LAI Today and Tomorrow
Presented by
Professor Debbie Nightingale
LAI Plenary Conference
March 22, 2005
Agenda
• Highlights Since Last Plenary
• Future Direction for Phase V
• Conference Highlights
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 2
Highlights Since Last Plenary
•
Highlights Since Last Plenary
•
•
•
•
•
Systems Engineering
Research and Products
EdNet
Lean Training
Lean Now
•
Future Direction for Phase V
•
Conference Highlights
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 3
LAI Knowledge Cycle
Imperatives
Outcomes/
Lessons Learned
Institutionalization
Requirements
Deployment
Validation
LAI Community
Implementation
Research
Interface Process Projects
Enterprise Transformation Projects
Knowledge Infusion
Knowledge
Deployment
Web
Curriculum
Workshops
web.mit.edu/lean
Tool
Prototyping
Knowledge Integration
Tool Creation
Product Creation
Knowledge
Collection
Data
Site Visits
Workshops
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 4
Systems Engineering
Systems Engineering became a significant focus area in 2004 in
response to Air Force and DoD SE Revitalization policies and initiatives
•
AF/LAI Workshop on Systems Engineering for Robustness held in June
2004 helped shape several initiatives
• Value of SE Technical Report published
• SE Leading Indicators Working Group formed and ongoing
•
SE Research Group formed at MIT
• Seven students (and growing) working on advanced systems architecting and
engineering topics
•
•
•
•
Continued meetings of the EdNet Lean SE group
LAI research papers at six conferences and Lean SE panel session at
INCOSE 2004 Symposium
Strategy and plan developed for new LAI product to support systems
engineering community, to supplement CMMI and LESAT
Collaborations developed with AF Center for Systems Engineering,
FFRDCs, Consortia, and Industry Associations
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 5
Coevolving Research and Tools
Research & Products
EVSMA
RESEARCH
SIMULATION
LESAT
TTL
LEM
0
10
20
30
40
Time (Months)
Research
1994
•
•
•
Development
50
60
Cumulatively
Expanding
Knowledge
Base
2004
Tools/Products are responsive to emerging stakeholder needs
Research precedes the development of tools
Tool development draws upon the cumulative knowledge base
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 6
Coevolving Research and Tools
Expanding
Knowledge
Base
RESEARCH
G-LESAT
Supplier Mgmt
Self-Assessment
EVSMA
LEV
Book
LEM
TTL
LESAT
TTL
Guides
LESAT
Facilitators
Guide
PO-TTL
1994
web.mit.edu/lean
Lean Now
Workshop
PDVSM
SN-Roadmap
Lean
Academy
Enterprise
Simulation
Game
Lean PD
Training
LEV Short
Course
LAI
Facilitator
Course
2004
Transformation
Resources
Assessment
Training
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 7
Enterprise Value Stream Mapping
and Analysis (EVSMA) Approach
Define and Characterize
the
Current State
Create
the
Future State
Enterprise Boundaries
Enterprise
Interactions
LESAT
Strategic
Objectives
Close the
Gap
Stakeholder
Values
Enterprise
Wastes
•
•
•
Enterprise
Processes
Prioritized
Improvement
Plan
Lean Enterprise Vision
5-10 years in the future
• Enterprise goals
• Vivid description
• Focus areas
• Revised system of
metrics
Creates common enterprise view among executive team
Develops a strategic vision for the enterprise
Provides foundation for transformation with executive buy-in
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 8
EVSMA Product Development
and Testing Highlights
•
Ogden ALC
•
•
C-17
•
•
Identified need for systematic change capability development
to implement and sustain improvements
Redefined enterprise boundaries to include Boeing, SPO,
and DCMA working collaboratively towards improvement
Tinker ALC
•
Utilized refined EVSMA process and incorporated lessons
learned for developing lean change experts
Lean Change Infrastructure Key to Success
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 9
Lean Enterprise Value
Business Simulation
• A Training and Facilitation tool for
Lean
Suppliers
Enterprise
Transformation
Manufacturing
Customer
Enterprise Transformation
Plant B
• Teaches the application of lean tools
•
•
•
through active participatory learning
Develops enterprise thinking and
analysis skills and experience the
benefits of the lean enterprise
Accelerates transition to productive
work in lean interventions (e.g., value
stream mapping events)
Builds stronger relationships in the
value stream with customers, partners,
and suppliers
Plant A
Design
Change
Request
2nd Tier
Design
1st Tier
Analysis
Engineering
Design
In/Out Box
Design
Final
Assembly
Plant C
Verification
Service & Support
Systems
Engineering
1 — © 2004 Massachusetts Institute of Technology
Analysis
• A Simulation of a Complex Aerospace
Enterprise
• Manufacturing, Engineering, Supply
•
Network and Service and Support
Modules
Modular and adaptable for a variety of
learning objectives and events
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 10
A Simulation Environment for
Multiple Lean Concepts
•
Applications:
• Lean enterprise training for:
•
•
•
•
•
OEM production
Service and support operations
Depot refit/modification operations
Six Sigma expert analysis tools
Enterprise value stream mapping
• Focused training for:
•
•
•
•
•
web.mit.edu/lean
Lean engineering
Lean Academies™
Train-the-trainer deployment.
Simulation environment enables hands-on
instruction in advanced analysis tools
Highlights principles and practices of Lean
Enterprise transformation
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 11
Using the Simulation for Program
Enterprise Transformation
•
Simulation customized to resemble actual program
•
•
•
Textron SFW Event
•
•
Participants learn lean, teamwork, and VSM concepts in simulation—
then apply to actual program value stream
Actual program VSM proceeds very rapidly with high fidelity
Production and supply chain challenges
L3 EC-130 Compass Call Event
•
•
Depot refit/modification variant of simulation introduced
Refit and Engineering Integration challenges
From event
start to highpayoff action
plans in a few
working days!
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 12
Product Development Value Stream
Analysis and Mapping Manual (PDVSM)
Product Development Transition
to Lean Roadmap (PDTTL)
•
•
Practical guides to application of lean to PD
Summary and reference for 6+ years of PD
group experience
•
PDTTL focused on the strategic level:
transforming PD for enterprise lean success
•
PDVSM focused at the tactical level:
engineering process improvement
•
Resources for engineering change, from
program or functional transformations to local
Kaizens
•
•
web.mit.edu/lean
Beta PDVSM released April 04, 1.0 in progress
Beta PDTTL released March 05
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 13
Supplier Networks Transformation
Toolset can Help Accelerate
Industry’s Transformation
for
for building
building lean
lean
supplier
supplier networks
networks
How-to,
How-to, who,
who, when,
when,
where
where
C
or
e
Principles
Principles
References
References
Glossary
Glossary
Core concepts
n
tio
DESK
DESK
REFERENCE
REFERENCE
RESOURCE
GUIDE
For smaller
suppliers
(Lean diagnostic;
“yellow pages”)
ta
en
co
n
ce
pt
s
ROADMAP
ROADMAP
em
pl
Im
Supplier
Networks
Working
Group
Activity
SUPPLIER
SUPPLIER
MANAGEMENT
MANAGEMENT
SELF-ASSESSMENT
SELF-ASSESSMENT
TOOL
TOOL
What,
What, current
current state,
state,
future
future state
state
OBJECTIVE: Develop integrated lean supplier networks
transformation toolset
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 14
LAI Educational Network
Vision: Active communication and collaboration
among member schools, and with LAI members,
to support the transformation of the greater US
aerospace enterprise
Mission: Support
continuous learning
throughout the US
aerospace enterprise by
sharing knowledge and
curriculum
Adding Value by Leveraging Efforts
Through Networking
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 15
Schools Engaged as of 3/05
Wright State*
Univ of
Michigan*
International Schools:
University of Warwick*
University of Bath*
Cranfield University*
Purdue*
Air Force
Institute of
Technology
Worchester
Polytechnic
Institute*
MIT*
Stevens Institute
of Technology
Stanford
Hampton Univ*
Old Dominion Univ*
Defense
Acquisition
University*
Loyola
Marymount*
Univ of
Southern
California*
Univ of Tennessee*
Georgia Tech
Arizona State Univ
Wichita State*
UT - Arlington*
* 22 Schools have signed
* 22 Schools have signed
No Cost Collaborative Agreement
No Cost Collaborative Agreement
Embry-Riddle*
Univ of Alabama - Huntsville*
Univ of New Orleans*
Univ of Louisiana, Lafayette*
St. Louis University*
Univ of Missouri-Rolla*
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 16
Lean Academy Strategy
•
“Empowering,
practical,
critical”
•
•
•
“I see lots of
room for
Lean in my
department.”
•
Develop university faculty
capability to teach lean
Develop curriculum
Educate undergraduate
level interns, coops, new
hires, on-site, at “point of
use”
Stimulate diffusion of
curriculum into on-campus
courses
Build industry-academia
partnerships
Short
Short and
and long
long term
term value
value for
for multiple
multiple stakeholders!
stakeholders!
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 17
Lean Training
•
Lean Now 1-day workshop
• Basic awareness training for improvement teams
• Introduces terminology
• Provides case study application of concepts
• Prepares participants for productive contribution to VSM
events
•
1-week Facilitator introduction
• Introduction to analysis and facilitation techniques
• Provides hands-on application through simulation
• Requires additional mentoring and experiential learning to
supplement
Sharing the Best of the Best of LAI Members
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 18
Lean Now to Large Scale
Transformation
CultureChange
Change
¾¾ Culture
SelfSufficiency
Sufficiency
¾¾ Self
MeasurableResults
Results
¾¾ Measurable
MultipleStakeholders
Stakeholders
¾¾ Multiple
MultipleInterfaces
Interfaces
¾¾ Multiple
“Pull”for
forLean
Lean
¾¾ “Pull”
HighDegree
Degreeof
ofSME
SME
¾¾ High
KnowledgeSharing
Sharing
Knowledge
Lean Now Wave 1
‰
‰ Alpha
Alpha Contracting
Contracting –– Global
Global Hawk
Hawk
‰
‰ Combined
Combined Test
Test Force
Force –– F/A-22
F/A-22
‰
‰ Inactive
Inactive Contract
Contract Closeout
Closeout –– F-16
F-16
Lean Now Wave 2
‰
‰ Turbine
Turbine Engine
Engine Test
Test –– AEDC
AEDC**
ƒ
Seek
Seek Eagle
Eagle Stores
Stores Separation
Separation
‰
‰ Procurement
Procurement Request
Request Process
Process –– Ogden
Ogden ALC
ALC
Large Scale Enterprise Engagements
‰
‰ Ogden
Ogden ALC
ALC
‰
‰ C-17
C-17
‰
‰ Oklahoma
Oklahoma City
City ALC
ALC
‰
‰ Industry
Industry Engagements
Engagements
** Arnold Engineering Development Center
web.mit.edu/lean
¾Lean Now Wave 3
9 EC-130 Compass Call
¾Enterprise Engagements
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 19
L-3 Com EC-130 Workshop—
Lean Awareness and
EC-130 Value Stream Mapping
Why: Elevate Enterprise Value Stream thinking
– Identify EC-130 projects to close the gap – Current
State and Future State
– Deliver more EC-130 or equivalent resource
capabilities for fixed budget
How: Use LAI tools and facilitators
– Involve Multiple Stakeholders
– Achieve Enterprise Integration
L-3 Com was the Second consortium member to use LAI’s Lean
Enterprise Value simulation as an enabling tool involving all
stakeholders and enterprise integration for an Air Force program
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 20
Agenda
• Highlights Since Last Plenary
• Future Direction for Phase V
• Conference Highlights
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 21
LAI Vision and Mission (Phase V)
Vision
Enable enterprises
to effectively, efficiently, and reliably create value
in a complex and rapidly changing environment
Mission
Enable focused and accelerated transformation of
complex enterprises through the collaborative
engagement of all stakeholders to develop and
institutionalize principles, processes, behaviors,
and tools for enterprise excellence
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 22
Imperatives
• Provide value to all consortium stakeholders
• Sustain the LAI consortium as a learning community
among industry, government, the workforce, and
academia to address enterprise excellence and take
collective action for continuous improvement
• Facilitate enterprise transformations within and between
industry and government
• Expand and diffuse enterprise transformation knowledge
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 23
Increasing Stakeholder Value
Industry
Co-Director
Stakeholder
Co-Director
Government
Co-Director
Transformation
Director
Recommended by Strategic Business Model Team
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 24
LAI - Expanding Enterprise Focus
F
O
ON
I
UT
L
O
EV
PR
R
TE
N
NE
A
LE
Successes through
interaction between
functions
Functional lean
successes
• Manufacturing
• Product Dev.
• Supplier Network
Lean applied to
enabling processes
• HR
• IT, etc.
N
KI
N
HI
T
ISE
Transition from waste
Minimization to value
creation
G
Expanding the
lean boundaries
• Suppliers
• Customers
• Partners
Success through total
enterprise integration of all
stakeholders
• Industry
• Government
• Suppliers
• Employees
Increasing
Total
Enterprise
Effectiveness
Success through
enterprise integration
Phase III
Success through
networked enterprises
Phase IV
Phase V
“Islands” of Success
Phase I
Phase II
Products
LEM
++
++
TTL
Knowledge
Cycle Time
(~6 mo)
(~1 yr)
LEM
web.mit.edu/lean
EVSMA Architecting Toolset
(~2 yrs)
(~3 yrs)
(>4 yrs)
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 25
Looking Ahead – We see
Evolving Enterprise Scope
Customer
Customer
Finance/Human
Manufacturing
Resources, etc.
Operations
Customer
Finance/Human
Manufacturing
Resources, etc.
Operations
Customer
Finance/Human
Manufacturing
Product Support
Product Development
Resources, etc.
Operations
Finance/Human
Manufacturing
Product Support
Product Development
Supplier Network
Resources, etc.
Operations
Product Support
Product Development
Supplier
Network
Enterprise
Customer
Customer
Government
Product Support
Supplier
Network
Enterprise
Finance/Human
Finance/Human
Finance/Human
Resources,
Resources,etc.
etc.
Resources, etc.
Customer
Product Development
Manufacturing
ManufacturingPartners
Operations
Operations
Supplier
Network
Enterprise
Enterprise
Manufacturing
Operations
Shareholders
Product Support
Product Development
Supplier Network
Product
ProductSupport
Support
Enterprise
Product
ProductDevelopment
Development
Supplier
Network
Supplier
Network
Environment
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 26
Emerging Key Challenges
•
Managing increasing technological complexity
•
Designing collaborative networked enterprises
•
Adapting to fast-changing external environment
•
Coordinating across multiple interfaces
MOVING FROM THE PAST
(vertically integrated) enterprises
web.mit.edu/lean
TOWARDS THE FUTURE
(networked) enterprises
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 27
Three Knowledge Areas Address Key
Enterprise Challenges
Enterprise
Change
•Strategies for accelerating enterpriselevel change
•Success factors in achieving
sustainable enterprise transformation
EdNet
Product
Lifecycle
•Spiral product development in a system-ofsystems environment
•Revitalizing systems engineering capabilities
Enterprise
Architecting
Knowledge
Deployment
•New concepts & methods for designing future lean enterprises
•Principles & practices for evolving adaptive lean enterprises
Moving towards new lean frontier
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 28
Enterprise Change
KNOWLEDGE AREA
MOTIVATION
IMPACT
General lack of internal lean change capability
New knowledge and tools for speeding up
enterprise transformation efforts across multiple
organizations
Challenge of translating enterprise level strategic
change to the functional level
Need to benchmark enterprise change best
practices both within and across enterprises
ACTIVITIES &
ACCOMPLISHMENTS
LAI providing value
Defining principles & methods for enterprise
change management
Focused case studies -- Enterprise change
initiatives at Tinker, Ogden, and Warner Robins
ALCs; Raytheon Paveway
Enterprise metrics
web.mit.edu/lean
Developing a unified knowledge base on enterprise
change (theory, practices, tools, success stories,
lessons learned)
FUTURE PLANS
Develop a theory of enterprise change
and incorporate into TTL Roadmap
Research enterprise change best practices:
•Case studies
•Action research projects (gov’t &ind)
•Systems of Metrics
•Cross-organizational learning
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 29
Product Lifecycle Area Addresses
Key On-going Challenges
•
Applying lean principles to Product Development and
Systems Engineering
•
Developing lean engineering and product/system
development capabilities
•
Enabling increased responsiveness, robustness and
integration at enterprise level
•
Designing and developing complex systems in a
system-of-systems environment
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 30
Product Lifecycle Knowledge Area
IMPACT
MOTIVATION
To reduce the cost and
cycle time associated with product
lifecycle processes while enabling
increased responsiveness,
robustness, and integration at all
enterprise levels
Deploying Lean PD/SE
knowledge through training,
guidebooks, workshops, conferences
Hundreds trained in Lean Engineering
PDVSM manual used in VSM training/events
LAI papers/panels at several conferences
LAI members engaged in initiatives and
deployment of practices
LAI providing value
ACTIVITIES &
ACCOMPLISHMENTS
PDVSM beta manual and training
MATECON method and training
SE for Robustness workshop with 6
follow-on initiatives
8 graduate theses in product lifecycle
area, 6 more forthcoming
SE Research group formed
web.mit.edu/lean
FUTURE PLANS
Complete and disseminate PDTTL as
part of lean PD toolset
Tool for Self-Assessment of Goodness of
SE on a Program
Continued research, transformed to
practice and methods
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 31
Enterprise Architecting Enables
Greater Effectiveness
•
Organization
•
Processes
Strategy
Architecting
Architecting
Architecting
Architecting
Knowledge
Technology
•
•
Effective integration – managing
complex interdependencies
System Optimization, not local
optimization
Knowledge-based enterprise
capabilities
Achieving desired future state
characteristics
• Agility
• Flexibility
• Reconfigurability
Networked Lean Enterprises
Delivering Effects-based On-demand Value
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 32
Enterprise Architecting – Achieving
Greater Efficiency & Effectiveness
Efficiency
Pushing out the valuecreation frontier
Desired Future State
Enterprise Architecture
Current State
Enterprise Architecture
Effectiveness
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 33
Enterprise Architecting -- Pursuing an
Integrated Research Agenda
New Business Models
& Value-Creation
Frameworks
Designing
Future
Lean Enterprises
Evolving
Adaptive
Lean Enterprises
y
How do we construct robust value propositions?
y
What are the emerging new business models?
y
What are the key characteristics of emerging networked enterprises?
y
How can knowledge be transformed for competitive advantage?
y
How do you create both efficient and effective lean enterprises?
y
How do you organize to deliver best value to stakeholders?
y
How do you build virtual lean enterprise networks?
y
What measures & incentives drive high-performing enterprises?
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 34
Emerging Products from
Enterprise Architecting Research
Enterprise metrics
Next Generation
Performance
Measurement
System
Customer
Government
Customer
Finance/Human
CustomerManufacturing
Resources, etc.
Operations
Finance/Human
CustomerManufacturing
Resources, etc.
Operations
Manufacturing
Customer
Product Finance/Human
Support
Product
Development
Resources, etc.
Operations
Finance/Human
Manufacturing
Product Support
Supplier Network Product Development
Resources, etc.
Operations
Product Support
Product Development
Supplier
Network
Enterprise
Product Support
Product
Development
Supplier
Network
Enterprise
Supplier
Network
Enterprise
Finance/Human
Resources, etc.
Manufacturing
Operations
Product Support
Product Development
Enterprise
Partners
Shareholders
Supplier Network
Enterprise
Environment
Knowledge
Management
Self-Assessment
Tool
Knowledge Management for Dynamic Enterprise Capabilities
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 35
Emerging Products
for the Next Phase
Product
Development
TTL
Supplier Networks
Desk Reference Guide
Field book for
Enterprise
Change
Next Generation
Performance
Measurement
System
Enterprise
Architecting
Course
Lean Supply Network
Management
Supplier Networks
Resource Guide
Knowledge
Management
Self-Assessment
Tool
2005
web.mit.edu/lean
TTL Roadmap
Update
Enterprise
Architecting
Toolset
System
Engineering
Good Practices
Supplement
Time
Transformation
Reference
Assessment
Education
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 36
Agenda
• Highlights Since Last Plenary
• Future Direction for Phase V
• Conference Highlights
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 37
Enterprise Transformation
TTL Roadmap
Long Term Cycle
Entry/Re-entry Cycle
Focus on the Value
Stream
Adopt Lean
Paradigm
•
•
•
•
Build Vision
Convey Urgency
Foster Lean Learning
Make the
Commitment
• Obtain Senior Mgt.
Buy-in
Decision to
Pursue
Enterprise
Transformation
Enterprise
Strategic
Planning
• Create the Business
Case for Lean
• Focus on Customer
Value
• Include Lean in
Strategic Planning
• Leverage the
Extended Enterprise
web.mit.edu/lean
Initial
Lean
Vision
•
•
•
•
Map Value Stream
Internalize Vision
Set Goals & Metrics
Identify & Involve Key
Stakeholders
Develop Lean Structure &
Behavior
Detailed
Lean
Vision
•
•
•
•
Organize for Lean Implementation
Identify & Empower Change Agents
Align Incentives
Adapt Structure & Systems
+
Environmental
Corrective
Action Indicators
Short Term Cycle
Focus on Continuous
Improvement
•
•
•
•
Monitor Lean Progress
Nurture the Process
Refine the Plan
Capture & Adopt New
Knowledge
Outcomes on
Enterprise
Metrics
Detailed
Corrective
Action
Indicators
Lean
Transformation
Framework
Create & Refine
Transformation Plan
• Identify & Prioritize Activities
• Commit Resources
• Provide Education & Training
+
Implement Lean Initiatives
• Develop Detailed Plans
• Implement Lean Activities
Enterprise
Level
Transformation
Plan
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 38
Plenary Focuses on Key Elements of
Transition-To-Lean Roadmap
Long Term Cycle
Entry/Re-entry Cycle
Focus on the Value
Stream
Adopt Lean
Paradigm
•
•
•
•
Build Vision
Convey Urgency
Foster Lean Learning
Make the
Commitment
• Obtain Senior Mgt.
Buy-in
Decision to
Pursue
Enterprise
Transformation
Initial
Lean
Vision
•
•
•
•
Map Value Stream
Internalize Vision
Set Goals & Metrics
Identify & Involve Key
Stakeholders
Need to build internal lean
infrastructure capability
Enterprise
Strategic
Planning
• Create the Business
Case for Lean
• Focus on Customer
Value
• Include Lean in
Strategic Planning
• Leverage the
Extended Enterprise
web.mit.edu/lean
Environmental
Corrective
Action Indicators
Detailed
Lean
Vision
•
•
•
•
Organize for Lean Implementation
Identify & Empower Change Agents
Align Incentives
Adapt Structure & Systems
+
Short Term Cycle
Focus on Continuous
Improvement
•
•
•
•
Develop Lean Structure &
Behavior
Detailed
Corrective
Action
Indicators
Lean
Transformation
Framework
Create & Refine
Transformation Plan
Monitor Lean Progress
Nurture the Process
Refine the Plan
Capture & Adopt New
Knowledge
• Identify & Prioritize Activities
Challenges in translating
• Commit Resources
• Provide Education & Training
enterprise level strategic
+
change
to
the
functional
level Enterprise
Outcomes on
Enterprise
Metrics
Implement Lean Initiatives
• Develop Detailed Plans
• Implement Lean Activities
Level
Transformation
Plan
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 39
Lean Transformation:
Building the Infrastructure
Plenary Highlights
•
Bob Conner
• AFMC
• “Its tough to transform without changing”
• Oklahoma City ALC
• “Visioning is hard work”
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Industry Panel on “Organizational Design Choices
in Lean Transformation”
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Dr. George Roth (Facilitator), Dr. Bill Kessler, John
Kirkgasser, Rusty Patterson, and Charles Toups
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Senior managers from 4 LAI companies highlighted their
companies’ infrastructure for lean and other continuous
improvement initiatives.
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 40
Plenary Preview – Strategic and
Topical Breakouts
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Wednesday – Strategic Breakout Day
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Performance Measurement Frontiers
Change Methodology, Planning & Standardization I & II
Identifying, Training & Empowering Change Agents
Aligning Across Functions
Designing Support Structures & Processes
Engaging People in Evolving Lean Culture
Thursday Morning – Topical Breakouts
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Sustaining Lean Change
Supply Chain Management
Lean Culture & Enterprise Capabilities
Product Development
Don’t Forget to Check Out the Posters
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 41
Plenary Preview – Thursday
Afternoon General Session
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Dr. Jan Klein
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“Making Lean Stick” - Three things that must exist
for a successful transformation
• Pull -vs- Push
• Outsider insiders
• The infrastructure to make it work
Prof. John Carroll
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Plenary wrap-up and lessons learned
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 42
This Is Your Plenary
• Learn Something New
• Network
• Collaborate
• Have Fun
web.mit.edu/lean
© 2005 Massachusetts Institute of Technology Dnightingale, Plenary 03/05 - 43