Measuring Lean Success

John McNeil, GP Deltapoint
 

Schonberger's recent article may seem a little dry and his recommendations removed from most people's everyday work practices and measures. But Dr Schonberger has a long history of leadership in manufacturing practice and is linked strongly with the Shingo prize. His earlier work is summarized in World Class Manufacturing: The Lessons of Simplicity Applied, where he lays out 16 principles that are the true predictors of manufacturing success.

1. Team up with the customer
2. Use best practice information from customers / competitors
3. Continual, rapid improvement in quality / speed / flexibility
4. Frontliners involved in change and strategic planning
5. Cut to the few best components, operations, suppliers
6. Cut flow time, distance, startup, changeover times
7. Operate close to customer's rate of use/demand
8. Continually train everyone for the new roles
9. Expand variety of rewards, recognition, and pay
10. Continually reduce variation and mishaps
11. Frontline teams own and record process data
12. Control root causes to cut internal reporting
13. Align performance measures with customer wants
14. Improve present capacity before new equipment & automation
15. Seek simple, flexible, low cost equipment in multiples
16. Promote / market / sell every improvement

Together these comprise customer-focused, employee-driven, data-based management.

These concepts provide a framework for action. In his later book—World Class Manufacturing: The Next Decade: Building Power, Strength, and Value—he showed that successful implementation of these simple rules will drive the two robust measures of a company's power, strength and value: customer satisfaction and inventory turnover. His supply chain article reinforces these concepts. Both it and his two books are highly recommended and coincide with our teaching and consulting philosophies.

Back to top of page