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Lean Management, an Engine for
Improving Performance and Consistency
Lean by BearingPoint

General presentation, 2010




                             Confidential. © 2010 BearingPoint France SAS
BearingPoint
•



To get there. Together

                   A unique position:
                  Business Consulting                                                              Our difference

       We are an independent firm with European roots and a                 We are committed to deliver value to our clients, because in
                           global reach                                        today’s world, we are convinced that Expertise is not
                                                                                                      enough:
       We deliver Business Consulting with Management &
                      Technology Capabilities                                      We are focused on measurable, sustainable business
           As our client’s trusted advisor for many years, we                                            results
                 define where to go and how to get there                           We develop teaming approaches with our clients, from
                                                                                              strategy through to implementation

                                                                                With our entrepreneurial and independent mindset, we
                                                                                 tailor our recommendations and deliverables to your specific
                                                                                                           needs


                                  2/3 of Eurostoxx 50’
                                       companies
                                    and public sector                            3 200 consultants
                                     organizations                                     in Europe
                                        are clients
                                                                                  900 employees
                                                                                in France, Belgium,
                                                                                and the Netherlands
                                    500 M€ Revenue




                                                Confidential. © 2010 BearingPoint France SAS           Lean Management by BearingPoint Feb 5, 2010   2
We deliver Business Consulting with
     •



     Management & Technology Capabilities

         From strategy to operational and                                                  Industry and functional experts
            technical project delivery



                                                                                                       Industry Segments
                                                                                                                   Public Sector, Communication,
                                                                                      Commercial     Financial
                 Management        Technology                                                                        Defense &     Media, Energy
                                                                                      & Industrial   Services                       & Utilities
                                                                                                                   Infrastructure
                                                                                               Enterprise Strategy and Transformation




                                                                 Competency Centres
                 Strategy and    Architecture and
                                                                                                 Customer Relationship Management
    Design       organisation     specifications
                                                                                                           Supply Chain

                                                                                                              Finance
Implementation
                  Operational   Systems Integration
                  Assistance    and Project Advisory                                                     Human Resources

                                                                                                            Technology




                                         Confidential. © 2010 BearingPoint France SAS                      Lean Management by BearingPoint Feb 5, 2010   3
Lean Management by BearingPoint
Expertise across Europe

                    BearingPoint Europe




France Industry

                                                                         80+ Managers et
                                                                         Senior Managers en
                                                                               Europe




                                                                                                                        4
                          Confidential. © 2010 BearingPoint France SAS    Lean Management by BearingPoint Feb 5, 2010   4
Lean Management by BearingPoint

       « Lean is realizing maximum performances from
       excellent processes run by normal persons, while
       others often realize normal performances from not
        adequate processes run by excellent persons »




                              1937                                               1970
                          Toyota Motor                                          Toyota                         1995
                            Company                                           Production                   “Lean Product
                                                                                System                     Development”
1900                                       1950                                                                  2000



            1902                          1950                      1961                             1985
       Toyoda Automatic             Social & financial           Total Quality                 “Lean Production”
                                                                                                    concept
         Loom Works                       crisis                   Control




                               Confidential. © 2010 BearingPoint France SAS          Lean Management by BearingPoint Feb 5, 2010   5
Lean Management by BearingPoint

                                        BearingPoint provides
BearingPoint delivers Lean                                                               BearingPoint works at
                                     support and expertise to
    solutions to its customers                                                      developing Lean Awareness
                                     companies all over Europe

BearingPoint accumulated         BearingPoint deploys Lean                          BearingPoint organizes events
experience and knowledge. We     Programs for European                              and knowledge platforms to
develop and support Lean         companies                                          facilitate Lean promotion
programs that provide value
                                    More than 80 Senior                               Lean Engineering with Medici
   Manufacturing                    Managers and Managers                              club (nov 2009)
   Product Development or           handle Lean programs in 16                        « Velocity » by Goldratt
    Engineering                      countries in Europe                                published on March 20, 2010
   Offices                         More than 200 consultants
                                     have been implementing Lean                       Astrium Management
   Services                         tools                                              conference




                                     Confidential. © 2010 BearingPoint France SAS        Lean Management by BearingPoint Feb 5, 2010   6
Lean Management by BearingPoint


       Expectations about Lean by industrial and service companies

         Transversal                       Adherence                              Performance
    Processes management            Human centric approach                    New potentials for
     Contribution to global           Sense and simplicity                       improvements
              value                     Transformation not                     Sustainable results
    Efficiency at interfaces                revolution                              Efficiency




                                Confidential. © 2010 BearingPoint France SAS    Lean Management by BearingPoint Feb 5, 2010   7
BearingPoint vision of Lean Management
Lean Management is the combination of 7 factors aggregated into a system based not
•



only on technical aspect but also on human aspect:


    1                           Mindset                                                            Flow                                     2


                                              3
                                                             Value

                                                    Customer, Enterprise




                                                                                                                                   TECHNICAL SCOPE
    HUMAN SCOPE




                  5                                                                                                        6
                         Integration                  PLAN        7         DO                   Standardization
                      Interface, Leadership                    PDCA                          Best practices, solutions

                                                    ACT
                                                                    CHECK
                                              4
                                                              Skills

                                                       Expertise, Talent

    These 7 items are detailed in appendix#2



                                                  Confidential. © 2010 BearingPoint France SAS            Lean Management by BearingPoint Feb 5, 2010   8
BearingPoint vision of Lean Management

1.   Mindset: focus Lean management system on people. Give priority to BOTTOM-UP approaches … still
     maintain a TOP-DOWN framework

2.   Flow: stand back, look at flows objectively and consider them in their entirety. Materialize flows to
     help measures and optimize them

3.   Value: understand what value means for the client (assess needs according to quality, cost and time
     criteria to separate added value and wastes) and for the company (remember that all services have to
     contribute to company objective: make benefits)

4.   Skills: sustain Lean system by managing competences, knowledge and talents development

5.   Integration: manage and make smoother organizational interfaces (between departments, projects,
     support function, suppliers, clients, …) to ensure leadership, limit complexity and malfunctioning

6.   Standardization: establish standards based on experience and results obtained, PDCA will contribute
     to standards too

7.   PDCA: perform PDCA (Plan Do Check Act) to ensure continuous improvement


                                         Confidential. © 2010 BearingPoint France SAS   Lean Management by BearingPoint Feb 5, 2010   9
BearingPoint vision of Lean Management
From experience, we have developed a set of principles to design and deploy Lean systems:
•




From Gemba to Model … bottom-up approach
•




       Rather than reengineering processes into a new model, Lean is about practical problem solving ,
        on-the-job with team members, identifying best practices and building model from proven
        standards
PDCA concerns every management level
•




       Top, middle and operational management are involved in continuous improvement workshops
       Management supports and spreads Lean initiative, initiate mindset change
Structure Lean initiative
•




       Lean implementation starts with a pilot demonstration then is extended through on the job
        training and coaching
       The more complex the organization, the more important Lean managers’ workshops are
       Formalized tools and standard best practices contribute to Lean system construction
Include change management into the Lean workstream
•




       Workshops with operating people, on the job training, games and simulation
       Communication




                                         Confidential. © 2010 BearingPoint France SAS   Lean Management by BearingPoint Feb 5, 2010   10
Lean Management by BearingPoint
Service and offers

                  « Lean 2.0 »: Implement Lean mindset and not only Lean tools. Seminars, training,
                  coaching and workshops to develop Lean awareness in management and sustain Lean
 Manaufcaturing


                  actions. Change management style, behaviour, attitudes.

                  « System deployment »: Define a Lean system and deploy a Lean model through
     Lean




                  large organizations, with equivalent maturity, and consistency. Train, coach, assess
                  and formalize
                  « Lean Initiatives alignment »: Transform support functions - Quality, Procurement,
                  Logistics – to align their organization and operations on Lean guidelines. Define new
                  operating model, new tools, new management standards

                  « Assess »: Understand what are Lean Management Guidelines. Assess lean maturity
                  level, define program, train managers and directors. Drive and assist pilot
                  implementations
Engineering




                  « Prove »: Apply Lean approach on a limited but consistent perimeter: a design unit,
   Lean




                  a research center. Prove with results

                  « Systemize »: Define a Lean Engineering System based on common and standard
                  processes, proven best practices. Align pilot R&D units and adjust the core model.
                  Deploy the Lean System through the entire engineering organization with equivalent
                  maturity, and consistency. Train, coach, assess and formalize


                                            Confidential. © 2010 BearingPoint France SAS   Lean Management by BearingPoint Feb 5, 2010   11
Lean Management by BearingPoint
   Service and offers

              « Assess »: Understand what are Lean Management Guidelines. Assess lean maturity
              level, define program, train managers and directors. Drive and assist pilot
              implementations

              « Solve »: Transform an internal support process or a customer service process to reduce
Lean Office




              lead time and rise reliability. Facilitate process ownership after process reeginiering -
              shared services – through kaizen appoach. Solve leadtime and cost issues and enhance
              business process management

              « Systemize »: Define a Lean Enterprise System based on common and standard
              processes, proven best practices. Align processes and adjust the core model. Deploy the
              Lean System through the organization with equivalent maturity, and consistency. Set a
              Lean Academy, train, coach, assess and formalize. Drive pilot Lean workshops




                                          Confidential. © 2010 BearingPoint France SAS   Lean Management by BearingPoint Feb 5, 2010   12
Confidential. © 2010 BearingPoint France SAS   Lean Management by BearingPoint Feb 5, 2010   13

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Lean Management by Bearing Point

  • 1. Lean Management, an Engine for Improving Performance and Consistency Lean by BearingPoint General presentation, 2010 Confidential. © 2010 BearingPoint France SAS
  • 2. BearingPoint • To get there. Together A unique position: Business Consulting Our difference  We are an independent firm with European roots and a We are committed to deliver value to our clients, because in global reach today’s world, we are convinced that Expertise is not enough:  We deliver Business Consulting with Management & Technology Capabilities  We are focused on measurable, sustainable business  As our client’s trusted advisor for many years, we results define where to go and how to get there  We develop teaming approaches with our clients, from strategy through to implementation  With our entrepreneurial and independent mindset, we tailor our recommendations and deliverables to your specific needs 2/3 of Eurostoxx 50’ companies and public sector 3 200 consultants organizations in Europe are clients 900 employees in France, Belgium, and the Netherlands 500 M€ Revenue Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 2
  • 3. We deliver Business Consulting with • Management & Technology Capabilities From strategy to operational and Industry and functional experts technical project delivery Industry Segments Public Sector, Communication, Commercial Financial Management Technology Defense & Media, Energy & Industrial Services & Utilities Infrastructure Enterprise Strategy and Transformation Competency Centres Strategy and Architecture and Customer Relationship Management Design organisation specifications Supply Chain Finance Implementation Operational Systems Integration Assistance and Project Advisory Human Resources Technology Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 3
  • 4. Lean Management by BearingPoint Expertise across Europe BearingPoint Europe France Industry 80+ Managers et Senior Managers en Europe 4 Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 4
  • 5. Lean Management by BearingPoint « Lean is realizing maximum performances from excellent processes run by normal persons, while others often realize normal performances from not adequate processes run by excellent persons » 1937 1970 Toyota Motor Toyota 1995 Company Production “Lean Product System Development” 1900 1950 2000 1902 1950 1961 1985 Toyoda Automatic Social & financial Total Quality “Lean Production” concept Loom Works crisis Control Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 5
  • 6. Lean Management by BearingPoint BearingPoint provides BearingPoint delivers Lean BearingPoint works at support and expertise to solutions to its customers developing Lean Awareness companies all over Europe BearingPoint accumulated BearingPoint deploys Lean BearingPoint organizes events experience and knowledge. We Programs for European and knowledge platforms to develop and support Lean companies facilitate Lean promotion programs that provide value  More than 80 Senior  Lean Engineering with Medici  Manufacturing Managers and Managers club (nov 2009)  Product Development or handle Lean programs in 16  « Velocity » by Goldratt Engineering countries in Europe published on March 20, 2010  Offices  More than 200 consultants have been implementing Lean  Astrium Management  Services tools conference Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 6
  • 7. Lean Management by BearingPoint Expectations about Lean by industrial and service companies Transversal Adherence Performance  Processes management  Human centric approach  New potentials for  Contribution to global  Sense and simplicity improvements value  Transformation not  Sustainable results  Efficiency at interfaces revolution  Efficiency Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 7
  • 8. BearingPoint vision of Lean Management Lean Management is the combination of 7 factors aggregated into a system based not • only on technical aspect but also on human aspect: 1 Mindset Flow 2 3 Value Customer, Enterprise TECHNICAL SCOPE HUMAN SCOPE 5 6 Integration PLAN 7 DO Standardization Interface, Leadership PDCA Best practices, solutions ACT CHECK 4 Skills Expertise, Talent These 7 items are detailed in appendix#2 Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 8
  • 9. BearingPoint vision of Lean Management 1. Mindset: focus Lean management system on people. Give priority to BOTTOM-UP approaches … still maintain a TOP-DOWN framework 2. Flow: stand back, look at flows objectively and consider them in their entirety. Materialize flows to help measures and optimize them 3. Value: understand what value means for the client (assess needs according to quality, cost and time criteria to separate added value and wastes) and for the company (remember that all services have to contribute to company objective: make benefits) 4. Skills: sustain Lean system by managing competences, knowledge and talents development 5. Integration: manage and make smoother organizational interfaces (between departments, projects, support function, suppliers, clients, …) to ensure leadership, limit complexity and malfunctioning 6. Standardization: establish standards based on experience and results obtained, PDCA will contribute to standards too 7. PDCA: perform PDCA (Plan Do Check Act) to ensure continuous improvement Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 9
  • 10. BearingPoint vision of Lean Management From experience, we have developed a set of principles to design and deploy Lean systems: • From Gemba to Model … bottom-up approach •  Rather than reengineering processes into a new model, Lean is about practical problem solving , on-the-job with team members, identifying best practices and building model from proven standards PDCA concerns every management level •  Top, middle and operational management are involved in continuous improvement workshops  Management supports and spreads Lean initiative, initiate mindset change Structure Lean initiative •  Lean implementation starts with a pilot demonstration then is extended through on the job training and coaching  The more complex the organization, the more important Lean managers’ workshops are  Formalized tools and standard best practices contribute to Lean system construction Include change management into the Lean workstream •  Workshops with operating people, on the job training, games and simulation  Communication Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 10
  • 11. Lean Management by BearingPoint Service and offers « Lean 2.0 »: Implement Lean mindset and not only Lean tools. Seminars, training, coaching and workshops to develop Lean awareness in management and sustain Lean Manaufcaturing actions. Change management style, behaviour, attitudes. « System deployment »: Define a Lean system and deploy a Lean model through Lean large organizations, with equivalent maturity, and consistency. Train, coach, assess and formalize « Lean Initiatives alignment »: Transform support functions - Quality, Procurement, Logistics – to align their organization and operations on Lean guidelines. Define new operating model, new tools, new management standards « Assess »: Understand what are Lean Management Guidelines. Assess lean maturity level, define program, train managers and directors. Drive and assist pilot implementations Engineering « Prove »: Apply Lean approach on a limited but consistent perimeter: a design unit, Lean a research center. Prove with results « Systemize »: Define a Lean Engineering System based on common and standard processes, proven best practices. Align pilot R&D units and adjust the core model. Deploy the Lean System through the entire engineering organization with equivalent maturity, and consistency. Train, coach, assess and formalize Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 11
  • 12. Lean Management by BearingPoint Service and offers « Assess »: Understand what are Lean Management Guidelines. Assess lean maturity level, define program, train managers and directors. Drive and assist pilot implementations « Solve »: Transform an internal support process or a customer service process to reduce Lean Office lead time and rise reliability. Facilitate process ownership after process reeginiering - shared services – through kaizen appoach. Solve leadtime and cost issues and enhance business process management « Systemize »: Define a Lean Enterprise System based on common and standard processes, proven best practices. Align processes and adjust the core model. Deploy the Lean System through the organization with equivalent maturity, and consistency. Set a Lean Academy, train, coach, assess and formalize. Drive pilot Lean workshops Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 12
  • 13. Confidential. © 2010 BearingPoint France SAS Lean Management by BearingPoint Feb 5, 2010 13