Lean for Small Business

Apr 12, 2023 www.leanteamsusa.com 1

Robert BairdLean Teams USA

+1 215 353 0696

Lean for Small Business


Presentation ValueSubject Slide

#7 Wastes 45-Step Lean Implementation 6Workplace Efficiency 7Standard Work 15Visual Management 22Value Stream Mapping 25Key Principles 27


Lean

Removing Waste Improves Financial Ratios


The 7 WastesWaiting • People, inefficient processes, supply chain

Inventory • Raw material, WIP

Over processing

• Not valued by customer

Over Production

• Producing more than next step requires

Defects • Product errors, data errors

Transportation • Inefficient layout

Motion • Ergonomics

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7 Office Wastes1. Over Production – Too many signature levels, Too many emails, Ineffective meetings,

More information than the customer needs, more information than the next process needs, creating reports no one reads, or making extra copies ,

2. Transportation – Retrieving or storing files, carrying documents to and from shared equipment, taking files to another person, or going to get signatures

3. Motion – Searching for files, extra clicks or keystrokes, clearing away files on the desk, gathering information, looking through manuals and catalogs, or handling paperwork

4. Waiting – Waiting for meeting participants, Waiting for faxes or a copy machine, for the system to come back up, for a customer response, or a handed-off file to come back.

5. Unnecessary Processing – Meeting participants that are not required, Creating reports, repeated manual entry of data, use of outdated standard forms, or use of inappropriate software

6. Inventory – Files waiting to be worked on, open projects, too many office supplies, e-mails waiting to be read, unused records in the database

7. Defects – Data entry errors, pricing errors, missing information, missed specifications, or lost records


5-Step Thought Process for Lean

Identify Value

Map Value Stream

Create Flow

Establish Pull

Continuous Improvement


5S Workplace Efficiency

8

5S StepsWhat do I need to do my job? Where should I locate this item?

How many of this item do I really need?

Configure ready access to tools and supplies

Workplace is WOW clean

The method by which Sort, Straighten, and Sweep are made habitual

Employee ownership of 5S program


5S Workplace Flow

04/12/2023

5S ideas


5S ideas


5S ideas


5S ideas


5S ideas


Standard WorkImproved Customer Service

Establish baseline for improvement

Prevents Recurrence of Defects

Customer values known by everyone

Task Variation Reduction –Predictable OutputBen

efi

ts


Continuous Standard Work

GapCurrent Standard

(Baseline)

Cycle Time, Quality, Safety, ProductivityNew Standard


Creating Successful Standard Work

1. Create repeatable processes– Enabling delegation & sharing

2. Map your workflow – What are the expected outcomes

3. Visually manage the results – What are the customer values


Customer Service

Customers Who Stop Doing Business Because of Poor Customer Service

86%


Work InstructionsImportant Step Key Points Reason for Key Point

1. Answer phone within 3 rings

1. No one likes to wait2. Be prepared with a pen and

paper to record name, address, phone number

1. People value their time2. Personalize the call and call

back info if disconnected

2. Introduce the business and yourself

1. Good morning. This is Lean Teams USA. Robert speaking. How may I help you?

2. May I ask who is calling?

1. People want to know they have reached the correct business and who they are talking to

2. Unsolicited call policy adherence. Able to use callers name will provide importance

3. Transfer the call or take the order

1. If having to put on hold start a timer, max 20 seconds

2. The order process is only 3 questions, can we get started?

1. Loss of business after 20 seconds

2. People appreciate knowing how long it might take

4. Ending the call

1. Summarize the order an let them know when they can expect the arrival of their order

2. Lean Teams USA appreciates your order is there anything else I can help you with

1. Ensures there were no errors with what the customer expected

2. People appreciate a business who appreciates them


Work InstructionsImportant Step Key Points Reason for Key Point

1. Clean all three sinks Clean with mild soap & rinsePrevention of previous contaminants

2. Sort and scrape foods Prior to loading in sink Keeps water clean

3. Wash with provided detergent1. Use appropriate brush size 2. Hot water 110 F

1. Remove contaminants 2. Effective removal of residue

4. Rinse in middle sink Must be clean water Prevents re-contamination

5. Sanitize in 3rd sink

1. Use Quat sanitizer 2. Water temp. between 55 and 120 3. Immerse for at least 35 seconds 4. Use test kit to measure ppm must be between 150 and 400 ppm

1. Cleaning does not consistently reduce contamination to safe levels 2. Works best in this temp range 3. Requires contact time because it is slow acting on bacteria 4. Below 150 ppm results in an inadequate reduction of microorganisms. Using too much, above 400 ppm, sanitizing agent can be toxic.

6. Air Dry Do not use a towel Contamination of sanitized items

7. Properly store 6" above floor Prevents floor contaminants


Standard Work Support

TrainingStandard Work

for Leaders

Visual Management

Gemba Walk

Standard Work


Visual Management65% of People Visual Learners

65%

92.6% of People Make Decisions on Visual Factors

92.6%


Visual ManagementInputs Vs Outputs

“Dig” Out Problems

Process Normality


Visual Management and Color

Black

• Hidden• Secretive• Unknown• Mystery

Blue

• Trust• Peace• Loyalty• Conservatism

Yellow

• Intellect• Optimistic• Cheerful• Impatient

Green

• Balance Growth

• Self Reliance• Passiveness

Purple

• Imagination• Creative• Innovation• Immature

85%Color is the main Reason for buying a product

1st 2nd


Value Stream Mapping

Identifies Process Step(s) to Improve

Establish Direction for Improvements

Visualize SYSTEM Improvements

Waste IdentificationBen

efi

ts


Value Stream MappingCustomer Lunch DemandAvailable Time 60Orders per hour 75Takt Time 0.8 min

Place Order

4Payment Receive

Order3 2

2 min.53 min

1.3 min.43 min

.16 min.2 min

Lead Time 4.62 minValue Add Time 1.16 minNon Value Add Time 3.46 minValue Add % 25.1%Non Value Add % 74.9%

Current State

3 min. Target


Key Lean Principles• Transformational Leaders– Clear vision set– Effective delegation– Empathy

• Respect For People– Problem Solving– Increasing skill– Empowered

• Continuous Improvement– Going to the Source of Problems

Plan

DoCheck

Act

Guaranteed ROI From Lean Teams USAContact Us

• Lean Teams USA Lean Consulting

• www.leanteamsusa.com

• Lean Teams USA +1 215 353 0696


http://www.leanteamsusa.com/

Lean for Small Business

Business

s proposals

value stream mapping

s steps

customer needs

s program

s workplace efficiency

market value price

customer values