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LEAN
Process Design
what is it all about and how to use it
Agenda
A hype or a clue
• what is Lean and why do you need it
Key concepts of Lean
• Value
• Waste
• Process mapping
• Failure demand
• Push & pull
5 steps toward Lean process design
• Engagement and awareness for people
• Understanding the value
• Current state process mapping
• Process evaluation: VA vs NVA, waste, lead
time, interruptions and bottlenecks
• Lean process design – future state
Lean
• Key purpose of Lean is to create more value for
customers by minimizing waste
• Lean mindset means strive for continuous
improvement, at all levels by each person
• Lean Process is designed to focus on the E2E flow
with the voice of the customer in mind to deliver
value, minimize non-value adding activities and
eliminate waste
Lean Concepts
Value
• what consumers and customers are willing to pay for
• created by delivering products and services that meet or even exceed the expectations of
consumers, customers and stakeholders
Waste
• everything that does not add value to the consumer / customer
Process Map
• visibility of E2E process
Failure Demand
• generated within or from the process itself due to inefficiencies or faulty design
• opposed to demand on the process as per its purpose (customer value)
Push & Pull
• ‘push’ means Make to Stock in which the production is based on forecasts & plans
• ‘pull’ means Make To Order in which the production is based on actual demand
Lean Concepts: Waste
5 Steps towards Lean Process
TEAM
• Engagement and awareness for people
GOAL
• Understanding the value from Customer’s perspective
AS-IS
• Current state process mapping
METRIC
• Process evaluation: VA vs NVA, waste, lead time, interruptions
and bottlenecks
TO-BE
• Lean process design – future state
Lean Process: Voice of the Customer
GOAL
• Understanding the value from Customer’s perspective
• List main process steps
• Identify your customer for each step
• Note customer expectations:
- check already available information:
feedbacks, complains
- ask directly: interviews, focus groups
- indirect methods: surveys, market research
Lean Process: Voice of the Customer
GOAL
• Understanding the value from Customer’s perspective
Lean Process: Process Map
• Involve cross-functional team – create
consensus
• Do it together on site and on paper – full
engagement
• Map the real process end-to-end – visualize
entire value stream
AS-IS
• Current state process mapping
Lean Process: Process Map
AS-IS
• Current state process mapping
• What: step name & description
• Who: process step actor
• How: technology & tools, manually/automatically
• Input: what comes to this step at a start
• Output: what goes to the next step after this one is
completed
• Movement: how the work and information moves
between the process steps
Lean Process: Metrics
• Value Adding - Activity that transforms information
or a decision into a value proposition
• Non-Value Adding - Activity that do not transform
information or a decision into a value proposition,
customer is not willing to pay for this activity
• Opportunities for transformation: waste,
interruptions, known issues, handovers
• Time: activity time, actual process time, process lead
time
• Quality: Demand Profile, Right First Time
METRIC
• Process evaluation: VA/NVA, waste, lead time, interruptions…
Lean Process: Process Map Metrics
METRIC
• Process evaluation: VA/NVA, waste, lead time, interruptions…
• Don’t be afraid to start from scratch
• Imagine a purely LEAN process with max
VALUE and zero waste going in a FLOW
• Be bold and unlock creativity
• Summarize the key concepts
TO-BE
• Lean process design – future state
Lean Process: Future State
Lean Process: Future State
• Consider external perspective
• Identify and challenge paradigms
• Design future state in groups: start with one area
and go through iterations to cover full scope
- clearly define the desired output
- start with the value added activities
- continue with people’s work and involvement
- design the supporting systems and tools
TO-BE
• Lean process design – future state
Lean Process: Future State
• Keep focus on value drivers and assign
‘guardians’
• Go through a few iterations to refine and
consolidate
• Assess risks and add enablers
• Develop action plan, plan deep dives & note
quick wins
• Stay tuned during implementation
TO-BE
• Lean process design – future state
Thank YOU!
Let’s keep in touch ;-)
Nataliia Betsa
Product Owner @ N-iX
https://www.linkedin.com/in/nataliia-betsa/
www.facebook.com/natalia.betsa
natalia16117
nat.b1611@gmail.com

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Наталія Беца “Lean Process Design”

  • 1. LEAN Process Design what is it all about and how to use it
  • 2. Agenda A hype or a clue • what is Lean and why do you need it Key concepts of Lean • Value • Waste • Process mapping • Failure demand • Push & pull 5 steps toward Lean process design • Engagement and awareness for people • Understanding the value • Current state process mapping • Process evaluation: VA vs NVA, waste, lead time, interruptions and bottlenecks • Lean process design – future state
  • 3. Lean • Key purpose of Lean is to create more value for customers by minimizing waste • Lean mindset means strive for continuous improvement, at all levels by each person • Lean Process is designed to focus on the E2E flow with the voice of the customer in mind to deliver value, minimize non-value adding activities and eliminate waste
  • 4. Lean Concepts Value • what consumers and customers are willing to pay for • created by delivering products and services that meet or even exceed the expectations of consumers, customers and stakeholders Waste • everything that does not add value to the consumer / customer Process Map • visibility of E2E process Failure Demand • generated within or from the process itself due to inefficiencies or faulty design • opposed to demand on the process as per its purpose (customer value) Push & Pull • ‘push’ means Make to Stock in which the production is based on forecasts & plans • ‘pull’ means Make To Order in which the production is based on actual demand
  • 6. 5 Steps towards Lean Process TEAM • Engagement and awareness for people GOAL • Understanding the value from Customer’s perspective AS-IS • Current state process mapping METRIC • Process evaluation: VA vs NVA, waste, lead time, interruptions and bottlenecks TO-BE • Lean process design – future state
  • 7. Lean Process: Voice of the Customer GOAL • Understanding the value from Customer’s perspective • List main process steps • Identify your customer for each step • Note customer expectations: - check already available information: feedbacks, complains - ask directly: interviews, focus groups - indirect methods: surveys, market research
  • 8. Lean Process: Voice of the Customer GOAL • Understanding the value from Customer’s perspective
  • 9. Lean Process: Process Map • Involve cross-functional team – create consensus • Do it together on site and on paper – full engagement • Map the real process end-to-end – visualize entire value stream AS-IS • Current state process mapping
  • 10. Lean Process: Process Map AS-IS • Current state process mapping • What: step name & description • Who: process step actor • How: technology & tools, manually/automatically • Input: what comes to this step at a start • Output: what goes to the next step after this one is completed • Movement: how the work and information moves between the process steps
  • 11. Lean Process: Metrics • Value Adding - Activity that transforms information or a decision into a value proposition • Non-Value Adding - Activity that do not transform information or a decision into a value proposition, customer is not willing to pay for this activity • Opportunities for transformation: waste, interruptions, known issues, handovers • Time: activity time, actual process time, process lead time • Quality: Demand Profile, Right First Time METRIC • Process evaluation: VA/NVA, waste, lead time, interruptions…
  • 12. Lean Process: Process Map Metrics METRIC • Process evaluation: VA/NVA, waste, lead time, interruptions…
  • 13. • Don’t be afraid to start from scratch • Imagine a purely LEAN process with max VALUE and zero waste going in a FLOW • Be bold and unlock creativity • Summarize the key concepts TO-BE • Lean process design – future state Lean Process: Future State
  • 14. Lean Process: Future State • Consider external perspective • Identify and challenge paradigms • Design future state in groups: start with one area and go through iterations to cover full scope - clearly define the desired output - start with the value added activities - continue with people’s work and involvement - design the supporting systems and tools TO-BE • Lean process design – future state
  • 15. Lean Process: Future State • Keep focus on value drivers and assign ‘guardians’ • Go through a few iterations to refine and consolidate • Assess risks and add enablers • Develop action plan, plan deep dives & note quick wins • Stay tuned during implementation TO-BE • Lean process design – future state
  • 16. Thank YOU! Let’s keep in touch ;-) Nataliia Betsa Product Owner @ N-iX https://www.linkedin.com/in/nataliia-betsa/ www.facebook.com/natalia.betsa natalia16117 nat.b1611@gmail.com