Lean management = Learn management par Klaus Beulker

Lean Management =

Learn Management

Klaus Beulker

Managing Director Terex Cranes Germany

Copyright Institut Lean France 2016

Lean Management = Learn Management

Source: The Machine That Changed the World by J. P. Womack, D. T. Jones and D. Roos


But there are ongoing rumours that the original text looked like:

“We felt that the most constructive step we could take to prevent this development from occurring

would be to undertake a detailed study of the new Japanese techniques, which we subsequently

named “learn production”, compared with the older Western mass-production techniques, and

to do so in partnership with all the world´s motor-vehicle manufacturers. But how?...”

Published Text:

“We felt that the most constructive step we could take to prevent this development from occurring

would be to undertake a detailed study of the new Japanese techniques, which we subsequently named

“lean production”, compared with the older Western mass-production techniques, and to do so in

partnership with all the world´s motor-vehicle manufacturers. But how?...”

Agenda

Introduction

What is Lean Managemen at Terex Cranes Zweibrücken

Examples how Lean at Terex is organized and applied

Change and Learning if Lean Management is applied at Terex

Summary



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Inventory reduction by 35Mio.€

Turns improved from 2 to 4.3

Close the door

Reduce leadtime in SAP

Apply the lean tools

Apply the lean tools: Based on JIT and JIDOKA the lean promise works.

2013 2014 2015

Lean Approach started in September 2014. End 2015: Turns 4.3, Inventory -35Mio.€.


Range of Products Terex Cranes

Telescopic Cranes - Maximum lifting capacity of 100-1000t - Can be used for a wide range of lifting needs

in a variety of terrain (off and on the highway) - Can quickly move to another job

Customer Takt: 1day Cycle time: 40days

Crawler Cranes - Terex is market leader for Crawler Cranes

above 400t lifting capacity (400-3,200t) - Is primarily used in the petrochemical industry,

power plant construction, infrastructure and to build up windmills

Customer Takt: 5days Cycle time: 100days


Operations Terex Cranes Zweibrücken

Operations Team Terex Cranes Zweibrücken:

Safety – Quality – Plant DS – Plant WS – Plant Bierbach – Plant Pecs – R&D – Procurement – HR – TBS

3 Locations in Germany:

Dinglerstraße, Wallerscheid & Bierbach

Around 1600 Team Member

1 Location in Hungary – Pecs

Around 250 Team Member

Steelwork Telescopic Cranes Plant

Steelwork Crawler Cranes Plant

Telescopic Cranes Plant

Crawler Cranes Plant


Examples of Application of Terex Cranes

Telescopic Cranes: Lifting the roof of a building.

Crawler Cranes: Lifting Space Shuttle on an airplane.

Agenda

Introduction




Summary




What is Lean Management at Terex Cranes?

Answers to what Lean Management is: 1. Let the material flow.

2. All life is problem solving.

3. Lead with respect.

4. Touch the product. And – there are 5 laws of nature: 1. Every second decision is wrong.

2. Operator is always right.

3. Not thinking, knowing.

4. Quality first is Quality first.

5. Pay now or pay later.

And for sure Lean Management is the opposite of

what we can see on the picture.


Toyota House reminds us what is the North Star we are aiming for.

Competetive advantage by customer satisfaction through people development.

JIT Teamwork: • Flow • Takt • Pull

JIDOKA Respect: • Stop the line • Seperate man

and machine

Basic Stability

Safety, quality, flexibility, costs, …

Standardized Work and Kaizen Heijunka


Let the Material flow

Ohno, Toyota Production System, page 1:

„All we are doing is looking at the time line. From the moment the customer gives us an order to the point when we collect the cash. And we are reducing that time line by removing the non-value-added wastes.“

Cycle Time

Order Cash

Source: Ohno, Toyota Production System


Leadership, Teamwork and Support is needed in a Lean Management System.

Stop the line

5S

TPM

Yamazumi

SMED

Flow

Pull

Takt

Heijunka

Standards and Visualization

Kaizen

Leadership

Teamwork

Support

Let the material flow

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Agenda

Introduction




Summary




Material- and Informationflow of Crawler Cranes Plant

• Flow

• Pull

• Levelling

• Heijunka

• After Pacemaker Fifo

• Before Pacemaker Pull

• Quality gates

• Visualization and Standards

Informationflow

Materialflow

Incoming Goods Assembly, Painting, Testing Shipping Steelwork


Quality Gates and Stable Teams

Lackierung Q

uali

täts

tor

1

Qu

ali

täts

tor

3

Qu

ali

täts

tor

2

Qu

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6

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Quality Gates are defined for each logical part of the supply chain. Each Quality Gate is defining an area of responsibility for a defined team. The Team is in charge of daily output, quality, standards and Kaizen.

TEREX?


Size of the teams is between 5 to 12 Team members

Assembly Steelwork

Plant Manager

Supervisor Supervisor

Hancho Hancho Hancho Hancho Hancho Hancho Hancho Hancho Hancho Hancho Hancho Hancho

Production Manager


Obeya Room in the Plants

On daily basis plant management is meeting in the Obeya room. Daily Topics: 1. Safety 2. Quality 3. Specific Customer requests for each crane 4. Delivery 5. Engineering Changes The Obeya room gives orientation. On one hand it‘s about managing the day. On the other hand every day people have the opportunity to learn from each other more about the business.


Lean Management Architecture at Terex Cranes Zweibrücken

Hoshin Kanri

Monthly

improving the value stream (flow, tact, pull)

Kaizen workshops

continuous improvement on the shop floor

Daily

Communication and meaningful discussions: what to change, where to go, next step

2 times a year


Hoshin Kanri on a monthly basis

Monthly meeting as a team: Engineering, production, procurement, quality, finance,….

1. Use of an X Matrix make strategy deployment visible. Team leaders and support teams are identified. Everyone is on the same page.

2. Status of scorecard on a regular monthly basis.

3. Milestones in the action plan. critical path identified. Clear picture of the impact of the different activities.

4. The Team identifies the problem, understands the problem, agrees to the problem, address the issue and fix it, using the discipline of root cause analysis (root cause analysis).

The format of the meeting is standardized making sure to have meaningful discussions from the beginning.


Is it a good day or a bad day?

Every Team has a daily target

The team has to visualize the output

If the promise of the hour cannot be fullfilled, the team has to visualize the problem and to share their opinion what the reason could be.

This offers the opportunity to support short term and to have a discussion how the production system works.

Handwritten production loss analysis board


Problemsolving: Using A3 in order to have a structured way to learn.

Each defect offers the opportunity to learn and to improve

Problem description

Short term countermeasure

Thesis and ideas

Checking the thesis and ideas

Ask 5 Why

Introduce Countermeasures

Check if it works

Evaluate and share with your colleagues


Engineering

Visualization of:

Risk analysis of new developments from customer perspective

Customer Request

Field issues

Serial support


Procurement

Visualization of:

Missing Parts

Supplier development projects

Problem solving in Teams

Introduction of Milk Runs


Role of the Teamleader (Hancho)

Go and see (Dojo, Kata)

Understand deeply the working condition and skills

Have a discussion to find opportunities for improvements every day and every TM


Opportunities of improvements or: „Do we show respect?“

Plan – do – check - act

Visualization of:

New ideas of Team Members

Ideas for implementation and evaluation

Action plan


Improving

Improve performance

Improve processes Improve visualization

Improve working conditions and/ or skills

Agenda

Introduction




Summary




Problem Solving as a Driver of Lean Management Implementation

Ressources: Inventory, People, Capacity, Time.

Problems


Leading change is changing how to lead.

Source: Heitger/ Doujak, Harte Schnitte – neues Wachstum

Ability to change

Ne

ce

ssit

y t

o c

ha

ng

e

Learning organisation Teamwork

Secure survival Crisis management

Direction of change


Steps how people learn: „Ohnono method.“

Data

Symbols

220 C/ y

220 Cranes per year

- Information - Knowledge - Problemsolving - Responsibility

- Understanding - Emotional Engaged - Competency - Development and Growth


Change Management

Source: Königswieser, Das Überbringen schlechter Nachrichten

Change

New Identity

Fear,

Unsecure,

Worries Irritation, Rage,

Aggressive

Actual Identity

Sadness Curiosity,

Interest,

Breakup

Frustration,

Depression


Mentor/ Mentee Prinziple or: „Produce people before producing parts.“

Take customer perspective

On the spot

Daily check of standardized processes for deviations

Enquiring and respectful fundamental attitude

Define challenging and reachable target states

Show opportunities and allow to use

Proceed step by step

Run PDCA cycles

Start experimental tests immediately

Secure review and evaluation of results

Telemachos und Mentor

Frequency of problems

Difficulty of problems

Expert knowledge necessary for solving


Gemba walks on a daily basis or: „It is clear, what is important.“

Typical questions on the walk: Good or bad day? Can we comply with the standardized workflow? Which barriers do exist between the target and the current state? How can we overcome these barriers?

Daily Gemba walk: Learning on the shop floor

Act Evaluate

What ergonomic problems the company leaves to operators? What quality problems the company leaves to customers? What flexibility problems the company ignores? What cost the company accepted to spend? What visible problems the company thinks don’t exist?

Plan

Agenda

Introduction




Summary



streng vertraulich

0,0

0,5

1,0

1,5

2,0

2,5

3,0

3,5

4,0

4,5

5,0

90.000

100.000

110.000

120.000

130.000

140.000

150.000

160.000

35

Inventory reduction by 35Mio.€

Turns improved from 2 to 4.3

Close the door

Reduce leadtime in SAP

Apply the lean tools

Apply the lean tools: Based on JIT and JIDOKA the lean promise works.

2013 2014 2015

Lean Approach started in September 2014. End 2015: Turns 4.3, Inventory -35Mio.€.



Critical process performance indicator is the leadtime. By using value stream mapping waste is identified and can be eliminated. Applying the lean tools again and again lead to the expected results.

Continuos improvement has to be organized on the shop floor on a daily basis (go to gemba). Applying lean tools leads to sustainable results if the activities are organized, standardized and practised every day (Dojo-/ Kata- Activities). The improvements are based on behaviour of the leadership team.

Repetition, practising and applying the lean tools change behaviour and mental frameworks. It leads to recognition, respect and trust.

Matrix: „There is no spoon.“

Lean management = Learn management par Klaus Beulker

Leadership & Management

Transcript of Lean management = Learn management par Klaus Beulker