The basis for lean transformation is simple: in using the proven principles of lean, there’s a fundamental, systematic shift in an organization’s expectations, measures, performance, and culture. Lean principles are applicable in all working environments, whether operational or support in nature. All areas of a company can benefit from applying lean principles to ensure lower costs, higher quality, and better service and delivery.
Strategy Deployment
Strategy deployment is a rigorous process that re-focuses an organization on achieving breakthrough process improvement rather than on marginal improvements or maintaining the status quo. It ensures organizations achieve their expected goals and objectives, identify barriers/obstacles, and execute the go-forward strategy necessary to accelerate the transformation.
Extended Enterprise/Supply Chain Migration
Next-level major gains require business entities to migrate lean into the extended enterprise to link enterprise objectives with customers and suppliers. Suppliers and all members of the extended enterprise work to create win-win relationships and linkage within a lean and stable supply base by focusing on the shared value creation process that flows from the supplier, through the enterprise, and into the customer and/or end user.
Supplier Assessment and Development
The lean enterprise needs to take a strategic, systematic approach to working with key suppliers. A supplier assessment helps gauge the supplier’s capabilities and capacity to meet business and lean operating requirements. Supplier development provides a proactive and constructive approach for the development of suppliers and their linked value creation process.
Value Stream Analysis (VSA)
VSA is a combination of lean tools and techniques used to analyze a business process and to prescribe a plan, with a timeline and assignments, for transforming the process and achieving breakthrough results.
Lean Maturity Assessments
The process of becoming lean helps companies significantly impact their customer focus, increase profits, and build a culture of continuous improvement. Periodic assessments support the change process, reinforce new habits, and maximize improvements while minimizing risk. Success indicators include financial health, customer satisfaction, and profitable growth to measure progress and guide future actions and adjustments. The goal is to avoid the risk of failure that can be caused by misplaced priorities, wasted time and effort, waning motivation, and/or a misaligned organization. Assessments can be an initial step, a progress check, course correction, or a planning activity.
Business Value of Lean Transformation
Lean transformation is a strategic initiative that can increase revenues and reduce operating costs. By utilizing lean methods, you can decrease lead times; reduce inventory risk; deliver higher quality at lower prices; and improve company margins, returns, and cash flow. True lean processes optimize operations to improve three key areas: productivity and cost competitiveness; inventory management, asset velocity (the speed with which you make a product, turn over your inventory, or deliver the product to your customer), and flexibility; and quality and customer growth. IBI