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1. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
01
TOYOTA KATA
Understanding
the Direction

2. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
02
These are specific PRACTICE
ROUTINES to acquire / develop
the SCIENTIFIC pattern of
thinking and acting
The COACHING KATA is a
practice routine for learning
how to teach the
Improvement Kata pattern
The practice routines in this are used to learn the
SCIENTIFIC thinking pattern of the Improvement Kata
through application practice
The IMPROVEMENT KATA PATTERN
(the scientific approach)
A KEY POINT ABOUT KATA

3. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
03
THE STEPS OF THE IMPROVEMENTKATA FRAME
AND BUILD ON ONE ANOTHER
What you do in one step
frames the next step
The more precisely you define the Target Condition,
the better and more quickly you can recognize obstacles
and Iterate toward it with rapid experiments .
The clearer the definition of the Challenge,
the more appropriate will be your analysis
of the Current Condition.
The better your analysis of the Current Condition,
the more precise your definition of the Target
Condition can be.

4. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
04
Target
Condition
Achieve by:
Focus Process: Challenge:
Current
Condition
PDCA Cycles
Record
Obstacles
Parking Lot
LEARNERʼS STORYBOARD
Learner and Coach are now concentrating on this field

5. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
05
What is the Purpose of an Organizational Vision?
Vision Statement: (Desired End-State)A one-sentence statement describing the clear
and inspirational long-term desired change resulting from an organization or
program’s work.
Examples
Alcoa – Our vision is to be the best company in the world--in the eyes of our customers,
shareholders, communities and people. We expect and demand the best we have to offer
by always keeping Alcoa's values top of mind.
Tyco - We will increase the value of our company and our global portfolio of diversified
brands by exceeding customers' expectations and achieving market leadership and
operating excellence in every segment of our company.
Central States Manufacturing, Inc - Our company devoted to the personal growth and
well-being of our owners. We are dedicated to increasing the value of our company by
making Raving Fans of our customers through exceeding their expectations, being
easy to do business with, demonstrating excellence in all aspects of our business and
being committed to improving their business.
Cree - Delivering Customer Satisfaction is about providing timely, responsive service with
integrity, simplicity and a passion for excellence while meeting or exceeding the
customer’s expectations

6. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
06
What is the Purpose of an Organizational Vision?
Vision Statement: (Desired End-State)A one-sentence statement describing the
clear and inspirational long-term desired change resulting from
an organization or program’s work.
• Did you notice the similarity of the bold type words in the previous slide?
• Vision Statements are meant to capture the future state of an
organization while encompassing the core values of the organization and
stating where they will remain in their market (i.e. #1 brand, Exceeding
expectations, …)
• Google any list of company visions statements and 75% of the wording
will be similar and yet vague….because they are designed to be.
• It’s like imagining if your were blindfolded and placed in the middle of a
desert such as the Bonneville Salt Flats…. Without a True North, you are
doomed!

7. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
07
Vision
Next
Target
Condition
Current
Condition Obstacles Challenge
CONNECTING STRATEGY & EXECUTION
By Mike Rother
Execution Strategy
Leaders establish
the organizationʼs
strategic concept
(the “rallying
point” or overall
direction)
Managers
develop people
by coached
practice of the
Improvement
Kata in the
direction of the
challenge
The role of Challenge in an organization
2 weeks –
1 month
Successive T/Cs
to achieve the
Challenge
Distant
Often
General
“Principles”
1-3 years
Concrete
Hard Metrics
THE KATA
TRAJECTORY

8. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
08
A Vision/Challenge/Target Condition Analogy
VISION – Over the next 500 years, mankind will
boldly go and find lands, oceans, and places only
previously imagined in dreams. (Although vague, it
gives direction and purpose)
“By prevailing over all obstacles and
distractions, one may unfailingly arrive at his
chosen goal or destination”
-Christopher Columbus
1451-1506

9. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
09
After several Challenges are achieve in the
direction of this Vision - Man orbits the Earth
Vostok Missions –
1961-1963

10. Toyota Kata
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America’s Vision/Challenge/Target Condition Analogy
CHALLENGE – distant, accepted, and achievable.
Hard metric = … landing a man on the moon and returning
him safely to the Earth (from JFK Congressional speech 5/25/1961)
VISION – although vague, it gives direction

11. Toyota Kata
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© 2016 Jidoka®
11
TARGET CONDITION #1 – U.S. Manned orbit of Earth
Mercury Missions –
1962-1963

12. Toyota Kata
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SUCCESSIVE TARGET CONDITIONS
Target Condition #2 – Docking in Space
Gemini Missions –
1965-1966

13. Toyota Kata
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13
SUCCESSIVE TARGET CONDITIONS
Target Condition #3 – Orbit the Moon
Apollo Missions –
1967-1972

14. Toyota Kata
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© 2016 Jidoka®
14
SUCCESSIVE TARGET CONDITIONS
Target Condition #4 – Land on the Moon
Apollo Missions –
1967-1972

15. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
15

16. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
16
The CHALLENGEThe TARGET
CONDITION
THE PDCA
STEP/EXPERIMENT
THE POWER OF RAPID PDCA
IS CHEWING REALLY FAST
ANOTHER LOOK AT THE KATA
TRAJECTORY

17. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
17
Sequence to Align
the Challenge with
the Vision
2016 VISION
• Develop continuous improvement
leaders
• Recognition
• Expand KATA & KPIs
• Empowered by communication,
collaboration, and teamwork
• Data driven & results oriented
• Passionately committed to
continually improve
Challenge
It would be _______________ if
by ________we could:
___________________________
___________________________
___________________________
___________________________
Metrics:
• Passionately committed to c
• Fd
• Fd
• Re
• re
TC TC TC
We are
here
Desired State 6 – 18
months out, leading
towards the Vision &
Future State Map
Current State Map
Series of Target
Conditions necessary
to reach Challenge
The Future
ACT PLAN
DOCHECK
ITERATE TOWARDS
THE TC AND
ULTIMATELY THE
CHALLENGE (PURPOSE
DRIVEN ACTIVITY)
Future State Map
5, 20, 50 or more years out
1
2
3
Obs
tacl
es
45

18. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
18
Direction
Learnerʼs
Storyboard
CoachLearner
(date)
Next Successive
Target
Condition Obstacles Condition
Current
Challenge Vision
Target
Conditions
2 Weeks out
Describes the next
desired condition,
to be reached by a
specified achieve-
by date.
Having a challenge without the ability to execute is ineffective
Just issuing challenges is not sufficient for achieving improvement,
adaptiveness and innovation. People in the organization also need to
master a systematic, scientific way of working toward a challenge.
Looking ahead to the rest of the Improvement Kata (where execution
takes place) itʼs a series of Target Conditions that day-to-day
improvement efforts at each level will actually be aiming for.
HAVING A CHALLENGE IS NOT ENOUGH

19. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
19
ALONE ARE NOT A DIRECTION
Just cutting cost will not likely result in a sustained competitive
advantage.
The Improvement Kata improves the skills of the learners to solve
problems. It creates a systematic organization wide method to
focus on an organizations current challenges.
Note: EFFICIENCY AND COST CUTTING

20. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
20
Writing your Challenge
Below is a way to formulate a Challenge statement that has been effective.
Your Challenge statement may differ, which is fine, however most successful
companies with Kata in my experience write it in this form:
A Healthcare example:
It would be JIBALICIOUS if by Date i.e. August 26, 2017,
Each department has ownership of TWI JI training and is passionate about getting and
keeping staff trained on important jobs. Required jobs and their related JIB’s are
approved through a Shepherd’s Group specifically for TWI – JI so that we achieve
department specific strategic A3 quality and KPI metric outcomes aided by
standardization of jobs.
Outcome Metrics:
• 75% of departments with at least a 1:7 trainer/staff ratio
• Clinical departments have 90% of identified Job Instruction Breakdowns
(JIBS) written and approved by leadership
• 75% of clinical staff are trained and verified on department specific
approved JIBS

21. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
21
Below is a manufacturing example:
• It would be…GLORIOUS if by 1/1/2018, we could eliminate overtime which would
give everyone a better quality of life, having reduced the required machinery by ½
to open up floor space for new product capacity, so we accomplish:
Outcome metrics of:
• No mandatory weekends
• Overtime = 0%
• Scrap < 2.5%
• First Pass Yield < 98%
• Employee Satisfaction survey < 80%
Writing your Challenge

22. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
22
Below is an example from healthcare:
It would be… FIMTABYOULOS if by 3/31/2017, we could capture and
document the patient’s actual functional status so that the gap between
our admission FIMs and the regional bench mark is closed!
So we accomplish:
1. Increased LOS for our patients to benefit from our care
2. Receive full credit for the exceptional progress our patients make
And achieve outcome metrics of:
• Total patients admission FIM score mean will be within 15% of the
regional mean score
• Estimated length of stay (ELOS) < 1 day of the regional average.
Writing your Challenge

23. Toyota Kata
© 2016 The Leadership Network®
© 2016 Jidoka®
23
Assignment #1
Write out your Company or Personal Challenge Statement in this
form:
It would be __(use a descriptor more powerful than “great” or
awesome”…think COLOSSAL or MAGICAL…)____ if by _(enter
date 6mo - 2 years from today)_ we were:
__(on these lines write the “what” the operation/business/environment will
look like; it may include the strategy or techniques you think you may
use………as well as the “How” of the strategy or techniques you could go
about reaching the Challenge and the Outcome Metrics)_BUT DONT
WRITE SOLUTIONS!__________________
So that we achieve:
Outcome Metrics:
• Metric #1
• Metric #2
• Metric #3……