What is lean

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LEAN THINKING
Matt Humphrey, Senior Consultant.
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Lean thinking in summary

• Specify value form the standpoint of the
  customer.(Question Do customers want to obtain
  goods and services? Or do they want to solve
  their problem?)
• Identify the value stream for each product and
  remove wasted activities.
• Make the value flow toward the customer as
  quickly as possible.
• Only at the pull of the customer.
• While striving continually for perfection (
  perfect value / outcome with zero waste)

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Objective of Lean thinking

• The objective is to manage the business backwards
  from the customer definition of value not
  forward from your organisation and your assets
• To create lean primary processes to design,
  deliver and support this value with minimum
  wasted effort and time and necessary lean
  support processes.
• And to build a lean management system to
  develop, sustian and improve these processes over
  time
• Be clear about customer purpose, before designing
  the processes and then organising the people

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Managing Lean

• It is not an extension of continuous improvement
  or a tool box but a systems redesign for each
  value stream
• Involving design production as well as
  logistics, production control, maintenance,
  purchasing etc.
• It is not about what works theoretically or
  automation but a robust system tolerating day
  to day disturbances.
• It will not happen unless someone is responsible
  for each value stream plan and unless they get
  the necessary support and resources from
  functional departments

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Waste

• The Waste of Overproduction
• The Waste of Waiting
• The Waste of Transporting
• The Waste of Inappropriate Processing
• The waste of Unnecessary Inventory
• The waste of Unnecessary Motion
• The Waste of Defects

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Waste

• The New Wastes
• The Waste of Untapped Human Potential
• The Waste of Inappropriate Systems
• Wasted Energy and Water
• Waste of customer Time
• Waste of Defecting Customer
• Waste of Materials (Environmental)

7
The Process
Define Customer Value
Map Current State
Define Future State
Carry out Improvement activitys
Measure impact on the K.P.I.
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Customers

• Who are the customers and what is their real
  purpose?
• What is the customers consumption process (Demand
  stream)?

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Value
Anything that changes the product or service in a
way that the customer requires everything else is
non value added or waste.
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Perfection requires that

• Every step is Valuable, Capable, Available,
  Flexible and Adequate
• Is the step valuable or would the customer be
  equally happy with the product or service if it
  could be left out?
• Is the step capable, can it be conducted with the
  exact same result every time?
• Is the step available, can it be performed when
  ever is it is needed?
• Is the step adequate, is there capacity to
  perform it exactly when the value stream requires
  it?
• Is the step flexible?
• Does it flow?

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Improvement tools

• Continuous Improvement / Breakthrough
  Improvement
• Workplace Organisation (5C)
• Kaikaku (Just do it)
• Standardisation
• Spaghetti Diagrams
• Total Productive Maintenance (TPM)
• Overall Equipment Effectiveness (OEE)
• Root Cause Analysis
• Business Process Re-engineering (BPR)

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Production Tools

• Kanban (customer pull)
• Batch Sizing
• Setup Reduction
• Runners, Repeaters, Strangers
• Demand Smoothing
• Cellular Manufacturing
• Visual Management (line of sight)

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Performance Measures

• Quality Cost Delivery (QCD) - The seven
  measures
• Not Right First Time
• Delivery Schedule Adherence
• People Productivity
• Stock Turns
• Overall Equipment Effectiveness
• Value Added per person
• Floor Space Utilisation

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Tool Box
Strategic Analysis
Policy Deployment
Personal Effectiveness
Strategic Direction
Strategic Planning
Operational Excellence
Business Excellence
Supply Chain Management
Performance Management
Project Management
Leadership
Emotional Intelligence
Continuous Improvement
Leadership styles
Market Development
Vision Values
Partnership
Value stream map
Lean
Total Productive Management
Theory of Constraints
Gap analysis
Lifecycle management
Self awareness
7 Wastes
Coaching mentoring
M.O.S. Development
Customer Value Flow
Supplier development
Bench-marking
Workplace organisation
OEE
Identify constraints
Key performance measures
Programme review
Social awareness
7 Quality tools
Learning team approach
Managing self
Creative problem solving
Change management
Current Future State
Make v buy
RADAR
Standard-isation
Just in Time
Manage constraints
Balanced scorecard
Project review
Time management
Demand Management.
EFQM
Waste elimination
Pull system
Daily management
Detail plan
Managing relationship
Plan Do Check Act
Strategic Objectives
Delegation
Visual management
Setup reduction
Communi-cation
Line balance
Process control
Interviewing skills
Managing change
Minimising stress
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QUESTIONS?
Matt Humphrey, Senior Consultant. 07764 688248 /
matthew.humphrey_at_bentley-jennison.co.uk Scott
Baker, Senior Consultant. 07976 646943 /
scott.baker_at_bentley-jennison.co.uk
www.bentley-jennison.co.uk