THIS IS LEAN - Dataföreningen Kompetens · What is lean? • Way of working • Philosophy •...

www.thisislean.com @LeanOnMyself

THIS IS LEAN

Niklas Modig Stockholm School of Economics

@LeanOnMyself

www.facebook.com/niklasmodig

@niklas_modig


What is lean?

•  Way of working •  Philosophy •  Approach to improvement

•  Approach

•  Systems thinking

•  Culture •  Quality system

•  Way of life

•  Method

•  Production system

•  Strategy

•  Eliminating waste

•  System for understanding

•  Mind-set

•  Values

•  Management system

•  Tool box


High level of abstraction

Low level of abstraction

Fruit

Pear

Whole Piece

Apple

Green Red


Three central choices


Alison thinks she has cancer

Local doctor’s surgery

Mammography & ultrasound

Breast clinic Breast clinic Cytology

WaiCng WaiCng WaiCng WaiCng

42 days

First contact

Diagnosis


Sarah feels a lump in her breast

One stop breast clinic

2h

Diagnos Diagnosis First contact


Any difference?

2h 42 days 24h =1008h

500 $mes faster WHY?


Two different views on efficiency

www.thisislean.com

42 days

First contact

Diagnosis



Waiting Waiting Waiting Waiting


RESOURCE EFFICIENCY à FOCUS: RESOURCE

www.thisislean.com

Filming the “source”

RESOURCE EFFICIENCY à FOCUS: RESOURCE

www.thisislean.com

42 days

First contact

Diagnosis





FLOW EFFICIENCY à FOCUS: FLOW UNIT

www.thisislean.com

Filming the “receiver”

FLOW EFFICIENCY à FOCUS: FLOW UNIT


Two different strategies

Resource efficiency Flow efficiency

Focus Resources / funcCons Customer / unit

Goal High capacity uClizaCon Fulfil needs

OrganizaCon Parts / ”Islands” System / ”Ocean”

Competence Specialists / “depth” MulC-‐competence / “Width”


What shall we prioritize first?

RESOURCE EFFICIENCY FLOW EFFICIENCY

HIGH CAPACITY

UTILIZATION

LOW CAPACITY

UTILIZATION

WASTE

LONG THROUGH-PUT TIME SHORT THROUGH-PUT TIME


Flow efficiency

Resource efficiency

WHY?

www.thisislean.com

42 days





Maximize capacity

utilization

Maximize capacity

utilization

Maximize capacity

utilization

Maximize capacity

utilization

Maximize capacity

utilization

What happens when “a system” is busy? à  A diagnose will take long time à  We have to handle many patients at the same time à  We have to restart the diagnose many times

First contact

Diagnosis

www.thisislean.com

1 2 3 4

Flow efficiency

THE OPTIMAL PROCESS

Free capacity

Free capacity

Free capacity

Free capacity

100% utilization

100% utilization

100% utilization

100% utilization

What happens when “a system” is busy? à  Things will take long time à  We have to handle many things at the same time à  We have to restart the value adding process many times

Resource efficiency


Different indirect effects


Through-‐put Cme Long Short

Number of units Many Few

Restarts Many Few


Focus Resources / funcCons Customer / unit

Goal High capacity uClizaCon Fulfil needs

OrganizaCon Parts / ”Islands” System / ”Ocean”

Competence Specialists / “depth” MulC-‐competence / “Width”


Resource efficiency

Through-‐put Cme Long

Number of units Many

Restarts Many

Resource efficiency drives ”system waste”

Forget, frustraCon, rework, search…

Difficult to handle, Under-‐capacity... Quality problems, no system responsib…

Failure demand

à  UnsaCsfied customers à  UnsaCsfied personnel à  Waste

NegaCve result Resource efficiency

Focus Resources / funcCons

Goal High capacity uClizaCon

OrganizaCon Parts / ”Islands”

Resource efficiency

Focus Resources / funcCons

Goal High capacity uClizaCon

OrganizaCon Parts / ”Islands”

Competence Specialists / “depth”


Three sources of inefficiency

Many restarts

Long throughput

time

Many flow units

Over-focus on resource efficiency

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed

Secondaryneed


The efficiency paradox By NOT focusing on maximizing capacity utilization, MORE capacity will be available

Value-‐added work

(Primary need)

Value-‐added work

(Primary need)

Total capacity (100%)

Superfluous work (Secondary need)


The efficiency matrix



Flow efficiency

Resource efficien

cy

Low High

Low

High



Flow efficiency

Resource efficien

cy

Low High

Low

High

Strategy to

increase re

source efficien

cy



Flow efficiency

Resource efficien

cy

Low High

Low

High

Strategy to increase flow efficiency


This is lean = an operations strategy

Flow efficiency

Resource efficien

cy

Low High

Low

High


Flow efficiency

Resource efficiency


How to do the “how”?

Flow efficiency

Resource efficien

cy

Low High

Low

High

Current state

Future state

How?


?


Just-in-time and Jidoka 89:30

5 1 SCORE

Perfect understanding of: •  The process / the system •  + / - •  Progress


Welcome to Stockholm School of Economics!


How can we develop operaCons where everyone “sees” everything and has perfect progress control all the Cme?

ONE CLICK AWAY à ONE LOOK AWAY


Monitor the progress of the

system

Monitor the outcome from “my island”

Flow efficiency

Resource efficiency


When is an organisation lean?

Flow efficiency

Resource efficien

cy

Low High

Low

High


+

time

1 2


+

time

1 2

How?


0 6

ACTION REACTIONPROACTION

1 2 3 4 5


1 2 3 4 5

0 6


NORMAL FLOW

1. SET


1 2 3 4 5

1 2 3 4 50 6


NORMAL FLOW

2. TEST1. SET


1 2 3 4 5

1 2 3 4 50

A

6

B


3. EVALUATE

DEVIATION

NORMAL FLOW

2. TEST

DEVIATION

1. SET


1 2 3 4 5

1 2 3 4 50

A

6

B


3. EVALUATE

DEVIATION

DEVIATION+

NORMAL FLOW

2. TEST

DEVIATION

-

X

1. SET

NORMAL OUTCOME

X

X

DEVIATION


1 2 3 4 5

1 2 3 4 50

A

6

B


3. EVALUATE4. ANALYZE

DEVIATION

DEVIATION+

NORMAL FLOW

2. TEST

WHY?DEVIATION

WHY?

-

WHY?

X

1. SET

NORMAL OUTCOME

X

X

DEVIATION

WHY?


1 2 3 4 5

1 2 3 4 50

A

6

B


3. EVALUATE4. ANALYZE5. LEARN

DEVIATION

DEVIATION+

NORMAL FLOW

2. TEST

WHY?DEVIATION

WHY?

-

WHY?

X

1. SET

NORMAL OUTCOME

AHA! AHA!

AHA!

X

X

DEVIATION

WHY?AHA!


1 2 3 4 5

1 2 3 4 50

A

6

B


3. EVALUATE4. ANALYZE5. LEARN6. IMPROVE

DEVIATION

DEVIATION+

NORMAL FLOW

CHANGE

2. TEST

WHY?DEVIATION

WHY?

-

WHY?

X

1. SET

NORMAL OUTCOME

AHA! AHA!

AHA!

X

X

DEVIATION

WHY?AHA!

www.thisislean.com

THE LEARNING

LOOP


Flödese!ektivitet(%)

Utgångspunkt

Utgångspunkt

Tid

Dynamiskt mål(kontinuerlig förbättring)

Dynamiskt mål(utvecklas hela tiden)

The learning organisation

Flow efficiency

Time

Current state

Current state

A dynamic state “con$nuous evolu$on”


ProacCve learning

ReacCve execuCon

Monitor the progress of the

system

Monitor the outcome from “my island”

Flow efficiency

Resource efficiency


THANK YOU!

THIS IS LEAN - Dataföreningen Kompetens · What is lean? • Way of working • Philosophy •...

Documents

Transcript of THIS IS LEAN - Dataföreningen Kompetens · What is lean? • Way of working • Philosophy •...