Lean Management: Business Excellence
Lean management is an approach to running an organization that supports the concept of continuous improvement, a long-term approach to work that systematically seeks to achieve small, incremental changes in processes in order to improve efficiency and quality.
Lean management seeks to eliminate any waste of time, effort or money by identifying each step in a business process and then revising or cutting out steps that do not create value. The philosophy has its roots in manufacturing.
Guiding principles for lean management include:
- Defining value from the standpoint of the end customer.
- Identifying each step in a business process and eliminating those steps that do not create value.
- Making the value-creating steps occur in tight sequence.
- Repeating the first three steps on a continuous basis until all waste has been eliminated.
Short and Long term Benefits:
The results your company can expect to see will differ from that of other companies. It will depend on where you start and what you put into it. But with the right level of commitment and planning, you will start to see some of these benefits in a short period of time. Listed below are some of the more common benefits you can expect to see. Others may present themselves as well.
Improved quality – A lot of the activity in a lean environment is geared towards improving quality. As quality issues arise, problem solving techniques are used to root cause the problem. From there, mistake proofing is put in place to strengthen the process and prevent recurrence. As a result, the quality of your product will be improved.
Improved Visual Management – Another benefit of lean manufacturing is management by sight. If done correctly, your plant will be set up so you can evaluate an entire area with a visual scan. Any abnormalities will stand out and be easy to identify as a problem.
Increased efficiency – Line balancing will ensure each person in the process is working in the most efficient manner. Standardized work will ensure they are doing it correctly following the same method every time. This leads to repeatability and increased efficiencies.
Manpower reductions – One of the major benefits of lean is getting more done with less people. With standardized work and increased efficiencies, the ability to do the job with less people becomes a very real possibility. This does not mean you have to send these people to the unemployment line. The concept of lean would have these freed-up people utilized to perform further kaizen activity, training to enhance skill level, or maintenance of the system once it is implemented.
Easier to manage – The work instructions and standardized work let people know what they have to do and when. This makes managing an area much easier. And problems will still arise. But they will be much easier to deal with in a team environment where the support groups are eager to help solve problems.
Total Company Involvement – Lean is meant to involve the whole company. It is not intended to be put into action in only one area. It is a management philosophy which should include every part of your organization. This helps promote the concept that everyone in the company is part of the team.
Problem Elimination – Lean manufacturing forces you to attack an issue and continue to investigate it until it has been eliminated. Root cause analysis and cross-functional teams are utilized to ensure a problem receives the level of attention it deserves to correct it.
Reduced Space – As part of the waste reduction process, space will be created. Reduction of finished and raw inventory will save space vertically in your racking as well as horizontally across your floor.
Safer Work Environment – Visual management and 5S will help identify when things are out of place. When unnecessary elements are removed from the operation, the workplace becomes much more organized. And an organized work environment is a safe work environment.
Improved employee morale – This is a benefit that may not be realized during the initial stages of your implementation (see resistance below). But once the concept of lean starts to get accepted by the employees, you will see employee morale on the rise. Employee involvement and empowerment will make all members of your company feel like a contributing part of the team. And the reduction of uncertainty in the workplace, as a result of lean, will reduce stress in your team members and lead to improved employee morale.
Organizations belonging to these sectors are highly recommended to implement this standard so that they are able to achieve the same level of quality as required to compete in international markets; Textile Sector, Educational Sector, Information Technology Service Sector, Financial Institutions, Chemical Sector, Industrial Sector, Government Sector, Defence Sector, Professional Training Institutes, Food Sector, Pharmaceutical Sector, Steel Sector, Oil and Gas Sector, etc
- Introduction to Lean Management / Manufacturing through “5 S” (01 Day).
- Advanced training on Lean Management / Manufacturing through “5 S” (Lead Implementer) (02 Days).