Wacky Lean House | Bob Emiliani

 

“This year is the 20th anniversary of the founding of the Lean Enterprise Institute (LEI). There will surely be a big celebration. But in my view, there is less to celebrate than meets the eye. Here’s why:

LEI has controlled the progressive management agenda for the last 20 years. That means they own the failures as well as the successes. By LEIs own reckoning (as well as its sister organization, the Lean Enterprise Academy in the U.K.), success has been much less than they had hoped for.”

Sourced through Bob Emiliani’s blog

Michel Baudin‘s comments: Overall, I agree with Bob’s assessment, but I think American manufacturers deserve more of the blame than the LEI, for faddishly latching on to one tool after another and mistaking it for a panacea. For example, in his introduction to “Learning to See,” Mike Rother explicitly warns the reader that, at Toyota, Materials and Information Flow Analysis (MIFA) is not a major tool. Yes, he repackaged it with the attractive but nonsensical name of “Value Stream Mapping” (VSM), but his audience didn’t have to elevate it to the status that it did.

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Variability, Randomness, And Uncertainty in Operations

This elaborates on the topics of randomness versus uncertainty that I briefly touched on in a prior post. Always skittish about using dreaded words like “probability” or “randomness,” writers on manufacturing or service operations, even Deming, prefer to use “variability” or “variation” for the way both demand and performance change over time, but it doesn’t mean the same thing. For example, a hotel room that goes for $100/night in November through March and $200/night from April to October has a price that is variable but not random. The rates are published, and you know them ahead of time.

By contrast, to a passenger, the airfare from San Francisco to Chicago is not only variable but random. The airlines change tens of thousands of fares every day in ways you discover when you book a flight. Based on having flown this route four times in the past 12 months, however, you expect the fare to be in the range of $400 to $800, with $600 as the most likely. The information you have is not complete enough for you to know what the price will be but it does enable you to have a confidence interval for it.

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Coaching Lean Without Knowing | Bob Emiliani

“I have long felt that people have listened too intently to the analysts who have not actually “played the game” – the interpreters of Toyota’s management system, not the people who actually created it. I think that it is easy for all to agree that someone who actually created something is a much better guide than someone who studied it second-hand.[…] Original sources are the best sources to learn from and should form the fundamental basis of your understanding of TPS and Lean. ”

Sourced through Bob Emiliani

Michel Baudin‘s comments: The originators of Toyota’s production and management system are all dead. This includes Sakichi, Kiichiro and Eiji Toyoda, Taiichi Ohno, Shigeo Shingo, and others, which makes it difficult to learn from them through personal communication. We can read what little they published, or rely on the generations that came after them. The people Emiliani shows to the right of Taiichi Ohno as “originators,” Fujio Cho and Chihiro Nakao, actually are disciples of the originators, which isn’t quite the same. As Emiliani sees it, the alternative to learning from these people is learning from “interpreters” who, as he implies in the title, don’t know what they are talking about because they had no hand in creating it. Are these really the only choices?

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Is There An Ethical Dimension To Lean/TPS?

In Toyota’s Guiding Principles, last revised in 1997, Michael Ballé sees more than “goal-oriented efficiency.” While I would not use a phrase like “goal-oriented efficiency,” the principles do not strike me as anything beyond strategic guidelines to ensure the long-term, worldwide viability of the company. If they serve this purpose, great, but a car manufacturer is the wrong place to look for philosophical enlightenment.

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Hardship Accounting Of Jobs

France is implementing a new law requiring “hardship accounting,” for the purpose of giving special pension benefits to employees whose jobs impose physical, environmental and rhythm constraints beyond a given threshold in 10 categories. This is causing a dispute between employers, who balk at the detailed record keeping required, and the government, which insists that a duly voted law must be obeyed. What I find disturbing in this tug-of-war is that I hear no voice saying that the existence of hardship jobs is abnormal and that they should be eliminated. Giving special treatment to the holders of these jobs is better than nothing, but it is an immediate countermeasure, not a long-term solution.

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Lean 2.0: Faster, Better, Permanent | Jim Hudson | Lean Expert Academy

From leanexpertacademy.com Today, 10:16 AM

“The Lean that we all grew up with came to us completely wrong. Messengers Jones and Womack not only mislabeled it, but misinterpreted it too. In their roles as observer-reporters, they described what they saw through the old management paradigm and pretty much interpreted and documented everything from that perspective. They did that really well and Lean Thinking became the “go-to manual” as a result. But it wasn’t the right thing, so they pretty much missed the engine of Toyota’s management system. The result? 30+ years of misfires from nearly all corners of the earth, as leaders and consultants took what Jones and Womack observed and tried to implement it.”

Michel Baudin‘s comments:

I agree with your assessment, but I am not so sure about the remedy. About Womack and Jones, I would say that they authored one good book: “The Machine That Changed The World,” and leave it at that. To them, manufacturing was a spectator sport, and they shared the results of a worldwide benchmarking study of the auto industry.

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Project Manager Versus Chief Engineer: What’s The Difference?

Question put to Michael Ballé in his Gemba Coach column:

Management wants us to start lean in product development, but refuses to consider the difference in roles between our current project manager and a chief engineer – how important is that?

Project Manager and Chief Engineer are job titles covering different roles in different organizations. Before commenting on whether management in the questioner’s company should switch titles, we should know how they select their project managers, how much authority the project managers have, and what they are accountable for. Some companies do an outstanding job of product development under project managers; others don’t.

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The Tesla Way vs. The Toyota Way | M. Donovan & J. P. Womack | The Lean Post

Elon Musk Tesla

Given the ever-increasing barriers to entry in what Peter Drucker famously called the “industry of industries,” it’s a wonder that any automotive startups defy the long arc of consolidation by establishing themselves as viable competitors. And it’s even more notable when these newcomers present a model that just might challenge the incumbents to the core. Lean thinker Mark Donovan recently asked LEI founder Jim Womack whether the path taken by Tesla founder Elon Musk points to a new machine that can change the world. 

Sourced from The Lean Post

Michel Baudin‘s comments:

Are the barriers to entry into the auto industry “ever-increasing,” as asserted in the 2010 HBR article linked to above, or did this article get it wrong? Could it be that the barriers are actually falling, with advances in electronics and information technology leveling the field between incumbents and new entrants?

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The Internet of Things in Toyota Operations | Laura Putre | Industry Week

toyota-logo“… Trever White, divisional information officer, noted that his team is regularly on the plant floor, building good relationships so team members can articulate what their challenges are. One challenge they recently identified was the need to build a containment system to more quickly identify and contain a quality issue when it emerges…”

Sourced through Scoop.it

Michel Baudin‘s comments:

As described in this article, advanced IT for Manufacturing, at Toyota, starts from the needs of the shop floor and works its way up. First, you build systems that take root because they help in daily operations, Then you extract and summarized data from these systems for the benefit of managers and engineers.

ERP, on the other hand, starts from the needs of management and works its way down, and I think it is the key reason why ERP success stories are so hard to find.