1: Lean Thinking

Welcome and Introductions

General introductions and logistical items.

---

Lesson 01: Principles of Service Management

Service management is a strategy, a method for managing services that has recently been more commonly associated with the information technology (IT) industry.  Service management predates IT and is IT agnostic.  This lesson explores the fundamental concepts and key principles of universal service management.

• The service industry explosion
• What is a service?
• What is service management?
• Principles of service excellence and the excellence dilemma
• The Alignment Models – Enterprise, Customer and Service
• Respecting three vital service equations, (value, expectation, quality)
• Golden rules for service management
• Understanding the customer - Line of (customer) visibility, Customer Outcomes, Customer Satisfaction

---

Lesson 02: The Service Management System – Based upon the USMBOK

Increasingly, the traditional command and control management method is being replaced by systems thinking.  Services require a specialized system and this lesson explores in detail the working elements of a service management system.

• The Failure of Command and Control Management
• Introduction to the USMBOK service management framework
• Elements of a Successful Service Management System
• Business planning framework
• Performance management framework
• Key service management system artifacts
• Service governance framework
• Service planning process
• Service fulfillment plan
• Service plan
• Service portfolio
• Service catalog
• Service calendar
• Service priority scheme
• Service portal
• Service Transaction Engine
• The Service Lifecycle
• The Service Requirement Lifecycle
• The Service Request lifecycle
• The Service Provision lifecycle
• The Service Operations Lifecycle
• The Operations Governance Framework
• The Service Support lifecycle
• The Service Revision Lifecycle
• The Service Release Lifecycle
• The Service Change lifecycle
• The Service Performance Framework

---

Lesson 03: The Service Organization and its Challenges

A mandatory and influential component of a service management system is the human element – the service organization, also known as the service provider organization.  Service organizations, irrespective of industry, face a set of common challenges, many of which are related to the touch points between the service organization and the customer.  This lesson discusses the key concepts of a service organization, and its more common challenges:

• The Service Organization and Service Provider concept
• The Service Encounter
• Line of Visibility and Moments of Truth
• The Service Organization’s Role Continuum
• Understanding Your Organization as a System
• Service Management Knowledge Domains – Roles
• Service Management Knowledge Areas – Knowledge, Skills and Abilities (KSA)
• The Service Governance Framework
• The service provider dilemma and top 10 challenges

Lesson 04: The Lessons Learned from Traditional Improvement Programs

Traditionally, and especially within the information technology industry, two approaches to making improvements in the performance of the service organization have led the way: process and maturity level.  This lesson discusses many of the lessons learned and common pitfalls of these two predominant approaches and the extent to which either can lead to sustained success.

• The traditional response – implement a service management best practice framework
• The traditional list of pre-requisite artifacts
• The clues and costs of common pitfalls
• Lessons learned from the ‘process improvement’ led approach
• Misinterpretation and misuse of ‘plan-do-check-act’
• Lessons learned from the ‘maturity level’ approach
• The management demand for ‘Lean’

---

Lesson 05: Principles of Lean Thinking

In a landmark book (The Machine that Changed the Word), James Womack and Daniel Jones explained how companies dramatically improved their performance through the “lean production” approach pioneered by Henry Ford and Toyota, and extended these ideas as Lean Thinking.  This lesson explores Lean in general, Lean Thinking and the key concepts that transform management theory into demonstratable , value creating activities.

• What is Lean and Lean Thinking?
• Lean Origins and American Roots
• What makes Lean so special?
• What Distinguishes Lean from Other Improvement Initiatives?
• A comparison of ‘Plan-Do-Check-Act’, ‘Six-Sigma’, and ‘Lean’
• The DNA of Lean
• Lean Manufacturing
• Lean Enterprise
• Lean Production
• Lean Office
• Lean Event
• Lean Fundamentals
• Focus on the customer
• Improve the value stream
• Maintain flow
• Pull through the system
• Strive for perfection
• Respect people
• Services create value
• Customer satisfaction is key
• Key Lean Concepts
• A3 Report
• Andon
• Brownfield, Greenfield
• Error, Mistake proofing
• Failure demand
• The Five Ss of the workplace
• Flow
• Forms of waste
• Friction
• Gemba
• Kaizen, Point Kaizen
• Level Scheduling
• Perfection
• Pull
• Takt Time
• Types of waste (muda, mura, muri)
• Value demand
• Value-add and non-value add activities
• Value stream mapping
• Value stream costing
• Waste reduction model

---

Lesson 06: Lean Thinking for Service Organizations

A noticeable disconnect exists today between customers and service providers.  This lesson discusses how Lean Thinking has been extended by Womack and Jones latest book to address the needs of the today’s business environments, dominated by services.  

• Lean Thinking for Service Organizations
• Lean Consumption
• Lean Provision
• Services create value
• Lean Assessment
• How Lean is our service?
• Are we customer driven?
• Are our customer surveys workings?
• The value / failure demand ratio
• What do our customers need?
• What matters most to our customers?
• The Lean Service Management operational model
• Service level indicators – andons
• Dashboards and scorecards (andon boards)
• Incidents – causes of friction, Genjitsu
• Service requests – Pull
• Service encounter – Gemba
• Service portfolio and service catalog - Gembutsu
• Vital mission activities – Value Stream
• Service request workshop – Point Kaizen
• Controls and control barrier analysis – Poka-yoke
• The service lifecycle – Flow, Heijunka
• The Service Management Professional - Sensei

2: Lean Action

The purpose of this day’s class activities is to demonstrate how Lean Thinking can be integrated into a service management initiative with dramatic and instant beneficial results.  

Lesson 07: The Lean Service Management Program

This lesson describes the ten steps of the Lean Service Management™ program, and their integration into an existing service management strategy, and includes:

• Step 1: Establish the Lean Service Office and Foster Lean Thinking
• Step 2: Formalize, Socialize, Mobilize Lean and select a relevant service management body of knowledge
• Step 3: Select a Lean Project

• Targeting a customer community or line of business
• Identifying or hypothesizing common problem areas
• Listening to the ‘voice of the customer’
• Define the value statement and customer expectation
• The customer perspective – mapping lean consumption
• Establish the ‘lean statement’ hypothesis
• Finding and adding the initial evidence
• Requests – the most important aspect
• Incidents – a vital source
• Problems – statement of impact
• Change – an occasional cause

• Step 4: The Lean Event (Point Kaizen)

• Introduction to the ‘Lean Event’ and ‘Point Kaizen’ method
• Lean Event pre-planning, operation, post analysis
• Defining the service request
• Mapping to customer results
• Managing the phases of the Lean Event
• The provider perspective – mapping lean provision
• Mapping activities to problem areas
• Determining takt time
• Value stream costing
• Making and reconciling observations
• Classifying identified waste

• Step 5: Create one or more ‘Lean Statements’

• Just the facts -  making the ‘Lean Statement’
• Gemba – moment of truth
• Genjitsu – actual facts (observed data)
• Gembutsu – Actual product or service
• Linking Lean Event observations to lean statements
• Getting traction - adding the resulting impact
• The four key impact perspectives
• Cause analysis, types of causes, methods to discover
• Task and change analysis
• Control barrier analysis – 80/20 rule
• The illusive root cause
• Defining cause statements

• Step 6: Translate Lean Statement into an Opportunity Statement

• Translating lean statements into opportunities for improvement
• Types of corrective actions
• Jidoka – automation, Jishuken – learn by doing
• Mistake Proofing, Governance
• Preparing the solution list
• Ranking and selecting the solution set
• Defining benefit statements
• Drafting action plans
• Defining the opportunity statement

• Step 7: Apply and Mistake Proof Improvements

• Lean Deployment Models
• Enterprise (business) transformation - default
• Scalable (organization unit driven)
• Targeted (Problem-solving)
• Grass Roots (Bottom-up)
• Preparing for change
• Make the change - applying the Opportunity Statement

• Step 8: Create and Improve Service ‘Flow’
• Step 9: Enable Customer ‘Pull’
• Step 10: Stabilize and Realize Benefit

---

Lesson 08: The Lean Service Organization

This lesson explains the principles behind establishing a Lean-focused culture within the service provider and customer communities, how to express the benefits of the program and its overall ‘return on investment’, and continuously operate and extend the scope of the Lean Service Office through ongoing promotion of the results achieved and potential issues that can be addressed.

• The principles of maintaining a Lean Culture
• Sustaining and selling of the benefits of Lean
• Running a continuous Lean Promotion
• Continuous Lean Diffusion

3: Exam Preparation

The purpose of this lesson is to help prepare students for the Certified Lean Service Professional examination and credential available from the Service Management Society.

Lesson 09: The Certified Lean Service Professional Exam

This lesson includes:

• A review of the class content
• An introduction to the CLSP examination
• Exam taking techniques
• Completion and coaching of a mock examination
• Registration for the official examination
• Completion of the official examination

 

Justification

All education offered by Service Management 101 is guaranteed to provide a tangible return on the investment and the following information is provided to help you cost justify attendance using the "Justifying Attendance of Education Template".

Hours Saved by Reduced Effort or Rework of Project Activities

The LSM program is specifically designed to avoid the upfront cost, risk and delay in receiving benefit associated with process improvement and maturity level initiatives.  These are considerable.  It is HIGHLY RECOMMENDED the lean initiative establish and continuously maintain a 'benefit bank account' with the stakeholders, to document the individual and accumultaive (tangible) benefits of the program. 

The following benefits are based upon the an estimate of teh first first year of operation only.  The LSM program can be invoked as necessary on a case by case basis, or operated ongoing as a continuous improvement program.  There are few if any upfront costs that are not reconciled by a benefit.  It is designed to be a self-funding program.

This approach offers lucrative savings when compared with year one of a process improvement or maturity improvement led project.  The class is conservatively estimated to save at least  1000 hours related to reduced effort.

---

Consulting Hours Avoided

The likelihood of commissioning consultative advice differs from one organization to another, so the following is an estimate of what this class should save in consulting hours, and may be subject to adjustment to better suit local circumstances.  This primary purpose of the LSM program is to establish a self-funding program.  Consulting help may be required, but less than for alternate approaches.

This class is estimated to save at least 100 hours of consulting time.

---

Training Hours Avoided

There are few if any training programs associated with service management that include Lean principles and methods.  Most tend to assume a process or maturity improvement led approach.  All such training may be postponed and some abandoned.  The LSM program's focus is on understanding the customer, customr value, and managing the customer relationship from a service organization perspective.

Alternate programs may replace the traditional process, maturity and framework knowledge offerings.  There is no pre-requistite learning required before benefit can be realized after attending this class. 

The LSM program provides a proven methodology for finding and eliminating waste, and stating an drealizing the asociated benefit.  No benefit - no action, no training prerequisite, no expenditutre.  accelerated assistance.  This class is estimated to avoid at least 250 hours of training time.

---

Project Hours Avoided

The LSM program is not a 'build and deploy' effort per se.  It is instead a continuous improvement program that provides stakeholders with complete control over commitment of resources based upon a confirmed benefit or return on that investment.  It runs as a program that may contain short-life (30,60,90 day) projects.  A small amount of resources may be required to operate the continuous program, and this can be as little as one person, part-time, a few hours a week.

This class is estimated to save at least 500 hours of project hours avoided. 

---

Other Benefit

Please feel free to use the Service Management 101 Support Service to discuss in specific detail how the education event can help you, or your organization, realize tangible benefit from applying the knowledge and methods gained, for an initial performance improvement.