8 sure ways to create a culture of continuous improvement – and make it stick
Continuous improvement is an organization’s incremental and continuous efforts to improve processes and reduce waste. However, it can only succeed if it is integrated into the culture of the organization, where it becomes “the way we do things around here”. So, building an effective culture of continuous improvement (CI) is about much more than executing a cluster of improvement projects. While it’s a good place to start to reap some tangible rewards, more is required to ensure a sustainable solution that embeds continuous improvement into the DNA of your organization.
A structured and integrated approach to building a culture of continuous improvement
Most organizations have knowledge of the various CI tools and principles, but they haven’t invested in the leadership commitment and framework required to establish a formal, systemic and sustainable management process of improvement. This missing organizational DNA is the glue that holds this great foundation of knowledge in place and enables people to continuously improve how they improve through a structured and integrated approach. Integrative improvement implements improvements holistically, ensuring a sustainable, company-wide CI culture transformation.
The Toyota Production System example
Toyota’s organizational DNA and culture was created by Japanese ingenuity over a 70-year period, and it’s still going strong. The iconic car manufacturer follows a systemic approach to ensuring its philosophy of improvement is instilled in every member of the organization. That is why the Toyota Production System (TPS) has become the holy grail of continuous improvement.
The TPS evolved into corporate production systems and more recently into digital operating systems (DOS), placing an increased focus on end-to-end visibility and the use of advanced technologies. However, there is still a lot to learn from Toyota’s success. Organizations transitioning to DOS should apply relevant CI practices and principles as the foundation of their digital transition to ensure maximum success.
Rather than copying and pasting culture, you must nurture and develop the right enabling patterns of behavior and cultural attributes of excellence. It is even more important to determine how the behaviors will be measured, so you need to define a meaningful set of indicators and build these into your performance management system.
What leaders must do
Engaged leadership is arguably the most important determinant of success when it comes to creating a culture of continuous improvement. Organizations with leaders who invest in employee engagement and enabling technology, and consistently implement a regimented improvement methodology, succeed in continuous improvement.
As a start, here are eight things you as a leader can do to create a culture of continuous improvement in your organization:
1. Lead by example
Show your support for a culture of continuous improvement by actively embracing Lean and best practice principles. Participate in continuous improvement initiatives openly and with gusto. Act on ideas and encourage others to do the same. Follow up on progress, discuss any setbacks and celebrate successes. Your people need to see you committed to continuous improvement before they can be expected to embrace such a culture themselves.
2. Communicate regularly
Talk about the benefits and importance of continuous improvement with everybody and at every opportunity. Regular, consistent communication serves the purpose of building confidence in and enthusiasm for the CI initiatives.
This is also the time to work on developing the right mindset among employees – one of the biggest challenges to building a culture of continuous improvement. A growth mindset where continuous learning is encouraged will drive long-term improvements. Consider conducting coaching and training sessions where you encourage new behaviors and build the required skills, such as effective problem-solving.
3. Ask for improvement ideas
Employees want to feel valued; they want to know that their opinions matter. They are often best placed to identify process or systemic issues, so ask them for ideas for improvement and respond quickly to those ideas. But don’t only ask for ideas that directly affect the bottom line or meet a certain ROI threshold. By creating an environment where all improvement ideas are welcome, you’ll be encouraging innovation and accountability too.
4. Empower employees
Empower employees to make continuous improvement a part of their daily work. Encourage them, give them the CI tools, training and time required to look into their existing processes, so that they continuously identify opportunities for improvement. Once an improvement has been implemented, ask employees to document this improvement, which then becomes the standard going forward – until further improvement opportunities are identified.
5. Emphasise the importance of small, incremental improvements
Don’t make every improvement an event or a project as this is not a sustainable approach to creating a culture of continuous improvement. Rather encourage small, incremental improvements in all functions and at all levels of the organization. These types of improvements, known as Kaizen, are valuable and form the basis for a culture of continuous improvement because all employees become actively engaged in the improvement process.
6. Help share ideas and improvements
Share CI ideas and improvements via emails, newsletters, noticeboards, or any other available channel. The success of a CI culture hinges on its effective integration throughout the organization, where everyone is participating and taking responsibility for improvements. New ideas, line or team performance improvements, and PIP savings shared and easily accessible through visual management, for example, on departmental digital dashboards, will bolster team participation, motivation and morale.
7. Celebrate the results achieved through continuous improvement
Celebrate successes by formally (and informally) recognizing the teams and individuals involved in the improvements. Ongoing recognition contributes to employee engagement, and motivates other teams and team members to improve their processes too. Incentivize your people with a reward and recognition program where all CI achievements are acknowledged.
8. Encourage participation by keeping the methodology simple
Organizations that succeed in spreading a culture of continuous improvement do so because their methodology is simple. Make your improvement methodology simple enough so that everyone can participate and identify improvement opportunities.
Continuous improvement doesn’t play second fiddle in an organization that has mastered the cultural transformation. Why? Because every employee and leader in that organization knows that improvement is a key aspect of their job, and they approach it with the same weight and discipline as they would any other key performance indicator.