...integration

Integrated Product/Process Teams (IPT)

Some organizations that have initiated lean methods in their business processes also employ a structural process called integrated product and process development/deployment (IPPD) and have established integrated program management teams (IPMTs) to manage value streams. Depending on the type of business the organization operates in, it may focus its energy on products, projects, or programs. For example, in a large insurance company the structure may be developed around life, medical, and auto, which are products. But in a software development or jet engine manufacturing organization may be structured around a program (for example, a specific word-processing package or a new-generation strike fighter). Whether the team is structured around a product or project is irrelevant; what is important is that it has the organizational freedom and structure to monitor overall performance of processes as they relate to delivery of value to the customer. Whereas the functional disciplines provide leadership within their field as a point of integration across the organization, the IPMT provides organizational integration through product focus.

The IPMT will typically have funding responsibility throughout the value stream to ensure process success for the product, program, or project. The IPMT has the integration responsibility to eliminate waste throughout the entire value stream and to maintain a balance among the lines of business as well as with other IPMTs.

Within an IPMT there should be representation from every discipline necessary to develop, and maintain the product or program, but the team doesn't need to be as large as an army. This means that during the design phase there should be representation from the quality organization looking to mistakeproof the processes prior to deployment, procurement to address any sourcing issues prior to production, production to ensure that design and process capability are aligned, customer support to address service and maintainability issues as early as possible, and, of course, the design or engineering function to conceptualize and define the product but also to integrate the lessons learned from previous products to prevent the need for relearning.

Depending on the complexity and size of the product or service, an organization may need to create levels of responsibility within an IPMT structure. For example, a large, complex piece of equipment may have logical design modules that can be treated as sub-value streams. Though they are part of the greater value stream, the sub-value streams would focus their efforts specifically on the module they are responsible for. The same is true at the component level and at the part level.

The IPMT does not execute the actions or the work of the organization; it leads, manages, and ensures that all of the actions in the development and delivery of the deliverable product are accomplished and are consistent with the needs of the customer. The work resides within the line of business, cost center, or supplier tasked with the aspect of the product applicable to them. Caution is advised here with regard to leadership signals. The IPMT may not send a signal to any level of the organization that conflicts with existing policies and procedures of the organization. This can severely upset the balance of the organization (homeostasis) and undermine the desired culture. Where there is a need for system change, such must be coordinated prior to execution. Defined expectations for action, also known as policies and procedures, must be the commands of the organization and are absolutely critical to ensure one pulse beat for action in the organization and throughout the value stream.

For a smaller, single-site organizations, the structure is similar to that of a multisite organization, except for of course the number of layers needed to serve the functions previously described. The IPMT may not need to comprise full-time positions, but rather the organization identifies team members who execute the responsibilities of an IPMT. But remember, if we feel something is important enough to do, we must either allocate sufficient resources to do it properly or not do it at all. Thus, if someone if filling many other roles in addition to their IPMT duties, their focus and performance obviously will be diluted across all of their responsibilities. In other words, "you get what you pay for." Regardless of the size or geographical separation of the organization, there must also be a test applied in establishing a structure.

The following is a sample listing of IPMT roles and responsibilities (not all inclusive):

Integrated Program Management Team (IPMT-level)

• Execution of program  Share collective knowledge  
• Single customer interface  
• Ensure compliance to customer requirements  
• Developing program strategies  
• Communicating across and throughout value stream  
• Ensure program-level knowledge capability  
• Ensure program-level cost performance  
• Ensure program-level quality performance  
• Ensure resources throughout value stream  
• Monitor reliability of products and services  
• Monitor lower-level design/process changes  
• Assure systems integration

Component Integrated Program Team (CIPT-level)

• Ensure flow of knowledge up, down, and across  
• Focused customer interface  
• Establish manufacturing strategy  
• Establish procurement strategy with IPMT  
• Ensure component-level knowledge capability  
• Ensure component-level cost performance  
• Ensure component-level quality performance  
• Investigate design/process improvements  
• Assure part integration

Integrated Product Team (IPT or Part-level)  

• Ensure knowledge is shared at part-level  
• Tight integration with manufacturing/point of service  
• Perform product/process investigations  
• Ensure part-level/service-level quality performance  
• Establish process capability
• Provide product/service knowledge to CIPT  
• Manage day-to-day work execution

The IPL Group has the experience, tools and capability to help your organization establish integrated teams within your organization.  We offer on-site consultancy, classroom training, web-based training, and project-led learning.

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