Applying a Knowledge Strategy Dr. Scott Shaffar March 2003 2 Copyright 2003 Northrop Grumman Corporation Agenda §Knowledge Strategy, Process and Tools §Synergy with Lean §Closure 3 Copyright 2003 Northrop Grumman Corporation #####-### Knowledge Strategy, Process and Tools 4 Copyright 2003 Northrop Grumman Corporation You Need a Knowledge Strategy if… §One of Your Key Staff Members Is Leaving and You Don’t Know Who Would Be the Best Replacement §Your Teams Start from Scratch §It Takes too Long for New Employees to Become Productive Team Members §You Have Pockets of People Doing the Same Thing and They Are Not Talking to Each Other §You Realize That Your Team is Repeating the Same Mistake §It Takes You More Than 15 Minutes to Find a Subject Matter Expert to Answer a Question §You Don’t Know Precisely What Is in Your System, or Who Worked on It 5 Copyright 2003 Northrop Grumman Corporation Knowledge Strategy – Process and Tools §Knowledge Management Is a Process – Learning, Linking, Leveraging – And Leading §Technology Solutions and Communities are Enablers – “Linking” Knowledge (Portals) – People to People (Expert Location) – People to Documents) 6 Copyright 2003 Northrop Grumman Corporation Issue: KAX-xxx; Issue Date: 4/17/99; Status Date: 5/3/00; Team: KAX, IPCD: 74-NXXXX L4: C. Kent, x12345; L5: L. Lane, 12346 Issue ? Succinct statement of the problem ? Use Arial; font sizes no larger than 28, no smaller than 18; bold for headings ? Use no more than 12 to 14 lines of text per page ? Reference CAR or other Quality document when applicable ? When updating, put new text in BLUE ? When closed, include “Closed” banner on first page only – No charts can say “Preliminary” when issue is closed Impact ? Define aircraft affected and net effect of problem ? Identify whether problem affects BAC’s assembly line Status ? Define current actions taken X Y z 568 129 +/-7Y * * * ISSUE CLOSED * * * Short Descriptive Title No. KAX-XXX Issue: KAX-xxx; Issue Date: 4/17/99; Status Date: 5/3/00; Team: KAX, IPCD: 74-NXXXX L4: C. Kent, x12345; L5: L. Lane, 12346 Major Contributor Minor Contributor No Impact Root Cause Meeting Attendees mm/ dd/ yy John Doe,Bill Sparks, Clark Kent, Lois Lane, Billy Batson Root Cause Fault Tree Under Investigation Missing Fasteners @ Bootstrap/Y679 Former Product Definition ProductDelivery PlanningDesignDesign M.EM.E CostcenterAssy QAQA Engineering is Correct Drawing Clarity Drawing Clarity Fasteners Shown on Main View to Stand Out Fasteners Shown on Main View to Stand Out Visual Aids not Implemented Per Issue 141 Visual Aids not Implemented Per Issue 141 Planning Clarity Planning Calls out Fasteners Planning Does Not Specifically Install Fstnrs Planning Not Altered Per Issue 141 Planning Not Altered Per Issue 141 Did Not See Fstrs on Drawing Did Not See Fstrs on Drawing CC Supervisor CC Mechanic Employee Training Did Not See Fstrs on Drawing Did Not See Fstrs on Drawing Did Not See Fstrs on Drawing Did Not See Fstrs on Drawing Did Not See Fstrs on Drawing Leveraging Product Knowledge Issues Tracking System at IS § Learning: Capturing Knowledge – Issues Documented in a Standard Format – Indexed to Aircraft Coordinates § Linking: Organizing and Sharing Knowledge – Web Accessible – Part of Normal Work – Categorized by Root Cause – Structured to Speed Access § Leveraging: Re-Using and Adapting Existing Knowledge – Creates Automated Lessons Learned – Supports Root Cause Analysis & Training KM Impact: 1. Eliminated Wastes 2. Reduced Costs 3. Increased Customer Response 7 Copyright 2003 Northrop Grumman Corporation Knowledge Strategy §The Single Greatest Source of Knowledge Is Our People §We are Focused on Knowledge Flow – Across Boundaries – Rather Than Just Knowledge Stock 8 Copyright 2003 Northrop Grumman Corporation …Leveraging Organizational Knowledge without Personal Knowledge Organizational Knowledge with Sum total of knowledge for building customer value by any one individual a knowledge strategy 9 Copyright 2003 Northrop Grumman Corporation Building Knowledge Networks Tapping Tacit Knowledge § Via an IT Solution That Profiles Experts via Email § Includes Personal Privacy Features Knowing Our Talent – Xref § Provides Detailed Employee Profiles § Focused on Experiences, Not Just Skills Technology OrganizationsandPeople ProcessesandPractices CommunitiesofPractice Technology OrganizationsandPeople ProcessesandPractices CommunitiesofPractice Technology OrganizationsandandPeople ProcessesandPractices CommunitiesofPractice Technology OrganizationsandPeople ProcessesandPractices CommunitiesofPractice Technology OrganizationsandPeople ProcessesandPractices CommunitiesofPractice § Sharing Knowledge – Communities of Practice – Collaboration Tools & Environments § Linking Knowledge – Enterprise Portal – Expert Locator – Livelink – Learning Managing Talent IPT B IPT C IPT DIPT A DM DM DM DM DM 1 2 3 4 5 § A Process for Tracking, Retaining & Developing Talent § Covers Engineering & Operations § Being Used to Staff Programs, Smarter and Much Faster 10 Copyright 2003 Northrop Grumman Corporation Tapping Talent – Throughout the Enterprise We Know from a Knowledge Audit That §People are Our Primary Source of Knowledge §People are Our First Stop for Knowledge §Half of Our Employees Spend 8 Hours or More per Week Searching for Knowledge Consequently, §Expertise Location Is a Key Enabler for Leveraging the Collective Tacit Knowledge of NGC Gartner, Jan ’02 11 Copyright 2003 Northrop Grumman Corporation Expert Locator System § Enables the Location of Talent Throughout the Enterprise § Uses Xref and Tacit Knowledge Mail Databases – Tacit: Taps the Most Current Knowledge in Our Enterprise – Xref: Provides a Structured Historical Perspective, with Ties to Products § Completed Pilot in 2002, Deployment in 2003 Under IES3 12 Copyright 2003 Northrop Grumman Corporation Expert Locator Database: Xref Finding Experts KM Impact: 1. We Know our Talent 2. Staffing New Programs Faster 3. Improved Career Planning 4. People Finding People? Total Accounts 12,000 ? Logins/Month 4,000 13 Copyright 2003 Northrop Grumman Corporation Providing Knowledge Access § Vision – Livelink Is the Primary Knowledge Repository § Wide Range of Usage – Programs, Teams – Command Media – Customer and Supplier Collaboration Programs TeamsImpact: ? Reducing Reinvention & Rework ? Reducing Search Time ? Providing Secure Collaboration ? Across the Extended Enterprise ? Enabling Work Anywhere ? Available 24/7 from the Web 14 Copyright 2003 Northrop Grumman Corporation Workflow Example – Spares Process § Livelink Workflow Is Utilized on a Number of Key Business Processes – Including Spare Parts Orders from Customers 15 Copyright 2003 Northrop Grumman Corporation Building Communities of Practice (CoPs) § To Enable Sharing of Knowledge Across Boundaries – Builds Networks and Trust § We Have Established 12+ CoPs – Knowledge Management – Lean Advocates – Systems Thinking – Microsoft Access – College Hire – Instrumentation & Data Systems – Quality Engineering, Offsite Quality, Conformity Inspection, First Article – Materiel Pricing – CMMI ? Strong “Pull” from Advocates ? Owned and Led by the Advocates ? Currently Focused on Improving the Lean Project Process (ETP Program) ? Created a Web Page to Share Forms, Records and other Key Documents ? Connecting Lean SME’s with Advocates ? Next Task: Create an After Action Review Process for Lean Projects 16 Copyright 2003 Northrop Grumman Corporation CoP Example: Off-Site Quality Assurance § Quality Assurance Experts at Multiple Customer Sites – Doing the Same Job – Isolated from Each Other § Members – Hill AFB, Utah – Tinker AFB, Oklahoma – Whiteman AFB, Missouri – Boeing, St. Louis, Missouri – New Town, North Dakota § Knowledge Sharing Plan Developed – Defect Escapes, Customer Interface – Virtual Community Space Created (Web Based) ? Positive Acceptance by Community Members – Sharing Practices, Tools, Lessons Learned 17 Copyright 2003 Northrop Grumman Corporation Improving Shared Services: Materiel SourceView Portal § Retain & Share Critical Knowledge § Lessons Learned – Contract Close-Out § Estimating Resources § Sector Pricing Community of Practice § Buyer’s File Cabinet – Everything a Buyer Needs – Enables Work Anywhere Why Collaborative Offices? Repetitive Process Knowledge Work Functional Product Teams Individual Team Doing Learning Work As a “Place” Work Anywhere Manual Technology 1979 2002 ? Modernizing Office Spaces Can Improve... – Knowledge Sharing – Social Networks and Trust – Team Productivity – Collaboration, Communication – Space Utilization – Employee Satisfaction Owens Corning Example 19 Copyright 2003 Northrop Grumman Corporation F/A-18 Collaborative Workplace Environment § Reused Existing Furniture (Limited Capital Budgets) § Builds Upon KM and Avionics Pilots, Lean Team and Materiel Layouts § New Layout Approach – Created Team Areas – Increased Community Space – Provided Tables for Informal Meetings – Provided New Carpeting § Implementing Program Wide 20 Copyright 2003 Northrop Grumman Corporation F-35 Collaborative Workplace Environment § New Furniture and Layout – Builds Upon KM, Lean Team, Materiel, and F/A-18 Experiences – Teams of 8 with Center Collaborative Areas § All Employees Have Same Personal Space – Only Band 4 Managers Have Offices § Layout Includes Additional Collaborative Areas § Created Jointly with the Team 21 Copyright 2003 Northrop Grumman Corporation Changing Mental ModelsFrom § After the Fact – Lessons Learned – Knowledge Capture Events § Training – Courses & Classrooms – Just in Case § Passive Knowledge Retention – Fingers Crossed § From Knowledge Capture – Driven by Downsizing and Retirements § Heads Down Work – Command and Control – Don’t Waste Time Talking To § During Work – After Action Reviews – Process Imbedded Solutions § Learning – Knowledge Objects – Just in Time, Just Enough § Proactive Knowledge Retention – Mentoring, Rotation § Knowledge Flow – Crossing Boundaries via Communities of Practice § Sharing Work – Knowledge Cafés – Collaborative Offices 22 Copyright 2003 Northrop Grumman Corporation #####-### Synergy with Lean Knowledge Management 23 Copyright 2003 Northrop Grumman Corporation KM Enabling Lean Look at the Task & its Quality Record Info. Flow & its Time Record Info. Flow & its Time Eliminate Info That is Waste Eliminate Info That is Waste Optimize Remaining Info. Flow Optimize Remaining Info. Flow Redesign Any Tools Redesign Any Tools Look at the Task & its Motions Record Each Motion & its Time Record Each Motion & its Time Eliminate Motions that are Waste Eliminate Motions that are Waste Optimize Remaining Motions Optimize Remaining Motions Redesign Any Tools Redesign Any Tools Material Information Factory Office An Air Combat Systems Knowledge Audit Showed that 50% of Our Employees Spend 8 Hours or More Each Week Searching for Knowledge – That Costs Us ~$150M Each Year KM 5 Principles ? Value ? Value Stream ? Flow ? Pull ? Perfection 7 Wastes ? Waiting ? Inventory ? Processing ? Transportation ? Over Production ? Defective Product ? Unnecessary Movement 7 Tactics ? Discover ? Capture ? Organize ? Share ? Adapt ? Use ? Create 3 Principles ? Learning ? Linking ? Leveraging Both Strive for: Lower Cost, Better Products, Faster Cycle Times Systematic Removal of Non-Value Activities Enables Sharing and Reuse Lean 24 Copyright 2003 Northrop Grumman Corporation KM and Lean – A Product View KM Lean Mfg. Lean Mfg. KM Time Maturity ValueValue Product MaturityProduct Maturity Innovation Performanc e/Productiv ity Time/Cost Reduction ? Lean Mfg. Has the Greatest Impact on Value Through Eliminating Waste and Time Reductions in Production ? Lean Enterprise Has the Most Life Cycle Impact on Product Cost, Quality While Also Creating Value for the Enterprise ? Early in the Product Maturity Cycle, KM Has the Greatest Impact on Value Through Innovation 25 Copyright 2003 Northrop Grumman Corporation KM and Lean are Symbiotic KM Helping Lean § Majority of NGC Work Is Knowledge Work – The Means of Productivity Exists Predominately in the Minds of Our Employees – KM Focuses on the Flow of Knowledge – Knowledge Is Needed to Perform § Enables Continuous Learning About Lean – Lean Advocate Community of Practice § Helps Transfer Process & Systems to Accelerate Movement Towards a Common Operating Model – Lean Project Planning Knowledge Base Lean Helping KM § Lean Enterprise Provides a Structure That Can Utilize and Enable KM – Emphasizes Focus on the Customer and Value Stream § Lean Projects Often Involve Knowledge Challenges – Provides a Venue for Applying KM § Lean Enterprise Enables Learning Culture – Lean Events Create Emergent Learning Opportunities § At NGC, KM is Part of the Lean Deployment Learning Modules 26 Copyright 2003 Northrop Grumman Corporation Knowledge Management Office Five “S” Shop & Lab Five “S” Applying Acquisition Excellence Process Architecture Lean Thinking Value Stream Mapping Design for Six Sigma Applying Six Sigma Product Focus 26 Lean Learning Modules 27 Copyright 2003 Northrop Grumman Corporation #####-### Closure Knowledge Management 28 Copyright 2003 Northrop Grumman Corporation Summary: Applying a Knowledge Strategy §Focused on Flowing Knowledge Across The Enterprise §Providing People Centric Solutions §Strong Synergy with Lean §Applied Across the Enterprise, Including Operations Contact Information Scott Shaffar, Ph.D. Project Manager Knowledge Management Integrated Systems Sector Northrop Grumman Corporation One Hornet Way, Mail Stop 9E20/W7 El Segundo, CA 90245-2804 Telephone: 310-863-7242 Email: shaffsc@mail.northgrum.com