This document outlines many of the core components and principles of Lean Management, including analytical tools, value stream analysis, metrics-based process mapping, root cause analysis techniques, waste elimination strategies, standard work, visual management, pull systems, cellular layouts, level loading, work balancing, batch size reduction, setup reduction, cross-training, strategy deployment, key performance indicators, daily kaizen, problem solving processes, gemba walks, and continuous improvement of processes, products and services to deliver value to customers. The overall goal is to eliminate waste and create continuous flow to maximize efficiency, quality and customer value.
14. A Key to Apple’s Success?
14
“…saying no to 1,000 things to
make sure we don’t get on the wrong
track or try to do too much.
…it’s only by saying no (or not now)
that you can concentrate on the
things that are really important.”
— Steve Jobs
15. Task #1: Focus Reduces Chaos.
Task #2: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Round 1 – Alternate between tasks : letter, number, letter, number, etc.
Sentence:
Numbers:
The Cost of Switch Tasking
Round 2 – No switch tasking. Write the full sentence and then the numbers 1-17.
Sentence:
Numbers:
16. Annual Hoshin Planning
(Strategy Deployment)
• Builds consensus around TRUE NORTH
• Creates organizational focus on solving what matters most
18. Strategy Deployment Key Feature: Catchball
18
Executive
Team
What?
Who?
When?
Senior
Mgmt
What?
Who?
When?
Middle
Mgmt
What?
Who?
When?
Frontline
What?
Who?
When?
Year 1
Year
2
Year
3
19. Strategy Deployment Plan Development
Pre-work
19
Gather lists of:
• All active projects and initiatives
• All stalled projects and initiatives
• All planned projects and initiatives
• All desired projects and initiatives
• All “stealth/rogue” projects and initiatives
20. 20
Must do
Eliminate
Maybe
Delay
1. List what you could do on
3x6” post-its (active or
planned initiatives,
projects & improvement
activities). Gain consensus.
2. Categorize them (place
post-it on appropriate
page. Gain consensus.
3. Decide what you will do.
(Move “maybe’s” onto one
of the other three pages.)
Gain consensus.
Label Four Flip Chart Pages & Hang on Wall
23. 23
1. Increase sales 5%.
3. Achieve 10% profit.
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec IT Mktg Ops HR Bob Fin PE Pario
COM
Direct
CDs /
AMs
PD
Rec
PD
Mgmt
BMD SWS
2
3,500 units sold by 12/31/2013 through all channels
(approx. $700K)
X X X X X X X X X X X X Bob Dana 2 3 3 3 2 3 3 1 1 3 3 1 3
11 Develop & deliver training to top 50 Dealers X X X X X X Bob Rex/Tim 3 3 3
21 Revised course materials by 6/30/2013 X X X Bob Josh R? 2 3 3 2 2
5
Education: 1 school district spec'd/underperforming
COM distributor (25) by 12/31 valued at min $35K each
X X X X X X X X X X X X Howard Michael S 1 3 2 3 3
8
10 new dealers on board (net) ($500K per dealer this
year)
X X X X X X X X X X X X Howard Mike B 2 3
9
5 new distributors bringing $200K annual rev (& 5
terminated)
X X X X X X X X X X X X Howard Howard 1 1 1 2 3
17 10 projects spec'd by 12/31; $300K rev by 12/31 X X X X X X X X X X Howard Dana 1 3 3 3
29 20 by year-end X X X X X X X X X X X X Howard Mark H 2 3 3 3
32 TBD X X X Howard Howard
33 TBD X X X X X X X X X Howard Howard
10
Useful reporting and metrics are established and in
place
X X Jim Randall 3 1 1 1 1 1 1
30 TBD X X X X X Jim Josh 3
31 TBD X X X X X X Jim Josh 1 1 1 3 1 1 1 1 1 1 1 1 1 1
25 TBD Jim Shannon 3 3 1 1 1 1 1
26 System 7.0's in place X X X Jim Randall 3 2 1 2 1
15
100% accurate payroll; 100% management satisfaction
at April mgmt. meeting
X X X Josh Phyllis 1 3
20
Internet task list is simplified and streamlined for
PDs then plan is rolled out to PDs
X X X X Michael M Michael M 2 3 2 3
22
Design Calculator is updated successfully and rolled
out
X X X Neall Matt D 3 1 1 3 2 2 3
24 Competitive Analysis complete and distributed for use X X X Neall Dana 2 3 3 3 3 3 3
1 Design changed to solve delam issue long-term X X X X X Susan David R 3 2 3
12
30 parts sourced in U.S.; completed plan for managing
China-sourced parts
X X X X X X Susan Shannon 3 3 2 2
13
Warehouse laid out; kanban revised; Syspro
implemented
X X X Susan Shannon 3
14 Lay out complete; equipment installed X X X Susan David R 3 3
X = Planned
2013 Priorities
2013 Goals & Objectives
4. Improve morale (metric TBD).
2. Achieve 50% gross margin. Created: 01-14-13
Revised:
Level of Effort/Involvement Required
Priority Goal or Measurable Objective Exec Owner
Plan review dates:
Tactical
Owner
● = Actual
< Company Name >
Contentremovedforconfidentiality
Modified Strategy Deployment Annual Plan
24. POST: Plan Management
24
• Weekly status meetings to start, then 2x a
month, then monthly (required attendance).
• Focus: how to turn red items into green
• Expectation: Full team helps remove obstacles
• Tone: supportive but tough
• Visibility matters: post progress physically!
• Modify plan for changing conditions, but avoid
Organizational ADD
30. 30
Detailed Steps
1. Define and break down the problem.
2. Grasp the current condition.
3. Set a target condition.
4. Conduct root cause & gap analysis.
5. Identify potential countermeasures.
6. Develop & test countermeasure(s)
7. Refine and finalize countermeasure(s).
8. Implement countermeasure(s).
Study
Evaluate
Results
9. Measure process performance.
10. Refine, standardize, & stabilize the process.
11. Monitor process performance.
12. Reflect & share learning.
Adjust
Do
Clarifying the PDSA Cycle
Plan
Develop
Hypothesis
Conduct
Experiment
Refine
Standardize
Stabilize
Phase
Nailing the Plan stage
of PDSA is the most
important element in
the entire cycle.
32. Investigation Takes Many Forms
32
P/U
AFrame
Power Pole
o st g Up Spag ett ag a
e o e a e t p o e e ts
st ated d sta ce a ed du g g Up 3095 t
ag a o o s t e oo a d a d does ot c ude o g t e a e
g Up e 90 utes
Water
33. 33
Detailed Steps
1. Define and break down the problem.
2. Grasp the current condition.
3. Set a target condition.
4. Conduct root cause & gap analysis.
5. Identify potential countermeasures.
6. Develop & test countermeasure(s)
7. Refine and finalize countermeasure(s).
8. Implement countermeasure(s).
Study
Evaluate
Results
9. Measure process performance.
10. Refine, standardize, & stabilize the process.
11. Monitor process performance.
12. Reflect & share learning.
Adjust
Do
Clarifying the PDSA Cycle
Plan
Develop
Hypothesis
Conduct
Experiment
Refine
Standardize
Stabilize
Phase
Iterative Problem
Definition &
Scoping
36. 36
2. Grasp the Current Condition
• Understand the
details behind the
problem.
• Options
– OBSERVATION
– Interview
– Data analysis
– Video analysis
– Document review
– Value stream or
process mapping,
– Etc.
42. A3 Reports are
used as:
Coaching aid
Consensus-building
tool
Communication
tool
Organizational
learning device
Problem Countermeasures / Implementation Plan
- Ÿ32% of customers dissatisfied with office space cleanlines- 80% of emergency service requests are to wrong contact - Standard work for restroom cleaning
- Standard work checklist for non-routine items
- Service levels vary by building - Standard process for measuring & mixing chemicals
- 10% of daily staffing available is allocated to travel/check in time - Restroom cleaning log
- Standard facility service plan (Plan A & Plan B)
Current Condition - Modify & standardize process for unplanned absences
- 31 Facility areas require custodial services - Modify starting points and schedules to reduce transportation waste
- Evaluate fleet availability to reduce waiting waste
Effect Confirmation
Target Conditions/Measurable Objectives
- 80% Daily staffing availability
- 50% Improvement - customer satisfaction with restroom cleanliness
- Defined standard work (for custodial staff and customers)
Follow Up Actions
Root Cause & Gap Analysis
- Undefined level of service (office parties, special events)
- No defined process for unplanned absences (calling in, redistribute work, etc.)
- Inconsistent availability of communication tools (vary by building)
- No defined process for requesting/responding to emergencies
- Variation in cleaning schedules versus facility operating schedules
- Unpredictable daily staffing
- Travel time + Check in Time = 16.00 hrs/day = 2 FTE
- Customer requested personalized service (newspaper delivery, parties, trash)
CUSTODIAL SERVICES
A3
Plan Do, Check, Act
- 22% of customers dissatisfied with restroom cleanliness
8%
20%
8%
14%
17%
33%
0%
5%
10%
15%
20%
25%
30%
35%
Phone Call
to
Custodian
Phone Call
to Custodial
Supervisor
Phone Call
to Custodial
Manager
Phone Call
to Public
Works
Dispatch
(x6000)
Email Notify
Custodial
Staff On Site
Survey: When you require emergency
services, how do you request them?
32%
22%
19% 18%
6%
0%
10%
20%
30%
40%
Office Spaces Restrooms Common
Areas
Overall Conference
Rooms
Survey: Custodial Services - Areas of
Dissatisfaction
Travel/ Check
In Time
16.00 10%
Absent Staff
24.00 15%
Vacancies
24.00 15%
Special Events
2.00 1%
Staff Available
94.00
59%
Daily Staffing Availability
(Hours)
41% ofdaily
staffing is
unavailable for
custodial tasks
Title # Staff Hrs/Wk Hrs/Day
Lead Custodian 4 160 32
FT Custodian 8 520 64
FT Custodian (Vacant) 2 80 16
PT/Perm (avg 30 hrs each) 3 90 24
PT/Temp (avg 20 hrs each) 3 60 24
Total 20 910 160
Current Actual Result
State (+ 60 days)
Customers dissatisfied with restroom cleanliness 22% <10%
Avg minutes per restroom cleaning 35 30
Avg hours per day cleaning restrooms (184 restrooms) 107 92
Daily staffing availability 59% 80%
Daily travel/check in time (hours/day) 16 8
Travel miles per day 139 <70
Metric Projected
Remaining Actions Owner 1 2 3 4 5 6 7 8 9 10 11 12
Explore options to improve cell phone availability Mark R.
Define process for requesting and responding to emergencies Custodial Supvs
Equip carts for recycling Mark R.
Process mapping for specialized facilities Mark R.
Standardize Cart Equipment & Supplies Custodial Supvs
Process improvement for other facility types, e.g. offices, common
areas, etc.
Mark R.
Consider alternative staffing models (floaters, modified shifts) Mark R.
Actively manage vacancies Mark R.
Implementation Schedule (Months)
42
43. Alignment of A3s
Senior
Leadership
Middle
Management
Front Lines
Focus A3s
How are we going to grow the business?
Micro A3s
How do we reduce setup time at
workstation XYZ?
Problem A3s
How are we going to reduce lead time to
better meet customer demand?
43
46. PROBLEM A3
#1
PROBLEM A3
#2
PROBLEM A3
#3
PROBLEM A3
#4
PROBLEM A3
#5
FY17 PRIORITIES
PROBLEM A3
#6
PROBLEM A3
#7
PROBLEM A3
#8
PROBLEM A3
#9
PROBLEM A3
#10
PROBLEM A3
#11
PROBLEM A3
#12
PROBLEM A3
#13
PROBLEM A3
#14
PROBLEM A3
#15
PROBLEM A3
#16
PROBLEM A3
#17
PROBLEM A3
#18
PROBLEM A3
#19
PROBLEM A3
#20
Visual Management of Key Priorities
46