Duxinaroe - a selection of case studies & other activities

Behind every number, there are People
Case Studies & other activities
Talks, papers & examples of benefits delivered by Duxinaroe Ltd.

Warsaw
Presenting to MRC Group (a conglomerate of 12 consulting companies) by invitation of founder and Chairman Jan Kluk OBE (Ex ICL Fujitsu European Director).
Milan
Key Note at Operational Excellence Seminar on request of Xonitek founder J. Paris
London
Key Note at Psychology and Culture Change Seminar.
Coventry
Key Note at ‘The Deming Alliance’, expanding on the neuroscience behind the principles within Demings SoPK (System of profound knowledge).
SPEAKING ENGAGEMENTS
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100 St Paul's Churchyard, London, EC4M 8BU. | www.duxinaroe.com |020 3713 3420| info@duxinaroe.com

Innovation An article on the psychology & neuroscience of 'Innovation' was requested & featured by SCiO (Systems and Cybernetics in Organisations) Group in their winter newsletter entitled ‘Viability Today’. The Brain of 21st Century Leaders An article requested by the LMJ (Lean Management Journal) provided from an abridged original looking at how the foundational beliefs of a leader has a significant impact on organisational performance. Best Practice’ Doesn’t Suit the way our Brain Works! A short article published by the PMA (Performance and Measurement Association - University of Cambridge) detailing some of the issues we face when we consider control in respect to 'process'. The Human Cost of Control A summary of a longer article discussing the impact of prevailing conditions on the performance of the individual at work, provided to SCiO (Systems and Cybernetics in Organisations) Group for publication in their newsletter. Take Care of the Edges and the Middle will take care of itself. An article featured by the PMA (Performance and Measurement Association - University of Cambridge) describing how big problems go away when the detail is taken care of and linking this to understanding the detail of neural function behind behaviours, attitudes and organisational performance. 'Soapbox' An article featured in the Chartered Quality Institutes [CQI] 'Quality World' magazine in which it was argued that ‘best practice’ tools consistently fail to consider the people within the process with any degree of scientific understanding. 'The Enemy Within‘ An article featured in the LMJ (Lean Management Journal) Sponsored by Lean Enterprise Research Centre at Cardiff University. The article explains how the barriers to change, development and performance improvement must be considered in respect to the brain as psychologically affected by control systems.
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PUBLICATIONS

“Although People are recognised as a component and asset in most organisations, it is the way that many organisations attempt to systematically control people or their activities that hinders or prevents those people achieving their best contribution.”
Individuals are a product of their brain and mind working together. The output is their reactions and behaviours. In the workplace, amongst other factors, peoples behaviours are influenced by the prevailing culture and communications within their organisations; particularly where the substance of the culture and communications has a focus on ‘Controlling people’ rather than ‘Providing people with Control’.
Similarly the degree of alignment between their values, attitudes and beliefs and those of the organisation as a whole, also play a part in determining people’s behaviour and level of performance.
By better understanding the brain and the mind it contains, in the context of the organisation, it is possible to analyse and adapt organisational design, operations, systems and the way people are led and managed. In this way the organisational culture and operations are better aligned to the way people naturally function. The outcome of such an approach is a marked increase in employee awareness, involvement and satisfaction which deliver greater business results.
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1.Strategy: to control direction
2.Structure: to control the flow of work and information
3.Systems: to control departments and their functions
4.Policy: to control people
5.Procedure: to control method
6.Process: to control variation
CONTROL MECHANISMS
IN AN ORGANISATION:

Case Studies
5

Executive summary.
2014 - New CEO appoints European APQP (Advanced Product Quality Planning) director to realise a ‘Unified’ Vision across the global network of companies. UK Site looking to lead on APQP development engaged Duxinaroe to deliver FMEA (Failure Mode Effects Analysis) training in support of a new platform development cycle. Initial success has led to enquiries about a new Lean Leader development programme to run throughout 2015 and beyond across the rest of the division.
Problem statement.
Historic design errors are carried across to new platforms seeing many thousands of man hours spent correcting mistakes under customer scrutiny. On a product which consists of approx. 90,000 components, there is never enough time to rectify the situation within the lead-time for new orders.
Impact / cost of the problem
Time lost to end of line re-work erodes profit.
Interventions applied
The Dux methodology has been applied to enhance the FMEA training in support of the APQP program, bringing an awareness of ‘Human Factors’ into the content and delivery. As a direct result of this approach, Duxinaroe are now in discussion with the site lead in respect to a ‘Lean Leadership’ development program for 2015.
Changed state
TBA – On-going.
Impact / benefits delivered
TBA – On-going.
6
Transport (Rolling Stock).
Support for European development program.

Executive summary
2008/9 – This £45M turnover company had made losses for 7 years following a site move. Reasons included down-time and productivity issues, quality issues and on time delivery performance at 48% or less.
Following discussions around Culture Change in November 2008, a leadership development programme commenced in January 2009. This coincided with a 27% global downturn in the automotive industry.
Problem statement
3 previous expensive and extensive consulting interventions over a 5 year period had led to no improvement. 12 kaizen initiatives run over 15 months failed to engage the workforce, seeing the 5S boards thrown in the skip once the consultants departed. These problems were compounded by poor communications across the cultural layers within the organisation.
Annual £300k - £500K a year losses were supported by group as the business was strategically beneficial, being geographically well-placed to service the European client portfolio. This allowed the group to up-sell and recover the losses through product sales from other divisions. However, it was stated by group this couldn’t continue and the business had to become a profit centre in it’s own right.
Duxinaroe conducted their Culture Analysis, which led to our ‘Culture Change’ course being delivered to all 15 leaders across the business, from shop-floor supervisors, through middle management to the Executive team. During this programme, the principles of a ‘Psychologically congruent strategy’ were introduced and connected to Policy Deployment as a foundation for Lean development.
Changed state
Following this intervention, in which ‘Responsibility’, ‘Blame’, ‘Projection’ and ‘Control’ were addressed, the team took full responsibility for their outcomes together. The team re-wrote the operational strategy to ensure it could be ‘Deployed’ and completed all major actions within 3 months.
Impact / benefits delivered (in-year)
•63% EBITDA improvement.
•£2.8M increased sales.
•OTD to 98%.
•Floor space reduced by half.
•5000% productivity improvement from 2 primary production lines.
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Automotive – OEM & After market component supplier.
Turn-around mid-recession from 7 year loss-making position.
The MD says, “It’s important to realise, these benefits came from the same team that struggled to make any difference for the previous 7 years.”
The company remains in profit with increased turnover to this day and the MD has gone on to develop other companies within the group across Europe.

8
Executive summary
2014 - £4.5M turnover SME ran into trouble in 2008 leading to a buy-out and new management team who immediately grew the business from £4.7 to £8.2M turnover in the first year. The impact on cash flow and the increased inefficiency placed the business in administration in the same period. The business was bought in 2009 and continues to evolve under a new team.
Problem statement
Process inefficiencies and challenges communicating across two fundamentally different business models (operating under one roof) causes the business to lose money each time it increases turnover beyond £5.7M.
In 2013 the company turned over £5.7M and losses posted were (£275,000.00). The company cannot grow without making losses.
Working with the board & senior management team, Duxinaroe deployed a programme of work to address issues of ownership, control and culture change, followed by a deployed operational strategy and the development of best practice tools in all areas.
Changed state
Lines of communication were improved by introducing a ‘Voice of the customer’ mind-set and practices. Cost savings were made through re-structuring activities. Policy deployment is now visually managed across the site clearly linking weekly and monthly objectives by function with the overall strategic outcome requirements of the business. A Lean roadmap was developed to specifically address operational efficiencies.
Projected £250K Net Profit. TBA / on-going.
Retail / Shop Fitting manufacturer Turn-around from loss making instability.

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Problem statement
2008 - £1.2M turnover SME considered themselves to be operating at capacity and were planning to move to a larger facility. The move would have cost them £1M and threatened the future stability of the business.
A lean manufacturing change programme coupled with the Dux Methodology was implemented over a period of two years.
Changed state
The business re-engineered the layout to improve flow, realising ‘small batch’ production and reducing the manufacturing footprint by two thirds in line with capacity and productivity improvements. Ultimately, an operational strategy based on Policy Deployment was introduced to support future growth plans.
The business tripled turnover while developing a more diverse customer base. In addition to manufacturing windows and doors they now supply Bentley in the automotive sector. They also reduced costs to increase sales and profit per capita allowing them to grow through acquisition, bringing composite door manufacturing into their portfolio.
In 2014 they are turning over approx. £4M, making 22% net profits and now, having reached their true capacity, are moving to a much larger facility to consolidate both businesses under one roof.
Exclusive Joinery
Anticipated requirement to move site avoided and turnover tripled.

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Change Programme Examples
Food Manufacture (Ireland)
Problem solving and leadership development programme provided to an incumbent consulting company, to compliment their services.
Food Processing Equipment Manufacture (Europe) Support programme delivered to strategically align a Customer service business unit and technical documentation department across 5 sites.
Aerospace / automotive component manufacture Executive support provided to address operational efficiency improvements, quality and sales.
Aerospace Spring manufacture
Leadership transition and operational efficiency improvements delivered across all departments.
Crop Processing
Business turnaround programme ending a 20 year loss- making history.
Automotive and Marine Controls manufacture
Lean implementation and stock turn improvement programme delivered UK and Europe wide in support of US parent company.
Military / Defence
Business turnaround programme ending a £7M profit drop over 2 years.
Automotive Tier 1 Lighting Manufacturer
Lean Implementation and H&S improvements delivered in support of Quality, Cost, Delivery and bottom line improvement targets.
Extruded window and door manufacture
Lean Implementation and H&S improvements delivered in support of Quality, Cost, Delivery and bottom line improvement targets.

Cognitive Based Safety (CBS) Lean Manufacturing Performance Improvement Culture Change Strategy Leadership Parenting and child development

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