This document discusses Lean and its 5 principles: identify customer value, make a value stream map, analyze flow, create pull, and seek perfection. It explains each principle in 1-2 paragraphs. For example, it states that identifying customer value means understanding what the customer values to avoid waste and ensure goals are met. The document also lists benefits of Lean like reduced costs, improved ability to meet demand, and better quality. It notes that Lean implementation can face resistance but that a step-by-step approach can help overcome issues.

2. What is Lean…?
It is explained in various ways in various languages, ultimately deriving only one goal of removing waste in the
production. This is nothing but a systematic and well-thought methodology for improvement of
performance/productivity by removing wastes and reducing variation. This is a collaborative team effort for waste
minimization without compromising the quality and productivity. In late 80s and early 90s, this concept was
introduced to the world by Japanese manufacturing industry.

3. Lean
and
5 Principles
5
Principles
Create Pull
Analyze Flow
Value Stream Map
Identify Customer Value
Seek Perfection

4. 1. Identify Customer Value:
Mahatma Gandhi once told “A customer is the most important visitor on our premises.” Lean begin with
identifying customer needs. He pays only for the Value he is getting. If the requirements of the customer are not
understood, it can lead to resource waste, reworking, time waste and ultimately the end goals are not achieved.
This phase is to define the value of the product.

5. 2. Make VSM (Value Stream Map)
So, what is value stream map...? The most important step to achieve final goal of improvement in the process.
The value ‘product’ is processed from raw stage to the product deliverable stage. There are multiple steps and
process fragments involved which create a systematic process structure which can be termed as ‘stream’.
Mapping all the steps and activities in the stream from customer demand till product delivery is called value
stream mapping.

6. 3. Analyze Flow:
After identifying value added and non-value added processes, wastes are removed, loop holes are
eliminated. Process flow is analyzed and all the processes are arranged tightly to make sure that process
has smooth flow. This reduces waiting times, gaps in the process and chances of errors. This phase
achieves fluidity to the process by creating continues flow.

7. 4. Create Pull
In current market pattern the customer demand increases suddenly. To meet the customer expectations for
increased production with quality adherence, a pull is created. By following and inculcating first 3 principles now
waste is removed and there is reduction in the production time. This production line can now cater the customer
demands without any bottleneck at any point

8. 5. Seek Perfection:
Pursuit of perfection is achieved through continuous improvement. This phase is nothing but a pause for
analysis and to start over the lean cycle again. ‘Plan-do-check-act’. This results in Kaizen. Continuous
improvement is carried out until stage of perfection is achieved and waste is eliminated.

9. Benefits of Application of Lean
 The takt time calculation and improvement in this time by reducing the waste, increases the
production.
 The production cycle time is reduced.
 Operations are smooth.
 Reduce operation cost by reducing inventory, motion waste and overproduction cost.
 Gain more capabilities to handle increased customer demands and increase creditability.
 Overall impact on quality of the output.

10. Lean Implementation Faces Resistance:
 Despite of all the benefits lean implementation faces resistance from the industry. It is very difficult for many
industry experts to change the set pathways. Resistance also comes from a fear of exposing process and
problems.
 Reducing the resource for achieving productivity is not the approach. Systematic implementation of the lean
principles and thereby reducing the waste can prevent expenses and increase profit.
 Of course, complete mapping of the process and changing it accordingly can be a bold step, time consuming
and may not give desired outcomes. Stepwise approach and systematic implementation of lean can be the
solution for it.

11. Strategic Implementation of VSM Lean:
Value stream mapping can be practiced for a segment/department in the process initially.
Improvement can be assessed by eliminating wastes in only marked area to achieve perfection for the
section.
Once this is achieved can be implemented to other processes/fragments slowly and systematically, which
could finally cover the whole process and the goal of practicing lean culture for the whole process is
achieved.

12. Scope of VSM:
It is very true ‘If you have a product, you have a value stream’. VSM can be applied to:
a. Any manufacturing industry.
b. Any work site situations
c. Any office environment
d. Any activity.
e. Any job shop
f. Any culture or work station.

13. Conclusion:
Built on the principles of lean and following the VSM culture, ITCube BPO has always caters
the customer satisfaction. This is achieved via continuous improvement in productivity and
maintaining the quality standards.

14. Contact Us -
ITCube BPO Solution,
Email- info@itcubebpo.com
Phone- +1 (614) 434-2376
10999 Reed Hartman Highway,
Suite # 134, Cincinnati,
Ohio - 45242, USA
www.itcubebpo.co
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