Lean Training

Module Task Information

What is Lean?

The relentless pursuit of the perfect process

through waste elimination

• An evolutionary search for better processes that is never

complete.
• A strategy for maximizing value for the customer.
• Straightforward principles tied to deceptively difficult
execution.
• A set of principles that can apply to any process.
Starting with basics…
The word Lean has 3 Core Purposes

ü Create Value
As defined by the Customer

ü Focus on Process
A value-stream creating Process Flow that begins with “Pull” from the Customer.

ü Eliminate Non-Value Activity (Waste/Muda)

“Look at the time-line from the moment the customer gives us an order to the point when we collect the cash
and reduce that time-line by removing non-value added wastes to create a LEAN process”
~Taiichi Ohno
Founder, Toyota Production System
Why implement Lean?

• Improve performance
• Increase capacity
• Increase quality through simplification
• Increase customer/market
responsiveness through cycle time
reduction

Customer satisfaction = business prosperity

Identifying Waste (Muda)
PEOPLE
7 Types of WASTE: TOM-WIDE
Motion

Waiting Extra
Processing Waiting
Transportation
TYPES
OF
Inventory

TY
Defects WASTE Inventory
Over

QUALI
Production
Defects Over
Transport-
Production
ation
Motion
Extra
QUANTITY
Processing

“Lean” Targets the Waste and Eliminates It ... QUICKLY!

Coffee Shop Example

Enter to Order Coffee Pay Receive your

Coffee Shop exchange ticket

Order Look for a Enjoy your

Preparation table coffee
 Coffee Shop Example
WAITING WAITING DEFECTS

Enter Coffee Order Coffee Pay your Receive your

Shop Order exchange ticket

Order Look for a Enjoy your

Preparation table coffee
WAITING DEFECTS TRANSPORT-
MOTION MOTION ATION
 Introduction to Lean
The 5 steps to Lean Thinking …
2
Map the
1 Value Stream
Specify Value
Specify value
Value is what the customer is
willing to Pay for!

Coffee Shop value =

3 Beverage/food, place to
Establish sit/work/socialize
5
Work to Flow
Perfection

4
Implement
Pull
 Introduction to Lean
The 5 steps to Lean Thinking …
2
Map the
1 Value Stream
Map the Value Stream
Specify Value

Map all of the steps…value added &

non-value added…that bring a
product of service to the customer
3
Establish
5
Work to Flow
Perfection

4
Implement
Pull
Why Map a Process?
Any Process has at least three versions

What you THINK it is: What it ACTUALLY is: What it should be:
 Introduction to Lean
The 5 steps to Lean Thinking …
2
Map the
1 Value Stream
Establish Flow
Specify Value

The continuous movement of

products, services and information
from end to end through the process
3
Establish
5
Work to Flow
Perfection

4
Implement
Pull
Flow is…
• Movement of products, services and information down the
value stream

• Objective is continuous flow as product, service and

information is transformed by continuously adding value

• Flow is created by eliminating Queues and Stops and

improving process flexibility & reliability

Before After
Receive Order Write Down Process Order
Order

= 14 I =5 = 10
50

5 Days 5 Minutes
 “Real World” Flow at Drive Thru
Before After
Interminable queues inside and Takt Time – 1min
outside
One single Piece Flow
WAITING

1 Car 1 Car 1 Car Picking 1 Car

Ordering Paying Up Food Exiting

WAITING
 Introduction to lean
The 5 steps to Lean Thinking …
2
Map the
1 Value Stream
Implement Pull
Specify Value

Nothing is done by the upstream

process until the downstream
customer signals the need
3
Establish
5
Work to Flow
Perfection

4
Implement
Pull
Implement Pull
• End customer initiates pull process
• Each step in the process takes the product it needs, when
needed from the proceeding process
• Only the amount required is taken
• No action is taken until the downstream customer initiates it

One more
Okay please!

Pull: Customer centric

supplier customer

For the most part, “Pull” comes naturally in a transactional environment

– provided the customer is driving the activity.
 Introduction to lean
The 5 steps to Lean Thinking …
2
Map the
1 Value Stream
Work to Perfection
Specify Value
The complete elimination of waste so
all activities create value for the
customer

3
Establish
5 Flow
Work to
Perfection

4
Implement
Pull
Perfection cycle time

• Perfect output months

• is delivered immediately days
• is defect free
hours
• is delivered one request at a time
• is produced without waste minutes

• Kaizen is the road to perfection… seconds

continuous improvement

Continuous Improvement Never Stops!

EXAMPLE: Sunday’s Ice Cream Sundaes
SPECIFY VALUE
Sunday’s Basic Process: Issues:
Sunday’s Ice Cream Sundaes provides high Waste
quality, custom sundaes and a fun, social place to
enjoy them with friends! WAITING Wait for customer to decide Melted sundaes if customer does
on order not hear name called, incorrect
MAP THE PROCESS orders, dropped sundaes as
Take order customer tries to find table
ESTABLISH FLOW Wait time
• Where wait can be reduced/eliminated Process payment Long line at order counter,
• How to re-purpose staff and layout of ice crowding at pickup window, long
cream parlor to maximize flow wait for sundae to be made
Make sundae
IMPLEMENT PULL
• Use online ordering and inventory technology WAITING
to ensure no excess materials ordered,
Call customer’s name Call name again
WAITING
preparation of product in response to order
• Measuring tools to ensure correct amount of Give Sundae to Customer Sundae melted
material used each time
WASTE
WORK TO PERFECTION Order wrong
Continue to monitor key metrics to ensure Solutions:
continuous improvement, waste reduction, and • Online ordering – pre-payment and more accurate orders, fewer cashiers and more
customer satisfaction! sundae-makers
• Table delivery – no melted sundaes and no line at pickup window
• Online menu/more menus in-store--reduce wait time at counter
• Store inventory system tracking to suggest supply re-order timing and volume
Importance of Lean for You!

• Lean can be applied to anything – your process for making

coffee, your routine for completing school work, etc.
•The more you think about and practice Lean, the more you’ll
begin to see opportunities for process improvement in many
areas of work and life.
•Regardless of where your career and life take you, Lean can
help you approach challenges efficiently and effectively!