Intro to Lean Management


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A short overview of Lean Management principles and philosophy as applied to a hospital setting. This presentation was prepared for an interview with the Five Hills Health Region.

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  • The “Lean” methodwas pioneered by Toyota beginning in the mid-1950s – they were improving upon the ‘assembly line’ concept made popular by Henry Ford. It is focused on process and people. By the 1980s, these ideas started to filter into the US and North America, and have since been applied to many different industries beyond manufacturing – including healthcare.The idea behind lean in a nutshell is to improve “efficiency by consistently and thoroughly eliminating waste”…
  • A passionate belief that there is always a simpler, better way.A continuous drive to identify and eliminate waste.A way of thinking that causes everyone to use their talent to improve the business everyday.A culture that extends the ideas and concepts of Lean across all business processes using a common toolset.
  • Maximize QualityContinuous improvement using all available knowledge and capabilitiesMinimize CostConventional: Price = Cost + ProfitLean: Profit = Price – CostMinimize TimeReduce lead timesMeet delivery commitments
  • Muda – Waste From Process MethodsSome waste may be unavoidable, a necessary byproduct of operating your business. But when you prevent unnecessary waste, you tackle the inefficiency, and therefore cost.Muri – Overburden - unreasonableOccurs when people or equipment are pushed beyond their natural limits or capacity.Mura – Unevenness -inconsistencyFluctuations in work schedules and workload.
  • Intro to Lean Management

    1. 1. Introduction to LeanDan KreugerQuality Improvement ConsultantFive Hills Health Region
    2. 2. What is Lean? The Lean Hospital, The Hospitalist, June 2008 , by Carol Berczuk
    3. 3. Lean Thinking• Doing more with less• Belief in a better way• Eliminate waste• Empower employees• Create cultureContinuous Improvement
    4. 4. Lean Objectives • Streamline processes • Employee satisfaction • Improve finances • Enhance patient care Value Time Costs
    5. 5. Applied Lean Solutions• OR inventory system – Savings $243,828• Standardized lab procedures – Reduced back-ups in emergency• Treatment for brain/bone metastases – Three-visit procedure reduced to a single visit• Streamlined patient discharge process – Decreased average wait time from 195 to 89 min. (54%)
    6. 6. Lean 101Three Categories of WasteMuda: Poor Process Muda MuriMuri: Unreasonable / burdenMura: Inconsistency / uneven Mura
    7. 7. Lean 101Types of Waste in Healthcare• Defects (Rework) – medication error; incorrect billing• Over-Production – duplicate charting; same info on multiple forms• Waiting – patient wait-times; waiting for reports, tests• Not Clear (Confusion) – overlap in responsibility• Transporting – moving charts from place to place• Inventory – overstocked supplies and medicine• Motion – looking for people, materials, information• Excess Processing – signing off, redundant charting
    8. 8. Lean Principles• Specify value from the perspective of the patient and the organization• Identify the value stream needed to provide patient care and remove wasted steps• Enable patients to flow smoothly and quickly through the process• Match capacity with demand so work is done in line with the pull of the patient• Continuously improve the value stream and work towards perfection
    9. 9. Lean ResourcesThe Lean Enterprise Academyhttp://www.leanuk.orgLean Healthcare Exchange
    10. 10. Thank-you