Lean Management
Essay by Marry • March 10, 2012 • Research Paper • 3,415 Words (14 Pages) • 1,693 Views
1. Description of Company XYZ Northamptonshire
2.1 Main Products, Services and Customers
Company XYZ is a Government funded organisation, aiming to increase motivation, aspiration and achievement of pupils living in areas of deprivation and low progression.
Company XYZ Northamptonshire works with 42 county schools and colleges offering impartial IAG about post-16 progression, to students aged 14-19.
Company XYZ's customer can either be viewed as the Government, as they provide funding; schools, as they receive services; or students, as they are the ultimate recipient and target of services. For this reason, this report will focus on students as the customer.
2. Operational process
2.1 Booking programme of activities with a school
Input resources Transforming activities Output
- Company XYZ and school staff
- Internet enabled Computer
- Telephone
- Furnished office/school
- Stationary
- Electricity -Company XYZ Coordinator (CO) emails eligible school (separate process to determine this) to arrange planning meeting.
-Company XYZ link (AL) in school reads email, checks diary, responds to confirm meeting time and date.
-Company XYZ staff reads reply. Responds to email to confirm.
-On selected date (CO) drives to school, enters reception, receptionist calls AL. CO waits for AL.
-CO and AL decide suitable dates for available activities. CO completes planning pro-forma. AL writes down.
-CO drives back to office, enters details onto spreadsheet. Emails AL.
-AL sends email with proposed dates to Senior Management (SMT).
-SMT check dates are suitable (separate process). Replies to AL.
-AL emails confirmation of dates. If alternative dates needed, process starts again. -School books programme of activities in CO and school diaries.
2.2 Selecting eligible students
Input resources Transforming activities Output
- Company XYZ, Local Authority (LA) and school staff
- Internet enabled Computer
- Telephone
- Furnished office/school
- Stationary
- Electricity
- Access to student database -LA loads student data onto designated system (separate process). Emails Company XYZ management password.
-Management opens email, logs onto system, enters password, downloads and saves data.
-Saves postcodes only onto separate spreadsheet. Emails to data analysis team (DA).
-DA puts data through eligibility system (separate process). Emails results to management.
-management downloads data onto USB, gives to each CO.
-Each CO copies data for each school onto separate spreadsheet, filters 'target students,' saves as separate file.
-CO emails each AL their spreadsheet asking for confirmation of which 45 students will form cohort.
-AL emails year heads/SMT, for same confirmation. They reply confirming which 45 students they want to be in cohort.
-AL emails confirmation to CO who saves final copy. -Eligible students who school feels will most benefit from intervention will attend Company XYZ events.
-Government targets are met as students in 40% most deprived areas benefit from intervention.
3. Literature Review: Lean Management
The numerous definitions of lean management are symptomatic of the fact that organisations all interpret the philosophy differently. Government agendas demanding "increased efficiency and the need for service expansion with limited resources" (Radnor, 2010: 412) are driving public sector implementation. This section will explore six prevalent concepts in the literature, their application and resultant frameworks.
3.1 Elimination of Waste
Arguably the most important part of the lean philosophy is the elimination of waste; "any activity that does not add value" (Slack, Chambers and Johnston, 2010:435). Taiichi Ohno developed the Toyota Production System (TPS), of which waste elimination was the essence, in the mid 20th century in order to increase efficiency and ensure businesses achieve their full potential (Sutherland and Bennett, 2008). The wastes are:
1) Overproduction
2) Delay/Waiting
3) Transportation
4) Motion
5) Inventory
6) Space
7) Errors
Once identified, they can be eliminated through applying the four core principles identified in table 1.
Muda Identifying the waste in the first instance
Process Focus Ensuring cross-organizational efforts to develop robust processes
Genchi Genbutsu Collecting facts and data at the site of the problem to analyse
Kaizen Continuous and incremental improvement of processes
Mutual Respect Strong relationship between all management and employees
Table 1: The principles of waste elimination (Sutherland and Bennett, 2008)
The benefits of removing any activities that do not add value are obvious in terms of efficiency and cost reduction. It also harnesses the full human potential of an organisation as all resources, including human, are fully utilised
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