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• Why do Organisations want to implement Lean?
• Why do many Lean interventions fail to sustain?
• How can “Supply Chain Improvers” help enable you to achieve Sustainable Improvement?
Sustaining Improvement
Why do Organisations want to implement Lean?
Sustaining Improvement
• To meet/exceed customers expectations.
InputsInputsOutputs(CTQ)
Outputs(CTQ)
Know what is important to your customersDo you know what “Xs” are important to
meet customer needs?How do the “Xs” drive outcomes,
revenue, and cost?
Why do Organisations want to implement Lean?
Revenue
Resources / Costs
IncreasedProfit
Revenue . . . € $ £
Time
TraditionalThinking
Revenue
Resources / Costs
LeanThinking
Lean
Th
inkin
g
• Increase growth rate and make more profit.• Create/Maintain a sustainable business.
Sustaining Improvement
Why do Organisations want to implement Lean?
• Free up capacity.• Reduce backlog.
Sustaining Improvement
Why do Organisations want to implement Lean?
• Decrease transformation costs.• Optimise performance & Increase flexibility.
Sustaining Improvement
Why do Organisations want to implement Lean?
Why do many Lean interventions fail to sustain?
Sustaining Improvement
Continuous Improvement, or the classic lean approaches are viewed by senior executives as:
• A partial solution to achieve short term cost reduction, rather than an effective way of running a sustainable business.
• Only about tools and techniques, not building a business. • Only applies to narrowly defined areas such as the
manufacturing or office based processing • A short term way to cut costs in the Order Fulfilment
process
Sustaining Improvement
Why do many Lean interventions fail to sustain?
Vision
• No clear view of the key strategic goals of the business and the factors that govern achievement of the goals: Critical success factors.
• Focus areas - No clarity on what and why• No clarity of how improvement activities tie to the
strategic goals.• Key performance indicators not aligned to the goals.
Sustaining Improvement
Why do many Lean interventions fail to sustain?
Preparation
• Poor communication and stakeholder consultation.• Partial buy in.• Poor training and mentoring infrastructure.• Top down only strategy.• No employee empowerment.• Measurements not aligned.
Sustaining Improvement
Why do many Lean interventions fail to sustain?
Implementation
• Starting at the wrong place.• Focus on waste reduction only.• Poor understanding of value and waste.• Misunderstanding labour efficiencies.• Poorly resourced.• Poor targeted training and understanding.• Employees not engaged.• Overburden.• Culture.
Sustaining Improvement
Why do many Lean interventions fail to sustain?
Slash-and-Burn wins for long term losses
• Focus on waste reduction only.• Poor understanding of value and waste.• Misunderstanding labour efficiencies (RIF).
Sustaining Improvement
Why do many Lean interventions fail to sustain?
There is no copy/paste one size fits all solution for improvement but unfortunately too many organisations approach improvement interventions targeting areas and tools that may not gain sustainable improvement.
The Toyota Production System (TPS) for lean continuous improvement is not something that is standardised and implemented in all Toyota plants the exact same way. The reality is what you see is today’s condition which is the result of many small steps, therefore it is different throughout Toyota as organisations are on different learning cycles with different sets of circumstances.
Sustaining Improvement
Why do many Lean interventions fail to sustain?
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
Sustaining Improvement
Basic stability firstIt is only when the process is stable that you can bring the creative progression of continuous improvement (kaizen)
Time
Perf
orm
ance Stable
Unstable
Improved
Customer
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
Working with you to create
sustainable improvement
You SCI Improve
We believe continuous improvement is a way to achieve things that you don’t necessarily know how you are going to achieve in all your business areas.
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
We work hands on with our clients to help them understand what improvements they really want and why.
• What are the target conditions you want to achieve and how did you set them?
• What is the actual condition against those targets now?
• What obstacles are preventing you from reaching these target conditions now and how are you addressing them?
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
We map the whole enterprise, helping organisations to review other processes besides order fulfilment such as:
• Order Creation• Sales & Ops Planning • New Product Introduction
As it is more often these processes that can be targeted to free capacity, enable stability and provide a catalyst for positive change.
Big Picture Mapping
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
• Work with you to set the target conditions you want to achieve.
• Define your present conditions against these targets.
• Propose and agree the strategy to tackle the obstacles blocking you from reaching the target conditions.
• Train and develop teams in the correct tools and methodologies required.
Set targets, Tools and Projects
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
We are pragmatic in our approach to improvement using only the tools and methodologies that make the most sense for each situation, enabling organisations to identify and focus on only the changes that suit the present conditions and building a baseline to enable sustainable improvement towards sustainable target conditions.
WasteMuda
OverburdenMuri
VariabilityMura
Quality – Safety – Environmental
Varia
bilit
yM
ura
Waste
Mud
a
Continuous Improvement
Business Growth
Ove
rbur
den
Mur
i
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
• Work with stake holders to target root causes of overburden to free up capacity for improvement initiatives.
• Target variability of order intake process to establish best conditions for improvement of order fulfilment process.
• Be hands on with the teams as functional and project resource.
• Project Manage, measure and report improvement.
Tactical Deployment
Sustaining Improvement
How can “Supply Chain Improvers” help enable you to achieveSustainable Improvement?
Thank you for your interest.For Further Information on how Supply Chain
Improvers can help you in achieving Sustainable ImprovementsContact either:
Peter King. +44 7534 603108 [email protected] Bonar. +44 7825 294343 [email protected]
Sustaining Improvement