Culture tends to spin around the core work process of an organization. It may either enable or hinder the work processes that we spend so much time trying simplify. Lean implementers generally agree that the most difficult part of achieving a truly lean organization is changing the culture.
A Framework for Lean Culture
A good place to start is with a simple framework of what comprises the culture of any organization. Cultures are whole systems, like the human body or the economy. They are complex, interdependent systems and should be redesigned with an understanding of how the different components interact with one another.
Every culture must adapt to the external environment: changes in technology, economy, climate, social trends, resource availability and even the political environment. Having spent a number of years working with oil exploration and production companies, I am well aware how little control they have over the economy, the climate, or political events, which have huge impacts on their business. They cant control them, but they must sense and respond to these changes.
At the heart of any culture are the values, vision or beliefs of the culture. The cultures of the United States, Middle Eastern countries, or any corporation are built on a value system. It is the job of leaders to manage this cultural core and align behavior and other factors to the core beliefs. Symbols and stories often do the most to pass on and preserve the values of a culture.
The factors that are most controllable and which often inhibit lean implementation are the Structure, Systems, Skills, and Style. If one examines great companies like Toyota, Honda, Intel and others, you will find distinct differences in the Ss of the culture that are essential to their ability to sustain high performance and to adapt to changes in the environment.
Lets take a look at how organization structure may inhibit or enhance improvement efforts.
The Structure of Change Efforts
Change efforts are often structured to their own detriment. Continuous improvement efforts often follow a model that is very similar to the Quality Circle idea (repackaged, of course) of forming teams to address specific problems. These teams use good problem-solving methods, make a recommendation and then dissolve. This can and often does result in useful improvements.
Management is often attracted to this model because it does not require them to make fundamental changes in the way they do their own work or to address the real systems and structure that drive the culture. Lets face it -- initiating a problem-solving team is easy for management. It sells well.
There is, however, a serious problem with this approach. If a temporary team is formed to find and eliminate waste, one might ask the question, Who created that waste? Did the problem-solving team create the waste? Do they have the power to make truly significant changes? Will they be the ones to follow through on the implementation of solutions, evaluate and learn from those solutions?
Generally, not.
Power resides in the line management teams. Invariably, it was the line management team who made decisions that resulted in the creation of waste. In fact, the management teams own behavior is often a major source of waste in the organization. Their behavior and poor decisions are often the root cause. Why, then, are the line management teams not the ones who are analyzing the problem, using good problem-solving tools and making decisions to solve the problems?
The answer is simple: It is much easier for management to appoint a temporary team, with no formal authority, to study and make a recommendation, than it is to look in the mirror and address their own behavior and solve their own problems.
Consultants are often guilty of being enablers of the problem. It is easier to say to management, Lets form a temporary team, throw some money at it, well take care of it, and you can continue to function as you do, unscathed by the improvement effort.
That may be an exaggeration, but not by much.
If you want to create serious and sustained change in the culture of the organization, you MUST address the functioning of the line management teams. This is the core management structure, this is where power resides. This is where the big money decisions get made.
