Pulling TOC Step 0: How to Overcome Fear of Moving (and Staying) on TOC

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1 Pulling TOC Step 0: How to Overcome Fear of Moving (and Staying) on TOC Presented By: Henry Fitzhugh Camp Date: June 11,

2 Moving and Staying on TOC Getting through the noise Pushing doesn t work Answering a cry for help Specifically, what you do Why they ll Pull you into a Viable Vision 2

3 What TOC Consultants hear: Our first priority is our new ERP implementation We have to have it We ll all be singing from the same hymnal We can t run the company on spreadsheets We have dozens of competing improvement needs My schedule is tight Insinuation: I m really important around here 3

4 What Clients Mean but Won t Admit: We are scared not to implement ERP And worry it won t help And worry it will kill us I think I better shoot it even before its paid for. 4

5 What TOC Consultants hear: Our first priority is our new ERP implementation We have to have it We ll all be singing from the same hymnal We can t run the company on spreadsheets We have dozens of competing improvement needs My schedule is tight Translation: I m trying to look calm 5

6 What Clients Mean but Won t Admit: We don t know which opportunity will be a winner Yes, nothing ever gets done right Yes, everything is late But, we re afraid to miss a winner 6

7 What TOC Consultants hear: Our first priority is our new ERP implementation We have to have it We ll all be singing from the same hymnal We can t run the company on spreadsheets We have dozens of competing improvement needs My schedule is tight Implication: I m really important around here 7

8 What Clients Mean but Won t Admit: My calendar keeps me in a state of near panic 8

9 There is a powerful need We know TOC helps They are mostly unaware Therefore, clients have inertia Client 9

10 There is a powerful need We feel the urge to be the irresistible force, in response to their immovable object. This is wrong! 10

11 Tell Them! How many people have you PUSHed on TOC? Were they thrilled? Did they beg to hear more? This is wrong! 11

12 Force feed them! They ll appreciate it later. Were any of you force fed TOC? Disgusting. This is wrong! 12

13 We know better TOC advises PULL to enhance flow. Isn t it strange that we, of all people, PUSH? 13

14 Both our approach and their reaction are based on how are brains are hardwired New Brain (We PUSH from here) Mammalian Brain Lizard Brain 14

15 We ve all got a Lizard Brain Add a modicum of fear* and we re in reactive survival mode. ZIP! The lizard ran down its hole. What are you thinking? Survive *CRUTCHES: It may be hard work. It s so new to me, 15 I could get it wrong. expertise is useless. I could lose my acceptance 2014 TOCICO. from All rights the reserved. herd. TOC breaks my rules. MERMAIDS: I d be admitting my

16 Neuroplasticity* If you dwell on a thought with enough effort until it is the loudest voice in your mind, the brain bridges the synaptic gap between neurons. These new connections occur at the expense of existing ones. *Those of you who are not much younger than me, 16may be forgiven for thinking neuroplasticity does not exist, because we were taught our brains are physiologically fixed in childhood. That turned out to be wrong.

17 Neuroplasticity If you dwell on a thought with enough effort until it is the loudest voice in your mind, the brain forges a permanent neural connection. These new connections occur at the expense of older connections. When we PUSH TOC at someone, even if they are interested, we are doing the thinking. Their brain is just idling, listening and checking to see if their gut agrees. Inadequate to pave new pathways and break Cost World ones. 17

18 Backsliding If you take responsibility for thinking in an engagement, how do you expect a client to make the right moves after you go? 18

19 Direction of the solution The process of sharing TOC must be a gift of hard work. The client has to think it through hard enough to get it. 19

20 Direction of the solution The process of sharing TOC must be a gift of hard work. The client has to think it through hard enough to get it. It s not our job to make it easy. It s our job to help them know it is possible. 20

21 Direction of the solution The process of sharing TOC must be a gift of hard work. The client has to think it through hard enough to get it. It s not our job to make it easy. It s our job to help them know it is possible. It s their job to work out the how. 21

22 The clients current reality. Clients are not looking for TOC* B They know their world is hectic and want a solution. They know their lives are unbalanced and want a solution. They know their stress is killing them and want a solution. C At the same time, they want more. *Yes, I find one exception every 10 years too. 22

23 Come in the door that is open They want a win-win solution B Less Stress I work less D More money C I work harder D 23

24 Bad Multitasking is our door in We know how to remove D. B Less Stress I work less D More money C I complete more initiatives I work harder D 24

25 To learn prioritization they need TOC Bad multitasking is caused by the inability to differentiate between the relative value of opportunities. 25

26 New first actions in any S&T I call this Node 2.0*. Every S&T should adopt it as its first change effort Ever flourishing 2.1 Effective experts already do this. Abolish multitasking Decisive edge It is time we formalized it. *Even though I can t make Harmony number it this 26 way

27 Here is an overview of the S&T nodes This is the primary branch. Before the client chokes the release of active initiatives, they must know what to leave alone (3.1.1). 27

28 Here is an overview of the S&T nodes Identifies UnDesirable Effects (UDEs) the symptoms that currently plague the company. 28

29 Here is an overview of the S&T nodes In step connections between the UDEs are uncovered along with other intermediate causes and preconditions. This reveals the Current Reality Tree (CRT). And, for the first time, they understand their own company. 29

30 Here is an overview of the S&T nodes You know what comes next. Pick 3 disparate UDEs, derive the core conflict and build it into the bottom of the CRT. In the process of converting the CRT into an FRT, needs for new initiatives are revealed. 30

31 Here is an overview of the S&T nodes Now, ask them whether they prefer to work on all the symptoms or the root cause. They start to get what focus means. 31

32 Here is an overview of the S&T nodes They are willing to give up their pet initiatives if you: Involve them first Listen to them Accept their legitimate corrections Thank them for their input Business is not a democracy. You decide. 32

33 Here is an overview of the S&T nodes They are now willing to wait for their initiatives. 33

34 Here is an overview of the S&T nodes There is more, including how to get them to PULL the stress reduction initiative into a Viable Vision engagement. 34

35 Conclusion Formalizing with an S&T delivers quickly It pulls the company out of the noise Reduces their confusion Focuses them Opens their eyes to interdependence Produces big results in two weeks Has them hungry for more 35

36 The Presenter For access to Henry s S&T level 2.0 which fits before any existing Transitional S&T tree, please henrycamp@ideallc.com Subject: Level 2.0 Henry Fitzhugh Camp is a co-founder & CEO of IDEA. Camp is an ex-professor with 30+ years experience in distribution and supply chains. He is a practical entrepreneur who has (mostly) moved from consulting into private equity, using TOC to enhance the value of portfolio companies. He is a native of Louisville, Kentucky who earned a BA in Mathematics from the University of Virginia and is a world-wide authority in Theory of Constraints Replenishment. When in doubt, choose the less efficient alternative. 36

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