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An approach to Cultural Change on the Shop Floor

The topic is quite extensive, so, for this short article I will touch on an approach to and a high level action plan to effect successful cultural change.

Explanation and Action Steps

Explanation:

When attempting to initiate organizational change, it’s essential to recognize that both technical and psychological components are involved. The first two questions, What to Change? and What to Change Into? are primarily technical; they focus on identifying the specific issue that needs to be addressed and the desired outcome. These are the practical, data-driven questions that drive the problem-solving process. However, the third question, How to Cause the Change? is fundamentally psychological, as it involves managing emotional resistance within the organization.

Politics and established ways of doing things in many organizations create a natural resistance to change. The emotional pushback is a key obstacle, as individuals often perceive change as threatening their security. This perception can stem from fear of the unknown, fear of failure, or fear of losing control. As such, change is often met with emotional resistance, which, if not managed carefully, can derail even the best-planned initiatives. Understanding this psychological process is crucial to successfully navigating the change process and ensuring that the organization continues to improve sustainably.

Emotional Resistance to Change:

  • Any Improvement Is a Change: The improvement process is inherently a change, but not every change necessarily equates to an improvement. For a change to be successful, it must be seen as an improvement by those affected by it.
  • Change as a Threat to Security: Change, even when beneficial, is often perceived as a threat to personal or organizational security. This perception arises because individuals may fear that the new way of doing things will reduce their influence, position, or comfort within the organization.
  • Emotional Resistance: This threat to security triggers emotional resistance, which is a natural, protective reaction. However, this emotional resistance cannot be overcome with logic or reasoning alone. Instead, it requires a more powerful emotional response, such as a sense of urgency, excitement, or the feeling of ownership in the process.

The challenge here is to find a way to create a productive emotional response to change that outweighs the natural resistance. Traditional methods such as using fear or insecurity (e.g., “change or else we will fall behind”) may work initially but are not sustainable in the long term. They often create an environment of constant tension and insecurity, which leads to burnout, disengagement, and eventually stagnation.

The Power of the Emotion of the Inventor:

Rather than using fear or insecurity, a more positive and sustainable approach involves tapping into the emotion of the inventor—the powerful feeling of ownership and personal connection to a solution. This emotion arises when individuals come up with their own solutions to problems, as opposed to simply being told what to do.

The Socratic method, which encourages individuals to find their own answers by asking the right questions, can be an effective tool in inducing this emotion. It not only helps individuals feel ownership over the solution, but it also engages their creativity and problem-solving skills, leading to deeper commitment to the change process.

Action Steps:

  1. Identify Core Problems:
    • Action: Begin by identifying and clearly defining the core issues within the organization that need to be addressed. These problems should be specific, measurable, and impactful to the overall success of the organization.
    • Expected Result: This step ensures that the change efforts are targeted and aligned with the most pressing issues, preventing wasted time and resources. By clearly identifying the problems, you create a sense of urgency and focus, which helps drive the rest of the process.
  2. Construct Practical Solutions:
    • Action: Once the problems are identified, work with key stakeholders to design simple, practical, and actionable solutions. These solutions should be straightforward and focused on achieving clear outcomes, rather than overcomplicating the process with unnecessary complexity.
    • Expected Result: By developing clear, realistic solutions, you reduce ambiguity and increase the likelihood of successful implementation. Employees will feel more confident about the changes, as they will have a clear understanding of what is expected of them.
  3. Induce Invention of Solutions (Using the Socratic Method):
    • Action: Apply the Socratic method to guide individuals or teams in developing their own solutions. Instead of providing answers, ask thoughtful, open-ended questions that challenge them to think critically and come up with their own ideas. The goal is for individuals to feel like they are the creators of the solution, which increases their commitment to the change process.
      • For example, instead of saying, “Here’s how we will improve this process,” ask, “What do you think is the most critical challenge in this process? How could we overcome it?”
    • Expected Result: This approach helps to trigger the “emotion of the inventor,” fostering a sense of ownership and pride in the solution. People are more likely to follow through with changes when they have been part of creating them. This leads to greater engagement, more innovative ideas, and a deeper buy-in to the change process.
  4. Avoid Relying on Fear or Insecurity:
    • Action: While fear can sometimes motivate short-term action, avoid using fear-based tactics to induce change. Instead of focusing on the potential negative consequences of not changing (e.g., “We’ll fall behind our competitors”), focus on the positive aspects of change, such as growth, innovation, and improvement.
    • Expected Result: This helps to create a more positive, motivating environment for change. People are more likely to embrace change when they see it as an opportunity for growth rather than a threat. It also prevents the development of an unhealthy work environment dominated by fear, which can lead to disengagement and burnout over time.
  5. Revisit and Iterate the Change Process:
    • Action: Change is not a one-time event but an ongoing process. Regularly revisit and evaluate the progress of the change initiatives to ensure that they are achieving the desired results. Be open to adjusting the approach based on feedback and new insights.
    • Expected Result: This creates a culture of continuous improvement, where change is seen as a natural and ongoing part of the organization’s evolution. It prevents stagnation and helps the organization stay agile and responsive to new challenges. It also reinforces the idea that change is not something to be feared, but a constant driver of success.
  6. Cultivate a Culture of Ownership and Innovation:
    • Action: Foster an environment where employees feel empowered to innovate and contribute to the change process. Encourage creativity, celebrate small wins, and provide opportunities for individuals to take ownership of projects and solutions.
    • Expected Result: Promoting a culture of ownership and innovation increases employee engagement and reduces resistance to change. Employees will feel more connected to the organization’s success and more likely to proactively contribute to ongoing improvements.

Following these steps can create a more sustainable and positive change process. The key is to focus on emotional engagement, foster ownership, and avoid relying on fear or insecurity. This approach will help you implement successful changes and ensure that your organization remains adaptable, resilient, and continuously improving over time.

 

by Tim Smith

 

MEMEX - Data-Driven Manufacturing Application

MEMEX’s Sales Execution Continue; Over $300,000 in Net-New Purchase Orders & Component Sales

BURLINGTON, ON / ACCESSWIRE / August 15, 2017 / Memex Inc. (“MEMEX” or the “Company”) (TSX-V: OEE), a global leader in Industrial Internet of Things (IIoT) manufacturing productivity software, announced today that in the 30-day period ending August 14, 2017, it has received more than $300 thousand in net-new purchase orders and component sales. In combination with MEMEX’s previous press release, the Company has announced in excess of $780 thousand (at today’s exchange rate) worth of purchase orders since July 12th, 2017.

“An increasing number of manufacturers are recognizing the compelling value proposition of IIoT and Data-Driven Manufacturing, leading them to select MEMEX as their vendor of choice,” said MEMEX President and CEO, David McPhail. “The Company has experienced an increase in purchase activity from multiple end customers that represent a diverse set of manufacturing sectors including oil and gas, industrial pumps, and industrial painting equipment. MEMEX’s MERLIN Tempus continues to offer our clients the capability to gain new, real-time insights into exactly what is happening on their factory floors, whether they are physically onsite, or observing their operations remotely. Our unsolicited, inbound inquiries continue to increase, as do client referrals, and current customer site expansion opportunities. When these sales activities are combined with our diligent trade show and thought leadership marketing efforts, designed to secure more sales opportunities and bring on additional new customers, we believe that the recent net-new orders are just the beginning.”

About MEMEX

Memex Inc. was founded with a vision to improve the way automated machinery and production equipment work and connect on the factory floor. Since then MEMEX has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. MEMEX is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real Time. MEMEX’s software and hardware IIoT solution enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com.

For investor inquiries please contact:

Rashi Rathore, Marketing Manager
905-635-3040 ext. 103
Rashi.Rathore@MemexOEE.com

David McPhail, President & CEO
519-993-1114|
david.mcphail@MemexOEE.com

Sean Peasgood, Investor Relations
416-565-2805
sean@sophiccapital.com

MEMEX - Data-Driven Manufacturing Application

MEMEX Announces $500 thousand Deal with SEW-EURODRIVE for Plant-Wide Deployment of MEMEX MERLIN TEMPUS EE

Another MERLIN Pilot Transitions into Full Plant Rollout

BURLINGTON, ON–(Marketwired – Jul 12, 2017) – Memex Inc. (“MEMEX” or the “Company”) (TSX VENTURE: OEE) announced it has received a purchase order from SEW-EURODRIVE for $500 thousand (approx.) in a plant-wide deployment of MERLIN Tempus Enterprise Edition (EE) and MERLIN DNC software.

SEW-EURODRIVE, the Lyman, South Carolina-based producer of gearmotors and drive-based automation solutions, will install MEMEX’s machine-monitoring solutions onto most of the factory equipment housed in its 250,000 square-foot manufacturing facility.

“SEW-EURODRIVE researched very carefully for the right supplier of automated machine monitoring solutions and determined that MEMEX’s MERLIN was best able to capture the quality of data we were looking for,” said Jess Galloway, SEW-EURODRIVE’s Manufacturing Superintendent. Chuck Chandler, Plant Manager, added, “It is important for a world class manufacturing facility to have visibility of all operations and the use of these advanced data-driven manufacturing techniques extends our competitive edge.”

“We’re proud that SEW-EURODRIVE selected MEMEX after a thorough and careful competitive evaluation process,” said MEMEX President and CEO David McPhail. “SEW-EURODRIVE started with a MERLIN pilot, and has now committed to a full-plant roll-out of MERLIN Tempus EE and MERLIN DNC. This says a lot about how much value SEW-EURODRIVE places in the adoption of a data-driven manufacturing approach and in the MEMEX solution, in particular. We’re excited to work with SEW-EURODRIVE and are looking forward to helping this industry-leading manufacturer use data-driven manufacturing to achieve its business productivity and efficiency goals.”

About MERLIN Tempus Enterprise Edition and MERLIN DNC
The MERLIN Tempus Enterprise Edition works on MEMEX’s core MERLIN software platform, enhancing machine monitoring capabilities by adding additional metrics like Overall Equipment Effectiveness (OEE) — the industry standard measure of factory efficiency.

MERLIN DNC is a software plug-in to the MERLIN platform. It offers a browser-based interface that connects legacy CNC tools to modern networks, and allows CNC programs and data to be easily transferred.

About SEW-EURODRIVE
SEW-EURODRIVE is a world leader in drive technology and a pioneer in drive-based automation. Since introducing the gearmotor in 1931, the company has had a history of innovations, including the first variable speed gearmotor, early electronic drives, and the first motor with energy-efficient copper rotors. Over the last seven years, the company’s Lyman, South Carolina plant has more than doubled its manufacturing capacity to meet growing customer demand.

About MEMEX
Memex Inc. was founded with a vision to improve the way automated machinery and production equipment work and connect on the factory floor. Since then MEMEX has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. MEMEX is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real Time. MEMEX’s software and hardware IIoT solution enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profit, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300 per cent. For more information, please visit: www.MemexOEE.com

 

For investor inquiries please contact:

 

Rashi Rathore, Marketing Manager

905-635-3040 ext. 103

Rashi.Rathore@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

 

Sean Peasgood, Investor Relations

416-565-2805

sean@sophiccapital.com

MEMEX - Data-Driven Manufacturing Application

Podcast: The philosophy and application of data-driven manufacturing

David McPhail in conversation with James D. Sawyer – Editor Emeritus, Advanced Manufacturing

A manufacturing concern can get the greatest return on its investment by optimizing its overall equipment effectiveness, or OEE. In this podcast hosted for SME, MEMEX CEO David McPhail details the relationship between OEE and the Industrial Internet of Things (IIoT). Data, he explains, is what drives this relationship. Data-driven manufacturing consists of keeping track of everything that happens on the shop floor, and software, including MEMEX’s MERLIN Tempus solution, helps monitor and manage that data.

MEMEX - Measuring Manufacturing Excellence Logo

Recent surge leads to more than $380 Thousand in purchase orders for MEMEX

BURLINGTON, ON–(Marketwired – Jun 27, 2017) – Memex Inc. (“MEMEX”) (TSX VENTURE: OEE) announced today that in the past six weeks (ending June 21, 2017) it has received more than $380 thousand of purchase orders. These are an aggregate of net-new orders and follow-on orders from existing customers.

“We believe these stronger recent results are an indication that the U.S. manufacturing technology market is beginning to strengthen, and that MEMEX’s efforts to revitalize its sales process and strategy are proving effective,” said MEMEX president and CEO David McPhail. “Existing customers are seeing significant improvements in the operating efficiency of the machines already connected in real time to the corporate network via MERLIN. These customers are now extending those benefits to the rest of their equipment to maximize both productivity and profits.”

Beyond existing customers expanding their deployments with MERLIN, new customers are also recognizing MEMEX as the vendor of choice with proven solutions that work on industry standards to help them remotely manage and monitor their equipment in real time and gain a better perspective of exactly what is happening on their shop floors.

“We are starting not only to see a recovery in US manufacturing spending, but we also feel more confident in the recent changes at MEMEX, including hiring a new U.S.-based vice president of sales, allowing a key executive to focus on business development and marketing, and reinvigorating the sales force,” said Mr. McPhail. “I believe the recent net-new orders are just the beginning. MEMEX has been working diligently to secure more sales and bring on additional new customers.”

About MEMEX

MEMEX was founded with a vision to improve the way automated machinery and production equipment work and connect on the factory floor. Since then, MEMEX has proved itself a pioneer in IIoT time and again. The company is committed to its mission of “successfully transforming factories of today into factories of the future,” and envisions converting every machine into a node on the corporate network, creating visibility from shop-floor-to-top-floor. MEMEX is the developer of MERLIN, an award-winning IIoT technology platform that delivers tangible increases in manufacturing productivity in Real Time. MEMEX’s software and hardware IIoT solutions enable customers to achieve tangible IIoT-centric business outcomes. The MERLIN software suite and connectivity products have enabled manufacturers to achieve upwards of a 50% increase in productivity and a 20%-plus increase in profits, on average. Additionally, customers have secured payback in less than four months, which equates to an Internal Rate of Return greater than 300%.

REQUIRED CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING INFORMATION

Certain statements contained in this news release, including statements related to MEMEX’s belief that the recent net-new orders are just the beginning and that MEMEX has been working diligently to secure more sales and bring on additional new customers, constitute “forward-looking information” within the meaning of applicable Canadian securities legislation. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. MEMEX believes the expectations reflected in such forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and should not be unduly relied upon. In particular, no assurance can be given that the current trend in net-new orders will continue or that MEMEX will secure more sales or bring on additional customers. Information on additional risks related to MEMEX’s business is included in our management’s discussion and analysis of our financial results for the year ended September 30, 2016 which may be accessed through the SEDAR website (www.sedar.com). The forward-looking statements contained in this news release are expressly qualified by this cautionary statement. These forward-looking statements and information speak only as of the date of this news release. MEMEX does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

For investor inquiries please contact:

 

Rashi Rathore, Marketing Manager

Phone: 905-635-3040 ext. 103

Email: Rashi.Rathore@MemexOEE.com

 

David McPhail, President & CEO

519-993-1114

david.mcphail@MemexOEE.com

 

 

Sean Peasgood, Investor Relations

416-565-2805

sean@sophiccapital.com