This document discusses lean thinking and leadership. It covers topics like changing cost perspectives in lean from focusing on costs to customer value. It emphasizes sustaining inequality between customer value and costs. The document presents models for lean thinking alignment with aspects like purpose, process, people and prosperity. It discusses integrating lean with quality management standards. Other topics covered include identifying types of waste, using tools like 5S, standard work and visual management. The document emphasizes leadership aspects such as engaging people, evidence-based decision making and developing a long term philosophy. It presents models for process control and improvement as well as aligning activities through hoshin kanri for business breakthroughs.
Measuring True Process Yield using Robust Yield Metrics
Lean Thinking Thru Daily Work Management
1. 1
Lean Thinking Thru Daily Work
Management
M Hariharan
Director
Savoir faire
Management Services Pvt Ltd
Two days Workshop on QUALITY MANAGEMENT STANDARDS & QUALITY
TECHNOLOGY TOOLS (QMS/QTT)
Dt. : 11 December 2015 Venue : MCCIA Pune
2. 22
Agenda
Lean Thinking - Alignment
Integration with QMS
Customer Value
Process Alignment
People Alignment
Lean Leadership
3. 33
Agenda
Lean Thinking - Alignment
Integration with QMS
Customer Value
Process Alignment
People Alignment
Lean Leadership
6. 66
Changing Perspective of Cost
C + P = S
Blessing of Customer – Cost Reimbursement Model
S - C = p
Curse of Competition and Inefficiency
S - P = C
Customer Value Creation and Economic Value Creation
Allowable
Cost
16. 1616
Purpose… Customer Value
“Customer is the one who pays
for our product/service”
not only
but every one who is impacted
by our product/service
Customer
Focus
18. 1818
7+1+1+1
Non-utilized creativity of people - Shingo
Mudas (Taichi Ohno)
Defects
Overproduction
Waiting
Transportation
Inventory
Motion
Extra processing
Design of product not meeting customer needs (Womack)
Policy (Savoir faire)
Customer
Focus
Process
Approach
19. 1919
Sources of Defects (3 Ms)
Not Understanding the Purpose
Doing the work well ahead of
time
Doing the work at the last
minute
Non-utilised Creativity
Unwanted movement
Accumulated work to do in batch
Corrections
uda
Waste
Process
Approach
Customer
Focus
20. 2020
Agenda
Lean Thinking - Alignment
Integration with QMS
Customer Value
Process Alignment
People Alignment
Lean Leadership
23. 2323
Sources of Defects (3 Ms)
Month end, Week end, Day end, Nearing lunch
Syndrome
Student’s Syndrome
Uneven work flow
Skill Variability
Skill Mismatch
ura
Variability
24. 2424
Sources of Defects (3 Ms)
Strenuous Postures
Continuous, monotonous work
All work, no play
Lack of training
Lack of Clarity of purpose
Mood swings
uri
Strain
27. 2727
Stability and Improvement
5S
Standard Work
OEE
Autonomous Maintenance
CP/CPK
VSM
Kaizen
Kanban
Poka Yoke
Six Sigma
Process
Approach
Improvement
Relationship
Management
28. 2828
Agenda
Lean Thinking - Alignment
Integration with QMS
Customer Value
Process Alignment
People Alignment
Lean Leadership
30. 3030
Prof Tsuda’s Model
Share of Responsibility
Operator
Supervisor
Engineer
Manager
Leadership
Engagement
of People
31. 3131
Share of responsibility .. With
rampant fire fighting
Share of Responsibility
Operator
Supervisor
Engineer
Manager
32. 3232
A “Day” of a Leader
Daily Fire Fighting
Daily Routine
Self Development
Team Development
Daily Kaizen
Dream for the Future
Daily Fire Fighting
Daily
Work
Management
Policy
Deployment
33. 3333
33
OutputThe Reality of Kaizen Events
Time
Event #1
Event #2
What Standard should be
What actually becomes
the Standard when people
do not sustain the changes.
Maintenance
Maintenance
Event #3
Work Standard
What Standard should be
Evidence based
Decision MakingProf Shiba
34. 3434
Process Control and Process
Improvement
Run an existing process for a while
Compute the natural variation limits, thus highlighting exceptional variation
Find and eliminate the sources of exceptional variation
Continue running and monitoring the new or now accurately followed processes,
using methods of process control
Eliminate the source of any unstable condition (exceptional variation) that begins
to occur
If desirable to reduce the natural variation of the process, use reactive
improvement methods
Continue running and monitoring new process, using methods of process control
Eliminate the source of any unstable condition that begins to occur
SDCA PDCA
Evidence based
Decision MakingProf Shiba
35. 3535
Alteration of
SDCA and PDCA
P
D C
A
C
A S
D
Use Standard
Do Work
Check work
against
standard
Act: Either
use present
standard or
improve
Routine
Work
Plan
Improvement
Do
Improvement
Check
Improvement
results
Adjust: Either
Standardize
or re-plan
Improvement
Activities
Evidence based
Decision Making
Prof Shiba
39. 3939
Hoshin Kanri
Hoshin Kanri is the first attempt at business
break thru’ rather than process break thru’
Deals systematically with process
improvement across company to produce
desired business results
MBO was not connected to processes
40. 4040
Hoshin Kanri for Alignment
Aims to align all towards key company goals
Using indirect enforcement
Creating a sense of urgency
Even hourly employees are influenced to choose activities with
strategically important objectives
Aims to align all jobs and tasks, (routine and improvement)
focusing and coordinating efforts and resources to key
company goals in order to create breakthroughs
Aims to bring company’s goals and activities quickly and
effectively into alignment with rapid societal and
environmental changes
41. 4141
Plan
Plan
PDCA of Hoshin Kanri
Long-Term
Vision and
Plan
Company’s
Mid-term Plan
Environmental
changes
Diagnosis by
CEO
Annual
Hoshins
Hoshin &
Measurement
Plan deployment
Control by
Measurement
Do
CheckAdjust
Prof Shiba
42. 4242
Five Elements of Hoshin
Hoshin
= Statement of desired outcome for next year
+ focused means
+ metrics to measure progress
+ target values for metrics
+ deadline date
Prof Shiba
43. 4343
Eg : Five Elements of Hoshin
Statement of desired outcome for next year
Daily practice of market-in concept
Focused means
Create attractive product by improving market research
Increase customer satisfaction of out product by using quality
tables
Assume on-time delivery by improving processes
Metrics to measure progress
On-time delivery rate
Target values for metrics
100 %
Deadline date
March 2013
Prof Shiba
44. 4444
Plan
Plan
Proactive, Reactive and Control
Long-Term
Vision and
Plan
Company’s
Mid-term Plan
Environmental
changes
Diagnosis by
CEO
Annual
Hoshins
Hoshin &
Measurement
Plan deployment
Control by
Measurement
Do
CheckAdjust
Proactive
Reactive
Control
Prof Shiba
45. 4545
Agenda
Lean Thinking - Alignment
Integration with QMS
Customer Value
Process Alignment
People Alignment
Lean Leadership
46. 4646
Lean Leadership
Senior Management is
simply a flag bearer
when a business
decision is made. It is of
no use unless others
follow the flag
Eiji Toyoda, Former
Chairman of Toyota
47. 4747
Lean Leader
Leader is a coach
Leader is a mentor
Mission is to put the
team in a position to
“win”,i.e., add customer
value.
Encourage, enable self-
development and
develop others.