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Thoughts on a lean manufacturing implementation Strategy?
We're going to be implementing a lean manufacturing system at our company, and are looking for any thoughts/tips on creating an implementation strategy. Our old system was integrated 15 years ago, and its time for an upgrade. Unfortunately, nobody on our executive team has gone through an implementation like this before. Any tips would be most helpful.
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6 Answers
Phil, a few thoughts ....
1. Lean is as much a culture as it is a tool for eliminating waste. Do you just want to update your old system? If so, then you'll put a new process in place that will gradually become outdated like the one you now have. Or do you want to update it and then have behaviors in place in your workforce that continuously drive waste from what you have created?
2. Lean links very well with continuous process improvement.
3. Be sure to include approriate change management elements in your strategy.
4. Leadership begins at the top. Your executive team must unequivocably support the change. Have whatever discussions you need to behind closed doors, but your executive team must present a consistent supportive unified front to the rest of the organization.
5. If you are just introducing lean to the organization and nobody has done it before, bring on someone who can help you plan your strategy who has done it before. False starts can be deadly.
6. Engage and empower those who are doing the work.
Best of luck!
What type of system are you currently utilizing? A Kanban pull system would be a good approach with RF scanners. A solid Production Control team is key so that the system flows and is followed through at every step. Each card should be bar coded so that they can be scanned at every station it touches from the time it enters the station until the time it leaves so that Production Management can track the progress through WIP and into Finished Goods. These cards will then start the cycle over once they are pulled at the re-order points from the bins in shipping.
I have not implemented, but participated in the startup. Motivation and a strong desire for improvement top down, bottom and sideways are critical in getting this off the ground. There has to be over 90% buy-in else it can go south very fast. Management has to be committed and be driving the change as well. Ranks should not be pulled during implementation. There should be a strong game plan on the roadmap and a strong follow-through. It is important to note that that lean is not a project – with a definitive start and end date – it is a continuous improvement and should be treated that way.
This may not be the most efficient process but here goes.Thw exectives need a broad understanding of LEAN and have complete faith that it will improve the business and it does not happen over night.Each level down the food chain ( sorry for the pun) needs more information / training until you get to the so called woker bees the actual individuals that will part of the project.Management to recognize what the gropu has accomplished and communication is key. The worst thing you could do is spend time and money only to find out that it cannot be completed due some regulation or somthing else.Lastly try to improve a small area first don't try to fix the whole company overnight.Hope this helps
Considering the fact that your organization has already decided to implement lean,I would not suggest anything related to committment, discussion, leadership etc. etc. but some pure supply chain approaches:
Map everything: I think the first critical step to implementation of lean is to map your processes. Start with process flow diagrams for all the sub processes, then develop a current state value stream map for the end to end process. Obviously, without visibility into your processes you can't figure out what should be your future state in a lean envoirnment and that will come only from your process maps and current state value stream maps.
External vs internal resources: While companies may be tempted to hire external "Lean experts", you can never have a successfull lean implementation without involving and evolving your internal resources. Even before you start mapping the processes, involve the people on the shopfloor. There is a detailed approach to it, but the gist is, make them aware of the lean principle and make them provide inputs for the process maps. The process maps developed from inputs by the shopfloor people obviously tend to be more accurate and reflect the "actual" current state. Also, these people know what are the typical and regular bottlenecks in the process
Decide on the type of future state: This depends on what kind of future state process you want to have and obviously depends on various factors, most important being what you manufacture, what is your demand pattern etc. Perhaps the Lean leader at your organization already has this information and can help you chalk out the future state based on this. There is no "fit for all" lean future state formula, you need to analyze what is your current manufacturing strategy, layout, product variety, demand, supplier locations, raw material flow patterms and lot of other stuff to prepare an exact future state strategy. It is at this point that your external resource is most useful. He/She has probably seen/implement many lean implementations and knows different requirements for different industries
Since this is an "Upgrade" of an older system, there must be a solid reason it's being upgraded. Lack of performance is likely to be the reason. What generally accompanies lack of performance is lack of confidence in future outcomes. This subjective perception must be overcome through hard objective data. That necessary data is only available through Root Cause Analysis determining exactly what's not performing properly within the system now. Here the more likely candidate is not inefficiency but rather ineffectiveness. This ineffectiveness parasite can raise its ugly head in many different forms and situations, duplicity, redundancy, improper directives, etc. Many of the issues may not be physical but rather ineffective policy and procedural directives. Each one of those will cost unrecognized and untold dollars annually. Implimentating any system at this point that will improve your efficiencies will only result in your wasting money more quickly and with less effort than ever before. You really need to look for the ineffectivness issues through a proper and thorough RCA, identify them, address and eliminate them prior to any efforts implimentating Lean upgrades.
I fully understand that Lean concepts take into account effectiveness, but not as thoroughly as Six Sigma methods (and others). Identify, Address, and Eliminate your budget parasites. Only then will the Lean Upgrade have the opportunity to render the results your management is looking for. Now, go back to many of the other recommendations and assure that your management is fully aware of your objectives and priorities, and make sure they understand so you can get their "Buy In". Also, if you want to keep their buy in, Keep them Informed. Though they may not be on the ground floor with the specific issues, they are an essential team member, let them understand that you are aware of that. Then begin your RCA investigation and start on your path to being the company hero.
Good luck, it's a very tough road ahead of you for one with experience.
Larry Ellis
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