simple lean and vsm training
TRANSCRIPT
Simple Lean andValue Stream Mapping
By: Romains Bos
• Introduction – Simple Lean• Classic Action Workout• A New Approach…Simple Lean• The Concept• Facilitating a Simple Lean Event• Logistics• Sample Agenda• Ground Rules• Value and Waste
• Value Stream Mapping (VSM)
• What is a VSM?• VSM• Question To Ask…• Step 1 – Identify VSM• NPS Team Example• Helpful Hints• Step 2 through to Step 5• Step 6 - After The Event• Foundations of Project Success
Agenda
Focused
Simple Lean
4 Hours
Connecting Customer Values
Brainstorming
Affinitize
Identifying Waste
Prioritize
FocusedTake Action NOW!
Affinitize
Take Action NOW!
Brainstorming
Simplification
Simplification
Connecting Customers
Focused
Connecting Customer Values
Classic Action Workout
4 - 6 weeks of prep
4 - 5 teams of 6 - 8 people
1 week AWO
109 page report-out
The math doesn’t get us there…
4 Hours
A New Approach…Simple Lean
Highly focused session driving simplification and customer alignment
Engage small workgroups (8 - 10 people) for 4 hours• 30 minute training on value, waste
• 2 hour group exercise – identifying how the group delivers value to the customer…and the waste / complexity that gets in the way
• 45 minutes prioritizing actions to address identified waste and complexity
• 45 minutes developing plan to complete top 3 - 5 actions within the next 30 days (Team owns)
Brainstorming Affinitize IdentifyWaste
PrioritizeConnect
CustomerValues
Focused
Comparing TraditionalLean with Simple Lean
Traditional Simple
Scope Wing-to-Wing Value Stream
Focused area within the Wing-to-Wing
Value Stream
Pre-work 4-6 weeks 3-6 hours
Timing of Event 3-5 consecutive days
4 hours
# Participants 3-4 teams w/6-8 people on each
team
8-10 people(1 team)
# Actions 20 – 30 1 – 3
Post Activities 6 months or more 1 – 30 days
The ConceptLeverage transactional lean methods…focus on customer value, and using post-it notes to quickly capture issues
Employees identify and fix their own issues
Limit actions to 30 days or less…small, quick improvements
Parking lot for longer high-priority issues
Events facilitated by MBBs, BBs, LLs… others
It’s value if the customer is willing to pay for it Solutions provided at the right place and time So…activities that add no value are waste (muda)
Value
Unnecessarywaste
Necessarywaste
Rework Missing information Lack of / Poor
communication Information that does
not (from the viewpoint of the customer) add value to a good or service
Reviewing the business rules
Quality checks Building the metrics Resources consumed by
inefficient or non-essential activities
Designing the organizational tools Transforming the information Assembling the part Creating the drawing
Value
WaitingWaiting
Excess InventoryExcess Inventory
TransportationTransportation
Over ProductionOver Production
Excess MotionExcess Motion
Over ProcessingOver Processing
DefectsDefects
Seven Types of Waste IT examples
• Performance and Availability Issues
• Poor technical designs
• Unused HW, SW and / or licenses
• Multiple versions of the same reports or objects
• Required fields not really needed
• Not enough Poka-yoke• Buggy code
• Too many screens• Manually moving data from
one system to another
• Poor integration design• Utilizing non-standard
integration tools
• Over-solutioning (unused features)
• Duplicate functionality• Table scans of complete
databases
• More than one screen / system for the same transaction
• Input fields not organized
• Credit application awaiting approval
• Invoices waiting to be paid
• Missed customer due dates
• Data entry errors
• Duplicate entries
• Shipping hard copies that requiring signatures
• Running a credit check for every customer inquiry
• Looking / Searching for data and info
• Printing material for personal use
Transaction examples Product examples• Expensive machine running
at 30% capacity
• Material between operations and process steps
• Buffer & safety stock inventory
• Poor quality or fit of materials
• Handwork…polishing, deburring
• Conveyance of any materialsand tooling
• Conveyance systems
• Sub-assemblies and components between feeder and main line
• Operators bending, twisting, turning and reaching
• Machines “cutting air”• Robotic motion getting home
• It’s a 4 hour event• Leverages basic lean methods…focus
on customer value, and post-it notes to quickly capture issues
• Employees ID and fix their own issues• Actions limited to 30 days or less…
small, quick improvements• Parking lot for longer high-priority
issues
Simple Lean…what makes it work?
Use of Simple Lean in Transactional
HR Offer ProcessScope: Recruiting
Actions: • Add checklist / banner to form • Plan / schedule recruiting process LEAN Future Action:
• Schedule Lexus Nexus Lean Event
# of Participants: 17VSM and Issue Identification
Issue Prioritization Improvement Plans
Facilitating a Simple Lean Event
Lets get started!
Logistics
• Reserve Conference Room (1 week prior to event)
• Invitation to employees that will participate in the event
• Confirmed responses from invite (Lock in participants)
• Supplies for the event: Flip Charts Markers Yellow , Pink and Green Post-It notes Video Overhead Telephone (Virtual session) WebEx connection (Virtual session) Presentation material
Sample Agenda (include breaks as needed)
8:00 – 8:30 Training on value and waste
10:30 – 11:15 Prioritizing actions to address identified waste and complexity11:15 – 12:00 Developing plan to complete top 1-3 actions within the next 30 days (Team owns)
8:30 – 10:30 Group exercise: identifying how the group delivers value to the customer…and the
waste / complexity that gets in the way
· No Laptops / Blackberries or any other type of fruit device during group sessions
· Be on-time
· One conversation at a time
Everyone Engaged
One Team
Respect
Creativity· Be open to ideas from everyone
· Take some big swings
· One person - one voice - no position or rank
· The only dumb question is the one that’s not asked
· No silent disagreements
· Focus on the customer, not the function
· No blaming / finger pointing
Ground Rules
Value and Waste
Training Material included in a separate file
30 minutes
Value Stream Mapping (VSM)
TOTAL VALUE STREAM
YOUR PROCESSCUSTOMERRECEIVES
What is a VSM?
All of the actions, both value-added and waste, currently
required to deliver value to the customer.
CUSTOMERDEMAND
Purpose: VSM
Facilitator / Participants:• Helps visualize the entire process
• Identifies how value flows to the customer
• Shows where flow stops and inventory builds
• Helps us understand and improve big business processes…NPI, ITO, and OTR - MAKES WASTE VISIBLE
• Identify issues, problems and ideas as the value stream map is constructedTool to Identify Opportunities for Improvement
Pre-R0R0
Opportunity
R2Approval
to Bid
R3Approval to Sign
Contract
Contract Signed!
R1Approval
for Resources
Questions To Ask…
• Who is the customer (Internal or external?)• What is the value (Product, service,
transaction) that your group delivers to the customer?
• How do you actually bring this value to the customer?
• Does the work always follow a defined pathway?
• Does it always happen this way?• Does the work get stuck anywhere?• How do people know what to do?• What would the customer think if they
worked here?
60 minutes
Step 1 – Identify VSM
Facilitator:• constructs VSM with
participant input
Participants (w/guidance):• Participants identify
issues, waste, problems, ideas by attaching pink sticky notes to the wall (no discussion…just write it on a sticky note!)
Process Step 1
Process Step 2
Process Step 4
Process Step 5
Process Step 6
Process Step 3
Start Stop
Level 1 Detail
Time / effort = 20%
Idea
Issue
Issue
Idea
Issue
Issue
Issue
Idea
Issue
Issue
IdeaIdea
Idea
Issue
Issue Issue
Time / effort = 80%1 Hour
NPS (Net Promoter Score) Team Example
Request for New Survey
Rational meeting on new survey
request
Create Survey
Definition Guide
Review Guide with
Business
Finalize the
Design Doc
Translate Survey
Questions(Language
IM Builds the new Survey
Schedule Survey
Request
Quality HQ Approval
Business Approval
Survey Created
Upload File from
Business Segment
No formal process in
place
Reactive as
opposed to
Proactive
Scheduling survey request with IM
Difficult to understand
Segment Responsib
ilities Unclear
Surveys are Set up
for new segments
but not existing
ones
Poke Yoke Definition
Guide
Unable to validate
languages
Rework – Redundant
testing
Send Survey to Customer
Leverage Existing Survey
Designs
IM Impact testing
Quality HQ user
testing
Business user
testing
EXTERNAL CUSTOMER
INTERNAL CUSTOMER
Product = New NPS Survey
Info supplied
is not complete
No mandatory conditions,
total manual process
No Instructions on how to
fill out Guide
No Training Doc
Quality Issues
related to language mistakes
Inconsistency between segment
questions
Centralized shared
services for Translations
Consolidate Testing
requirements eliminate
redundancy
Rework
Rework
Helpful Hints
• Don’t let participants argue about issues…just have them write them down on pink sticky notes
• Don’t try to map re-work loops on a VSM…just identify the rework as an issue
• Keep the VSM high level…the point is to help the group expose issues
• In general, VSM steps represent chunks of work separated by potential delays (Approvals, meetings, handovers, waiting for info, etc.)
• Think in terms of Relevancy…not Pinpoint Accuracy
Supporting Doc’s
driven by Customer Approvals
Customer signs but docs not given to
biller
Step 2Rationalize / affinitize pink sticky notesMake them actionable
Delay in Contract
handoff to Biller
Driven by Customer Approvals
Delay in
BOL
Delay in getting SignedCerts
Entitlement
Calendarvs.
Business Days
Late delivery of
signed documentsVariation
order signed but Delay in original docs
Delay inEX-WORKS
Delay in Tradespher invoice to
Biller
Baseload not yet
achieved
Late delivery of
signed documents
Incorrect Freight Billing
Material Shipped Early or
Cancelled
Incorrect Tax used
Waiting for Invoice
Approval
Invoice doe not meet letter of credit
Late delivery of
productCustomer negotiating
with customer
Facilitator / Participants:• Convert problems/issues into action statements
• “Responsibilities unclear” becomes “Clarify responsibilities”• “Redundant inputs on form C” becomes “Eliminate redundant inputs on
form C”• “Lots of rework” becomes “Eliminate or reduce rework”• Replace the “issue /problem” sticky with “action” sticky• Don’t argue about issues…just convert to actions
60 minutes
Variation order
signed but Delay in original docs
Supporting Doc’s
driven by Customer Approvals
Delay in Contract
handoff to Biller
Customer signs but docs not given to
biller
Delay in
BOL
Entitlement
Late delivery of
signed documents
Baseload not yet
achieved
Late delivery of
signed documents
Incorrect Freight Billing
Material Shipped Early or
Cancelled
Invoice does not
meet letter of credit
Late delivery of
product
Negotiating with
customer
Delay inEX-WORKS
Delay in Tradespher invoice to
Biller
Delay in getting SignedCerts
Driven by Customer Approvals
Waiting for Invoice
Approval
Incorrect Tax used
Theme 1 Theme 2 Theme 3 Theme 4 Theme 5
Step 2 – Cont’dFacilitator / Participants:• Sort actions into common themes by asking:
• What actions are similar?• Is this action connected to any of the others?• Keep moving the Sticky’s around until consensus is reached
Variation order
signed but Delay in original docs
Customer signs but docs not given to
biller
Step 2 – Cont’d
Delay in
BOL
Entitlement
Late delivery of
signed documents
Baseload not yet
achieved
Late delivery of
signed documents
Late delivery of
product
Negotiating with
customer
Delay inEX-WORKS
Delay in Tradespher invoice to
Biller
Delay in Contract
handoff to Biller
Incorrect Tax used
Theme 1 Theme 2 Theme 3 Theme 4 Theme 5
Facilitator / Participants:• Eliminate redundant actions…”thin the herd”
• Combine similar actions into a single action • Eliminate duplicates• Regroup themes if needed• Result should be a relative few actions organized by themes
ALL of Step 2 = 1 Hour
Very quick fast paced exercise!
Step 3Transfer actions to impact vs. effort chart (Use flip chart)
45 minutes
Easy (30 days or less)
Hard
Low Impact
High Impact
Step 4Create action plan for top 1 - 3 High impact / low effort actions (Use flip chart)
Action Owner Due Date
Action 1 Participant 1
April 16
Action 2 Participant 2
May 1
Action 3 Participant 3
May 6
• Achieve group consensus on top 1 - 3 actions • A participant in the room must own the action, but can certainly complete it
with the help of others • Due dates no more than 30 days out• Also identify 1 - 2 critical actions beyond the scope of the event, if
applicable
Critical actions needed – beyond scope of Simple Lean
Relocate test facility…
Simplify T&L system…
30 minutes
Step 5Obtain manager approval / support on actionsImmediate yes or no at the end of the session
Action Owner Due Date
Action 1 Participant 1
April 16
Action 2 Participant 2
May 1
Action 3 Participant 3
May 6T
RR
15 minutes
Step 6 - After The EventRecord session
Capture 30 day actions, plus out-of-scope actions
Return to close-out 30 day actions when complete
Foundations of Project Success
Scope and Requirements
Sch
ed
ul
eProject Success
Qualit
y
Cost
Integrity and Safety
The End
Questions?
Comments?