Lean Transformation Archives

23Nov 2020 by Steve Musica No Comments

Theory of Constraints

This is a summary of the story and key lessons from the 1984 classic The Goal: A Process of Ongoing Improvement by Eli Goldratt that introduced the world to the Theory of Constraints. Goldratt has published multiple editions of the original book, and also adapted the TOC concept to project management theory with his book Critical Chain, published in 1997. The Theory of Constraints (TOC) is an operations management method that views any system as being limited in achieving its goals by a small number of constraints. Every system has at least one constraint – TOC uses a focusing process to identify and eliminate the constraint, therefore raising the output of the entire system. “No Chain is Stronger Than Its Weakest Link” The Goal: A Process of Ongoing Improvement…

28Apr 2020 by Steve Musica No Comments

The Business Case for Lean

Lesson

Five Lean East case studies that show the benefits of Lean Thinking The Lean East team is focused on teaching and applying proven Lean Six Sigma principles and tools to develop high performing organizations. We focus specifically on organizations that provide customers with a service (i.e. healthcare, government, financial, insurance, education, construction, repairs, etc.) rather than a product. Lean Six Sigma has a long track record of success in manufacturing, but only recently became embraced by service-based industries. Some of our clients use Lean thinking as a strategic differentiator – far surpassing their previous results (and their competition). Some of our clients select us because of our expertise in Lean Six Sigma methodology. Other clients have “no idea what this Lean stuff is about.” Our goal in this post is…

23Feb 2020 by Steve Musica 3 Comments

The Difference Between Push and Pull

Lesson

This post focuses on the difference between push and pull in Lean. The goal of Lean is for every process to “flow value at the pull of the customer.” The key terms in this statement are defined below: [caption id="attachment_3048" align="alignright" width="150"] This symbol represents "pull" in Lean value stream mapping[/caption] The ultimate Customer is the end-user – who the product or service is providing value for. The other customer is the next step in the process. What does the next step need, and when do they need it? Flow refers to how value is created in a process. In a “perfect process,” value is created during every step, without any waste (or delay) in the process. Value is defined by the customer (end-user or next step). Every step…

30Jan 2019 by Steve Musica No Comments

8 Lean Wastes: Transportation vs Motion

Lesson

We enjoy teaching the 8 Wastes of Lean Thinking to our clients and the participants in our training workshops. As instructors, we share examples of wastes from our professional experience in both manufacturing and service-related organizations. Together, we brainstorm ways in which the wastes reveal themselves in our attendees' organizations. One question that gives us pause in every Introduction to Lean Thinking workshop is the request to explain the nuance of two 'movement' wastes - motion and transportation. Motion The motion waste focuses on the movement of people or equipment that is unnecessary. It is any movement beyond the minimum required for completing the process step. The motion waste is typically found within a workspace or process step rather than between steps. Walking to a community printer or searching for information or a tool are…

14Sep 2018 by Steve Musica No Comments

Developing High-Performing Organizations

Summary

Lean East was founded in 2010 with a mission to bring out the best in organizations by bringing out the best in people. We focus on introducing proven Lean Six Sigma improvement methods to service organizations in Maine and New England – in industries including healthcare, government, insurance, construction, and finance. Many of the clients we have partnered with have had a common goal – to improve their culture and performance and provide better customer service. Some client organizations want to improve their processes and provide more customer value with less waste. Others focus more on changing work culture, training their leaders and staff, and improving teamwork. One client wanted to improve in multiple dimensions and move the company from good to great. A common theme with all our clients is…

20Aug 2018 by Steve Musica No Comments

The Toyota Way

Lesson

Lean principles are based largely on studies of the Toyota Production System (TPS) from the early 1980s and influence manufacturing and service organizations across the world today. In 2001 the Toyota Motor Corporation summed up their philosophy, principles, and values in an internal document they referred to as, “the Toyota Way 2001.” The document expanded upon TPS with additional leadership and management practices that have made Toyota one of the most respected companies in the world. Author Jeff Liker visited Toyota and summarized these principles in his 2004 book, The Toyota Way: 14 Management Principles from the World’s Greatest Manufacturer. The book covers Toyota’s history, successes, and ideas with many great Toyota case studies; this post will focus on summarizing Toyota's 14 Principles. How many of these principles are followed…

29Jul 2018 by Steve Musica No Comments

Selecting a Lean Project

Summary

The Lean East team has had several meetings in the past month with organizations new to Lean thinking. The leaders of these organizations want to improve processes and have learned that Lean principles work. But with all the problems and improvement needs in a typical organization, where do you begin? When leaders ask us for input and support for selecting a Lean project, we share our simple project selection matrix. Here are the eight items we review and rate – each either passes or fails. We recommend prioritizing the projects that pass all, or nearly all, of the following criteria: Important to the team and organization: Ensure the project you are considering is related to a critical organizational need. A successful project result needs to matter to…

11May 2018 by Steve Musica No Comments

Understanding Key Performance Indicators

Summary

Key performance indicators (KPIs) are the vital few metrics that define success or failure for a process. KPIs vary based upon the process being studied and the definitions of success for the process. Good organizations understand their KPIs. Better organizations measure them. The best organizations seek to improve them every day. Read on to learn about Key Performance Indicators and how a team or department can use a balanced scorecard of KPIs to support improvement. The initial challenge with KPIs is selecting them properly from the many possible performance indicators available. The second challenge is determining how to measure and share them throughout the organization. Our team has helped numerous organizations establish and measure KPIs. Here are some highlights from the Lean East training module covering the selection…

08Mar 2018 by Steve Musica 96 Comments

The Power of A3 Process Improvement

Summary

The Lean East team helps organizations learn how to use Lean thinking and tools to remove waste from their processes. We prefer to employ a “learn by doing” approach where we train and coach these methods while engaged in organizational improvement projects. If organizations already have an established improvement process we will work within that process and seek to improve it. But if the organization does not have a robust process in place (and most do not) then we recommend using the Lean East A3 Process Improvement tool. Lean thinking Let’s define a few terms first. Lean refers to a philosophy and management strategy focused on customer value and respect for people. Lean is not about layoffs or running the organization on a shoestring. Lean is continually improving the…

06Feb 2018 by Steve Musica No Comments

Team of Teams

Lesson

Retired US General Stanley McChrystal was frustrated. The US battle against the jihadist militant group ISIS (Islamic State of Iraqi and Syria) after the US occupation of Iraq was not going well. ISIS always seemed to be a step ahead of his forces. His forces took too long to process and act on intelligence – by the time the location of an ISIS cell was acted upon the location had long been abandoned. McChrystal was learning that the network structure of ISIS allowed them to adapt more quickly than US forces to avoid capture. While the US had overwhelming resources and a disciplined command-and-control structure, ISIS operated much faster – more like a group of separate franchises with a common purpose. Command Structures The US Military in the…