Lean Operations                                                                             Excellence                    ...
How to Create Flow without             Lean Operations                                                             Excelle...
Lean Operations                   Toyota’s Seven Wastes                                  Excellence                       ...
Lean Operations                   Lean: Some Lessons Learned                          Excellence                          ...
Lean Operations                                                                                      Excellence           ...
Lean Operations                  Toyota’s Definition of Lean                                                              ...
“Lean” vs True Lean                                                           Lean Operations                             ...
Lean Operations                                                                         Excellence                   Lean ...
Lean Operations                                                                              Excellence                  P...
Lean Operations                  Lean Leaders Create a Lean Culture                                       Excellence      ...
Lean Operations                         Lean Basic Principles                                                 Excellence  ...
The Lean Process, a Continuous Balance between                                                      Lean Operations       ...
Performance Improvement                                          Lean Operations                                          ...
Important Lean KPIs to Monitor Lean Operations                                                        Excellence          ...
Lean Operations                                          Excellence                                29   Industry Consultin...
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Brend Brevé - Philips Industry Consulting

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Brend Brevé - Philips Industry Consulting

  1. 1. Lean Operations Excellence Lean Denken Philips Industry Consulting Eindhoven Brend Brevé, 24 May 2012 1 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence LEAN is Creating Flow without Disruptions 2 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 1
  2. 2. How to Create Flow without Lean Operations Excellence Disruptions? Through the Elimination of WASTE current state future state 3 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations The World is Full of Waste Excellence €…$…£… 4 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 2
  3. 3. Lean Operations Toyota’s Seven Wastes Excellence 5 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Lean Practical Meaning Excellence LEAN Focuses Here !! Value Added 95% Non Value Added 5% Order Shipment Total Lead Time to Customer 6 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 3
  4. 4. Lean Operations Lean: Some Lessons Learned Excellence Tools System Thinking Cherry-picking tools is not good; the tools comprise a system A way of thinking underlies the tools and the system The way of thinking and acting must be transmitted to people 7 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence True Lean The secret to a successful lean implementation is not to apply lean tools to convert a company, but to teach a company how to see the sources of waste and guide them through a process to eliminate them 8 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 4
  5. 5. Lean Operations Excellence What are the Main Steps in Lean ?  Specify value in the eyes of the customer  Identify value stream; eliminate waste and variation  Make value flow at pull of the customer  Involve, align & empower employees  Continuously improve knowledge in pursuit of perfection 9 Industry Consulting 24 mei 2012, Brend Brevé Lean Thinking Lean Operations Excellence STANDARD WORK THE WHOLE SYSTEM describes how to hold the best is focused on identifying normal operating conditions abnormal conditions NORMAL ABNORMAL CONDITION CONDITION Challenge Kaizen PROBLEM SOLVING improvement IMPROVED STANDARD WORK 10 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 5
  6. 6. Lean Operations Toyota’s Definition of Lean Excellence Lean is: performing continuous systematic problem solving, standardization and kaizen, in teams for the work they do, in alignment with the goals and targets of the company (one system – one voice) 11 Industry Consulting 24 mei 2012, Brend Brevé Lean Tools Lean Operations Excellence VSM A3 Heijunka Lean Tools are developed 5xWhy to show either Poka Yoke Kamishibai NORMAL ABNORMAL versus CONDITION CONDITION Conditions are defined by 5S, KanBan, Visual Control, etc. SMED Challenge PROBLEM SOLVING Yamazumi Kaizen (incorporating reference to standard, 5xWhy, root-cause identification & countermeasure development) Andon STANDARDIZATION (= the record of success on how to hold normal operating conditions) Kanban Jishuken Visual Management OPL 12 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 6
  7. 7. “Lean” vs True Lean Lean Operations Excellence Traditional Working Method Lean Working Method responsible Result focused Procedure focused information information do  Problem Solving  Approve  Method Selection methods & procedures set targets & goals information & data teach the system Management Engineers to achieve tell control do communicate Small number of people possess skills Large number of people possess and they direct the shop floor people; skills; they are self-controlled, People’s potential is not well utilised self-thinking and self-motivated 13 Industry Consulting 24 mei 2012, Brend Brevé Lean Design Lean Operations Excellence Current-State Value Stream 1. Determine & Produce to your Takt Time 2. Determine your Finished Product Strategy Implementation After 3. For Every Connection between Processes determine 9-12mths whether Continuous Flow can be applied Future 4. For All Remaining Connections between Processes State determine whether FIFO (Sequential Pull) can be applied should 5. If also FIFO control is not possible, implement a Super- market Pull System between the remaining Processes become Current 6. Determine the Pacemaker / Scheduling Point State 7. Determine the Interval - EPEI 8. Determine the Pitch & Build the Heijunka Future-State Value Stream …. It’s an Iterative Process …. 14 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 7
  8. 8. Lean Operations Excellence Lean Leadership On average well over 60% of lean transformations fail … Why? … because there is no consistent strong passionate lean leadership! Lean Leadership is the KEY ENABLER for successful lean transformation and implementation 15 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence A Transition of Leadership is Required From To Lean Classical Leadership Leadership • top-down • bottom-up • set objectives • engaging the • tasks workforce • time frames • teaching • reward & • coaching punishment • approval The Commander, Chief, The Storyteller, Gardener, & Systems Architect & Change Agent 16 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 8
  9. 9. Lean Operations Excellence Personality Characteristics of a Lean Leader The most important personality characteristics of a lean leader are passion, discipline and humility:  A lean leader is passionate about the ultimate goals of lean and the operating system how to achieve them,  A lean leader is highly self-disciplined to daily work to reinforce the focus on standardization and continuous problem solving every day,  A lean leader is a humble person because it brings him in the best position to ask questions, to challenge the current state and to be open to new ways, new ideas and improvements 17 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence The Key Qualities of Lean Leadership A Lean Leader is:  a visionary hands-on practitioner  a role model  a people-oriented person  a teacher / coach  an advocate for standard work and structured problem solving 18 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 9
  10. 10. Lean Operations Lean Leaders Create a Lean Culture Excellence How do you want your Leaders to behave? Traditional Leadership Lean Leadership Short-term results focus Long-term focus on purpose Get the product out (push) Market-in (flow & pull) Local optimization (speed things up) Overall optimization (reduce waste) Standards limit creativity Standards enable continuous improvement Hide the problem Make the problem visible We can’t afford to stop the process Stop and fix the problem People as cost People as assets A leader is a boss A leader is a teacher Go to the online dashboard Go see for yourself on the gemba Who’s to blame? Why? Why? Why? Why? Why? Plan quickly, act slowly Plan slowly, act quickly Experts & specialists solve problems Everybody solves problems 19 Industry Consulting 24 mei 2012, Brend Brevé Build a Jishuken Room …. Lean Operations Excellence 20 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 10
  11. 11. Lean Operations Lean Basic Principles Excellence Lean Implementation is People Process fully based on a Continuous Process of Standardization and Kaizen T/Ms continuously work on improvements, focused Notify & Fix; Pass on elimination of all muda 100% good Quality Kaizen to the next process JI J DO people I KA T Standardization Supply the right part in the right amount Have a documented best at the right time current way to the job 21 Industry Consulting 24 mei 2012, Brend Brevé The Lean Process, a Continuous Balance between Lean Operations Excellence Management and Shop Floor Focus & Activities Shop Floor Effort / Attention M S Management Time 22 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 11
  12. 12. The Lean Process, a Continuous Balance between Lean Operations Excellence Management and Shop Floor Focus & Activities Focused on: Shop Floor  Changing the culture, Effort / Attention  Changing the management values,  Embedding standard problem solving,  Developing the kaizen mindset Lean Operations Excellence Lean Thinking goes “Against the Grain” of Traditional Mass Manufacturing Management Lean Operations Lean Thinking goes “Against the Grain” Excellence Be Careful for Organization Backlash of Traditional Mass Manufacturing Remedy: • Lean experts Manufacturing • Change Management • Large batches • Strong Lean Leadership Over 85 • Few change-over’s of Mass Inertia Years • Large inventories • Push; line staff is not supposed to think Over 85 Time Years of Mass Philips Industry Consulting Manufacturing ALOE A/P 2011, Page 16 Inertia Industry Consulting Philips Industry Consulting 23 ALOE A/P 2011, Page 15 24 mei 2012, Brend Brevé Lean Operations Excellence The Lean Process on the Shop Floor  Create conditions under which group problem solving can flourish; avoid a rush to kaizen  Organize teams; set up team trainings; don’t push but teach  Use the value stream map as vehicle for improvement  Adapt management systems as a consequence of further lean implementation:  The appraisal and award system,  The recruitment system, and  The training and development system 24 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 12
  13. 13. Performance Improvement Lean Operations Excellence Everywhere on the Shop Floor …. Do you have a No Create and Implement good standard? a good standard Yes Make adherence to Are standards No being followed? Follow the standard standard visible Yes Are there big No deviations from Kaizen the standard? Yes Yes No Problem Solve Is data available? Collect /improve Data 25 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence A Lean Process should be Metric Driven Why are the Right Metrics important?  What you measure is what you get  Measurements drive people’s behavior “Tell me how you measure me and I will tell you how I will behave.” E. M. Goldratt  People need rapid and relevant feedback 26 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 13
  14. 14. Important Lean KPIs to Monitor Lean Operations Excellence the Lean Transformation Process  Progress by-the-hour in  Percentage of value add number of units  Number of standard work  Percentage on-time deliveries revisions per period per period  Number (& location) of  Throughput time in hours Andon calls  Number of hours/days of  Number of safety incidents inventory in RM, WIP and FP per period  OEE of the bottleneck  Number of completed A3  Percentage first pass yield (problems, kaizens,  Percentage of scrap improvement projects) per  5S audit results and period deployment score  Number of OPL’s per period  Operational process  Deployment score of the availability (not utilization) skill matrix  Operator availability  EPEI interval 27 Industry Consulting 24 mei 2012, Brend Brevé Lean Operations Excellence Visual Management The application of any visual aid or device that promotes safer, more efficient, and less wasteful processes The goal of using visual management is twofold: To create "status at a glance” enabling quick and simple detection of abnormal operating conditions To provide aids to help employees to complete tasks more quickly and in a more standardized approach 28 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 14
  15. 15. Lean Operations Excellence 29 Industry Consulting 24 mei 2012, Brend Brevé Philips Industry Consulting Mei 2012, Page 15

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