Lean Systems Thinking Project Nottinghamshire Improvement & Efficiency Group (NIEG)

1. Lean Systems Thinking ProjectNottinghamshire Improvement & Efficiency Group (NIEG) Peter Whitehouse, Project Manager

2. ‘Lean / Systems Thinking’ • Background • Apr 07 • East Midlands Improvement & Efficiency Partnership (EMIEP) pilot: Benefits Service, Nottingham City Council • Nov 08 • The Nottinghamshire Improvement and Efficiency Group (NIEG) bid • Newark & Sherwood District Council • Green Light – Jun 09 (£302k) • Aug 09 • Formation of Project Boards & Steering Group • Jan 10 • Refocus on implementation, not just training • Apr 11 • Closure

3. What is ‘Lean System Thinking’ Any ideas?

4. Outcome Based Accountability FOSS Vanguard Commissioning CLG Mouchel Business Process Architecture Benefits Realisation DECATS Circle of Need VFM Audit Comms EMIEP 7Cs Project Management MIETOOL Six Sigma CHAMPS2 Services Ltd Lean Value Added Mapping Kaizen Blitz Ad-esse Customer Journey Mapping Activity Based Costing Cost Architecture Modelling Cabinet Office Channel Shift Strategy SPRINT BPI Systems Thinking BPR NIEG Operating Model 7S IDEA Programme Management Lean Sigma KPMG Value Added PWC Aperia

5. Using all this business insight to understand where & how to make sustainable and customer focussed improvement to delivery National Process Improvement Programme (NPIP) ‘Good practice ’ Business Process Improvement ‘(BPI) principles pretty hard to argue against Understanding the needs of customers, what works well for them and what they find unsatisfactory Understanding the perspective of the people who deliver the service from day to day, as they know where the delivery problems lie Understanding the performance of the process by measuring how well it delivers what customers want, & seeing how work flows between different people & organisations Identifying the causes of wasteful work that is done e.g. trying to correct ‘failures’ in effective service delivery: the unnecessary customer contact & strain! Colin Whitehouse NPIP, DCLG

6. Lean Systems BPR Change of Behaviour Six Sigma Channel Migration Activity Based Costing Customer Journey Applied Lean Systems Thinking Lean Systems Thinking System Assessment Soft System Method Policy/Social Systems System Engineering Hard System Method Technology Systems Thinking from systems Thinking about systems © Ackoff 1999

7. Lean / Systems Thinking Project • Joint Project • To develop understanding, skills and knowledge on an approach that has shown impressive results nationally and locally: ‘Lean / Systems Thinking’. • To embed learning with a programme of work to develop competencies and deliver benefits through the implementation of changes. In addition, to provide the opportunity to build a common platform to ongoing collaboration between partners on innovative service transformation. Recommend all partners do

8. Applied Lean Systems Thinking Who is involved? All Nottinghamshire Local Authorities have shown a keen interest to be involved and all are represented in the Steering Group. Nottingham City Council and Newark & Sherwood District Council are joint project executives. Also, NCC are providing project management expertise, funded through NIEG. Steering Group EMIEP: Merlin Tinker Ashfield District Council: Lorna Scott Bassetlaw District Council: Neil Taylor Broxtowe Borough Council: Malcolm Staley Gedling Borough Council: Janet Brothwell Mansfield District council: David Evans Newark & Sherwood District Council: Deborah Johnson Nottingham City Council: Duncan James Nottinghamshire County Council: Jo Herlihy Rushcliffe Borough Council: Nigel Carter

9. Notts Network & Partnerships Transformational Government (ICT) Customer Services Network NIEG Lean Systems Thinking Project Chief Executive Group Customer Insight & Intelligence EMIEP

10. Financial Citizen Colleagues Performance • Customer satisfaction • Number of complaints • Staff Satisfaction • Staff sickness levels • % of application determined within 18 weeks (NI) • Number of appeals • Corporate Health • Efficiency saving (NI179) • Cost per transaction by access channel Measuring change and success Benefits Scorecard The scorecard was developed as part of the EMIEP pilot and has proved to be a robust balanced way to identify and track the benefit of change using this approach. By using defined benefit types, change can be assess across different projects.

11. Progress across the Partners

12. The project must focus on Lean Systems Thinking or an approach that uses the common principles: • needs of customers; • perspective of the people who deliver the service from day to day; • measuring performance by purpose; • Identifies non-value / wasteful work • Identifies failure demand within the system. • Reporting of findings will be open to all Partners using the standard documentation. Partners should have an open door policy and allow any other partner to collaborate or participate in shadowing reviews. • Partners are requested to submit implementation proposals by 1st August 2010 and complete work by 1st April 2011. What is required from partners? NPIP • Current Focus Areas • Housing and Council Tax Benefit • Waste management • Pensions • Financial reviews • Building Control • Developing Control • Bus travel • Environment Regeneration • Community Protection (taxi) • Schools Admissions • Pupil Benefits

13. Lean / System Thinking is not a quick fix – need to follow the full methodology. • Need to adapt not adopt these industrial methodologies. • Need to develop (or have) a mindset within the organisation for process and customer. • Need to develop an awareness of capacity and demand relationship. • Focus on creating a stable not standard process. • Need to ensure that there is strong supporting leadership, commitment and links to a strategic vision. • Do not have to call in ‘Lean or Systems Thinking’ – and maybe it is best not to! • It is only a Method. Findings and Comments Source: Dr. Z Radnor

14. Nottinghamshire Partnership • After April 2011 • a true Partnership? • Andrew Muter, Newark & Sherwood District Council (CEO) paper 16th July. • Vision customer services Future Direction • Thank you, any questions • Peter Whitehouse • OD Consultant • Nottingham City Council • Peter.whitehouse@nottinghamcity.gov.uk