Animated Video: Lean methodology | Meaning Definition Lean Methodology | Lean Manufacturing | Continuous Improvement #speaklikeshaf
Shaf Rasul
Serial Entrepreneur, Business Mentor & Columnist. Investor & Dragons Den Star, Investing in Technology & Property.
LEAN and fit, that’s what I’m aiming for. I don’t just mean physically, I mean my businesses too. What does that entail exactly? Don’t worry, I’m going to explain it all to you in this week’s Speak Like Shaf. My vlogs helps budding entrepreneurs get to grips with business jargon. When you’re just starting out in business, it seems like investors and banks can talk a different language, so this series helps break it down for you. Today, we are looking at lean methodology.
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We all know the benefits of being physically lean. People who are lean tend to be healthier, have less body fat, are more flexible, less injury prone and bounce back quicker from injury. If you think of a lean company, there are parallels. Lean companies don’t have waste and if a problem does crop up they can be flexible enough to deal with it.
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A lean manufacturing system is one that produces minimal waste without affecting productivity. Let’s go back to the Stone Age and meet my friend Rab The Rock Star. He was a genius and probably the world’s first businessman when he started out to make tools for the hunters in his village to catch their prey. He sold and rented the tools and built up a thriving little company that eventually was so successful he had to get three employees. Instead of the employees making each tool separately, Rab cleverly divided up the labour. One collected the raw materials needed and made the spears, one made the bows and arrows, and the other made the arrowheads. Rab put all the tools together. This way, there was very little waste and productivity was high. Rab’s company was a lean, mean, fighting machine!
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In modern times, the first company to think along lean lines was Japanese car maker Toyota in the 1950s. Academic John Krafcik wrote about it in 1988 and said it was a set of tools that assist in the identification and steady elimination of waste in a business. As the waste is eliminated, the quality improves while production time and costs are reduced. Lean methodology aims for total customer satisfaction and total employee involvement. There is no room for anyone who isn’t pulling their weight, or indeed any practice that isn’t totally streamlined. Think about all your processes, from accounts to production or the delivery of your service. Where can you run things better? Do you need to improve your software to help your business modernise?
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I love getting your feedback so let me know what you think. Don’t forget to catch my other vlogs, they will tell you everything you need to know about starting and running a business. You’ll see Ask Shaf, Seven Hacks, Get Real Estate and of course Speak Like Shaf exclusively on my YouTube channel so don’t forget to like, comment and subscribe.
If you enjoyed this video please check out my 7 hacks videos.
Dobson Research & Development Ltd
4 年Loved it, generally applies to our strategy moving forward, why build the tools (devices) to generate electricity from the waves and then sell the tools, when you can keep the tools become a power generation company at a local, national and international level... keep it lean, keep it tight, do it right n have fun...
Buy-to-Let mortgage advisor and property investor, helping Scottish Buy-to-Let property investors grow their portfolios.
4 年Great video Shaf, recently finished reading the Toyota way to lean leadership.