Scanlon April 2005 E-zine

Greetings!

In this E-zine we recognize the 2005 Best Practices winners. These individuals and companies took the time to share their ideas so that we can all become more competent personally, professionally and organizationally. Join us on May 10th at the Annual conference reception and network with the 2005 winners. It is still possible to register for the conference. Don't miss this once-a-year opportunity to enhance your Scanlon skills.

Scanlon With A Twist: 18 Best Practices Awarded For Member Innovations

The Scanlon Leadership Network awarded 18 Best Practices Medals in 2005 to nine member companies, recognizing them for leading-edge member processes, as well as tried-and-true systems that are implemented well.

The Best Practices Strategic Action Team, composed of Scanlon members, evaluated submissions and designated gold, silver and bronze medals for outstanding Best Practices related to Identity/Education, Participation/Responsibility, Equity/Accountability, Competence/Commitment and for an Overall category. Best Practices are ideas that are tied to the Scanlon Principles/Processes, useful throughout the Scanlon Leadership Network (not just company specific), effective in the company that submitted them and ideas that are documented and can be clearly communicated. This year's awards will be handed out during the Award Ceremony at the Annual Conference Reception Tuesday, May 10.

There were five gold, six silver and seven bronze medals. Spring Engineering led the way with four medals, including a gold, two silver and a bronze. SGS Tool and Wescast Industries each earned three medals, and Thomson-Shore, Inc and Landscape Forms earned two medals. Other Best Practices winners include National Manufacturing, Magna Donnelly, Bradford and Westling Manufacturing. (See below for the complete list of winners.)

Spring Engineering, who won a Best Practices gold medal for its Give and Help Award, launched its program to recognize employees for following through with all four steps in participation: seeing a problem, telling someone about it, giving and helping to solve the problem. Previously employees would identify problems with steps one and two, but the process was breaking down when the time came to actually solve things.

"Employees are encouraged to nominate peers, and then those who are nominated get a chance to spin the Give Help Wheel," said Kim Montgomery, HR Manager, Spring Engineering. "It's our way of recognizing employees for working as a team, rather than as individuals. They increase the level of participation by giving and helping, not just seeing and telling about the problem. Now they're stepping up to assist each other."

Thomson-Shore, who won two gold medal Best Practices, was recognized for its Abolishing Performance Appraisals program, which replaced its old system with one of personal identity and education, and facilitated responsibility, accountability and competence.

"We found that appraisals were promoting the individual over the team, which goes against our culture," said Lori Minnick, Human Resources Manager, Thomson-Shore. "We drafted a new process and held workshops on how to give and receive feedback. Now, once a quarter employees give feedback forms to other employees of their choice and the forms are returned within 48 hours. Employees share with their peer what the person does well, what value the person demonstrates at Thomson-Shore and what the person could improve on," she added. "The goal of feedback is to communicate with one another and gain individual information to help us improve. This includes encouragement when our performance is on track."

Best Practices Books are compiled and mailed out at the end of each year. The 1997-2005 books, which are also available on the Scanlon website and on CD, contain more than 1,400 pages of ideas from Network members with examples and contact information.

"The Best Practices Books are a tremendous resource for us," said Sylvia Hurst, QUEST Coordinator at Smith Dairy. "I use them as a guidepost of what other companies are doing - they're like a manual that shows us how we can make our own changes and be more efficient. The ideas are easy to adapt to most any company." Sylvia often puts the Best Practices books in Smith's break room for employees to read about other companies' successes and ideas. The 2005 Best Practices Book will be shipped to members in May-June.

Gold Medal Winners: Scanlon Initiatives: Thomson-Shore, Inc; Abolishing Performance Appraisals: Thomson-Shore, Inc; Give and Help Award: Spring Engineering; TEAM Plan: SGS Tool Co.; Participation Video: Wescast Industries

Silver Medal Winners: Identity Day: Spring Engineering; Stepping Up: Spring Engineering; 'Caught in the Act': Landscape Forms; Scanlon at SGS: Past, Present, Future: SGS Tool; ACTion Planning: National Manufacturing; Recognition/Motivation Rewards: Wescast Industries

Bronze Medal Winners: In-house Computer Classes: SGS Tool Co.; Company-Wide Meeting Reformat: Landscape Forms; Manager's Corner Board: Magna Donnelly; WMW Employee Fact Pack: Wescast Industries; Knowledge Management Initiative: Spring Engineering; Communication Board: Bradford Co. Employee Involvement: Westling Manufacturing

Annual Conference Preview: Members 'Just In Time' For Accelerating Growth

The 41st Scanlon Leadership Network Conference, themed "Scanlon: Just in Time!", unites member companies May 10-12, providing attendees with the tools needed to survive in today's fast-paced world, where speed and efficiency are essential.

Held at the Radisson Plaza Hotel in Kalamazoo, MI, the Conference is one of the oldest continuing business gatherings in North America due to its role in Organizational Development. Each year more than 200 Scanlon delegates attend the Annual Conference to network, build skills, share knowledge and recognize Best Practices.

"The Scanlon Conference is unique because the program is designed and presented by practitioners who are using the ideas," said Scanlon President Paul Davis. "Executives and front-line workers learn and grow together to expand communication and understanding. With Just in Time, we invite Scanlon members to come build their strengths and learn how to manage complex changing systems more effectively."

The Conference features a Best Practices Trade Show and 28 leading-edge workshops, along with keynote speakers. Attendees can also tour Western Michigan Scanlon member companies, where they will observe Lean manufacturing Best Practices and interact with other Scanlon employees.

"The Annual Conference gets people to understand the four principles in a hands-on environment," said Marge Holata, Director of Associate Involvement at SGS Tool and a member of the Annual Conference Planning Committee. "You just can't put a price on that experience. Scanlon has completely changed our culture and has escalated our employee involvement," she added.

In 2003 SGS Tool began making a video of its Conference experiences, and in 2004 the company won a Best Practices Award for its video titled "Scanlon at SGS: Past, Present, Future," which chronicles how Scanlon has changed SGS.

"With four separate manufacturing plants and three support buildings, it's too much to have the whole Conference group visit every SGS Tool location to share their experiences," said Holata. "Now those who can't make it to the Conference understand what it's all about," she added. "With the video, more people sign up than we can accommodate. Everyone wants to experience the Conference for themselves."

As I See It - Linda Washburn

Linda Washburn, Scanlon consultant and President of Arthur Associates, Inc., has been involved with the Scanlon process since 1969 when she was employed at Donnelly Mirrors, Inc. As a team member, Linda often wondered why the whole world wasn't using Scanlon principles. Now for more than 30 years Linda has been assisting companies in the exploration, education, design and implementation of custom Scanlon Gainsharing Plans through participative management practices.

"Scanlon is an incredible process," said Linda. "I love the fact that it's so simplistic - to me Scanlon is common sense and good business practice," she added. "Although we always apply the same four core principles, every company's Plan structure is customized to fit the needs of that facility. That's what makes it the Scanlon process." At meetings with potential member companies, Linda first explains what Scanlon is, and then educates employees about the history, principles and what steps are needed to design and implement the process.

"We then conduct a company-wide vote by secret ballot, which must pass with a minimum of 66% acceptance for them to begin designing their customized process. After the Plan has been designed, another vote is taken to implement the process.

"That's the first step in being participative," explained Linda. "As a group everyone decides whether or not to go forward. What's more sensible than to involve people in decisions that affect them where they have competence and knowledge? Scanlon allows employees to make decisions by consensus and vote with responsibility and accountability. It's just so important that people have a stake in their job and the future of the company." Once a company's design is complete and the process has been implemented, Linda trains an internal Plan Facilitator to take over.

"This person acts as a cheerleader for the company to ensure that meetings take place and that the principles are still being applied," said Linda. "When I walk out the door, the facilitator helps keep things on track so the Plan continues to thrive. Scanlon Plans are like machines - they need regular maintenance."

As I See It - Bob Schultz

Bob Schultz, Scanlon consultant and President of Leadership Training Systems, has worked with Scanlon member companies since 1994. With more than 30 years of management and training expertise, Bob helps Scanlon members with leadership problem solving and renewal efforts. He also specializes in human resource development and skills training.

"What most impresses me about Scanlon is the involvement aspect," said Bob. "I'm big on participation - I like to see employees take a leadership role, and with Scanlon they can contribute and feel like they have ownership in the organization," he added. "In a lot of jobs people are there to just put in their time. With Scanlon, it's nice when employees talk about 'my job,' and 'my company,' rather than 'the company.'

"Another advantage of the Scanlon Plan," said Bob, "is the contacts and networking opportunities, which allow members to share thoughts and ideas that work, like with Best Practices."

Bob also explained that before Scanlon he had done quality circles, but was frustrated because none had included equity.

"Scanlon's model has been around for a long time," he said. "It provides members with a solid foundation. If you follow that, you really can't go wrong."

Scanlon Consultant/Helicopter Pilot - Peter Scontrino

Peter Scontrino pilots his own helicopter to Victoria in support of the British Columbia Building Corporation's (BCBC) gainsharing team. BCBC is one of the few government/service industries to develop a gainsharing process. Located on beautiful Vancouver Island, Peter finds his helicopter can shorten travel time and add flexibility to better serve his clients.

More Than 87% Approval To Create First Financial Services Scanlon Plan

Watermark Credit Union's design team begins work on creating the first Scanlon Plan in the Financial Services Industry.

"Watermark is the right organization to pioneer Scanlon in financial services," said Network President Paul Davis. "They have supportive and creative leadership and a high energy staff."

Watermark has already shown an ability to innovate as they have embraced the ideas of W. Edwards Deming. Watermmark has multiple branches in the greater Seattle area.

TimberRoots Receives More Than 90% Vote To Design Scanlon Plan

The TimberRoots design team received a more than 90% approval vote to design the first Scanlon Plan for United Building Centers. TimberRoots manufactures roof trusts in Wadena, Minnesota.

Sun Chemical-Staten Island Becomes Network's Newest Member

Sun Chemical has become the newest member of the Network. The Staten Island plant is almost 100 years old and is one of the few remaining manufacturing facilities on Staten Island. The plant manufactures red and yellow pigments (such as the red on a box of Ritz Crackers). The Network will be helping Sun with its gainsharing and lean initiatives.