A few ways to take the next step toward your Distribution or Manufacturing organizational LEAN Transformation.
5 Basic LEAN Enterprise Philosophies:
- No product is made until the next customer “downstream” requires it
- Quality is designed into the product and process, not inspected in
- Employees are an integral part of the business enterprise, not extensions of machines; employee empowerment is good.
- Inventory hides problems and must be eliminated
- There is a relentless commitment to banishing waste and striving for perfection.
The General Principles of LEAN
- Safety compliance – very safe, no hazards. Rigid adherence to policies. Full government compliance
- Just-In-Time (JIT) Production – produce only when needed.
- Six Sigma Quality – scrap and rework must be eliminated
- Empowered Teams – production teams identify sources of waste in the value stream and are empowered to act and remove the waste.
- Visual Management – transparency of information in widely readable formats.
- Pursuit of Perfection – the relentless search for waste and low quality and the continuous activity of eliminating waste and solving quality problems.
The 7 Wastes:
- Wasted movement
- Production of defective parts
The 5 S’s of Safety, Order and Cleanliness:
- Sort – separate and eliminate waste
- Straighten – arrange all essential items with clear markings
- Scrub – maintain immaculate cleanliness
- Systematize – make cleaning and organizing a routine practice
- Sustain – stay committed to the first 4 S’s and drive continuous improvement
Value Stream Mapping (process workflows) – involves understanding every aspect of your process from Suppliers through Manufacturing and/or Distribution and to Customers. This understanding helps identify the waste so that it can be effectively eliminated.
Your Transformation to a LEAN Enterprise requires a Championship Mentality!
- Leadership is an essential component
- Personal transformation will be required
- Let people know what to expect
- Be firm. Give them time. But not too much!
So now, how does this apply to your organization? Do you have wasteful processes? Do you duplicate data entry? Does your organization carry extra inventory? Do you have a hard time finding, lot tracking or rotating inventory? Do you have too many paper processes, or a lack of transparency or real-time reporting? Does human error introduce waste that can be eliminated by embracing Wireless Automation technology?
If any of these apply to your organization, please Contact Admiral Consulting Group for more information. Admiral Consulting Group, known as one of Microsoft’s best Dynamics Partners in New Jersey, New York City, Pennsylvania and the East Coast is your Microsoft Dynamics GP, SL, NAV and CRM partner of choice.