A Brief Introduction to Lean Management By Sean M. Moore

What is Lean Management? DefinitionSample Model Lean Management is a production approach that considers the expenditure of resources for any goal other than the creation of value for the end customer to be wasteful, and thus a target for elimination.

Why Lean? These are just a few examples of what you can accomplish with a Lean Thinking philosophy: More efficient quality management. Happier, more productive employees (internal customers). A continually improving environment. Automated, streamlined processes. Career advancement through learning and improvement. Through standardization we can meet a greater demand/volume. Sustainable competitive advantage.

Some examples of Lean Management Implementation of standardized tasks. Elimination of wasteful (non-value) activities. Improved production line from start to finish. Kaizen events and follow up analysis. Employees that are educated in lean practices.

A Brief History of Lean Thinking Benjamin Franklin had something to say about excess inventory in his book The Way to Wealth. So did the Poor Richard Almanac. In 1911, F. Winslow Taylor introduced the concepts of standardization and best practice deployment. Americans at this time recognized the threat of cheap off-shore labor and developed what we now call lean manufacturing as a counter measure. As a result, Ford Motor Company introduced the mass assembly line concept and began construction in December of When Toyota won it’s first contract with the U.S. Government in the 1950s the US was rebuilding Japan, it was not long before they developed the first Kaizen improvement teams. In the mid-1900s to late 1980s Toyota built and grew what is now called the Toyota Production System (TPS), which is still used as a prominent example of lean manufacturing today.

What does this mean to me? What creating a learning organization is about.

Let Touch on Two Things… Improvement of ProcessesWaste Elimination By exploring and analyzing current processes for efficiencies, and focusing on the problem areas, you can manage your time more effectively and produce greater results. By identifying and eliminating wasteful activities, you can execute better use of your time and again achieve better results with a more successful approach.

Some Examples of Lean Management Approach Let’s explore a few models of approach that can contribute to Lean Philosophy.

Basic Process Flow Improvement Diagram Indentify each process into value and non-value categories Map suspect task process from start To finish Identify Time needed to complete each process Brainstorm and identify ways to eliminate non-value Implement Procedural changes

Basic Process Flow Improvement Audit Determine an area or task that may contain wasteful (non-value) processes. Observe the task from start to finish and record the time it takes each item to be addressed. Question constantly and thoroughly. Categorize each process according to value or non-value-added significance. (ex.Walking,Waiting, or Searching may be non-value groups. All else would be value-added activities.) Creative brainstorming session with each task mapped out in sequence to come up with new ideas for eliminating non-value items. Implement procedural changes with follow up.

5S Programs At a Glance Sort Straighten Sustain StandardizeShine 5S

5S Programs Explained 1. Sort – Clear out rarely used items by red tagging 2. Straighten – Organize and label a place for EVERYTHING. 3. Shine – Clean EVERYTHING inside and out. 4. Standardize – Create rules to sustain the first 3 S’s. 5. Sustain – Use regular management audits to stay disciplined.

The PDCA Cycle Create Flow (Act) Evaluate Results (Check) Surface Problems (Plan) Counter- Measures (Do)

The PDCA Cycle Explained Plan – Once problems have surfaced, identify ways to improve current actions. Do – Create new procedures that properly reflect how the processes should flow. Check – Measure the effectiveness of the solution and evaluate/compare to determine added value. Act – Implement procedural changes and monitor for effectiveness.

Summary Lean Management is an approach that measures value and non-value added tasks and attempts to eliminate non-value added waste in order to offer a better end product to the customer. The benefits of Lean thinking extend beyond just that of the customer, but to the employees, management, and even shareholders of the company. There are many approaches that can be used to measure the effectiveness of current business flow and offer improvement.

Questions? Feedback? Ideas?