Geeks With Blogs
Coaching, Coding and Learning By George Evjen

Book Notes from 'This Is Lean' By Niklas Modig


This is Lean!

  • Develop our definition of lean at the 'fruit level'
  • How Toyota has implemented TPS within the car dealer operations in Japan
  • Lean is an operations strategy that prioritizes flow efficiency over resource efficiency.
  • The Lean Operations Strategy
    •  We see lean as an operations strategy, as it concerns how an organization produces value.
    • What matters is that the strategy involves
      • Moving towards the upper right of the matrix
      • Aiming for that star
    • Lean operations strategy involves moving the organization to the right in the matrix by increasing flow efficiency.
    • In the choice between flow efficiency and resource efficiency, the first priority is clearly to focus on flow efficiency.
    • Taiichi Ohno - 'all we are doing is looking at the time line from the moment the customer gives us an order to the point when we collect the cash'
    • By focusing on flow efficiency, an organization can also reduce a lot of superfluous work and waste.
    • A lean operations strategy involves focusing on flow efficiency before resource efficiency
    • It is hopefully clear that what prevents organizations from reaching the perfect state is variation
    • It is vital in a lean operations strategy to eliminate, reduce and manage variation.
  • Away from the Wild West
    • Three problems with different definitions of lean
      • Lean is defined at different levels of abstraction
      • Lean is seen as a means to an end
      • Lean is everything that is good - everything good is lean
    • We have dealt with those problems (above) - by defining lean as an operations strategy
      • The definition is at the 'fruit level' - high level of abstraction. Increasing the level of abstraction helps make lean applicable in different environments -
        • Everything can be linked to a goal.
      • The definition focuses on the goal of flow efficiency - it is important to understand why Toyota and other organizations that focus on flow efficiency do what they do
      • The definition is non-trivial and makes it possible to define what lean is and what lean is not.
    • It is important to emphasize that the means Toyota has used to increase flow efficiency many not me applicable in every environment.
    • By defining lean as an operations strategy, we aim to show that lean is a strategic choice for all organizations.
    • 'what value do we want to create, and how should we compete?'

 

Realizing a Lean Operations Strategy

  • Lean is an operations strategy  - a strategy to achieve an objective.
  • Prioritize high flow efficiency over resource efficiency.
  • How does an organization become lean?
  • The naïve foreigner
    • Toyota Story --
      • "Can you tell me how you implement them in your service business? For example, how have you adopted the tools and methods for your sales and service processes?"
      • "Yet another foreigner who does not understand anything."
      • "you have asked a question that shows you do not understand what TPS is all about"
      • "they completely missed what they do not see. Our Philosophy"
      • "why we use the tools and methods that we do."
      • "our values and principles guide us in everything that we do"
      • Summarized thoughts into values - those values defined how we should always be towards our tree.
      • The most important value was to always focus on the customer.
      • Those values show us how we should always be - they became the core of our culture.
      • Values is the top circle - principles is under values.
        • What decisions did we make today that aligned with our values
        • What decisions did we NOT make today
        • What can we learn from this to ensure that the tree will be even more beautiful tomorrow.
      • By asking these questions every day - principles start to develop regarding how we make decisions.
      • The principles guided us in terms of how and what we should prioritize in our business.
      • The principles developed due to our attention's always being on our values.
      • Under one of the circles for principles - wrote : 'just in time"
        • Just in time - is all about creating flow.
      • Under the other circle for principles - wrote : 'Jidoka'
        • The other side of the same coin
        • Jidoka - somewhat abstract principle
          • "What underlying conditions must exist in order for a soccer team to score a lot of goals"
            • Good playing tactics - great kicks
            • Strength and speed
            • Teamwork and passing ability
          • You answered how I thought you would.
          • You focus too much on the conditions that need to exist to create a good flow.
          • All the players from all positions on the field must always be able to
            • See the field, the ball, the goal
            • See all the players on the field
            • See the score
            • See how much playing time is left
            • Hear the whistle
            • Hear their team members and the crowd
          • Be aware of everything that is happening all the time.
          • Based on this clear picture they can make decisions about how, together they can score a goal.
          • We all sit in different places and we do different things at different times, independently of each other.
          • Just in time - is about creating flow, while Jidoka is about creating a visible and clear picture so that anything that happens to hinder, or disturbs the flow can be identified immediately.
          • Drew more circles under the principle circles - methods.
          • With time we started to identify how we should carry out different tasks
          • Tried to identify, standardize and spread the best way of doing different tasks.
          • Methods were our best way of looking after our tree every day
          • The intention of Jidoka is to create a transparent organization so that everyone can see everything all the time.
          • Everyone can see everything that is going on with our company in one look
          • When something goes wrong - someone blows the whistle-everyone stops, we find the root cause of the problem, we improve and we continue.
          • Visual planning is a method that helped realize Jidoka
          • It is important that you really understand why we visualize.
          • It is impossible to control the whole organization.
          • It is possible to standardize and visualize everything we do.
          • Final layer of circles under methods
          • Tools and Activities - how methods are realized.
  • Means for realizing a lean operations strategy
    • How does an organization adapt the lean tools and methods for a sales and service processes?
    • See lean as an operations strategy - as a strategy with which to achieve a goal.
    • Four different groups
      • Values define how an organization should behave.
      • Principles define how an organization should think.
      • Methods define what an organization should do.
      • Tools define what an organization should have.
    • Levels of abstraction
      • Values are the highest level of abstraction.
      • Tools are the lowest.
    • It is important to understand that all organizations have values, principles and methods and tools
    • The question is - what do they consist of, how explicit they are, how widely accepted they are in the organization.
  • How different means realize a lean strategy
    • Eliminate, reduce, and manage variation - primarily in order to increase flow efficiency.
    • Values as means: reducing variation in how employees are
      • Values define how an organization should behave
      • Toyota codified five core values in the 'Toyota Way' - two of these - Respect & Teamwork are clear conditions for the creation of an efficient flow.
        • Respect is about doing everything to be able to understand each other.
        • Teamwork is about stimulating personal and professional development, sharing opportunities for development, and maximizing individual and group achievement.
      • Respect and teamwork are prerequisites for achieving high flow efficiency since everyone is dependent on each other and has to work together.
    • Principles as means: reducing variation in how employees think
      • Principles define how people in an organization should think in order to increase flow efficiency.
      • Just in time means creating an efficient flow through the whole organization.
      • Jidoka means creating an aware organization, which prevents, identifies and eliminates everything that inhibits, disrupts, or slows down flow.
      • In order to realize a lean operations strategy, it is not important how the flow is improved, simply that it is improved.
    • Methods as means: reducing variation in what employees do
      • Methods define what an organization should do in order to improve flow efficiency. -
        • Value stream mapping
      • Common method that is often seen as part of lean is the 5s
        • Sorting
        • Structuring
        • Shining
        • Standardizing.
        • Sustaining
      • 5s - is about having the right thing in the right place
Posted on Wednesday, September 7, 2016 8:38 AM Agile , Lean | Back to top


Comments on this post: This is Lean - Operations Strategy

# I love it
Requesting Gravatar...
Hey i love this app for movie streaming
Left by TerrariumTV APK on Sep 13, 2016 7:04 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
It is a great thing to learn about this strategy. As a leader, it will be a useful idea for me. - Dennis Wong YOR Health
Left by Mark on Sep 15, 2016 5:04 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
Great dude for sharing the wonderful article i'm really love this post.
My favorite part at the post, " Methods define what an organization should do in order to improve flow efficiency." -
Smadav 2018 free download
Left by Lendah on Feb 09, 2017 9:13 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
The upcoming iPad Pro 2 is definitely going to sport a first-rate outlook as it is expected to come up with a metal unibody chassis. iPad Pro 2 Release Date
Left by James Parrett on Feb 22, 2017 8:14 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
How Toyota has implemented TPS within the car dealer operations in Japan, Canon PIXMA MG3220 Driver Download Lean is an operations strategy that prioritizes flow efficiency over resource efficiency.
Left by Ramandess on Jun 17, 2017 6:14 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
so if you likewise wish to see its effectiveness, then simply experiment http://leapdroiddownloading.com Whether the applications and games remain in large or small in its size.
Left by maxwell on Sep 25, 2017 1:58 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
bang gia xe oto Mercedes 2017 moi tai dai ly xe Mercedes Haxaco Vo Van Kiet http://www.mercedessaigon.org/e-class
Left by Mercedes E Class on Nov 04, 2017 2:44 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
So helpful with me - "What underlying conditions must exist in order for a soccer team to score a lot of goals" - Chevrolet Newway
Left by Chevrolet Newway on Nov 05, 2017 3:42 AM

# prepaidcardstatus
Requesting Gravatar...
they're better compared to bank card, debit cards or composing cheques. prepaid card status couple of security arrangements. Once you have actually logged in.
Left by Edward on Nov 30, 2017 2:43 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
This site aids the company to manage the employment concern. macysinsite You must guarantee that Adobe Acrobat Reader you install in your PC.
Left by paulianian on Jan 13, 2018 1:55 AM

# re: This is Lean - Operations Strategy
Requesting Gravatar...
I came to know more about the Lean - Operations Strategy from this blog. This is the first time I came across such a blog. However, there are no clear indications regarding what it is for. Do include more details regarding it in your future posts. JoyJolt Double Wall Glasses
Left by Taylor Shaw on Feb 28, 2018 6:19 AM

Your comment:
 (will show your gravatar)


Copyright © George Evjen | Powered by: GeeksWithBlogs.net