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Lean Management and Outsourcing
Lean Philosophy ? A tool for Streamlining processes  and Improving Efficiency  By Focusing  on the needs of the customer..
Timeline of Lean Philosophy ,[object Object],Jidoka (Autonomation) 	– 	By Toyoda - 1902 Henry Ford 			– 	Pioneer of US Automobile 					Sector - Mass Production 					(Flow Production) 1908 -1913 JUST-IN-TIME 		– 	Toyota Motor Company - 1937 Toyota Production System	– 	Toyota Motor Company 1960
Why go Lean? To improve:  Customer service  Reduced waiting times  Lower costs  Improved customer experience  Quality and efficiency  Staff morale  Internal communication and cooperation  In the public and private sector
Who is Customer? Whosoever  is going to buy your ideas, services or products or affected by your processes is your customer  Customer may be internal or external  In public sector: citizens are external customers The associates or other departments are internal customers. 			             	and Customer is the king
The Five Principles of Lean Management Specify the value desired by the customer  Identify the value stream for each product providing that value and challenge all of the wasted steps currently necessary to provide it  Make the product flow continuously through the remaining, value-added steps  Introduce pull between all steps where continuous flow is possible Pull, is about creating an environment where you get what you need, when you need it. Not through forecasting, but by creating a fast production chain that allows you to order what you need when a specific event triggers that order Manage toward perfection so that the number of steps and the amount of time and information needed to serve the customer continually falls
The Eight Wastes in Services Transport - Unnecessary movement of materials, people, information or paper. Inventory - Excess stock: unnecessary files and copies, and extra supplies. Motion - Unnecessary walking and searching; things not within reach or accessible. Waiting - Idle time that causes the workflow to stop, such as waiting for signatures, machines, phone calls. Over-production - Producing either too much paperwork / information, or producing it before it is required. This consumes resources faster than necessary.  Over-processing - Processing things that don’t add value to the customer, e.g. asking for  details multiple times, excessive checking or duplication. Defects - Work that needs to be redone due to errors (whether human or technical) or because incorrect  or incomplete information was provided. Skills misuse - Not using full potential of staff; wasting the available knowledge, experience and ideas.
Tools to Implement Lean Management 	Lean has a number of tools that can be used to help you. These tools are designed to be quick  and simple to use, and present information in a visual way that is easy to understand. ,[object Object]
Value stream mapping
5S for workplace organisation,[object Object]
Arrange to visit, if possible or gather data about what they need from you.
Use feedback forms (printed or electronic) to ask your customer to rate your service.
Encourage feedback – good AND bad. A silent customer isn’t necessarily a happy customer
Collect data on what customers are asking you when they get in touch, in their own words.,[object Object]
How long work or customers spend waiting for the next step in the process.
Volume of work dealt with, and how this varies over a year,  week or month
Number, type and source of errors.
Frequency and type of customer demand – what are your customers asking for, do most of them want similar things, and are they currently receiving what they want from you?,[object Object]

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Lean management latest

  • 1. Lean Management and Outsourcing
  • 2. Lean Philosophy ? A tool for Streamlining processes and Improving Efficiency By Focusing on the needs of the customer..
  • 3.
  • 4. Why go Lean? To improve:  Customer service Reduced waiting times Lower costs Improved customer experience Quality and efficiency Staff morale Internal communication and cooperation In the public and private sector
  • 5. Who is Customer? Whosoever is going to buy your ideas, services or products or affected by your processes is your customer Customer may be internal or external In public sector: citizens are external customers The associates or other departments are internal customers. and Customer is the king
  • 6. The Five Principles of Lean Management Specify the value desired by the customer Identify the value stream for each product providing that value and challenge all of the wasted steps currently necessary to provide it Make the product flow continuously through the remaining, value-added steps Introduce pull between all steps where continuous flow is possible Pull, is about creating an environment where you get what you need, when you need it. Not through forecasting, but by creating a fast production chain that allows you to order what you need when a specific event triggers that order Manage toward perfection so that the number of steps and the amount of time and information needed to serve the customer continually falls
  • 7. The Eight Wastes in Services Transport - Unnecessary movement of materials, people, information or paper. Inventory - Excess stock: unnecessary files and copies, and extra supplies. Motion - Unnecessary walking and searching; things not within reach or accessible. Waiting - Idle time that causes the workflow to stop, such as waiting for signatures, machines, phone calls. Over-production - Producing either too much paperwork / information, or producing it before it is required. This consumes resources faster than necessary. Over-processing - Processing things that don’t add value to the customer, e.g. asking for details multiple times, excessive checking or duplication. Defects - Work that needs to be redone due to errors (whether human or technical) or because incorrect or incomplete information was provided. Skills misuse - Not using full potential of staff; wasting the available knowledge, experience and ideas.
  • 8.
  • 10.
  • 11. Arrange to visit, if possible or gather data about what they need from you.
  • 12. Use feedback forms (printed or electronic) to ask your customer to rate your service.
  • 13. Encourage feedback – good AND bad. A silent customer isn’t necessarily a happy customer
  • 14.
  • 15. How long work or customers spend waiting for the next step in the process.
  • 16. Volume of work dealt with, and how this varies over a year, week or month
  • 17. Number, type and source of errors.
  • 18.
  • 19. Valueis anything that is worthwhile from the customer point of view i.e.
  • 21. Price
  • 27.
  • 28. This will be most effective if it is done in a group, by the people who do the work.
  • 29. It’s important that EVERY step is included, as this is a picture of how things really are rather than how things should be.
  • 30. The value stream map can be hand drawn, or even done with Post-IT notes.
  • 31. Once you have a current state map of your customer journey, identify all the steps which add value to the customer.
  • 32.
  • 33. Barriers People Lack of ownership Identity of improvement team members Failure of leadership Compartmentalisation Weak link between improvement programmes and strategy Lack of resources Poor communication.
  • 34.
  • 35. Making a real time commitment – the more time you can put in, the quicker the results and greater the rewards will be.
  • 38. Allocating the resources and getting everyone involved.
  • 39. Being clear about what you want to achieve.
  • 40. Communicating with your team, and listening to their suggestions.
  • 41.
  • 42. Keep an open mind about the possibilities.
  • 43.