Lean Blog Audio

The blog postAre 95% of enterprise AI pilots really “failing”? And how does that compare to the long-repeated claim that 70% of Lean initiatives fail? In this episode of Lean Blog Audio, Mark Graban examines what’s really behind these numbers. He explains why many so-called “failures” stem not from flawed tools or technologies, but from leadership gaps, unrealistic goals, and a lack of psychological safety.Drawing lessons from Lean practice and his book The Mistakes That Make Us, Mark highlights the importance of experimentation, learning from setbacks, and creating an environment where people feel safe to try, adjust, and improve. Whether you’re implementing AI, Lean, or any transformation, the key is shifting from fear of failure to a culture of continuous learning.

In this episode, Mark revisits a 2007 conversation with James P. (Jim) Womack, founder of the Lean Enterprise Institute and co-author of The Machine That Changed the World. Nearly two decades later, Jim’s reflections on the origins of the word “Lean” remain just as relevant.The blog postThe discussion takes us back to MIT in 1987, when Womack and his colleagues were analyzing data from auto plants around the world. Toyota and Honda were clearly operating in a fundamentally different way—faster design cycles, fewer errors, less capital, less space, and more value. But they needed a name for this system. That’s when researcher John Krafcik suggested a term that captured the essence of “less”: Lean.Womack reflects on how the word solved one problem—it shifted attention away from “Japanese manufacturing” or “the Toyota Production System” to something more universal. But the name also created challenges: because Lean rhymes with “mean,” too many managers misused it as shorthand for cutting jobs rather than creating more value while respecting people.Mark reads Womack’s timeless warnings and lessons: Lean was never about headcount reduction; it was always about eliminating waste, improving flow, and engaging people in problem-solving. And while the term has traveled in many directions since that 1987 “naming moment,” its underlying principles—value for customers, respect for people, and continuous improvement—remain as important in 2025 as ever.Listen in to hear Jim’s words from that original 2007 interview, plus Mark’s reflections on why this conversation still matters today.

Episode pageIn this episode, I share a reading of my recent blog post, based on a Catalysis webinar where I explored what we can learn from Lean in Japan. Since 2012, I’ve been fortunate to travel to Japan six times with study groups, including those led by the Kaizen Institute, Honsha, and Katie Anderson. Each trip has reinforced the paradox that Lean is both easier and harder in Japan—and that the deepest lessons are not about tools, but about mindsets, culture, and leadership.What You’ll Learn in This EpisodeWhy Lean in Japan isn’t about “being Japanese,” but about cultivating long-term thinking and respect for people.How Ina Food practices “tree-ring management” and why profit is seen as a byproduct, not the goal.How Toyota reinforces its role as a “people development company” through problem-solving and Kaizen.The double-edged role of Japanese culture: precision and standardization on one hand, but reluctance to speak up on the other.How mechanisms like the andon cord create safer ways to surface problems.What Japanese hospitals are learning from American health systems—and vice versa.Why Kaizen isn’t about cost savings alone, but about making work easier and building capability.Memorable lessons from leaders like Dr. Shuhei Iida of Nerima General Hospital: “If you keep doing Kaizen, you will get innovation.”Key Quotes from the Episode“Profit is like excrement produced by a healthy body. Nobody’s goal is to wake up and produce excrement — it’s just the natural result of living and doing things well.” — Chairman of Ina Food“The role of the leader is to set the vision — that cannot be delegated.” — Japanese executive“If you keep doing Kaizen, you will get innovation.” — Dr. Shuhei Iida, Nerima General HospitalWhy It MattersLean is not a set of tools to copy, but a system of beliefs and practices rooted in respect, learning, and long-term thinking. Speaking up about problems isn’t easy—whether in Japan or elsewhere—which is why leaders must create psychological safety and model improvement themselves.Resources & LinksCatalysis webinar recording (available soon)Learn more about upcoming Lean Healthcare Accelerator Experience in JapanWork With MeIf you’re a leader aiming for lasting cultural change—not just more projects—I help organizations:Engage people at all levels in sustainable improvementShift from fear of mistakes to learning from themApply Lean thinking in practical, people-centered ways📩 Let’s talk: mark@leanblog.org

The blog postWhen Mark applied for a burglar alarm permit, he accidentally sent the form to the wrong Newport — Rhode Island instead of Kentucky. The voicemail he got back was kind, clear, and even funny: pointing out that an 845-mile police response probably wasn’t going to work.In this story, Mark reflects on:Why small mistakes are easier to handle with humility and humorHow Toyota’s “expected vs. actual” lens helps frame errorsWhy psychological safety and kindness matter more than blameHow to turn a minor error into a “favorite mistake” — one you can laugh about and learn fromIt’s a reminder that even harmless slip-ups can reinforce bigger lessons about improvement, culture, and how we respond to mistakes.

The blog postIn this episode, Mark explores how the Dunning-Kruger effect shows up in Lean—especially after a first belt course, workshop, or book. Early enthusiasm can turn into overconfidence, creating blind spots and stalling growth.Drawing from his book Practicing Lean, Mark shares stories (his own and from contributors like Paul Akers and Jamie Flinchbaugh) about mistakes made early on, what they taught us, and why Lean should be treated as a practice, not a project.Key themes:Why certifications are a starting point, not the finish lineHow psychological safety helps keep overconfidence in checkLessons learned from early Lean misstepsPractical tips for avoiding common training pitfallsAll royalties from Practicing Lean benefit the Louise H. Batz Patient Safety Foundation, supporting safer care for patients and families.

The blog postSometimes an “improvement” makes things worse. The Germans even have a word for it: verschlimmbesserung.In this episode, Mark Graban shares the story of how a well-intentioned fix to Europe’s vineyard fungus problem in the 19th century nearly wiped out the continent’s wine industry. The introduction of American grapevines solved one issue but unleashed a far bigger one: phylloxera, a microscopic pest that devastated vineyards, economies, and cultures across Europe — including Mallorca, where wine production lay dormant for nearly a century.This historical case offers powerful lessons for today’s leaders:Why most of the time small, contained tests are bestWhen risks are irreversible, testing may not be safe at allHow to balance experimentation with rigorous risk assessmentWhy good intentions aren’t enough if you create tomorrow’s crisis while solving today’s problemFrom vineyards to hospitals, factories, and offices, the challenge is the same: how do we solve problems without making things worse?

The blog postToo often, leaders think that if they simply “get everyone doing Kaizen,” performance will automatically improve. While daily improvement is essential, some problems are too deeply rooted in the system for frontline staff to fix on their own.In this episode, Mark Graban explores why Kaizen is necessary but not sufficient — and why leaders must take responsibility for changing the systems that shape performance. Drawing on Dr. W. Edwards Deming’s reminder that “a bad system will beat a good person every time,” Mark shares real-world examples, including a hospital laboratory redesign that transformed results once leadership tackled systemic constraints.You’ll learn:Why leaders can’t delegate away system-level changeThe difference between local improvements and structural redesignsHow system fixes and daily Kaizen reinforce one anotherPractical lessons for avoiding frustration and building real, sustainable improvementThe message is clear: frontline staff can’t Kaizen their way out of a broken system. Leaders must create the conditions where Kaizen can truly flourish.

The blog postAlbert Einstein once called the “cosmological constant” the biggest blunder of his life. But what if that so-called mistake actually holds timeless lessons for leaders today?In this episode, Mark Graban explores Einstein’s “favorite mistake” — why he altered his equations to fit prevailing beliefs, what he missed in the process, and how the story connects directly to Lean thinking, Toyota Kata, and continuous improvement.You’ll hear how Einstein’s cautionary tale mirrors what happens in organizations when:Data contradicts long-held assumptionsTeams run pilots that outperform the old way, but leaders resist changePeople hesitate to speak up because it feels unsafe to challenge the consensusThe conversation highlights the importance of scientific thinking, experimentation, and psychological safety — and why the real mistake isn’t being wrong, but failing to learn.Whether you’re leading change in healthcare, manufacturing, software, or beyond, you’ll come away with practical insights to help you trust the data, encourage dissent, and model learning from mistakes.

the blog postIn this episode, Mark Graban previews his upcoming half-day workshop at the AME St. Louis 2025 International Conference: The Deming Red Bead Game and Process Behavior Charts: Practical Applications for Lean Management.If you’ve ever felt stuck in the exhausting cycle of reacting to every up and down in your performance metrics—or frustrated by red/green scorecards that drive pressure and finger-pointing more than improvement—this session is for you.Mark explains why Process Behavior Charts provide a more thoughtful, statistically sound alternative to arbitrary targets and binary dashboards. He also shares how the famous Deming Red Bead Game makes visible the ways that systems set people up to fail—and how leaders can do better.What you’ll learn in this episode:How to distinguish between signal and noise in performance dataWhy Process Behavior Charts help leaders react less and improve moreThe pitfalls of red/green scorecards and arbitrary targetsHow to connect better data interpretation to Lean management and strategy deploymentWhether you’re a leader, manager, or improvement professional in any industry, you’ll come away with practical takeaways to reduce firefighting and improve decision-making.

the blog postWhat does Lean healthcare really mean? It’s more than tools like 5S, A3s, or huddle boards. Lean is a management system that depends on two pillars: respect for people and continuous improvement. Without both, attempts to copy Lean practices in healthcare fail.In this episode, Mark Graban—author of Lean Hospitals, Healthcare Kaizen, and The Mistakes That Make Us—explores how the Toyota Way philosophy applies to hospitals and health systems. He shares lessons from Toyota, Franciscan Health in Indianapolis, and other organizations proving that Lean leadership in healthcare is not about cost-cutting—it’s about creating a culture of improvement.What You’ll Learn About Lean Healthcare:Why Lean is a system, not a toolbox of methodsHow respect for people means designing systems that prevent mistakes, not blaming staffHow Kaizen in healthcare develops people while improving quality and safetyWhy suggestion boxes fail and daily improvement succeedsThe four goals of Kaizen: Easier, Better, Faster, Cheaper (in that order)How Lean leadership means coaching, not controllingWhy psychological safety and trust are essential for sustainable improvementKey Quotes from Mark:“Improvement happens at the speed of trust.”“The primary goal of Kaizen is to develop people first and meet goals second.”“A Lean environment doesn’t cut costs through layoffs. It invests in people and meaningful work.”If you’re a healthcare leader trying to reduce errors, engage staff, and build a lasting culture of improvement, this episode provides practical insights you can apply today.

The blog postAccurate data is essential in any system–for diagnosing problems, guiding decisions, and driving improvement. But when leaders react poorly to uncomfortable data, the message often gets buried, and the system loses its ability to learn.When the truth becomes dangerous to report, people stop sharing it. That's when improvement stops too.Just recently, a senior government statistician in the U.S. was abruptly dismissed following the release of a disappointing jobs report. The data was valid. The revisions were routine. But the report didn't support the preferred narrative. So the messenger was blamed.

The blog postIt's hard to believe, but it's been almost 17 years since the first edition of Lean Hospitals was published–an effort that eventually received the Shingo Research and Professional Publication Award and has since reached tens of thousands of healthcare professionals around the world.When I wrote that first edition, Lean in healthcare was still new territory. Many leaders were still asking, “Will Lean work in healthcare?” Today, the better question is “How can we make it work–and sustain it?”To mark the occasion, I've been reflecting on some of the key ideas from the book–concepts that continue to resonate with readers, leaders, and improvement professionals.

Read the blog postWhen I first came across the word kakorrhaphiophobia, I thought it might be one of those obscure terms you learn once and never use again.But the meaning stopped me in my tracks:an irrational, intense fear of failure or defeat.It turns out, this fear is more common–and more consequential–than we might admit, especially in workplaces that say they support continuous improvement but don't act in ways that support it.

Episode page with links and moreDuring my most recent visit to Japan (as part of a tour hosted by Katie Anderson), we spent time in several remarkable organizations where the focus wasn't just on performance or process… but on people.One company in particular introduced me to a word I hadn't encountered in this context before: kaiteki.Roughly translated, kaiteki means “comfort,” “ease,” or a “pleasant working environment.” But what stood out was how deeply embedded this idea was in the company's culture–and how it shaped their entire approach to leadership and improvement.

Episode page with survey results and moreWhen someone on your team makes a mistake, what happens next?Do they speak up–or stay quiet?Do leaders give feedback that demonstrates curiosity–or do they blame employees?After interviewing over 200 leaders and contributors for my podcast “My Favorite Mistake” and book, The Mistakes That Make Us, one truth has become clear:Speaking up isn't about character–it's about culture.-----And if you're looking for a practical way to bring this conversation into your workplace, I created a free resource:Download The Mistake-Smart Leader's Checklist

The blog postI'm honored to share that my workshop, "The Deming Red Bead Game & Process Behavior Charts: Practical Applications for Lean Management," has been accepted for the 41st Annual International AME Conference, taking place this October in St. Louis.The conference theme--Gateway to the Future: AI and Beyond--is both timely and forward-looking, and I'm grateful to contribute a workshop that brings us back to foundational thinking: systems, variation, and learning.While AI is the shiny new thing, timeless management principles still matter--perhaps now more than ever.

Read the blog postWe all say mistakes are a part of learning. Or at least many of us do, as individuals.But how many organizations actually act that way?Too often, people are punished for systemic errors. So, problems get hidden.When problems are discovered, blame is assigned instead of learning being shared. And we wonder why our teams hesitate to speak up.That's why I created a simple new resource:The Mistake-Smart Leader's Checklist[Download it here]

The blog postThanks to NPR for their recent story about how today, April 23, 2025, marks the 40th anniversary of what is considered one of the biggest business or product marketing failures of my lifetime — the failed introduction of “New Coke.”

The blog postAre your improvement efforts falling flat, or are you constantly chasing red dots? Are you interested in improving the way we improve?I've had to re-tool my Cincinnati workshop (June 17th) since my collaboration partner is now, unfortunately, unable to make it.Join me for a practical and thought-provoking day exploring two essential foundations for sustainable performance: psychological safety and modern leadership metrics.LEARN MORE AND REGISTERIn the morning, we'll explore how psychological safety fuels continuous improvement–not just as a “nice to have” but as a must-have.In the afternoon, we'll untangle data confusion and overreaction by learning to apply Process Behavior Charts and other concepts from my book Measures of Success.

The blog postThere's a phrase I've been thinking about a lot lately:"You get your say, not always your way."It's a short sentence, but it says a lot. It's about voice, it's about respect, and it's about the kind of culture we're building--especially when we aim for continuous improvement.In The Mistakes That Make Us, I wrote about the characteristics of learning organizations. One of the most important is encouraging people to speak up--not just about mistakes, but also about ideas, concerns, and potential risks.But here's the nuance: Psychological safety doesn't mean consensus. It doesn't mean you'll get your way every time.