Lean thinking is aligning the people and process to the purpose (customer value) so that the provider prospers. Going lean is not getting into cost reduction but to focus on getting more and more with less and less. Lean organisation searches for a perfect process that is valuable (value creating for the customer), Capable (minimise process variability), Available (reliable processes), Adequate (to meet the demand), flexible, flowed (moving towards one piece flow), pulled (provide when the customer wants) and levelled (anything any time).

Lean is not restricted to manufacturing alone.  Any process – design, customer response, logistics, query processing, has to aim to get aligned to the customer requirement.

Lean is not restricted only to large manufacturing organisations. It is applicable for service industry as well. It is applicable for SMEs also. Wherever there is a customer, there is customer value. Whenever customer value has to be fulfilled Lean is applicable.

 

Building blocks for Lean Journey:

 

Customer Value Definition:
We initiate Lean by guiding the organization:
  • to identify the consumers (not only the immediate customer appearing in their books but all the stake holders who are impacted by their offerings)
  • to articulate the value proposition and
  • to identify the gaps in value creation and fulfillment.

This is the starting point of the Lean Journey.

 

Clear Stream Vision ©(Where do we want to be?):
Toyota Way - First Principle: Long Term Philosophy

"Base your management decisions on a long-term philosophy, even at the expense of short term financial goals" (Toyota Way by Liker)

Initiatives undertaken with a long term vision is a sure recipe for success. We enable the Top Management to define the charter for the next 5 to 10 years using our methodology of “Clear Stream Vision” . Clear Stream Vision provides the base for the Policy Deployment using HoshinKanri.

 

Three Stage Approach to Lean:
We follow a three stage approach of Steady State, Delta Change and Quantum Leap of Lean Journey:

3) Quantum Leap: Inventive ideas emerge if we look beyond the current state and beyond the organisational boundaries. Quantum Leap is achieved by ideas initiated, mentored and implemented by focus groups with a strong senior management commitment.

2) Delta Change: Improving with consistent small initiatives triggered and implemented by people at operating level individually and as groups will spread the movement and sustain the interest across all levels.

1) Steady State: Base for any sustainable movement is stability. We help organisation embark on the Lean journey by enabling a Steady State as the base.

 

Sustainability of Lean Journey:
People behave in the way their performance is measured. Performance measurement systems designed at individual departmental levels tend to promote sub-optimal actions. We redefine the performance metrics as applicable to sync with the Lean Thinking. We enable methodologies to smooth Daily Work Management. We use HoshinKanri for policy deployment and there by align Clear Stream Vision to Short Term Objectives; align Short Term Objectives to the Departmental objectives. We use the MP CP methodology to sustain the policy deployed.

 

Quantification of Financial Impact of Improvement (Savoirfaire Q2 Model ©)
Great ideas get shot down when they don’t stand the test of Cost Benefit Analysis. Savoirfaire Q2 Model © provides a tried and tested framework for quantification. The model draws from the key ratios critical for operational excellence and applies the Activity Based Costing principles through a Five Stage Methodology. We need to look beyond the apparent benefits of cost and working capital to understand the long term impact of Lean initiatives.

 

Lean for SMEs:

We not only help large enterprises to go lean. We believe that the SMEs’ competitiveness is vital for the long term well-being of Indian industry. We are on the approved list of Lean consultants under the Ministry of Micro Small and Medium Enterprises. We help SMEs through the Lean Manufacturing Competitiveness Scheme of MSME. Under this scheme we are initiating Lean Manufacturing practices in clusters of SMEs over a period of a year.

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From Modern Management to Lean Management

Lean Summit 2008 - Jim Womack - What changes as you move from modern management to lean management?

Toyota Executive on Lean Management

Toyota Executive speaks on Lean Management.