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Would you devote your soul to work yourself out of a job?
If you "worked your friend out of a job" would you be eager to start another round of "improvements" wondering if it would be your job that got eliminated next?
Download your free
Job Security Promise template,
and post it where people see it
Once the appropriate size work force has been determined
(after the most gross inefficiencies have been eliminated)
the top priority of your Executive Change Agent must be to convince management to promise that no one will ever lose their job due to continuous improvement efforts.
Should we promise that no one will ever lose their job?
If someone has a bad attitude, or can't work in a team environment, or isn't comfortable with so much constant change — management should help them find work more suited to them.
If market demand goes down — then jobs might follow.
But no one should lose their job directly because of process improvements.
What to do with free time & spare cash
created by systems improvement
As you use your Strategic Planning templates and processes, one VERY important strategic consideration is to answer the question:
"What will we do with the time and money that we expect to free up through our continuous improvement efforts?"
Financial effects of reducing inventories
If your strategies include plans to substantially reduce inventories, you should prepare your investors to expect the following financial effects:
It is generally a good idea to educate your investors that this is a "good thing" BEFORE surprising them with a financial statement showing a paper loss.
with free time & spare cash created by systems improvement
Don't eliminate jobs
Once you have determined a sustainable workforce (after eliminating most gross inefficiencies), it is VERY important to give your workers as much job security as possible.
Yes. You will find it challenging enough to educate your work force and their union that all of this continuous improvement stuff isn't really just another management attempt to squeeze more and pay less.
If you're coming to the union negotiating table without job guarantees, you'd better have a pretty convincing story about some threat to the very existence of the company.
And if you don't have a union? Job security assurance might be a good way to keep it that way.
Whenever there is the possibility that a current job might soon get "improved out of existence"...
Use your Job Design Matrix template (JobDesign.xlsx) to identify possible career paths for each potentially affected person.
Learn more about how your Growth Plan and Job Security Promise are essential milestones for any Lean Journey
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