Every business, from Doctor's offices to distribution warehouses, has waste within their operations in one form or another.

And we're not talking about taking out the garbage more efficiently. What we mean are the seven forms of waste identified by Toyota over the past 50 years; things we do that add no value to our product or service from a customer's perspective. Learning what they are will enable you to develop plans to eliminate them, saving your organization valuable time and money.

Difficulty: Instructions
1.
o

1 Transportation - Moving an item, product, or information from one place to another. For example, walking a customer request form to another department in a call center. The more you move, the more time it takes to complete your product or service. Excessive movement also increases the likelihood of damage or injury. Reduce your movements and you'll increase your productivity. 2 Inventory - Carrying large inventories ties up financial resources and valuable space. But inventory exists in transactions as well, such as items or products waiting to be processed. For example, allowing orders to accumulate that are waiting to be processed, or allowing transactions to queue up ahead of other steps. These types of inventories usually cover up poor work methods, equipment issues, and flow imbalances. 3 Motion - Excess movement and/or poor ergonomics including walking, bending, reaching, and twisting. For example, extra movement and steps needed because of a poor workplace layout. These extra steps add time to your process. Also, any time spent by your employees looking for tools, equipment, or supplies is wasted motion; and it's costing you money. 4 Waiting - Delays caused by shortages, approvals or downtime For example, idle time in any process waiting for action, or orders in the in-box waiting for credit approval by a supervisor. When your employees wait for anything they become a wasted resource; one that's still getting paid, however. 5 Over-processing - Adding more work than the customer is willing to pay for. Some examples are inspecting work to make sure it is done right, or doing more than is necessary when the customer does not want the service. Ever hear of a pirate ship polishing it's cannon balls before firing them? Either have I. 6 Over-production - Making or processing more than is needed or producing items when there are no customer orders. Other examples include printing extra copies of an order just in case it's needed, or having an employee fill out a report nobody reads. 7 Defects and Rework - Correcting mistakes. The old adage of "doing it right the first time" speaks volumes here. Additional resources spent toward inspection and quality control is probably the biggest waste out there. Find ways to eliminate defects and errors at the source before they happen rather than wasting resources catching them at the end.

Almost everyone who hears about Fake Work seems to know what it isimmediately. And, Fake Work is what people think it isthe endless meetings, the deluge of e-mails, and unending conference calls.So, while a weekly meeting can be pretty fake, what are the consequences of a whole marketing department that develops hundreds of marketing materials for products that are being discontinued? We observed a $10 million marketing meltdown where leaders were not aligned to strategy. What is the cost of doing the wrong dosage studies on a drug so the research has to be canceled? In one case, a pharmaceutical company buried approximately $180 million due to poorly expressed goals and careless communication.

Fake Work Is More Serious Than Office Distractions

Fake Work is an insidious problem dwelling in almost every organizationlarge or small. We define it as work that is not linked directly to the strategies of the organization. Simply, Fake Work is any work that is not aligned with and directly linked to organizational strategy. Its the wasted effort, wasted energy of hardworking, dedicated people who couldhave been executing work of value and helping get results that truly matter.

The Statistics Are Shocking

The issue is simply the focus on work: Do people come to work every day and know what is expected of them and do itor not? First of all, we found that more than 50 percent of all work is Fake Work,but consider our other findings:
y

73 percent of workers say their organizations strategies and goals are not translated into specific work tasks they can execute. 70 percent of workers do not know what to do to support their organizations strategies and goals. 81 percent of workers do not feel a strong level of commitment to their organizations strategies. 74 percent of U.S. government employees cannot name a single goal of their agency or department.

Aligning to Strategy to Execute Real Work

Real Work requires a carefully managed chain of events that is posed by the following model:

Strategy>>>Alignment>>>Execution
When any part of this chain is broken, Fake Work occurs. For any organization to be successful it has to:
y y

Create a clear strategy that shows clear intent. Ensure that every employee is aligned to the strategy so they are prioritizing work tasks through the lens of the team. Execute on the strategy by ensuring that every person understands how to turn the strategy into action every day.

1. Strategy must be driven through the organization . Organizations are careless about
getting strategic intent out of the executive offices and into the daily work of employees. While companies, in particular, spend lots of time developing strategy, they often make three big mistakes that ensure their strategy doesnt get implemented. To have a clear strategy, organizations mustA.C.T. on three critical strategic success factors:
y

Articulation. Strategies must be clearly, effectively, and simply articulated so they can be read and understood. Communication. Strategies must be communicated effectively and the messages must be carefully managed to help leaders, at all levels, become advocates and translators of the strategies and help every employee understand the strategies in terms that make sense to them. Translation. Every person in that organization must translate strategy into priorities and tasks they do every day.

2. Alignment fills the execution gap in almost all organizations . Alignment is a critical
and often missing piece. The big problem is that leaders at all levels assumethat alignment is happening. They assume that people heard about strategy. And, they assume they understood it. However, because 73 percent of workers say their organizations strategies and goals are NOT translated into specific work tasks they can execute, we know the problem is vast.

Alignment isnt just about aligning systems, structures, and processes. Alignment is about bringing people into a cohesive forcefocused in the same direction, adjusting work to serve the best interests of the team, and finding ways to help and support each others success.

Alignment is a collaborative process that helps build teams by establishing common purpose and focus and clear direction.

3. Execution is the teams work. Most books talking about execution focus on leaders. We
know that leaders set the stage, motivate, and drive execution. They are the gatekeepers and conduits for change. Without leaders on board, Fake Work will thrive. However, leaders need to empower their employees to own the strateg ies, to create priorities with all their team, and to commit to Real Work tasks. Then, they must hold each other accountable.

Conclusion: Do Real Work. We have one overarching bias: People hate Fake Work and love
to contribute, be valuable and valued, and to do Real Work they can be proud of. Organizations must do a better job of identifying Fake Work projects, processes, and systems, as well as pockets of Fake Work that are demeaning the value of their people. Real Work is the saving grace of every organization trying to stay alive in a challenging and competitive world.