The document discusses lean transformation and success. It outlines the goals of companies as revenue, profit, and cash flow. It then discusses lean concepts like Heijunka, Jidoka, TPM, flow, poka-yoke and various other lean tools. It shows how implementing these lean concepts through a pull system and standardization can increase profit from 3% to 10% by reducing costs like direct material costs, supply chain costs, and transformation costs. Finally, it discusses the business philosophy of continuous improvement through challenging oneself, genchi gembutsu, kaizen and teamwork to meet customer expectations.
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Lean Transformation Case Study
1. Lean transformation and the success
Lutfi Apiliogulları,
General Manager
Lutfi.apiliogullari@gmail.com ( 0 532 253 43 36)
2. The Goal
What is the goal of the companies ?
1-Revenue 2-Profit 3-Cash Flow
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
3. The Goal
The House of VITO The Strategy of VITO
LEAN Organization
The right suppliers
Heijunka Jidoka TPM
Operational Excellence
Flow Poka&Yoke QRS The best people
SMED QAN P&L
PULL PDCA Perf.Mng World Class opr.systems
KAIZEN & TRAINING Performance based management
Standard 5S Visual Mngmt.
Value Stream Mapping Cont. Imprmnt & Development Programs
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
4. The Goal
SUPPLIERs IRENA IRENA IRENA
SUPPLIERs SUPPLIER GROUP CUSTOMER
PO
PO PO
RAW Material Supplier Finished Goods Customer
Supermarket Supermarket Supermarket Demand
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
5. End to End Pull System
SUPPLIERs IRENA IRENA IRENA
SUPPLIERs SUPPLIER GROUP CUSTOMER
PO
PO PO
RAW Material Supplier Finished Goods Customer
Supermarket Supermarket Supermarket Demand
Immediate Response Immediate Response
Shorter LEAD Time Shorter LEAD Time
Min Level Min Level
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
6. End to End Pull System
SUPPLIERs IRENA IRENA IRENA
SUPPLIERs SUPPLIER GROUP CUSTOMER
PO
PO PO
RAW Material Supplier Finished Goods Customer
Supermarket Supermarket Supermarket Demand
Immediate Response Immediate Response
☞ Shortest Lead time between customer order Time shipment
Shorter LEAD Time Shorter LEAD and
Min Level Min Level
☞ Standardized stock level and increased stock turn
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
7. The Story and its effect
REVENUE
DMC : Direct Material Cost
100% Best in class and limited number of suppliers.
PROFIT 100%
97% PROFIT
SG&A
90% MSCC : Material Supply Chain Cost
SG&A 90%
TC End to End pull system implemented, stock cost reduced / cash
83% flow increased
81% TC
MSCC
76% DMC MSCC 76% TC : Transformation Cost
DMC 73% KAIZEN culture and standardization in al area of business. LEAN
OPERATIONS. Waste elimination.
SG&A : Service & General Adm. Cost
Research & 4P
PROFIT
BEFORE AFTER Profit increased from 3% to 10%
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
8. The Goal
Business Philosophy Customers Expectations
Challenge Quality
Contunial
Genchi Gembutsu
Imrovement
Golden Triangles
KAIZEN of customer expectations
Team Works
People
Mutual trust & Flexibility Competiveness
respect
We CHALLENGE ourselves to build the highest quality products at the lowest cost thru GENCHI GENBUTSUthe
process by doing KAIZEN with TEAM WORK and mutually TRUST and RESPECT with all parties in order to meet
our Customers Expectations.
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com
9. The Goal
The difference between AIM and DREAM is ;
Dream requires good sleep to see it,
AIM requires SLEEPLESS nights and efforts to
fulfil it.
THANK YOU
Lutfi Apiliogullari , GM 0 532 253 43 36 lutfi.apiliogullari@gmail.com