Saturday, September 19, 2009

"The Effective Utilization of People"

Today's Topic: Using Lean Management Principles to Increase Worker Productivity.
Remarks drawn from a Conference given at Utah State University Partners in Business Seminar by Norman Bodek, President, PCS Press.

Partners in Business Report

Norman Bodek, President of the PCS Press, presented training on a subject he called “The Effective Utilization of People.” The utilization of people can be presented in many ways, depending on a firms’ given industry. However, regardless of industry, corporations in the United States need to implement strategies to increase the quality of work life. Increasing the quality of work life for employees is directly related to the principles of lean management and “quick and easy kaizen”.
In order to raise the quality of work life a company must establish a clear vision of the “ideal”. Most corporations today understand the underlying message of lean management. They know that by reducing any of the “seven wastes” described in kaizen, they are able to increase efficiency and maximize employee output. Nevertheless, corporations are woefully lacking in areas that actually raise the quality of work life for employees. Mr. Bodek asked questions pertaining to this issue. “Why don’t we love Mondays?” “What is missing?” The lack of inspiration in this area is directly linked to an unclear vision of what the “ideal” is in your given industry.
Each corporation must have an ideal and strive to achieve it. There were several suggestions given that were very pertinent to succeeding in this area. First, “Be the best in the world at whatever you do.” Second, “I have a goal…this goal is that everyone improves .1% everyday in their assigned tasks.” When corporations, and more importantly the people in them, are dedicated to being the best in the world at whatever they do; a culture of innovation will be created and productivity will increase. If everyone in a corporation were to improve .1% everyday, productivity can be doubled in three years. With doubled productivity, corporations would no longer need to outsource. This would result in shorter supply chains and an increase in profits. Therefore, such exemplary corporate goals can greatly benefit corporations monetarily and create a culture filled with quality of life. However, most people have a wall that prevents them from trying new things. In order to increase the quality of work life, people must be allowed to work in an environment that pushes them to overcome their own resistance to change.
One possible way to break through these “walls” is to allow employees to actively participate in the process of innovation and implementation. This process is called “Quick and Easy Kaizen”. Bodek explained this process very adeptly by asking the question, “If I (as a worker) am waiting for management to change my life, how long am I going to be waiting?” The answer is a long time. Therefore, corporations must get employees to change their own work environment. Empowering employees to provide autonomous improvement suggestions is one of the most effective ways to increase quality of life. For example, during the previous year Autoliv Inc. received 64 suggestions related to increasing efficiency from each and every one of its’ workers. Autoliv has a goal to receive 96 ideas each from employees in the coming year. Each of these ideas has saved money for the corporation, but they have also done something more. These ideas have allowed employees to feel that their creativity and ideas are worthwhile; moreover, employees feel pride in their accomplishments.
In order to maximize their potential, corporations must: improve the quality of work life, have a clear vision of the ideal, ask “what can we do to improve?”, and allow employees to change their own work environment. By so doing, Monday will no longer be the worst day of the week. People will go to work and perform their tasks efficiently, innovation throughout the corporation will be increased, and productivity will be maximized. Controlling the factors of production can and will provide great benefits for companies with enough courage to break down their walls and allow their people to shine.

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