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LEAN

LEAN Information and Workshops

LEAN is a management philosophy and set of principles that aim to optimise efficiency, reduce waste, and improve organisational processes. In an office environment, LEAN principles can be applied to streamline workflows, improve communication, and increase productivity.

The main principles of LEAN include:

  1. Identify value: Determine what the customer values and focus on delivering that value.
  2. Map the value stream: Identify the steps involved in delivering value to the customer and eliminate any unnecessary or non-value-added steps.
  3. Create flow: Organize work in a way that allows for continuous flow and the efficient use of resources.
  4. Establish pull: Use customer demand to drive production, rather than pushing products or services out to the market.
  5. Seek perfection: Continuously improve processes and eliminate waste in order to create a more efficient and effective organization.

In an office environment, LEAN principles can be applied in a variety of ways. For example, a company might use LEAN principles to streamline its hiring process, improve communication among team members, or increase the efficiency of its supply chain. By identifying and eliminating waste and inefficiencies, a company can become more productive and better able to meet the needs of its customers.

LEAN Principles

The LEAN guiding principles are a set of guidelines for implementing the LEAN philosophy in an organization. There are eight principles:

  1. Identify value: Determine what the customer values and focus on providing that value.
  2. Map the value stream: Identify and map the steps involved in creating value for the customer.
  3. Create flow: Optimize the value stream by eliminating waste and ensuring a smooth flow of material and information.
  4. Pull: Only produce what is needed, when it is needed, based on customer demand.
  5. Perfection: Strive for continuous improvement and perfection in all aspects of the value stream.
  6. Respect for people: Foster a culture that empowers and engages employees in the continuous improvement process.
  7. Leadership: Establish a leadership style that encourages and supports the LEAN principles.
  8. Continuous improvement: Adopt a continuous improvement mindset and make it a part of the organizational culture.

These principles form the foundation of the LEAN philosophy and are intended to help organizations create value for their customers while minimizing waste and maximizing efficiency.

Tools

LEAN is a philosophy and set of tools and techniques for improving efficiency and reducing waste in organizations. Some common acronyms used in LEAN include:

  1. VSM (Value Stream Mapping): a tool for mapping the steps involved in creating value for customers, with the goal of identifying and eliminating waste
  2. PDCA (Plan-Do-Check-Act): a continuous improvement cycle that involves planning a change, implementing it, checking the results, and making necessary adjustments
  3. TPM (Total Productive Maintenance): a maintenance approach that involves all employees in the maintenance and improvement of equipment
  4. JIT (Just In Time): a production approach that involves producing only what is needed, when it is needed, based on customer demand
  5. KANBAN (a Japanese word meaning “signal” or “card”): a visual control system for managing the flow of materials and information in a manufacturing or service process
  6. SMED (Single Minute Exchange of Dies): a tool for reducing the time required to set up or changeover a production process
  7. TQM (Total Quality Management): a management approach that involves everyone in the organization in continuous improvement efforts to achieve high quality products and services
  8. 5S (Sort, Set in Order, Shine, Standardize, Sustain): a methodology for organizing and optimizing a workspace, with the goal of creating a safe, efficient, and visually appealing work environment

What is Six Sigma?

Six Sigma is a methodology for improving the quality of products, services, and processes by identifying and eliminating defects. It is based on statistical analysis and uses data-driven decision-making to identify and eliminate sources of variability and error.

Six Sigma has a target of reducing defects to 3.4 per million opportunities, which is represented by the term “Six Sigma.” The term refers to the fact that, statistically, processes operating at Six Sigma level are expected to produce only 3.4 defects per million opportunities.

Six Sigma projects follow a structured methodology called the DMAIC process: Define, Measure, Analyze, Improve, and Control. This process involves defining the problem and the target for improvement, measuring the current performance of the process, analyzing the data to identify the root causes of defects, implementing improvements to the process, and establishing controls to ensure that the improvements are sustained.

Six Sigma is often used in manufacturing and service industries to improve efficiency, reduce costs, and increase customer satisfaction. It is a continuous improvement methodology that is focused on eliminating waste and variability in order to create value for customers.

Value Stream Mapping

Value stream mapping is a tool used to visualise and analyze the flow of materials and information needed to create a product or service for a customer. It is used to identify and eliminate waste in a process to create value for the customer.

Value stream mapping involves creating a visual representation of the steps involved in creating value for the customer, including both value-added activities (those that directly add value to the product or service) and non-value-added activities (those that do not add value from the customer’s perspective). By identifying non-value-added activities, it is possible to eliminate or minimise them to increase efficiency and reduce waste.

Value stream mapping typically involves creating a “current state map” and a “future state map.” The current state map shows the current process as it is currently being performed, while the future state map shows the optimised process with waste eliminated. The difference between the two maps can then be used to identify improvement opportunities and create an action plan for implementing changes.

Value stream mapping is often used in manufacturing and service industries as a tool for continuous improvement and is particularly useful for identifying waste in complex processes with multiple steps.

PDCA (Plan-Do-Check-Act)

PDCA (Plan-Do-Check-Act) is a continuous improvement cycle that helps organizations identify problems, test solutions, and make necessary adjustments to improve processes and outcomes. It is also known as the Deming Cycle or the Shewhart Cycle.

The four steps of the PDCA cycle are:

  1. Plan: Identify a problem or opportunity for improvement and develop a plan for addressing it.
  2. Do: Implement the plan and collect data on the results.
  3. Check: Analyze the data to determine the effectiveness of the plan and identify any problems or issues that need to be addressed.
  4. Act: Make necessary adjustments to the plan based on the results of the analysis and implement the revised plan.

The PDCA cycle is an iterative process that involves continuously identifying problems or opportunities for improvement, testing solutions, and adjusting as necessary. It is often used in conjunction with other continuous improvement tools and techniques, such as value stream mapping and Six Sigma, to drive continuous improvement in organizations.

KANBAN

KANBAN is a visual control system for managing the flow of materials and information in a manufacturing or service process. It is used to signal the need for production or the availability of materials, and is often associated with just-in-time (JIT) production and inventory control systems.

The word “KANBAN” is a Japanese term that means “signal” or “card.” In a KANBAN system, cards or other visual signals are used to communicate the need for materials or the availability of finished goods. When a workstation or storage location runs out of a material or component, it sends a signal (usually a card or an electronic message) to the previous workstation or supplier to indicate that more is needed. This helps to ensure that materials are produced or delivered only as needed, reducing excess inventory and waste.

KANBAN is often used in conjunction with other LEAN tools and techniques, such as value stream mapping and 5S, to optimize the flow of materials and information in a process and improve efficiency. It is a flexible and adaptable system that can be customized to fit the needs of different organizations and processes.

1 - Examples of Waste

Examples of Wastes:

In April 2023 I had to update my address with Centrelink, the My.Gov website refused to do it and the Centrelink website said there are pending updates and to contact us. Their Phone contact did not have a callback service nor did it give the length of waiting time. This meant customers needed to WAIT on their phones for an unknown amount of time, removing the ability to do anything away from that phone until the call was completed. Considerable productivity loss for Australia.

2 - Business checklist

Advertising/Marketing the business (especially important for hiring staff):

  • Google business details correct with:
    • Website
    • Hours
    • Contact details
    • Photos of business? Are they recent?
    • Are there customer reviews that need responding to?
  • Facebook business details correct with:
    • Website
    • Hours
    • Contact Details
  • LinkedIN business details correct with:
    • Website
    • Contact details
  • Website
    • Contact details
    • If contact form - does it work and is it easy to use?
    • Does the front page list the business activities?
    • Is the website monitored for changes and confirming it’s working?

– Use NWTAS.AU to Record and Share the above details to help promote businesses in the North West of Tasmania. (Python script to check details monthly and Email businesses).

– Consider self daily monitoring and downloading snapshot weekly. Allowing the website to be restored if something were to happen.

– Monthly newsletter - Always add value. Website uptime (daily) - offer to check more often. Copy of how socials look to public. (screen shot?)

3 - LEAN Wastes (7/8/9 Wastes)

In the LEAN manufacturing philosophy, waste is defined as any activity that does not add value to a product or service from the customer’s perspective. The 8 LEAN wastes are:

  1. Overproduction: producing more than what is needed or can be sold
  2. Waiting: delays in the production process, such as waiting for materials or for equipment to be repaired
  3. Transporting: unnecessary movement of materials or products
  4. Over Processing: doing more work than is necessary to meet customer requirements
  5. Inventory: excess or unnecessary inventory that takes up space and ties up capital
  6. Motion: unnecessary movement by employees that does not add value, such as reaching for tools or materials
  7. Defects: errors or mistakes that require rework or scrap
  8. Underutilized talent: not fully utilizing the skills and knowledge of employees

The goal of LEAN is to eliminate or minimize these wastes in order to increase efficiency, reduce costs, and improve quality. This is typically achieved through the continuous improvement of processes and the identification and elimination of non-value-added activities.

Lean Production System:

  • Inventory
  • Space
  • Waiting
  • Over Processing
  • Rework
  • Excessive Motion
  • Over Production
  • Unused Creativity
  • Transport

Acronyms:

DOWNTIME:

  • Defects
  • Over Production
  • Wait Time
  • Non-Utilisation of Talent
  • Transport
  • Inventory
  • Motion
  • Extra Processing

TIMWOOD:

  • Transportation
  • Inventory
  • Motion
  • Waiting
  • Over Production
  • Over Processing
  • Defects

What are examples of LEAN wastes?

Some examples of LEAN wastes in a manufacturing setting include:

  1. Overproduction: producing more than what is needed or can be sold
  2. Waiting: delays in the production process, such as waiting for materials or for equipment to be repaired
  3. Transporting: unnecessary movement of materials or products
  4. Overprocessing: doing more work than is necessary to meet customer requirements
  5. Inventory: excess or unnecessary inventory that takes up space and ties up capital
  6. Motion: unnecessary movement by employees that does not add value, such as reaching for tools or materials
  7. Defects: errors or mistakes that require rework or scrap
  8. Underutilized talent: not fully utilizing the skills and knowledge of employees

In a service setting, examples of LEAN wastes might include:

  1. Unnecessary paperwork or administrative tasks
  2. Long wait times for customers
  3. Unnecessary steps in processes
  4. Lack of standardization
  5. Unclear communication or lack of information sharing
  6. Disorganized or cluttered workspaces
  7. Inefficient use of technology
  8. Unclear roles and responsibilities, leading to duplication of effort or confusion

By identifying and addressing these types of waste, organizations can improve efficiency, reduce costs, and increase customer satisfaction.

4 - Training: LEAN for Business - Introduction

Live Training: Introduction to LEAN: Business/Life improvements

Next Event: 10AM AEST 7th February 2023 Globally, this will be at: https://www.timeanddate.com/worldclock/fixedtime.html?msg=LEAN+Introduction&iso=20230207T10&p1=396&ah=1

Eventbrite Links:

Facebook Events:

LinkedIN Events:

Feedback form - Google Forms:

  • https://forms.gle/r8hYiL8ST2ncbReZ6 - Please provide feedback after the presentation. It will help tailor content for future presentations. Constructive feedback may receive a voucher for future presentations to use or share.

Description [LIVE][FREE][Productivity] Introduction to LEAN: Business/Life improvements - Hosted in Tasmania, Australia!

This is a 1-hour presentation with time for deeper discussion and questions at the end.

This session will introduce the concept of Lean and its focus on eliminating waste and creating value for customers through improving efficiency, reducing costs, and increasing quality.

We discuss how understanding Lean 8 Wastes and 5S can improve productivity and using their terminology to help make changes in your workplace. We will also discuss how to use the 5 Whys and what Value is in Lean.

This is a group online training session using ZOOM. You will be able to interact with the trainer and other participants. Ask questions and request follow-up information.

If you’re not able to make the session, feel free to join a future session. The session will not be recorded, allowing participants to relax and have honest discussions.

Please email lean@davidrobinson.au with any questions.

Session plan for teaching LEAN:

  1. Introduction: Begin by introducing the concept of LEAN and its focus on eliminating waste and creating value for customers. Explain the principles of LEAN and how they are applied to improve efficiency, reduce costs, and increase quality.

  2. Value Stream Mapping: Introduce the tool of value stream mapping and explain how it is used to visualise and analyse the flow of materials and information needed to create a product or service for a customer. Provide an example of a current state map and a future state map, and explain how they are used to identify improvement opportunities.

  3. LEAN Tools and Techniques: Introduce some of the key tools and techniques used in LEAN, such as 5S, KANBAN, PDCA, and Six Sigma. Explain how each tool is used and provide examples of how they can be applied in different types of organisations.

  4. Case Studies: Present case studies or examples of how LEAN has been successfully implemented in different organisations. Discuss the challenges and benefits of implementing LEAN and how it has impacted organisations.

  5. Group Exercise: Divide the participants into groups and have them work on a case study or simulated problem using LEAN tools and techniques. This can be a hands-on activity where they apply the tools to a real or simulated problem, or it can be a more theoretical exercise where they identify improvement opportunities and create a plan for implementing LEAN.

  6. Conclusion: Review the key points and takeaways from the session. Encourage participants to think about how they can apply LEAN principles and tools in their own organisations and encourage continuous learning and improvement.

Session plan for teaching 8 Wastes:

  1. Introduction: Begin by introducing the concept of waste and its impact on efficiency and cost in organizations. Explain that the LEAN philosophy is focused on identifying and eliminating waste in order to create value for customers.

  2. The 8 Wastes: Introduce the 8 LEAN wastes (overproduction, waiting, transporting, overprocessing, inventory, motion, defects, and underutilized talent) and provide examples of how each type of waste can occur in different types of organizations.

  3. Group Exercise: Divide the participants into groups and have them brainstorm examples of the 8 wastes in their own organizations. Encourage them to think about how each type of waste impacts efficiency and cost, and how it could be eliminated or minimized.

  4. Case Studies: Present case studies or examples of how the 8 wastes have been successfully addressed in different organizations. Discuss the challenges and benefits of reducing waste and the tools and techniques that were used.

  5. Tool Application: Introduce tools and techniques that can be used to identify and eliminate the 8 wastes, such as value stream mapping, 5S, and KANBAN. Explain how these tools can be used in different types of organizations to improve efficiency and reduce waste.

  6. Group Exercise: Have the participants work in groups to apply one or more of the tools to a real or simulated problem in their own organization, with the goal of identifying and eliminating one or more of the 8 wastes.

  7. Conclusion: Review the key points and takeaways from the session. Encourage participants to think about how they can apply the tools and techniques learned in the session to identify and eliminate waste in their own organizations, and encourage continuous learning and improvement.