How do you track Lean Manufacturing results?

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Lean Manufacturing is a systematic approach to eliminate waste and improve efficiency in any production process. But how do you know if your Lean efforts are paying off? How do you measure and monitor your progress and performance? In this article, we will discuss some of the key methods and tools to track Lean Manufacturing results and ensure continuous improvement.

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1 Define your goals and metrics

The first step to track Lean Manufacturing results is to define your goals and metrics. What are you trying to achieve with Lean? What are the specific, measurable, achievable, relevant, and time-bound (SMART) objectives that you want to reach? How will you quantify and evaluate your success? Depending on your industry and process, you may use different metrics, such as cycle time, inventory turnover, defect rate, customer satisfaction, or profitability. You should align your metrics with your customer value proposition and your strategic vision.

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Sachin Sanghi

Design blueprints for digital transformation
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One of the most effective way I have found to track lean manufacturing results is to first define the BEC (base engineering content). this is the effort and resources required to produce the goods and is derived from the design of the product to be manufactured. This BEC is calculated independent of any necessary non value added effort/resources. It is purely the value added tasks required to produce the product. Then once it is added with the necessary and non necessary non value added component you get a ratio of BEC over total work content. If this is below 55%, there are opportunities to apply lean manufacturing principles and improve the efficiency and productivity.

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2 Collect and analyze data

The next step is to collect and analyze data to measure your current state and track your progress. You need to establish a baseline for your metrics and monitor them regularly. You can use various tools and techniques to gather and analyze data, such as value stream mapping, Pareto analysis, fishbone diagrams, control charts, or histograms. You should also involve your employees and customers in collecting feedback and suggestions for improvement. Data analysis will help you identify the root causes of waste and inefficiency, as well as the opportunities and challenges for improvement.

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Jason Munger, LSSBB

Leader in Lean Manufacturing & Operational Excellence | LSSBB | Proven Successful Change Agent | Real Estate Investor | Author
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Collecting and analyzing the data is important, but the "results" must also be communicated to the entire team. If a few people who are familiar with the data can verify that the effort has been successful, that's great. But in order to get buy in from the team, and answer the "so what" for the organization, these results need to be communicated to build traction and fuel the next effort. It's a snowball!

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3 Implement and evaluate improvements

The third step is to implement and evaluate improvements based on your data analysis. You should use a structured problem-solving method, such as the Plan-Do-Check-Act (PDCA) cycle, to test and validate your solutions. You should also use standard work procedures and visual management tools, such as 5S, Kanban, or Andon, to ensure consistency and clarity in your operations. You should compare your results with your goals and metrics, and check if your improvements are effective and sustainable. You should also document and communicate your results and best practices to your stakeholders.

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4 Benchmark and learn from others

The fourth step is to benchmark and learn from others who have successfully implemented Lean Manufacturing. You should look for examples and case studies of organizations that have achieved excellence in your industry or process. You should also seek external feedback and advice from experts, consultants, or peers who can offer insights and guidance. You should learn from their successes and failures, and adopt or adapt their best practices to suit your context and needs. Benchmarking and learning from others will help you gain new perspectives and ideas, as well as avoid common pitfalls and mistakes.

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5 Continuously monitor and improve

The final step is to continuously monitor and improve your Lean Manufacturing results. Lean is not a one-time project or a static state, but a dynamic and ongoing journey of improvement. You should always look for ways to eliminate waste, increase value, and satisfy customers. You should also review and update your goals and metrics, as well as your data collection and analysis methods, to reflect the changing needs and expectations of your market and environment. You should also foster a culture of continuous improvement among your employees, by encouraging them to participate, innovate, and learn.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Harold Meadows Jr.

Helping organizations become best in class through strategic planning, organizational transformation, and operational excellence
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I appreciate the framework outlined here, but personally, I lean (pun intended) towards employing a DMAIC (Define, Measure, Analyze, Improve, Control) approach, which falls under the broader umbrella of Lean Six-Sigma. In navigating the multitude of tools and methods available today, I've discovered the importance of carefully selecting tools that align with our company's unique needs. Specializing in these chosen tools allows for standardization, fostering collaboration and effective support within the organization.

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Sachin Sanghi

Design blueprints for digital transformation
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Another metric I have used in the past is Safety Productivity Quality Responsiveness Customer satisfaction Technology Environment Each of them has a formula to compute and a target can be set. Then continuous monitoring of the actual versus target can result in a holistic improvement of the business.

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How do you track Lean Manufacturing results?

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3

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6

1 Define your goals and metrics

2 Collect and analyze data

3 Implement and evaluate improvements

4 Benchmark and learn from others

5 Continuously monitor and improve

6 Here’s what else to consider

Lean Manufacturing

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How do you track Lean Manufacturing results?

1

2

3

4

5

6

1 Define your goals and metrics

2 Collect and analyze data

3 Implement and evaluate improvements

4 Benchmark and learn from others

5 Continuously monitor and improve

6 Here’s what else to consider

Lean Manufacturing

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