An Observation is a data collection method used to gather detailed information about a process or a situation. It allows the observer to collect data in real time at the location where the data is generated.

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Observation
Improving Operations through Observation and Gemba Walks

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Introduction
Many managers nowadays try to resolve work-related issues while they are
sitting in their office or in the meeting room.
Observation 2
Attempting to resolve problems
in this way without visiting the
actual place and without seeing
what’s really happening is not
necessarily a successful
approach.

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Definition
An observation is a data collection method used to gather specific
information about a process or a situation.
Observation 3
It allows the observer to collect
the data in a real-time manner
and at the location where the
data is generated.
By going to the Gemba or the shop floor.

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Definition
It is intended to be a simple learning method to better understand the
actual ‘As-Is’ situation of the daily operation.
Observation 4

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Definition
Ready made observation forms and templates can be used to help
collecting data and information.
Observation 5
BENCHMARK
CUSTOMER
PROCESS

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Uses
Observation 6
Measure customer
satisfaction and
perception of quality
Acquire best practice and
benchmark information
Gather information about
a process or situation
Measure actual
performance against set
targets
Verify an existing problem
and understand the
actual ‘As-Is’ situation

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Uses – Process Improvement
Observation is often used during process improvement and change
management initiatives.
Observation 7
It enables the observer to fully
document the value stream of
the process
It helps to verify an existing
problem and its possible causes
by collecting live data from the
actual place where the work is
being done

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Uses – Process Improvement
Process observation forms can be used to record the observed data,
interview responses, improvement opportunities, and any other useful
information.
Observation 8
Process: Observer: Observation date:
Purpose of observation:
Step # Process step VA, NVA
or ENVA
Cycle time
(AVG)
Yield
(AVG)
Process map/drawings:
Total time:
Remarks/improvement opportunities:

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Uses – Customer Services
Observation activities can also be applied in the
customer service environments.
Observation 9
Oftentimes, there is a need to go
to the customer’s site to truly
understand customers viewpoint
and how they experience your
products and services.
This is especially useful to identify customer satisfaction levels which will
provide valuable insights for continuous improvement.

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Uses – Customer Services
The key is to carefully observe the reactions where there is a direct contact
between the customer and the product or service.
Observation 10
Therefore, it is important to train the observers and ensure they leave a good
impression on the customers.

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Uses – Customer Services
A customer observation form can be used for this purpose.
Observation 11
Customer: Observer: Observation date:
Time entered: Time exited: Store/location:
Purpose of observation:
Product
#
Product description Stock level Time to
process order
Complaints handling
(Cases and minutes)
Exchange:
Payment:
Service:
Remarks/improvement opportunities:

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Types of Observation
Observation 12
Extended
observation
■ ■ ■
E.g., day in the life
of (DILO)
Interactive
observation
■ ■ ■
E.g., Gemba walks
Silent
observation
■ ■ ■
E.g., collecting of
raw data

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Silent Observation
In a silent observation, the observer is required to keep his eyes and ears
open, but his mouth shut.
Observation 13
Useful when
collecting raw
data
Takes only a couple
of minutes to one
hour

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Interactive Observation
In an interactive observation, the observer is required to visit the actual
place in order to see the actual process, understand it, ask questions, and
learn.
Observation 14

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Extended Observation
In an extended observation, the observation period takes a much longer to
thoroughly understand the current state of a process.
Observation 15
The outcome might be
a current state value
stream map
It may take from as
little as a half day up
to a week

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Gemba
Gemba is a Japanese term that means “the actual place”.
Observation 16
It refers to the real place where
value is created and where
clients are served within the
value stream.

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Gemba
Observation 17
In manufacturing environments, it
often refers to the shop floor where
products are manufactured
In the service sector, it may refer to
the actual place where a service is
delivered to the customer.

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Gemba
It could be a factory floor, a construction site, a sales floor, or where there
is a direct interaction between the service provider and the customer.
Observation 18

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Gemba Walk
A Gemba walk is one of the most important lean techniques to understand
the current state of any process.
Observation 19
It is going to the actual place
and observing how the work
is performed

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Gemba Walk
The purpose of Gemba walks is to get closer to the work and to identify
potential areas for improvement.
Observation 20
The idea behind these walks is
that they allow you to make small
improvements many times,
rather than pursue a big
improvement one time.

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Gemba Walk
Remember that Gemba walks are not just some boxes that need to be
checked.
Observation 21
They are steps in the journey
to continuous improvement

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This should be an ongoing
practice in your facility.
Gemba Walk
Whenever possible go to the area where the process takes place and look
directly at the current situation.
Observation 22
LET’S GO TO
THE GEMBA

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Waste Walks
Performing Gemba walks regularly is very useful to find the different forms
of waste and non-value-added activities.
Observation 23
Muda
Also known as waste walks

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Waste Walks
Allows to gain valuable insights on . . .
Observation 24
. . . and discover where continuous improvement opportunities exist
Existing waste
Non-value-
added
activities
Variabilities
Out-of-
specification
conditions
Abnormalities
Bottlenecks Redundancies
Unsafe acts &
conditions
5S
opportunities
Positive
behaviors

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Gemba Walk
It also allows to observe positive behaviors and good practices in the
workplace.
Observation 25
For example, someone who is picking
up garbage while walking and
throwing it in the trash (instead of
stepping over it).

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Gemba Walk
Leaders and staff members are highly encouraged to regularly walk the
process in their workplace and apply Kaizen or other improvement
initiatives where necessary.
Observation 26
Gemba walks are valuable during Kaizen events

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Gemba Walk
Gemba walkers must focus on something that is moving through the process.
E.g., products, materials, objects, tools, applications, information, etc.
Observation 27
As well as the flow of humans in the service sector (transportation, hospitality, etc.)

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Gemba Walk
The goal is to find out what is really happening and not what is supposed to
happen or whether people are following the procedures or meeting the
deadlines.
Observation 28

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Gemba Walk
Gemba walks involve interviewing people, taking their feedback, evaluating
their needs, and implementing plans and solutions that will effectively solve
their problems and organize their work.
Observation 29
People should view these walks
as to support them with their
needs and issues

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Interaction with People
When talking to people, be empathetic
and supportive, and listen actively to
their concerns and suggestions.
Restrain yourself from providing
solutions or judgment and behave
more like someone who wants to learn
and support.
Observation 30

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Interaction with People
Say hello to everyone and do this often enough and openly, so no
defensive attitudes are resulting from the walks.
Observation 31
Make it an opportunity
to say, “good job” and
“well done” as often as
you noticed improved
things!

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Observation 32
Be on touch for the current
state of the Gemba and
allows to identify and
eliminate waste and non-
value-added activities
Gains insight into what the
process is all about and
how it really works
Creates a common understanding of the problems
and aligns leadership with the floor
Allows to listen to ideas and opportunities for
improvement from the process performers
Accelerates problem solving
and performance
improvement
Forces managers and staff
to work together at the
Gemba
Encourages learning and
continuous improvement
Allows leaders to be more
visible and creates
constructive relationships
Sets a great foundation for
effective leadership
01
02 03
04 05
06 07 08 09
Benefits

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Benefits
Only by spending time observing the process, will you be able to see things
such as:
• How the process normally operates.
• How problems are normally resolved.
• How the process is managed and controlled.
• The differences between written instructions,
perceptions and reality.
Observation 33

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Steps for Conducting Workplace Observations
There is no really defined approach to conduct an observation. You just
need to follow the words of Toyota Chairman Fujio Cho . . .
"Go see, ask why, show respect"
Observation 34
Whether you are observing a process or observing a customer, the following
guidelines can serve as a useful guide . . .

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Steps for Conducting Workplace Observations
Observation 35
Clearly define the purpose of the observation and how the information will be used afterward
• Determine the specific information that will be the focus of the observation

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Steps for Conducting Workplace Observations
Observation 36
Study the process or problem you are about to observe
• Review the procedures, instructions, metrics, and other relevant information, and
study the process or problem you are about to observe.
• Prepare an observation form for collecting the desired information.

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Steps for Conducting Workplace Observations
Observation 37
Plan for the observation including timing, location and observers
• Get permission from the process owner or supervisor to conduct the observation
and talk to the people there.

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Steps for Conducting Workplace Observations
Observation 38
Conduct the observation
• Visit the actual place where the process or problem takes place.
• Walk the process, collect data, observe deviation from standard, observe actual
practices, interview people, ask questions and record observations and
responses.

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Steps for Conducting Workplace Observations
Observation 39
Take time to document important ideas and findings soon after completing the observation
• Process and analyze the data, review critical problems and escalate them to the
appropriate level if required.

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Steps for Conducting Workplace Observations
Observation 40
Share what you have learned in your operational meetings
• Share what you have learned in your operational meetings, assign action items,
and include them in your improvement plans and Kaizen activities.
• Take the necessary steps to resolve the problem and improve the process.

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Further Information
It is important that no assumptions are made by the observers during
observation sessions or gemba walks.
Observation 41

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Further Information
Combining observation with photography can lead to even richer information
and adds much interest to the work.
Observation 42

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Further Information
Sometimes there is a need to schedule multiple observation sessions so
that you can capture the variation in the process.
Observation 43
For instance, when
measuring the cycle
time

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Further Information
Be careful not to confuse Gemba walks with auditing.
Auditing is all about ensuring compliance, while in Gemba walks, you are
looking to understand problems that are impacting the performance.
Observation 44

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Further Information
Can be used at all stages of the PDCA cycle.
• During or after each stage.
• Continue the cycle with a Gemba walk to verify improvement then go and
look for another process or area.
Observation 45
Plan Check
Do Act

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Further Information
Gemba walk is very similar to MBWA (Management by Walking Around).
However, MBWA is more about strengthening the relationships with people
and creating an environment of trust in the workplace.
Observation 46

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Further Information
When the process is less visual (e.g., a transactional processes), ask the
process performers to share their system screens.
Observation 47

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Do’s
Observation 48
Smile and be friendly
Welcome positive and negative
feedback
Engage with people and
listen attentively
Make people feel important
Ask instead of tell
Ask people about their needs
and problems
Greet people
Ask open questions to
promote dialogue
Thank them once you are done
Ask people what support
you can provide

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Don'ts
Observation 49
Don't forget to bring a pen
and paper with you
Don’t focus on what is
supposed to happen
Don’t focus to see if things
are clean, tidy and organized
Don’t jump into solutions
Don’t try to resolve issues
while sitting in the office
Don’t focus to see if people are
present, busy and efficient
Don't forget to prepare for the
observation
Don't criticize management
and others
Don’t just waste time chat
with people
Don’t check whether people
are following the procedures

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