When the ERP Project Manager Is the Lean champion

The Mass Production Era of the Industrial Age is now ending and the Lean Production Era is emerging to succeed it. The Lean Production Era is exemplified by processes based in systems of cultural cooperation, differing fundamentally from the Western systems of cultural competition. Outsourcing and offshoring are the latest stages of Western cultural competition and are fueling the expanding shift to Lean Production as great volumes of goods and services formerly produced in Western Mass...

The Management Battlefield We Know

In your training and long experience as a veteran manager, what has given you the best return on your time, money, but mostly your emotional investment Or maybe I should ask, what has disappointed you the most I think I know. Your confidence has been abused and you will not be fooled again. Was it technology then that first broke your heart Was it other people, you know, that dry well that has been called empowerment Does your black belt in Six Sigma still leave you feeling vulnerable You know...

Signs of the Coming of the Lean

Since the publication of the first edition of Lean Performance ERP in February 2002, events have converged to further support the substance of a book that has fallen short of being a business best-seller yet sits in every university engineering library from Saudi Arabia to Macedonia to China and Japan. If you had been one of the few reading the book five years ago, the events that happened afterward (e.g., the discovery of the manufacturing planet of China, the realization that lean could not...

What Is the Virtual Lean Enterprise

The Virtual Lean Enterprise is an enterprise where a holistic application of kaizen, lean, Six Sigma, and various IT enablers have been implemented in all lean processes, including cross-functional and cross-enterprise processes. This enables the enterprise to link with other Lean Commerce practitioners to utilize lean practices to collaborate in processes including new product development, material planning and order fulfillment, supplier management, and sales force automation. A Virtual Lean...

Lean Quality Management

As mentioned earlier, in spite of the barriers, several cross-functional and cross-enterprise processes have been leaned in many emerging lean enterprises. Chief among them are the quality management processes. Quality is often defined as the meeting of standards (specifications or tolerances) at an acceptable level of conformance. This acceptable level is variously defined for example, as zero defects, Six Sigma, Lean Six Sigma, defective parts per million, etc. Quality management, not quality...

Lean cultural Principles

To accomplish a Lean transformation requires that management truly understand the principles, tools, and practices that deliver the power of lean, commit to those principles, and invest in the education that the process owners, operators, and process-area managers need to learn the tools and practices that deliver the Virtual Lean Enterprise. Often we have trouble identifying principles. We think tools and practices are the same thing as principles, but they are not. A principle is something...

Lean and Six Sigma

Lean Six Sigma and lean manufacturing are toolkits to reduce waste in business processes each is a proven concept that has saved practitioners millions of dollars. Lean manufacturing is a proven approach to reduce waste and streamline operations. Lean manufacturing embraces a philosophy of continually increasing the proportion of value-added activity of business through ongoing waste elimination. A lean manufacturing approach provides companies with tools to survive in a global market that...

Analyzing Lean Performance Assessment Results

In the Lean Assessment, the enterprise learns about itself. Some questions require research. Other questions seem too difficult to answer. For some, the answer is negative. That lean tool or practice is not in place today. Much work needs to be done before we know who it is we would like to become. Keep considering the questions until the answers are in place. The current enterprise will benefit from the attention given to obtaining and implementing the answers. When the answers to the Lean...

Acknowledgments for the Second Edition

In addition to the continuing support of many of those mentioned in the acknowledgments to the first edition, I would like to thank those managers and students who have contributed ideas and energy to the Lean Performance certificate classes I teach in conjunction with the University of Illinois at Chicago (UIC) Institute for Entrepreneurial Studies and the Center for Enterprise Development. I would especially like to thank the teams from Amurol Food Products, Emerson Sealmas-ter, Medline...

Management Tasks Organizing the Steering Committee

Forming a Lean Steering Committee will demonstrate your commitment of time to formalize the lean effort and will also help to get lean on the schedule. Taking this one critical step will empower Lean Champions throughout the enterprise. The Lean Steering Committee should be a nontraditional group. Include the visible lean sponsors from business units, Lean Champions from key process areas, and the lean project manager. Be sure to include human resources and finance. Expand it later, when you...

Lean and ERP Why cant We All Just Get Along

Lean and ERP are consistently rated in manufacturing improvement surveys as the two most important strategies being utilized by manufacturers attempting to compete for sales and profits in the global markets. Although this fact would seem to be an endorsement of both strategies, when utilized together lean and ERP are often in conflict. Many lean thinkers believe that the push ERP MRP system processes doesn't support the pull of lean physical process flow. ERP advocates often agree but counter...

What Is Lean Commerce

Lean Commerce is the closed-loop IT-based business process model that supports manufacturing and service companies striving to reduce cycle time, flatten organizational layers, and lean processes. Lean Commerce is the business systems model that enables the Virtual Lean Enterprise by providing an overall design for the construction and use of the IT architectures for supply-chain management interchange of rapid communication of material requirements. Lean Commerce drives quick recognition and...

Maintaining Project Communications

Lean Project Chart

To maintain effective project communications, a project Web page should be established, including a project e-newsletter and discussion chat room. Various project management spreadsheets will be posted by the project manager and maintained by the project team through Web access. LEAN PERFORMANCE METHODOLOGY PROJECT SUMMARY BAR CHART Estimated Work-Days M J J A S O N D J F M A M J JASOND 1Q 2Q 3RD 4Q PIC Client 4 Improve Process Performance Phase 1 6 Test Improved Processes Phase 1 7 Implement...

Project team tasks

Completing the Implementation Readiness Assessments After a review of the project plans for each implementation site, tasks remaining are identified and reported to the steering committee. Resource assignments are reviewed and adjusted. An Implementation Readiness Assessment is prepared for each site. Additional workplan tasks that are audited include establishing personnel requirements for the project team, identifying skill levels required to perform steps documented in the implementation...

Maintaining an Open Issues Resolution Process

The project manager should establish an Open Issues Resolution Process as soon as the project begins, not after issues begin to stack up. Establish and maintain an Internet- or intranet-based open issues control log (in spreadsheet form, if possible) LEAN PERFORMANCE PROJECT MANAGE PROJECT MODULE WORK PLAN WORK-DAYS START RESPONSIBILITY PIC CLIENT DATE 1. Prepare a preliminary Project Summary Bar Chart to Illustrate Project Timing. Deliverable Project Summary Bar Chart 2. Maintain Project...

Identifying and Deploying Lean Business Policies

Lean Business Policies express the views of the lean sponsor or champion of the Lean Performance project. Typically, this is the chairman or CEO of the business. Lean Business Policies define the lean business mission. Lean Business Policies drive the development of lean project strategies. Lean business policies are often expressed by executive management in business plans that are delivered to the business organizational level or in existing company policy communications vehicles such as...

Why Did I Write This Book

I wrote this book in part because it expresses my theoretical interest in business process and performance improvement methodologies, and it incorporates what I have learned about them by trial and error. In my career in manufacturing management and consulting, for a variety of domestic and international companies, I have had the opportunity to try out various approaches to business improvement and project management. Lean Performance is the result of my attempts to develop a methodology...

Every Process Needs a Process Standard

Every process needs a Process Standard because process standards facilitate communication. Without a Process Standard, how can you agree on what the process is Process standards connect process owners operators and technologists, and provide a basis of understanding that allows insight for improvement. Process Standards make it possible to recognize downstream process requirements for timely and full availability of information, decisions, and material. If your company employs a results...

Lean Production Smoothing

Erp Lean Management

The three elements of Lean Production smoothing are customer requirements demand pull Customer TAKT determination rate-based Operations TAKT determination and mixed-model production scheduling. These work to support and in turn are supported by the other Lean Production practices to improve the volume and pacing characteristics of Lean Production. During the evolution to MRP II and ERP, the processes of forecasting, business and production planning, and (later) S& OP were improved to include...

P

Pacemaker processes, 92 Part conveyance, 15 Parts interchangeability, 10 Payroll, 340 People loyalty to, 119-122 See also Loyalty Perfection, pursuit of, 129-130, 131-132, 315 Performance improvement, 265 quality assurance review, 237 Performance measures, 153, 257 basis in outputs inputs throughputs, 9 defining for Lean Performance Analysis, GEMBA Thinkers vs Lean Thinkers on, 64 identifying, 276 key lean software features, 227 Period order kanbans, 106 Permission practices, 121 Perpetual...