際際滷

際際滷Share a Scribd company logo

Growing a Business in a Challenging Economy using Lean Practices

Ojiugo Ajunwa
Ojiugo Ajunwa

The document discusses growing a business in a challenging economy using Lean. It introduces Lean consulting firm Ritetrac and some of their Lean services. Lean is introduced as eliminating waste to maximize customer value. Key Lean principles are discussed, including purpose, process and people. Various Lean tools are also summarized, such as 5S, Kanban, mistake proofing, and VOC. The document ends with discussing how various organizations have benefited from Lean implementation.

Convert to study materialsBETA

Transform any presentation into ready-made study materialselect from outputs like summaries, definitions, and practice questions.

1 of 31
Download to read offline
Growing a Business in a Challenging Economy using LEAN FACILITATED BY RITETRAC CONSULTING:: WWW.RITETRACCONSULT.COM.NG
Introductions My name is Patrick Ajunwa MFE,LSSBB,CRIS Am a Process Improvement Consultant/Trainer for the past 15 years+. My roles has been in Training and Consulting. I like assisting businesses to improve their processes for sustainable growth. At Ritetrac Consulting we help organizations deliver operational excellence, process management, diagnostics and Analytics. 2
Contd. Please introduce yourself What is your Job Role? Whats the duration of your work experience? 3
Some of our Services at Ritetrac Consulting Lean Six Sigma Consulting & Training Process Management Operational Excellence Diagnostics and Analytics using MINITAB. ENGAGE ON SOCIAL MEDIA Website: www.ritetracconsult.com.ng Facebook: www.facebook.com/ritetrac Twitter: @ritetracconsult Blog: http://ritetracpm.blogspot.com Instagram:@ritetracconsulting Linkedin: http://bit.ly/RitetracLinkedin 4
Webinar Content Introduction Definition of processes Overview of the Economy Overview of LEAN Who Benefits from Process Improvement Some Lean Tools for process Improvement SIPOC Voice of the Customer (VOC) Process Map Kanban 5S The 8 Deadly WASTE in Business Processes Some Practical Examples of LEAN processes 5
Introduction I have taken time to interview some business owners in the past few months and they all told me that their businesses had slowed almost 40% over the past 10 months. They all confirmed that they are doing nothing different with their advertising and marketing what worked 10 months ago just isnt working as well now, they said. The reason, they felt, is that people have less money to spend. That certainly makes sense. All our living expenses are on the rise. Groceries cost more, utility bills have increased in some places dramatically and the price of a gallon of fuel is through the roof. So it only makes sense that consumers have less to spend on what they may perceive as non-essential services. 6
Contd For the purpose of this webinar, we are going to focus on solving the day to day problems of business processes of organizations for continuous improvement using one of the world most useful tool LEAN 7
What is a Business Process? A business process is a collection of linked tasks which find their end in the delivery of a service or product to a client. A business process has also been defined as a set of activities and tasks that, once completed, will accomplish an organizational goal. 8
What is LEAN? Henry Ford defined the lean concept in one sentence: We will not put into our establishment anything that is useless. 9
Contd The core idea is to maximize customer value while minimizing waste. Simply, lean means creating more value for customers with fewer resources. A lean organization understands customer value and focuses its key processes to continuously increase it. The ultimate goal is to provide perfect value to the customer through a perfect value creation process that has zero waste. 10
Contd To accomplish this, lean thinking changes the focus of management from optimizing separate technologies, assets, and vertical departments to optimizing the flow of products and services through entire value streams that flow horizontally across technologies, assets, and departments to customers. 11
Contd Eliminating waste along entire value streams, instead of at isolated points, creates processes that need less human effort, less space, less capital, and less time to make products and services at far less costs and with much fewer defects, compared with traditional business systems. Companies are able to respond to changing customer desires with high variety, high quality, low cost, and with very fast throughput times. Also, information management becomes much simpler and more accurate. 12
Lean for Production and Services A popular misconception is that lean is suited only for manufacturing. Not true. Lean applies in every business and every process. It is not a tactic or a cost reduction program, but a way of thinking and acting for an entire organization. 13
Contd Businesses in all industries and services, including healthcare and governments, are using lean principles as the way they think and do. Many organizations choose not to use the word lean, but to label what they do as their own system, such as the Toyota Production System. Why? To drive home the point that lean is not a program or short term cost reduction program, but the way the company operates. The word transformation or lean transformation is often used to characterize a company moving from an old way of thinking to lean thinking. It requires a complete transformation on how a company conducts business. This takes a long-term perspective and perseverance. 14
Three Things to Think About Purpose, Process, People Three fundamental business issues that should guide the Lean transformation of the entire organization: Purpose: What customer problems will the enterprise solve to achieve its own purpose of prospering? Process: How will the organization assess each major value stream to make sure each step is valuable, capable, available, adequate, flexible, and that all the steps are linked by flow, pull, and leveling? People: How can the organization ensure that every important process has someone responsible for continually evaluating that value stream in terms of business purpose and lean process? How can everyone touching the value stream be actively engaged in operating it correctly and continually improving it? 15
Question Time Q: Is it only the small companies that always have problems with their businesses. Kindly comment 16
Lean Principles . 17
Who Benefits from Process Improvement? Anyone who has problem to solve including: Industries Healthcare Finance Information &Telecommunication Government Retail Hospitality 18
Contd FUNCTIONS: Customer Service Manufacturing Accounting Sales Operations HR & IT 19
Constraint to Process flow Bottleneck 20
Lean Tools . 21
Contd . 22
VOC . 23
5s . 24
Just in- Time (JIT) 25
Kanban . 26
How to solve problems for good- POKA YOKE{Mistake Proofing} Poka Yoke 27
Profits after LEAN implementation . 28
Some Organizations that have implemented Lean . 29
Our Services Lean Six Sigma Consulting & Training Process Management Operational Excellence Diagnostics and Analytics using MINITAB. ENGAGE ON SOCIAL MEDIA Website: www.ritetracconsult.com.ng Facebook: www.facebook.com/ritetrac Twitter: @ritetracconsult Blog: http://ritetracpm.blogspot.com Google+: www.google.com/+OjiugoAjunwa Instagram:@ritetracconsulting Linkedin: http://bit.ly/RitetracLinkedin 30
Questions/Feedback 31

More Related Content

Growing a Business in a Challenging Economy using Lean Practices

  • 1. Growing a Business in a Challenging Economy using LEAN FACILITATED BY RITETRAC CONSULTING:: WWW.RITETRACCONSULT.COM.NG
  • 2. Introductions My name is Patrick Ajunwa MFE,LSSBB,CRIS Am a Process Improvement Consultant/Trainer for the past 15 years+. My roles has been in Training and Consulting. I like assisting businesses to improve their processes for sustainable growth. At Ritetrac Consulting we help organizations deliver operational excellence, process management, diagnostics and Analytics. 2
  • 3. Contd. Please introduce yourself What is your Job Role? Whats the duration of your work experience? 3
  • 4. Some of our Services at Ritetrac Consulting Lean Six Sigma Consulting & Training Process Management Operational Excellence Diagnostics and Analytics using MINITAB. ENGAGE ON SOCIAL MEDIA Website: www.ritetracconsult.com.ng Facebook: www.facebook.com/ritetrac Twitter: @ritetracconsult Blog: http://ritetracpm.blogspot.com Instagram:@ritetracconsulting Linkedin: http://bit.ly/RitetracLinkedin 4
  • 5. Webinar Content Introduction Definition of processes Overview of the Economy Overview of LEAN Who Benefits from Process Improvement Some Lean Tools for process Improvement SIPOC Voice of the Customer (VOC) Process Map Kanban 5S The 8 Deadly WASTE in Business Processes Some Practical Examples of LEAN processes 5
  • 6. Introduction I have taken time to interview some business owners in the past few months and they all told me that their businesses had slowed almost 40% over the past 10 months. They all confirmed that they are doing nothing different with their advertising and marketing what worked 10 months ago just isnt working as well now, they said. The reason, they felt, is that people have less money to spend. That certainly makes sense. All our living expenses are on the rise. Groceries cost more, utility bills have increased in some places dramatically and the price of a gallon of fuel is through the roof. So it only makes sense that consumers have less to spend on what they may perceive as non-essential services. 6
  • 7. Contd For the purpose of this webinar, we are going to focus on solving the day to day problems of business processes of organizations for continuous improvement using one of the world most useful tool LEAN 7
  • 8. What is a Business Process? A business process is a collection of linked tasks which find their end in the delivery of a service or product to a client. A business process has also been defined as a set of activities and tasks that, once completed, will accomplish an organizational goal. 8
  • 9. What is LEAN? Henry Ford defined the lean concept in one sentence: We will not put into our establishment anything that is useless. 9
  • 10. Contd The core idea is to maximize customer value while minimizing waste. Simply, lean means creating more value for customers with fewer resources. A lean organization understands customer value and focuses its key processes to continuously increase it. The ultimate goal is to provide perfect value to the customer through a perfect value creation process that has zero waste. 10
  • 11. Contd To accomplish this, lean thinking changes the focus of management from optimizing separate technologies, assets, and vertical departments to optimizing the flow of products and services through entire value streams that flow horizontally across technologies, assets, and departments to customers. 11
  • 12. Contd Eliminating waste along entire value streams, instead of at isolated points, creates processes that need less human effort, less space, less capital, and less time to make products and services at far less costs and with much fewer defects, compared with traditional business systems. Companies are able to respond to changing customer desires with high variety, high quality, low cost, and with very fast throughput times. Also, information management becomes much simpler and more accurate. 12
  • 13. Lean for Production and Services A popular misconception is that lean is suited only for manufacturing. Not true. Lean applies in every business and every process. It is not a tactic or a cost reduction program, but a way of thinking and acting for an entire organization. 13
  • 14. Contd Businesses in all industries and services, including healthcare and governments, are using lean principles as the way they think and do. Many organizations choose not to use the word lean, but to label what they do as their own system, such as the Toyota Production System. Why? To drive home the point that lean is not a program or short term cost reduction program, but the way the company operates. The word transformation or lean transformation is often used to characterize a company moving from an old way of thinking to lean thinking. It requires a complete transformation on how a company conducts business. This takes a long-term perspective and perseverance. 14
  • 15. Three Things to Think About Purpose, Process, People Three fundamental business issues that should guide the Lean transformation of the entire organization: Purpose: What customer problems will the enterprise solve to achieve its own purpose of prospering? Process: How will the organization assess each major value stream to make sure each step is valuable, capable, available, adequate, flexible, and that all the steps are linked by flow, pull, and leveling? People: How can the organization ensure that every important process has someone responsible for continually evaluating that value stream in terms of business purpose and lean process? How can everyone touching the value stream be actively engaged in operating it correctly and continually improving it? 15
  • 16. Question Time Q: Is it only the small companies that always have problems with their businesses. Kindly comment 16
  • 18. Who Benefits from Process Improvement? Anyone who has problem to solve including: Industries Healthcare Finance Information &Telecommunication Government Retail Hospitality 18
  • 19. Contd FUNCTIONS: Customer Service Manufacturing Accounting Sales Operations HR & IT 19
  • 20. Constraint to Process flow Bottleneck 20
  • 25. Just in- Time (JIT) 25
  • 27. How to solve problems for good- POKA YOKE{Mistake Proofing} Poka Yoke 27
  • 28. Profits after LEAN implementation . 28
  • 29. Some Organizations that have implemented Lean . 29
  • 30. Our Services Lean Six Sigma Consulting & Training Process Management Operational Excellence Diagnostics and Analytics using MINITAB. ENGAGE ON SOCIAL MEDIA Website: www.ritetracconsult.com.ng Facebook: www.facebook.com/ritetrac Twitter: @ritetracconsult Blog: http://ritetracpm.blogspot.com Google+: www.google.com/+OjiugoAjunwa Instagram:@ritetracconsulting Linkedin: http://bit.ly/RitetracLinkedin 30