INDEX
Abu Ghraib prison, 27
Accountability of managers, 39, 43–45, 46
Acquarulo, Larry, 104
Air France, 43
Alignment of organization for ideas, 17–18, 47–88
in budgeting and resources, 70–76
correction of problems in, 120–121, 133
in evaluation and reward systems, 86–87, 88
in funding and purchasing process, 72–74, 83, 88
in implementation of new idea system, 120–121
of management systems, 69–88
in policies and rules, 18, 76–83, 88
in processes and procedures, 84–86, 88
in strategy, structure, and goals, 18, 47–67
in support functions, 74–76, 88
in time and work schedules, 71–72, 88
vertical, 51–57
in Slovakia, 131
Alpha Natural Resources, 111–113
Ariens, Inc., 170
Assessment. See Evaluation
Autoliv, 131
The Balanced Scorecard: Translating Strategy into Action (Kaplan and Norton), 52
Barriers to front-line ideas, 12–14
managers as, 17–18, 24–29, 36, 90
tight controls as, 47–49
Benne, Kenneth, 34
“Big Hairy Audacious Goals,” 62
Big Y World Class Market, 35, 105, 135–136
BitDefender antivirus program, 71
Blackburn, Wilf, 33–34, 61–62, 75, 160
Boardman, John, 40
Bonus system
current profits as basis of, 70
horizontal linkages in, 63
in pay-for-performance, 60–61
Budgeting of resources, 49, 70–76
of support functions, 74–76, 88
Built to Last: Successful Habits of Visionary Companies (Collins and Porras), 62
Bumrungrad Hospital, 142
Capital expenditures
escalation process required for, 104
facilitator role in, 100
in funding of ideas. See Funding of ideas
vertical alignment of goals on, 53
Certification
in quality management, ISO 9001 standard in, 84, 85
Changing management mindsets and behaviors, 33–45
accountability and transparency in, 34, 43–45
engagement with front line workers in, 39–43
rational approach to, 34–36
Chin, Robert, 34
Clarion-Stockholm hotel, 3–6, 4t–5t, 144–149, 145t–147t, 153–154
Coaching
on facilitation skills, 102
on front-line ideas, 37
in pilot tests, 123–124, 126, 128
Coca-Cola Stockholm, 7–9, 8f, 9f
Collaborative Care approach at ThedaCare, 171
Command-and-control approach, 16
Commitment of leadership to idea system, 109–110, 111–113, 132
assessment of, 116
Completed staff work, 104
Continuous improvement of idea system, 131–132, 133
Cost allocation system, job code for improvement time in, 72
Cost-benefit analysis, role in decision making, 42–43, 46, 128–129
as layoff threat, 56–57
unintended consequences of policies on, 76–77
vertical alignment of goals on, 54–55, 56–57
Crane & Co., 42
Culture, organizational
in kaizen teian systems, 92–93
leadership commitment to idea system and, 112
value of front-line ideas in, 49
horizontal alignment of goals on, 57–58
idea mining on, 142–149
internal and external customers in, 63
organizational problem sensitivity in, 149–154, 155
policies affecting, 78
vertical alignment of goals on, 53
D’Amour, Donald, 35
Decision-making
limitations of cost-benefit analysis in, 42–43, 46, 128–129
Delivery performance of Graniterock, 150, 151–152
Design process for new idea system, 119–120, 124, 125, 132
Diffusion of Innovations (Rogers), 174
Domino’s Pizza, 152
Downcycling, 141
Drucker, Peter, 89
Dubal (Dubai Aluminum), 40
Dupuit, Jean, 43
Echevarria, Jesus, 30
Edelston, Martin, 89–90
Effective idea processes, 18–19, 89–108
80/20 principle of improvement, 9–11
Electronic flat-screen displays as idea boards, 99
Escalation process, 92, 103–105, 108
for idea boards, 97
in idea meetings, 95
pilot test of, 127–128
replication of ideas in, 105
staff work required in, 104
Evaluation
current profits as basis of, 70
of organization from idea management perspective, 115–118, 132
of pilot test, 125–126, 127, 133
and rewards aligned for ideas, 86–87, 88
by subordinates, 32–33
Executive Leadership Team (ELT) in Health New England, 113–115
Facilitators in idea processes, 94, 95, 99–102, 173
Fast Company magazine, 163
Flat-screen displays as idea boards, 99
Ford, Henry, 63
Foster Corporation, 104
Front-line ideas, 1–21
accountability of managers for, 39, 43–45, 46
alignment of organization for, 17–18, 47–88. See also Alignment of organization for ideas
at Brasilata, 2, 21, 75, 91–92
changing management mindsets and behaviors for, 33–45
at Clarion-Stockholm hotel, 3–6, 144–149, 153–154
at Coca-Cola Stockholm, 7–9
effective processes for, 18–19, 89–108
80/20 principle of improvement in, 9–11
escalation process in, 103–105. See also Escalation process
facilitation of, 94, 95, 99–102, 173
at Hickory Chair, 11–14, 15, 16, 30, 32
implementation of high-performing system for, 109–133
and innovations, 20–21, 157–176
in kaizen teian process, 91–93
managers as barrier to, 17–18, 24–29, 36, 90
organizational strategy, structure, and goals for, 18, 47–67
problem sensitivity required for, 20, 149–154, 155
sources of new and better ideas, 135–155
team-based processes in, 93–99. See also Team-based processes
Fuji Heavy Industries, 137
Fujimura, Key, 42
Funding of ideas, 72–74, 83, 88, 92
during pilot tests, 126, 128–129
escalation process required for, 104
Galinsky, Adam, 27
Gilbreth, Frank, 84
Goals, organizational, 18, 51–64
“Big Hairy Audacious Goals,” 62
horizontal alignment and linkages in, 57–64, 66
in idea board process, 97–98
key performance indicators and, 52
vertical alignment of, 51–57
Good to Great (Collins), 32, 38–39
Gruenfeld, Deborah, 27
Guided reading course for managers, 38–39, 178n
Hayek, Friedrich, 16
HCSS Construction Software, 166–169
Health New England (HNE), 113–115
HeavyBid program of HCSS, 166–169
Hedgehog concept, 39
Hickory Chair, 11–14, 15, 16, 30, 32
Hiring process, characteristics considered in, 30–33, 38, 39, 46
Holmes, Oliver Wendell, 119
Horizontal alignment and linkages, 51, 57–64, 66
Humility of managers, 30–32, 46
Idea activators, 20, 137–142, 154
Idea boards, 93, 94, 96f, 96–99, 108, 171
facilitators in, 94, 95, 99–102
Ideas Are Free (Robinson & Schroeder), 49, 86, 90, 173
Implementation of high-performing idea system, 109–133
assessment of organization in, 115–118, 132
commitment of leadership to, 109–110, 111–113, 116, 132
continuous improvement in, 131–132, 133
correction of misalignments in, 120–121, 133
design process in, 119–120, 132
integration into existing practices in, 117–118, 132
minimal intervention in, 117–118
organization-wide roll out in, 129–131, 133
preparation for launch in, 127–129, 133
summary of steps in, 110
training in, 109, 112, 113–115, 121–122, 130–131, 132
Inditex, 30–31
assessment of, 117
diffusion of, 174
at HCSS, 166–169
at Subaru Indiana Automotive, 158–159
at Task Force Tips, 160–163
at ThedaCare, 169–173
time required for, 70
at Whirlpool Corporation, 163–165
Integration of new idea system into existing practices, 117–118, 132
Internal customers, 63
Interviews in organizational assessment, 115–118
ISO 9001 certification, 84, 85
J. P. Morgan, 24
Jidoka, 131
Juran, Joseph, 63
Kaizen events or blitzes, 172
Kaizen teian process, 91–93, 108, 173
Kaplan, Robert, 52
Key performance indicators (KPIs), 52
“Kill Stupid Rules,” 18, 77–80
Knowledge
aggregate, 16
of particular circumstances of time and place, 16
of processes and procedures, 84–86
Leadership, 23–46
alignment of strategies and goals, 49, 51–57, 67
as barrier to front-line ideas, 24–29, 36
of Clarion-Stockholm, 6
commitment to new idea system, 109–110, 111–113, 116, 132
in escalation process, 103–105
in Executive Leadership Team (ELT) of Health New England, 113–115
at Hickory Chair, 12–14
hiring and promotion of, 30–33
of level 5 leaders, 32
360-degree evaluation of, 29
in escalation process, 105
in jidoka concept, 131
in Six Sigma program, 10
Leape, Lucian, 169
Level 5 leaders, 32
Life insurance policies of Allianz China, 159–160
Listening
problem-finding in, 148
Luthans, Fred, 23
Magee, Joe, 27
Management systems, 69–88
Managers, 23–46
accountability of, 39, 43–45, 46
aggregate knowledge of, 16
as barrier to front-line ideas, 17–18, 24–29, 36, 90
changing mindsets and behaviors of, 33–45
command-and-control approach of, 16
engagement with front line workers, 39–43, 46, 172
in Executive Leadership Team of Health New England, 113–115
at Hickory Chair, 12–14
hiring and promotion of, 23, 30–33, 38, 39, 46
pay and perk benefits of, compared to workers, 24–26
in pilot test of new idea system, 124–125
reeducation and training of, 34, 36–39
in rollout of idea system, 130–131
subordinate evaluation of, 32–33
successful and effective, comparison of, 23
in suggestion systems, 90
superiority feelings of, 24–26
Massey Energy Company, 111–113
McMillan, Stewart, 59–60, 161–163
Minimal intervention approach to implementation of idea system, 117–118
Misalignment of organization for ideas. See Alignment of organization for ideas
Monitor product of Task Force Tips, 160–162
Motivation
and alignment of evaluation and reward systems, 86
policies affecting, 80–81
Norton, David, 52
Nucor Steel, 63
Objectification in power, 27
Observation, problem-finding in, 148–149
Ohba, Hajime, 13–14
Opportunities for improvement (OFIs), 93
facilitation of, 100
in idea board process, 96, 97, 98, 99
in idea meeting process, 95, 108
Organizational alignment for ideas. See Alignment of organization for ideas
Organization-wide rollout of idea system, 129–131, 133
Ortega, Amancio, 30–32, 65, 66
gap between workers and managers in, 24–26
horizontal linkages in, 63
in pay-for-performance system, 60–61
Perk benefits of managers, compared to workers, 24–26
Pilot test of new idea system, 121–127, 133
organization of, 124–125
performance review and changes made during, 125–126, 127
Poka-yoke principles, 142
Policies and rules, 49
alignment for ideas, 18, 76–83, 88
beneficial for ideas, 83
on inventory, 15–16, 53, 58–60
“Kill Stupid Rules” program, 18, 77–80
matrix for analysis of, 81–82, 82t
on purchasing process, 72–74
unintended consequences of, 18, 76–83
on work schedule, 80–82
Policy Analysis Matrix, 81–82, 82t
Porras, Jerry, 62
Porter, Theodore, 42
Power
and accountability for idea performance, 34, 43–45
and behavior of leadership, 26–29, 39–40, 45
Problems
exploration of alternative approaches to, 101–102, 108
facilitator role in, 101–102
finding or recognition of, 136–149, 154
idea activators for, 137–142
idea board process for, 98–99
idea mining of, 142–149
in jidoka concept, 131
as opportunities for improvement, 93, 101
sensitivity to, 20, 149–154, 155
team-based processes for solving, 93, 94–95
ThedaCare approach to, 171–172
Processes and procedures
alignment for ideas, 84–86, 88
existing, integration of new idea system into, 117–118, 132
in pilot tests, 126
funding of ideas for, 72–74
manager engagement with front-line workers affecting, 42
tight controls affecting, 48
time-saving ideas for, 71
vertical alignment of goals on, 53, 54, 56–57
Promotions, 23, 30–33, 38, 39, 46
Purchasing process for ideas, 72–74
pilot tests of, 126
Quality management
alignment of processes and procedures in, 84–85
ISO 9001 certification in, 84, 85
Rapid improvement events at ThedaCare, 172
Rational approach to change, 34–36
Reading course for managers on front-line ideas, 38–39, 178n
Realignment of organization for ideas. See Alignment of organization for ideas
Reardon, Jay, 11–14, 16, 30, 32
Recycling at Subaru Indiana Automotive, 62, 137–141, 158–159
Reeducation of managers, 34, 36–39
Rejection of ideas
facilitator role in, 101
in suggestion systems, 107
in escalation of idea, 103–105
of support functions, 74–76, 88
Rewards in organization, 49
in pay-for-performance, 60–61
Riverside County “bathroom tissue gate,” 25–26
Rogers, Everett, 174
Rollout of idea system, organization-wide, 129–131, 133
Rules. See Policies and rules
Running Right idea system, 111, 112
Rydin, Michael, 166
Sensitivity to problems, 20, 149–154, 155
Shingo, Shigeo, 64
Short-pay policy of Graniterock, 149–153, 155
Siemens VDO, 44
Six Sigma, 103, 105, 118, 177n
at Coca-Cola Stockholm, 7, 8, 9
at U. S. Navy base, 10
Sloan Management Review, 173
Snyder, Nancy Tennant, 164
Softwin, 71
Springfield Technical Community College, 93–95, 123
Staff work, completed, 104
Stanford Prison Experiment, 26–27
Stevie awards, 33
Straley, Peter, 114
Strategy, organizational, 18, 49, 51–64
Structure, organizational, 49, 51–67
horizontal alignment and linkages in, 51, 57–64
vertical alignment in, 51–57
Subaru Indiana Automotive, 62, 137–142, 158–159
Suggestion systems, 90
compared to kaizen teian process, 91, 92
Sumitomo Electric, 45
Super Fit life insurance policy, 159–160
Superiority feelings of managers, 24–26
Support functions
alignment for ideas, 74–76, 88
assessment of, 116
at Brasilata, 92
in escalation process, 104
pilot tests of, 129
Systems and procedures, organizational, 49
Take Family Traveling program of Task Force Tips, 163
Tarde, Gabriel, 174
Task Force Tips (TFT), 59–60, 160–163
Monitor product of, 160–162
Take Family Traveling program of, 163
Taylor, Frederick, 84
Team-based processes, 93–99
in design of idea system, 119–120
facilitation of, 99–103
in implementation of idea system, 109–110, 113–115
360-degree evaluation system, 29, 33
Time needed in idea process, 70, 71–72, 88
at Brasilata, 92
supervisor training on, 114
Top-directed and bottom-driven approach, 16, 50
Top-directed and top-driven approach, 16, 48
Toussaint, John, 41–42, 170, 171
Training
and certification on idea management, 37, 125
on facilitation skills, 102
guided reading course in, 38–39, 178n
idea activators in, 137–142, 154
in implementation of idea system, 109, 112, 113–115, 130–131, 132
in organization-wide rollout of idea system, 130–131
in pilot test of new idea system, 121–122, 123–124, 125, 126
and reeducation of managers, 34, 36–39
Transparency, accountability of managers in, 43–44
Trust
of employees, implementation of ideas affecting, 103
of managers in employees, in suggestion systems, 90
Trust in Numbers (Porter), 42
U.S. Army, 360-degree evaluation system in, 29, 33
U.S. Navy, 10
Value of idea system shown in pilot test, 123
Value stream mapping, 63–64, 171
Vega de la Falla, Jesus, 31–32
Vertical alignment, 51–57
Wall Street Journal, 166
Waste management at Subaru Indiana Automotive, 62, 137–141, 138f, 158–159
Welch, Jack, 177n
Whirlpool Corporation, 163–165
Whitwam, David, 164
Work environment, 4
manager engagement with front-line workers affecting, 42
processes and procedures in, 84–86, 88
support functions in, 74–76
time for idea process in, 71–72, 88
unintended consequences of policies on, 80–82
Zero landfill goal of Subaru Indiana Automotive, 62, 137–141, 158–159
Zimbardo, Philip, 26–27