Manuela Kummeter

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Lean Leadership 2.0:

Empowering with

Positive Psychology

European Production Excellence

Lean leadership is just another leadership model? Read on!

In a world where efficiency and innovation are crucial, lean management methods offer more than just optimisation – they promote a culture of continuous development. Even though the focus in Europe has often been on tool implementation, with the right approach you can not only achieve organisational goals, but also actively engage and empower your employees.  Let’s find out together how lean management and positive psychology can take your leadership to a new level – and make you more successful at the same time.

What is lean leadership and why is it important?

Lean leadership is a clear, methodical approach to managing companies sustainably. It is about continuously improving processes while keeping people at the centre. Studies have shown that companies that apply lean principles score highly in terms of both efficiency and employee satisfaction (Netland & Powell, 2016). Empowering your employees not only leads to better results, but also to higher engagement. In a lean culture, feedback is taken seriously and this leads to continuous improvement. However, lean culture is much more than simply introducing improvement tools such as 5s or Kanban.

Hoshin Kanri: Strategic alignment for sustainable success

Managers and leaders often simply learn the same methods as their employees, but do not have the opportunity to apply them. The focus for them needs to be different: Hoshin Kanri helps leaders set clear strategic goals and carry them through all levels of the organization. Studies show that transparency and clear objectives improve collaboration and support the achievement of organizational goals (Akao, 1991). Regular feedback loops in the so-called catch-ball process are crucial for measuring progress and reacting flexibly to changes. Employees are more involved, which increases commitment and satisfaction.

Kaizen: Continuous improvement is corporate culture

Kaizen stands for continuous improvement and has been scientifically proven to be an effective method for promoting innovation and improvement within a company (Imai, 1986). It is not just about solving problems, but developing a proactive attitude. Regular small improvements add up to big changes – this is not a theoretical concept, but a tried and tested process that promotes both efficiency and the working atmosphere. And especially in times of uncertainty, it conveys the feeling that things are in your own hands. Managers and employees therefore remain capable of acting even in a crisis.

The role of lean leadership in the European identity

With the strong focus on the tools of lean management, European companies have long failed to recognize the great potential that lean management really has. This is despite the fact that lean leadership fits perfectly with the European corporate philosophy, which emphasizes quality, collaboration and sustainability. Studies show that European companies that apply lean methods respond better to market changes and increase their innovative strength (Netland & Ferdows, 2014). The interplay between lean principles and positive psychology plays a special role here: employees who feel supported and valued are more creative and committed. And creative, committed employees are Europe’s greatest asset!

Practical methods for lean leadership in everyday life

Methods such as Kaizen and Hoshin Kanri are not abstract theories, but practical approaches that you can use every day. Research shows that companies that consistently implement these methods not only increase productivity, but also involve and motivate their employees more (Liker, 2004). This leads to less friction and an overall positive working atmosphere.

Empowerment: key to successful lean leadership

Employee empowerment is not a buzzword when trust, empowerment and a culture of learning in an organization enable decisions to be made at the level of greatest knowledge about the process step. Studies by Spreitzer (1995) show that empowerment leads to higher job satisfaction and productivity. Actively involving your employees increases their commitment, which in turn increases the success of your organization. Through regular feedback and the opportunity to contribute your own ideas, you create a culture of co-creation. To do this, invest in trust, training and a healthy feedback culture.

Combining lean management and positive psychology

The combination of lean management and positive psychology offers a unique approach to not only optimize processes, but also to increase employee satisfaction and well-being. Research by Seligman (2011) shows that positive emotions and a sense of purpose significantly improve performance. By combining lean methods such as Hoshin Kanri with the promotion of positive emotions, you create a work culture that is not only efficient, but also remains successful in the long term.

Mastering challenges in lean leadership

Challenges are a natural part of any leadership, and lean leadership offers proven tools to proactively address them. Research by Womack and Jones (1996) shows that organizations that apply lean principles are more resilient to external challenges. A transparent and continuous feedback system helps to recognize problems at an early stage and to develop solutions together with employees. But above all stands the willingness to accept failure and the to foster the resulting learning process.

Best practices: Successful examples from practice

Companies that successfully implement lean leadership show that clear goals and continuous improvement lead to sustainable success. Studies by Netland and Ferdows (2014) show that companies that systematically apply lean principles are more competitive and innovative. One example of this is Toyota, which has been practising kaizen and lean leadership for decades and has continuously improved its processes and products as a result.

Conclusion: Your path to excellent lean leadership!

Lean leadership is not a buzzword, but a method to strengthen your company and your employees. With scientifically based approaches such as Hoshin Kanri and Kaizen, you can create a culture of targeted, continuous improvement that increases both efficiency and employee satisfaction. And by combining this with positive psychology, you will take your leadership skills to a new level.

Interested? Get in touch!

Sources:
Akao, Y. (1991). Hoshin Kanri: Policy Deployment for Successful TQM. Productivity Press.

Imai, M. (1986). Kaizen: The Key to Japan’s Competitive Success. McGraw-Hill Education.

Liker, J. K. (2004). The Toyota Way: 14 Management Principles from the World’s Greatest Manufacturer. McGraw-Hill.

Netland, T. H., & Ferdows, K. (2014). The S-curve effect of lean implementation. Production and Operations Management, 23(8), 1279–1299.

Netland, T. H., & Powell, D. J. (2016). The Routledge Companion to Lean Management. Routledge.

Seligman, M. E. P. (2011). Flourish: A Visionary New Understanding of Happiness and Well-being. Free Press.

Spreitzer, G. M. (1995). Psychological empowerment in the workplace: Dimensions, measurement, and validation. Academy of Management Journal, 38(5), 1442-1465.

Womack, J. P., & Jones, D. T. (1996). Lean Thinking: Banish Waste and Create Wealth in Your Corporation. Simon & Schuster.

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