Lean Transformation in the Rail Industry. Kevin Orton, Head of Business Development Unipart Rail Karen Beardsley, Director Unipart Expert Practices

Transcription

1 Lean Transformation in the Rail Industry Kevin Orton, Head of Business Development Unipart Rail Karen Beardsley, Director Unipart Expert Practices

2 Today we are going to provide you with an insight into: Lean transformation in the rail industry What is Lean transformation? How is Lean applicable to the rail industry Provide you with some examples of Lean transformation being applied and the benefits realised

3 What is Lean? Many people would recognise Lean tools and techniques

4 But Lean transformation is much more..

5 Lean is a philosophy of working that focuses on the customers requirements and aims to improve performance in Quality, Cost, Delivery and Staff Satisfaction It does so by: 1) Identifying the customers and the corresponding value streams 2) Continuously striving to eliminate waste, variability, inflexibility in the business system 3) Offering the principles and tools to reduce those losses and combining them to form a coherent system 4) Taking the Long Term view Lean is a journey of Continuous Improvement

6 To improve performance, Lean will relentlessly eliminate waste, variability and inflexibility Business flows (INPUTS) Business system (INHIBITORS) Performance Indicators (OUTPUTS) People Quality Process Material Waste Variability Inflexibility Cost Delivery Information People Satisfaction

7 What are variability, waste and inflexibility? Variability Waste Inflexibility

8 In all operations, there is an element of waste which must be minimised Value added Waste Elements of work Incidental work

9 Lean has been described as 5 principles:

10 Lean is applicable in any business environment PEOPLE... with right skills at right time in line with business requirement. SYSTEM PROCESS... drives lean behaviour through... standard operations which use of common data which is make continuous improvement accessible to all users. opportunities visible. efficiency, productivity, responsiveness, synergies, elimination of waste focussed on what the customer wants

11 An example of Lean transformation..

12 How is it applicable in a rail environment Suppliers Purchasing Forecasting & Inventory Management Depot Stores Vehicles leaving depot to meet diagrams Vehicle Cleaning Fueling Train Maintenance Design & Implement processes & systems across the total value stream to improve flow through the removal of waste using a proven methodology Material supply processes to support & add value to the maintenance teams Highly visual monitoring of performance

13 Engagement to Improve Maintenance and Overhaul Exam Lead time Reduced by 50% Productivity 38% reduction in man hours Quality 40-50% reduction in defects Units out of traffic Reduced by 23% People Lean leaders Lean Capability Engaged employees Team working

14 Engagement to improve the Supply Chain Material Availability 98% at point of use Inventory Optimised inventory 98% stock accuracy Material supply 95% supplied to point of use Visits to hatch reduced by 60% Storage capacity 40% increase People Lean leaders Lean Capability Engaged employees Team working

15 Lean can be utilised to design new depots Working with the contractors to design Lean principles into the layout from Day 1 to: Validate conceptual design Make recommendations for future proofing Make recommendations for redevelopment of each functional area

16 People Building leadership and Lean capability across all levels of the organisation Build knowledge and skills through training, coaching and structured capability assessment We Learn... 10% of what we read 20% of what we hear 30% of what we see 50% of what we see and hear 70% of what we discuss 80% of what we experience 95% of what we teach others. Ref.: William Glasser, M.D.

17 The correct approach will achieve high levels of employee engagement and sustainable improvement Performance through Engagement Unipart turns the corner in lean implementation in that it delivers employee engagement, culture change and improvement that is sustained over time

18 Video Case Study

19 Many people try to implement Lean and have some short term success but few achieve long term sustained improvements Only organisations that truly engage and inspire their employees produce world class levels of innovation productivity and performance. Employee engagement is the difference that makes the difference. Engaging for Success: A report to Government by David McLeod & Nita Clark 2009 For long term sustained improvements and to build a culture of continuous improvement a holistic approach focussed on employee engagement is required

20 In summary Lean transformation with the right approach and methodology can deliver: Sustainable benefits Embedded skills and methodologies with employees Tangible results A culture of continuous improvement

21 When selecting a Lean Partner consider A proven track record in your sector A proven methodology for developing and implementing Lean in rail A proven ability to develop Lean capability Experts at developing exceptional levels of employee engagement Someone who does not Do it to you but guides and supports your learning to do it yourself Consultants should have Lean skills and rail expertise

22 Who are Unipart Rail?

23 Thank you for your time Any questions?

24 Contact details Kevin Orton, Head of Business Development Karen Beardsley, Director for Unipart Expert Practices