Pursuing Operational Excellence through Lean Leadership and a Lean Management System

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Pursuing Operational Excellence through Lean
Leadership and a Lean Management System

• Jerry Bussell
• Vice President
• Global Operations

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Overview

• Medtronic, Inc.
• Medtronic ENT/NT
• Lean Journey
• Lean Leadership 7Ps
• Lean Management System
• Lessons Learned

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Medtronic Corporate Overview

• World leader in medical technology
• 14 billion in sales
• 38,000 employees worldwide
• Named 100 Best Companies to Work For by Fortune
  Magazine

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Medtronic Mission

• Contributing to human
• welfare by the application
• of biomedical engineering
• to alleviate pain, restore
• health, and extend life.

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Medtronic, Inc.

• Every five seconds
• someone, somewhere in the world
• is alive or living a fuller life
• because of a
• Medtronic product or therapy.

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Medtronic Surgical Technologies History

• 1970 Xomed founded
• 1979 acquired by Bristol-Myers Squibb
• 1994 acquired by Warburg, merged with Merocel
  Corporation
• 1996 public offering
• 1999 Xomed acquired by Medtronic
• 2005 Medtronic forms new sector ENT/NT

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Medtronic Surgical TechnologiesBusiness Sector

• ENT, Neurological Technologies
• gt850 million in sales
• 2300 total employees
• Eight manufacturing facilities
• Headquarters Jacksonville, FL
• 17,000 finished goods items

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Sales Revenue
20
Medtronic ENT/NT Sales
80
23
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65
8
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XPS Microdebrider System
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NIM Response Nerve Monitor
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Image Guided Surgery
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Operational Excellence

• Continually improve
• operational performance
• in all areas of the company
• to enable
• Medtronic Surgical Technologies
• to exceed its business objective

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Lean Thinking
A strategy that focuses on the elimination of
waste so that each step creates value in the eyes
of the customer
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Lean Principles

• Specify value
• Map the value streams
• Make the value flow
• Pull
• Seek perfection

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The Toyota Way

• Respect for People
• Continuous Improvement

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How Did We Get Involved?

• Best practices review 1998 and early 1999
• Malcolm Baldrige and Shingo model
• Shingo model included lean thinking
• Shingo conference lean presentations, May 1999

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Our Initial Steps

• Study lean thinking
• Sell strategy to top management
• Teach others about lean
• Develop implementation plans
• Consult an expert
• Change the operations organization
• Conduct value map training
• Start value mapping

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Consult the Experts
Dr. James P. Womack, Founder Lean Enterprise
Institute
Lean Enterprise Institute Training Training
to See from Learning to See Value Stream
Mapping by Rother and Shook
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Lean at Medtronic Surgical Technologies
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Tool Box
SMED
Value Mapping
Visual Mgmt
Six Sigma
Standard Work
Kaizen Events
LEAN
Kanbans
Training
Heijunka
5S
Mistake Proofing
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Our Results
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Lean Transformation
Operations
Suppliers
Customers
Quality
Research Development
Company Wide
Sales Marketing
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Lean Leadership

• Leaders are visionaries with a poorly
  developed sense of fear and no concept of the
  odds against them. They make the impossible
  happen.
• -Dr. Robert Jarvik

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Lean Organization
Customer
Money Earners
Support Personnel
Managers
Executive Management
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Leadership 7Ps

• P urpose
• P eople
• P reparation
• P rocess
• P roblem solving
• P erformance
• P ossibilities

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Alignment
Wildly Important Goals (WIG)
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Discipline and Execution
Disciplined People Disciplined
Thoughts Disciplined Actions --Jim Collins
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Discipline and Standardization
Policy Deployment Process
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6S Program
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Daily Plant Meeting
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Measurement Trees
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VLC Boards Plant Boards
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Use of A3
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Card System
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RIE and Kaizen
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Value Maps
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Fridays Out Briefs
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Lessons Learned

• 1. The best way to change a culture is through
  personal involvement with people
• 2. A compelling vision of the future inspires
  change in behaviors
• 3. Learn by doing is a cant miss formula
• 4. Create a wildly important goal
• 5. Inclusion resource groups make a huge
  difference
• 6. Celebrate problems
• 7. Alignment at all levels of the organization is
  critical
• 8. Recognize successes in a sincere fashion

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• Choose work you love
• and you will never have to work a day
• in your life.
• --Confucius

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Think Lean !!