Finance Director, The Royal Mint

2. Vin Wijeratne
Finance Director
The Royal Mint

3. The new standards of global enterprise
excellence…

4. Agenda
 Who we are, what we do and where we live
 Why Shingo and our journey to date
 Our Essentials and results so far
 Conclusion

5. Who we are, what we do…
900
1279
1811
1967
2010
We can trace our history back
over 1,100 years.
Tower of
London
Purpose built
premises at
Tower Hill
‘Decimal Branch’
announced in
South Wales
The Royal Mint
Limited vests
from HMT
800 people 1 SITE £500M TURNOVER
A BROAD RANGE OF PRODUCTS, CUSTOMER AND FUNCTIONS
Circulating Coin
5bn coins & blanks
per year
2bn for UK,
3bn overseas
World’s largest
exporting Mint
60 overseas
customers
Comm’ Coin
£5 to £100,000
Royal events QDJ,
national celebrations
London 2012
Annual sets and
collectors
Weddings & births
Bullion
Precious metal Britannias
& Sovereigns
Lunar year products
Expanding market share
Licensing in India
Medals
London 2012
victory medals
Services, Police
etc.
History, tradition
and craftsmanship
PRIDE IN OUR PAST CONFIDENCE IN OUR PRESENT

6. Where we live…
The Royal Mint’s headquarters covers 38-acres based in Llantrisant, Wales.

7. Why Shingo?
CONFIDENCE IN OUR PRESENT AND OPTIMISTIC ABOUT OUR FUTURE
 TODAY embracing the Shingo model provides the us a significant competitive advantage in the markets in
which we compete since we believe the world’s best manufacturers are not from the minting industry.
……. And to be around and successful for the next 1,100 years+…..
 TOMORROWwe recognise world class operational excellence and customer value delivery will prove
invaluable credentials for entry and success in new markets in which we choose to compete.

8. Lessons previously learned…
 Everything we do is about people
 We must invest up front to win their hearts and minds
 Lean programmes must be linked to a clear vision and cohesive strategy
 Without support, engagement and commitment from the very top
improvement programmes fail

9. Our journey to date
BEFORE
Manufacturing units run as silos
Little “through-business” visibility
Volume mentality tonnes and pieces
Highly variable product quality
High rectification costs
Poor inventory management
“In the past, we wanted to get better but we didn’t know how: now there’s a clear view of
where we need to improve and everyone knows where we want to get to.”
“We used to be driven by measures of volume tonnes and pieces: now we aim for delivery
performance and prioritise by schedule adherence and flow rate.”
Delivery performance “- If we had a quality problem, we would put the job to one side and
produce something else. Now we intervene straight away to stop the flow rate deteriorating.”
“When machines broke down, we used to move material and people which hid the problem:
now we can see clearly where downtime is hurting us.”
“Circulating Coin pipeline inventory has reduced from 9 weeks to 9 days”

10. Our Essentials
 A clear Vision that is well communicated
 A clear Strategy Deployment model
 Key Components
 Ability to identify and close the gaps
 The Wedge, learning from the past
…It is essential to engage and involve all of our people.

11. Vision Statement
WE WILL BE PROUD TO BE RECOGNISED AS THE WORLD’S BEST MINT
With the UK at our core and leading our markets across the world, we will improve our financial
performance every year by being smart in everything we do. We will delight our customers by
listening and delivering the best, most trusted products, services and customer experience. Being a
great and safe place to work, with a real team spirit, where everybody makes a difference.
By doing this, we will enhance our status as a national treasure and secure a bright future for the
Royal Mint, our people, customers and communities.

12. Our Vision – Shared Simply
 This one page summary captures all we do.
 It is very visual and simple to understand.
 It has been used as a consistent reference point for all
site briefings for past 3 years.
 It reinforces our message that we are committed to
delivering our agreed strategy and that we have clear
direction and aligned leadership.
 It proved invaluable to reassure our people when our
business faced challenging market conditions.

13. Strategy Deployment – Vision > 5yr plan > 1 yr plan > Hourly
VISION TARGETS GAP
Executive
Departments
Sections
Teams
Team Based
Daily
Improvements

14. Key Components
CONTINUOUS PROCESS IMPROVEMENT
 Vision Critical Project Governance
 Leader Standard Work
 Performance Boards and Visual Management
 Creation of an army of problem solvers
CULTURAL ENABLERS
 High performing and visible CEO
 Strong SHE Culture
 Leadership Framework
 Coaching
 Engaged and committed people
RESULTS
 Voice of the customer and customer surveys
 Customer complaints handling
 Visitor Centre
 Performance Metrics
ENTERPRISE ALIGNMENT
 One Business System
 Supplier Development Programme
 Embedded Manufacturing Production Systems
 Strategy Deployment everyone understands where they fit

15. Identify and close the gaps
 Visual Management system allows leaders to
quickly see gaps
 Leaders coach and support their teams to close the gaps
 Problem solver must still visit workplace to fully
understand it
 System does not replace face-to-face communication
and Emails on problems now reduced
 Teams now work in synch to close gaps

16. The wedge – learning from our past
INTRODUCTION OF A WEDGE IS ESSENTIAL TO PROTECT PROGRESS MADE AND PREVENT US SLIPPING BACK…
Our ‘wedge’ includes…
 Standards
 Root Cause
 Leader Standard Work
 Employee Engagement
Improvements
Time

17. Results so far
Percentage of people involved in SHE activities up from 10% to 95% of employees (100% in
Operations), Accidents reduced by 71%, Lost time accident rate cut by >60%, Annual landfill waste
volumes reduced by 90%, >95% people feel safe in work and are confident to raise safety concerns
Employee engagement levels in top 3 of 80 surveyed UK companies, Awarded Investor in
People Gold status in 2013 in recognition of tier system
Blank first time pass rate up 20%, Cost of poor quality down 60%, Commemorative coin poor
quality metric reduced 35%
>93% of Commemorative Coin orders now delivered within 3 days of receipt* (was <20% in 7
days) *Not all customers want or expect next day delivery
Work-in-progress tonnage reduced by 75%, £5 million positive impact on cash position and
ROACE, still improving

18. Conclusion
 Shingo Prize Recognition is an essential part of the future for the Royal Mint as it will independently
validate all the good work we are doing and confirm we are heading in the right direction.
 It will allow us to learn from industry leaders and be one of the very best manufacturers in the world.
This will ensure that we remain competitive and successful today and relevant and competitive
tomorrow.

19. Thank you