Gregg tong geneticsofleanpd

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Gregg TongVice President

Management Roundtable

The Genetics of Lean Product Development

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genetics (jə-nět'ĭks)

The study of the principles of heredity and the variation of inherited traits

among related organisms.

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Do you know these names?

Who are…?:

• Alfred Russel Wallace

• Humphrey Davey

• Gottfried Liebniz ?

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Alfred Russel Wallace

• 19th century British naturalist, explorer, geographer, anthropologist, and biologist.

• Independently developed a thesis known as “Natural Selection”

• Shared resources, ideas and correspondence with a colleague named Charles Darwin

• Is relatively unknown

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Gottfried Liebniz

• 17-18th Century philosopher and mathematician

• Independently discovered Calculus at the same time as Sir Isaac Newton – and published his findings first

• Had no “apple” legend to sustain his legacy

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Humphrey Davey

• British chemist and inventor

• Invented an electric lightbulb seventy years prior to Thomas Edison* But Edison did make it practical for use by the consumer

• Another giant with sore shoulders…

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What about Lean Manufacturing and Product Development?

• More than just Toyota, Ohno and Womack

…much, much more….

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Source: http://www.strategosinc.com

Lean Mfg Historical Timeline

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Lean Concepts B.T. (Before Toyota)

• Eli Whitney, known for the cotton gin, less known for perfecting the concept of “interchangeable parts” (1799 – fulfilled contract for mfg 10K muskets at $13.40/ea)

• Frederick Taylor, late 1890s – father of “Scientific Management” focused on industrial efficiency and standardized work.

• Frank Gilbreth, 19-20th Century building contractor, invented “process charts”, an early stab at defining non-value added work and value streams, espoused the concepts of continuous improvement

• Henry Ford – no explanation necessary – widely considered the first to use Just-in-Time and other Lean Methods.

See: http://www.strategosinc.com/just_in_time.htm

The Legendary “Masters” of Production

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Enter the Toyota Dragon

• 1949-1975: Toyota’s Taiichi Ohno and Shigeo Shingo borrowed from Ford’s methods, and pumped it up with the statistical process control methods learned from W. Edwards Deming and several others...

• SOME OVERLOOKED MAJOR CONTRIBUTIONS: – Using the labor force for more than just labor – tapped into the

collective mindset of the Gemba and developed the Kaizen approach – a huge differentiation from Ford and American labor practices at the time (MBWA before H-P)

– Addressing efficient product variety – building more customer choice and value than Ford’s single model mindset

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The Big Lean Bang

• As Toyota began to dominate automotive quality (and their US competitors dropped ball after ball), the descendants of Ford, Taylor and Deming took notice

• Many went to Japan to learn how the students surpassed their master…

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The Big Lean Bang

• After years of research, some humble academics made observations that both embarrassed and inspired American manufacturers…

< 1990

1996 >

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The Lean Eureka Moment

• You read Lean Thinking

• You see waste everywhere

• You become obsessed with time and efficiency

• You question all conventional wisdom

• You learn some Japanese words…

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Manufacturing vs. Product Development:Key Differences in Lean Applications

Production Shop Floor• Analog• Macro Context• Finite

interdependencies• Linear requirements

and processes• Single Clock (Takt

Time)• Simplified

Synchronization• Like Newtonian physics

Engineering/R&D Office• Digital• Micro Context• Infinite

interdependencies• Non-linear requirements

and processes• Multi Clock• Complex synchronization• More like Quantum

mechanics

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So how was Lean PD born?

• It took a village…

• A lot of Lean PD is Old TQM

• More than just playing “match the muda”

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There’s more than one Lean PD?

• The Toyota Product Development System (TPDS)• “Agile” processes that fit Lean Criteria• The lean “entourage” (i.e. lean six sigma, etc.), separate

systems now linked to lean or miscellaneous tools

On Google, “Lean Product Development” returns 29,200 search results

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Early Lean PD Concepts (before lean was sexy)

What’s old is new again…

• Fred Brooks (1975) wrote The Mythical Man Month early insights into the science of project delays in software engineering

• HBS’s Steven Wheelright and Kim Clark – (1992) wrote Revolutionizing Product Development, focused on the product strategies behind rapid development processes

• Chris Meyer (1993), wrote Fast Cycle Time, on designing and implementing cross-functional teams

• Stefan Thomke, (1995) wrote MIT thesis on the Economics of Experimentation in the Design of New Products and Processes

AND AN ENDLESS SUPPLY OF ADDITIONAL ACADEMIC AND INDUSTRY WORK

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Lean “Bookology”“Orthodox” Lean “Reformed” Lean

“Hybridized” LeanTh

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Lean “Bookology”“Orthodox” Lean TPS & TPDS – The Toyota

Ways

•If you want to be “like Mike”

•Value stream mapping/analysis

•Set based design / engineering

•Chief Engineer hierarchy

•Deep customer understanding

•A3

•5S

•Muda, Gemba Gembutsu, Kaizen and Kaikaku

the list goes on…

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Lean “Bookology”

• Focused on the customer perspective

• Lean services and the process of product and service consumption

• Healthcare, transportation, consumer, all types of services

• Inventory, supply chains, delivery

• Addresses a critical flaw in lean: demand flow creation

Womack and Jones’s attempt to apply lean outside the shop floor

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Lean “Bookology”“Reformed” Lean

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• Theory of Constraints and Critical Chain Project Management

• Agile Software Development– Small Batch Sizes– Frequent Feedback Loops– Value, Flow, Pull

• Agile Product Development– Process economics and time

to market– Cycle Time Reduction– Constraints Management– Cost of delay– Queuing theory– Information Management– Value, Flow, Pull

Lean Product development as derived from TPS as well as:

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Lean “Bookology” “Hybridized” Lean

• Variable quality in this category

• Design for Manufacture and Assembly (DFM/A)

• Multi-Project Management

• Lean Six Sigma

Applied lean, things relabeled lean, things merged with lean.

Forgotten Stepchildren?

Remember part count reduction, target costing, poka yoke, supplier integration and concurrent engineering?

Expect these old standby “lean” tools to get greater focus in the current economic environment…

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Hallmarks of “True” Lean PD

• Has a lean spirit and heart (Value, Flow, Pull, Perfection)

• Non-superficial perspective on “waste”

• Grounded in economics and uncommon sense – clearly outlines decision tradeoffs

• Is indiscriminate and without prejudice

• Achieves a measurable result…

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Lean PD: The Next Frontiers?

• Enlarging the Gemba

• Lean customer research and requirements definition

• Lean Innovation

• Lean Marketing

• Lean Joe Green

• Merging and Acquiring Lean Companies

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Thank you.

And now for your regularly scheduled

programming…