wheel updated with People Energy wastes: Engagement and Alignment

  • Taiichi Ohno’s seven wastes had not yet been updated to include People Energy Wastes of Alignment and Engagement. This has since been added to present day waste wheel diagrams (right), but it is an addition that Ohno probably would agree with today. He keenly understood the value of engagement and human intellect when he said in his book Workplace Management (Ohno, 1988), “Only the gemba can do cost reduction.”
  • The Machine that Changed the World (Womack, Jones, & Roos, 1990). For a decade this book was the primary source of Lean inspiration as manufacturers attempted to emulate Toyota. It is still a compelling description of the benefits of Lean vs. more traditional forms of production. The book describes worker engagement as an important element of the Toyota Production System but it does not peg it as the foundation. Lower inventories and improved product flow are viewed as the causes of higher productivity and better quality when they are actually the effects of a more engaged workforce.
  • Learning to See (Rother & Shook, 1998). All about Value Stream Mapping, it is still the preferred source for this technique for understanding waste and value. It is most effective in manufacturing environments where inventory can be converted to time.

Power to the People

Our fundamental belief then and now is that Lean is a people system, not a technical one. Think of Lean tools like Quick Changeover, Error Proofing, Pull Systems, or Kaizen Events as waste elimination shovels. They work great, but they are useless without some keen insight about where to dig. This was the missing link we sought to address as we first described LDMS. It gives natural work teams the ability to make decisions about where to dig based on their understanding of their issues and performance. Combine this insight with the authorization for them to actually take control and utilize some structured problem solving techniques, and you have a self-regulating improvement engine.

The Lean Daily Management System Methodology

It’s about workgroup engagement:

Lean Daily Management System

The Lean Daily Management System – Shift Start-Up meeting at a Primary Visual Display board.

The Lean Daily Management System is done by intact workgroups with common tasks and deliverables. They perform the standard procedures that help teams continuously improve their day-to-day work (Kaizen). Vital components of the Lean Daily Management System:

  1. A daily shift start-up meeting (SSU) (no more than 10 minutes) at the
  2. Primary Visual Display (PVD) board
  3. Kaizen Action Sheet (KAS) improvement system
  4. The 20-Keys® for assessment, planning and action
  5. Daily short interval coaching (SIC) by supervisors

The Lean Daily Management System is the primary means of engaging the broader organization. It is the manifestation of work group participation and this engagement is the fastest route to the overall objective of Lean which is to maximize customer value by minimizing waste. Or said another way: Deliver at each step what you need, when you need it, at ever-increasing levels of quality and customer satisfaction. While this cannot be achieved via top-down control, leadership does have an important part to play. “Doing” LDMS must be supported, expected, encouraged and required from above, otherwise it won’t happen consistently enough, broadly enough or often enough to become the way the organization does business.

LDMS Behaviors and Actions are Specific and Observable

The lean daily management system helps communicationThe constructs of LDMS are specific. They describe activities and behaviors that are observable. This gives leadership a natural and specific way to interact with and support the teams. For example, one could ask: “Do you have good teamwork? Are you communicating? Do you measure your work and performance?” In an LDMS environment, all of these things are observable and the teams are able to speak directly to how they do it. That empowerment drives accountability and process ownership downward, where it belongs.

The Lean Daily Management System gives organizations outside the realm of manufacturing something to grasp. When you think of Lean as waste elimination and LDMS as the standard work of an engaged organization, it opens a world of possibilities that go beyond the shop floor. In our experience, LDMS works everywhere. Contents are adjusted – metrics for example will be different in functional and administrative environments than in manufacturing. But when people actively participate in improving the work that they control, they always find ways to innovate and adjust appropriately.

Where is it working? Here are a few examples:

  • Industry: Goodrich, AGCO, Becton Dickinson, Johnson and Johnson, Genentech, Haldex, IR, Goodyear, Owens Corning, Nabors
  • Healthcare: Sutter Healthcare Systems, Oregon State Hospital, Mississippi State Hospital, Lincoln Healthcare Network
  • Government: State of Oregon, State of Indiana, State of Delaware, UK Highways Agency

Why The Lean Daily Management System Works

Should you do it?.. Of course! LDMS makes Lean sticky.

  • People have more personal control and ownership of the work that they do. Individual and team accomplishments become visible.
  • Performance issues and opportunities are more transparent.
  • Process changes and improvement efforts are better connected to day-to-day activities and standard work is easier to achieve.
  • LDMS engages minds and hearts and provides a vessel for employees to contribute in ways that are meaningful and rewarding to them.

Even with all these positives, be prepared for some resistance. It’s something new and people will have lots of questions as the system is coached into the organization. Leaders needs to be encouraged to stay the course until the culture starts to recognize that a broad and proactive approach to performance improvement is the best way to eliminate waste and improve customer value.

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Kaufman Global began teaching and implementing the Lean Daily Management System in 1999. It was first described and published in our groundbreaking White Paper: WIn-Lean® Manufacturing in 2000.

In 2017 we updated our content to include even greater emphasis on the fact that the waste of People Energy (Engagement and Alignment) is still the greatest opportunity for any organization seeking to improve performance. For a full description of how and why LDMS fits into any Lean system, download a copy of our White Paper: Implementing Lean Manufacturing: A Holistic Approach.

Results from Kaufman Global clients who have implemented and are using the LDMS:

Oregon State Hospital uses the Lean Daily Management System and here: Oregon State Hospital Presentation

BD uses LDMS everywhere: BDs Corporate Citizenship Report – see page 36

Tier 1 automotive company that deployed the Lean Daily Management System globally

Pharmaceutical company uses LDMS as a cornerstone of enterprise Lean implementation

Oilfield drilling company uses the Lean Daily Management System to engage rig crews in South America (and beyond)

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References

Ohno, T. (1988). Workplace Management. Cambridge, MA: Productivity Press.

Womack, J., Jones, D., Roos, D. (1990). The Machine That Changed The World. Based on the Massachusetts Institute of Technology 5-million dollar 5-year study on the future of the automobile. New York, NY: Rawson Associates.

Rother, M., Shook, J. (1998). Learning To See: Value Stream Mapping to Create Value and Eliminate Muda.

Lareau, E. W. (2000) White Paper:WIn-Lean® Manufacturing.

Transform and Sustain: Three Rules for Better Results

Nothing is Transformed if it Cannot be Sustained

transformation journey to sustainClients never say: “We want to transform and do better, but we don’t care if we sustain the improvements.” Clients always profess a sincere desire to sustain results. This intent is so pervasive that during the past 20 years we’ve seen the rise of Operational Excellence as a legitimate function across wide swaths of business and industry. Yet most organizations fail to realize this apparently lofty goal. Low levels of lasting success are usually explained at a tactical level, but the reasons that leaders and their organizations get it wrong goes much deeper.

To get a handle on what is happening and why, we explore some of the traditional norms, individual behaviors and corporate incentives that must be rethought to enable transformation success. As a first step, let’s define a few simple rules that are the foundation of any successful initiative:

Rule 1 – The Environment IS Dynamic

It’s obvious to say, but our environment is dynamic. Everything changes all the time. “Sustain” conveys a sense of holding something – a process or procedures for example – in place. It’s time to re-evaluate this concept and acknowledge that in a dynamic environment, sustain doesn’t mean we pin something to the ground. Rather, it means we stay in lock-step with a moving target, consistently and credibly adjusting and improving.

Rule 2 – Understanding Value

Value is best understood where it is created. People know the most about optimization of the things they work on. Even more important, people care more about the things they work on than the things they don’t. Failure to grasp this rule is why top-down control of improvement systems doesn’t work well and never lasts.

Rule 3 – The Leader’s Role

For any of this to work – meaning, ongoing improvement and sustainment   ̶  the organization must be engaged and stay engaged. In simple terms:

More Engagement Equals Better Results

A primary (perhaps the primary) function of leadership is to compel engagement.  Easier said than done, we can state flatly that engagement is an activity that can be measured and when it’s missing, overtly addressed. Experience tells us that if engagement is not compelled, it will not happen enough to deliver lasting improvement.

When everyone works on solutions with cadence, structure and discipline, peers are required to spend time together improving their deliverables along the value stream. Team dynamics increase accountability and generate performance momentum. This is the catalyst for sustainment.

Internalizing and applying these rules to any improvement system increases the odds of success. Fail to apply them and results will be sub-optimized at best. Going to the next level requires understanding the underlying organizational behaviors that come into play in the struggle to transform and sustain. Here they are:

Engagement is Not Understood or Valued

The building blocks of lasting transformation revolve around getting and keeping everyone engaged (Rule #3). Unfortunately, organizational dynamics and behaviors that deliver this are seldom experienced or even witnessed. And, “What good looks like…” is rarely part of one’s education or training curriculum.  Understanding the structure of engagement so that it can be baked into the DNA of the system is essential to going beyond the “what” of transformation and getting to the “how” of it.

How to Sustain is Not Defined

In some respects it is difficult to separate transformation and sustainment. They are two sides of the same coin. But if we see engagement as the glue that holds these concepts together, it deserves a definition that is simple enough to act upon. Therefore:

The organization is engaged when you, your peers, your superiors and subordinates spend at least one hour each week actively improving the business.

This is what good looks like. When you overtly define engagement at an individual level, the behaviors and actions of it can be observed, measured and mirrored.  Too often, leaders want everyone to really “get it” before they do it. Transformation happens in the reverse.

For Many, Putting Energy Into Sustaining Activities Doesn’t Pay

Transformation initiatives most often occur inside a business emergency. During these times, communication spikes, teams are formed, actions are chartered and things get done. It feels great! When it’s over, the quorum disengages, momentum wanes and everyone reverts to business as usual. The final step is recognition and reward conveyed for fixing the crisis. Big changes, big projects, and big results – these are the things that get noticed and rewarded. Everyone working on small, incremental changes and improvements for the better? … Yawn.

When the requirements for sustainment are poorly defined, not well understood and appear difficult to measure, they are avoided. Success requires broad participation, openness to new ideas and a convergence of standard, simple mechanisms aimed at improving the business. Overtly make the connection between transformation and sustainment, then weave it into the compensation, reward and recognition system. Make it safe and make it pay.

Proactive Problem Solving Might Seem Simple and Boring… and People Are Easily Distracted

The concepts and execution requirements described here are so simple that they are easily dismissed. The ideas of broad inclusion and a flatter organization often require a significant re-evaluation of organizational norms and are naturally avoided. Any distraction; the latest crisis, a new technology or any approach or method that might require less coaching and change management is a welcomed relief. Without some overt activities that demonstrate our adherence to engagement, most will shift away – usually with the tacit approval of their bosses who never got it in the first place.

It Disrupts the Status Quo

When engagement and sustainable transformation starts to occur, decisions are pushed down in order to optimize absolute value. This is a shift that challenges well-established networks that are built around personal relationships and existing dynamics. It’s disruptive. This above all others is the biggest reason for failure.

The truth is this shift frees energy that is traditionally spent on re-work, redundancy and errors. Not everyone will see it this way but when the new system of engagement is well defined and well structured, resistance is easily surfaced. Shifts in organizational and personal behavior are required. Recognize the fact that something that threatens entrenched relationships and systems succeeds only with a crystal-clear mandate, a well-defined plan and adequate coaching.

With all these obstacles, it’s no wonder the majority of organizations and leaders lament an inability to sustain their transformation and continuously improve. Start by viewing the system holistically with a keen eye on organizational dynamics, individual behaviors, simple definitions and an approach that is firmly linked to activity-based performance measures. This will help avoid rework that is exponentially more difficult the second, third, and fourth time through.

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For  information about how to engage workgroups and push decision making down, read about Kaufman Global’s Lean Daily Management System.

Managing Change: 10 Tips to Improve Communication

When it comes to implementing any new initiative, communication is a critical success factor. A full menu of changes; some large and sweeping, some small but critical, will be generated by and with people in the organization over the course of the effort. How leadership chooses to broadly communicate these changes ― all together, in small or large portions, or one-on-one, can make a huge difference in the rate of adoption. It’s important to carefully consider how, when, why, what and where information / updates will be presented to fully engage employees and, ultimately, drive sustainable improvements.

The way information is communicated to employees during times of change has a tremendous impact on the final results. If handled ineffectively, morale and productivity decreases ― despite the best of intentions. When there are looming questions and concerns, they lose faith. If employees don’t receive enough information, speculation and rumor can become truth. In the end, a disengaged workforce emerges, communicate for better engagementresulting in reduced effort and commitment just when their dedication is needed the most. How do you stop or prevent this from happening?

Leadership should consider these 10 ideas when planning for, announcing, implementing, and communicating Lean transformation activities:

1. Get Qualified Communicators Involved

It’s important for organizations to get their internal communications team involved from the very beginning. Too often, qualified communicators are involved after a backlash is in full force ― when leaks and rumors are rampant. CFOs and COOs are not typically qualified to understand how employees will respond to change and how best to share information. On the other hand, qualified internal communications professionals typically have proven expertise in change management, crisis communications, executive communications, etc. They need to have a seat at the leadership table.

2. Establish a Communications Plan

Don’t confuse process (e.g., visioning, chartering executive steering committees, planning, endless PowerPoint presentations, etc.) with communication. While those meetings and processes can be communication vehicles if designed mindfully and handled in the context of a broader program, they aren’t adequate to meet all communication needs.

3. Communicate Early

Once a plan and timeline has been developed based on the initiative strategy, start communicating. The longer employees have to wrap their heads around change, the better they tend to accept it. At the beginning of the change:

  • Communicate employee benefits first ― starting with “how this change helps the organization” can create a sense of injustice, so focus on employees first;
  • Identify why the change is necessary and what will happen if there is no change;
  • Explain how the changes fit into the overall business strategy and the organization’s priorities;
  • Review the process, including what will be done to involve everyone in it;
  • Discuss timing and when they will get more information.

4. Communicate Often

Update employees regularly to share victories and address pending issues. When employees are communicated with frequently, they are more likely to support the change for the long-term. Information can and should also be repeated (through multiple channels), as research shows that most people have to hear something several times before they fully process the message.

5. Use Multiple Communication Channels

Some organizations make the mistake of using only one vehicle, such as e-mail or signage, to communicate changes. Considering not every employee digests information the same way, and that there are so many options to choose from, organizations that leverage a multi-channel approach ― combining email, intranet, social chat rooms, newsletters, presentations, face-to-face meetings, conference calls, etc. ― have more success.

6. Prepare Spokespeople

Leadership does not only need to understand how to explain the transformation, they need to understand when they should and should not be the ones to speak about it. They need to know how to keep things positive. They also need to be able to drill down and explain what change means to various audiences. Keeping them in sync is critical.

7. Test Your Communications

It is often useful to test out messaging on a subset of stakeholders, especially when there’s time to do so. Testing can be done through focus groups, employee surveys, or a more informal round-table where individuals can practice delivering the message and get first-hand feedback.

8. Provide Ample Opportunities to Share Feedback

Giving employees multiple opportunities to share concerns, ask questions, and offer ideas is crucial to the process. The more two-way communication is made a priority, the better the organization can keep its finger on the pulse of what future communications need to include to meet the needs of the audience.

9. Make Change Part of Day-To-Day Work

To get employees to fully embrace change, a management system, like Kaufman Global’s Lean Daily Management System® (LDMS®), should be put into place to drive day-to-day focus. LDMS helps visualize activities and promote active communication about the work of individual teams every day. It:

  • Supports and reinforces clarity of purpose at all levels of the organization;
  • Builds continuous improvement and disciplined execution into day-to-day work;
  • Involves and develops people;
  • Creates a culture of collaboration and accountability.

10. Become a Role Model

People judge the performance of leaders not by what they say but by what they do. Employees will watch closely to determine how leadership is feeling about the change and will draw their own conclusions based on that behavior. Leaders should:

  • Convey that they are personally committed to the changes by active participation and sponsorship;
  • Be open to discussion with employees regarding the changes;
  • Express confidence in the team’s ability to make it through the changes;
  • Seek and incorporate input to make the changes work.

Employee Engagement Requires Focus

The following is an excerpt from Kaufman Global’s White Paper: Engage the Organization and a Performance Culture Will Follow. Here we examine the reasons why leaders fail to pursue employee engagement, even while it’s proven to be fundamental to success.

Employee Engagement: Why Do Leaders Fail to Act?

If we accept the idea that a fully engaged organization is fundamental to success, then we must ask, “Why Do Leaders Fail to Act?” The simple answer may be because it is exceedingly difficult to challenge ingrained culture and belief systems. Pushing decisions down, engaging the organization broadly and deeply, and giving up some amount of control is not a simple matter. In fact, it counters the culture of traditionally run organizations.

To dig a little deeper into the reasons leaders fail to pursue engagement, Kaufman Global recently surveyed a large group of top leaders and known change agents. These individuals come from diverse industry backgrounds, such as consumer products, energy, government and technology. Averaging over 20 years of experience, each has a proven track record of successfully engaging and improving their organizations.

6 Reasons Employee Engagement is So Difficult

  • Too distracted to do anything new
  • Immediacy – This is the “tyranny of the emergency”
  • Tools Instead – The belief that workshops and Rapid Improvement Events (RIE) solve employee engagement
  • Failure to understand how real engagement works
  • Risk – It’s simply one more thing that inhibits more immediate results
  • Do not believe it makes a difference.

Each of these are described below.

The question was asked, “If we accept that the leader’s function is to create value and that one vital and comprehensive way to do this is by fully engaging the organization — at all levels and at all times — why do so few leaders truly, actively pursue this essential aspect of sustainability and performance?”  Six possible answers were given with a rating that ranged from 1 (seldom) to 5 (often).  A summary of the results follow. Additional detail is provided within the white paper.

Top Reasons Leaders Do Not Pursue Employee Engagement

Distraction | The top reason at 80% is that leaders are too distracted with day-to-day operations and other external inputs to focus themselves or their teams on anything other than existing systems applied to here-and-now deliverables. This defines a mostly reactive environment and one that has multiple competing inputs — often from above. It’s true enough that “Change starts at the top.” With enough distraction the opposite is just as true (and way more common). In this instance, engaging the organization is not valued enough to make it a formal priority.

Immediacy | Next comes immediacy at 72%. Immediacy has to do with the extreme focus on short-term goals and results. There’s no time for something that might not deliver a here-and-now win, requires some level of faith and is even slightly different than anything already being done. Moving upward in the organization, if results are not achieved, personal compensation and job security are at risk.

Immediacy and distraction are intimately linked. Distractions mount as the need for immediate results rises. Two back-to-back quarters of poor performance and the level of distraction goes off the scale. If this cycle goes on long enough, pressure and confusion over priorities lead to loss of morale and disengagement. People tend to exit these types of environments, and it’s unfortunate that engagement — a major mitigation factor and the single greatest contributor to employee morale and retention — is among the first to go and is seldom pursued in a systematic fashion.

Tools | Following closely at 68% is “toolitis.” This is a common ailment of many organizations where things like Kaizen Events, Value Stream Mapping and 5S are viewed as engaging the organization. It’s true that these types of activities get people involved, but only temporarily. Six Sigma is more of an expert practitioner methodology and has even less of an engagement mandate. There are many examples of organizations stalling in their Continuous Improvement efforts when they apply a tools-only approach. They have the tools, but value workers are not compelled to pick them up and use them because they aren’t immediately aware of, or have visibility to, their own performance. “Toolitis” is a big problem within production organizations, where employees find it difficult to expand into business processes because they can’t translate the improvement techniques they started with. Tools are most effective when they held in place with engagement.

All of these factors are closely related and combine to form a powerful barrier to real change. That “fail to understand” and “don’t believe” were scored as significant factors says a lot ― and not in a good way ― about basic leadership and management skills. Training is one element that can help, but people learn through their own experiences that are illuminated by existing values and norms. To change these patterns requires a significant reset on how organizations reward certain behaviors.

These barriers — and they apply at all levels — are daunting for anyone attempting change within the area they control. Some traps are more common depending on where you are in the organization. The lower you go, the more the system will attempt to kill your initiative (i.e., “Not invented here.”, “Who else knows about this?” or “This is not part of your job description.”). As you go higher in the organization, the problems associated with trying anything different prevent ignition ― pick any combination of reasons.

Those in the middle of the organization have simultaneously the most to gain and the most to lose. Here there is a lot of local control over value creation ― therefore the gains can be fast and big. In addition, the personal risk of failure for trying something different is less; yet there is strong attachment to the status quo and disruption isn’t much welcomed. Besides, in many situations, operating marginally better than one’s peers doesn’t require anything as foreign as attempting your own fully engaged organization. Without the support of peers and bosses, mid-level managers quickly start to feel they are rowing upstream alone.

Given all the barriers, it’s amazing that anyone pursues the engagement prerogative, but some do. And when someone, somewhere intends to make a meaningful difference by getting everyone involved to the fullest extent possible, the journey can be made a little easier with well-conceived boundaries that are defined by accountabilities, expectations and metrics. Journeys begin by starting to think about engagement as a process (as opposed to an outcome)…

Ready to dig deeper? This article is continued in our White Paper: Engage the Organization and a Performance Culture Will Follow Click here to download the full text.

Drop us a line if you want to learn more about Kaufman Global’s view on engagement.

Sticky Data: Humans Needed

Living in an “Information Age” has its challenges. Many of us have come to rely too much on technology, expecting it to solve the world’s problems with little or no manual effort involved. Much like drivers who use GPS systems to blindly navigate the roads, organizations have become adept at creating systems that continuously — and quite consistently — gather more data than they can ever hope to digest. The ever-present “black hole” has become the standard repository for stacks of randomly gathered and unstructured data for which there is no defined home. If data collection is “a thing” for your enterprise (of course it is), then it’s best to make it stick to the processes where it can do the most good – aka “Sticky Data”.

As much as we enjoy implementing sophisticated data management technology that automatically gathers and stores data (e.g., Electronic Workflow Tracking, BPM and RFID), the human factor is ultimately the “glue” that converts raw data into usable and sticky datavaluable information (i.e., “sticky data”). Commonly recognized as methods for gathering sticky data, the above technologies, when supported by a workforce, can transform real-time data into business intelligence generators that drive more accurate insights into key areas of the business.  The simple truth is that without a structured program in place to target, collect, distribute, and analyze the most relevant data in real-time, organizations can be data rich but information poor.

Let’s look at one example. In a number of recent assessments within a global services organization, equipment repair quotes were consistently being rejected due to unacceptable delivery cycle times. Why was this? Determined to find the answers, the organization began researching the issue but quickly came to a road block:  minimal information was found on past successful or failed service project bids. Consequently, staff continued to waste energy reinventing the wheel for each new project, consuming significant amounts of unnecessary analytical time and effort.  What’s the underlying problem here? While there were certainly post-implementation reviews completed after each project, there was no subsequent communication or storage of data outside of everyone’s heads. The results (i.e., the discoveries) simply fell into a bottomless black hole. There was no mechanism to create sticky data that in turn could have been used as valuable information for subsequent efforts.

How should data be incorporated into the decision-making process? At Kaufman Global, we apply our SLIM-IT® model to ensure sticky data is an integral part, and final output, of any value stream. Applying a series of human elements, SLIM-IT incorporates change management techniques, the Lean Daily Management System ® (LDMS ®), KPI tracking, as well as a Lean structure that is designed to optimize communications across functions and organizational levels. Through this methodology, the power of data reaches its full potential because it’s held in place by the outer bands of formal organizational engagement.

What system do you have in place to ensure that the right data gets communicated, in the most effective way, to the right people?  Is data being translated into value-added information that sticks?

Employee Participation: 5 Ways to Boost Engagement

Over the past 25 years, we’ve worked with clients around the world by supporting and / or leading Lean initiatives. If there’s any major “lesson learned” we’ve taken away, it’s that employee engagement is critical to success. Wouldn’t it be nice if there was a magic potion that could be consumed throughout an enterprise to solve problems or improve efficiencies? Unfortunately, it will never be that simple. The rate, degree and level of change for Continuous Improvement endeavors hinges on people.

Within any transformation journey, employees must be empowered and engaged. Improvement happens in the field, on the factory floor, and within the office one employee at a time. When effective leadership support is in place, employees are more likely to embrace change. Without it… Not so much. There must be concentrated focus on active engagement ― connecting employees to the work they control.

It’s well known  that as employee engagement increases, so too does organizational performance. So what are the top, most proven methods for increasing employee engagement? Integro Leadership Institute President Keith Ayers recently identified five leadership skills that are most effective.

#1 Build Trust

Trust is an essential ingredient in increasing engagement. The first thing leaders need to know about building trust is that it does not happen just because you are trustworthy. People do not know how trustworthy you are until you demonstrate it by using trust building behaviors and the most important of these behaviors is to trust others. We build trust by trusting others. This requires a basic belief in people, a belief that people are essentially trustworthy. After all, if you have untrustworthy employees, why did you hire them and why are they still there?

#2 Mentor

The relationship between the employee and his or her immediate manager is a critical factor in how engaged the employee will be. We have to get away from the idea that Managers cannot mentor the people who report to them. Employees need feedback; they need to know how they are performing regularly ― not just once a year at review time. They must be able to discuss their needs for growth and development with a Manager who cares about them. Effective leaders need to give and receive feedback — to coach and counsel employees in a way that increases engagement and commitment.

#3 Inclusion

Whether employees feel like an insider or an outsider also impacts their level of engagement. Effective leaders know that everyone on their team has strengths the team needs, and they know how to get the best out of each person regardless of their ethnic background, gender, age or sexual orientation. They understand that people with different personal values can work together effectively when they commit to the same values about trustworthiness and standards of work performance.

#4 Alignment

Engaged employees feel aligned with their organization’s Purpose, Values and Vision. Their work is meaningful to them because their leader helps them see the connection between what they do and the success of the organization. The effective leader also understands that gaining their team’s commitment to the organization’s values increases the team’s performance standards as well as their engagement.

#5 Team Development

Effective leaders understand the potential for significant increases in performance through high performing teams. They make sure that all team members understand the strengths they and other team members bring to the team and work at developing a process that capitalizes on all of these strengths. The leader’s focus is on developing the leadership potential of each team member and ultimately implementing a shared leadership approach to continuously improve performance that is owned by the team.

Each of the skills above are needed to fully engage employees. In fact, engagement and subsequent results are diminished if any of them are missing.  At Kaufman Global, our implementation approach is focused on linking leaders and employees to change initiatives by providing a structure within which the tools of Continuous Improvement are consistently applied. By applying Lean Daily Management System ® (LDMS ®) and other methods, we generate engagement and ownership. These practices also drive those critically important business results.

To learn more about how to leverage LDMS to improve engagement — and, ultimately, sustainability — click here to download Kaufman Global’s white paper, “Leading Purposeful Change with the Lean Daily Management System.”

See also: Lean Daily Management Services Page.

See also: LDMS blog article.