Going Lean – Can It Work for Universities? Keith A. Willoughby, Ph.D. Senior Operations Research Specialist Health Quality Council Saskatoon, SK kwilloughby@hqc.sk.ca © Health Quality Council 2008 Denis Caron Provincial Dean of Industrial Training Saskatchewan Institute of Applied Science & Technology (SIAST) Saskatoon, SK caron@sasktel.net Part I • Lean 101 – History, principles, tools • Success stories • Lessons learned © Health Quality Council 2008 2 What we hope to accomplish • Acquaint you with the concepts of Lean • Introduce some of the language • Answer the questions, “What is it? What’s in it for me?” © Health Quality Council 2008 3 More information on Lean systems • Womack JP, Jones DT, Roos D. The Machine That Changed the World, 1990. • Womack JP, Jones DT. Lean Thinking, 2003. • Some valuable websites: – www.lean.org (Lean Enterprise Institute) – www.leanUK.org (Lean Enterprise Academy) © Health Quality Council 2008 4 Pop Quiz • Who started this whole notion of Lean principles, and when did they do this? © Health Quality Council 2008 5 Answer A? • Jim Womack (1990) • 5-year, $5 million study of global vehicle production – International Motor Vehicle Program • Co-authored “The Machine That Changed the World” with Dan Jones and Dan Roos • Coined the term “Lean” © Health Quality Council 2008 6 Is it…Answer B? • Taiichi Ohno (1912-1990) • 1950’s: Toyota Production System – – – – – • Continuous Flow Production Just-in-Time (JIT) Eliminate defects Top management commitment Employee participation 1969: Established the Operations Management Consulting Group – “Trainers” commissioned to promote Lean thinking within Toyota and the firms in its supplier group © Health Quality Council 2008 7 Or, how about… Answer C? • C.R. Dooley • Helped to develop the “Training Within Industry” program (1940s) • Infiltrated into Japanese industry by the Allied forces after World War II © Health Quality Council 2008 8 Could it be…Answer D? • Henry Ford, 1920s • Continuous Flow Assembly • Reduce wasted time – 1913-1914: doubled production with no increase in workforce – 1920-1926: Cycle time from 21 days to 2 days © Health Quality Council 2008 9 But maybe it is…Answer E? • Eli Whitney (1700’s) • Quick production of high-quality muskets – Standard interchangeable parts – Minimal product variation – Ordered and integrated workflow © Health Quality Council 2008 10 Another choice…Answer F? • The Venetian arsenal • Republic of Venice, early 16th century • Could produce nearly one ship each day – Standardized parts – Production-line basis © Health Quality Council 2008 11 What does this show us? • This is not new stuff • So why all the buzz today? © Health Quality Council 2008 12 What is “Lean”? • Providing value with less waste • Making common sense common practice © Health Quality Council 2008 13 Lean definitions • Providing exactly what the customer needs, safely, when needed, in precisely the right quantity, and without waste • Providing value for the customer • A set of quality improvement tools and philosophy designed to eliminate the sources of waste in a system © Health Quality Council 2008 14 The 8 sources of system waste Correction (defects) Waiting Overproduction Inventory Motion Overprocessing Material movement (transportation) Underutilized human talent © Health Quality Council 2008 15 What Lean is NOT • Layoffs • Customers = widgets • Making people work faster © Health Quality Council 2008 16 Lean principles • 1. What is value from the customer’s perspective? • 2. Understand your process – We’ll say more about this later • 3. Smooth the flow – Eliminate congestion © Health Quality Council 2008 17 More principles • 4. Pull – Supplier doesn’t produce until the customer signals a need – Is there smooth communication between process steps? • 5. Pursue perfection – A continual, never-ending journey © Health Quality Council 2008 18 Lean tools: A quick survey • Poka-Yokes (Failsafes) – Eliminates or reduces the opportunities for mistakes • Check John Grout's PokaYoke Page on www.mistakeproofing.com © Health Quality Council 2008 19 Vehicles • Arrow to indicate location of fuel tanks (driver/ passenger side) – Great for rental vehicles • Gas cap tether does not allow the motorist to drive off without the cap © Health Quality Council 2008 20 European streets • Tourists used to righthand side driving need some help in London • Instructions are printed right on the asphalt © Health Quality Council 2008 21 At the airport • If your bag fits in the size-wise unit it will fit in the overhead compartment © Health Quality Council 2008 22 Visual control systems • Labels, colour-coding to: – make it easier to find items – quicker ability to detect abnormal from normal • Examples: – Surgical shadowboards – Diagonal stripe along the fronts of binders © Health Quality Council 2008 23 The philosophy of 5S • “5S” stands for 5 Japanese words each beginning with the letter “S” • Translated into English as: – Sort, Set, Shine, Standardize, Sustain © Health Quality Council 2008 24 Exploring 5S • “A visually-oriented system for organizing the workplace to minimize the waste of time” • “Clears the clouds” – Eliminates the waste of motion/ looking for things • Makes the abnormal visually obvious © Health Quality Council 2008 25 Does this look familiar? © Health Quality Council 2008 26 Some more on 5S • It is NOT simply cleaning up! • Following 5S principles helps provide the disciplined habits necessary for further phases of Lean implementation © Health Quality Council 2008 27 5S: Five Hills Health Region (before) © Health Quality Council 2008 28 5S: Five Hills Health Region (after) © Health Quality Council 2008 29 More from Five Hills © Health Quality Council 2008 30 Process mapping • Obtain clearer understanding of how the process currently operates • Helps “learn to see” and “develop eyes for waste” – Redundant processing, unnecessary movement or wait time • Assist with identifying and planning improvements © Health Quality Council 2008 31 Process mapping in practice © Health Quality Council 2008 32 Facilitating communication © Health Quality Council 2008 33 Lessons learned • Culture, culture, culture – Top-down vision – Front-line enthusiasm • Build your own capacity • The first pass through a process map can identify obvious sources of waste © Health Quality Council 2008 34 Lessons learned • Let your data tell the story • There is a difference between a good idea and the right idea • Imbed improvement events within the day-to-day operations of your organization • Start with maintenance or purchasing © Health Quality Council 2008 35 Part II • Lean Application in Post-Secondary Institutions © Health Quality Council 2008 36 Words of Wisdom • "Any intelligent fool can make things bigger, more complex, and more violent. It takes a touch of genius - and a lot of courage - to move in the opposite direction." Albert Einstein © Health Quality Council 2008 • "Anyone who has never made a mistake has never tried anything new." 37 Strategic Thinking Old Mind • • • • • • • • Develop strategic plans Operate independently Lead with authority Cope with technology Delegate financial management Communicate facts and logic Manage risk Become an expert © Health Quality Council 2008 New Mind • Plan, think strategically • Lead with vision & teams • Leverage technology • Develop personal business acumen • Uses metaphors, stories, images • Balance risk and reward • Remain a learner Strategic sense Get on the Balcony 1 Leadership Management © Health Quality Council 2008 1 Heifetz, R.A & Laurie, D.L. (2001) Strategic Planning Model (Traditional) © Health Quality Council 2008 Strategic Thinking Model Strategic Planning Supporting Objectives “What” “What and Why” Evaluate Plan in Action “How” © Health Quality Council 2008 Why Lean? Public sector perspective - Finance stewardship © Health Quality Council 2008 Why Lean? Public sector perspective - Human resources and capacity © Health Quality Council 2008 SIAST’s Approach (How?) • • • • • SIAST and division strategic plan Business case Survey Strategic direction Lean program pilot – Industrial Mechanics Labs and Classrooms © Health Quality Council 2008 Leaning Industrial Mechanic’s Program “Pursuing Excellence” © Health Quality Council 2008 Leaning Industrial Mechanic’s Program “Pursuing Excellence” © Health Quality Council 2008 Leaning Industrial Mechanic’s Program “Pursuing Excellence” © Health Quality Council 2008 Leaning Industrial Mechanic’s Program “Pursuing Excellence” © Health Quality Council 2008 SIAST - Lessons Learned • • • • • • • • Plant the seed early Find and support champions Don’t go it alone Find quick wins Leverage success Communicate effectively and frequently Educate, educate, educate Remain focused and determined © Health Quality Council 2008 SIAST - Future Direction • Industrial Division – Expansion of lean practices – Self sufficiency – Education and training (Green belts) • Registration Services – Registration process – Student transcript process – Waitlist management © Health Quality Council 2008 Potential Post-Secondary Applications • • • • • • Facility maintenance Care-taking services Food services Finance, procurement and inventory control Student registration and transcript processes IT processes (student and staff course management, libraries) • Classroom scheduling • Research and publications © Health Quality Council 2008 Q&A • Keith Willoughby, kwilloughby@hqc.sk.ca • Denis Caron, caron@sasktel.net © Health Quality Council 2008