The Waste of Untapped Human Potential


Ohno was reported to have said that the real objective of the Toyota Production System was "to create thinking people". So this first of the "new" wastes is directly linked to Ohno, as were the original seven. The 1980s were the decade of factory automation folly. GM and many others learnt the hard and expensive way that the automated factory and warehouse that does not benefit from continuous improvement and ongoing thought is doomed in the productivity race.

Today we have numerous examples, from total quality to self directed work teams, of the power of utilising the thoughts of all employees, not just managers. Of numerous examples, that of Proctor and Gamble which ran several similar factories differentiated only by worker empowerment, is one of the most striking. The "empowered" plants were up to 50% more productive. Several sections of this book, on Open Book Management, on Open Systems, on 5 S, on Self Directed Work Teams, on TPM, have as their foundation the liberation of operator involvement and creativity.

Human potential does not just need to be set free. It requires clear communication as to what is needed (both from management and to management), it requires commitment and support (because uncapping human potential is sometimes seen as a real threat to first line and middle managers), it requires a culture of trust and mutual respect (which cannot be won by mere lofty words, but by example, interest and involvement at the workplace ("Gemba")). Basic education is also necessary. The retort to the question, "What happens if I train them and they go?" should be "What happens if you don't train them and they stay!"

Examples: Not using the creative brainpower of employees, not listening, thinking that only managers have ideas worth pursuing.