january 2013 - Virginia Business Excellence Consortium

EXCELLENCE IN THE SOUTHEAST | JANUARY 2013
In This Iss
sue
Volume 27 • Issue 1
1
2
3
4
5
6
8
9
10
Event Calendar
Introducing the 2013 SE Region Officers
Upcoming Event: Developing Leaders For Tomorrow – Today!
AME Monthly Webinar Series | Benefits of Hosting an Event
Art Byrne Inspires Healthcare Leaders To Use Lean Tools
Veterans Are A Valuable Resource
AME’s Spring Conference
Innovation: The Voice of the Customer & the Squeeze Machine
Southeast Region Board of Directors
As an AME member you know that a strong community of
professionals dedicated to enterprise excellence is at the core
of our Association. But did you know that the best way to
maximize
i i your b
benefits
fit within
ithi this
thi network,
t
k iis tto expand
d it?
When you serve as an AME ambassador, you not only help
enhance the resources you need to excel in your career, you
also help us make a stronger impact on our vital industry.
www.ametoronto.org
Learn more at http://www.ame.org/refer-member
October 21 - 25, 2013
Upcoming Events
Events
Dates
Location
Cost
Developing Leaders
March 6-8,
West Point, NY
$1,995
AME Spring Conference
April 15-18,
San Antonio, TX
$1,295
October 21-25
Toronto, ON
$2,699
AME International Conference
To sign up for AME events, contact AME at 224-232-5980. To host an AME event in your area contact a SE Region Director in your state.
Southeast Region
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
REGIONAL NEWS
Congratulations To Our 2013 Officers!
We proudly announce our officers for the coming year. Robert B. Camp will serve as president for the next
two years. He is vice president of operations at Burlington Medical Supplies, a company making specialty
apparel for the healthcare industry
industry. With more than 20 years
years’ experience working for Mobil and Lockheed
Martin, he holds a B.S. degree from the U.S. Military Academy in West Point, NY and a master’s degree in
business administration from Franklin Pierce University. “We have a great opportunity to strengthen our
membership base and our educational offerings in the coming year,” said Camp. “We encourage current and
new members to take full advantage of our workshops and programs as well as our networking opportunities.
We also welcome active participation as event hosts and facilitators. During these challenging times, we all
benefit as we share knowledge and ‘lessons learned’ with fellow practitioners.”
Marypat Cooper, regional vice president of communications, led process revolution at Brooks Electronics
p y for more than 14 yyears,, resulting
g in record-breaking
gp
productivity
y and p
profit
Division of The Wiremold Company
gains. She served as a senior executive consultant for Moffitt Associates and later joined Sheridan Healthcorp
to facilitate lean transformation in several functional areas. She participated in multiple work-study projects in
Japan. Her direct tutors include W. Edwards Deming, Art Byrne, Gary Brooks and Chirhiro Nakao. “My goals
for AME in south Florida are to increase our lean certification review events and to introduce a “book club”
series of study groups,” Cooper said. She is also working on plans for student and volunteer kaizen events.
These three-day events would target better work flow, safety, quality, timeliness, throughput and productivity.
Hank Czarnecki, vice president of programs, serves as the Lean Group leader for the Auburn Technical
Assistance Center. He has more than 20 years’ experience teaching lean manufacturing principles, facilitating
continuous improvement (kaizen) events and coaching companies through lean transformations. Czarnecki
holds a B.S. degree in industrial engineering from the University of Pittsburgh and a master’s degree in
industrial engineering from Auburn University. He serves on the Lean Certification Task Force charged with
evaluating and improving the AME/SME/Shingo Prize/ASQ lean certification process. His plans for 2013
include ensuring that Southeast regional workshops provide learning opportunities for all levels of the
organization, experimenting with different event models to cost-effectively share best practices, exploring
knowledge sharing between manufacturing and healthcare, integrating thought leaders’ ideas into added
events, growing relationships with progressive companies to share operational excellence concepts and
developing regional board members to facilitate high-impact events.
Larry Fast, the founder and president of Pathways to Manufacturing Excellence, LLC consulting firm based in
Gainesville, GA is the region’s new vice president of membership. Fast is a 35-year veteran of the wire and
cable industry, 27 of those in senior management. He has held leadership positions at Belden’s flagship plant
in Richmond, IN and at General Cable Corporation. Fast led cellularization and lean transformations at many
manufacturing facilities; nine of these plants received Best Plants Industry Week awards and other national
recognitions. Fast holds a B.S. degree in management and administration from Indiana University. He is a
graduate of Earlham College’s Institute for Executive Growth and he completed the 13-week Program for
Management Development at the Harvard University School of Business. “The first stage for Southeast Region
membership
b hi improvement
i
t will
ill b
be tto collect
ll t data
d t including
i l di contact
t t iinformation
f
ti ffor companies
i operating
ti iin each
h
of the states in our region,” Fast said. “Following that, our primary focus will be on expanding the number of
corporate memberships, with assistance from our state directors. Our secondary focus will be on following up
with members we’re lost during the past year.”
The Southeast board is always looking for opportunities to serve our members in the region. If you have a question, a training need,
would like to host a workshop or would like to get someone else involved, contact Sharon Halsey at [email protected]. Sharon
will direct your questions to a board member who will be back in touch with you.
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
UPCOMING EVENTS
DEVELOPING LEADERS FOR TOMORROW – TODAY!
March 6-8, 2013 | West Point, NY
WORKSHOP DESCRIPTION
AME is conducting a very special workshop at the home of leadership, the United States Military Academy at West
Point. The workshop is designed to give insights into how to create the conditions for a team to win and win BIG! The
US Military Academy at West Point is a world class benchmark for Leader Development. Developing leaders in
business is a major topic of concern in America. This workshop will show you how the US Military identifies, trains, and
professionally develops Leaders we can count on. We instinctively know that America’s strength and competitive
advantage is its workforce, yet that workforce can only be as good as its leadership at all levels. The agenda will cover
the full range of leadership training for ’Heartbeat Leaders’ those who define the core essence of an organization and
who represent the key linkage between the individual team member and the rest of the organization. Specifically,
practical methods will be reviewed for organizations to conceive,
conceive define,
define plan,
plan implement,
implement and measure Leader
Identification, Training, and Development Systems so that they reinforce and sustain the transformation to excellence.
A similar event was conducted in 2010 and received a 4.8 rating on a 5.0 scale!
PRESENTERS
“Leadership and Character Building at West Point, in the Army and Beyond”
Starting with an in-depth tour of the Academy, you will see how every aspect of academy life is focused on the mission.
LTC Dave Jones will provide AME a behind the scenes tour of West Point to illustrate how USMA inculcates the lives
of its Cadets with ‘values’
values every day in every way.
way He will also lead an interactive discussion about how the academy
instills Leadership and Ethics and share how West Point approaches Leadership and Character Development. Dave
will facilitate a discussion that explores leadership development concepts, and application at West Point. They come to
West Point from every station in life and every neighborhood around the world, but they graduate into leaders we
entrust with lives.
“Leader Powered Lean: Heartbeat Leaders First”
On Day 2, Joe Barto, founder and President of TMG Inc. will deliver a high energy Workshop focusing on the
identification, training,
g and development
p
of those Heartbeat Leaders in their first leadership
pp
position and driving
g daily
y
business results.
"People Centric Leadership".
Scott Gauvin will help attendees translate the Leadership concepts and relate it to AME’s major strategic focus area.
“Greatness is Possible, but Rare”
World renowned author Steven Spear will present on the final day. Steve is an internationally-recognized expert on
leadership, innovation, and operational excellence. His book “The High Velocity Edge” is a must-read for all business
leaders.
Sign Up Now! Call
WHO SHOULD ATTEND?
AME at
224.232.5980.
• Leaders of Lean Transformation
• Anyone interested in learning how to develop leadership traits at all levels of an organization
• Senior Leaders looking to refresh or reinforce the organizational values through leadership
• Anyone interested in seeing how a ‘values based’ organization maintains and sustains its Mission and Vision in
turbulent times
This is a ‘can’t miss’ event for anyone in a leadership role!
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
AME WEBINAR SERIES
Each month world recognized speakers will be making 1-hour presentations
representing a wide variety of topics. Authors, Shingo Prize recipients, and
thought leaders in their respective areas form the line-up of
presenters. Webinars are very modestly priced at $25 for members, $50 for
non-members
b
and
d free
f
f corporate
for
t members.
b
Th webinar
The
bi
series
i iis jjustt one
way that AME is trying to increase the value it delivers to its members, and
better fulfill its mission of “Share-Learn-Grow”. So gather up some colleagues
at your organization and register for a webinar today.
The upcoming line-up includes:
• Driving Business Improvement With Digital Signage: January 23
• Lean People Development: January 29
• Lean In Job Shops: February 14
• Making Materials Flow: March 7
Go to http://www.ame.org/webinars for more details on these and other
webinars scheduled through the end of the year.
Five Benefits of Hosting a Regional Event
1 - As a host you can select the subject. Identify a “gap” in existing knowledge
or Experience within your organization. AME will bring in a facilitator to teach
the host participants as well as the other attendees.
2 - Hosting an application based event (e.g. a kaizen event) will provide the
Host company with Tangible improvements in the selected area
area. Attendees
from other companies will be valuable resources during the event to
implement real change. AME will bring in a facilitator if required.
3 - Build your network of fellow Continuous Improvement and Operational
Excellence professionals that will provide continued benefits long after the
Event
4 - Receive suggestions for improvement from attendees after a tour of the
Host facility
5 - Use the event as a “rallying point” for the organization to progress to the
next level in Your quest for Operational Excellence, or to reinvigorate a stalled
effort.
Value Stream Mapping, Lean Office, Pull Systems, TPM, TWI, Daily Visual
Management – whatever the subject area - AME can help you close an
Existing knowledge gap. Contact Southeast Program Director, Hank
Czarnecki email: [email protected]
Czarnecki,
leanhank@auburn edu to discuss the possibility of holding
an event at your facility..
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
Art Byrne inspires Healthcare Leaders
Art Byrne, former CEO and author of Lean Turnaround, challenged a group of healthcare leaders to adopt
proven manufacturing methods in pursuit of true improvement. “Simple to say, difficult to do” was the tone of the
presentation, which focused on four fundamentals:
1.
2.
3.
4.
Work to takt time
Design one-piece flow
Implement Standard Work
Connect the customer to the work by using a pull system.
Art, currently a managing partner in an international private equity firm, started his presentation
with the “end in mind” by showing the results achieved at Virginia Mason Medical Center in
Seattle:
1. Nurses
u ses spe
spend
d 90% o
of ttheir
e ttime
e with
t pat
patients
e ts vs.
s 35% national
at o a be
benchmark
c a
2. Time to report Lab tests down by 85%
3. Cost of supplies cut by $1 Million per year
4. Hospital liability costs down by 48/9%
5. AR days less than 90 – down by 74%
6. Spine Clinic: Space down by 78%, Headcount down 29%, Margin up 56%
7. Surgery Center: Space down by 39%, Turnover time down 50%, Cases per day up 60%
Pharmacy turnaround time cut by 93%
The audience was drawn to Art’s simple style and stories of his experiences in creating the culture of lean. He
explained how leaders should:
1.
2.
3.
4.
5.
6.
7.
8.
9.
lead from the front lines and not from back offices
lead in a hands on way
adapt a daily management routine that includes review of key performance metrics
keep kaizen teams going forward even when things go wrong (he told his engineers, “You don’t fail
enough!” meaning they don’t
enough!
don t try enough experiments with some that fail…)
fail )
be strong in the face of creative and persistent resistance
challenge the company and industry lore
champion customer focus
develop future leaders from within
become value-adding through knowledge, support and direct communication
Healthcare reform of any sort would benefit tremendously from careful application of Art’s suggestions.
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
VETERANS ARE A VALUABLE RESOURCE
Manufacturers that haven’t turned to military veterans are missing some of the most valuable hires in a tight skills
market. Not only do veterans already possess many of the job skills manufacturing firms are looking for, veterans
are trained and comfortable in the lean environment that is transforming American manufacturing.
“Vets understand lean culture — it’s second nature to them,” said Joe Barto, p
president of TMG and a retired U.S.
Army lieutenant colonel. “Lean is how the military operates. They just don’t understand the terminology that
goes with lean in the civilian world.”
The civilian world doesn’t understand the terminology that goes with military skill specialties, either.
“Quartermaster” doesn’t mean much to the human resources department, said Glenn Marshall of Newport News
Shipbuilding (NNS), and “supply chain” means just as little to the Quartermaster who successfully managed
global logistics for a division of 25,000 combat troops.
“The big problem is that companies don’t necessarily know how to find vets and vets don’t necessarily know how
to show their military experience in ways that make sense to industry,” Marshall said. “What everyone needs is a
crosswalk between military job descriptions and civilian job descriptions. Unless you’ve been in the military
yourself, that’s the only way you’re going to know that a ‘maintenance technician’ is probably the best trained,
most experienced welder you’ve never recognized.”
Virginia Takes Aim
The good news is that industry and government are both starting to wake up to the problem
problem. In 2011
2011, TMG
launched the Vet Pipeline, a service that creates an employment pipeline to locate, screen and hire veterans to
meet a company’s specific talent needs.
NNS and the Virginian Business Excellence Consortium sponsored an AME workshop that focused on the
onboarding process as a way to build a more highly engaged workforce. NNS already hires about 1,000
employees annually, 20 percent of them veterans. Hiring veterans is an easy decision, said Marshall, himself a
veteran.
“They already have security clearances; they already have leadership experience,” he said. “They can give
direction and they can take direction. It’s just a matter of training companies about how to reach out to vets.”
Earlier this year, the Commonwealth of Virginia launched “Virginia Values Veterans,” the V3 initiative, to help
match veterans who need jobs with employers who need skilled workers. Veterans have one of the highest
unemployment rates of any group in the country, nearly 30 percent.
“There are 600,000 manufacturing jobs open and 600,000 veterans looking for work,” Barto said. “What’s 32
T
Target
t | Winter
Wi t 2012 www.ame.org/target
/t
t bring.
bi
Th
The reall challenge,
h ll
B
Barto
t said,
id iis tto gett th
the word
d outt tto smaller
ll
companies. That’s where organizations such as AME, local Chambers of Commerce and other associations can
help. Hiring is good, he added, but retention is the true metric.
Half the companies that hire veterans lose them within a year. “Half of companies should never hire vets,” Barto
said. “Those are the companies that don’t have strong first line supervisors, don’t have solid onboarding
programs, don’t have a team culture, don’t have a career path and don’t pay at least $25,000 annually with full
benefits. This is a program to hire solid employees and keep them employed. Other kinds of companies need not
apply.”
Continued on next page
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
VETERANS ARE A VALUABLE RESOURCE
(continued)
Other Companies, Other Programs
In San Antonio, TX, M2 Global received the Texas Manufacturing Star Award from the Texas Workforce
Commission. Not only has M2 Global increased its Texas employment by 58 percent since it was founded in
1999, the company has led the way in hiring veterans. Company Founder and President Douglas
Carlberg,
g, a retired U.S. Army
y chief warrant officer,, launched a preferred
p
hiring
gp
program
g
for veterans when he
launched the company. Today, more than 25 percent of his employees are former military.
“Veterans bring a unique set of skills to the job,” he said. “They are disciplined, hardworking and know the
importance of completing a mission.”
But the move to hire more veterans isn’t restricted to veteran-owned companies or defense contractors. Four of
the largest manufacturers in the country — General Electric, Alcoa, Boeing and Lockheed-Martin — have agreed
to fund the “Get
Get Skills to Work Coalition.”
Coalition. The initial goal of the program is to hire 15,000 veterans. Open jobs will
be listed on LinkedIn.
The coalition is managed by the Manufacturing Institute, an affiliate of the National Association of Manufacturers.
The four coalition founders currently employ more than 64,000 veterans. Why veterans? They have the literacy
and math skills that too many applicants don’t have, the companies said. If GE head Jeff Immelt has his way, the
initial investment will act as a catalyst.
We re looking for other manufacturers to join us
us,” he told reporters
reporters. • the big problem here?”
here? There are really
“We’re
two problems. One is the myth that veterans make poor employees. The reality is that just 25 percent of the U.S.
population that is of military age actually meets military recruiting standards. And while the media focus on
problem cases, most veterans would like nothing more than to get on with their lives and continue to support
their families.
The other problem is communication. Companies that need skilled workers don’t know how to communicate
their need to veterans. Veterans who are looking for jobs don’t know how to communicate their job and personal
skills to potential employers
employers. Veterans already have the basic skills and characteristics that manufacturing firms
want: a strong work ethic, team orientation, resilience, flexibility and leadership experience.
Any company is going to have to invest in employee training for specific equipment and procedures, but veterans
bring those other, tough-to teach skills that too many other job candidates have never learned. “Companies with
fewer than 50 employees do 45 percent of the hiring,” Barto said. “They usually hire one to three people at a
time and don’t even have an HR department. It’s not really about vets, it’s about companies that don’t know how
to hire effectively.”
That’s where V3 comes into the picture. Virginia is working with TMG to develop a V3 certification program. The
program offers a customized workforce assessment and training for companies that are committed to hiring and
retaining veterans. The certification program includes developing a pipeline to recruit veterans, completing a pilot
program and setting measurable goals for hiring and retention. The program helps companies build an
employment pipeline to focus on veterans and their specific skill sets. TMG has already worked with about 300
companies through V3. Major employers such as NNS already recognize the value veterans.
By Fred Gebhart
Southeast Region | January 2013
In This Iss
sue
Upcoming Events
Events
Dates
Location
Cost
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
INNOVATION: THE VOICE OF THE CUSTOMER & THE SQUEEZE MACHINE
Innovation and meeting customer requirements are key strategies for successful, agile
organizations. Start with the premise that we want to provide value as customers define it. “Using
lean concepts and tools, we can improve our service to customers as we innovatively develop
products and services,” said Ken Rolfes, KDR Associates, Inc. He suggested building a
collaborative
ll b ti environment
i
t iin which
hi h a b
broad
d range off iindividuals
di id l and
d ffunctional
ti
l areas work
k ttogether
th
on new product development.
For example, a team of design and manufacturing engineers,
clinicians, users, marketing specialists, and individuals from 12
companies participated in further developing the Squeeze
Machine, using lean tools. The original Squeeze Machine,
developed by Dr. Temple Grandin,
G
helps to calm individuals
with autism-spectrum disorders. The team’s objective: to develop
a cost-effective design that will enable more potential customers
to afford the finished product. This project was hosted by Therafin
Corporation, a manufacturer.
“We wanted to show that more creative, customer-focused design
work can be accomplished in a collaborative environment,” Rolfes
said. “Participants were guided through the design process. We
learned to speed our cycles of learning – create a design, build a
model, try it out for better understanding and then modify it as
needed. The resulting new designs meet customers’ and other
stakeholders’ requirements.”
New Squeeze Machine side view
Real innovation comes from ideas that build on each other over time through interaction –
something that companies need to do better. “We need to go to the gemba, learning directly from
others about their challenges and then converting that knowledge into creative designs,” Rolfes
said. “This Plan/Do/Check/Act (PDCA) allows people to ask questions and be open to ideas.”
The new Squeeze Machine prototype has been built and demonstrated. The current manufacturing
cost estimate ($
($1300 p
plus around $
$100 shipping
pp g cost)) for this lighter-weight
g
g model shaves more
than 50 percent from the previous model’s cost. After benchmarking tests are completed,
customer models will be tested at clinics. More information about this project is available in the
Target Summer 2012 article, “Refining the Squeeze Machine.”
Lea Tonkin, editor, AME regional newsletters, is the president of Lea Tonkin Communications.
Southeast Region | January 2013
EXCELLENCE IN THE SOUTHEAST | Volume 27 • Issue 1
SOUTHEAST REGION BOARD OF DIRECTORS
ALABAMA
AME MISSION
Hank Czarnecki
VP Programs
[email protected]
@
ARKANSAS
Bill Kraus
Immediate Past President
[email protected]
NORTH CAROLINA
FLORIDA
Marypatricia Cooper
VP Communications
[email protected]
Inspire
commitment to
enterprise
excellence
through shared
learning and
access to best
practices.
Dan McDonnell
(Member Emeritus)
[email protected]
PUERTO RICO
GEORGIA
Larry Fast
VP Membership
[email protected]
Art Hau
[email protected]
Kevin Singletary
SOUTH CAROLINA
[email protected]
Garvin Barker
[email protected]
AME VISION
Bringing people
together to share,
learn and grow.
Jared Norflis
[email protected]
KENTUCKY
TENNESSEE
Jim Garrick
[email protected]
Jim Price
Region President Elect
[email protected]
CORE VALUES
Sam Mats
Matsumoto
moto
VIRGINIA
[email protected]
Glenn Marshall
[email protected]
• Continuous Improvement
LOUISIANA
Todd May
[email protected]
• Volunteerism
Robert Camp
Region President
[email protected]
• Integrity & Trust
• Engaging & Welcoming
MISSISSIPPI
Sammie Hare
[email protected]
Southeast Region | January 2013
Joe Barto
[email protected]
• Practitioner
P titi
F
Focused
d