is your office a lean office

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As Lean continues to gain momentum in North America, more and more business are starting to realize that the benefits of Lean are not limited to just the shop floor. Companies across all industries have applied the concepts of Lean methodologies to their estimating, contracting, new product design, accounting, human resource, and administrative functions. In doing so, they have noted impressive gains in internal efficiencies, customer satisfaction, on-time delivery and new business growth. The concept of waste reduction can and does apply to any process. Think for a moment how we can move and process information in a service environment. The value creating steps are only those that the customer considers of value. Consider the process of buying a cup of coffee, for example. 1.) Drive to the coffee shop 2.) Park your car 3.) Walk to the store 4.) Get in line 5.) Wait for your turn to order 6.) Order coffee 7.) Wait for coffee 8.) Pay for coffee 9.) Return to car 10.) Drink coffee Your experience may be different depending on a few variables but it looks basically the same. Of all those steps in the process of buying a cup of coffee, only the very last step, the enjoyment you get from drinking coffee is of value to you. So in this case, if we were the owners of such an establishment, our focus would be to improve all of the non-value added steps (again, from the customer’s perspective) to reduce the overall lead-time. The same logic is applied in the office area. In any transactional process there is value added activity and non-value added activity. As a lean practitioner and continuous improvement expert, our job is to identify non-value activity and eliminate it where possible. In a Lean environment waste is considered the enemy; we can’t stop and won’t stop until it is gone. So what is a Lean Office? A Lean Office means optimizing your way of working in a manner that requires the absolute minimum in resources (human, materials, surface, office machines, IT, etc.) to fulfill customer expectations. This approach, therefore, guarantees increased office output and production capacity, improved knowledge and information flow, raised customer satisfaction levels, reduced errors, and an office that is more streamlined and balanced, thus making your office more agile. This brings to mind a rather good article I read in the Economist magazine some time ago entitled “Nomads at Last”. The article discussed how technology is changing the way people work and live as it relates to business and offices in general. What do you NEED for your office? With Lean, we first need to understand the “mindset” as a way of thinking as opposed to a tool. Many get this wrong speaking of the Lean methodology as “the Is Your Office Lean? Making Every Minute Count (Continued on page 2) About Robert Clarke Robert has over thirty years of leadership experience. He is a technology and business visionary with executive and hands-on experience in automating multi-million dollar enterprises with full P&L responsibility. He has a strong record of success in creating robust IT architecture and infrastructures especially as it relates to Enterprise Resource Planning implementations, and Continuous Improvement Initiatives. He has the proven ability to bring the benefits of IT to solve complex business issues while managing costs and risks. Robert has a proven record of profitability in entrepreneurial ventures. Robert is always looking for consulting and work opportunities. To contact Robert send an email to [email protected].

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Page 1: Is Your Office A Lean Office

As Lean continues to gain momentum in North America, more and more business are starting to realize that the benefits of Lean are not limited to just the shop floor. Companies across all industries have applied the concepts of Lean methodologies to their estimating, contracting, new product design, accounting, human resource, and administrative functions. In doing so, they have noted impressive gains in internal efficiencies, customer satisfaction, on-time delivery and new business growth.

The concept of waste reduction can and does apply to any process. Think for a moment how we can move and process information in a service environment. The value creating steps are only those that the customer considers of value.

Consider the process of buying a cup of coffee, for example.

1.) Drive to the coffee shop2.) Park your car3.) Walk to the store4.) Get in line5.) Wait for your turn to order6.) Order coffee7.) Wait for coffee8.) Pay for coffee9.) Return to car10.) Drink coffee

Your experience may be different depending on a few variables but it looks basically the same. Of all those steps in the process of buying a cup of coffee, only the very last step, the enjoyment you get from drinking coffee is of value to you. So in this case, if we were the owners of such an establishment, our focus would be to improve all of the non-value added steps (again, from the customer’s perspective) to reduce the overall lead-time.

The same logic is applied in the office area. In any transactional process there is value added activity and non-value added activity. As a lean practitioner and continuous improvement expert, our job is to identify non-value activity and eliminate it where possible. In a Lean environment waste is considered the enemy; we can’t stop and won’t stop until it is gone.

So what is a Lean Office? A Lean Office means optimizing your way of working in a manner that requires the absolute minimum in resources (human, materials, surface, office machines, IT, etc.)

to fulfill customer expectations. This approach, therefore, guarantees increased office output and production capacity, improved knowledge and information flow, raised customer satisfaction levels, reduced errors, and an office that is more streamlined and balanced, thus making your office more agile.

This brings to mind a rather good article I read in the Economist magazine some time ago entitled “Nomads at Last”. The article discussed how technology is changing the way people work and live as it relates to business and offices in general. What do you NEED for your office?

With Lean, we first need to understand the “mindset” as a way of thinking as opposed to a tool. Many get this wrong speaking of the Lean methodology as “the

Is Your Office Lean? Making Every Minute Count

(Continued on page 2)

About Robert ClarkeRobert has over thirty years of leadership experience. He is a technology and business visionary with executive and hands-on experience in automating multi-million dollar enterprises with full P&L responsibility. He has a strong record of success in creating robust IT architecture and infrastructures especially as it relates to Enterprise Resource

Planning implementations, and Continuous Improvement Initiatives. He has the proven ability to bring the benefits of IT to solve complex business issues while managing costs and risks. Robert has a proven record of profitability in entrepreneurial ventures.

Robert is always looking for consulting and work opportunities. To contact Robert send an email to [email protected].

Page 2: Is Your Office A Lean Office

(Continued from page 1)

Lean,” as if it were something that we can buy and apply as we do software today. Once we understand the Lean is a “mindset,” it then becomes easier to conceptualize that it can apply to any type of business or area within business. Lean practitioners know that waste is the enemy. It prevents us from providing the customer what he or she really wants and is willing to pay for. Where we have a process we have the possibility that waste exists. The challenge is really in understanding first what waste looks like and second how to eradicate it. Many of the tools used to identify and remove waste from manufacturing environments can be equally effective in transactional processes. Certainly the methodology is the same.

1.) Define the value from the customer’s perspective

2.) Understand your process and identify the value stream

3.) Eliminate waste

4.) Meet the customer’s demand

5.) Make the work flow

6.) Level the work and pursue perfection

7.) Continue to improve

How much waste exists in your office? Well typically there are eight wastes in an office environment. For example, when a quote is received with incorrect

or insufficient information, it creates waste called a correction, because additional time is now required to obtain and correct the information. Another waste is called extra-processing, like creating excessive reports or re-entering the same data in multiple locations. Underutilization of software systems is another form of typical waste. Software should be designed to streamline the process. If your software is not, get rid of it and replace it with something that works for you rather than against you. Other wastes are overproducing; like creating paperwork in advance (i.e. stockpiling manuals), inventory - which is created when we batch process transactions or reports, waiting for an approval or for information from others, excessive motion of people, and transportation of paperwork.

How can you start to eliminate waste in your office? The process of eliminating waste starts with mapping the value stream. A value stream is all of the steps, value added and non-value added, which are required to bring a product or service to a customer. Customers can be either internal or external. After mapping the value stream, you can determine where the best opportunities for improvement are and create a future state or road map for improvements.

Every office has the potential to achieve efficient flow throughout all of its processes. However, doing so requires deliberate efforts and hard work. Start by tackling just a few key areas within your office, those one or two processes that cause continual headaches for you. Even a small process improvement can yield enormous gains in productivity, quality, and customer satisfaction. So dream big and start small. Remember that a journey of a thousand miles begins by taking the first step. If you need help getting started and taking that first step, then contact me!

To get started call:

570-840-8870