How to implement lean? • Is there a standard route? • Is kaizen blitz the way to implement lean?

• Do we need to build a lean house? 9/5/2016

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Revere AB

Pia Anhede, MSc Joakim Hillberg, MSc/MBA

[email protected] +46 705 43 80 48 [email protected] + 46 705 74 68 12

CONSULTING Industry, healthcare service, media, mm >15 countries, > 20years

BOOKS

NETWORK

ACTION LEARNING Production Service/ admin Healthcare

TRAINING, MASTER MEETINGS & CERTIFCATION .

LITTLE MORE TOGETHER! Implementation of Lean at Newbody AB

European Lean Educator Conference August 2016

9/5/2016

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Agenda Case Newbody Tobias reflection Implementation structure Questions

1987

25000

700

Founded

Youth groups

Million SEK

Business Concept:

9/5/2016

2,3 Million consumers

60% Market share

Newbody helps- easier and better than any other company- young and nonprofit organisations to make money to be able to fulfill their ideas and dreams

5

Sales Process Customers (Sport teams and associations 70% and school classes 30%) Approx. 7000 in 2015

100% Delivery Precision

150 SEK All Packages

Sellers (Athletes & Students) Approx. 185 000 in 2015

Buyers Approx. 1 200 000 in 2015

Consumers Approx. 2 300 000 in 2015

6

Background 2014 Sold packages

- 4,4%

Fixed cost per package

2,500,000

2,348,288

20.00

1,500,000

5.00

500,000

0.00

0 2013

2013

2014

How satisified are you overall with your working situation at Newbody

0%

20%

15.00 10.00

1,000,000

16%

22.59

25.00

2,000,000

2014 3% 8%

27.33

30.00

2,456,369

SEK

Numer of packages

3,000,000

+ 21 %

35%

40%

27%

60%

80%

2014

How satisified are you overall to have Newbody as your cooperation partner

11%

100%

2014

2%

0%

23%

20%

74%

40%

60%

80%

Not at all

Low degree

Neither high or low

Not at all

Low degree

Neither high or low

high degree

Very high degree

Do not know

high degree

Very high degree

Do not know

100%

Strategy  Operational implementation through continuous improvement Establishing a systematic improvement through the organization

Aligning supply chain strategy with Newbody´s long-term goals

Newbody Plan, standards & KPIs

Daily Control

Supply Chain

Visual Monitoring

Structure for continuous improvement

Department

Productivity

Customer Satisfaction

Outcome

Learning Organisation

Aligning supply chain strategy with Newbody’s long-term goals

Newbody

Supply Chain

Department

Establishing a systematic improvement through the organization

Plan, Standards & KPIs

Visual monitoring

Daily Control

Structure for continuous improvement

Structure for continuous improvement

Puls meeting (Daily 10-15 min) Goal: Managing disturbances and running daily assignments • Daily plan • Standards • Previous day • Identifying deviations The meetings help to identify and solve most of deviations/problems

Repetitive problems, disturbances & deviations

Improvement meeting (weekly 1 hour) Goal: Drive improvements •

1

Follow up implemented ideas and their effects

•

Prioritize deviations through: • Quick Fix • A3 Follow up improvement plans • PDCA • Quick Fix

Department meeting (Monthly 1 hour) Goal: To ensure the performance is according to the goals • •

Measuring outcomes by the help of limit and goal values Action plans

Supply Chain organisation meeting (Monthly 2 hour) Goal: Review all the KPIs together and exchange experiences and ideas

4

5

2

Individual/small groups improvement works (weekly 2 hours) Goal: Coaching and implementation of improvements • Productivity • Customer Satisfaction 3 • Collaboration

The leadership has been changed completely •

The new leadership is based on daily participation in the business

•

The working process simplifies decision-making and enables taking right and quick decisions within the organisation

•

Our deliveries and activities are easy to prioritize and the pace can be controlled

•

Participation with commitment and positive energy has created a positive working environment

•

All employees have a good understanding of their roles and responsibilities regarding the challenges and goals- both short and long term- within the entire organisation and their departments

A unique way to drive change

•

No standard approach to implement Lean

•

Theory combined with practical work

•

Ability to adjust the pace depending on how the work goes

•

All employees participate and have the opportunity to adjust their daily work with different pace

Result 2015 Sold packages

+ 4,9%

2,500,000

30 2,348,288

27.33

2,463,217 25

2,000,000

22.77

22.59

20

Sek

Number of packages

3,000,000 2,456,369

-16,7%

Fixed cost per package

1,500,000

15

1,000,000

10

500,000

5

0

0 2013

2014

2015

How satisified are you overall with your working situation at Newbody

2013

2014

2015

How satisified are you overall to have Newbody as your cooperation partner

Thank You! Newbody AB Tobias Ericsson [email protected]

Lean is NOT about implementing methods and tools Lean boards A3

VSA Standard work

5S Kaizen teams Daily meetings

The most common pitfall when implementing lean

Lean 1. Create flow Leadership (follow me)

Customer Value

Built in Quality

Define and focus flow Establish operational management Train problem solving Set direction & deploy

2. Operational management and systematic continuous improvements Plan, measurements, standards

Visual control

Daily pulse

Systematic continuous improvements

3. Challenge and improve

To reach increased performance (QLE) and move towards the strategic direction

Team Train and perform problem solving Continuous improvement

There is not one way to implement lean

Frame work: Purpose:

Expected results (QDC):

Etablera operationell styrning, ledning och systematiskt förbättringsarbete. Specifikt för 46 och WD15 (Produktion 2.0) där hårdvaran i form av taktat line etableras vill vi parallellt etablera mjukvaran. Plan, Daglig Ledningsgrupp utanför produktion skall följa mätetal, styrning standards och förstå arbetet men ej driva i sin del än.

Etablerat team-struktur. Tydlig modell för styrning och eskalering. Implementerad taktad driven lina på 46 och WD15 som stöds av en team-organisation och struktur för ständiga förbättringar. 25% reducerad ledtid för order till leverans för standard. 30% förbättrat produktivitet. Reducerad provningstid och ökad first time yield. Flexibel kapacitet, fast orderledtid. Se även bilder över målbild som skall skapas (layout och arbetssätt) TBD delmål för att kunna presentera och fira.

Visuell uppföljning

Struktur för förbättringsarbete

Participants:

Chosen area(s): Produktion från lager till leverans Växjö. Produktionsteknik.

Core-team deltagare på seminarier: Marcus, Per, Daniel M, Sven J, Per Å, Mattias F, Stefan R, Jonas S, Jenny S, PL Supply Chain, HR (?) Produktionspersonal är med i implementeringen.

Important interfaces: Internlogistik, produktionskvalitet, ledningsgrupp, fack

Focused methods and ways of working: Team-organisation med mandat/tydligt ansvar. Struktur för ständiga förbättringar (avvikelsedrivet och utmaningsdrivet).  Visuell uppföljning. Daglig styrning. Standardiserad arbete. Plan. Mätetal. Ledarens roll och ansvar. Grunden är födesorientering (utjämning, balansering och takt). Grundläggande lean-verktygen (standards på arbetsplats, kata ...) är integrerat i det dagliga arbetet.

Structure for follow up: TBD med Klas, att vi är på väg att bli referenssite för Getinge.

Important to define the purpose Agree on the target (where to go) Understand current situation (where we are) Choose the first steps to implement

Competence development 1

2

• Introduction to lean • Measurements and targets • Current operational management

• Daily management and control • Structure for continuous improvements

Implementation Mgt team • Set measurements and targets for all teams • Visualization • Implement daily management all • Start improvement teams and weekly meetings

3

4

5

•

•

To drive continuous improvements • deviations • PDCA • All employees every day

all

• Continuous improvements Mgt team

Problem solving with A3 thinking

all

•

• Use A3 thinking

Problem solving with A3 thinking • Coach problem solving

6

• Evaluation and reflection (spring) • Plan next step (autumn)

Mgt team

• Next step

Result = Quality * Acceptance

Lean 1. Create flow Leadership (follow me)

Customer Value

Built in Quality

Define and focus flow Establish operational management Train problem solving Set direction & deploy

2. Operational management and systematic continuous improvements Plan, measurements, standards

Visual control

Daily pulse

Systematic continuous improvements

3. Challenge and improve

To reach increased performance (QLE) and move towards the strategic direction

Team Train and perform problem solving Continuous improvement

Clear roles and responsibilities • Managers are responsible for driving change • All implementations are established in the line organisation

• Consultants are responsible for transfer knowledge and create confidence (process consulting) • Together we set a pulse and follow up the implementation and the results.

2016-09-05

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