Wisdom

I thought of sharing the questions I ask myself for my self-discovery to continuously become wise and gain wisdom on my path to enlightenment.

In almost all our relationships, we normally perceive just what is said and very rarely take time to dwell on what the big picture could be or what the individual’s drivers could be and what this individual is really trying to communicate. We then respond almost instantaneously as has already been said by many experts, mainly on to what is said. Doing so we continue our conversation and end either with an agreement, a disagreement, a good feeling, a bad feeling or in the worst case never to talk again.

Each one of us are unique and have our own ways of doing and getting things done. Just respecting this uniqueness in each one of us made me become more inquisitive and motivated me in trying to understand the uniqueness of the other person. I not only completed the tasks on hand successfully but also learnt new ways of doing the things.

The ability to respect the uniqueness is naturally easy with individuals who are apolitical and are nice by heart. With others sustained consistency and adherence to moral values helps me with my ability, though it is quite difficult, I must say.

When I started asking myself what the big picture and drivers could be to understand the uniqueness and only then responded, not only did the conversation release enormous energy but also helped me become wiser.

I wish you all the very best is your quest of becoming an exceptional leader.

Consultancoaching

Personally I developed clarity on my mission of “Creating world class companies” and my vision to “Create more than 100 exceptional leaders”. Learning a bit about the functioning of our brain, mainly by reading books on neuroscience, I conceptualized the path of my mission to realize my vision. Consultancoaching is what I evolved combining the necessary expertise for consultancy and necessary ability to catalyze thinking for coaching.

I have depicted the various methods of Learning and Development in the following link to explain what Consultancoaching is all about.

L&D Methods 

The following link depicts the process of Consultancoaching.

Consultancoaching Process 

The first phase of Self-Assessment is described in the following link.

Self-Assessment Steps

I would be more than pleased to consultancoach towards your organization becoming world class and thus eagerly look forward to be part of the journey to increase the share of manufacturing in our GDP from 16% to 25% and to create additional 100 Million Jobs by 2022.

The following link takes you to the self-assessment checklist that you may use.

Self-Assessment Checklist

Organisational Health Check - Excellence Rhythms for 2012

In order to maintain our own health we perform rhythmic tasks for both our mind and body. I believe that the health of any organization can also be maintained and continuously improved by performing certain tasks in a rhythmic manner. The following link takes you to such a standard tasks calendar for 2012.

Excellence Rhythms for 2012

Wish you all the very best in your quest to leave behind a legacy.

Coansulting and Coaching

I was really surprised to realise that the intended benefits from a good ERP system have mainly been obtained in the financial modules like accounting, finance, costing, etc. especially in the traditional automotive manufacturing industries through various versions of the ERP over the last two decades starting with the conventional MRP and transitioning to ERP through the MRP II.

As I wondered why, it struck to me that this was mainly due to an “Expert” suggesting and advising the usage of best practices and business processes from the perspective of the “Expert”. In almost all the cases the “User” who was as intelligent as the “Expert” and found ways of working with the ERP by using brilliant innovative and at time disruptive approaches to serve the customer.

Seeing this from a scientific perspective it is obvious that the “Expert” and the “User” both equally intelligent had and continue to have different brains with each looking at the world in a unique perspective and evolving solutions that were the best from their perspective.

They why can’t we make all “Users” into “Experts”?

Yes! In my belief it is possible once we understand the purpose of consulting and coaching.

Consulting is the process where an “Expert” (Consultant) tells and shows the “User” what to do and how to do from the perspective of the “Expert”. Consulting mainly delivers tangible results.

Coaching is the process where the “Expert” (Coach) makes the “User” identify what to do and how to do from the perspective of the “User”. Coaching mainly transforms people by improving thinking.

I realized that for introducing ERP and many other ITES mostly consulting method is adapted resulting in the entire supply chain delivering numbers through brilliant innovative and at time disruptive approaches.

Maybe an “Expert” who is both a coach and a consultant would be an ideal situation to generate both the results and thinking processes to create passion to excel in every individual of the organization by choosing IT as a support in to their exceptional individual skills. Would it then not result in ever “User” becoming an “Expert?

Of course, this is my unique thinking and my perspective. I really welcome you to reflect and get back to me on your further insights.

Executive Coaching

The main emphasis in Executive Coaching is to catalyse the self discovery of the approaches and strategies that take an individual to a goal through empathetic listening and asking the right questions. Getting coached from a person with the domain knowledge or experience on the one hand ensures that the relevant questions are asked, so that the self-discovery becomes exciting. However there exists a risk of adapting some of the coach’s approaches/strategies during the self discovery. This risk becomes more a chance, if the coach of the domain has had diversity in his/her experience/career.

Process Duration: 4 – 6 Executive Coaching sessions of 1h each (can also be a telephone or VOIP conference) spread over 4 – 8 weeks. It is recommended to give a gap of 1 year between two Executive Coaching assignments, since the internalizing of the new learning and experiencing the effect takes time. Once a good rapport has been established, Executive Coaching can also be done through eMail.

Der Schwerpunkt beim „Executive Coaching“ liegt im einfühlsamen Zuhören und dem gezielten stellen von Fragen durch den Coach. Durch diese katalytische Wirkung des Coaches wird beim Klienten ein Selbstentdeckungsprozess für neue Ansätze und Strategien entfacht. Mit diesen neuen Gedanken soll der Weg zur Zielerreichung aus sich selbst entstehen. Diese Selbstentdeckung ist ein hochinteressanter Prozess.

Von Vorteil ist es wenn der Coach aus dem gleichen Aufgabenbereich kommt. Durch sein Know-How und seine praktische Erfahrung gelingt es Ihm die richtigen Fragen in der richtigen Fachsprache zu stellen und den Klienten schneller und viel effizienter voran zu bringen. Durch die gemachten Erfahrungen und Strategien des Coaches kann die Gefahr bestehen, dass der Klient diese Erfolgsrezepte übernimmt und nicht seine eigenen entwickelt. Im Umkehrschluß ergibt sich aber auch ein hohes Chancenpotential, diese erprobten Erfolgsrezepte schnell für sich nutzbar zu machen und weiter zu entwickeln.

Einheit bestehend aus 4 – 6 „EC“ Sitzungen zu je 1 Stunde innerhalb von 4-6 Wochen (Persönlich, via Telefon oder VOIP)

Es wird empfohlen zwischen 2 EC Einheiten eine Pause von ca. 1 Jahr zu lassen. Diese Pause wird benötigt um die ersten Ergebnisse umzusetzen und aus deren Effekten entsprechende Rückschlüsse und Erfahrungen zu gewinnen. Wenn in der Folge eine gute Beziehung zwischen Klient und Coach aufgebaut wurde können EC-Einheiten auch über eMail abgewickelt werden.

A ênfase principal em “Executive Coaching” é para catalizar a própria descoberta das enfoques e estratégias que levam um indivíduo a uma meta através de escutar com empatia e colocar as perguntas corretas. Quando O “Executive Coach” é uma pessoa com o conhecimento e experiência do setor as perguntas pertinentes são feitas, de forma que o própria descoberta fica bem interessante. Porém lá existe um risco de adaptar algumas das enfoques e estratégias do “Executive Coach” durante a descoberta própria. Este risco se torna uma chance, se o “Executive Coach” do setor teve diversidade na sua experiência/carreira.

Duração do processe: 4 á 6 sessões de “Executive Coaching” de 1h cada (também pode ser por telefone ou conferência de VOIP) sobre 4 á 8 semanas. É recomendado para dar um intervalo de 1 ano entre dois cessões de “Executive Coaching”, porque para práticar a sabedoria nova e ver o efeito levam tempo. Quando um acordo é estabelecido, "Executive Coaching" também pode ser feito por e-mail.

Manufacturing Industry - Improvement Approaches

Strategy Development

The core competency assessment (CCA) can be done taking the products and processes as the basis. Factors that are considered for the assessment are their importance to business, the USP’s as perceived by the market, effort needed by others to copy, degree of sustainability, possibilities for substitution and already known innovation potential both from the value addition as well as from the cost reduction perspective. The core competencies then serve as a very valuable input to the SWOT analysis that follows the CCA.

Purpose: Develop a robust basis for strategy.

Process Duration: SME – 1 to 2 weeks; LE – 4 to 6 weeks

Product Portfolio Management

It is necessary to have a mix of products/services that are very innovative in nature and products that compete due to a cost advantage. For the business to grow profitably, it is essential to maintain a rolling development plan of product portfolio. The future products and the further development needed can be planned systematically using the idea workshops. Idea workshops can be held typically once a year and the product needs and positioning examined from the perspective of market, cost, innovation and core competencies.

Purpose: Create a robust product portfolio to support sustainable growth.

Process Duration: SME – 1 to 2 weeks; LE – 4 to 6 weeks

Time-To-Market Process

The key success factor for timely launch of products is to identify risks that normally are underplayed in organizations due to collective (team) wisdom. Once clear gates are established with the “Must” factors and “Want” factors to be fulfilled to proceed to the next stage, the TTM not only becomes more efficient, but also ensures that the right resources are deployed upfront to ensure a smooth start-up and a good life cycle. Structured risk assessments followed by meaningful MIS will ensure the necessary management focus.

Purpose: Smooth and successful launch of new products and/or product variants.

Process Duration: SME 1 – 3 days; LE 1 – 2 weeks only to assess the improvement potentials. The actual implementation can run into months/years.

Capacity and Investment Planning

The most important aspect in manufacturing is to establish the correct installed capacity based on clear premises (Cycle Time, Line Balancing, Utilization, Working Hours, Defectives, Type-Mix, Set-ups, etc.). Once this is done, only then can the performance be measured to check if the installed capacity is being fully unitized. The investment planning then is done based on the sales forecast and the actual performance of the installed capacities. Therefore the sales forecasting accuracy also is very important to invest on a timely manner. Based on the past experience of the accuracies of the sales forecast, strategies can be developed for the investment planning to compensate the risk of having idling investments.

Purpose: Improve ROI with timely investments after ensure full utilization of already installed capacities.

Process Duration: SME 1 – 3 days; LE 1 – 2 weeks only to assess the improvement potentials. The actual implementation can run into weeks/months.

Supply Chain Development

A mix of outsourcing and in-house manufacturing based on the Core Competency Assessment is necessary to get the best benefit. Apart from this, the overall optimization of the logistics chain and centralization of only such components/products using core competencies will support the overall supply chain performance.

Purpose: Design/Optimize the supply chain based on core competencies and both within the organization and outside in the market.

Process Duration: SME 1 – 3 days; LE 1 – 2 weeks only to assess the improvement potentials. The actual implementation can run into weeks/months.

Target Deployment and Timely Standardized Reporting

As the organizations get bigger, the purpose often gets lost at the working level and compartmentalized attitude builds in resulting in slackness in the overall system. However, a thorough alignment of targets followed by a unique (single) deployment (top-down) and reporting (bottom-up) path across hierarchy will set the base for the entire organization to work towards a common purpose. Timely reporting after a thorough review at each hierarchy level in a cross functional team ensures that the accountability is established across the hierarchy.

Purpose: Better synchronization of all functions in an organization.

Process Duration: LE 6 – 8 months preferably starting 2 months prior to the annual target deployment time line. SME sector may not need this service due to the organization size and structure.

Business Process Management

Especially as the organizations get bigger and various functions are formed, the interdepartmental functioning becomes quite turbulent. Using swim lane diagrams the business processes can be mapped either top down or bottom up in cross functional teams. Followed by the process mapping, the process can be designed to eliminate waste and to add more value to mostly the customers. However the efficiency of these processes can only be improved with a top down cross functional approach with clearly defined KPIs for the monitoring purpose as well as KPIs for the control purpose, preferably at the shop floor level with appropriate visialization.

Purpose: Continuously optimize the business processes and establish role clarity of every function and every employee leading to motivation through a clear identity.

Process Duration: LE 2 – 6 months depending on the organization size.

Continuous Learning through structured SDCA/ PDCA

In the manufacturing industry as in other industries attrition and availability of the qualified and trained manpower is an issue. One way of addressing this concern is to put in systems in place that ensure organizational learning. The classic SDCA/PDCA (Standardize or Plan/Do/Check/Act) is a great tool to accomplish this goal.

In manufacturing discussion/review/check routines with appropriate visualization/documentation of results are extremely important to run the business in a sustainable and effective manner. For example starting from hourly routines of quality checks, shift wise routines of the attendance check, status check, etc, daily routines of shop floor QCD deviation management, weekly routines of meeting room review of Corrective and Preventive Actions (COPA), monthly routines of business performance check and quarterly routines of system audits can be so modified that the “Act” of the SDCA/PDCA becomes more effective, since this is truly the learning phase that is extremely important for sustained continuous improvement. Emphasising on the “Act” phase not only will the know-how and knowledge be available across the organization in a documented form but also the employees become more motivated with a continuous learning.

Purpose: Know-how enhancement, employee motivation and reliability of data/reports.

Process Duration: LE 2 – 6 months depending on the organization size.

Productivity Improvement

Productivity is the most essential KPI especially for the manufacturing wherein a relatively large number of people are employed and wherein the learning effect is almost continuous till the end of the product life cycle. Even after ramp-up the learning effect is significant resulting from quality improvements, machine downtime reduction, Kaizen activities, suggestion schemes, layout changes, make/buy decisions, etc. Therefore a payment/incentive model that supports continuous improvement in productivity is a must for sustained success. The choice of the correct measurement indicators (for example % increase in the ratio of “SVOP: Sales Value of Production” to the total input hours of all the employees could be one such indicator) is the key success factor. Linking this indicator to the payment incentive systems in a way that other inefficiencies (like inflexibility, limiting of output or abstaining to boost productivity, etc.) don’t creep in is the true challenge.

Apart from the manpower productivity, it is also essential to ensure increase in the overall business productivity (for example % increase in the ratio of SVOP to the total of operating expenses, difference between SVOP and material cost). Defining the key cost drivers to improve productivity and including them in the annual target deployment is necessary.

Purpose: Maintain the health and agility of an organization

Process Duration: LE 2 – 6 months depending on the organization size.

Profitable 15% CAGR

Growth is essential to maintain any business. With the GDP growing at 8.6% CAGR in India, a CAGR of about 15% for the top line of an Indian enterprise can be a stretched but realistic goal. It is very obvious that any growth must be profitable.

Profitable growth can be achieved either with value addition or cost optimization. A combination of both would be the ideal strategy. In this blog I try to explain how these two strategies can be adopted and with what methods one can achieve profitable growth.

The first step would be to prepare the portfolio of products and services and classify them as Unique, Scarce and Plenty (USP) based on i) availability in the market, ii) effort and time required to copy and !!!) known innovation potential.

Value addition becomes the main strategy for the unique products and services. The products and services classified as plenty must adopt mainly a cost optimization strategy. The ones identified as scarce need to use a combination of value addition as well as cost optimization.

Though it may seem very motivating to do business only with the unique products and services, it must be noted that over time these naturally move to the plenty category. Maintaining products in the plenty category is essential for the organization health as this keeps the organization fat under control and therefore mandatory.

Proactively defining the technology and competence roadmaps (Organizational Health Check Blog) followed by realization of these is the basic approach for profitable growth through value addition.

Establishing a thorough integrated MIS with structured and cascaded reviews (Sustainable Performance Blog) with a strong SDCA/PDCA (Learning Cycle Blog) apart from selective offloading, smart vendor management and excellent resource utilization becomes the basic approaches for profitable growth through cost optimization.

Of course both the strategies go hand in hand and have to be put in practice with a proper business plan, budgets and resources. A strong coaching culture (Perpetual Learning Blog) will ensure that these strategies become a culture and implicit in an organization.

One can do self check of the need to get an outside support for the development of a strategy for profitable 15% CAGR once a self-assessment of the organizational health check is done as we normally use a thermometer to check the fever before going to a doctor.