Lean Learning Experiences UK Lean Sum m it – Learning Lean, Lean Learning

David Brunt November 14th 2016 1

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Lean Enterprise Academy Status Review Background:

Working With Us Noteable Achievements

1990

Written contributions to the Lean movement

1998

2002 2005

2005

In 2003 Daniel T. Jones establishes the nonprofit Lean Enterprise Academy to fulfil the following mission:

LEA partner wins Lean Prize Norway, awarded for collaborative leadership and employee-driven innovation

Our aim is to develop and disseminate knowledge of Lean thinking and Lean practice.

Daniel T Jones inducted into the Shingo Academy to recognise lifetime commitment and achievements in the area of Lean

2006

2009

The transformation framework entails transforming five fundamental dimensions, addressing the following high-level questions: 1. What is our purpose, what value are we trying to create, or what problem are we trying to solve? 2. How do we improve the actual work?

Our publications Breaking Through to Flow and Creating Lean Dealers recieve the Shingo Research and Professional Publication Award

2006

2007

In January 2014, John Shook Chairman of the Lean Enterprise Institute in the US, articulated the Lean Transformation Framework in a YouTube video https://youtu.be/kEcdliWZH30

Dansk Industri's Productivity Award presented to an International Retailer whom we provided mentorship

1996

3. How do we develop the people? 4. What management system and leadership behaviours are required to support the new way of working?

LEA Door to Door Club member wins HSJ Best Acute Healthcare Organisation of the Year

In response to the success and impact that Lean institutes led by Jim Womack (USA), Daniel T Jones (UK) and Jose Ferro (Brazil) had, a community of Lean thinkers and a network of organizations offically formed the Lean Global Network in 2007

Automotive partner sees 100% improvement in profitability in 12 months

5. What basic thinking, mindset or assumptions underlie this lean transformation

Daniel T Jones inducted into the AME Hall of Fame

Using the Lean Transformation Framework through coaching and mentoring we help organisations and individuals understand and implement Lean thinking. We do this by working with you to define and address gaps in performance that need to be closed, developing both your capability to improve the flow of value to your customers and the problem solving ability of your people so that you can sustain the gains and continuously improve. 

Current Condition Our core mission remain the same as when we first started: Our aim is to develop and disseminate knowledge of Lean thinking and Lean practice. The Lean Enterprise Academy is now in it's 12th year and we are well established as

The UK Source for Lean Thinking & Practice Our unique perspective is that we continuously seek to learn what the most effective mechanisms are for transferring this Lean knowledge and developing Lean capability – so together we can create more value, right first time, on time, in less time.

OUR GOAL WHEN WE LEAVE

YOU HAVE THE CAPABILITY TO DO

We do this through a number of mechanisms:

How LEA can help • Purchase a workbook • Attend our summit • Learn about public workshops The UK Lean Summit is run each November. It gives practitioners the opportunity to network & learn the latest developments - view 99 previous talks on YouTube

Our website www.leanuk.org delivers regular Lean articles sign up to receive content direct to your inbox

Our Social Media channels bring you the most upto date news in the Lean world and allow you to share with your colleagues instantly

• Ask about our bespoke in-house workshops • Undertake a Lean Transformation • Request Daniel T Jones or David Brunt to take a Gemba Walk • Have one of our faculty give an inspirational speech to your organisation

Our workbooks are designed to help organisations and individuals implement Lean

Our public workshops help companies quickly get to grips with Lean practice topics include A3, VSM, Policy Deployment and the Lean Transformation Framework

We offer bespoke in-house workshops to assist you with specific business issues

In our Action Research with organisations we develop hypotheses about Lean Thinking and what works best Our approach helps the organizations we work with build a competitive advantage  We help develop the capability of people so the results can be sustained

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Visit: www.leanuk.org Email: [email protected] Call: +44 (0)1600 890590

Objectives

The Purpose of this W ork shop is to:  

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To learn about the factors necessary to create a successful Lean Transformation To provide a framework to think about the learning experiences that help develop Lean Thinking and Doing capability To share practical examples from our action research and discuss what has been learned from the approach

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Agenda 

Introduction/Objectives/Agenda



Setting the context 

What is Lean?

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What have we learned about introducing it?

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Introduction to the Lean Transformation Framework

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What is a Lean Learning Experience?

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Creating Learning Experiences around the 5 areas of the Lean Transformation Framework 

Value Driven Purpose

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Process Improvement

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Capability Development

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The Lean Leadership and Management System

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Underlying assumptions and beliefs



Assessing the critical skills required to develop Lean Learning Experiences

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Summary of the lessons learned and next step planning for participants

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Expectations This workshop will have been a success & made good use of my time if…

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Managing Expectations 

This workshop will address the objectives………. But it won’t make you an expert 

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Only practice will

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Lean Transformation Framework

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Lean Transformation Framework What problem are we trying to solve?

Value-driven Purpose

Situational Approach What problem are we trying to solve? Management System

Process Improvement

Capability Development

Continuous, real, practical changes to improve the way the work is done

How do we do & improve the work?

How do we develop the capability?

Sustainable improvement capability in all people at all levels Leadership

Basic Thinking, Mindset and Assumptions That drive this transformation

e.g. Respect, Challenge, Kaizen, Alignment, PDCA, Science, Gemba, Problem-Solving

What management system and leadership behaviours do we need?

What is our basic thinking? 8

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Development of Lean  

World wide benchmarking study of auto industry Not just manufacturing – about a Business System    

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Running the factory Designing the product Coordinating the supply chain Dealing with customers

Toyota seen to be operating a different approach LEAN coined as word to describe this approach www.leanuk.org

Toyota Production System Purpose

Customer service

Quality

Cost

Lead Time

Goal: Highest Quality, Lowest Cost, Shortest Lead Time Jidoka Just-in-time -Flow production -Takt time -Pull system

Heijunka

Continuous Improvement Through People

-Andon -Poka-Yoke -Visual control -5S, etc.

Standardized Work Equipment Stability

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Kaizen

First TPS Paper in English Title: “Toyota production system and Kanban system: Materialization of just-intime and respect-for-human system”  Please take a read and we will discuss 

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Lean Thinking 

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Specify what creates value from the customers perspective Identify all steps across the whole value

stream 

Make those actions that create value

flow 

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Only make what is pulled by the customer just-in-time Strive for perfection by continually removing successive layers of waste www.leanuk.org

Purpose Vision/Values True North Line of Sight Strategy Formulation and Deployment

People Employees: • Engaged and involved in CI • Continuously solve problems • Teamwork Managers: • System thinkers • Problem solvers • Learners • Teachers/Coaches

PDCA A3 Thinking

® Copyright 2009 Lean Enterprise Institute, Inc. All rights reserved.

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Process • Horizontal flow of value at the pull of the customer • Workplace Management through standardization & Visualization • Relentless elimination of waste, overburden and unevenness • Lean Tools applied as appropriate

What is Lean? A Simple Definition A Simple Definition: Provide the most value from the customers perspective, while consuming the fewest resources and utilising the talents of the people who do the work

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Therefore understand the difference between value & waste www.leanuk.org

How do you Make a Profit?

Profit

Profit = Price - Cost

Waste

Waste

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Cost

Waste

Cost

Price

Cost

Cost + Profit = Price

Price-Minus

Price

Cost-Plus

What is Your Philosophy of Efficiency? Local Efficiency vs Total Productivity

Apparent Efficiency vs True Efficiency

100 Units

Apparent Efficiency

Current

True Efficiency

120 Units

100 Units

100 Units

X 10

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X 10

X8

What is Different About Lean? Conventional Mental Models

M ental M odels Lean Mental Models

What do you think? Leader = teacher

Thou shalt! Leader = dictator

Go see for yourself

Only grunts go to the floor

We have some standards – not sure where they are or if they’re followed Move the metal – make the numbers

We have simple, visible standards for all important things

Stop production so that production doesn’t have to stop. Don’t ship junk

Don’t get caught holding the bag Make problems visible Specialists solve problems using complex methods Going nowhere fast

Ref: Pascal Dennis: Getting the Right Things Done pp.25 17

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Everyone solves problems using simple methods Getting the right things done

Lean THINKING  

To successfully implement lean we need to understand the thinking This thinking is focussed on the flow of value to the customer – Quality, Delivery & Cost Challenge Continuous Improvement Respect For People

Kaizen Genchi Genbutsu “Go & See” Respect Teamwork

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Lean Learning Experiences W hat is a Lean Learning Ex perience?

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Why Lean Learning Experiences?

Techniques  

Thinking

Cherry-picking the tools is not enough The tools comprise a system 



System

Focus on the flow of value to create a system

A way of thinking underlies the tools and system

Learn the thinking through doing

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It’s Time to be Explicit About the Gaps we have Between our Desired & Current State 



When problem solving we define the gap(s) to close What are the gaps we need to close to successfully improve?    

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Knowledge Behaviours Skills Others?

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Desired Knowledge Gap

Current Knowledge

Lean Learning Experiences Ex perience 1: Value Stream Gam e

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Background to the Game  

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Batch Co. produces 3 products for Lean Ltd. The firm’s mission is to achieve 100% quality & 100% service (delivery on time) with minimum cost (minimum inventory and space) The firm employs a number of people in different roles  Manager (planning), operators, quality personnel, collection from suppliers, delivery to customer

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Batch Co. - Round 1  Customer’s

day is 7.5 minutes long  3 types of products asked for  Measure the firm’s success at the end of Round 1

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Success or Failure? Measure Quality Parts Passed Total Parts % Right First Time Delivery Parts Delivered Parts Ordered % Delivered on Time Cost Work in Progress Finished Goods Total space used Throughput time 25

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Round 1

Round 2

Round 3

Round 4

Planning & Making Improvements 

20 mins to make improvements 10 mins to plan  10 mins to implement what is written on the plan 

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Batch Co. – Round 2  Customer’s

day is 7.5 minutes long  3 types of products asked for  Measure the firm’s success at the end of Round 1

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Lean Learning Experiences Ex perience 2: Value Driven Purpose

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Value Driven Purpose

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Value Driven Purpose

Custom er Fulfilm ent: The “Veronica Chart”

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Customer Fulfilment    

Right first time, on time Clear link between Value (purpose) and problems End to end process focus (not point optimisation) Respect for the individual 

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Problems identified in real time (not through historical data capture)

Ensures “go and see” Small improvements (kaizen) to close the gaps

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Lean Learning Experiences Ex perience 2: Understanding & I m proving the W ork

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The Case: Customer Arrival – Traditional Approach

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The Case: Customer Arrival Grasping the Situation 

Current Condition    

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One entrance, one exit to the workshop Long customer queue Service advisors go out to the queue 7 minutes to see a customer

What’s the Problem? Faced with the situation what would you do? You have 15 minutes to discuss

First Experiment

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Experiment: May 2016

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Experiment: September 2016

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Summary: Understanding & Improving the Work Focus on the work  Experience the power of: 

Observation to understand the problem  The difference between value and waste  One-piece-flow  Improved layout – spaghetti charts  Creating stability  Standardised Work 

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Standardised Work

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Continuous Flow Processing Batch & Queue (Push) Processing

Lead Time: 30++ minutes for total order. First part: 21 minutes

Continuous Flow “m ake one, m ove one”

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Lean Learning Experiences Ex perience 3: Developing Capability

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Dept

Doc No.

Capability & Needs Summary

Dept Head Date

Individual Capabilities

Process Skill or Job Name

Q1

Q2

Q3

Individual & Business Needs Q4

No. of People Required per Job 1 2 3 4 5 6 7 8 9 10 11

Training Results

Production Needs & Changes

Beginning Period Middle Period Ending Period

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Training identified

Basic awareness of process

Can carry out task supervised

Can carry out task unsupervised

Able to train others in task

Summary: Developing Capability Knowledge of the work – value and waste  To do the skill  Promote kaizen  Develop people  Build teamwork  A way to behave to get the best from people 

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Exercise: Developing Capability 

Discuss the skills you would need to improve the Service Reception process Knowledge of the work – value and waste  To do the skill  Promote kaizen  Develop people  Build teamwork  A way to behave to get the best from people 

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How many people would you need for this process – Demand = 60 vehicles/day www.leanuk.org

Dept

Doc No.

Capability & Needs Summary

Dept Head Date

Individual Capabilities

Process Skill or Job Name

Q1

Q2

Q3

Individual & Business Needs Q4

No. of People Required per Job 1 2 3 4 5 6 7 8 9 10 11

Training Results

Production Needs & Changes

Beginning Period Middle Period Ending Period

45Key:

Training identified

Basic awareness of process

Can carry out task supervised

Can carry out task unsupervised

Able to train others in task

Lean Learning Experiences Ex perience 3: Leadership & M anagem ent

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Lean Managers do Two Things  Get

each person to take initiative to solve problems and improve his or her job  Ensure that each persons’ job is aligned to provide value for the customer and prosperity for the company Ref: John Shook: Lean Leadership Workshop 47

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Question the Work as a Whole  

Question every detail The best results are obtained by asking: WHY

is it necessary?

WHAT

unnecessary jobs; steps; details

WHERE

COMBINE

is its purpose? should it be done?

WHEN

should it be done?

WHO

to reduce

REARRANGE

is best qualified to do it?

for better sequence

HOW

SIMPLIFY

is the best way to do it? 48

ELIMINATE

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Motions, Layout, Tools, Handling

1

Applying A3 Thinking: Determine the level at which you will start 2 Breakdown Clarify the Problem P Problem Ultimate Goal Problem

Ideal Situation Gap

Current Situation

Target Setting SMART Target By When How Much Problem to Tackle 5 Develop Countermeasures Choose Plan 3

Problem

Problem Problem to Tackle 4 Root Cause Root X X Cause

Cause

X 6

See C/Measures Through

Speedy, Smooth Action

X

Priority 7

Monitor Results

8

Standardise Share the results

Gap

Improvement 49

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Cause

X ASK WHY?

X X

O C

A3 Thinking 

“Thinking” for a reason 

“What is purpose?”

Can’t be done in isolation  Specific actions are needed to encourage the right thinking 

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This leads to the next actions & even deeper thinking – never ending – continuous improvement

Need both the thinking & behaviours www.leanuk.org

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Managing Visually 

Visualisation is important for managing in real time  

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Many forms of visuals 

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If you cannot clearly & quickly understand the status of the system then you will have a hard time prioritising resources Gives you eyes for waste & problem identification Business or project plans; standardised work; schedules; production performance charts; shadow boards; value stream maps; andon signals etc.

When developing visuals involve everyone who will either supply information or utilise the available information & explain the reasons for the visual

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Glass Wall Management

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Lean Learning Experiences Ex perience 3: Underlying Thinking

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Exercise: What are the Gaps Between your Desired & Current State 

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When problem solving we try to define the gap(s) to close What are the gaps you need to close to successfully implement lean?   

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Knowledge Behaviours Skills

What experiments can you design to see if the gaps can be closed? www.leanuk.org

Desired State Gap

Current State

More Resources 

Desert Island Lean: Key Lean Books 

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Learning Lean, Lean Learning - Desert Island Lean Articles 

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http://www.leanuk.org/articlepages/articles/2015/january/09/desert-islandlean-key-lean-books.aspx

http://www.leanuk.org/articlepages/articles/2016/august/18/learning-lean,lean-learning-desert-island-lean-articles.aspx

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Lean Enterprise Academy Workshop Ex pectations R eview

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Lean Learning Experiences UK Lean Sum m it – Learning Lean, Lean Learning

David Brunt November 14th 2016 58

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