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Measurement and Return on Investment in the Lean Organization

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  Lean Nation, It is nice to return to the blog scene which I have committed to doing monthly.  Today's blog is on measurement and developing a return on investment (ROI) using a lean improvement system.  In order to get to a return on investment, you must begin by measuring both your processes and your results.   Processes are operational indictors that tell you if your process is running as designed.  Results are what show up when your processes are robust and running well.  Before I go on, let me state that measurement is critical because it is the only way we can show improvement.  If you can't measure it, you can't improve it.  As we go further in this topic, I'd like to offer that measurement is "easy".  This statement is true once we have a good idea of what to measure.  Candidates for measurement in an improving environment comes from five dimensions. Quality, Delivery, Cost, Staff Morale, and Growth.   Collectivel...
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Explaining the Lean Management System Part 5 Leader Standard Work

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  Lean Nation, In this five-part blog series on introducing the lean management system, the series focuses on discussing some of the key elements of the daily management system. This work, completed by organizational leaders at all levels, is essential in having a thriving improvement system. Four elements are essential in engaging all employees, building the correct improvement habits /behaviors, and sustaining improvement.   These four include: 1) Process or production control - This is used to ensure standard work is performing as designed and to provide hourly insights into waste creeping back into the system 2) Daily tiered huddles - These are used to monitor outcomes of processes aligned to true north measures 3) Kamishibai task audits - These daily audits are used to satisfy your curiosity that things are operating as designed with special emphasis on key standards, best practices, compliance, safety, etc.  4) Leader standard work - This practice to d...
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Explaining the Lean Management System Part 4 Kamishibai

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  Lean Nation,   In this five-part blog series on introducing the lean management system, the series focuses on discussing some of the key elements of the daily management system.  This work, completed by organizational leaders at all levels, is essential in having a thriving improvement system.  I find four elements are essential in engaging all employees, building the correct improvement habits /behaviors and sustaining improvement.   These four include: 1) Process or production control - This is used to ensure standard work is performing as designed and to provide hourly insights into waste creeping back into the system 2) Daily tiered huddles - These are used to monitor outcomes of processes aligned to true north measures 3) Kamishibai task audits - These daily audits are used to satisfy your curiosity that things are operating as designed with special emphasis on key standards, best practices, compliance, safety, etc.  4) Leader stan...
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