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www.industryweek.comHow Alcan Rolled Products, Through Workculture Change, Created A Supply Chain Reaction: Re-Defining How Empowerment Happens
Sherrie Ford, Ph.D. Principal, Change Partners, LLC Athens, Georgia USA
WORKCULTURE:
THE HIDDEN CONSTRAINT, THE HIDDEN SUPPLY CHAIN LINK
Our work has revealed that there is a manufacturing
constraint in what we call "workculture", defined at
length below. The example of Alcan Rolled Products –
the focus of this white paper – demonstrates that
identifying a plant's workculture as the pre-eminent
constraint was the shrewdest breakthrough in their thinking,
in facing extraordinary challenges ten years ago in
the aluminium recycling industry. In pursuing the constraint
of workculture, not only has their external supply chain
been directly impacted by the workculture change in
the single plant in Greensboro, Georgia; their internal,
plant to plant supply chain has also been impacted,
quite unexpectedly and positively. It involves three
kinds of recycled ingot in a critical balance, which,
if unbalanced, can lead to plant shutdowns and costly
logistics consequences in a market whose value on aluminium
can often be quite volatile.
THE MEANING OF WORKCULTURE
A KEY BUT ILLUSIVE CONCEPT
One concept is central to this white paper: it has to
do with what we have come, in recent years, to call
"workculture." We continue to seek a better term, because
the problem with this one is that most people, when
they talk about work, even in a small business or factory,
have a tendency to think of "workforce" or "workculture"
as referring to only to
- Workers
- Blue collar
- Labourers
- The shop floor
- The ones who threaten to go on strike
- The ones someone has to "romance' into caring about
productivity, quality, efficiency, safety.
Management is typically not included in the scope of this
word.
It seems that there is still a prevalent notion after
all these years of empowerment, even if an unconscious
one, that separates 'thinking' from 'doing,' or 'working.'
Workers 'do' and managers 'think,' 'plan,' 'analyse,'
and in general, decide what workers 'do.' Indeed, in reality,
for more factories than care to admit it, this tendency
to segregate mental and physical tasks continues, despite
what has been going on for at least twenty years now in
shifting more 'thinking' to the blue collar level and
more 'doing' in the white.
The costly result of this unexamined tendency is that
everyone involved obscures the power of this thing that
needs a name, because without realising it, everyone takes
false steps toward thinking about how to deal with:
- Day-to-day issues at a given plant
- Issues that arise when a crisis hits
- The sudden need to change
"Everyone" means union leaders, hourly employees, middle
management, top management, top manager. On these occasions,
whether in management or among the hourly ranks, people
tend to mentally detach from the whole and to segregate
themselves, as if they were, by being in management or
being an hourly wage roll employee, somehow separate elements.
Imagine their frustrations as they seek a path to manage,
measure, or change one another.
However, we have to use something to talk about phenomena
at work that we have all experienced but which leave us
at a loss to explain. What is it about certain places
of work that leaves people feeling empty at the end of
the day, regardless of the merits of product or service
created? What is it about other places that leave them
thrilled to be associated with it, even if they aren't
paid much or if they sacrifice their health or general
well-being to go on being a part of it? What is it that
makes some factories cling to the ways of the past? What
is it that prompts some factories to try anything, once?
Why do some factories laugh off the "new-plant-manager-every-other
year" syndrome - and continue to out-produce their competitors
- while others never seem to get over the grief of a leader
lost long ago?
What is it that makes a 30+ year-old factory with obsolete
equipment and an essentially uneducated hourly population
–not even a GED - outperform a brand new sister
plant only a seven-hour drive away, with state-of-the
art technology and entry-level hiring requirements of
a two-year technical, post-high school degree? You cannot
chalk it up to geography, because factories in the same
locale perform radically differently. You cannot call
it "corporate management", because factories in the same
corporation perform radically differently, even in the
same geographic area.
It is impossible to explain these phenomena by using the
'thinker' versus 'doer' frame of thinking. We need a term
that encompasses both, or all. Workculture as a term has
its risks, but it is what we use to refer to the entire
employee base, everyone who draws a paycheck, at
a specific factory site, as opposed to a company's division
office or its other sister plants. It includes all levels
of employee, from management to hourly, full-time and
part-time. In addition to encompassing all who work in
the organization, other features of the word 'workculture'
include:
- Being permeable and changeable, though it feels
rigid and fixed
- Affecting the attitude of a factory's workforce
in just doing the job, as well as embracing new ways
of doing it
- Affecting employees' willingness to put discretionary
time and effort into the well-being of the business
- Affecting their on-going sense of commitment in
the course of the workday to leave it a more competitive
place than when they showed up
- Giving an inner sense of "how we do things here,'
though not written down
- Causing the illusion that "things never change around
here," though to the outside eye - or to someone returning
after many years away - things are constantly changing;
nothing seems the same
- Being full of contradictions rarely deliberately
exposed
- Masking the fundamental fact that everyone actually
shares surprisingly similar beliefs about how to survive
change or perform at greater levels.
Unless an outsider should systematically inquire all employees
about their past and about what they think the future
holds and what should be done differently to handle expected
changes, managers and hourly workers claim to be in opposition
on practically every issue. Likewise, disparate elements
in a workculture tend to take all the pride and credit
for the site's survival over the years, giving a generous
but mainly courteous nod of the head to the other elements.
But it clearly has to be the whole workculture that has
either managed survival or failed to adapt. This observation
is continually reinforced in the work that my partner
and I have participated on well over 50 occasions, Alcan
Rolled Products with recycling factories in Athens, Georgia
and Berea, Kentucky, being one excellent example.
"HARD SKILLS VERSUS SOFT
SKILLS" AND "US VERSUS THEM" - STILL THE FRAMEWORK
Before focusing on Alcan Rolled Products, consider a couple
of other false assumptions associated with workculture.
Going by what leaders at the factory level increasingly
dwell on these days, we conclude that we are in the midst
of one of the great debates in manufacturing management.
Those in a workculture with titles and job descriptions
that suggest that they alone are responsible for the success
of the plant are typically the plant manager and his or
her direct reports. Increasingly you hear their conversations
about productivity turn to handy opposition of "hard skills"
versus "soft skills" in trying to determine performance
strategies. And most, having attempted to lead many an
operations revolution that went nowhere, or not as far
as it needed to go, the consistent conclusion they come
to is that "It's the people stuff that really counts,"
with the inference that "and we do not do well with the
soft skills." It seems to have had something to do with
"the people" that caused a strategy (or career) to fail.
Oftentimes this conversation focuses on how they as individuals
could somehow be better leaders, better at the soft stuff.
They do not question the validity of seeing their role
as plant manager something separate from the workculture
as a whole – they are blind to the pitfalls of thinking
of themselves as a detached element. They think that the
single function of plant manager and his or her abilities
as a leader qualifies as the root cause of failure in
these hapless strategies.
On the shop floor, the vocabulary may differ, you might
not hear "hard skills" versus "soft skills," but the dialog
is often much the same and often with the same conclusion:
we don't have a good leader (or they reminisce about good
leaders that have moved on). Same false step.
WORKCULTURE ISSUES ARE CRITICAL,
BUT THEY ARE NOT ABOUT HARD VERSUS SOFT OR US VERSUS THEM
How do you talk and think about local factories successfully
competing in world markets—therefore factories embracing
change and radically improving their performance-- without
falling into either the trap of Hard versus Soft skills
or of Us versus Them or of the Thinkers versus the Doers?
Do these things impact a factory's survival, or is dealing
with them just a nuisance part of life that some are good
at and some are not?
Whether said aloud or not, this is a question asked both
by those with management titles and those without them
and with more frequency as these tumultuous times increase
the need to know the answer. Plant managers and shop floor,
back office and front all know too well that these things
do indeed have tremendous impact, just by the fatigue
factor they feel at the end of the day. Struggle is everywhere:
struggle with aligning management staffs, struggle with
the impracticality of keeping true to the open door policy,
struggle with grievances, mediations, negotiations. "We'll
never meet our goals with all this 'attitude'!" (And whom
do you picture saying this, management or hourly?)
It is rare that leaders, either plant managers or elected
union officials, or the un-elected but well-known leaders
from the ranks face critical change issues with knowledge
or skill in seeing workculture as an integration of elements,
all levels, all functions. We have done quite a bit of
workculture research in the last ten years and certainly
stay abreast of the literature on the topic of management
and change management. Our observation is that plant managers
(to single out one element of workculture) have paid a
high degree of attention to and worked extremely hard
toward understanding every aspect of their mission to
make quality product, on time and at low cost, EXCEPT
the aspect of the workculture.
As you might expect, we have the opportunity to work with
the workculture of the factory pretty much exclusively
at the invitation of someone in management—we have
never been invited by any other element. Early on we try
to give all of the "designated leaders"—whether
plant managers and, in union shops, union leadership,
at least the awareness that there is a false element in
the debate going on about Hard Skills and Soft Skills.
We offer the chance for them to see that they can, if
they choose, understand the success of the factory from
an alternative perspective than focusing so ferociously
on productivity, processes or a union's agenda. When given
this choice, most decline the opportunity to emphasize
workculture. They leave it as a by-product of what they
consider more important things to think about. Lean production
methods, for example, in the view of some, will lead to
the kind of workculture needed to pump up competitiveness.
They go on to lead lean production initiatives that get
quickly to great business results and they acquire the
impression that the workculture has changed in a lasting
way. But it has not—if anything, shop floors are
becoming contemptuous of lean production methods and,
post facto, the workculture is pretty much the same as
it was before dabbling in them. And by the way, the business
results go back to pre-lean levels, or sometimes, worse.
Or, something else regarded as a more important thing
to think about is often the interpretation of a rule book,
or how to come out ahead in a union negotiation, or how
to engineer labor contracts that focus narrowly and in
hair-splitting ways on one part of the workculture's welfare.
Thus, on the surface and for a long, long time, workcultures
in factories appear divided into elements of distinctly
different politics, if you will, despite the fact that
if you stop there, you haven't explained anything about
how a factory ultimately succeeds or fails.
A NEW HISTORY OF FACTORY
LIFE
Without going into the story of how we learned to peel
back the veneer of the divided factory workculture, we
have discovered that a startling and profound unity does
emerge. It is consistently found to be a characteristic
in any given workculture If you engage everyone in the
organization, in small groups of mixed levels and functions,
then this unity gradually emerges from beneath that surface
of conflict, like buried treasure from the bottom of a
very deep ocean. Ask these questions:
- What changes has this plant been through since you
have been here?
- What changes, therefore do you expect in the next
few years (related to customers, suppliers, technology,
cost of doing business, etc, etc)?
- Do you have the workculture needed to survive changes
expected?
- What does 'workculture' mean?
- If you do not have the one you need, what would
you change in order to have it?
Partway through this four-hour process of inquiry, through
observing both the verbal and non-verbal behaviour, an
outside party unfamiliar with what's going on might walk
out concluding that the great conflict of Us versus Them
must indeed be an innate characteristic of people at work.
Manager and managed exhibit and seemed to be defined by,
the walls they project to be between them. It is not until
later steps in the process which prompt each person to
participate in sorting out all the changes they've come
up with (sometimes in sarcastic language, still leaning
against that wall) that a new insight about the whole
culture begins to appear, as behaviours begin to shift:
- First they must silently put all of their ideas,
written on dozens, sometimes hundreds of small cards,
into piles of cards with like meanings – no
talking or debating, just moving cards from pile to
pile until a tacit meaning is understood by everyone.
- Next, they discuss and debate to consensus what
to name each pile of cards
- Finally, they are asked and encouraged to debate
at great length, in all possible pairings of these
labels, 'which influences the other more?'
Because of this final step, they discover a totally shared
view of the issues related to surviving and dominating
the competition in the coming years. Moreover, they agree
unanimously on which issue to focus on first, next, then
next, until all of the issues will be resolved, including
the inevitable label and one greatly feared by management:
"More Wages and Benefits."
At the beginning of this inquiry process, management and
hourly each harbor some erroneous beliefs about one another,
as shown by how they initially project the outcome of
this questioning process. Each, likewise, acknowledges
startling surprise at finding almost down to the last
issue a complete consistency by all in naming the issues
and the order in which to address them, even in identifying
who will be accountable for what. Much of these outcomes
at first glance in the questioning process defy intuition,
yet, with Alcan Rolled Products, we see ten consecutive
years of demonstrating the power of these revelations.
In virtually every case, surprising in itself in some
ways, the first three driving issues inevitably wind up
being some combination of "Management," "Communication"
and "Training." The resulting issues are always less predictable
and far more varied, depending on the type of product
and processes involved, but one typically sees excellence
in "Quality," "Productivity," "Efficiencies," "Machine
Uptime," "Teamwork," "Wages and Benefits" – clearly
all features that every factory workculture covets in
the world class manufacturing era. However, as predictable
as the first driving three issues are in label, they are
never identical in meaning from company to company or
even session to session in the questioning process. Though
tempted to do so, you cannot generalize results meaningfully
beyond the workculture of any one factory.
What then accounts for that quirkiness in any given workculture?
If they all identify similar driving issues, wouldn't
it be easy to say we've cracked the code to understanding
all other workcultures regardless of whether they go through
this process or not? We wondered the same thing and have
been tempted to simply by-pass the time-consuming effort
to take 100% of a factory's employees off-line to go through
the inquiry process.
But what we have learned is that to generalize based on
repeated outcomes in every instance of using this process
deprives a workculture of two critical awakenings:
- The unmasking of the profound unity which all come
to agree is there
- Becoming conscious of legacy systems that have evolved
over time.
What are legacy systems? At last, we have begun to find
some answers to the questions posed earlier, as to why
workcultures seem to be so very different, even among
factories in the same town or parts of the same corporate
entity. Despite the fact that we can predict almost any
factory's Order of Operations for culture change, we can
never predict legacy systems.
We use the term 'legacy system' – borrowed from
the world of information sciences – to refer to
inconsistencies in the workculture, the mixed messages
that subtly undercut (or subtly support) the mission of
the plant. We see a parallel between the way an installed
base of software / hardware users undergoes seemingly
strong forces of resistance whenever upgrades are forced
upon them and the resistance to change in factories in
management and hourly alike when faced with new situations.
Habits and beliefs in a factory workculture seem to have
hardened at a time long past when the mission was quite
different and they continue to influence outcomes in today's
mission, even influencing employees who have only recently
come to work.
A few examples:
- A pharmaceuticals company hardened to distrust customers
because they might press for shortcuts to get around
FDA approvals; yet world class mandates require that
you put the customer first above all other considerations
- A fiberglass company out-producing annual performance
levels for seventeen years; yet claiming that things
never change
- Same company resoundingly concurring that 'dirt
road talks' of the start up days were quintessentially
great communication forums; yet when offered to go
back to that method of communication, agreeing that
they would not want to do so
- A woods products company almost banging their fists
on the table demanding respect; yet behaviour showing
little understanding of what respect looks like.
These are just a few vignettes that, if collected carefully
and held up to the workculture, bring out awareness that
habits and beliefs need to be updated.
THE EXAMPLE OF ALCAN ROLLED
PRODUCTS
On April 23, 2000, a news article appeared in the Athens
Daily News & Banner Herald with this headline: "Greensboro
Alcan Site Recycling Plenty of Cans." With understatement
in this headline typical of small town journalism, the
text goes on to read:
- Cleveland, Ohio-based Alcan recently announced that
its Greensboro recycling plant recycled 6.3 billion
aluminium beverage cans in 1999 – the equivalent
of 23 aluminium cans for every person in the United
States.
- The company estimated that the economic value of
the aluminium cans recycled by Alcan-Greensboro in
1999 totalled about $95 million.
- The Greensboro plant contributed a little more than
30 percent of the total recycling of aluminium for
Alcan's three recycling facilities. The company's
overall record of 21.6 billion aluminium beverage
cans recycled in 1999 was an increase of 7.5 percent
from the previous year.
Earlier in this essay I asked the question, "What is it
that makes a 30+ year old factory with obsolete equipment
and an essentially uneducated hourly population out-perform
a brand new sister plant only seven-hour drive away with
state-of-the-art technology and entry-level hiring requirements
of a two-year technical, post-high school degree?" The
Alcan-Greensboro plant is the one I had in mind. The sister
plant, the brand new one built with the latest furnace
technology and with a plant layout ideal for a team-based
management philosophy, is Alcan-Berea, which for its first
decade performed at significantly lower levels than did
Greensboro. What is so different about Greensboro?
THE WORKCULTURE AT ALCAN,
GREENSBORO UNDERGOES THE INQUIRY PROCESS
Of the three types of recycled aluminium that relate to
beverage cans, Alcan-Greensboro produces ingot for 'body
stock'. It produced 135 million pounds of ingot in 1988
with equipment that had not even been designed for aluminium
recycling, a telling feature of the workculture twelve
years ago and one of its abiding legacy systems. That
is, despite a generally low level of formal education,
the plant has developed ways around conventional engineering
solutions and has often produced superior results without
professional engineering staff. Bob Harris, the plant
manager at this site since 1989, is unique in many ways,
primarily because he has resisted the temptation to divide
the workculture into Us versus Them, or to make decisions
in isolation. He came from the shop floor himself, in
past times a machinist, even a one-time union member,
before circumstance brought him into management. Prior
to Harris' coming on board, the management had pretty
consistently been autocratic, traditional, top-down and
hierarchical, one prone to working "harder, not smarter,"
in contrast to what the workculture repeatedly demonstrated
it was capable of doing.
It has been Harris' characteristic when new to a site
to seek out anyone at any level ready to make quantum
leaps. Whoever has said "Yes", he has empowered to take
charge of change projects. For the most part, he has found
that the top management team members tend to say, "I don't
think it can be done," and that front-line supervisors
tend to be comfortable with status quo. However, he rarely
has found operators unwilling or unable to take on the
problem solving associated with overcoming hurdles, regardless
of education or experience. Combining Harris as top management,
with his open thinking, with an inventive workculture
seemingly unaware that they were not schooled to produce
such technical prowess, the Greensboro plant was on the
brink of nearly a decade of exceptional performance.
However by 1995, the improvement levels, which had been
extraordinary enough in themselves, given the outdated
technology they had to work with, had tapered off. See
"History of Productivity" graph below. Harris decided
to have the inquiry process conducted in September 1995
and again four years later in May 1999. The findings in
1995 were responded to systematically by the workculture
so effectively that four years later, the plant discovered
that they had accomplished 66% of what they had set out
to do. Namely, they managed to reform practices in 'Management,'
'Communication' and 'Training,' which they had determined
as the constraints to the goals of 'Teamwork', 'Working
Conditions,' 'Safety,' 'Quality and 'Higher Wages.' They
also found that all of their "predictions" in 1995 came
true about what would result if the constraints were removed.
Namely, they were able to exceed every customer demand
with lower cost and greater efficiency, in turn leading
to greater personal income and job security:
Above is the Matrix of Influences for 1995, showing how
each of five sessions labelled dozens of cards of specific
changes an employee would make. The first three influences
represent the constraint to success in the remaining four
to seven influences on achieving the ideal, competitive
workculture.
Responses to the 1995 inquiry process led to the following
strategic changes called for by the culture:
- Gradual elimination of supervisors
- Increased training in problem-solving and decision-making
for the shop floor
- Re-organization into business units (BUMS = business
unit managers)
- Embarking on and achieving ISO 9000 registration
(and later, QS 9000)
- Comprehensive Safety Systems program
- Mastering the control plan concept whereby business
units could eliminate non-value-added steps in:
- De-coating used beverage cans
- Melting cans in the furnaces
- Pouring molten aluminium into 60,000-ton ingots
with a high degree of recovery of pure aluminium.
Below is the Matrix of Influences for 1999, showing how
each of eight sessions labelled dozens of cards of specific
changes an employee would now make, five years later:
WORKCULTURE CONSTRAINT REMOVED
AND PERFORMANCE SKYROCKETS
The culture foretold in 1995 that effective resolution
of unique meanings of the labels "Management", "Communication,"
and "Training" would lead to "Better Working Conditions,"
"Teamwork," "Quality," "Safety," "Money," and "Attitude
and Morale." That happened, as shown in these exceptional
results:
- Production increase of 247%
- Productivity increase of 192%
- Unit cost reduction of 13%
- Energy reduction of 17%
- Five years without a lost time accident (1994 –
1999).
In conducting the process again in 1999, the plant discovered
the following outcomes regarding its constraints as a
workculture, which explains such things as how they achieved
production increases of 247%, from 135 million pounds
per year in 1988 to 350 million pounds in 1999.
DRIVING INFLUENCES –
THE 1995 CONSTRAINT: WHAT CHANGED THAT WAS DESIRED
- Continued support for employee involvement from
Bob and leadership team has occurred
- Housekeeping has improved overall
- Continued emphasis on safety has been felt by all
- More decisions now made at the appropriate point
(hourly)
- Rotating shift schedules are gone
- Employee involvement in most operational issues
permeates the organization
- Significant hours of training every year have been
presented: QS9000, VPP safety, meeting management,
control plan maintenance
- Two levels of management structure between plant
manager and employee are gone
- Shared (between hourly and salaried) decision making
has increased dramatically
- Planning with involvement has become more proactive
- Hourly business knowledge and understanding have
improved greatly
- Job specific skills of hourly have improved through
cross training
- Awareness has increased for environmental issues
- Equipment has been improved and capacity enhanced.
DRIVING INFLUENCES - THE
1995 CONSTRAINT: WHAT CHANGED THAT WAS NOT DESIRED
DRIVING INFLUENCES-- THE
1995 CONSTRAINT: WHAT DID NOT CHANGE THAT WAS DESIRED
- Management is still viewed as non-value-adding
- Roles are still unclear for management and hourly
- Ability to approach management other than Bob openly
is still not felt
- Accomplishments are not recognised often enough
- Meetings are still scheduled on off days
- Hourly input given during meetings, especially control
plan, is still not taken into account and valued
- Management is still not believed to have necessary
understanding and / or appreciation for jobs and process
- Follow through by management on ideas is still not
seen as occurring consistently
- Management still seen as operating under different
set of rules
RESULTING INFLUENCES—
WORLD CLASS MANUFACTURING: WHAT CHANGED THAT WAS DESIRED
- Business results as relates to ingot production,
safety (LTA recordables) and conversion cost have
steadily improved
- Wages have steadily climbed
- Trust among team members is stronger
- Willingness to embrace change is overwhelmingly
strong
- Safety has been instilled as a priority and results
have improved accordingly
- Production cycle times have improved
- Conversion cost have decreased steadily
- More customer (Logan) interaction occurs today
- Process automation as a way to improve working conditions
has occurred
- Incoming raw material scrap quality has improved
- Railroad no longer holding the plant hostage!—switch
to truck transport
- Existing equipment improved and new equipment installed
- Uniforms improved from safety perspective>
- Teamwork has improved and self-direction increased
- "We should do what is best for the business" is
increasingly heard as the starting point for making
decisions.
RESULTING INFLUENCES - WORLD
CLASS MANUFACTURING: WHAT CHANGED THAT WAS NOT DESIRED
- Variable compensation fell continually
- Morale, especially recently, has eroded
- Lack of equity between effort and reward.
RESULTING INFLUENCES - WORLD CLASS MANUFACTURING: WHAT
DID NOT CHANGE THAT WAS DESIRED
- The point system is still viewed as an unnecessary
punishment, no value
- No significant impact appears on Quality, according
to the Logan scorecard
- There was a jump in total operating costs every
year (which the culture predicted).
Examples of their continued legacy system of on-going
innovation despite lack of formal engineering training
include:
- New melting furnace developed by collaboration among
Canadian labs, management and shop floor personnel
to create a submergence device. This device enabled
their furnaces to increase throughput to 3,300 pounds
per hour. Subsequently, a sister plant, disregarding
this breakthrough perhaps because of its origins,
put in two new furnaces without this device and wound
up with only 1,800 pounds per hour. The Greensboro
innovation has now become an industry standard
- Operators were challenged to find a more environmentally
friendly flux than the chlorine flux traditionally
used to remove impurities in the melting process.
They pioneered the salt flux which in three years
became the industry standard
- Operators were challenged to reduce the time it
takes to conduct the annual re-builds of the furnace.
They pioneered a lining for the furnace that drops
into place, eliminating two days from the process.
SUPPLY CHAIN ENHANCED
At the beginning I mentioned that the cause-effect at
work here, identifying workculture as a production constraint,
then working to develop a systematic response to the workculture's
driving influences, that the supply chain also plays a
prominent role in the story. Though not expanded upon
in this presentation, let me conclude these remarks by
noting the following:
- A supplier to Alcan Rolled Products of smelting
of its aluminium dross, Smelter Service Corporation
in Mount Pleasant, Tennessee, found that it too was
beginning to face the shock waves of being in a global
market. The highest of standards of quality and productivity
will force out any weak links in the supply chain.
Bob Harris suggested that the owner take his plant
through the inquiry process, to discover its own workculture
constraints, as a means of re-inventing itself and
positioning itself to become a greater link in the
Alcan chain.
- An Alcan Rolled Products sister plant in Shelbyville,
Tennessee, had never quite got off the ground in shifting
from melting for the mom and pop junk metal shops
to cost effectively shipping a higher grade (Class
One) of aluminium. Six months after the inquiry process
was conducted there, performance exceeded all previous
levels, despite an ineffectual plant manager. His
failure to sustain the strategies called for by the
culture as a whole led to selling this plant.
- In 1999, owing to his extraordinary record at the
Greensboro plant, Bob Harris was named plant manager
over a second plant, the "rival" Berea plant. The
inquiry process was conducted there, identifying 'New
and Altered Equipment' as a significant constraint,
along with 'Management' and 'Communication.' Focused
strategies brought that plant within six months to
production levels 30 to 50% higher than it had ever
been, which have been sustained. These two plants
make up the majority of body stock ingot for Alcan
Rolled Products.
- Most significantly of all, because of Greensboro's
breaking of its workculture constraint, is the following
announcement in February 2000. The two plants, Greensboro
and Berea, had produced over 700 million pounds between
them, with no capital investment whatsoever. Plans
were made to achieve a billion pounds, exceeding what
corporate earlier in the budget year refused to put
in the forecast because they considered it unachievable.
This amount of quality ingot produced within the company
meant that they no longer had to buy additional ingot
from third parties in order to make up for shortages.
Moreover, these two plants were sufficient to supply
the Alcan rolling mill in Logan, Kentucky, which allows
a new mix for the rolling facilities and thereby positively
impacting the Warren, Ohio plant by focusing on coating
end stock. Thus, a small, rural, unsophisticated melting
operation in the Deep South, through changing its
workculture and discovering the power of its legacy
systems, has affected its parent company and at least
one supplier. It has done so in ways that suggest
they will never be the same and in ways that have
led them closer to the ideals of 'world class manufacturing'.
ABOUT THE AUTHOR
Dr Sherrie L Ford has been in organizational consulting
for the past eleven years. In 1991, as Vice President
of Business and Industry Services, she founded the Center
for Continuous Improvement at Athens Tech, in Athens,
Georgia. Twenty-three companies in the north Georgia area
each gave $10,000 to fund the Center's start-up. Its mission
was to develop leadership and vision at all levels in
an organization, particularly in the lean production environment.
Local manufacturing successes led the Centre staff and
its "tag team" of consultants to division-level development,
improving on strategic assessment and planning practices
in each case. When she left the tech school system in
1996, she had built a client base of over 150 organizations,
both manufacturing and service sector.
She formed a new company, Change Partners, LLC, in 1996.
Manufacturing clients include ABB Power T & D, Alcan
Rolled Products, American Dehydrated Foods, BICC General,
Blue Ridge Paper, CertainTeed, Chipman-Union, Inc, ConAgra,
Dade-Behring, Dana Corporation, Denon Digital Industries,
Fibervisions, Fire Arms Training Systems (FATS), Georgia
Pacific, Harris Calorific, Hartwell Sports, Johnson &
Johnson, Lone Star Industries, Inc, Masterack, Merial,
Ltd., NACOM, Noramco, Smelter Service Corporation, Standridge
Color, TrusJoist Weyerhauser, Tyco Health Care and Welch's
Foods. Service clients include Athens Regional Medical
Center, Exploration Resources, Gwinnett County Coalition,
Georgia Department of Human Resources / Rehabilitation
Services, the Holiday Inn, the University of Georgia,
US Army Corps of Engineers and Walton Electrical Membership
Co-operative.
Publications include:
- A chapter in a casebook (LSU Press, 1995) entitled
"Reliance Electric: A Workculture Renaissance"
- "Economic Development through Quality Improvement,"
in Economic Development Review, Winter, 1997
- An article "Competition May Be Global, But All Quality
Is Local," in Target: Innovation at Work, December
1996
- "High Velocity Change: Energised for Excellence
at Mitsubishi Consumer Electronics-America," in Target:
Innovation at Work, September 1997.
Her work was featured in IndustryWeek, January 1997, in
an article by John Sheridan entitled "Nurturing World
Class Solutions". She contributed to a white paper on
workculture change sponsored by IndustryWeek and a guest
column "On Leadership" appeared in June, 1999, in IndustryWeek:
Growing Companies.
She broadcast a six month series for Georgia Public Radio
in 1995 entitled, "Take This Job and Love It," chronicling
the transformation of traditional workcultures in north
Georgia toward team-based high performance.
She is a frequent presenter for APICS, Summer Workshops
and International Conferences and Inc. Magazine and is
the President of the Southeastern Region for the Association
for Manufacturing Excellence (AME). She was named to the
first board of examiners for Georgia's Oglethorpe Award,
modelled on the Malcolm Baldrige Award and is one of four
external judges for IndustryWeek's Best Plants Award,
1998 – present.
She received her PhD from the University of Georgia in
1982 and was named to Phi Beta Kappa that same year.
She can be reached at 706-546-4045 or at sherrieford@change
partners.com
- General Education Diploma – earned outside
of a high school setting by those who have dropped
out of formal schooling.
- This outcome we derive from what we call the "Order
of Operations for Effective Workculture Change," echoing
the mathematical phrase for the proper order for the
operations of 'multiply,' 'divide,' 'add,' 'subtract'
to arrive at the correct answer in solving equations.
- Either these exact labels or synonyms, such as "White
Hats" for "Management".
- The three types include body stock, coated end stock,
and tab stock referring aluminium grade alloy for
the body of the can, different from that needed for
the and the top (coated end) of the can and the pull
tabs.
- Greensboro, Georgia, is a town in a rural county
in Georgia, until recent lake resort development,
one of the poorest, with one of the state's highest
high school drop out rates.
- The cards beneath each of these labels reflect the
'world class agenda' that shop floor employees are
rarely given credit for supporting pro-actively. Sample
cards for "Working Conditions' are Better Ways of
Controlling Waste and Cleaner Work Place. They do
not use words like Kaizen Blitz or Five Ss, but they
seek the same result. Practices in Management,
Communication and Training were identified
as the constraints to having the world class agenda
– in the terminology of the workculture –
unfold.
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