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May 27 2016

Can Lean Manufacturing Put an End to Sweatshops? | G. Distelhorst | HBR

Can Lean Manufacturing Put an End to Sweatshops? | Greg Distelhorst | Harvard Business Review“Producers in less-developed countries compete by keeping costs low. Conventional wisdom holds that improving working conditions (which typically costs money)  would undermine the competitive advantage these firms enjoy. Our research suggests an alternative to this race to the bottom. It involves replacing traditional mass manufacturing with ‘lean manufacturing’ principles.”

Michel Baudin‘s comments:

In 2014, three academics from Oxford, Stanford and Brown researched the impact of Lean Manufacturing on working conditions in the Nike supply chain. The conclusions in the HBR article are less nuanced than in their original paper in Management Science, which concluded: “Using difference-in-differences estimates from a panel of over three hundred factories, we find that lean adoption was associated with a 15 percentage point reduction in noncompliance with labor standards that primarily reflect factory wage and work hour practices. However, we find a null effect on factory health and safety standards.”

Continue reading…

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By Michel Baudin • Press clippings • 2 • Tags: Lean, Lean manufacturing, Nike, Working conditions

May 26 2016

The Role Of The Plant Manager in Lean [video]

The following video was recorded yesterday:

http://lightwise.me/2016/05/25/lean-leadership-insights-a-critical-leadership-role-the-lean-plant-manager/

I will be presenting on this topic at the Summit on Lean Leadership in Charlotte, NC on June 22.

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By Michel Baudin • Management • 0 • Tags: Lean manufacturing, Plant Manager

May 25 2016

This Blog Now Available On Your Kindle

You can now subscribe to this blog for your Kindle, and have all the articles automatically and wirelessly delivered to your physical Kindle or to the Kindle App on your tablet or phone. There is a 14-day free trial, after which Amazon will charge you $0.99/month to continue.

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By Michel Baudin • Announcements • 0 • Tags: Blog, Kindle

May 20 2016

Death Of An Outstanding Plant Manager On EgyptAir flight MS804 | Bustle.com

Ahmed Helal, Plant Manager, hosting the Economy Minister
Ahmed Helal, Plant Manager, hosting the French Economy Minister on April 6, 2016

One of the passengers who died in the crash of EgyptAir flight MS804 was Ahmed Helal, the 40-year-old manager of a Procter & Gamble plant in Amiens, France. He was a Frenchman from Egypt, on his way to visit his father, and the outpouring of grief from his employees in the plant, his managers at corporate, the city council of Amiens and many elected officials clearly indicates that he was no ordinary plant manager.

The workers interviews on the French BFM TV network has this to say about him:

  • Worker 1: “Very, very close. It wasn’t just a handshake; it was an embrace. It always came from the heart. It started with ‘you are my family.’
  • Worker 2: “When we had something to ask of him, he was listening to everybody.”
  • Workers 3 and 4: “Always smiling, always listening to the employees. He did a lot for the employees, since he arrived, and for the plant too.”
  • Pascal Grimaud, union representative: “We are crushed. As a plant manager, he has brought us so much. Ahmed, for us, was a friend. He called us his family. He treated everybody the same. We are very sad. I can’t find the words. I was on the phone with him two hours before he took off. All the employees at the Amiens site, we are all orphans.”

The Vice President and General Manager of P&G for France and the Benelux, Christophe Duron expressed his sadness for the loss of Ahmed Helal, and said, “Ahmed wasn’t just a brilliant site director, Ahmed was above all an exceptional human being. He was the boss of the Amiens plant.”

Michel Baudin‘s comments:
I never met Ahmed Helal, and actually never heard of him in his lifetime, but I have had the privilege of working with plant managers who, like him, could successfully lead their work force, deliver for the company, and make the plant a valued corporate citizen in the local community.

See the story on Bustle.com

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By Michel Baudin • Press clippings • 1 • Tags: Corporate Social Responsibility, Plant management

May 19 2016

Medical Taylorism, Lean, and Toyota | P.Hartzband and J. Groopman | New England Journal of Medicine

Seen today in the New England Journal of Medicine, under the signature of Harvard Medical School professors Pamela Hartzband and Jerome Groopman:

“The TPS is a set of principles designed for the manufacture of inanimate objects in a factory. We accurately depict two essential elements of this system that are directly derived from Taylorism: standardization and time efficiency. In his classic study of the application of Toyota principles to the manufacture of cars in the United States, Paul Adler describes how ‘Each job was analyzed down to its constituent gestures, and the sequence of movements was refined and optimized for maximum performance. Every task was planned in great detail, and each worker was expected to perform that task in the prescribed manner.’ Adler refers to ‘the intelligent interpretation and application of Taylor’s time and motion studies’ as key to its success. He states, ‘The reference to Taylor may be jarring, but it fits.’

[…] Other medical professionals who, like us, have experienced the toxic effects of obsessive standardization and time efficiency in the care of patients have expressed concerns similar to ours. In an era of accountability, we believe that those who advocate the application of Lean principles to medical care must take responsibility for the unintended consequences resulting from these elements shared by Taylorism and Toyota practices.”

Michel Baudin‘s comments:

The authors base their claim that the Toyota Production System (TPS) is “derived from Taylorism” from the writings of Paul Adler, a business school professor at USC who has written many papers over the past 40 years, a few of which touched on TPS and NUMMI, the first plant to apply this system in the US and now operated by Tesla. I met Paul Adler at Stanford in the late 1980s, and found his insights on NUMMI quite valuable. It was also clear to me that Paul Adler was not an engineer, that TPS, to him was one interest out of many, and that his knowledge of the subject was only at the business school level, as reflected, for example in an expression like “Taylor’s time and motion studies.” Taylor did time studies; Frank and Lilian Gilbreth, motion studies with, as stated in other posts, very different objectives.

This distinction, perhaps too subtle for business schools, is of paramount importance to anyone who wants to understand TPS, which owes much more to the Gilbreth’s work than to Taylor’s. Taylor wanted to prevent workers from slacking off; the Gilbreths, to observe the way work was being done and make it easier. And the medical profession has a good reason to remember Frank and Lilian Gilbreth: the way operating rooms function today is based on the analysis and recommendations they made 100 years ago.

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By Michel Baudin • Management • 1 • Tags: Gilbreth, Lean Health Care, Taylor, TPS

May 19 2016

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.

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By Michel Baudin • Press clippings • 0 • Tags: IT, Smart Manufacturing, Toyota, TPS

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