Gotta Go Lean Blog

Lean System vs. Lean Tools

Would you go to a doctor whose credentials included only the following? Completed a six year program at ‘Scalpel University’ Certified in ultrasound technology Developed a medication distribution robot for hospitals  What about one who only focused on the theory of healing, but never actually learned how to read an x-ray or has yet to work with a real, live patient? The point is that being a good doctor requires both an understanding of the theory Read more…

Administrative Processes

Administrative processes substantially contribute to a company’s costs. Obviously, it depends on the company, but estimates commonly attribute 60-80% of expenses to administrative processes. Administrative processes are the office tasks that are required to keep a company humming along. Administrative processes include human resources, marketing, and accounting. Basically, anything that entails managing the information that supports a business is an administrative process.

Work-In-Process

Work-in-process (sometimes written as work-in-process and sometimes called work in progress) is a product or service that is partially completed. These goods have had something done to them, so are no longer considered raw materials or component parts. Lean attempts to minimize the amount of work in process to keep the total inventory in the company at a minimum. Work-in-process ties up working capital, and it reduces a company’s responsiveness. Work-in-process translates to a longer Read more…

Variation

Variation is the enemy of processes. Variation in inputs or in the process itself causes variation in the output of the process. And that variation is perceived as poor quality. The layman’s definition of variation is simply fluctuation. More advanced definitions of variation categorize it in two ways. Common cause variation (also called noise) is the variation inherent to the system. Special causes are the external, unexpected factors that pop up from time to time Read more…

Waste of Transportation

Transportation waste is the unnecessary movement of parts, double handling of materials, or shuffling of inventory to get access to the right components. Transportation waste is one of the seven wastes that Taiichi Ohno identified as barriers to flow. It is obvious why moving parts further than necessary is wasteful. Transportation takes time. There is also the frequently overlooked fact that people often have to make round trips, adding to the delay. It is surprising Read more…

Stopwatch

Everyone, of course, knows what a stopwatch is. They may not, though, understand why someone is standing over them with one. In a Lean company, processes are based on facts and data. One of those facts is the time it takes to accomplish a task. Unfortunately, people who are highly resistant to being observed will likely never become accustomed to seeing someone standing over them with a stopwatch. For most people, though, the timer can Read more…

Specifications

Specifications are the stated design parameters of a product or service. Specifications can cover any of a variety of features, from physical dimensions, to operating range, to battery life. Some specifications are given with a margin of error, such as “12.00 +/- 0.10 inches”. Other specs are given with a maximum or minimum, such as <250 ppm of a contaminant. Some specifications are dictated by government regulation, while others are driven by market requirements or Read more…

Repeatability

Repeatability is the ability for the same individual or team to get identical results from a process time after time. Essentially, repeatability is the opposite of output variation. When processes are not repeatable, the problem falls into three basic categories. A variation in inputs causes poor repeatability. A poor process causes poor repeatability. The tools or measuring devices are flawed. This, of course, assumes that the operator is attempting to follow the process. If they Read more…

Reaction Plan

A reaction plan is the series of steps that you would take in response to a specified abnormal condition. A reaction plan helps to minimize damage. It reduces the time between the occurrence of a problem and a stopgap. While a reaction plan is important, there is one big shortcoming. The problem with a reaction plan is that it is a workaround. The implication is that you have identified a risk but have not done Read more…

Quality

In Lean, quality is often considered to be “good parts”. That is important because quality parts are a necessary condition to create flow. In a broader sense, quality has several different meanings. Conformance to Spec. Does the product do what it says it will do? Does it match the physical characteristics you say it has? Grade. What is the perceived quality of the product? Do designer labels really add to the quality of a product, Read more…

Productivity

Productivity is the ratio of output to input. The basic equation is: Productivity = Output / Input When the output is high relative to the inputs, the process is thought of as productive. While there are some standard productivity metrics, such as parts per labor hour, the choice is really yours. The key is just to make sure that both outputs and inputs are measurable and that they make sense. For example, in posting definitions Read more…

Production Plan

A production plan must answer four basic questions: What are we going to make? What does it take to make it? What do we have? What do we need? The answers to these four questions form the basis of a production plan. 1 A production plan prioritizes the production needs of the organization, and balances that with the capacity of the company to produce those products. A production plan crosses many functions of a company, Read more…