Is Lean FISTy?

I've mentioned Lean and Six-Sigma in several previous posts, and wanted to spend a little time exploring one question in particular: Is "Lean" FISTy?

If you read yesterday's post, you probably know the answer is "It depends." There are certainly some areas of overlap between the two approaches, and some common underlying values. But they're not exactly the same thing. Let's take a look at some of the attributes of these two approaches. Please understand that although I'm taking a somewhat binary approach below, the comparison isn't strictly an either/or in every case.

Lean is a process-oriented methodology.

FIST is a person-centered value set.

Lean is about value-chain efficiency and manufacturing. It values repeatability and focuses on program commonalities.

FIST is about effectiveness and creation. It values originality and emphasizes program uniqueness.

Lean strikes me as potentially introverted, focused on removing waste from processes in order to maximize value for the customer.

FIST is emphatically extroverted, focused on ensuring the capability is "affordable, available and effective." It has a higher tolerance for "waste."

Despite protests to the contrary, Lean strikes me as somewhat myopic - not in theory, but in practice. Lean is supposed to be strategic, but when it's actually implemented, human nature tends to devolve it to narrow applications (i.e. implement a change that saves my unit $10 even though the change costs the overall organization $20).

FIST, on the other hand, is systemic, and takes into consideration the human element of decision making and problem solving.

Lean's focus on removing waste is probably good. Lean's over-definition of waste might also be good. It focuses on optimization

FIST has a tolerance for what Lean calls waste, and maybe even an affection for waste. FIST is not particularly interested in optimization (which it views as impossible anyway). Instead, FIST is about near-term sufficency as a strategic objective. The ability to rapidly deliver a capability for a short/near-term need is itself a strategic capability.

OK, this is just a quick sketch of some differences. Lean and FIST do indeed have some things in common. And Lean has much to commend it, particularly in areas where the work is well-bounded, repeatable, etc. It makes sense to apply Lean to situations like invoicing, manufacturing, maintenance, etc. But in other areas, where the work is not repeatable or well-bounded, the FIST approach can still serve to guide decision making and problem solving.

Waste

In a recent briefing, someone explained that a Lean Six Sigma analysis showed that 90% of what an organization does is "waste." Further research showed that the almighty Toyota, Masters of Lean, manage to occasionally reduce their waste to only 70% (on a good day).

Ok, this is me waving the BS flag.

First of all, how do we define "waste"? How do we measure it? Is all inefficiency in that category? And really, how much waste is appropriate? Should we aim to get to 70% like Toyota? Should we be content with 90%? His point seemed to be that there's a lot of improvement to be made. I'm not sure he really understood the implications of what he was saying - isn't it possible that 90% (if that's even the right number) is absolutely the least amount of waste we can reasonably expect to produce?

It really gets back to the question of rational optimization - and regular readers of this blog know I don't believe in optimization, at least not when it comes to human-centric activities like project leadership, technology development, etc. Yes, there's something to be said for streamlining our efforts... but there can also be great value in creative exploration, even if it doesn't lead directly to the outcome we think we want. Sometimes the messy, inelegant preparation phase of the project is the most fruitful (eventually), even though it appears to be "wasteful" at first.