burton - out of the present crisis; rediscovering improvement in the new economy (2012)

Out of the Present Crisis Rediscovering Improvement in the New Economy “Having worked with the author on several successful Lean Six Sigma initiatives, I have a great appreciation for his pragmatic and results-oriented approach. This book is full of the practical advice, experience, and real world examples that I have come to expect and appreciate from Burton’s leadership and improvement expertise. His instructive and provocative analysis of our present circumstances is spot-on, and this book is certain to not only provide for all of us the desperately needed practical foundation for building our own cultures of innovative con- tinuous improvement, but also lls a huge vacuum of continuous improvement thought-leadership that is so greatly lacking in today’s Western World organiza- tional strategy.” Mark Graham Chief Executive Ofcer LOUD Technologies “Five stars to the contemporary version of Deming’s famous 1982 book, ‘Out of the Crisis.’ The author has developed an updated reference guide to improve how organizations improve through a combined strategy of Deming’s back-to-basics, innovation, technology, and adaptive improvement across diverse environments and industries. This book thoroughly addresses the strategic leadership, plan- ning, execution, performance, internalization, and other critical infrastructure factors for sustainable improvement and culture change.” Steven Boeder Director of Operations The Vollrath Company, LLC “This is the rst book that directly addresses the entire subject and issues with true continual improvement. Sure everyone does ‘improvement,’ but the author hits you between the eyes with why you aren’t making breakthrough improve- ments continually. To succeed or even survive in this economy, company lead- ers and executives have to recognize the improvement is not the goal. It’s about making improvement a strong core competency within leadership, people, and culture. The author addresses the leadership, strategic, and cultural barriers of change, and provides practical and inspirational advice about improving how we improve. It’s a must read for anyone interested in getting the big picture and proven path to true turnaround improvement.” K. Bradley Van Brunt, Jr. Vice President, Quality and Business Excellence Endicott Interconnect Technologies “If you are a healthcare administrative executive, physician, or clinician con- sidering taking the Lean Six Sigma journey, reading this book denitely brings clarity of direction. Out of the Present Crisis is lled with new advice about improving hospital operations based on a deep understanding of the present dilemmas facing our healthcare environment. The author’s practical guidance about how to implement major improvement initiatives successfully is the rudder needed to change the course of this colossal industry, preventing it from running aground.” James (Jay) Varrone MBA Director of Materials Norwalk Hospital “This book contains a wealth of common sense and practical advice about improvement backed up by decades of real world experiences about what truly makes a difference in your business. It also provides an instructive and provoca- tive analysis of how globalization, innovation, and technology are all reshaping the urgent need to discover new approaches and sources of improvement in all industries.” Michael Anthony Executive Vice President Cambridge Semantics “Every now and then an author gets it right, hitting the right target at the right time with the repower to actually get the job done. I found this book to be a refreshing, optimistic look at an old, festering, solution-resisting problem, and the author presents a feasible solution, Lean Six Sigma, and continuous improve- ment in general, in a comprehensive and succinct call for action. This book pro- vides an abundance of proven knowledge about how progress and improvement can actually be made, and that is remarkable in our time of rhetoric and para- lyzed decision-making. Burton’s book shows a new path, and it is well worth walking down it to nd good answers. Those are hard to nd today.” Alexis N. Sommers, Ph.D. Professor of Industrial Engineering University of New Haven …‘Out of the Present Crisis: Rediscovering Improvement in the New Economy’ is a perfect title for Burton’s new book. Reading the book was like eating dinner at a ve-star restaurant. After consuming the Preface as my appetizer, I then feasted on the next few chapters. I was blown away with how this book has correctly and succinctly described what I and others have also observed and experienced regarding the state of continuous improvement in the Western World’s business and leadership ranks. The author has created a practical and realistic line of sce- narios, approaches, and deployment methods to help a business stabilize, reestab- lish, and then accelerate improvement across the enterprise. The dessert course of his new book is the author’s next generation of improvement, improving how we improve, and how to avoid the stages of insanity and hyperinsanity through the continuous leadership development process of reckoning, renewal, and enlighten- ment. Like Chinese food for many people, I was hungry for more after about an hour.” Don A. Blake Director of Quality and Site Services North Carolina Business Unit Spirit AeroSystems, Inc. “Having spent a career focusing on process improvement, this book provides a wealth of proven and poignant advice as well as real world examples of what works in helping organizations continually improve all aspects of their business. Continuous improvement is one of the major strategic enablers for any company to achieve sustainable success, and this book helps provide solid, practical guid- ance . . . especially in this challenging economy and beyond.” Eric Lussier, P.E. Vice President, Operational Excellence Handy & Harman Ltd. “Hospitals today have to be as focused on the business of operational improve- ment as on the business of saving lives. With so many resources devoted to protecting the bottom line, an organizationwide, systematic approach to improve- ment is imperative. This book outlines an adaptable, executive-led approach to imbedding Lean Six Sigma throughout all organizations for sustainable, silo-free improvement.” LeeMichael McLean Six Sigma Green Belt Director, Business Development and Networks VHA New England “In this timely guidebook for all industries, Burton emphatically reminds us that the need for improvement never goes away, and he spotlights the importance of enlightened leadership and behavioral alignment in achieving real cultural change. Read it, and benet from a profusion of real world advice.” Joseph F. Geary Executive Vice President Sciessent “Having spent years in manufacturing I understand all too well the transforma- tions that need to take place in America. The author’s discussions about the higher moral purpose of improvement make one realize that everyone has a large stake in improving our organizations, the quality of society in general, America’s competitive global position, and the quality of life for future generations.” Wayne Pearson Supply Chain Manager GT Solar, Inc. “Full of practical advice, experiences, and real world examples, this book presents a great understanding of sustainable business improvement. It also provides an enlightening analysis of how globalization, technology, and market forces across different industries are driving the need to adapt a different focus and approach to strategic improvement. The Improvement Excellence TM framework and other direc- tions presented in the book provide a comprehensive roadmap for responding to those trends and ensuring the ongoing delivery of stakeholder value.” K. Joanne Kalp Vice President, Product Management Draeger Monitoring Systems and IT Solutions “Mr. Burton’s latest book updates Deming’s famous 1982 book, Out of the Crisis, for the 21st century business leader by integrating Lean Six Sigma innovation, enabling technologies, and a healthy dose of common sense with Deming’s back- to-basics approach. Those readers seeking to rediscover improvement as an inte- gral part of a successful business strategy will nd that Out of the Present Crisis: Rediscovering Improvement in the New Economy provides an easy-to-follow roadmap that ensures their improvement efforts translate into operational and strategic achievement.” Hermann Miskelly Vice President of Quality Matheson Tri-Gas, Inc. “I am inspired by Terry’s passion and unswerving commitment to advancing the art and science of sustainable performance improvement. His new book convinc- ingly describes how Lean Six Sigma methods can achieve breakthrough process and cultural transformations in healthcare delivery. Terry ‘gets it right’ regard- ing the importance of strategically aligning improvement work, the critical role of hospital leadership in improvement, and the all-important engagement of phy- sicians and healthcare employees.” Dave Gronewold, MS, MBA Certied Master Black Belt Global Director, Customer Excellence Covidien “The competitive landscape has changed signicantly within the medical device industry. Emerging markets and technologies have brought increased pricing pressures on Hospitals, OEMs, and Healthcare providers. The author provides a practical and concise approach in utilizing Lean Six Sigma tools and meth- odologies in transforming business leaders to be more competitive in the global healthcare industry marketplace.” David Delmonico Director, Global Sourcing Smiths Medical, Inc. “Full of practical advice, experiences, and real world examples, this book pres- ents a great understanding of business improvement. While grounded in experi- ence the advice is geared to the dynamics of today’s economy, and includes a valuable discussion of the enabling capability of new technologies on strategic improvement initiatives.” Tim Andreae Senior Vice President, Global Marketing MCA Solutions “Spreading the skills necessary to drive strategic improvement will be the most important component of a new, more value-oriented healthcare system. This book gives healthcare leaders the insight into this most critical role.” Robert G. Norton President Partners–North Shore Medical Center “The rapid deployment and rapid results approaches of improvement resonate well with executives faced with the challenges of global uncertainty and not interested in another corporate train-the-masses program. This is exactly the approach SAP is taking with Rapid Deployment Solutions packages that contain precongured applications and productized services for accelerated time to value.” Martin Mrugal Senior Vice President Manufacturing Industries & Solutions SAP AG “The role of the CIO in organizations today is a critical, complex, and dynamic role. The chapter on the role of technology provides a signicant perspective on how companies can really leverage the role and overall IT function in creating breakthroughs in improvement and value that will in turn provide a strategic dif- ferentiation in the marketplace. This book is a must read for all levels within an organization.” Peter Girgis Vice President, Information Technology Visio, Inc. “Having worked with the author on many Lean Six Sigma projects within our business, his passion for continuous improvement is infectious and ows through- out this book, becoming quite hard hitting and direct at times, and reinforcing the view that a continuous improvement culture should not be considered a mere ‘option.’ As business leaders, our world is changing more than ever before and we are facing tougher challenges. This book provides an up-to-date set of tools to help us become better leaders, improve the way we improve our businesses, and to ultimately not just survive—but excel and win.” Andy Trott Vice President and General Manager Mixing, Microphones and Headset (MM&H) SBU Harman International Industries, Inc. “Terry’s passion shines through in his emphasis on the higher moral purpose of improvement. It creates a sense of personal ownership in improving organiza- tions, the broader quality of society in general, America’s role as a global leader, and the quality of life for our future generations.” Jeff Sams Vice President, Quality & Lean Systems Sequa Automotive Group “This book will serve as a map during the adventurous quest for ‘best in class.’ I couldn’t recommend a more effective partner than the author—and this book— as a supremely effective guide for the successful ‘change warrior’ to compete in this 21st century.” Michael L. Goldman, CPC President & Founder, Strategic Associates, Inc. Past President and Lifetime Honorary Member, The Pinnacle Society “This book provides the inspiration and direction for rediscovering improve- ment while integrating technology as a major enabler to strategic and operating success. Follow the step-by-step advice in this book and your organization will put the word continuous back into continuous improvement.” Phil Pegg Vice President, Business Management Ofce North America Marketing SAP “This book provides a simplied process of implementing continuous improve- ment for real, which is much needed in this economy. The author demonstrates the importance of laser targeting the larger global improvement opportunities, and how rapid improvement is essential to building a nimble culture and staying on track with continuous improvement.” Jim Hardiman Vice President, Engineering The AVC Group “I enjoyed this book . . it provides a fresh look at improvement in the new econ- omy, and thoroughly addresses the leadership, strategy, sustainable infrastruc- ture, and other critical success factors that actually create the cultural standard of excellence, and the solid foundation for successful continuous improvement. An outstanding reference on improvement!” Stephen A. McCusker Sr. Director, Global Supply Chain & Consumables Engineering Gen-Probe, Inc. “The author provides a thoughtful and reasonable approach to applying improve- ment techniques to federal, state, and local governments, and other not-for-prot organizations. In addition to its social and political components, government also possesses economic and process components that are too often overlooked but that must be improved by applying sound business techniques.” Erik M. Filipiak, PhD Theodore J. Eismeier Fellow in Political Science The Alexander Hamilton Institute “Improving business processes and practices is no longer just for the associates on the manufacturing oor. Terry Burton’s new book, Out of the Present Crisis: Rediscovering Improvement in the New Economy, provides a compelling trea- sure trove of actionable ideas for and real-life examples of applying practical, proven approaches to improve all kinds of organizations such as manufacturing, hospitals, service corporations, and government, and corporate functions not always included in improvement initiatives such as strategic planning, sales and marketing, engineering, nancial management, and other professional, knowl- edge-based transactional processes. Not only does his book make a compelling case for becoming expert at improvement itself (his concept of Improvement Excellence™), but it provides numerous examples and a multimillion-dollar list of ideas about how organizations can improve competitiveness to overcome chal- lenges and succeed in the global economy.” Sherry R. Gordon President Value Chain Group LLC “Terry’s pragmatic approach has a way of turning the complicated into the sim- ple. The guidance offered throughout his book has helped us to lower our func- tional costs, improve quality, and continue to keep us at the front of the pack as we speed along the world class track. I am condent that any organization that vigorously applies the principles in this book will see dramatic results in their bottom line, and a renewed culture of continuous improvement.” Rob Urry VP and General Manager Signal Processing and Amplier Business Units Chief Technical Leader Harman Pro Division Harman International Industries “A truly remarkable work . . . I endorse the idea of Improvement Excellence TM – The last thing our organization and others need is another fad, train-the-masses improvement program. The future is about organizations adapting to constant challenges and improving how they improve.” Jim Foster Vice President of Sales North America Philips Consumer Lifestyle “The author presents the next generation of improvement based on the fusion of technology and process innovation to ‘improve the way we improve.’ It is refresh- ing to nally nd a practical guide for rediscovering improvement success!” Jennifer Ellis Technology, Operations and Information Management Faculty Babson College [...]... goes way beyond improving the profit-and-loss (P&L) statement America finds itself in another historical pickle of losing ground on the world stage, and the quality of life as we have known it is at stake in the new economy The U.S manufacturing base has been exported to China and other third-world countries in the interest of short-term profits A closer analysis reveals that many of these decisions are... provides the dynamics of culture change, the subprocesses of internalization, and metrics for measuring the ongoing success of strategic and continuous improvement initiatives INTEGRATING TECHNOLOGY AND IMPROVEMENT Chapter 8 discusses the key role of technology in the next generation of strategic improvement In the new economy, technology is enabling the warp speed transformation of organizations into... opportunities in this new economy if they lose xix xx Preface interest in improvement The need for improvement never goes away, and the need for improvement today is now more urgent than any other time in history Out of the Present Crisis: Rediscovering Improvement in the New Economy is a contemporary reference guide for all organizations interested in implementing Lean Six Sigma and other strategic improvement. .. exhaustive paintball of bandwagon improvement initiatives (Figure 1.1) in their careers Within each of these improvement initiatives is their own vocabulary of acronyms, buzzwords, tools, and methodologies that has confused the business improvement playing field even more Further, the experts promoted their own wares while discrediting the offerings of other competitors They attempted to convince management... opportunities for improvement in every organization than ever before in history Waste is not a product of doing something wrong; it is the result of a changing world and rising expectations The only thing wrong with waste is allowing it to grow while choosing to do nothing about it The risks of doing nothing are much higher than taking action, and doing nothing has far reaching consequences on others in the organization... fast lane out of our slow economic recovery—and the fast lane of success in good times, bad times, and everything else between these two extremes CONTINUOUS IMPROVEMENT: A BRIEF HISTORY FOR THE UNINITIATED Lean Six Sigma and most other improvement initiatives have their roots in the formal discipline of industrial and systems engineering Within the typical industrial and systems engineering curriculum... intent in the book was not to promote Lean Six Sigma by itself as the cure-all and end-all for every challenge in every organization The discussions about leadership, improvement strategy, and the formal sustaining infrastructure provide new insights about rapid, technology-enabled improvement in the new economy I provide specific examples and the applicability of strategic improvement across all industries... Deming in the early 1900s Suddenly, there was a high degree of interest in improvement, but in retrospect a poor track record of implementing and sustaining continuous improvement A vivid memory from this time was executives making comments similar to, “If you think things are bad now, wait until the great Shenzhou (China —Land of the Divine) awakens.” Their predictions were right on the mark! Back then,... 1980s At the beginning of each of these life cycles, the early successes have a hundred fathers, but when improvement fails, it becomes an orphan With each of these cycles, the word continuous keeps falling out of continuous improvement Today, many organizations could add more to their financial statements through successful continuous improvement initiatives than they will add via their wavering and... based on the author’s research findings This plan provides a “beyond -the- box” view of government and is intended to be a starting point for reinventing government xxvi Preface THE LARGER MORAL PURPOSE OF IMPROVEMENT The Epilogue ties everything from the previous chapters together The book provides all of the proven best practices for success with Lean Six Sigma and other strategic improvement initiatives . Ph.D. Professor of Industrial Engineering University of New Haven … Out of the Present Crisis: Rediscovering Improvement in the New Economy is a perfect title for Burton s new book. Reading the. Institute “Improving business processes and practices is no longer just for the associates on the manufacturing oor. Terry Burton s new book, Out of the Present Crisis: Rediscovering Improvement in the New. strategy will nd that Out of the Present Crisis: Rediscovering Improvement in the New Economy provides an easy-to-follow roadmap that ensures their improvement efforts translate into operational