Management 17th of October 2013, London Victoriano onde; victor.conde@empresalean.org
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Management 1. history and facts 2. Thinking 3. System esign a. The Leader and the eople 3
Management 1. history and facts 2. Thinking 3. System esign a. The Leader and the eople 4
History and Facts hanged the traditional craftsmanship and devised a method of production that met the needs of society in the early twentieth century. Henry Ford Objective: Economies of scale MSS ROUTION Great success! recision machines & tools Work division Limited product variety Flow roduction Mass production US market Looms oor quality vehicles No success 1900 1915 1935 WWII 5
History and Facts Mass roduction tries to adapt to the changes. Manufacturing emerge as the alternative. Vehicles complexity and product variety merican consumers seeking smaller cars. Start reducing the market share of the Big 3. ostwar Boom (Mass production ideas consolidate) Finance & ccounting reign Big roduction utomation SMLL RS Smaller markets Low resources ash need oor quality Objectives: Quality, costs, delivery terms, flexibility 1 st oil crisis Tahichi Ohno Beat the US TOYOT ROUTION SYSTEM Japanese industry recognizes TS, dissemination begins. Impressive success Training on quality and productivity in the US Supermarket system 1945 1960 1973 1980 6
History and Facts utomotive sales ranking Nº 1950 1970 2002 2003 2005 2006 2007 2008 2012 1 GM GM GM GM 2 Ford Ford Ford Toyota GM (8,4 mill.uds.) Toyota (8,1) 3 hrysler hrysler Toyota Ford Ford (6,2) 4 Studebaker VW VW VW VW (5,2) 5 Nash Fiat aimler- hrysler aimler- hrysler 6 Kaiser-Frazer Toyota S S aimler- hrysler Hyundai- Kia (3,7) GM (8,8 mill.uds.) Toyota (8,6) Toyota (9,2) GM (8,9 mill.uds.) Toyota (8,92) GM (8,32 mill.uds.) Toyota (9,75) 22,6% increase GM (9,29 mill.uds.) rofit 2007 15.043 Mil/$ Loss 2008 1.400 Mil/$ rofit 2009 887 Mil/$ rofit 2011 1.695 Mil/$ rofit 2012 6.760 Mil/$ 7
History and Facts ompany Income(mil _US$) rofit % Toyota 230.201 15.403 7% BMW 76.675 4.279 6% Honda 105.102 5.254 5% Volkswagen 149.054 5.639 4% Nissan 94.782 4.223 4% Gen.Motors 182.347-38.732-21% Ford 172.468-2.723-2% atos acumulados 2007
History and Facts TOYOT IS THE REFERENE MOEL FOR LEN N QULITY Jidoka JIT TS TM LEN OR THE TOYOT WY eming TQM 6 Sigma Shewhart 9
Management 1. history and facts 2. Thinking 3. System esign a. The Leader and the eople 10
Thinking Fujio ho resident of Toyota Brilliant process management is our strategy. We get brilliant results from average people managing brilliant processes. We observe that our competition often gets average (or worse) results from brilliant people managing broken processes. 11
Thinking Why do Thinking cross the Enterprise? Taiichi Ohno 1988 ll we are doing is looking at the time line from the moment the customer gives us an order to the point where we collect the cash. nd we are reducing that time line by removing the non-value-added wastes. ustomer Inquiry ollect ash 12
Thinking One place for everything and everything on its place. Workers know what to do and how they have to do it. If something is not being done correctly, stop doing it until it s fixed. Make only what customers request and when requested. Make what customer requested quickly. Improve everyday. 13
Thinking ll value is the result of a process. Focus horizontally on the value creating processes rather than in the organizations. 14
Thinking FLOW Mnf Quality Logistics IT HHRR. Finance esign ROUT/SERVIE 1 ROUT/SERVIE 2 ROUT/SERVIE 3 ROUT/SERVIE 4 15
Thinking 1. Identify all steps across the whole value stream and eliminate waste 2. Specify what creates value from the customers perspective 3. Make those actions that create value flow 4. Only make what is pulled by the customer just-in-time 5. Strive for perfection by continually removing successive layers of waste 4 5 3 2 1 Source: Thinking Womack & Jones 16
Thinking SYSTEM EFFIIENY Vs INIVIUL EFFIIENY 17
Management 1. history and facts 2. Thinking 3. System esign a. The Leader and the eople 18
System esign, Why & What for Why? is building on a long history of improving the way we organize & do work Japanese culture = worldwide applicable but needs organizational culture: dedication & respect = desirable values to company = proven technology We keep learning 19
System esign, Why & What for What for: - We all look for RESULTS, but do we have to wait until month end to know how well (or bad) we did? - Flexibility in Management. Speed of action. - eople. Involved, committed. Team work. - ontinuous improvement. - ustomer oriented. Value added. ustomer Service. - Shorter lead times: Manufacturing, R&, Supply hain, HHRR, Finance. - Improvement in efficiency. 20
System esign Tools Systems Thoughts Knowledge riven. Spot kaizen - S - SME - ndon boards - roblem Resolutuion - Scoreboards - Empowerment - Quality ircles - Visual Factoryl - TM - oka Yoke - - Now we can try. Mental Model: The prejudices we each have on how the world works, based on our experience, education, temperament and the glasses we use to look at it and that often distort reality. o what I can do!
System esign: Hoshin Kanri System pproach o what I must do!
System esign: NOT just about manufacturing It is about development time It is about innovation It is about effective and efficient support processes 23
Management 1. history and facts 2. Thinking 3. System esign a. The Leader and the eople 24
The eople Respect (three symple questions): o our people know what is expected from them in their position? o they have the knowledge to perform? o they have the tools the execute?
The eople - If you plan for a year, plant a seed. - If for ten years, plant a tree. - If for a hundred years, teach the people. and This about is about YOU, EOLE!! theleader!!! (roverb, Kuan hung, chinese politician)
The Leader W. Edwards eming developed 14 key principles for management and presented them in his book Out of the risis. The first of these principles is: reate constancy of purpose
The Leader tools are required but more important Requires a system, Led by leaders. ág.28
The Leader management and leadership is all about purpose, process and people: urpose: value is solving problems for customers cost effectively. Be clear about customer s purpose. rocess: creating the value streams to deliver this purpose. Improve your processes by eliminating waste, creating flow, pull. eople: managing everyone to enable these value streams to flow. Involve and motivate people: they are crucial to your success.
Thanks for your time Victoriano onde victor.conde@empresalean.org alidad total y organización 5S alidad total y organización 5S alidad total y organización 5S alidad total y organización 5S 30