In this episode of the Why They Fail Podcast, we take on one of the biggest traps in modern management: the obsession with numerical goals. Dr. W. Edwards Deming warned against this decades ago in his famous Point 11, which calls for the elimination of management by objectives. Today, those warnings still apply.

Our guest is John Dyer, bestselling author of The Facade of Excellence and a Master Black Belt who spent decades at General Electric and Ingersoll Rand. John has also written many articles for IndustryWeek magazine, which you can read here: https://www.industryweek.com/home/contact/22028785/john-dyer

He also hosts the Behind the Curtain: Adventures in Continuous Improvement podcast on IndustryWeek: https://www.industryweek.com/podcasts/behind-the-curtain

John explains how the focus on hitting numbers breeds fear and manipulation instead of real improvement. Together, we break down how to fix the system, not the people, and how real leadership drives long term excellence.

Deming’s 14 Points shaped the foundation of modern quality management. Yet, the most misunderstood remains his call to end management by objectives. When leaders impose numerical targets without improving the system or providing the right tools, they set teams up to fail. It creates a culture of blame and fear, the very opposite of trust and innovation.

John shared powerful examples. In one case, a company proudly reported a 99% first-pass yield, while customer returns hit 20%. The numbers looked good, but the truth was hidden. This Facade of Excellence proves why chasing targets over truth destroys credibility and improvement.

Learn more about Lean and Six Sigma here

So, what replaces management by numbers? Leadership. Deming’s Point 11 calls for leaders who coach instead of command. A good system helps good people succeed. A bad system defeats even the most skilled team.

John emphasized that unrealistic goals do more harm than good. Setting unreachable targets, like jumping from 90% quality to 99% overnight, only frustrates teams and drives shortcuts.

Instead, focus on leading improvement, not demanding results. Six Sigma Black Belt certification teaches this principle in depth.

Instead of rigid objectives, John promotes Celebration Points - small, achievable wins that create momentum and pride. For instance, a team aiming for 100% quality could celebrate at 92%, then 94%, then 97%. These steps build confidence and enthusiasm. Continuous improvement isn’t about perfection overnight. It’s about steady progress and consistent leadership support.

This mindset reflects the true spirit of Kaizen, where every improvement, no matter how small , matters.

One of the most surprising insights John shared was that the biggest barrier to lasting change isn’t tec...

• (00:00:00) - Why Continuous Improvement Efforts Fail
• (00:01:15) - Six Sigma: The Facade of Excellence
• (00:02:25) - Sigma: The Process of Excellence
• (00:08:59) - The 14 Points of W. Deming
• (00:14:10) - Management by Accommodations
• (00:22:06) - The Facade of Excellence vs. Empowerment Organization
• (00:27:55) - What is the biggest inhibitor of Continuous Improvement Initiative?
• (00:34:19) - John Deming on the Red Beat
• (00:41:11) - John Dyer

Can Lean Six Sigma principles truly revolutionize municipal operations? This episode delves into the remarkable success story of Fort Wayne, Indiana, exploring how continuous improvement in city government led to over $30 million in savings and drastically improved public services. Join host Kevin Clay as he interviews Graham Richard, the former mayor who pioneered this transformation. Discover the strategies, challenges, and incredible outcomes achieved by applying business process improvement methodologies in a public sector environment.

Graham Richard wasn't your typical politician entering office. With a background as a business owner and entrepreneur, he had hands-on experience with quality initiatives like TQM (Total Quality Management) even before Lean Six Sigma became prominent. Working with companies like General Electric, he saw the power of process analysis and data-driven decisions. This private sector experience became the bedrock for his vision when elected Mayor of Fort Wayne in 1999. He aimed not just to manage, but to fundamentally improve how the city operated.

Upon taking office, Mayor Richard faced significant challenges: a city growing through annexation without immediate revenue increases, rising service demands, and tight budgets . His strategic answer was continuous improvement in city government, framed under the "B.E.S.T." (Building Excellent Services with Teams) initiative.

Instead of a top-down mandate, Richard focused on asking key questions: "Who is your customer?" "Is your service improving?" "How do you measure it?" . Initially met with blank stares, these questions sparked a shift towards a customer-centric, data-aware culture . Early projects were chosen for high visibility to build credibility and momentum, proving that these methods worked . A retired Master Black Belt from GE was hired, and partnerships were formed with local businesses to share expertise .

The results were tangible and impressive. By focusing on process analysis and data, Fort Wayne achieved significant gains:

• Pothole Repairs: Cycle time reduced from 48 hours to less than 4 hours.
• Permitting: Land improvement permit turnaround slashed from ~60 days to under 12 days.
• Missed Garbage Pickups: Reduced by over 50%, saving the contractor (and indirectly, the city) nearly $200,000 annually.
• Safety: Lost workdays due to accidents plummeted from over 1,900 in 2000 to under 100 in 2006.
• Financial Impact: Documented savings exceeded $27-30 million over Richard's tenure, allowing the city to maintain service levels despite growth and achieve its lowest property tax rate since 1964.

These weren't just isolated wins; they represented a fundamental shift in operational efficiency and effectiveness, showcasing the power of continuous improvement in city government.

• (00:00:00) - Why They Fail
• (00:01:24) - Why They Fail: The Fight for High Performance
• (00:02:29) - Fort Wayne's commitment to Lean 6 Sigma
• (00:06:04) - Fort Wayne Mayor Richard Clay on Implementing Lean 6 Sigma
• (00:13:16) - Six Sigma and Fort Wayne City Government
• (00:21:16) - Best Teams in the Country
• (00:29:52) - Mayor Duggan on the City's Contract with the Union
• (00:39:55) - The City of Fort Wayne's automated 311 system
• (00:43:11) - The Long Term Impact of Continuous Improvement
• (00:45:59) - Why They Fail & How to Avoid It

Welcome to our latest episode! We dive into Continuous Improvement at Danone, a global leader that embeds operational excellence into its culture. In this episode, I talk with Cici Haines, Danone’s Continuous Improvement Manager, who shares insights from her 20-year journey. We explore their “shotgun approach.” Hundreds of employees tackle both big and small problems.

This conversation centers on a key debate. Should you focus only on KPI-driving projects, or invest in culture-building quick wins? Danone’s method boosts morale and work-life balance. However, it also raises questions about focus, resource allocation, and sub-optimization risks.

• The shotgun approach empowers all employees, especially Yellow Belts, to solve problems within their influence.
• Moreover, leadership and ambassadors filter and prioritize projects to align with team objectives.
• There’s a constant balance between KPI-driven initiatives and quick wins that improve daily work life.
• A structured system of virtual Kaizen boards and regular meetings tracks progress and shares successes.
• True continuous improvement demands constant adaptation and re-engagement in a changing environment.

Danone believes employees closest to a process improve it best. Rather than top-down, Danone’s infrastructure welcomes ideas from everyone. Additionally, ambassadors and team leaders champion small projects to ensure needed support. They use virtual Kaizen boards to track ideas from definition through control, creating a transparent system.

This strategy relies on an army of trained Yellow Belts equipped with tools for quick wins. A perfect example: a project reduced cost-center creation from 11.5 days to just 5.25 days, smashing their goal!

Quick wins boost morale, yet they pose a challenge. As my book explains, if you don’t prioritize projects by KPI impact, you may improve non-critical steps. Consequently, you risk sub-optimization. Cici explains that while some projects target cash collection and other KPIs, others focus on employee well-being. For an accounting team closing books late, saving two hours a month is a massive win that builds CI buy-in. Department leaders act as the first line of defense, ensuring teams work on the right projects.

Are you trying to build a continuous improvement culture that lasts? My book uncovers why over 90% of CI initiatives fail within 18 months and provides a simple 7-step roadmap for sustainable success. It covers failure scenarios, from lack of executive buy-in to treating CI as a “new toy.” If this episode’s challenges resonate, download your free PDF copy here: https://sixsigmadsi.com/product/why-they-fail-free-copy/

This episode of "Why They Fail" is brought to you by Six Sigma Development Solutions, Inc., providing “Operational Excellence” Around the Globe!

Six Sigma Development Solutions, Inc. offers comprehensive Lean...

• (00:00:00) - Why They Fail
• (00:01:04) - Danone's Continuous Improvement: The Process
• (00:02:06) - What was your catalyst that really got you into Continuous Improvement?
• (00:03:42) - How to Continuous Improvement at Denone
• (00:06:16) - What is the Continuous Improvement Structure at your Company?
• (00:14:25) - Six Sigma: Continuous Improvement Champions and Green Belt Training
• (00:19:40) - A Taste of Continuous Improvement at Denone
• (00:20:53) - Why Performance Is the Best Politics