Category Archives: Project Management

Why employee engagement matters more now

engagement around the work

A recent article shared by Gallup indicated that 36% of the U.S. workforce is engaged in their work. Surprisingly, this statistic is higher than it has been for many years, though the number itself is typically perceived as disappointing. However, Gallup also says that globally, only 20% of employees are engaged at work.

Equally important, their findings indicate the percentage of actively disengaged employees in the U.S., has risen to 15% through June 2021. Actively disengaged employees cost businesses a lot… higher turnover, more safety issues, more absenteeism, and so on; they generally “report miserable work experiences and are generally poorly managed. They also tend to bring-down their coworkers.

Why Now?
The reason workforce engagement has emerged as more important now is that the U.S. Bureau of Labor Statistics says employee turnover or “quit rates” are reaching record highs, and Gallup research has found “substantial differences in intentions to change employers as a function of the quality of the work environment.”

“Among actively disengaged workers in 2021, 74% are either actively looking for new employment or watching for openings. This compares with 55% of not engaged employees and 30% of engaged employees,” the article states.

With this fact in mind, and despite the recent rise in engagement levels, with only 36% of U.S. employees engaged in their work, there is much room for improvement.

The first step in this improvement process is to formalize an employee engagement plan, and to do so in the same fashion as one would implement a continuous process improvement initiative:

  • Get acceptance and buy-in from senior leaders. Little will be accomplished without this; the best results are achieved when leaders understand the benefits of engagement and take action.
  • Create a formalized implementation plan and establish performance measures so that progress can be tracked. Develop realistic, achievable, and measurable goals and objectives.
  • Work with the leaders so that they can model the right behaviors and cascade the concepts throughout the organization.
  • Create and equip project teams to identify and quantify opportunities for improvement.
  • Foster an atmosphere of collaboration, innovation, continuous improvement, and fun. Increases in productivity yield increases in engagement.
  • Make sure people have the knowledge and skills needed to succeed.
  • Implement an appropriate integrated communication plan, reinforcing the concept of improving both the “work and workplace.”
  • Reward and recognize people so that they feel supported in their efforts.
  • Measure results and ROI… and keep your foot on the gas!

Before Launching an Improvement Project…

preparation

As a final installment to this short series of posts about increasing the likelihood of an improvement project’s success, it’s important to recognize the importance of up-front work.

Effective planning, even before the launch, was emphasized as critical to success during a discussion with our Partners in Improvement. Some of the key components of this planning include defining the right problem statement, scope, timeframe, and team.

One of the Partners explained that, in his organization, all project charters are required to go through a rigorous review by corporate as well as visiting the location and team beforehand to get the specifics and facilitate good communication.

Another emphasized the importance of having a charter, no matter how simple the project, that sets out the timeline. The charter should clearly identify why we are here and what the target date for completion is. This is hard to predict at the outset when the team has much to investigate, but it is important to have a vision of an end point not too far in the future to keep the scope tight. Set near-term milestones.

Similarly, one organization has implemented the practice of having the team leaders circulate problem statements to other experienced leaders before they start and ask the others to take shots at it — identify where the gaps are, where it lacks specificity in a way that will make it more difficult to define a tight scope. Identifying these hazards up front is likely to make the project more expedient and successful.

Most importantly, and as all of our Partners agreed, managing scope is a must for speed and success.

Apply the Pareto mentality (backed up, of course, with Pareto data), to focus on the 20% of the problem that will provide the biggest bang for the buck. One of the most common causes of slow results is failure to decide on a tight scope that can be addressed within 8 to 12 weeks. Often one needs to gather and study some data in order to decide on a narrow scope, and this often should be done before launching an improvement project. Sometimes a small group may be convened to quickly gather and study the data so that an appropriate improvement team can be launched.

The Bottom Line Summary
To sum it up, in order to ensure on-going success an organization must make sure that its measurement systems, rewards, recognitions, and communications systems support CI.

But more than that, one must make sure that management behavior itself supports CI.

8 Ways to Increase the Success Rate of Improvement Projects

Continuous Improvement

Our previous post shared a number of reasons why so many improvement projects fail or fall short of expectations.

Fortunately, there are a number of solutions to prevent the
downward spiral that can so easily plague improvement efforts, which we discussed during a meeting with our improvement Partners. These principles include the following:

Success! The first principle for making a project successful is simple: nothing succeeds like success. So start out with carefully selected projects staffed with highly qualified people to ensure they are successful. Give the earlier projects careful guidance and support. One of our Partners described an initiation process which started with 10 carefully selected and well trained individuals. They put five on one project and five on the other. Once those projects were complete, they launched five more improvement projects with two of their 10 trained leaders per project. This plan was designed to ensure early successes.

Communication About Success. The second principle is “advertising.” If a team applies the CI methodology to great success but no one hears about it, the methodology as “the way we do things around here” will be slow to catch on. Newsletters, presentations, story boards and discussions at staff meeting and water coolers are all ways to communicate success and make sure that everyone learns from it and is ready to try for some more.

Speed to Results. But an organization will not have many successes to advertise, if it does not make speed to results a priority. Once you start an improvement project, make sure that the project manager and the team run like heck to finish it. The more demanding the environment and more rapidly new challenges arise, the more critical it is that every effort be on the fast track to completion — before something arises to change priorities.
To the extent possible, compress the cycle time to results. Use Kaizen events and focused teams to tackle manageable chunks in short time frames.

Data. Use data to really understand the current reality and to test theories about underlying causes. The data will help you minimize the red herrings and wrong turns. People will want to substitute opinions for data because that is the way they have always worked. But the facts and data will help the team zero in on the real cause and the best solution more quickly than trial and error based on opinion. One of our partners observed that people will often create a flow chart, but then fail to get the facts about the process. A flow chart is just one step and is not really complete until it has been validated and populated with real data.

Keep It Simple. Keep the data analysis as simple as possible. Complicated is not necessarily better and it is almost always slower! A great deal can be learned from Pareto charts looking at the data from different angles — to rule out or confirm theories about the underlying dynamics and relationships.

Management Support. Pay attention to the soft side, making sure that management meets with the teams and individuals regularly. One CEO meets one-on-one with his leaders once a month and the sole topic is how the improvement project is going and what can he do to speed progress. Lots of visibility and encouragement for people working on systematic improvement helps to maintain interest, enthusiasm, and momentum.

Team Enthusiasm. One CEO lets his team leaders pick the project — focusing on what really ‘frosts’ them. This gains the enthusiasm for the work and results in quick wins.

Team Training. Most Partners believe that nearly everyone in the company needs some basic training. But team leaders need to be very well trained, so that they can ensure that the team follows the methodology, asks the right questions, gathers the right data, stays on track, and keeps the interest and engagement of the rest of the team. Choose team leaders very carefully.

In addition to the above-listed solutions for running an effective improvement initiative, there are several things that an organization can do before launching a project that can increase the likelihood of success. These best practices will be the subject of our next post…

Why Improvement Initiatives Often Fail

brick wall

During a discussion with several of our improvement partners, it was noted that approximately 80% of the time Continuous Improvement efforts fail or are abandoned prior to achieving their potential.

We also discussed a set of barriers that could lead to failure, which included:

  • Low aim, poor advance planning or scoping
  • Lack of data during the planning stage
  • Lack of buy-in from management
  • Lack of buy-in from participants
  • Lack of management support, which is required to free up the resources to work on improvement
  • Lack of progress due to ineffective or inconsistent execution. The slower the effort moves, the more likely it becomes that priorities will change, new opportunities or problems arise that decrease available resources further.
  • Poor meeting management, causing slower progress.
  • Participants need for skill development

A number of solutions to the above-listed challenges were also discussed, which will be the subject of our next post.

Implementing a New Year Strategic Plan?

implementation

In a 2018 post we noted that an organization can have an excellent strategy but make little-or-no gains if they fail to execute effectively on that strategy.

It was also noted that this happens in a great many instances, as people at all levels frequently struggle to stay-the-course when it comes to achieving goals, keeping resolutions, or executing strategic plans. Instead, they fall prey to “working so hard on the urgent that they forget about what’s really important.”

Since we are about to begin a New Year, and since many organizations have, in fact, created a strategic plan for the upcoming year, it seems an ideal time to re-share and reaffirm the fact that “planning” does little good without execution. Fortunately, there are solutions!

The Four Disciplines of Execution, an insightful book written by Sean Covey, Chris McChesney, and Jim Huling, shares one of these solutions.

As you may know, the ‘Four Disciplines’ comprise a management system of making consistent and systematic progress on executing plans and achieving goals. An organization can have an excellent strategy but fail to execute effectively on that strategy. Almost always the reason is that everyone is BUSY, and that they experience a conflict between all of the demands to keep the business running on a day to day basis (the ‘whirlwind’) and the time required to move the organization forward to accomplish existing or new goals!

The book identifies four key elements of execution that can help any organization achieve steady progress on the strategic objectives:

The first discipline is to focus on the “wildly important” (WIG—Wildly Important Goals). It is suggested that we’re better off executing a small number of goals right instead of spreading ourselves too thin. It is also important to not only identify, but also communicate exactly what these wildly-important goals are so that everyone is working on what matters. Equally as important, each of these goals must be associated with a targeted completion date – in other words, they must be time-based.

The 2nd discipline is to set (and act upon) lead measures. While lag measures tell you whether or not you have achieved your wildly-important goals, in most cases, by the time the results are in, it’s too late to do anything about them. Lead measures are predictive; they tell you how the lag measures will move, and they are “influenceable” (you can do something about them).

For example, a person might set an important goal of losing weight. The lag measure will be to take periodic measurements of weight. But to influence the weight goal the person must act on the lead measures: exercise (calories burned) and calories consumed.

The 3rd discipline is to keep a compelling scorecard. The scoreboard shows the lead measures and lag measures defined in the first two disciplines. This scoreboard must be ‘a players’ scoreboard’ not a ‘coach’s scoreboard’. It must support, guide, and motivate the players to act effectively on the lead measures and influence the lag measures.

People play the game differently when they are keeping score, and they play differently if they are keeping the score themselves! In fact, the action of recording their own results has proved to have a strong effect on people ― fostering ownership, engagement, and a deeper appreciation of the impact of their effort.

In addition, there are four important requirements to creating an effective scorecard that will truly promote execution and engagement:

  • The scorecard must be visible. If it is out of sight, on your computer or on the back of the door, it is less effective at aligning the team to focus on moving those measurements.
  • It must be simple, showing only the data required to ‘play the game’ ― to let the players know how they are doing day to day.
  • It must show both lead and lag measures.
  • It must show “at a glance” how the team or players are doing.

The 4th discipline is to develop a “rhythm of accountability.” This is the discipline that enables you to win… without a rhythm or cadence of accountability, teams will have a much more difficult time and will tend to become less engaged. The threat, of course, is that the whirlwind of running the day-to-day business that will consume all the available time.

By setting a rhythm or cadence the authors mean an inviolable regular schedule to which everyone is committed. For example, teams should meet every week or every two weeks as opposed to “whenever something comes up.” It’s also best to schedule the meetings at the same day and time each week or every-other week. These meetings should never be canceled ― they must be viewed as important and productive, thus promoting strong feelings of belonging, commitment, productivity, and accomplishment, which are all drivers of engagement.

As noted in the book, “without accountability, the whirlwind will win!”

Like many things in life, these elements are simple but not necessarily easy… but they do enable an organization to more easily achieve important goals in the face of the whirlwind.

Improvement Project Success Predictor

improvement tools

Our previous post focused on defining and scoping an improvement project prior to launch. Another useful pre-launch tool, which was created by our consulting team, is a “success predictor.”

The “success predictor” distills a century or two of collective experience with what characteristics are most necessary for an improvement project’s success – in other words, it can help to prioritize options and increase the likelihood of working on the right things.

The following eleven factors can predict with a fair degree of accuracy how likely a project is to succeed:

  1. The potential benefit of the project to the organization is clear, substantial and quantifiable. (10 = very clear, quantifiable, substantial)
  2. The problem to be solved is clearly defined and quantifiable, and the project scope is focused and well-defined. (10 = very clear, focused, and well-defined)
  3. The project has top management’s commitment and support (resources, sponsorship and follow-up); no influential person is actively opposed to the project. (10 = very strong support)
  4. The sponsor and team leader are clear about each one’s role and partner effectively to ensure the success of the project. (10 = very clear)
  5. The team leader and key resources are devoting enough of their time to the project to complete it very quickly. (10= full time)
  6. The team is staffed and led by the right people for the job, and they are determined and capable to quickly achieve results. (10 = very determined and capable)
  7. Meaningful and accurate facts and data about the process are available. (10 = very available)
  8. The process to be improved is repeated frequently enough to efficiently study variation in the current process and to and test and measure improvements. Hourly? Monthly? Annually? (10 = very frequently).
  9. The processes to be improved are within the team’s span of control. (10 = under control).
  10. The expected timeframe for completion of the project or for achieving concrete and measurable milestones. (10 = 4-8 weeks to completion or measurable milestone)
  11. The processes are stable, that is not undergoing very recent or imminent major change (10 = very stable).

Defining & Scoping Improvement Projects

SIPOC

An earlier post referenced one of our founder Bill Conway’s favorite quotes, “The most important business decision people make every day, is deciding what to work on.”

This pearl of wisdom applies to all forms of work, and is certainly critically important when it comes to initiating an improvement project. Various tools have been developed to help people better define improvement initiatives, one of which is SIPOC, an acronym formed in the early days of TQM and one that continues to be used today in Six Sigma, lean manufacturing, and business process management..

SIPOC enables people to effectively define the process, problem, and project early on to ensure they are, in fact, working on the right things. The acronym stands for:

Suppliers
Inputs
Process
Outputs
Customers

Some organizations always start with the SIPOC to get the team on the same page so they can answer six important questions:

  • What is the process?
  • Its purpose (why are we doing this)?
  • Who owns the process (surprisingly sometimes not obvious/known)?
  • Who are the customers/suppliers?
  • Who is the primary customer?
  • What do they get out of the process or provide for the process?

Once the questions above have been answered people can focus on the high level process flow and the process measures for each step by answering five more questions:

  • What’s the ideal?
  • Is the data available?
  • Are we already measuring it?
  • What is the goal?
  • What is the impact?

Once the team members have a shared high-level understanding of the process using the SIPOC, and have gathered the data that enables them to measure the gap between the current situation and the ideal, they can create a good problem statement, objective, scope, and timetable.

These together are key components of a Project Charter, the ‘North Star’ of a project that helps keep the project moving forward to successful completion.

Common Pitfalls to Completing Improvement Projects

pitfall

As I’m sure you are aware, to get and stay ahead of the competition, it is all about how to improve further and faster. But sometimes, despite the best intentions, our continuous improvement efforts can get bogged down.

While there can be a number of reasons for delays and the related under-achievement — such as failing to identify root causes — we have identified common pitfalls that every improvement leader should avoid.

Here’s a list of the top three along with some ideas on how you might avoid them:

  1. Pace: The most common cause of delay in achieving results is the pace. Some teams schedule an hour a week to work on the project, so that under the best of circumstances, two months will pass before the project gets one day’s attention. But far more often it will take three or four months to complete one day’s effort on the project because meetings get cancelled, or start late, and then a portion of each meeting is spent going over the status or covering old ground for a member who missed a meeting. And, of course, the current pandemic has complicated meeting schedules and effectiveness. Regardless of reason, when a project progresses this slowly, priorities may change or resources might be reassigned without ever completing the work and gaining the improvements.

    The secret to avoiding this trap is, to the fullest extent possible, employ the Kaizen approach. Kaizen requires planning and data gathering up front and then all the necessary people are pulled off their jobs for one day or several days to completely solve the problem: designing, testing, stabilizing solutions usually in under a week. The Kaizen approach requires good planning on the part of the leaders and facilitator, but makes good use of the entire team’s time while accelerating the benefits of the improvement effort.
  2. Scope: The second most common trap that slows down progress is a poorly designed project scope. The scope may start out too large — i.e., trying to take on all locations, departments, functions, product lines, etc. all at once. When the scope is too large, you have too many aspects of the problem to track down, analyze, and address, and too many people to consult, inform, an persuade. A team’s progress can also be inhibited if too much of the scope falls beyond their sphere of control. For example, if a receiving team wants to address a Purchasing process or a Manufacturing team wants to address an Order Entry process.

    Sometimes a project begins with the intention of being short and sweet, but gradually the scope keeps growing until the project is in danger of crumbling under its own weight.

    Avoid the scope-trap by explicitly raising and resolving as many questions about scope as possible. Define the scope so that improvement results can be realized as quickly as possible. Decide what locations, functions, departments are in scope by identifying the one or two that will provide the biggest impact (you can do this by stratifying the data you used to quantify the opportunity). Decide what types of problems are out of scope. You may decide that systems design issues should be out-of-scope if the organization already has a multi-year waiting list for systems changes. An area that is slated for major change in the near future often should be deemed out-of-scope. Be clear about the expected project deliverable. Sometimes improvements can be implemented, verified, stabilized. In other situations, the project team may be chartered to merely gather, analyze, and report data about the problem.
  3. Poor communication: Sometimes delays are caused by insufficient communication, especially today when many of us are working remotely. When a team leader does not communicate regularly with the sponsor, many delays can crop up: the team leader misses out on useful information that the sponsor has on the topic; a team struggles with obstacles that the sponsor can move out of the way; a team becomes set on a solution that the sponsor feels is untenable or does not understand well enough to give it full support. Many things can go awry when the team and the sponsor are out of touch.

    This pitfall is easy to avoid by discussing these risks up front with the sponsor and agreeing how frequently to communicate about the project. The frequency really depends on the speed of the projects. If you are executing a Kaizen, you should communicate in advance and update the sponsor at the end of every day. If your improvement team is meeting an hour a week, perhaps too little happens to merit a weekly update, but a team leader should not go more than three weeks without updating the sponsor. Agree on the update schedule and put it in your calendars for the expected duration of the project.

Will My Project Succeed?

crystal ball

Every organization has more processes with opportunity to improve than they have organizational capacity and management attention units to execute. That’s why it is so important to identify the best opportunities and to work on the right things.

Over the years we’ve compiled a list of eleven factors that can predict, with a fair degree of accuracy, if a project will be successful. A successful project certainly does not need to score 10’s in all of these, and some of these eleven are more important than others and carry more weight in the prediction:

  1. The potential benefit of the project to the organization is clear, substantial and quantifiable. (10 = very clear, quantifiable, substantial)
  2. The problem to be solved is clearly defined and quantifiable, and the project scope is focused and well-defined. (10 = very clear, focused, and well-defined)
  3. The project has top management’s commitment and support (resources, sponsorship and follow-up); no influential person is actively opposed to the project. (10 = very strong support)
  4. The sponsor and team leader are clear about each one’s role and partner effectively to ensure the success of the project. (10 = very clear)
  5. The team leader and key resources are devoting enough of their time to the project to complete it very quickly. (10= full time)
  6. The team is staffed and led by the right people for the job, and they are determined and capable to quickly achieve results. (10 = very determined and capable)
  7. Meaningful and accurate facts and data about the process are available. (10 = very available)
  8. H. The process to be improved is repeated frequently enough to efficiently study variation in the current process and to and test and measure improvements. Hourly? Monthly? Annually? (10 = very frequently).
  9. The processes to be improved are within the team’s span of control. (10 = under control).
  10. J. The expected time frame for completion of the project or for achieving concrete and measurable milestones. (10 = 4-8 weeks to completion or measurable milestone)
  11. The processes are stable, that is not undergoing very recent or imminent major change (10 = very stable).

Careful consideration of each of these eleven factors will help you focus your capacity on those improvements with the best chance of long term success, moving your organization further faster down that never-ending road of Continuous Improvement.

3 Reasons Continuous Improvement Efforts Fail

Why Projects Fail…

During one of our Partners In Improvement forums it was noted that in approximately 80% of the cases organizations embark on a path of Continuous Improvement, they abandon the effort prematurely.

The reason? No results.

The Partners went on to the discuss “why” so many CI efforts fail to succeed, and agreed that the following three causes are among the most common:

  1. Lack of buy-in from both managers and participants derails many improvement efforts. Management support is required to free up the resources to work on improvement, without which meetings tend to get pushed out and progress slows. The slower the effort moves, the more likely it becomes that priorities will change, or new opportunities or problems arise that decrease available resources further. When projects fail to produce good results, buy-in deteriorates rapidly. Unless serious intervention counters this adverse reinforcing loop, subsequent efforts become less and less likely to succeed.
  2. Lack of data when defining a project is another common reason for failure. Without data the waste is not adequately quantified, thus increasing the likelihood of working on the wrong things and the likelihood that priorities will shift before the project is complete — leading to no results and subsequent lack of buy-in.
  3. Along similar lines, poor decisions about scope can cause stalls and frustration during implementation and can ultimately result in failure to achieve goals. If the project tackles too much at once, progress will be slow; and if the team substitutes opinions for facts/data about the problem and possible solutions in an effort to accelerate pace, they are likely to make a number of wrong turns — once again slowing progress and bringing the effort to an unsuccessful conclusion.

Fortunately there are some straightforward ways to avoid these three common pitfalls, which we will summarize in our next post.