Lean involves a focus on satisfying customers and the elimination of all processes or operations that are not creating customer value. The central idea is that if the customer will not pay for the work done by your staff, then don’t do it! Lean is a holistic philosophy for the company and is primarily about getting the most from your people, underpinned by a specific way of designing processes and a set of management tools.
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Manufacturers evolved Lean
Lean was evolved by manufacturing firms when continuing demands and tight margins meant an urgent need to improve service and cut costs simultaneously. Manufacturers, including Toyota, perfected the Lean methods of achieving results through people. But the Lean approach is not only relevant for the manufacturing industry - it can with advantage be adapted to other industries such as financial service organisations, the public sector, as well as the healthcare sector (especially hospitals). By doing so, higher productivity gains can be achieved in the same way as in manufacturing.
Key elements of Lean
In order to achieve improvements in service and costs from Lean's cultural change, three main principles must be adopted:
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address the people aspect; focus more on people than processes and tools
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take a top-down view to achieve the performance you need
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develop a practical approach that grows Lean capability.
A Lean management programme consists of the following key elements:
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consistent focus on customer value in all processes and operations
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road map outlining next steps – both on long term and short term
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full commitment and understanding on all levels of the organisation for the programme and for Lean Management
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integration of Lean in the general management approach
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extensive involvement and development of the employees – a culture that focuses on people more than processes and tools, and places the employee in the centre
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consistent implementation and transformation, supported by systematic change management
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adjustment of IT systems to optimal process support.
PA’s experience
PA has more than 15 years of experience in Lean manufacturing, Lean management, Six Sigma, Total quality management and Kaizen. We support all phases of Lean management programmes from the planning phase to roll-out and implementation. Furthermore, PA is one of the founders of EFQM (European Foundation of Quality Management).
