Cutting Waste: How Lean Thinking Improves Efficiency in Operations

WASTE! The Bane of many an operations professional's existence.  

I do remember studying in chemistry class that there is a way to calculate how to perfectly mix compounds, like the perfect amount of chocolate milk powder to add so that you get as little sediment at the bottom of the glass of milk as possible, but I never could master the technique.  So what is a next best alternative?  I say we look to the practices of Lean.

What Is Lean?

Lean management is a methodology that aims to maximize value for customers while minimizing waste and inefficiencies in processes. It originated from the renowned Toyota Production System, where efficiency, adaptability, and continuous improvement were foundational1. This approach transcends industries, shaping manufacturing, service sectors, healthcare, and beyond.

Key Principles of Lean Management

Value Identification: Identifying value is the cornerstone of Lean Management. It involves understanding customer needs profoundly. Active engagement with customers helps discern what aspects of a product or service truly matter to them.

Value Stream Mapping: This visualization tool allows organizations to dissect their processes and identify areas for improvement. By mapping the entire value chain, from raw materials to end product/service delivery, teams can highlight bottlenecks, redundancies, and inefficiencies within the process flow.

Continuous Improvement (Kaizen): Kaizen, the Japanese term for continuous improvement, emphasizes ongoing enhancement of processes, products, or services. Employees at all levels actively participate in identifying areas for improvement, fostering a culture of reflection and innovation.

Lean Practice: Starting with the Work

Fundamental to operations steeped in Lean thinking and practice is an in-depth understanding of the specific work to be done. This starts with three categories:

  • Value-Added Tasks: These tasks directly add value to a product or service.
  • Essential but Non-Value-Added Activities: These activities do not add value but are necessary to complete the value-creating work.
  • Waste: Any action that creates no value for the customer3.

Two of the main benefits of Lean Operations are:

  • Efficiency: By reducing waste and streamlining processes, companies optimize their operations and achieve better results.
  • Profitability: Lean operations lead to cost savings, improved quality, and faster delivery times, ultimately enhancing profitability4.

Lean thinking empowers organizations to cut waste, enhance efficiency, and create value for both customers and stakeholders. By embracing Lean principles, businesses position themselves at the forefront of innovation and operational excellence.

Remember, continuous improvement is the heart of Lean—always strive for better!

Comments

Post a Comment

Popular posts from this blog

No More Squirrels: The Power of Organization to Boost Productivity and Well-Being in Your Work Environment

Image
Work has Changed....except Whether we work from home, in the office or a hybrid model, there is one thing has NEVER changed about work during these last few crazy years.  We still find ourselves juggling multiple tasks and deadlines in the midst of total chaos. I propose that, although having an organized work environment might seem like a luxury we can't afford, taking the time to declutter and arrange our workspace can actually be a game-changer, positively impacting both productivity and well-being.  Let’s explore some of your benefits of an organized work environment and how it can transform the way you work and live. Get More Done: An organized workspace can significantly improve your productivity. When everything is in its place, you can find the tools and resources you need quickly and efficiently, reducing the time wasted on searching for items. With a clear and clutter-free desk, you'll experience fewer distractions, allowing you to focus better on your tasks. Moreover
Read more

SPC – Not just for the Shop Floor

Image
  Statistical Process Control was designed to keep our processes as lean and consistent as possible and I was introduced to this on the shop floor when I was involved in the investment casing industry. When I left the shop floor, I continued to use this process to look at how I did what I did.   In sales it was looking at calls per day or visits per month, we could see that there was a number that, if we reached it, would help us get as close to our sales goal or exceed them. In a customer service role I had, we were able to determine how long we should let someone wait for their appointment before we check in and/or get necessary information to give them a better idea of when they will be taken care of.   (For us It was 5 Minutes by the way) When I was supervising a customer service team, one of the most effective use of SPC was tracking “on hold times” which was one of the biggest indicators of an agent who needed more training or at least some attention.  So , be proactive w
Read more