3. By the end of this session you will be able to:
Describe the concept of a lean environment.
Implement a productivity needs analysis.
Session Objectives
4. Lean is a term used to express a range of business
improvement techniques. It originated from the need to
constantly improve quality while reducing the costs of the
production performance in the manufacturing sector.
The concepts of this approach are now used as the basis
for improvement across every sector, improving business
performance by eliminating waste and increasing efficiency.
What is lean?
5. There are lots of examples of lean thinking that date as far
back as the 18th
century, but the first person to really
integrate an entire production process was Henry Ford.
What
6. The problem with Fords system was that there was no
variety. The Model T was limited to one colour and to one
specification.
When the world wanted variety, Ford seemed to loose his
way.
“Any customer can have any car, any colour they want, as long as it’s
black”. – Henry Ford 1912.
7. Before long people wanted choice, a choice of models, a
choice of specifications and a choice of colour.
Carmakers responded by filling their plants with larger and
larger machines than ran faster and faster – but the problem
was that this increased throughput times and inventory.
Then the world was interrupted by the outbreak of World
War 2.
8. At the end of World War 2 America was the leading
producer in the world.
However, Japan was in need of economic re-birth and
viewed quality as essential to their economy.
W. Edwards Deming and Joseph Juran travelled to Japan
and helped the country become the industrial power it is
today. Their teaching lead to the birth of the Toyota
Production Sytem.
9. Lean production is a state where waste is reduced or
eliminated totally from a process, where almost every step
adds value to the product for the customer, where products
flow continuously without being held up or creating
bottlenecks, where every part made is made to the required
standard first time every time.
10. Lean applies in every business and every process. It is not
a cost reduction program but a way of thinking and acting
for an entire organisation.
A lean organisation understands customer value and
focuses its key processes to continuously increase it.
It will look at every aspect of the business and look to
improve the flow of information and services in order to
achieve 100% customer satisfaction.
11. There are many benefits to implementing a lean approach
in any organisation, such as;
Improved productivity
Reduced waste
Improved lead time
Improved stock turns
Being able to respond to change efficiently
Benefits of lean
12. The starting point of any lean organisational journey should
be implementing a productivity needs analysis.
This is an essential tool in measuring where the
organisation is compared to where the organisation wants
to be.
Most organisations follow a set of measures within their
business known as key performance indicators.
Productivity needs analysis
13. The process of carrying out a productivity needs analysis
involves gathering all the necessary information that you will
need.
This could include information from customers about
expected order levels, quality concerns, historical data on
machine reliability, data around staff skills, material costs
etc.
14. By the end of this session you will be able to:
Describe the concept of a lean environment.
Implement a productivity needs analysis.
Session Objectives
Editor's Notes
Wm Morrison Supermarkets Plc
Introduce session aims.
Introduce session objectives.
Introduce session objectives.
Discuss historical lean thinking – Eli Whitney producing rifles with interchangeable parts during the American Civil war.
Discuss the problem with creating one model. Why was creating multiple models difficult? – changeovers. Explain that when Ford first started to mass produce the Model T people did not want choice, this was an affordable car for the masses, nobody cared about choice at this stage. Explain that Fords statement of having any colour as long as it was black was because he discovered that black paint dried quicker allowing shorther throughput times.
Explain that outbreak of WW2 meant that manufacturing became a race against time, buiding ships, aircraft, and ammunitions become the sole focus of industrialised countries, and they built them quickly.
After the war, Deming and Juran both received an invitation to work in Japan from the Union of Japanese Scientists and Engineers. Deming taught Japanese engineers and top management statistical methods and how to view production as a system that included suppliers and consumers. Juran delivered lectures in Japan about managing for quality.
Ask what the learners think customer satisfaction is. Ask who there customers are – then discuss internal and external customers.
Introduce the PNA – relate it to the activity, MB/plugs. Breifly discuss key performance indicators and measures. Explain gap analysis and how this will focus lean activities.
