BUSINESS CONTINUOUS IMPROVEMENTS
Lean IT
Purpose of this presentation
Knowledge sharing of Lean concept.Introduction of wastes categories.How we apply the Lean concept to our IT
environment so that we could embrace the continuous process improvement culture in ABS
What is Lean ?
Lean developed by Toyota (Toyota Production System) in 1948-1975
Lean focuses on the elimination of waste.
Waste rigorously defined in Lean world is anything does not add value to the final product or service
Values Added and Non Values Added concept
Price is what you pay for, value is what you get.
Warren Buffett.
Value Creation
What our client cares about: providing what they need quickly What our client DON’T care about: How busy or idle our
people/equipment is.
Being smart about how we re-design our important processes to increase the throughput with the same or less labour.
We need to focus on things that are moving along the process is what our client wants.
We need to focus on how quickly our business process convert inputs to outputs that we can put into client’s hand.
Muda, Muri and Muraare Japanese words used to describe major categories of waste
Muda: Activities that consume resources but added no values.
Mura: Workflow is erratic so that you have to alternately hurry up and wait.
Muri: When people are overly stressed
LEAN in IT environmentnot just for manufacturing production
Examples of defects in an BA environment could be any of the following:
Requirements that has to be rewritten Readability in report Late delivery Processes that doesn’t depict as specified Errors in business rules
Reducing defects in our daily operation is a great way of improving process effectiveness:
What causes defects:
Inadequate control measures Unbalanced staffing or inventory (not having
something when it’s needed is a defect) Inadequate training Bad process or product design Inadequate understanding of customer’s needs Poor maintenance
LEAN in IT environmentnot just for manufacturing production
Overproduction Doing more that necessary to meet the goal is a waste. It is
wasteful to create anything before it is needed.Waiting
When your systems go down and response is slow Waiting for approval Applications, servers, networks – downtime is waste A lean operation focuses on eliminating customer waiting
Transportation All transportation of material or information is waste. People
have to move around to deliver services. All travel should be minimised.
LEAN in IT environmentnot just for manufacturing production
Inventory PCs, equipment, servers in warehouse are waste Doing more that is necessary to meet the goal is a waste. It is
wasteful to create anything before it is needed.Motion
People run around to get their work done. Due to poor layout.Extra Procession
Doing things in case we need it. Not understanding what was needed. Redundant steps in processing or approvals that add no value.
Summary
In summary, to know what waste is help you:
1. to see what your process is really doing and
2. helps you to correctly identify potential areas of opportunities for continuous improvement.
Happy Waste Hunting!
