Thursday, January 10, 2019

Lean Management

LEAN IN PRODUCTION AND SERVICE The flashiness margin LEAN was put unitedly to detect and own(pre nary(prenominal)inal)ize Toyotas traffic occupation during the 1980s by a search team headed by virtuoso Jim Womack, Ph. D. , at MITs international Motor vehicle syllabusme. According to them, the concept of LEAN was fa in that respectd by Taiichi Ohno of Toyota. Ohno climbed a contrasting sexual climax to the mass strikement methods of US car firms by necessity.Later, in 1996, Jim Womacks team espo utilise the five endure principles and also slight tools that they believed were the secret for Toyotas success. According to Oxford dictionaries, extend federal agency efficient and with no wastage. The upshot idea of slight is to minimize wastage and at the same sequence maximize client esteem. Customer value is of utmost richness to a tip off plaque and the brass instrument depart centering on its key fruit restorees to continue increasing the value. Ulti mately, the goal is to leave behind the perfect value mental home serve up that has no wastage.To accomplish this value creation and zero wastage goal, feed thinking switchs the focus of a perplexity from optimizing separate technologies, assets and tumid departments to optimize the flow of mathematical products and go through inherent value streams that flow horizont aloney across technologies, assets and department clients. By trim down or eliminating run off along the entire stream of value, we allow be equal to(p) to come up with answeres that would aim less(prenominal) effort, less space, reduced capitals and reduced magazine in put together to sham products and servings at prices far less than mean(prenominal) and with fewer defects.Organizations pass oning be fit to be responsive towards changing node call for and wants with a lot of variety, high reference, reduced costs and with less throughput measure. randomness management go out also be mor e simpler and much more accurate. die hard management is a concept which crumb be applied in two seam and e actually(prenominal) change. It should not be compargond with a cost reduction program or tactic because it is a track of thinking and acting that applies to the whole organization.Nowa twenty-four hourss, it is universal that problemes across all industries and improvements, including the health wangle and even governments around the world argon applying the concept of tendency as the vogue they think and operate their business. M to to each(prenominal)(prenominal) one one of these organizations does not use the word list come in of choice and tend to label their practices as their own system, such(prenominal) as the Toyota exertion remains or the Danaher Business System. It is occupy to in steady a point that draw is not a simple programme or a short status ost reduction solutions, only when the modal value the come with operates. the term Transf ormation or melt Transformation ar usually used to characterize a caller-out that is base from an old way to a feed thinking way. this transformation requires a eat up transformation on how a comp whatever usually conducts their business, frankincense, requiring long term berth and perseverance through the changing time. It is also interesting to note that the concept of lean in production and utility has the touch of one of the coar getr management thinkers, W.Edwards Deming who had great influence in Japanese manufacturing. He believed that the present manufacturing scenario is a prison of interacting raft and stressed the importance of re-inventing the management processes in order to achieve higher susceptibility and value. In implementing lean in production or inspection and repairs, I testament be following the concept espoused by Womacks team that stressed on tercet important business issues that will be able-bodied to guide the transformation process of an en tire organization into a lean organization.In order to achieve lean objectives in an organization, it is important first of all to note that the organization and the people steer the transformation need to cast off a lean vision. In order to tamp down aim this lean vision, we substructure concentrate on three fundamental business issues which be Purpose, action and People. By thinking profoundly into these three aspects, a lean implementer cigaret adjudicate to dissolve critical questions on the vision of the organization. If we are able to answer the key questions that I throw associated with all(prenominal) of the aspects, I believe that we digest develop a vision for lean executing in our organization.The questions would be- 1. purpose what are the customer problems will the organization try to solve in order to achieve their own purpose of prospering? 2. Process how will the organization assess all(prenominal) major value stream devised to make sure each step in the value stream is valuable, capable, available, adequate and pliant? 3. People how will the organization gibe that every important process in the value stream has nearone prudent for continually evaluating it in terms of business purpose and also lean process?How will everyone referd in the value stream be engaged actively in the process of operating it right and continually improving it? As for the contiguous step that I would orchestrate, it would be on the possible effectuation of the core lean principle into my organization. This, I believe would involve the core of lean which is basically waste reduction. Usually, in an organization including production and helping oriented organizations, we earth-closet find septenary basic types of waste, which I am itemisation below. ? Producing goods and services beyond the immediate need of the customers. Unnecessary movement of products due to forgetful layout broadcastning. ? Wasted motions when take a craping. ? Time i dling and wastage. ? Implementing processes that are unimportant to finish a product. ? low inventory management. ? Many defects in the sunk product or output. Usually, waste will be present in any activity that does not campaign any value to the finished product or services. By trying to eliminate waste, the real velocity will be attach drastically. This means products will reach the customers delve in a very readily manner.This is an usefulness because it delivers high strategic advantages beyond the obvious cost savings. Bad quality will be eliminated and flatus measure are shortened effectively. Eliminating waste can be considered as a strategic goal in service oriented and manufacturing oriented organizations. As I take away mentioned before, elimination of waste will hear into change magnitude in strategic advantages such as increased income and increased customer satisfaction. In adapting lean processes and services, we may be confronted by some constrains and challenges. The adaptability of lean depends on the reputation of our business.We have to remember that there is a vast difference in between the service and production industries, and it lies in the source that creates the variation that causes waste to happen. Logically, manufacturing operations are far more governable compared to service fabrication, because of its laboratory like settings compared to the service industry. Uncertainty usually does result from satisfying and labor inputs, barely we can still anticipate those uncertainties and take steps to master it to a great extent. For example, Toyota, pioneer in lean management is production/manufacturing base organization, and the employees, product esign and the production tools are usually down the stairs the control of the operations to a great extent, rendering it easier for implementers to anticipate question and implement the efficient lean management. In contrast, service organizations operate in a vast sea of scruple and risks and when dubiousness is present, it is much harder to anticipate and control variance that will be present together with it, For example, a project management company. We acknowledge that each project that the company will bring forth or implement will be different in nature.The excitableness of the service industry, in particular a project management company, requires that lean management principles is implemented on a fictitious character by faux pas method, i. e. different implementation and methods for different projects. This nature of the service industry is contributed by a few causes. Lets look at these causes one by one- ? Uncertainty in delegate times. It is the nature of service products that the execution of each and every service delivery has some crotchetyness. taking the example of the project management company, each project taken may not be similar to each other, thus making it difficult to judge the task time needed.This variability in the service industry leads to a negative exponential function distribution of task times. This simply means to say that most of the tasks execution will fall within a nasty range, and some execution will take a longer time. Considering airplane embarkation as another example, there is uncertainty present in the sense that it will take different amount of time among different groups of customers to board the plane. ? Uncertainty in demand.While there are ways to forecast demand in service industry, we cant claim that it is degree Celsius% perfect. Usually, manufacturers buffer this forecast uncertainty with some finished goods inventory, but this is not the case in the service industry for example, we can forecast that reservations for a hotel will increase during peak seasons but it depends on legion(predicate) other fluctuating factors. Sometimes it is very hard to predict the demand of single(a) customer. As an example, a wedding planner essentially does planning job for cu stomers wedding, but this lanning differs based on customer preferences, compute and also other factors. This uncertainty renders each wedding and the process that the organization goes through to put together the wedding, a unique one. ? Customers production situations. As we can see from both the uncertainties above, we can summarize that it has much to do with customers. This is because typically, customers have some role to play in the production of a service, we introduce variability based on how well we perform our roles.Customers almost unendingly have to provide some training to the service agents to initiate service, and we usually have some tangible tasks to perform. So, as I have already stated it before, this agree create unique situations that needs personal implementations of lean in order to make sure wastage is reduced and value is delivered to each individual customers. heel over implementation involves finding solutions that will be able to equaliser the ch allenges and difficulties that we may face in our organization to achieve a successful resolution that will support a belligerent operations strategy.Professors Kent Bowen and Steven transfix (HBS DBA 99), drew on a framework of 4 principles of the Toyota action System that they believed will reduce the constrains, difficulties and challenges to a minimum in order to eff leaner productions and service. The framework contains 4 tardily implement able rules- Rule no. 1 all work should be highly specific as to content, sequence, time and outcome. Rule no. 2 every customer-supplier connections essential be direct, and there moldiness be an unambiguous yes or no ways to send request and receive responses.Rule no. 3 the nerve pathway for every products and services mustiness be simple and direct. Rule no. 4 any improvements must be do in accordance with the specific method, under the guidance of a teacher, at the low possible direct in the organization. Basically, my plan for a successful implementation of lean depends on the 4 rules snuff itn above, but I am going to give it some twist with adding some redundant techniques that I feel would encourage hot and easier ways to overcome challenges go about by organizations implementing lean.I am going to add a three step hoo-ha taken by Wipro, an Indian software program developer, which can boost the implementation of lean, which are- Abolish Hierarchies. Devise a bottom-up organization that allows many people to have a field-wide view of the process to view problems and identify efficiencies. Continuous Improvement. Using kaizen initiative. encouraging organizational level knowledge sacramental manduction through effective and efficient work improvement. Lean Tools. Use of tools specific to the process based on lean principles which can be go ford to pinpoint vitiated time and effort.A combination of both these initiatives, I believe can lead to a lean flow which will be the tool that I would utilize to mitigate the challenges that can be faced during lean implementation. Drawing up a process flow chart that wagers each step that a product/service would go through is essential. It is advisable to represent these sequential processes graphically in a flow chart. This is the first step towards an faulting and waste free production. For each and every products or processes that are present in the process flow charts, another level of details is required.This involves the task-level work with associated , with associated work-content times, with associated work-content times, quality verifications and histrion qualifications. We can also produce a product/process matrix with products on the vertical axis and processes on the even axis. At every intersection of product and process, this matrix, or spreadsheet should be recording the tot up reasonable validated work times that has been devised. We must also be able to calculate Takt. Takt is a German word which basically mean beat, pace or rhythm.Businesses, especially service oriented business must march to the beat of the customers and we must keep up with our customers pace.. Takt, can be calculated as, work time per day divided by customer requirements per day. This weighing represents how often each process must be performed, and at what capacity level, to take care of your customers needs and demands and be able to meet it as soon as possible. In order to have sustainable lean benefits, the implementation of lean must bridge the gap from project to project and also business practices.Quality documents procedures, policies and measures must reflect and experience Lean as a way of life. This will ensure success in reducing waste. Planning and procurement drives periodical lean execution. Lean manufacturing is more responsive, with shorter lead time and greater mix and volume flexibility. We must be able to change our planning to take full advantage of lean. Bibliography Womack. J. P, Lean En terprise Institute Inc. 2009, What Is Lean (Online) operable at http//www. lean. rg/WhatsLean/ (Accessed 20th October 2009) Ahlstrom, P (2004) Lean service operations translating lean production principles to service operations global Journal of Services Technology and Management, Vol 5, nos 5-6 pp545-564 Spear and Bowen 1999 Decoding the DNA of the Toyota Production System Harvard Business Review Sept-Oct Womack, J. P. and D. T. Jones 1996 Lean opinion New York, Simon &038 Schuster. Taylor FW 1998 The Principles of Scientific Management capital of Delaware Publications New York. First publish in 1911Ohno, T 1988 Toyota Production System productivity Press Portland, Oregon. Translated from Japanese original, first published 1978 David McPhetrige, 2009, An industry consultant provides guidance on implementing a basic Lean plan. MPO magazine. (Online) Available at http//www. mpo-mag. com/articles/2009/09/meeting-the-challenges-of-lean-flow (Accessed on 21st October 2009) Hanna. J , 2007, livery Lean Principles to Service Industry. Harvard Business prepare (Online) Available at http//hbswk. hbs. edu/item/5741. hypertext markup language (Accessed on 21st October 2009)

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