Enterprise Improvement LEAN Initiative Presentation LEAN Academic Overview

Enterprise Improvement LEAN Initiative Presentation

LEAN Academic Overview • What is Lean (Kaizen) from an Academic definition: ? Lean is the process of designing systems to reduce costs by eliminating product and/or process waste. The emphasis is on eliminating non-value added activities by focusing on the following: what your customers wants, where is the added value, and does the output of the product and/or process meet customer expectations. • Lean is defined by the following five principles: § § § VALUE as specifically defined by the customer Identification of the VALUE STREAM where value is created Efficient and effective FLOW of value through the process Letting customers PULL value from the producer Continuous pursuit of PERFECTION • The goal of Lean implementations in the service/administration areas has been the same one for manufacturing implementations which is providing customers value in the product and/or service provided that meet their expectations.

LEAN Corporate Overview • What is Lean (Kaizen) from a typical corporate perspective: ? Lean is a systematic approach for ensuring that our customers receive exactly what they want; when they want it; with the minimum amount of materials, equipment, labor and space being consumed. By doing this, an organization continuously improves its efficiency and effectiveness. Lean results in increased competitiveness, improved business results, and most importantly, better value for our customers. Lean focuses on eliminating activities that absorb resources and time without creating value.

LEAN Corporate Infrastructure • LEAN Vision Statement: Everyone within the <organization> business enterprise fully embraces, understands and applies Lean concepts. Because of Lean and Six Sigma, customers are beating a path to our <organization> to consume more value-added products/services, upon which we maximize profit. • LEAN Mission Statement: Our mission is to increase customer value and our profitability by driving process improvement through the application of Lean and Sigma methods/tools across all <organization> business enterprise. • LEAN Objectives Statement: – Develop and Build a plug and play Lean Infrastructure. – Use the Infrastructure to Generate Active Projects which Pay Back to Customer and Enterprise – Enhance the environment across the enterprise, which promotes, enables, empowers and identifies the proper change and rewards it.

LEAN – (Kaizen) Process Day DAY ONE As-Is Mapping / Time 8: 00 AM Validation Identification/ Day 2 Objectives Day 3 Objectives Project Overview Customer Value Determination Day 1 Objectives Team F/R & Ground rules As-Is Value /Non Value Analysis As-Is Time Value Analysis Process Walk/ As-Is Cost Data Collection Assessment Noon Lunch 2: 00 PM Calculate Final Review As-Is Metrics Value Streams 5: 00 PM Waste Elimination Process Maps Calculate Initial 4: 00 PM Lunch Data Correlation Construct As-Is 3: 00 PM Enabler Welcome/Intro Champion’s Expectations 1: 00 PM To-Be Mapping/ Identification Process Overview 11: 00 AM Waste DAY THREE Cost Takeout 9: 00 AM 10: 00 AM DAY TWO Other As-Is Metrics Cost Takeout As-Is Process Waste/Cost Check Briefing Day 1 Wrap Up Takeout Briefing Day 2 Wrap Up I D E N T I F Y E N A B L E R S Map To-Be Value Streams Construct Draft To-Be Process Maps To-Be Value/Non Value Analysis Lunch To-Be Time Value Analysis DAY FOUR Enabler Assignment/ DAY FIVE Out brief/ Celebration Risk Assessment Day 4 Objectives Day 5 Objectives Categorize Enablers Determine Functional Prepare Final Out brief Ownership Perform Cost Estimation Lunch Perform Risk Assessment Dry Run Out brief w/ Champion Lunch Present Final Outbrief Construct Proposed Draft Enabler Plan To-Be Process Enabler Plan (Draft) Calculate To-Be Process Metrics To-Be Process Check Briefing Day 3 Wrap Up Briefing Outline Final Outbrief/ Gather Data Day 4 Wrap Up Celebrate Success!

LEAN – Next Steps • Next Steps: – Preparatory Work needed prior to Meeting 1 2 3 Gain Sponsoring Management Commitment Designate a Team Leader & Co-Leader <define roles and responsibilities> Identify SMEs, Key Practitioners, Team Members <obtain participation and commitment> 4 Complete Team Charter Template <draft> 5 Select, Review and Collect needed data 6 Setup a Meeting in the next week with all prior steps completed. – Conducting Meeting Process 1 2 3 4 5 6 Present Lean Overall Complete Team Charter <final draft> Develop a Team Makeup Summary page/paragraph List data references Transform data to Information Trace information back to data references, opportunities, and problems <reverse engineering process> 7 Compile steps 2, 3, 4, 5, and 6 into a Word Document – Send Word Document to Organizational LEAN Group 1 Week prior to the official LEAN Workshop Week