CONSULTING
Lean Engineering
The Inception Thru Evolution for Today
The Birth of "Lean"
Lean spawned from the world of Japanese automotive manufacturing in the middle of the 20th century; born from the concept of operational efficiency within Toyota Production System (TPS). A philosophy of defining value from the customer’s viewpoint and persistently improving the way in which value is delivered, by eliminating every use of resources that is wasteful (does not provide value). Taiichi Ohno, then the chief engineer at Toyota, classified several types of wastes critical to business; delays (waiting or time spent in a queue), producing and storing more than is needed, unnecessary movements and transportation, quality defects or errors in the service provided as well as the underutilization of employee talent. Therefore, by ridding of these wastes companies could begin "trimming the fat" in its operations and gain Lean efficiency; doing much more with much less.
Lean became centered on preserving value with less work; with the ultimate goal of providing perfect value to the customer through completely streamlined processes. This strategy sought to develop lean thinking business cultures where employees were encouraged to take initiative and make improvements based on their own observations and experiences. A focus for empowerment rooted on the Japanese custom of showing respect for all individuals.
Respect for people must extend beyond just the end customer and include the workers, suppliers, and all other stakeholders. Thus, Lean aims to maximize human potential by inspiring all persons to continuously improve their work. Leaders can help individuals to grow personally and professionally, enabling them to take pride in their job.
"Progress cannot be generated when we are satisfied with existing situations"
– Taiichi Ono
“Continuous Improvement is better than delayed perfection”
– Mark Twain
Engineering Evolution
Lean philosophies grew to incorporate the concept of “Kaizen” or what we refer to as Continuous Improvement. For Kaizen engineering to be effective Lean leaders must go where value is created – commonly known as the Gemba, which is the place where the work is being done. At Gemba, time is spent coaching and encouraging workers to actively identify problems and look for opportunities for improvement. It is only through direct contact with the actual work that enhancements can be shaped with sufficient confidence in their effectiveness. Remember, being efficient is doing more with less but being effective is doing the right things in the right way.
The 5 essential Lean principles embedded in every Kaizen initiative are as follows:
-
Know your customer
-
Let it Flow
-
Go to Gemba
-
Empower People
-
Be Transparent
With its Continuous Improvement mindset, Lean inspires businesses to avoid succumbing to stagnation and randomness, and instead improve gradually in an organic way while adapting to the external market. In other words, the current state should never be satisfactory. It is important to always remain at least a little dissatisfied with the present in order to keep advancing. Through deployment of Kaizen events and utilization of the Plan-Do-Check-Act (PDCA) cycle, organizations can leverage Lean to reach their full potential and ensure longevity.
Lean Engineering Today
Toyota, the founding Lean enterprise, now stands as the largest automaker in the world. Its dominant success in everything from market shares to rising sales in every global market is the proof in the power of a Lean strategy. Its continued success has over the past five decades created an enormous demand for Lean implementation.
In the years since the “Toyota Way,” Lean has rapidly grown out of its manufacturing roots and is now regarded as a leading business philosophy in a number of service industries today (Healthcare, Banking, Startups, even Lean Government). It offers these sectors a complete system-thinking approach in creating enterprises that sustain growth by aligning customer satisfaction with employee fulfilment. Studies have revealed that organizations that consistently practice Lean are not only more profitable but more innovative and competitive in the marketplace.
Lean philosophy takes nothing for granted and searches endlessly for new ways of doing things in a more agile, flexible and economical way. With a holistic approach to engineering that considers leadership principles, team structures, organizational processes, visualization tools and technologies; all combined to create the most efficient and effective business culture. As its influences continue to spread globally, leaders from all areas are adopting the methodology. So if the past is any indicator of the future, Lean will certainly continue to evolve.
“Lean is not a program; it is a total strategy”
– Alex Miller