Lean Enterprise Product
Development (LEPD) Simulation
•  Teaches principles of Lean
product development (PD) and its
role in the Lean enterprise
•  PD value stream mapping and related
•
Needs
(Programs)
Program
Program
Management
Managers
Organization
Jobs
SubPM
Programs
Customer
improvement techniques
Best practices of organizational
design for lean PD
Engineering
Groups
Table 1
Status
Information
PMO
© 2006 Massachusetts Institute of Technology
Table 2
PM
© 2006 Massachusetts Institute of Technology
•  Companion to LAI PDVSM manual
Table 3
PM
•  A simulation of a complex
© 2006 Massachusetts Institute of Technology
aerospace PD enterprise
•  Builds on the Lean Enterprise Value
35
•  Lean improvements demonstrate:
•
•
~4x improvement in program cycle
time and throughput
~60% improvement in engineering
hours
Significantly better and more
consistent financial performance
http://lean.mit.edu
450
400
Engineering
hours
350
300
Cost/Pt
•
Program
cycle time
30
Table1
Table2
Table3
250
200
150
Program Cycle Time
•
(LEV) simulation
Draws heavily on LAI research and LAI
member experience
25
20
Legacy
Local Lean
Global Lean
15
10
5
100
50
0
1
0
1
2
3
4
5
6
2
3
4
5
6
7
8
9
Equivalent Program
10
11 12
© 2006 Massachusetts Institute of Technology McManus/Rebentisch LEPD Overview 1