Ijmet 10 01_102

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International Journal of Mechanical Engineering and Technology (IJMET)
Volume 10, Issue 01, January 2019, pp. 993–1001, Article ID: IJMET_10_01_102
Available online at http://www.iaeme.com/ijmet/issues.asp?JType=IJMET&VType=10&IType=1
ISSN Print: 0976-6340 and ISSN Online: 0976-6359
© IAEME Publication Scopus Indexed
MANAGING ON LEAN SERVICE IN SPORTS
INDUSTRY
Hari Supriyanto and Yudha Andrian Saputra
Department of Industrial Engineering, Faculty of Industrial Technology,
Institut Technologi Sepuluh Nopember, Surabaya, Indonesia
ABSTRACT
Lately, the application of lean has been applied in service companies with the
same objectives, namely the elimination of waste and increased efficiency of all
resources. As the global economy grows and develops, they are committed to
achieving improvements like that. The current economic indications are marked by
budget cuts and cost reduction but are still able to produce a good business
performance. This paper, we will explore waste that occurs along the value stream;
especially in the public sector, more specifically in industrial sports.
Key words: Lean service, Waste, Customer value, Value stream, Improvement.
Cite this Article: Hari Supriyanto and Yudha Andrian Saputra, Managing on Lean
Service in Sports Industry, International Journal of Mechanical Engineering and
Technology 10(1), 2019, pp. 993–1001.
http://www.iaeme.com/IJMET/issues.asp?JType=IJMET&VType=10&IType=1
1. INTRODUCTION
In today's competitive environment, service providers face many challenges. Every customer
always expects the service provider, to be able to serve better, and more time to ensure all
activities run smoothly [1]. Many among the service organizations find it difficult to match
the goals of improving the process, with customer expectations, and to measure process
capabilities related to quality, schedule, and improvement efforts. Some service organizations
have begun to identify and explore concepts, which can provide a strong basis for process
improvement [2]. Lean is a developing concept and many practice-researchers study lean
principles and practices. Although the lean concept comes from the manufacturing
environment, its principles have universal applications [3]. Even lean has moved to a sector
other than manufacturing, for example, lean applications in hospitals, administration and
service organizations [4]. Lean implementation is not only about implementing a set of tools,
but more importantly about the application of methods, and lean principles that are managed
systematically [5].
The two sides are mutually supportive, one side is that the company practitioners try and
strive to implement and socialize the activities and concepts of lean, with the aim of always
enhancing the process, to improve business performance. On the other hand, scientists and
scholars do more in-depth research about the success of lean in the organization. This

complementary two-sided journey has been running more than 50 years ago. The results
obtained are positive and amazing; make every company have to think about lean concepts
and applications. Throughout the journey, research, theory, and practice and the development
of knowledge and interpretation, about the value stream process, furthermore, specifically
developed philosophy, principles, and measurements related to "lean" and its applications.
Confusion about lean concepts and applications in the field, resulting in an implementation
approach with various tools, often starting and ending with misleading efforts, meaning just
using tools without following the philosophy and methodology that underlies the
implementation of lean concepts [6]. This paper tries to answer lean concepts and the
challenges faced by organizations, when identifying and communicating lean, especially in
industrial sports.
2. LITERATURE REVIEW
2.1. Lean
Lean is a high business philosophy, which focuses on shortening waiting times, by reducing
waste continuously, and always building creativity for process improvement and added value.
Successful lean implementations will be able to help improve the learning culture and
continue to improve all aspects of organizational performance. Lean is not only able to reduce
costs, and improve quality; more important is that lean can generate companies to achieve
extraordinary business growth.
It is important to know that, all organizational employees know and see that top leadership
supports the changes that are being made. The commitment of senior leadership to be directly
involved in the implementation, transformation, and participation in activities to improve
organizational performance, is a key factor, to achieve success. Personal experience from top
management to think lean is a determinant of success in the company [10]; [11]. Top level
managers must have a good understanding of lean and not only support it, without sufficient
knowledge to make the whole process along the flow of values, but it will also be effective
[12].
Toyota is a manufacturing company known as a lean symbol. The term "lean production"
is defined, to describe manufacturing techniques developed over the past 100 years by Toyota
Motor Company [7]; [8]. Toyota companies developed the same principles and philosophy,
known as the Toyota production system (TPS) and included in Toyota's internal documents
called "The Toyota Way" [9]. Every day Toyota has created a lean culture for employees at
all levels that focus on continuous improvement. Toyota has achieved tremendous growth and
financial success [13]. Other terms related to lean are continuous improvement (CI); just-in-
time (JIT); theory of constraints (TOC); total quality management (TQM); world-class
manufacturing; and Six Sigma. Every occurrence of the improvement process is strongly
influenced by the lean concept [14]; [15]. Leaders need to practice and learn lean, and by
applying lean regularly in their daily activities, they will understand which parts have
extravagant tendencies. One reason the CEO needs to develop lean skills personally is to find
out what improvements can be achieved; thus there is no reason not to make improvements.
Over the past 20 years, the service sector has been the main driver of the European
economy (more than 70% of European GDP). This activity in the US is even greater, which is
around 80% of US GDP. From these developments, it can be said that the service sector is the
main source of economic growth. Therefore a substantial improvement in the field of
productivity can be used as triggers for development and sustainable economic stability [16].
The transfer from the lean service theory to the practical approach is a challenge because it
requires a change in the inner (operational) mentality for the application of lean thinking in
the service sector. Appropriate service activities must include a clear understanding of

Managing on Lean Service in Sports Industry
services, and the characteristics/traits inherent in them. Services are defined as a set of
consumable and directly damaged, benefits that have been provided by service providers for
consumer needs [17].
The lean thinking paradigm can simply distinguish between waste and value along the
value structure. Waste is the human activity that absorbs resources but does not create added
value. Value is defined as the ability of a company to make a product or service, which is
given to customers, is the right function, on-time delivery, the right amount and the
appropriate price. Lean thinking in action is the identification and elimination of waste that is
carried out continuously and leaves only value-added activities along the value stream [18];
[19]. Every action to identify and eliminate waste is a characteristic of the lean thinking
paradigm.
There is a gap between application and knowledge about lean. This happens because in
running lean, there is a change in organizational culture, followed by changes in human
resources. Several studies linking lean with organizational system change [6], its application
to lean with human performance [20], and its application to lean by motivating job
characteristics [21]. While, certain studies link an application to lean with sociotechnical
aspects [22]. In addition, many concepts about organizational change such as discontinuous
versus continuous, revolutionary versus evolutionary, episodic versus continuous flow,
strategic versus operational, transformational versus transactional, and total systems versus
local options [23]. They pointed out that one of the many principles and thinking of lean
(kaizen) has a close relationship with the change (evolution) of organizational culture. This is
the possible relationship between lean theory and paradigm thinking that can be explored
more deeply.
Traditional measures of lean performance are usually expressed in terms of cost, quality,
safety, and delivery. Development of measurements is needed for performance output with
the existence of a lean transformation to increase the credibility of lean applications [18];
[24]; [25]; [26]; [27]. Many researchers have built initiatives and foundations in the field of
measuring "leanness" organizations, for example by using their Lean Enterprise Self
Assessment Tool-LESAT [28].
2.2. Lean Service
The creation of organizational culture is an important platform for lean implementation. High-
performance companies are companies that are proactive with a culture of continuous
improvement [29]; [30]. If the power holders in the organization (formal and informal), are
rejecting lean, it will be very difficult to produce cultural changes and desired process
improvements [31]. Organizational culture is the values, core beliefs, social norms, and
habits, which govern the way a person acts and behaves in an organization. Organizational
culture is an important factor for achieving success in lean implementation [32]; [33]; [34];
[35]. As shown in table 1, is five basic principles that can be considered in lean services.
Emphasis on lean concepts is on the active role of customers and integrating customers into
service value creation. The presence of customers in the service system is that customers
change the role of employees into network values, which ultimately becomes an important
part of making value streams. In service activities, the value will be defined and determined
by the customer. Customer expectations and satisfaction are very subjective and not
measurable through indicators.

Table 1 Five basic principle in lean service
principles definition
Identify activities
that create value
Values can be generated in a service environment, and this value can be
accepted/rejected by the end customer.
Identify value
streams
In services, values are determined by customer needs, values are based on a
sequence of activities that can satisfy customers.
Information flow Focuses on optimizing information movements through a sequence of service
activities, to generate value for customers.
Pull Distribute customer requirements along the value stream, only what the
customer wants.
Thus the service quality can be defined by, the degree of harmony between expectations
and customer perceptions that have been provided by service providers. Quality is data and
experience obtained from consumer behavior. Therefore, the concept of building quality is co-
creation; this means that this concept must be associated with service activities, management,
and customer integration as inputs that are changed by the service process to be output with
several levels of satisfaction [36]. Identification and determination of waste in the sector are
complicated because its activities are intangible. One of the challenges in service
organizations is developing the ability to identify and recognize waste, through data, analysis
and customer experience. Some of the waste that can be identified from the service sector,
table 2.
Table 2 Waste from the service sector
waste identified
Over-Quality,
Duplication
Excessive activity, does not add value. Means adding activity time, and does not
add value to services.
Overproduction Work that has been completed, done longer than what the customer has set.
Demand Failure,
Lack of Customer
Focus
There is a gap between customer expectations or perceptions.
Underutilized
resources
Potential employees, who are not in accordance with knowledge, ability, creativity,
and skills.
Manager's Fear of
Change
Management culture is afraid of change, does not encourage employees to be
involved in the continuous improvement process.
Delay
Activity pending; from employees, or customers waiting for information, and from
service providers.
No
Standardization,
Excessive
Variation
There is no standardization in terms of procedures, processes, formats, managing
products/services that expire.
Unnecessary
Movements and/or
Transportation
Resources (people or goods), not needed; physical transfer (from office to office) or
virtual (approach, method, path or tool to do work).
Service activities must include a deep understanding of services, and the characteristics
inherent in them. Services can be defined as a set of disposable and fast-damaged benefits,
prepared by service providers, for consumer needs, consumed and used by consumers [16].
The main characteristics of the following services. Intangibility: Service quality is based on
customer perceptions and expectations. Variability and heterogeneity: Changing resources are

information, concepts, and ideas. Variability is the result of less consistent, homogeneous and
repetitive. Inseparability: Generation and consumption of services occur simultaneously.
Damage: Services cannot be produced and stored for resale, and Lack of ownership.
Top leadership in an organization is important for every employee to support
organizational change. Leadership commitment to lean transformation for employees is a key
factor in success. The best way shown by senior leadership is its commitment to being
directly involved in activities and implementation, and participating in lean improvement
activities. Continuous and regularly improved training is needed. To build lean training,
opportunities are provided for all employees to actively participate, for the process of
increasing knowledge and increasing the level of lean training [10]; [37]; [38]. Top-level
managers must have a good and correct understanding of lean to be effective, and not just
support it, without enough knowledge about lean [12].
2.3. Methodology
The lean methodology in the service industry, although there is involvement with lean
principles, has something in common manufacturing context, although many must be
redefined. Thus, lean concepts and methods must be reviewed for service activity
applications. The three stages in this problem solving methodology are:
1. Intelligence phase. Consists of literature reviews; develop an initial mapping model. Build
and develop the initial model in the form of a service blueprint. The aim is to collect data, to
find out the entire service process and to create a framework for knowing fail-points (rework).
2. Analysis and improve phase. The aim is to analyze the emergence of waste so that the lead
time of the process becomes higher. Failure in fail-point indications were found, then
analyzed using root cause analysis (RCA). This step is key for improvement with the aim of
increasing performance by implementing alternative solutions.
3. Solution phase. The aim is to summarize all the findings and alternatives that will be done.
Another goal is to make modifications/improvements to the initial service blueprint so that the
process is even simpler. Make final recommendations with the aim of summarizing fail-
process, relevant findings, and applying new blueprints in the organization to achieving
success and improvement to sustainable lean.
3. CASE
Early identification of business systems, described in the form of mapping for all service
activities, in the form of service blueprint. The service blueprint describes the steps to deliver
services in the form of simultaneous activities (series of activities), the roles of consumers and
employees, and all elements forming the service system. Figure 1 below shows the service
blueprint for rent sports building. The main problem is when you want to rent and schedule
the use of the field for training or tournament needs.
Service quality can be described in the form of service attributes, which can be directly
felt by consumers from two sides, namely perceptions, and expectations. All service attributes
can be grouped into certain service dimensions. Based on the questionnaire distribution,
information is obtained in the form of a gap, from the difference in the value of perceptions
and expectations of consumers. A gap can be positive or negative. If there is a negative gap
value (-), it means that consumers expect not to be fulfilled by the service provided otherwise.
The problem is seen and indicates high expectations and low perceptions. These attributes are
air temperature, room cleanliness (toilet), field schedule, and locker room, janitor, and front
office services.

Figure 1 Initial (old) blueprint service sport industry
The service attribute is the voice of the customer (VOC) which must be considered more
specifically from management. The discovery of attributes whose expectations have not been
met is then designed as the house of quality (HOQ) to build a technical response. This
technical response can be described as the company's ability to fulfill consumer desires.
There are 4 possible response techniques that can be generated, namely adding supporting
equipment; giving training and making SOPs; adding employees and employee shift hours.
Problems that arise in the category of difficulties finding and managing schedules, can be
traced through root cause analysis (RCA) as listed in table 3 below.
Table 3 Root cause analysis (RCA)
Based on the problems that arise, three alternatives to improve service quality, namely,
providing Touchscreen LCD facilities; providing training and making a system operating
procedure (SOP) and its applications; adding employees and employee shift hours. The
criteria used to assess alternative improvements are service speed, area arrangement and
scheduling provisions.
This alternative has advantages such as, helping employees to manage space such as food
court, entertainment, storefront, and parking; change the behavior and assessment of
employees in space/area and cleanliness; helping and making it easier for consumers to set a
rent schedule.
type of
disorder
why 1 why 2 why 3 why 4
difficulty setting a schedule employee negligence recording
bad
schedule
there is no hourly usage
record
Schedule is only 1 person
the note taker does not understand
the schedule arrangement
scheduling notes are not clear practice is often done unscheduled
there is no
clear list of
rents

Figure 2 New blue printing
With the new blueprint, the management needs to add supporting equipment such as LCD
touchscreens that can be used to see the overall schedule of field use directly and quickly.
Consumers can choose an empty schedule quickly and immediately input the appropriate
time/schedule on the LCD touchscreen, as sawn in figure 2. Blue print formed is based on a
set of conceptual and generic principles that are developed in the form of a structured
framework, which can be used as a roadmap for developing lean service concepts.
4. CONCLUTIONS
Companies that implement lean require a framework for their implementation to be successful
and sustainable. Lean thinking has the potential to be applied in the sports service industry as
an effective way to reduce costs and increase customer satisfaction. All of that, cannot be
separated from the management commitment and the improvement culture that is built
continuously. In the case taken, it turns out that lean applications are very useful for
increasing organizational performance. To overcome this problem, a service approach is used
called a new blue print that has been improved based on old weaknesses. Knowledge and
practices and tools used in lean are identified together. For this reason, changes need to be
made in the organizational culture and all human resources, and furthermore, it can be proven
the benefits of lean implementation. This case shows the success of lean applications, whereas
in fact lean works in some cases and not others [19].
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