How Seeing Leads to Success, Part 1

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Unveiling the Power of Genchi Genbutsu and Gemba Walks

There is an old saying that “seeing is believing.” But for Japanese business leaders, seeing is not focused on whether information should be trusted and believed but instead on fully grasping and comprehending what is being communicated. For them, “seeing is understanding”. This idea that one must see for oneself in order to understand lies at the core of a philosophy called Genchi Genbutsu used by many major Japanese companies to solve problems.

According to Genchi Genbutsu, a business leader must visit a jobsite to comprehend and validate information that might have otherwise been presented in a report offering theories and opinions. The phrase means “go and see the actual place” or in American vernacular “see for yourself.” While it started in Lean manufacturing, it has expanded and is now utilized in many industries. It has been used successfully by US business leaders to improve quality, reduce inefficiency and boost productivity.

While the phrase “go and see the actual place” seems deceptively simple, “Genchi Genbutsu” is actually a powerful methodology for continuous improvement. It emphasizes firsthand observation and data collection over relying solely on reports and theories. That in-person visit is called a Gemba Walk, which takes leaders directly to the “Gemba” (the workplace) to uncover inefficiencies, waste, and opportunities for improvement.

The Genchi Genbutsu Origin Story

The roots of Genchi Genbutsu can be traced back to the early days of Toyota, where Taiichi Ohno, a legendary engineer, challenged traditional management practices. Instead of relying on reports and assumptions, Ohno believed in visiting the shop floor directly, observing work firsthand, and engaging with frontline workers. This hands-on approach led to the identification of waste (muda) in all its forms, paving the way for Toyota’s renowned production system.

While physical observation forms the foundation of Genchi Genbutsu, it goes beyond mere “seeing.” There ae three core tenets that underlie the philosophy:

Data-driven decisions – Observations must be coupled with data collection and analysis to understand root causes of problems and measure the impact of improvement initiatives.
Respect for frontline workers – Workers closest to the work possess invaluable knowledge and insights. Genchi Genbutsu actively seeks their input and empowers employees to contribute to improvement efforts.
Continuous learning – There is no such thing as one-and-done. The process of Genchi Genbutsu is never-ending. Every observation leads to new questions, fostering a culture of continuous learning and adaptation.

Walking the Walk: Putting Genchi Genbutsu into Action

The Gemba Walk embodies the spirit of Genchi Genbutsu by taking leaders directly to the workplace. Here’s how it unfolds:

Step 1 – Plan – Define the purpose of the walk, select the area to be observed, and involve relevant stakeholders.

Step 2 – Observe – Focus on specific processes, interactions, and conditions, actively engaging with workers and asking open-ended questions.

Step 3 – Collect Data – Document observations, gather relevant data, and capture photos or videos.

Step 4 – Analyze – Analyze the collected information to identify potential problems, waste, and improvement opportunities.

Step 5 – Act – Develop action plans, involve stakeholders in implementation, and measure the impact of changes.

What might a Gemba Walk look like in reality? Imagine walking the floor of your company, directly observing how work gets done, and uncovering hidden opportunities for improvement. By stepping away from reports and metrics and into the “Gemba” (the actual workplace), leaders gain invaluable insights and spark transformative change.

Planning Your Exploration – Before embarking, define the destination. What’s the purpose of the walk? Are you looking for bottlenecks in production, inefficiencies in customer service, or safety concerns in a field operation? This focus helps identify the relevant “Gemba” area, whether a factory floor, call center, or construction site. Also, involve key stakeholders from the chosen area. Their deep understanding of processes and challenges fuels fruitful discussions during the walk. For example, if visiting a warehouse, include the warehouse manager and a representative from the packing team.

Observe with an Open Mind – Now, enter the Gemba with a curious mind, not a critical eye. Seek to understand, not correct, behaviors. Observe specific processes, interactions, and conditions. Watch how tasks are performed, how materials flow, and how people collaborate. Don’t just see; actively engage with workers. Ask open-ended questions like “What challenges do you face in your daily work?” or “How could this process be improved?” Listen carefully to their responses, as they often hold the key to unlocking improvement opportunities.

Capture the Details – Don’t rely solely on memory. Document your observations meticulously. Take notes, sketch diagrams, and capture photos or videos. This documentation becomes valuable data for later analysis. Pay attention to details like waiting times, stock levels, or body language, as they can reveal hidden inefficiencies or safety concerns.

Analyze and Identify Gems – After the walk, gather the notes, data, and photos taken. The analysis stage is where observations turn into actionable insights. Look for patterns, inconsistencies, and areas where the flow of work is disrupted. Identify potential problems, waste (time, motion, materials), and opportunities for improvement. Use data like wait times or rework rates to quantify the impact of potential changes.

Take Action, Measure Impact – Don’t let insights gather dust. Develop action plans based on the findings. Involve the stakeholders previously engaged in the walk, as they understand the challenges and can contribute valuable solutions. Implement the agreed-upon changes and track the impact. Measure how these changes address the identified problems, reduce waste, and improve efficiency or quality.

Gemba Journeys in Action: From Burgers to Phones

So what does a Gemba journey look like? Imagine Vice Chair and Chief Executive Officer of Ross Stores visiting one of their retail stores during peak hours. In speaking to some of the employees and observing long checkout lines and understaffed registers, she identifies customer service inefficiencies. Based on employee feedback and data analysis, she, the Regional Manager and the store manager implement self-checkout lanes, create floating registers and improve staffing schedules. Over a period of months, they see that these modifications resulted in reduced wait times and happier customers. That would be a typical Gemba Walk.

But Gemba Walks aren’t just for large corporations or specific industries. Businesses of all sizes and sectors can reap the benefits of stepping into the “Gemba” (the actual workplace) to uncover inefficiencies and drive improvement. Here are two real-world examples, showcasing how a fast-food chain and a cell phone manufacturer used Gemba Journeys to solve specific problems.

Case in point 1: Chipotle Serves Up Efficiency with a Side of Observation

Challenge: Long drive-thru lines during peak hours, impacting customer satisfaction and revenue.

Gemba Journey: Restaurant managers and corporate executives spent a day working shifts in multiple drive-thrus, experiencing the pressure and workflow firsthand.

Solution: Identified bottlenecks in order taking, payment processing, and food preparation. Implemented a streamlined menu board, mobile ordering integration, and optimized kitchen layout, leading to a 20% reduction in average drive-thru wait times and increased customer satisfaction.

Case in point 2: Samsung Builds Better Phones with Hands-on Insights

Challenge: High defect rates in a specific smartphone model, causing production delays and cost overruns.

Gemba Journey: Engineers and quality control managers joined assembly line workers, observing each step of the phone’s construction.

Solution: Pinpointed a faulty component causing malfunctions. Improved supplier communication and implemented stricter quality control measures at the source, leading to a 31% reduction in defect rates and faster production times.

Gemba Journeys go beyond quick observations, involving participants in the actual work for deeper understanding. This immersive approach leads to identifying root causes of problems, not just symptoms. The solutions developed are directly tied to the realities of the workplace, ensuring effectiveness and buy-in from employees.

Think “Undercover Boss,” Not Surveillance

Similar to the popular reality program “Undercover Boss” — where business leaders disguise themselves as a new hire in order to experience the realities of frontline work — Gemba Walks are not about surveillance or catching employees off guard. Instead, they offer a genuine opportunity to understand real challenges, celebrate successes, and foster a sense of collaboration and teamwork.

The impact of Genchi Genbutsu and Gemba Walks goes beyond mere observation. They create a ripple effect, positively impacting three crucial areas:

Quality: By identifying and addressing issues at their source, product or service consistency improves, leading to increased customer satisfaction and reduced rework.
Efficiency: Waste in all its forms (time, motion, material) becomes visible, paving the way for streamlined processes and improved resource utilization, resulting in cost savings and faster turnaround times.
Productivity: Empowered employees actively participate in problem-solving, leading to a sense of ownership and increased motivation, ultimately boosting individual and team output.

Seeing is Understanding but Doing is Transforming

Genchi Genbutsu and Gemba Walks are not mere trends. They are powerful tools for continuous improvement. By stepping onto the Gemba, leaders gain invaluable insights, connect with their teams, and unleash the potential for quality, efficiency, and productivity gains. In a world obsessed with data and reports, sometimes the most impactful data is gathered not from spreadsheets, but from simply “going and seeing the actual place.”

By following the Genchi Genbutsu steps and embracing the spirit of open observation with a Gemba Walk, these tools become engines of improvement, driving quality, efficiency, and productivity across any organization. Remember, seeing is understanding, but acting on what is seen is what prompts transformation. So, lace up the shoes, step into the Gemba, and unlock the company’s hidden potential. Next week, we’ll explore in greater detail how these tools are universal for B2B and B2C businesses and how service-oriented businesses can adapt and benefit from these practices as well. Stay tuned.

Quote of the Week

“The best way to get a good idea is to get out and walk around. People who sit at desks all day don’t get good ideas.”
Taiichi Ohno, Father of the Toyota Production System

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