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LearningTranscript
00:00Welcome to Unified Consulting Solutions.
00:03You know, in our work, and really in our lives,
00:06we're constantly facing problems.
00:08Some are small, some are absolutely massive.
00:11But what if there was a structured way
00:13to handle the most immediate ones?
00:15You know, the fires we have to put out every single day.
00:18Well, today, we're gonna do just that.
00:20We're gonna simplify that complexity
00:22and explore the art of troubleshooting.
00:24So we're gonna get laser-focused
00:26on a specific kind of problem-solving.
00:29Experts call it type one, troubleshooting.
00:31Honestly, the best way to think about it
00:33is as the first responder in an emergency.
00:36It's that immediate, reactive skill
00:37that literally keeps things from falling apart.
00:40Okay, so here's our plan for this session.
00:42We'll start with a basic framework
00:43for solving just about any problem.
00:45Then we'll zoom right in
00:47on the first responder nature of troubleshooting.
00:49We're gonna learn a really powerful rapid response method
00:52called the four Cs,
00:53seed in action with some great examples,
00:55and then wrap it all up with the key takeaways.
00:57Sound good? Let's get started.
00:59Right then.
01:00To really master troubleshooting,
01:02we first need to understand the world
01:04that problems actually live in.
01:06So let's build a simple but really powerful framework
01:09for how we should think about them.
01:11I love this quote from Taiichi Ono,
01:13one of the key architects of the Toyota production system.
01:16It completely flips the script on how we see problems.
01:19See, the idea here is that
01:21a culture that claims to have no problems
01:24is actually just a culture
01:25that's become excellent at hiding them.
01:28Real progress, true progress,
01:30comes from seeing problems for what they are,
01:32golden opportunities to get better.
01:35So what is a problem, really?
01:37Well, lean thinking gives us
01:39this simple, brilliant definition.
01:41It's just the gap between our current state,
01:44the way things are right now,
01:45and our desired state,
01:46the way we want them to be.
01:48That's it.
01:49It's not some big crisis.
01:50It's just a gap.
01:52And a gap, well, a gap,
01:54is something we can bridge.
01:56Now, this is where it gets really useful.
01:58Consultant Art Smalley categorizes problem solving
02:01into four distinct types.
02:02And while they're all important,
02:04our focus today is squarely on type one,
02:07troubleshooting.
02:08Why?
02:09Simple, because it's the one that stops the bleeding.
02:11It stabilizes the whole system
02:13so that we have the breathing room,
02:15the time to tackle those deeper,
02:17more strategic problems later on.
02:19Which brings us right to the heart of our discussion.
02:22Type one, the first responder.
02:24So let's do a deep dive
02:25and figure out what troubleshooting is all about.
02:28I want you to picture this.
02:30Imagine a Toyota factory floor.
02:32A light on the andon board,
02:34which is basically a big visual signaling system,
02:36starts flashing.
02:38A supervisor immediately sees
02:39that there's an abnormality on the production line.
02:42This is the classic trigger for type one.
02:44It's a call for help,
02:45a signal that something is wrong right now
02:47and it needs immediate attention.
02:49Okay, let's look at the formal definition for a second.
02:52I want you to notice the keywords here.
02:54It's a reactive process.
02:56The goal is to rapidly,
02:58and this is important,
02:59often temporarily,
03:01fix something.
03:02This is not about finding long-term permanent solutions.
03:04It's all about restoring the flow of work
03:06and buying us valuable time
03:08for a deeper analysis later.
03:09So let's break down its DNA, shall we?
03:13Type one is always triggered by a specific event.
03:15It always operates under some kind of time pressure.
03:18It's highly reactive, never proactive.
03:21You can think of it as organizational triage
03:23or firefighting.
03:25Again, the goal isn't to re-engineer the whole building.
03:27It's just to put out the fire,
03:29restore stability,
03:30and get everyone back to work safely.
03:32You know, this connects directly
03:34to how our brains are wired.
03:36The Nobel laureate Daniel Kahneman
03:37identified two modes of thought.
03:39System one is our fast, intuitive,
03:41gut reaction thinking.
03:42That is the mental state of a type one troubleshooter.
03:45System two, on the other hand,
03:46is slow, deliberate, analytical.
03:48It takes real effort.
03:50That's the mode we need for deeper problem solving.
03:52And honestly,
03:53knowing which system to activate is half the battle.
03:56Okay, so we've got the what and the why down,
03:58but how do you actually do it effectively
04:00when you're under pressure?
04:02Well, that's where the four C's rapid response comes in.
04:04It's the thinking pattern of an expert troubleshooter.
04:07This image here really illustrates
04:09the engine of troubleshooting, the four C's.
04:12Now, this isn't some slow, linear checklist.
04:15As these gears suggest,
04:16it's a rapid, cyclical thinking pattern
04:18that's designed for immediate action.
04:21So let's walk through this cycle.
04:22First up, concern.
04:24What is the specific problem we're seeing?
04:26Second, cause.
04:28What's the most likely observable reason?
04:30No deep analysis here.
04:31Third, countermeasure.
04:33What's the quickest thing we can do to fix it?
04:35And finally, maybe the most important step, check.
04:38Did our action work?
04:39Is the flow restored?
04:41If not, guess what?
04:42You cycle right back through again.
04:44Now, it's so important to understand
04:45that this is not some bureaucratic process.
04:48The four C's is a quick thinking pattern.
04:50In a place like Toyota,
04:51it's just a verbal conversation
04:52that happens right there on the shop floor.
04:54There are no lengthy project reports,
04:56no A3s,
04:57just a laser focus on speed and effectiveness
04:59to get things stable again.
05:01Theory is great,
05:02but let's see how this actually works in the real world.
05:05We'll look at two very, very different examples
05:08of troubleshooting in action.
05:10Let's start with what is maybe
05:11the most famous troubleshooting event in history,
05:15Apollo 13.
05:16That incredibly calm, understated call from space,
05:20Houston, we've had a problem,
05:21kicked off one of the most intense
05:23type one problem-solving efforts
05:25anyone has ever witnessed.
05:27Let's actually frame this using our four C's.
05:30The concern was absolutely catastrophic,
05:32a loss of oxygen, power, and water.
05:34The immediate cause was the rapid loss
05:37of these resources from damaged systems.
05:39The countermeasures?
05:40A whole series of rapid, ingenious, and temporary fixes,
05:43like that famous CO2 scrubber,
05:45all designed just to keep the crew alive.
05:47And the final check?
05:48The safe return of the astronauts.
05:50This was pure type one thinking,
05:52for the highest stakes you can possibly imagine.
05:54Okay, let's come back down to Earth
05:56and look at a much more common scenario.
05:58This is something that teams on a factory floor
06:00face every single day.
06:02A machine has stopped working,
06:04and it's brought production to a grinding halt.
06:07And here is the everyday type one response in action.
06:10The concern?
06:11The machine is down.
06:12The observable cause?
06:14It's a buildup of chips.
06:15The countermeasure?
06:16Clean the machine.
06:17And the final check?
06:18Yep, it's running again.
06:19Production is saved for the hour,
06:20and flow is restored.
06:22But this brings us to a really, really important question.
06:26Sure, cleaning gets production running again,
06:28but does it solve the problem for good?
06:30The answer, of course, is no.
06:32The chips are just going to build up again.
06:34And this perfectly highlights
06:36the temporary nature of type one.
06:38It shows us exactly where it ends
06:39and where that deeper problem solving must begin.
06:42All right, let's bring it all together
06:43and really drive home
06:45why mastering type one troubleshooting
06:47is so fundamental to everything we do.
06:50So what have we really learned today?
06:52We've seen that troubleshooting
06:53is the essential first response.
06:55We've got the four Cs in our back pocket now
06:57as our mental model for rapid action.
06:59And most importantly,
07:00we know its job is simply to restore stability,
07:02which sets the stage
07:03for deeper, more permanent solutions later on.
07:06And this brings us right back to where we started.
07:09A tool just like this production analysis board
07:11is where troubleshooting is made visible.
07:14Every single time production misses its hourly goal,
07:16the immediate fix, the firefight, is noted down.
07:19And over time, this data reveals patterns.
07:22It tells us exactly which recurring problems
07:24need a deeper type two analysis.
07:26It all starts by making the problems visible.
07:29So I'll leave you with this final thought
07:32to take back to your own teams.
07:34Where in your daily work
07:35are you constantly firefighting?
07:38Where are you applying these temporary fixes
07:40over and over again?
07:42And once you identify those areas,
07:44ask yourselves,
07:45what would it truly take
07:46to move from a state of constant response
07:48to a state of deliberate prevention?
07:51Of course, all the concepts we've explored today
07:54come from the groundbreaking work
07:56of Art Smalley and the Lean Enterprise Institute.
07:59If you want to go deeper,
08:00I highly, highly recommend their resources.
08:02Thank you so much for joining me.
08:06You know that feeling, right?
08:08You solve a problem,
08:10you think you're done,
08:11and then a week later, it's back.
08:13So frustrating.
08:14Well, today we're talking about
08:16the cure for that cycle.
08:17We're going to dive deep
08:18into a structured method
08:20for creating real, lasting stability
08:22in your operations.
08:22It's called gap from standard
08:24or type two problem solving.
08:27Welcome to Unified Consulting Solutions.
08:29You know, our whole mission
08:30is right there on the screen.
08:32We simplify complexity
08:33to amplify performance.
08:34And that's exactly what we're going to do
08:36in this session.
08:37We're going to take on
08:37those stubborn recurring problems
08:39and give you a clear,
08:40structured pathway
08:41to solve them for good.
08:42So let's get into it.
08:44All right, here's our game plan.
08:46We'll start with what you can expect to learn.
08:48Then we'll ask a simple
08:49but really important question.
08:50What even is a problem?
08:53From there, we'll introduce
08:54the four main types of problems
08:55before doing a real deep dive
08:57into our main topic, type two.
09:00Then I'll show you a powerful
09:01seven-step method you can use
09:03and we'll wrap it all up.
09:04Sound good?
09:05Okay, let's kick things off
09:07by setting the stage for success.
09:08It's always good to know
09:09where we're headed.
09:10So let's be crystal clear
09:11on what you're going to master today.
09:13So here's my promise to you.
09:15By the end of our time together,
09:17you're going to have a really solid handle
09:19on type two problem solving.
09:20You'll know exactly what it is,
09:22how it's different from other methods
09:24and what makes it tick.
09:25We'll look at the classic five whys example
09:27and I'll give you a seven-step approach
09:29that you can literally start using tomorrow.
09:32All right, next up,
09:33let's define our starting point.
09:35I mean, before we can solve a problem,
09:37we all need to be on the same page
09:39about what a problem even is, right?
09:41It might sound basic,
09:42but this is the foundation for everything else.
09:45And here it is.
09:46In the world of lean thinking,
09:47a problem is just this,
09:49the gap between the way things are
09:51and the way we want them to be.
09:53Now, this is a huge mindset shift.
09:55A problem isn't some negative,
09:57terrible thing to be avoided.
09:58It's actually an opportunity.
09:59It's a signpost showing us where we can improve.
10:02Which brings us to this famous saying,
10:05no problem is a problem.
10:07Think about that for a second.
10:09What does it mean?
10:10It means the worst thing you can have
10:11in an organization is hidden issues.
10:13When a problem is out in the open,
10:16that's a gift.
10:17It's an invitation to get better.
10:18The real problem is pretending you don't have one.
10:22So you might be wondering,
10:23where do these standards and problems actually live?
10:26Well, the answer is everywhere.
10:28Take a look at this KPI pyramid.
10:31A standard isn't just some spec
10:32for a machine on the factory floor.
10:34No, no.
10:34It could be a huge top level business goal.
10:37It could be a departmental target for quality,
10:39or it could be a simple metric for your team.
10:42A gap from standard can happen
10:44at any level of the organization.
10:46Okay, so we've got our definition down.
10:48Now let's zoom out a little bit
10:50and put our main topic into its proper context.
10:53Because here's the thing,
10:54not all problems are the same.
10:56And if you don't know what kind of problem you're facing,
10:57you can't pick the right tool to fix it.
10:59The work from Art Smalley
11:00breaks this down beautifully into four types.
11:03You've got type one,
11:04which is basically troubleshooting,
11:06quick reactive fixes.
11:07Then there's type three,
11:09which is about setting a new higher target.
11:11And type four is that big blue sky innovation stuff.
11:14But today we are zeroing in on the real workhorse,
11:17the powerhouse of stability.
11:19Type two, gap from standard.
11:21This is for when you have a standard
11:22and for some reason you're just not meeting.
11:24All right, let's get into the deep dive.
11:27This is the heart of what we're talking about today.
11:29Type two.
11:30This is what most people mean
11:32when they say root cause analysis.
11:33It's that methodical, careful process
11:36that builds real lasting stability into your operations.
11:39So what are the core characteristics here?
11:42What makes type two type two?
11:44Well, first off, it is a relentless search
11:46for the true root cause.
11:48We're not interested in symptoms.
11:50We want the source.
11:51Why?
11:51Because the goal here is to make sure
11:53this problem never ever comes back.
11:55And to do that, you have to think in a certain way.
11:57It's convergent.
11:58It's analytical.
11:59You're like a detective,
12:00narrowing down all the possibilities
12:01until you find the culprit.
12:03And remember, the trigger is always the same.
12:05We have a standard and we're missing it.
12:07Probably the best way to really get this
12:09is to compare it to type one.
12:11Think of type one troubleshooting as firefighting.
12:14It's reactive, right?
12:15You see a fire, you put it out.
12:17It's a temporary fix, a patch.
12:19But type two, that's being a fire inspector.
12:22It's deliberate.
12:23You have to slow down, investigate,
12:25and figure out why the fire started in the first place
12:28so you can install a proper fix.
12:30One's a bandage, the other is the cure.
12:32And this lines up perfectly
12:34with Daniel Kahneman's famous idea
12:36of thinking fast and slow.
12:38Type one, the firefighting, that's thinking fast.
12:41It's instinct, it's automatic,
12:43and hey, you absolutely need it in a crisis.
12:45But type two, the investigation, that's thinking slow.
12:49It's conscious.
12:50It's logical.
12:50It's analytical.
12:51It's the detective carefully piecing together the evidence.
12:54And if you really want to get rid
12:56of those nagging, recurring problems,
12:58you have to learn to switch
12:59on that thinking slow part of your brain.
13:01Okay, enough theory.
13:02Theory is good, but a real story
13:04makes it all click, doesn't it?
13:05So let's take a trip to Toyota's
13:07legendary Comigo engine plant,
13:09where so many of these ideas were born and perfected,
13:12and look at a classic example.
13:14This is the famous five whys in action.
13:17So the problem on the surface is simple.
13:19The machine stopped.
13:20You ask, why?
13:21Okay, an overload blew the fuse.
13:23A type one fix would be to just replace the fuse
13:26and move on, right?
13:27But we're thinking slow.
13:28So, why number two?
13:29Why was there an overload?
13:31Well, the bearing wasn't getting properly lubricated.
13:33Okay?
13:34Why number three?
13:35Why wasn't it lubricated?
13:36Because the lubrication pump wasn't working right.
13:38We're getting warmer.
13:39Why number four?
13:40Why wasn't the pump working?
13:41Turns out the pump shaft was worn out and rattling.
13:44Almost there.
13:45The final, fifth why.
13:46Why was the shaft worn out?
13:48And boom, there it is.
13:49Because there was no strainer.
13:50So metal scraps were getting into the pump
13:52and destroying it.
13:53You see that?
13:53We went from a blown fuse all the way down
13:56to a missing strainer.
13:57That's the root cause.
13:59And this right here is the whole point.
14:02This is the payoff.
14:03The analysis is not the goal.
14:05Finding the root cause is not the goal.
14:07The goal is the countermeasure.
14:09The fix.
14:10In this case, it was simple.
14:12Add a strainer to the pump.
14:14That one small permanent fix
14:16prevents that whole chain reaction
14:17from ever happening again.
14:19That is the incredible power of type two problem solving.
14:22So you're probably thinking,
14:24OK, that's a great story.
14:25But how do I actually do that?
14:27Well, the good news is you don't have to guess.
14:29There's a structured, repeatable method
14:31that you can follow.
14:32The five whys is just one tool you use
14:34inside this bigger framework.
14:36So let's look at the whole seven-step approach.
14:38I love this visual because it perfectly explains the logic.
14:43It's a funnel.
14:44See, at the top, when you start,
14:45problems are usually big and vague, right?
14:48Sales are down.
14:49Customer complaints are up.
14:50This seven-step process is designed
14:53to systematically narrow your focus,
14:55funneling you down from that big fuzzy problem
14:57to a very specific root cause
14:59and a laser-focused countermeasure at the bottom.
15:01So let's walk through the steps inside that funnel.
15:04And you'll see this follows
15:05the classic plan-do-check-act cycle.
15:07The first four steps are all about the plan.
15:10Step one, clarify the background.
15:12Why does this problem even matter?
15:14Step two, define the problem.
15:15Get super specific.
15:16Step three, set a goal.
15:18How will you know you've won?
15:19And step four, the big one, root cause analysis.
15:21This is where you'd use your five whys.
15:23OK, plan's done.
15:24Now it's time for do.
15:25Step five, implement your countermeasure.
15:27Then comes check.
15:28Step six, check the results.
15:30Did it actually work?
15:31And finally, act.
15:32Step seven, follow up and standardize.
15:34Lock in the gains so the problem can't creep back in.
15:36It's a logical, repeatable flow.
15:38Wow, OK, we have covered a lot of ground.
15:42Let's hit pause for a second and summarize everything
15:44just to make sure the most important ideas
15:47really stick with you.
15:48So here are your key takeaways.
15:50Number one, type two is for when you have a standard
15:54and you're not meeting it.
15:55That's your trigger.
15:56Number two, you've got to think slow.
16:00Be the detective, not the firefighter.
16:02Dig for the real root cause.
16:05Number three, the five whys is a fantastic tool
16:07to help you do that.
16:08And it fits right into that seven step funnel.
16:11And most important of all, number four,
16:13the goal is always, always, always the countermeasure,
16:16a permanent fix.
16:18Let's just take a look back
16:19at what we've accomplished here today.
16:20You now know exactly what type two problem solving is.
16:23You can see clearly how it's different
16:25from just troubleshooting.
16:27You've got the logic of the five whys in your toolkit
16:29and you have a complete seven step framework to guide you.
16:32You are literally equipped to go out
16:33and create some real stability in your work.
16:36Now, everything we've talked about today
16:37stands on the shoulders of giants like Art Smalley
16:40and the amazing work done at the Lean Enterprise Institute.
16:44If you want to go even deeper,
16:45I highly, highly recommend checking out their work.
16:48Thank you so much for your time.
16:49The only question left is,
16:51which one of your recurring problems
16:53are you going to solve first by choosing to think slow?
16:58Hello, everyone, and welcome.
17:01In this session, we're going to dive deep
17:03into a really powerful concept for continuous improvement,
17:07something we call type three problem solving
17:09or the target state.
17:11My name's your host,
17:13and this session is brought to you by us here
17:15at Unified Consulting Solutions.
17:17Our whole mission is to help organizations like yours
17:20simplify complexity and really amplify performance.
17:24And that's exactly what we're going to do today
17:25by looking at a structured, forward-thinking way
17:28to improve that can absolutely transform the way you work.
17:31All right, so here's our game plan for this session.
17:34We'll kick things off by looking
17:35at the bigger problem-solving landscape.
17:37Then we'll really get into the details
17:38of the target state itself.
17:40After that, it's all about the how-to
17:42with a practical eight-step process
17:44followed by some amazing real-world examples.
17:46And of course, we'll wrap it all up
17:48with a summary of the key takeaways.
17:50So what's in it for you?
17:52Well, by the time we're done here,
17:53you'll be able to clearly see
17:54how type three thinking is different.
17:56You'll have a solid grasp of big ideas
17:58like target state and true north.
18:00And you'll not only know the eight-step process,
18:03but you'll see how it applies to pretty much everything,
18:05from a factory all the way to cloud computing.
18:08Okay, let's jump right into our first section,
18:10the problem-solving landscape.
18:12The big idea here is simple but really profound.
18:15Not all problems are created equal.
18:17And if that's true,
18:18then we shouldn't be using the same approach
18:20for all of them.
18:21First things first,
18:22we need to completely redefine the word problem.
18:25You know, it has such a negative vibe, doesn't it?
18:28But in the world of lean thinking,
18:30a problem isn't a bad thing.
18:32It's just the gap between our current situation
18:34and where we'd ideally like to be.
18:36So it's not a failure, it's an opportunity.
18:39And honestly, shifting your mindset to see it this way
18:41is the key to everything else we're about to discuss.
18:43Now, take a look at this.
18:45This framework is super useful.
18:47It breaks down problem-solving into four main types.
18:51Type one is your day-to-day troubleshooting.
18:53You know, just fixing things.
18:54Type two is about getting back to the standard
18:56when something goes off track.
18:57But where things get really exciting
18:59is with types three and four.
19:01These are about looking forward,
19:03about creating a better future.
19:04And our whole focus today is on the real game changer,
19:07type three,
19:08which is all about raising the standard itself.
19:10And this slide really gets to the heart of the matter.
19:13Look at that difference.
19:15Type two thinking is reactive.
19:17It's looking in the rear view mirror,
19:19asking, how do we get things back to normal?
19:21But type three, it's the complete opposite.
19:25It's proactive.
19:26It looks ahead and asks a much more powerful question.
19:30What's a better way this process could work?
19:32It's all about designing how things should be.
19:35Which leads us perfectly into the main event,
19:39understanding the target state.
19:40And let me be clear,
19:41this is not just another buzzword
19:42or some tool to add to your collection.
19:45No, this is a whole philosophy
19:46of proactive, continuous improvement.
19:49Okay, this diagram you're seeing now,
19:51this is the big picture.
19:53It shows you the entire concept at a glance.
19:56You see, we start at the bottom with our current state,
19:58and we're constantly moving upwards
20:00towards our target state.
20:01It's a continuous cycle.
20:03So let's go ahead and break this powerful model down
20:06piece by piece.
20:07So where do we begin?
20:08Always, and I mean always,
20:10with a deep factual understanding of the current state.
20:13Think about it.
20:14You can't plan a trip
20:15if you don't know your exact starting point.
20:17This means you have to go see the process for yourself,
20:19measure what's actually happening,
20:21and get real data.
20:22This is not about what we think is happening.
20:24It's about what is happening.
20:26Now, what's the engine that drives this whole cycle?
20:28Well, it's powered by two fundamental pillars
20:31holding everything up.
20:33On one side, you have an absolute obsession
20:35with customer satisfaction,
20:37striving for perfection in quality, delivery, and cost.
20:40And on the other side, and this is just as critical,
20:43is a deep commitment to human development,
20:46making sure our people are safe, engaged, and growing.
20:49You absolutely need both to succeed in the long run.
20:52So with all these improvement activities going on,
20:55how do we make sure we're all pulling
20:56in the same direction?
20:57Well, that's the job of True North.
20:59Think of it as the ultimate vision for your organization,
21:03the perfect state you're always striving for.
21:06It's literally the compass that ensures
21:07every single target state we set
21:09is another step towards that one shared long-term vision.
21:14Okay, so we've got the philosophy down,
21:15but you're probably asking,
21:17how do we actually do this?
21:18Let's get practical.
21:20This is where the eight-step improvement process comes in.
21:23It's our structured roadmap to creating
21:24and achieving a brand new standard.
21:27This eight-step process is fantastic
21:29because it gives discipline to our creativity.
21:32Let's walk through it.
21:33Step one, background.
21:34Why does this even matter?
21:35Steps two and three are all about understanding
21:37and analyzing the current situation.
21:40Step four, goals.
21:41What does success actually look like?
21:43Step five is where the magic happens,
21:45defining that new target state.
21:47Step six is the plan to get there.
21:49Step seven, we check our results.
21:50Did we do it?
21:51And finally, step eight,
21:52we standardize the new, better way
21:54so we don't slip backwards.
21:56It's a complete disciplined cycle.
21:58All right, theory is great,
22:00but seeing is believing.
22:01So now let's look at type three thinking in the wild.
22:04We're gonna check out some amazing examples
22:06that show just how powerful this is
22:08from the place it was born, manufacturing,
22:11all the way to the world of modern software.
22:14Let me just start by asking you a question.
22:16How on earth did Toyota manage to take a process
22:19that took them four to five hours
22:21and shrink it down to just three minutes?
22:24I mean, that sounds impossible, right?
22:27Well, the answer is pure, relentless type three thinking.
22:30So the problem was these giant stamping presses.
22:33On the left, you see the old way, their current state,
22:37one massive machine dedicated to making only one part.
22:40You can imagine how inefficient that was.
22:42But their vision, their target state,
22:44is what you see on the right,
22:46a single, flexible press
22:47that could quickly change over
22:49to make many different parts.
22:50This meant a huge boost in both flexibility
22:53and how much they used the machine.
22:55And the results, I mean, just look at this graph.
22:57They're staggering.
22:59Between 1945 and 1973,
23:01they achieved a more than 98% reduction
23:04in that change over time.
23:06But here's the real magic.
23:07This wasn't just about saving a few hours.
23:10This incredible new flexibility
23:11was the key that unlocked
23:13their entire legendary just-in-time production system.
23:15It let them make smaller batches,
23:18slash their inventory,
23:19and respond to customers like never before.
23:21This wasn't just a fix.
23:22It was a massive competitive advantage.
23:25Now, I know what you might be thinking.
23:26Okay, that's a great story about cars
23:28from a long time ago.
23:29What does that have to do with me?
23:31But that's the beautiful thing.
23:33The underlying principle is totally universal.
23:36When you increase flexibility and utilization,
23:39you will drive down waste and cost.
23:41It applies everywhere.
23:43Let me show you a modern example.
23:45Look at computer servers.
23:46The old way is on the left.
23:48One physical server for one customer.
23:51So much of that server's power
23:52sits there completely wasted.
23:54Sound familiar?
23:54It should.
23:55Now look to the right.
23:56That's the modern cloud model.
23:58It's the exact same thinking as the Toyota Press.
24:00By putting multiple virtual servers on one machine,
24:03you massively increase flexibility and utilization,
24:06which brings down costs for everybody.
24:08It's type three thinking,
24:09just in a different time with different technology.
24:12Okay, we have covered a lot of ground today.
24:14So let's pull it all together,
24:16summarize the key learnings,
24:17and talk about how you can start embedding
24:19this powerful target state mindset into your own work.
24:22So if you remember nothing else from today,
24:25please remember this.
24:27First, stop just fixing what's broken
24:29and start creating a better future.
24:31Second, always guide yourself with a true north
24:34and remember those twin pillars of customer value
24:36and people development.
24:38Third, use the eight-step process as your structured guide.
24:41And finally, always remember the ultimate goal
24:43is not just to maintain the standard,
24:45but to constantly raise it
24:46to whole new levels of performance.
24:49Now, everything we've talked about today
24:51stands on the shoulders of giants.
24:53The work of people like Art Smalley
24:54and organizations like the Lean Enterprise Institute
24:57is foundational.
24:58We've listed some of their work here,
25:00and I strongly encourage you to check it out.
25:03Thank you so much for your time today.
25:05I really hope this has been valuable
25:06and inspires you to start aiming
25:08for your own target state.
25:09You know, what if I told you
25:13that the biggest problem your company has
25:15is actually having no problems at all?
25:17It sounds strange, right?
25:19Well, today, we're going to dive
25:20into a really powerful way of thinking
25:21that completely flips that idea on its head.
25:24We're talking about type four problem solving,
25:25and trust me, it's all about pure innovation.
25:29Here at Unified Consulting Solutions,
25:32our entire mission is pretty simple.
25:34We want to help you cut through the noise,
25:35simplify the complex stuff
25:37so you can really boost your performance.
25:40And, you know, at the very heart of all that
25:42is one fundamental skill, problem solving.
25:45It's really the engine that drives everything, isn't it?
25:48It's what moves every team, every company forward,
25:51turning those tough challenges
25:52into incredible opportunities.
25:53So, to help us get our heads around this,
25:56we're going to lean on a brilliant framework
25:58from a guy named Art Smalley.
26:00He actually breaks down problem solving
26:02into four distinct types.
26:04Now, we'll give a quick nod to all of them,
26:06but our main event today,
26:07the real star of the show,
26:09is the one right at the very top, type four.
26:12This is that open-ended, visionary approach,
26:15the one that leads to true innovation.
26:17All right, so here's a quick look
26:19at where we're headed.
26:20First, we're going to see exactly
26:21where type four fits into the grand scheme of things.
26:24Then, we'll dig deep into what it really is,
26:26the kind of mindset you need for it,
26:28and the frameworks that actually help make it happen.
26:30We'll even see it in action
26:31with a truly game-changing story from Toyota,
26:33and then we'll wrap it all up
26:34with how you can start putting this to work for yourself.
26:37So, what's the goal here?
26:38Well, by the time we're done,
26:40I want you to walk away with a super clear,
26:42really practical understanding of type four.
26:44You'll know exactly what it is,
26:46the kind of thinking it demands,
26:47some powerful tools you can use,
26:49and you'll see just how potent it can be.
26:51Thanks to a great real-world example.
26:53Okay, so let's start by looking at the whole picture.
26:56Because honestly, to really appreciate
26:58what makes type four so special,
27:00you first have to see where it fits
27:01in the complete problem-solving system.
27:03The key here isn't about saying
27:04one type is better than another, not at all.
27:07It's about knowing which tool
27:08to pull out of the toolbox for the right situation.
27:11So, if you look at this table,
27:12you can see a really clear split.
27:14Think of it this way.
27:15Types one and two are all about reacting
27:17to what's happening right now.
27:20Type one, troubleshooting,
27:21that's just firefighting, right?
27:22Putting out fires.
27:23Type two, gap from standard,
27:25is about getting back to where you're supposed to be.
27:27Both of these are what we call convergent thinking.
27:30You're hunting for that one right answer
27:31to fix something.
27:32But, types three and four,
27:35ah, that's where things get interesting.
27:37These are all about creating the future.
27:39Type three is what many of you know
27:40as Kaizen or continuous improvement.
27:42You know, making things a little bit better
27:44every single day.
27:45But, type four,
27:46well, that's why we're all here today.
27:48It's highly divergent,
27:49and it's all about chasing a big vision,
27:51one that might not even be fully in focus yet.
27:54And that,
27:55that brings us right to the heart
27:56of our discussion today.
27:58With type four,
27:58we're basically leaving behind the world
28:00of fixing and improving things
28:02that already exist.
28:03We're stepping over a line
28:04into the territory of creating something
28:06that has never, ever existed before.
28:09So, what is it really?
28:11Well, to put it simply,
28:13type four is all about
28:14open-ended problem solving.
28:16Imagine you're on a journey,
28:18but your destination,
28:19it isn't a specific point on a map.
28:21It's more like a vision,
28:22something you see way out on the horizon.
28:25That's type four.
28:26It's the kind of thinking you use
28:27to create entirely new products,
28:29new processes,
28:30or new services
28:31that don't just improve things.
28:33They completely change the game.
28:34Now, getting this distinction
28:36is absolutely critical.
28:38Type three, or Kaizen,
28:39is about seeking a better version
28:41of what you already have.
28:43It's about improving the existing system.
28:45So, think about making an assembly line,
28:46say, 10% faster.
28:48And don't get me wrong,
28:49that is a fantastic achievement.
28:51But type four,
28:52it's about seeking a brand new future.
28:54It isn't about improving
28:55the assembly line at all.
28:57It's about inventing
28:57a whole new manufacturing process
28:59that makes that old line
29:00completely obsolete.
29:02You see the difference?
29:03One is evolution,
29:04the other is revolution.
29:05But here's the thing.
29:06To operate in that revolutionary space,
29:09you need more
29:10than just a new process.
29:11It demands a really profound
29:13shift in your mindset.
29:15It's not about grabbing
29:16new tools from the toolbox.
29:17It's about fundamentally
29:18changing the way you think.
29:20So, let's take a closer look
29:22at what that actually looks like.
29:24I love this quote
29:25from Taichi Ono,
29:26one of the legends from Toyota.
29:28Having no problems
29:29is the biggest problem of all.
29:31This just perfectly captures
29:32the innovator's mindset,
29:33doesn't it?
29:34A problem isn't some annoying thing
29:36you have to deal with.
29:37No, it's the starting line
29:38for all progress.
29:40In this type 4 world
29:41we're talking about,
29:42the problem might be
29:43a huge challenge
29:44or maybe a customer need
29:45that they can't even
29:46put into words yet
29:46or just a really bold vision
29:48for the future.
29:49So, if you think you have
29:50no problems,
29:51that's a warning sign.
29:53It means you're stagnating,
29:54getting way too comfortable
29:55with how things are today.
29:56Okay, so how do you actually
29:57put this mindset into action?
29:59Well, one of the classic approaches
30:01is what we call
30:01the innovation funnel.
30:03You see how it starts
30:04really wide at the top?
30:05That's on purpose.
30:07It all begins with a deep,
30:08deep understanding
30:09of your users
30:09and their needs.
30:11From there you go broad.
30:12This is that divergent thinking
30:13we talked about.
30:14You generate tons
30:15and tons of concepts.
30:16And the key here
30:17is to resist the urge
30:18to grab the first good idea you see.
30:19No, the goal is to create
30:20lots of options.
30:22Only then do you start
30:22narrowing things down,
30:24evaluating everything
30:25to finally converge
30:26on the absolute best path forward.
30:28Now, let's look at
30:29a slightly different way
30:29to think about this,
30:30which comes from
30:31a method called TRIZ.
30:33It's a bit of a mind bender.
30:34Instead of getting stuck
30:35on your specific
30:36nitty-gritty problem,
30:37you zoom way, way out.
30:39You ask a bigger question.
30:41What's the fundamental contradiction
30:42I'm dealing with here?
30:44So, for example,
30:45you stop asking,
30:46how do I make
30:46this specific car part lighter?
30:48And instead you ask,
30:49how can anything
30:50be both strong
30:51and light at the same time?
30:53See that shift?
30:54By solving that more universal,
30:55abstract problem first,
30:56you can unlock
30:57these incredible solutions
30:58that a direct,
30:59head-on approach
31:00would have completely missed.
31:01I know, I know.
31:02This kind of wide-open,
31:03creative thinking
31:04can feel a little chaotic,
31:06maybe even unstructured.
31:08But it really doesn't have to be.
31:09There are some fantastic,
31:11well-established frameworks
31:12out there
31:12that can provide
31:13a kind of scaffolding
31:14for this work.
31:15They give you a structure
31:16to hang your ideas on
31:17while you're searching
31:18for those big breakthroughs.
31:19One of the absolute cornerstones
31:21of modern innovation
31:22has to be design thinking.
31:24What's beautiful about it
31:25is that it's a five-step process
31:26that is completely human-centered.
31:28It doesn't start with a solution
31:29or a cool piece of tech.
31:30Nope.
31:31It starts with empathy.
31:32It forces you to truly
31:33get into your user's world,
31:35to understand them,
31:36so you can define
31:37what the real problem is.
31:38And when you start from there,
31:39you naturally come up
31:40with better ideas.
31:42Then you just quickly
31:42build simple prototypes
31:43and test them out.
31:45It's a cycle that makes sure
31:46whatever you end up creating
31:47isn't just clever,
31:48it's something people
31:49genuinely need and value.
31:51Okay.
31:51Another incredibly powerful tool,
31:53especially when you're dealing
31:54with a lot of uncertainty,
31:56is the build-measure-learn loop.
31:58You've probably heard of it
31:59from the lean startup world.
32:01The whole goal here
32:01is one thing,
32:02speed of learning.
32:04You take an idea,
32:05you build the most basic version
32:07of it you possibly can,
32:08just enough to work,
32:09and you get it out there
32:10in front of real users.
32:12Then you measure how they react.
32:14The data you get back
32:14is pure gold.
32:16It tells you very clearly
32:18whether you should keep going
32:19with this idea,
32:20persevere,
32:21or if it's time
32:21to change direction,
32:23to pivot.
32:23It's basically
32:24the scientific method
32:25for finding your way
32:26through the fog of innovation.
32:28And this next point
32:29is so, so important.
32:31We often think innovation
32:32is just about making
32:33a better product, right?
32:34A faster chip,
32:35or a slicker design.
32:36But it is so much more than that.
32:39This framework,
32:39Doblin's 10 Types of Innovation,
32:41just blows the doors open
32:43on what's possible.
32:44It shows you can innovate
32:45across a huge landscape.
32:47You can innovate
32:47in your profit model.
32:48Think about the classic
32:49Gillette razor and blades model.
32:51Genius.
32:51You can innovate
32:52in your network,
32:53your internal processes,
32:55how you deliver to customers,
32:56or how you engage with them.
32:58In fact,
32:59the most powerful breakthroughs
33:00often combine innovations
33:01from several
33:02of these different areas.
33:03All right,
33:04so we've talked about
33:05some powerful concepts
33:06and frameworks,
33:07but theory is one thing.
33:09Let's make this
33:09really concrete.
33:11Let's look at how
33:11one of the most successful
33:12companies on the planet,
33:14Toyota,
33:14has used this exact
33:16kind of Type 4 thinking
33:17to get some absolutely
33:18extraordinary results.
33:19So picture this.
33:21Back in the day,
33:22everyone knew Toyota
33:23for one thing,
33:24making really reliable,
33:25small, affordable cars.
33:27That was their entire brand.
33:28But then,
33:29they made a classic
33:30Type 4 leap.
33:31They created Lexus.
33:33And the goal
33:34was crystal clear.
33:35This was not about
33:36making a better Toyota.
33:37No way.
33:38The goal was to build
33:39a world-class luxury car
33:41from a completely
33:42blank sheet of paper
33:42to go head-to-head
33:44with the big German giants.
33:45And the result?
33:46It was mind-blowing.
33:47At one point,
33:48the Lexus division
33:49was responsible
33:50for a staggering
33:5080% of Toyota's
33:52entire profit.
33:53It didn't just add
33:54to their business.
33:55It completely redefined
33:56who they were
33:57as a company.
33:58This chart here
33:58tells such a powerful story
34:00about the dance
34:01between improvement
34:02and real innovation.
34:03Just look at this.
34:04Right after the war,
34:05a changeover in their factories
34:06took almost five hours.
34:08Five hours of downtime.
34:10So,
34:10through years
34:11of relentless
34:12grinding improvement,
34:13that's your Type 2
34:14and Type 3 thinking,
34:15they got that
34:16all the way down
34:16to just 15 minutes.
34:18I mean,
34:18that's just an incredible
34:19achievement in itself.
34:20But,
34:21to get from 15 minutes
34:22down to 3 minutes,
34:24that wasn't going to happen
34:24with small tweaks.
34:25That required
34:26a Type 4 leap.
34:28It needed
34:28completely new thinking,
34:29brand new technologies.
34:31It's the perfect illustration
34:32of how vital
34:33continuous improvement is,
34:34but to truly lead,
34:36you absolutely need
34:37those game-changing
34:37Type 4 breakthroughs.
34:39Alright,
34:39so we've covered
34:40a lot of ground today,
34:41haven't we?
34:42We've journeyed
34:42all the way
34:43from the basic foundations
34:44of problem-solving
34:45right into the visionary
34:46world of Type 4 innovation.
34:49So,
34:49now,
34:49let's take a moment
34:50to pull it all together,
34:51consolidate the key takeaways,
34:52and start thinking about
34:53how you can apply
34:54these ideas
34:55in your own world.
34:56Okay,
34:57let's really boil it down.
34:58What are the most important
34:59things to remember?
35:00First,
35:01Type 4 is all about
35:02creating a totally new future,
35:04not just making today
35:05a little bit better.
35:06Second,
35:07it absolutely requires
35:09that open,
35:09divergent mindset,
35:11but you're not lost
35:11in the woods.
35:12You can use powerful
35:13frameworks to guide you.
35:15And here's a big one.
35:16While that steady,
35:17continuous improvement
35:18keeps you in the game,
35:19it's the big Type 4 breakthroughs
35:21that actually let you
35:22win the game.
35:23And please,
35:24remember that
35:25these opportunities
35:25for innovation
35:26are hiding everywhere,
35:27not just in the research
35:28and development department.
35:30And so,
35:30that really leaves us
35:31with one final,
35:32and I think very powerful,
35:34question to take with you.
35:35As you go back
35:36to your work,
35:37as you look at
35:37your customers,
35:38your processes,
35:39your entire business model,
35:40just ask yourself this.
35:42Where is our next
35:43Type 4 opportunity?
35:45Where is your next
35:46big breakthrough
35:47just waiting to be discovered?
35:49You know,
35:49the ideas we've explored today
35:51stand on the shoulders
35:52of some truly
35:53incredible thinkers.
35:54So if you're curious
35:55and you want to dive
35:56even deeper,
35:56these references
35:57are a fantastic place
35:59to start.
35:59Thank you so much
36:00for joining me.
36:01I really hope this session
36:02has sparked some new ideas
36:03and maybe helped you see
36:05where your next big breakthrough
36:06might be hiding.
36:10I'm going to have a
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