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Lean Thinking and Tools - Edinburgh Napier

from The University of St Andrews Lean Team

Lean Team

on 28 November 2014

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Transcript of Lean Thinking and Tools - Edinburgh Napier

The right people continuously searching for the simplest and smoothest process in order to meet customer needs perfectly
to move into a sloping position
a computer thing
a silver bullet
just about the "process"
and isn't...
In practice...
Lean Thinking and Tools
2 Fundamentals
Maximise Value
Non-Value Adding
but necessary
As the customer sees it
What is value?
Value is what the customer is willing to pay for
The right product/service, at the right time, at the right price, at the right quality
You must clearly define value for the product or service you are focusing on
Understand all work as a process
Create smooth flow
Respond to Pull
Give your customer what they need
When they need it
Not what is convenient to you
Aim for perfection
Not an artificial target
5 Principles
Exam diet ... or continuous assessment
Expenses as you go ... or monthly
Nothing happens in isolation (or shouldn't!)
Does the left hand know what the right hand is doing?
Sakichi Toyoda
February 14, 1867 – October 30, 1930
Founder of Toyota Industries.
Developed "jidoka", autonomous automation
The five whys
Inventor and Industrialist
Eiji Toyoda
September 12, 1913 - September 17, 2013
Took US automotive mass production methods to Toyota ... with a twist
The Toyota Way, or Toyota Production System
Taiichi Ohno
February 29, 1912 - May 28, 1990
Author of the 'Toyota Production System'
7 wastes, Just in Time, Kaizen, Kanban, Poka-Yoke
Paper Plane Game
Week 2
Move all items between production points
Production 1
Fold each piece of paper in half along the long side
Production 2
Fold the two corners on one short edge to the centre fold
Production 3
Fold the two wings in to the centre line again
Production 4
Fold the wings back on themselves, and apply branding to the plane
Receive planes, ensure quality is sufficient
Motivate staff to produce the maximum number of planes
Record number of planes, work in progress, and keep us to time
St Andrews Aeronautics
We make paper planes
Each plane costs us £1m to make, but we sell each plane for £2m
We work in "weeks" of 10 minutes, each "day" being 2 minutes long
Building planes is a highly specialist job
Week 1 Scores
Number of planes produced
Number of rejects
Number of planes in progress
Number of people involved in the process
Productivity: Number of planes produced per person
Time to complete 1 plane
Week 1 Review and Planning
How would you design a new process to be as slick as possible?

Aim for two changes
Don't forget that for the purposes of the exercise no one person is trained in all aspects of plane construction
Produce as many planes as you can
Week 1
Week 2 Scores
Number of planes produced
Number of rejects
Number of planes in progress
Number of people involved in the process
Productivity: Number of planes produced per person
Time to complete 1 plane
Produce as many planes as you can
Week 2 Review and Planning
How can the process be further improved?
Eliminating barriers
Purposefully enjoyable
Constructively challenging
Building relationships
Taking action
Project tools & techniques
Leader standard work
Visual Controls
Frontline decision making
Direct access to data
Minimum committee requirement
Co-location of relevant staff
Sharing process diagrams
While I am attracted to the idea of a centralised, available-anywhere online tool to manage our workload there is actually something very satisfying and valuable about physically moving a ticket from one column to the next; in a way it makes that task feel more real.

It’s also a much quicker, more flexible system that doesn’t require a PC to be booted-up, or software to be installed or reconfigured before you do anything.

And using a methodology that encourages change … that’s got to be a good thing!
Making implicit explicit
Key metrics
Designed by the team
Updated constantly
Daily Work Group Meeting
Daily resource management
Resolve problems
Led by the team
Focus on that days' work
Modern Languages
They've actually really helped. We meet a couple of times a week now, and we've found that it has really reduced duplication of effort.
Software Development Team
If you think about Lean as a ...
Quick Fix
Rapid Cost Cutter
Set of tools
Solution to management problems
Performance management tool
It's a long term thing
"Patience and tenacity are worth more than twice their weight of cleverness."
Thomas Huxley
... you will never get sustainable change
But if you think about Lean as...
Cultural change
For the long haul
About how everyone does their work every day
Just, what we do
... we can revolutionise the way we work, enjoying the short term benefits on the way!
Just common sense?
"Le sens commun est fort rare."
"Common sense is not so common"
Start at the beginning
People need time to learn how to do it
Scope and plan properly
Without resources you won't achieve results
People will behave irrationally
"There's no evidence whatsoever that men are more rational than women. Both sexes seem to be equally irrational."
Albert Ellis
Even those you wouldn't expect to:
Your most intelligent managers
Your most renowned academics
Even ... you!
So what can we
do about it?
What similarities are there
between the Plane Game and your experience of University Processes?
Lean is...
Continuous Improvement

Everything can and must get better

No improvement means standing still, means going backwards

Episodic improvement is harder and less effective
Always challenging the status quo

Never ending

Looking at the organisation holistically
Ripple effect - interdependencies
Ideas outwith your remit
People are our most powerful asset
Nothing works without people
We can’t do everything ourselves
We do not know everything
Because we’re all different
Process is all about how people behave
Involve staff at all levels in decision making
Not just managers
Frontline staff know what works well and what needs improvement

Ask for and value the views of others

Create an environment where values are more than words on a website

Respect does not necessarily mean agreement or compromise
Respect for People
Toyota’s representation:

"... make every effort to understand each other, take responsibility and do our best to build mutual trust ...

... stimulate personal and professional growth, share the opportunities of development and maximize individual and team performance."
Quad of Aims
Current State Mapping
'If you can see it,
you can fix it'
Ideas Generation
Action List
Interim State - Future State
Senior Manager Sponsorship
Line Manager commitment
Authority to act
We require:
The right environment
May 6 2014
8 Wastes
Set aside improvement time

Be creative, don't be scared to try out ideas

Don't be limited by the possibility of failure

Think 'how might we?' rather than 'how can we' or 'how should we'

Plan Do Check Act
What about?
Respect for People

Maximise Value
Think of the process
Smooth Flow
Respond to Pull
Aim for perfection

8 wastes - TIMWOODS
W. Edwards Deming
October 14, 1900 – December 20, 1993
1950s: Brought Statistical Process Control and Quality Control to Japanese Manufacturing
"In God we trust; all others must bring data"
Business Consultant
Not all waste removal will result in direct value increase, but where it doesn't it will free resource that can be used to add value

e.g. too many pages in a prospectus vs too many prospectuses in a cupboard
Moving items
Holding items
Moving people
Delaying people or items
Creating too many items
Complexity in creating items
Errors or mistakes
Misused human potential
Posting invoices to various departments for sign-off
Cupboards full of unused prospectuses
Having to walk across town to sign a form
Things being held up because the office is closed for lunch
It's cheaper to get 3000 business cards ...
Producing a leatherbound report when one side of a4 would suffice
Decimal point misread in expenses claim
People not bringing their knowledge and skills to the job appropriately
“Of course for us, it is not ‘Lean’ it is just what we do. It is about increasing value and decreasing waste”

“TPS stands for Toyota Production System, but also for Thinking People's System”

“Nobody has the right not to challenge, however, enabling them to do this in safety, is itself a challenge”

Tony Wallis, Director of Material Handling UK

Origins of Lean
Womack and Jones
Brought the Toyota Production System into popular thought
"Lean", 5 principles
Continue to lead Lean Thinking
(and Roos)
Academics and Authors
Maximise Value
Non-Value Adding
but necessary
As the customer sees it
Anything that doesn't add value
Toyota Today
Respect for people enables CI
Fake Lean:

Does harm
Real Lean:

Non zero-sum
Do no harm
Workers' fear: 6 things have remained over the years

1. Dehumanised
2. Sped up, burnt out
3. Deskilled
4. Knowledge removed
5. Creativity removed
6. Job lost
Numbers Game
Keep all essential items and eliminate what is not required
Arrange the items in such a way that the work flows free of waste
Arrange needed items so they are readily accessible and labeled so that anyone can find them or put them away
Keep the workplace clean, tidy and organised
Create a consistent approach to how the first three Ss are done
Embed new approach to ensure sustainability
The Systematic Intervention
A series of interventions
Identified by an central authority
Led by a central team
Lots of control
Clear direction
Limited capacity
Central ownership
The Management Led
Management training
Leading to interventions
Supported by a central team
Broad dissemination
Clear ownership
Lack of direction
Loss of impact
The Organic Growth
Interventions & training
Growth follows relationships
Central team leads change
Employee engagement
Wide dissemination
Takes time
Feels out of control
Alternate Approaches
Begin at PLAN - Identify the problem

Do this by:
Understanding top level performance
Prioritising one target problem

Relevant tools/techniques:
Quad of aims
Having identified our problem we now need to measure it...

Do this by:
Deciding what you need to know
Collecting baseline data
Identifying root causes & influential factors

Some Relevant tools/techniques:
Spaghetti chart
Process mapping current/future
Fishbone analysis
The 5 WHYs
Takt Time

Related study:
Deming's 14 points (Out of the Crisis) - check them out!
Now that we fully understand our problem and its effects, we need to develop the solution(s)...

Do this by:
Generating a list of possible solutions
Selecting a solution/ solutions
Considering any adverse effects elsewhere

Some Relevant tools/techniques:
Ease/benefit matrix
Nominal group technique
Process time reduction
Force-field analysis
Cost/benefit analysis
Poka Yoke

Having developed our solution(s) we now need to try it to see if it is successful at eliminating our problem (without causing others!)

Do this by:
Developing & implementing a detailed action plan as a team
Communicating with all relevant people about the solution(s) & its benefits
Answer the 5Ws 1H question

Some Relevant tools/techniques:
Action planning
Intent and impact
Active listening
Transition Curve
Conflict resolution

Having trialed our solution(s), we must check the results to ensure we have eliminated the problem

Do this by:
Monitoring results
Reviewing team performance using LDMS®

Some Relevant tools/techniques:
20 Keys®
Quad of Aims
Statistical process control
Monitoring checklist
Visual control
Team review
Having reviewed our results we must capture the new standard
(if successful) or go back round the cycle and revisit the root cause

Do this by:
Defining & documenting the new standard
Training everyone in the new way(s) of working

Relevant tools/techniques:
Standardised working
20 Keys®
Daily Work Group meeting
Short Interval Leadership
Primary Visual Display
Anything that doesn't add value
PDCA or Deming's cycle
Working on
Lets do a mini RIE!
And lets do it extra rapid .......
1. Current state mapping
2. Waste identification
3. Ideas generation
4. Affinity mapping
5. Quick future/interim redesigns

We have 10 minutes!
It always takes longer than you think!
Lean Daily Management System
Kaizen action sheet system
KCG 20 Keys
Definition of standard work:
Prof. Bob Emiliani, Connecticut State University
By documenting the current best practice, standard work is created
This forms the baseline for kaizen or continuous improvement
As the standard is improved, the new standard becomes the baseline for further improvements, and so on
The LDMS is used within intact work groups of individuals
performing related tasks
in reasonably close proximity to one another
Each team should develop its own model but the basic premise remains the same
The KAS is a system for capturing small improvement suggestions within a workgroup

The KAS will:
Capture ideas that fall below the radar
Empower team members and increase engagement
Leader standard work is about how leaders best achieve this
KCG's 20 Keys is a very useful tool for a number of reasons:
1. It helps a team capture exactly where they are across the board
2. It gives the team a baseline to measure against and targets to aim for
3. It helps imbed a consistent approach to team development
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