LEAN TRANSFORMATION CASE STUDY

SITUATION OF THE CLIENT COMPANY

• Company
AmXXXC (client's

22% name classified) is

>35% Bench size to

Total Labor
One of the leading
Indian Software
company with
Labor Cost
development centers

>75%
in more than 10
geographies .
• For last 3 years the
Operating Cost
<10% 10%
overhead cost for
the organization is
Drop In
Net Profit sky-high that led to
Market
unparalleled
Share
operational cost in
the industry.

OBJECTIVES OF PROGRAM

Sr. # OF QNS
OBJECTIVES # OF # OF # OF %
LEAN TECHNIQUE REBASELNING (INR
No. OF PROGRAM METRICS
/ YR.
ACCOUNTS PROJECTS IMPROVEMENT
CR)

7 Waste Management,
1 Improve % Efficiency 5 2 5 50 10 to 15 0.4
VSM

% Bench/ Competency 7 Waste Management,

2 1 2 5 10 15 to 20 0.31
Mapping VSM

3 Span of Control Load Leveling 1 2 5 10 10 0.23

Value Stream
4 VSM, BASES 3 2 5 30 10 0.7
Equilibrium

Supply Demand
5 LEAN Analytics 4 2 5 40 10 0.23
Equilibrium

Volume-Complexity
6 Standardization 3 2 5 30 10 to 15 NA
Equilibrium

LEAN TRANSFORMATION PROGRAM DEPLOYMENT

LEAN TRANSFORMATION LEAN TRANSFORMATION LEAN TRANSFORMATION

PILOT PRIORTIZATION DIAGNOSTICS LEVER ESTABLISHMENT

LEAN TRANSFORMATION
LEAN TRANSFORMATION LEAN TRANSFORMATION
‘LE’ RELEASE
PMO GOVERNANCE SOLUTION REFINEMENT
ARCHITECHTURE

LEAN TRANSFORMATION
LEAN TRANSFORMATION LEAN TRANSFORMATION
CLIENT TEAM
‘LE’ RELEASE EXECUTION RE-BASELINING
ENABLEMENT

RESULT OF PROGRAM IMPLEMENTATION

56.41% 0.02

55.00% 0.14

53.49% NA

28.13% 0.17

27.45% NA

23.88% NA

23.53% 0.37

21.54% 0.28

18.03% 0.23

11.59% 0.03

8.62% NA

7.95% NA

12.20% 0.07

20.59% 0.35

21.43% NA

23.68% 0.12

43.24% 0.04
LEAD TIME REDUCTION / EFFICIENCY IMPROVEMENT
YES
If it is Define requirement in SRS for Design the application
BA collects the Do functinal & financial feasible products requirement to be
Start requirements from the feasibility study developed.
Client .
Review the design
No
No
Resolving any issues that END
may arise with the new If If Design is
approved
system.

HIGH LEVEL PROCESS

YES
Training end users and
document the system.
MAP
Articulate the business
processes and procedures No

System is installed at end

use.
Total 17 Steps Creating prototypes

No

Different type of testing is Unit testing is performed as

If Bugs If Prototype is
done to report the bugs . per requirements. Coding
reports approved

YES YES

DETAILED PROCESS MAP

1 4
8
BA collects 2 3 5 6 7 9 10 11 12 13
the Functional If To find Define SRS Partition
Find Financial If
Start requirements Feasibility feasibl
Solution Feasibility feasi profitabilit requiremen requirements into
from the e
Study ble y t h/w &s/w software
Client .

14
Application Designing
18
23 22 21 20 19
29 28 27 26 25 24 17 16 15
Design Design
Database N/w Desig Review LLD Review the design Design HLD
Guideline n
approv

Designing Designin design ed

Designing appro
g ved

30 31 32 33 35 36 37 38 39 42 43
34 40 41 44
Create Start Training, Articulate Prototyp Divide the Do unit testing
Maintenance, & Creating Coding as per
contingency processes and e
work into
Operations plant procedures prototypes aproved
requirement
plan module

53 46 45
55 54 50 49 48 47
52 51 Testing of Assembling of
Resolving any issues Training end users QA approves Bugs Testing of Demonstration whole module
System is installed presen
that may arise with and documentation s/w error whole system to BA assembly
at end use. t
system. free
of system.

Rework Activity Value Add Activity Reducible Activity VA = 36 steps Total 55

End steps
Non-Value Add Activity Eliminable Activity Automatable Activity NVA = 19 steps

TIMELINE FOR PROCESS

Rework Activity Non-Value Add Activity Value Add Activity Eliminable Activity Reducible Activity Automatable Activity
30-40 Days 20-25 Days 120 Days 20 Days 30-40 Days 5-10 Days

VALUE STREAM MAPPING PROGRAM

Process Steps
Diagnostic Phase

Non-Value Add & Value

enabling Steps Value Add Steps
Time and Motion Study

Eliminable Reducible Automatable

Steps Steps Steps

Eliminate the Reduce time for Automation

Solution Refinement this steps
Steps

AFTER IMPLEMENTING SOLUTION: MODIFIED PROCESS MAP

BA collects
Functional To find Partition
the If If
Find If If
Financial requirements into
Start requirement Feasibility feasi feasi profitabilit Define SRS
s from the Study ble Solution Feasibility
ble y requirement h/w &s/w software

Client .

Application Designing

If IfDes
Desig ign Review the design Design HLD
Database Guideline Review
N/w Designing n Design LLD apro
Designing Designing design
aprov ved
ed

Start Training Articulate Protot

Create Creating ype Divide the Do unit
,Maintenance, processes and Coding
contingency plan prototypes aprov work into testing as per
and Operations procedures
ed module requirement
plant

Testing of Assembling
Resolving any issues Training end users System is installed QA approves Bugs Testing of Demonstration whole of module
that may arise with and documentation at end use. s/w error free prese whole system to BA assembly
system. of system. nt

VA = 36 steps Total
End NVA = 4 steps 45 steps

RESULT OF PROJECT IMPLEMENTATION

Responsible
Activity Type of Activity Timeline
Person
Step 2 Non-Value add 2 Months
After Before

Step 6 Eliminable 2 Months

Step 10 Non-Value add 2 Months
Step 12 Non-Value add 2 Months
Step 16 Non-Value add 2 Months
Step 20 Eliminable 2 Months
Step 21 Reducible 2 Months
Step 26 Non-Value add 2 Months
Before After
Step 27 Reducible 2 Months Sr. Project
Step 28 Non-Value add 2 Months Manager
Step 32 Automatable 1 Months
Step 34 Reducible 2 Months
Step 37 Non-Value add 2 Months
Step 40
Step 41
Eliminable
Non-Value add
2 Months
2 Months 180 148
Step 43
Step 44
Eliminable
Non-Value add
2 Months
2 Months
Days Days
Step 47 Reducible 2 Months
Step 52 Automatable 1 Months

Contact info : connect@pursullence.com; sonal.c@pursullence.com Created by: Chaitrali Dhongade(CSSBB)

Proprietary and Highly Confidential. 2018 Pursullence Business Solutions. All Rights Reserved.