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Jan 22 2014

Shortage of skills, not yet – but very soon – a wake up call (part 1) | Wiegand’s Watch

This is a translation of the bulk of Bodo Wiegand’s latest newsletter, followed by my comments:

“As long as our support professionals and staff spend less than 50% of their time on their core activities, we have no shortage of skilled workers . But it’s coming — mercilessly, and we are not doing anything about it!

Whenever I ‘m in a company and we discuss about efficiency in the indirect area , the first reaction is disbelief and astonishment, with statements like “Mr. Wiegand, certainly not with us.” When, in the 10/2007 issue of Focus, I wrote “the labor productivity in administration is about 50%” [of what it should be], no one wanted to believe it , or admit it … and it was and is dismissed by most with a ” not with us.”

In fact is it is below 50 % , today as well as yesterday, and if we do not start worrying about it soon and finally wake up from our slumber , we will run into real problems that will jeopardize the existence of our German business model.

Now my dear  “not with us” unbelievers and  friends – wake up : The facts are coming. According to a study by the AKAD University in Leipzig, each week, office workers spend a whole day in meetings and one whole day processing email. You don’t think so? The proof: Based on a Varonis survey from 2012:

  • 4.8% receive 300-500 emails a day ,
  • 17.6 %,  100-300 emails a day ,
  • 44.8 %,  50-100 emails a day and
  • 32.8 %,  1-50 emails a day .

According to a survey conducted by Mimecast and Microsoft Exchange from 2012, from the recipients’ perspective, 61 % of the emails are unnecessary, 25 % are at least useful, and only 14% are “really important.”
Once again in plain text: Nearly 70 % of employees working in offices receive more than 50 messages/day.

Assume only 50 emails/day. The processing time per email is about 1-2 minutes, Here is some additional information for the smart alecks who think they only 10 seconds per email: they are among  the 70 % who get more than 50 emails/day and don’t read them. The additional mental setup time in normal office activity for one mail is 64 seconds, as calculated by Loughborough University psychologist Thomas Jackson.

It follows that,  in the best case , the processing of the assumed 50 mails / day takes at least 2 hours, which works out to 10 hours a week or 55 working days/year. It devours 1 day per week (see also the study by Leipzig’s AKAD University) .

Considering that the processing of 61 % of the mail is a waste of time . This corresponds to 6 hours a week or 38 days per year or 17 % more time for the employee.

Studies have shown that when engineers and developers work constructively or on complex problems , the mental setup time is up to 12 minutes. This group of people needs 250 minutes/day for just 25 mails/day and 10 minutes of mental setup times. It is already makes 50 % of their time. With an average salary of €100,000/year,  makes € 50,000/employee for email processing !

So, if we eliminate for this group the 61% of unnecessarily emails , they would receive only 10 mails/day and would thus have 120 minutes more time for their actual work. Then we focus on processing the email in the morning and afternoon , and save another 100 minutes.

Now, how doe we fight this email flood?

  1. Introduce email etiquette to reduce the number of messages and raise their quality .
  2. Analyze the structure of the information enhance the quality of information and communication , and stop the sending of unnecessary emails.

Moreover, we should take heed of a more serious study and begin to protect our employees . 63.6 % of all managers believe that is expected of them that they should be accessible in their free time. An survey of German executives in 2013 asked what measures were taken to put limits on their accessibility?

81 % of the executives responded : “None.”

Which is at least one reason for the rise in the burn-out syndrome. If 81 % of the companies do not take this problem seriously , it’s actually only a matter of time before the executives burn out.

It is the duty of the companies to care about this.

Next, let us discuss meetings. How often has each of you experienced meetings

  • That have no agenda ,
  • Where there no clear tasks have been defined,
  • Where there is no clear outcome or agreement on actions and responsibilities,
  • Without any follow-up on actions from the last meeting,
  • Where the allotted  time was exceeded,
  • That did not start on time,
  • Where someone came too late ,
  • In which one or more persons ( Mr. or Mrs. Important) left to make a call ,
  • Where computers with emails were answered during the meeting ,
  • Where there was little conversation,
  • Where documents were issued at the meeting for “fast” decisions,
  • Where all agreed at the meeting on a decision and afterwards said “Maybe,”
  • Where everything was discussed except the real issues ,
  • …

All waste – pure waste .

What can you do so in order to curb the meeting madness and to cut one day meeting per week to four hours ? Change the meeting culture , and take actions to reduce the number of meetings and radically shorten them, such as:

  • Put out a guide for improving a culture of dialogue .
  • Analyze the structure of discussions to establish which types of meetings are needed. For example, keep routine meetings to up to 30 minutes, standing in front of a whiteboard, and discuss only anomalies. Time savings immediately 50 % guaranteed!

Summing up the potential for meetings and email processing together , can get a relief of more than 15 to 20 % of the time for each .

Hello my dear ” Not with us” friends, if you stick your head quietly in the sand, you do not have to even deal with these issues.

A manager of a large automotive supplier once said to me : ” Mr. Wiegand, in production, we are chasing cents and leaving euro notes on the floor in administration. “So what in the world is holding back our managers from raising their efficiency and thus to relieving much-needed management resources from this senseless workload. They just look and pointlessly waste our most important resouce : our employees , our specialists and managers , our engineers and developers.

Relieve this group from distractions like secretarial work , travel planning and other non-core activities , and you generate further potential , and that without even tackling interface problems , optimizing the processes or breaking down silos.

For this you do not need a consultant , you only need to invest in training your employees.

[…]

In my 15 years of experience with administrative Lean projects, I can see that there a total of at least 20 to 30 % increase in efficiency is  possible.

In Part 2 of this topic , we deal with the other 15 to 20% of improvement and how to realize them.”

Michel Baudin‘s comments:

Bodo Wiegand paints the abuse of email and poor meeting organization as an existential threat to the German business model. According to him, German managers and professionals are only operating at 50% of their capacity because of the time they spend processing unnecessary emails and sitting through meetings that belie the worldwide perception of German promptness and rigor. In fact, as much as I enjoy myth busting, from my personal experience of meetings in Germany, I would not put this issue high on the list of needed improvements. I have seen worse elsewhere.

As for email, even though Wiegand only proposes to improve its use, he seems to be attacking the medium, which he used himself to send out his newsletter. And the countermeasures he proposes address, at best, internal email abuse. If all employees of a company stopped sending each other unnecessary emails, it wouldn’t stem the flow from outside. You can filter it with firewalls but, if you do it too aggressively, you can interfere with necessary communications.

Let’s face it: email is the greatest medium ever invented for one-to-one or one-to-many informal communication in writing. It is informal in the sense that, unlike a form with fields and check boxes, it imposes no structure on the content. It replaces the business letter, but not the purchase order.

It is not perfect. Email over the internet has proven reliable, but it offers no guarantee of delivery, and the fact that you sent a message is no legal proof that any other party received it. And the informality of the medium has led many to let loose and write things that they came to regret when they discovered that email communication is not as private as they assumed it to be, and that completely deleting an email is next to impossible. In essence, all the emails you send become part of your permanent record.

Technically, email does not work well for the many-to-many communication required, for example, in a project team. The members of a team need to post information in one place for the team, and nothing but the team, with tools to collaboratively edit it. This is not accomplished by sending messages to each other, that are stored redundantly in each recipient’s mailbox.

This being said, email today is the primary way business is done, and there is nothing wrong, per se, in having office professionals spend time processing emails. It is only wrong if they do too much of it, but there is no universal rule on the amount they need to do their jobs; it depends on what their jobs are. It won’t be the same in marketing and in product development.

I agree with Wiegand on the need for training in the effective use of email, but management should also know, for example, that it is a bad idea to standardize email addresses. If you give all employees addresses like “[email protected],” you make them easy to spam.

If I were to point out waste in German office organization, I would mention the following:

  1. Nomenclature. I have seen “smart” numbering systems used not only for manufacturing parts but for projects and even employee IDs. In the age of databases, it is archaic and counterproductive. It makes employees take longer to fill out forms in computer transactions, and it makes reports more difficult to understand. I have never met anyone in Germany who was even aware that it is a problem.
  2. German office with Leitz bindersOversorting. Not every paper document needs to be filed under the proper tab, in chronological order, in a two-ring binder. This should only apply to documents that are frequently retrieved. But the neat rows of Leitz binders on the shelves of German offices are a source of pride…

I also find Wiegand’s advocacy of relying on secretaries for tasks like travel planning odd, considering that explaining your travel needs to another person takes longer than booking on-line directly. It didn’t use to be that way, but it is that way now. Human intermediaries in travel booking still have a role for groups but, for individuals, they are as extinct as typists. “Admin” isn’t just a fancy title for a secretary; admins are far fewer than secretaries used to be, and do different work, such as screening calls and maintaining calendars for executives.

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By Michel Baudin • Blog clippings • 2 • Tags: Germany, Lean, Lean Office

Jan 16 2014

What a Coffee Cup Taught Me About Poka Yoke and Human Errors | Peter Abilla

See on Scoop.it – lean manufacturing

“Human Errors, Poka Yoke are concepts brought to life from my experience with coffee cup. One can learn a lot about Poka Yoke and Human Errors. This is a story about what a coffee cup taught me about how poor design in our products and systems invite human error.

Many years ago, I had to travel to Dublin every few months for work. […] One very early morning while waiting for the taxi to pick me up at my hotel to take us to the airport, my colleague with whom I was traveling with at the time had ordered coffee while I ordered a Coke since I’m not a coffee drinker. They brought him his coffee in this cup.”

Michel Baudin‘s comments:

With its unsightly bumps and nooks, the “fancy cup” you show is not even pretty, which makes you wonder what the designer had in mind. The issues you bring up, however, are more about usability engineering in Don Norman’s sense, than Poka-Yoke.

A properly designed handle is self-explanatory in that any user who has never seen a cup will immediately understand what it is for. But it doesn’t make the cup mistake-proof: there is nothing physically preventing you from pouring coffee onto it while it is upside down.

Usability engineering is about controls that look and feel distinctive to the touch — as opposed to rows of identical buttons — that give you feedback when you have activated them, that have shapes that naturally lead you to use them properly, that respect cultural constraints in the meaning of shapes and colors, etc.

Applying these principles in designing human interfaces reduces training costs and the risk of errors. It is valuable, but it does not prevent errors.

Double-walled cup

Incidentally, why do so many cultures, including Japan and China, use cups with no handles? An alternative to handles to avoid burning your fingers is the double-walled cup, and I have seen some from China. Otherwise, I have resorted to the Arab way of holding a handleless tea cup: between my thumb on the bottom and my index finger on the rim.

See on www.shmula.com

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By Michel Baudin • Blog clippings • 3 • Tags: Mistake-Proofing, Poka-Yoke, Usability Engineering

Jan 15 2014

2013 IW Best Plants Winners: Peak Performers | Operations content from IndustryWeek

See on Scoop.it – lean manufacturing
The 2013 IndustryWeek Best Plants winners meet the challenge of operational excellence — and keep pushing for more. Manufacturing excellence is alive and well in North America. Remarkable manufacturing facilities with remarkable team members and leaders are delivering remarkable results.

 

Michel Baudin‘s comments:

It’s an annual ritual, like the Academy Awards.

See on www.industryweek.com

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By Michel Baudin • Press clippings • 0 • Tags: Best plants, Industry week

Jan 15 2014

The “Making Things in Japan Tour” — April 20-26, 2014

You may have noticed a new widget on our sidebar, which links to a site about this tour and registration through Eventbrite. Brad Schmidt and I are organizing this together, and I am thrilled to be working with him again.

Why go to Japan to visit plants in 2014? Until the 1970s, Japanese manufacturing got no respect. When I headed there as an engineering graduate in 1977, a classmate of mine called this move “career suicide.” Whatever competitive success Japanese companies had achieved by then was chalked up to long hours and low wages, much the way China is perceived today.

Then came the 1980s and the discovery that there was more to it — that should be looked into and studied — coupled with fear that “Japan, Inc.” was going to take over the world. The two-decade recession that hit Japan in the early 1990s put a quick end to the paranoia and, more slowly, dampened the enthusiasm for so-called “Japanese methods” in manufacturing and management.

The renewed neglect of Japan today, however, is no more rational than was the exuberance of the 1980s. Japan today has a highly trained but aging and expensive work force, and is facing the same challenges as other advanced economies. And it still has the most advanced, most productive, manufacturing plants in the world, with the best quality. It is still the go-to place for manufacturing excellence, where the art of making things (Monozukuri, 物作り) is valued and honored both in companies and in society at large. 

For those who don’t know him, Brad Schmidt is a South African raised in Japan, a graduate of Japanese schools,  and perfectly bilingual. With 128 tours in 15 years under his belt and counting, he is a pro. Few people have seen the inside of more Japanese factories than him, and he has the logistics of tours worked out, from airport pickups to  interpreters, transportation and lodging. That leaves me with the easy part: promoting this tour in tour in the US and then going on it to help answer participants’ questions  and facilitate site reviews.

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By Michel Baudin • Announcements • 0 • Tags: Japan tour, Lean

Jan 14 2014

And around and around it goes | Bill Waddell

See on Scoop.it – lean manufacturing
“Not long ago I conducted an exercise with a client in which two teams of three people assembled a Lego product.  One team of three folks from accounting was given the 500 or so pieces the way Lego presents them – kitted in bags of parts that align with the largely graphic instructions.  Basically, all of the parts needed to make sub-assembly #3, for instance, are in a bag marked ‘3’, and the instructions for 3 show pictures of exactly how all of the parts are to be assembled…”

Michel Baudin‘s comments:

You can do many things with Legos, like our own Leanix™games, and this article shows an example where a team of accountants who were given parts in kits and assembly instructions from Lego performed 40% faster than a team of engineers who were given the parts in single-item bags and only pictures of the finished assemblies.

In drawing far-reaching conclusions from this example, however, Bill is comparing apples and oranges. It was faster to assemble from kits because somebody at Lego had kitted the parts, and the kits were complete and accurate. A fair comparison would require including the time needed for this. Kitting may still win, but not by a 40% landslide.

In a real manufacturing situation, you buy components and materials from specialized suppliers and, if you want kits, you have to put them together before assembly. Whether it is justified or not depends on what you are producing and on the parts you use.

Let us assume you are making custom-configured products on a mixed-flow line, but there is one screw that is used in all configurations. You are better off presenting this screw on the line side in bins than distributing it across kits.

On the other hand, it often makes sense to kit configuration-specific parts off line. It requires less labor overall but, most importantly, the work of kitting is done in parallel with assembly rather than in the final assembly sequence, which can cut in half the start-to-finish assembly time on the line.

Even then, however, you have issues with kitting errors by operators who don’t know the product, kits rendered unusable by a single defective part, and part stealing from kits, which is often done as an immediate remedy to the above.

See on www.idatix.com

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By Michel Baudin • Blog clippings • 0 • Tags: industrial engineering, Kitting, Lean assembly, part presentation

Jan 7 2014

Using videos to improve operations | Part 7 – Detailed review of process segments

Asenta 2011-03 Roberto Cortés
Roberto Cortés
Asenta Juan Ortega head shot
Juan Ortega

This post was co-written with Asenta’s Roberto Cortés and Juan Ortega, based on a joint project in Spain in October, 2013. A detailed analysis of the video recordings on two operations was key to generating improvement ideas that the plant has implemented since. The company had shot some videos of operations before, but not used them this way before, and it was a learn-by-doing experience for the participants. 

The demand for the company’s products is growing, and it is struggling to keep up. Its core technology is a fabrication process, and engineering has focused its attention on it to increase capacity. After fabrication, however, the product needs several assembly operations. From direct observation, it was clear that the operators were working at a pace that could not be sustained for a whole shift. The manager confirmed that the pace slackened and the quality dropped towards the end of the shift.

The challenge was therefore to change the assembly process so that the operator could complete the tasks within the takt time of about 60 seconds, at a steady, sustainable pace, without running ragged or getting exhausted. While on site, we focused on two operations, shot videos as recommended in earlier posts — from an elevated position and focusing on the operator’s hands — and coached the plant team on reviewing the videos, with the goal of enabling them to do it on their own for the other operations.

Preparation

The detailed review breaks the operation down into its smallest identifiable steps  to discover improvement opportunities for each. If you are going to do this on a regular basis, you should probably invest in software to collect timestamps from videos, categorize the steps, and record improvement ideas, like Timer Pro or Dartfish.  Timer Pro was developed specifically for Manufacturing; Dartfish, for sports, but it has also been used in Manufacturing.

For the first time, it is best to do it on short operations, and you can make do with an Excel spreadsheet on which you manually record the timestamps. It needs the following columns:

  • Step number
  • End time
  • Step duration, calculated from the timestamps.
  • Cumulative time, aggregated from step durations.
  • Operation Description
  • Operation Category
  • Improvement Ideas

Sufficient time has to be allowed for the detailed review. It is customary to allow between 3 and 5 times the length of the recording and even more if the recording is very short. It is recommended to have a sample of the product and components at hand where the review is being held.

Asenta----Product-sample-in-conference-room
Product sample in conference room

Review

The video is analysed and the spreadsheet completed step by step. For short steps, you can play the video in slow motion  to give time to observe details. Because you are going to be adding times, you need record the timestamps at a higher precision than you are really interested in. For example, to analyze time in second, you need to record the timestamps to one tenth of a second. The video and the form are shown on the screen at the same time.

Asenta----Video-and-analysis-form-on-same-screen
Video and analysis form on the same screen

While conducting the analysis, do the following:

  • Describe each step with an action verb and a single object. If you find you can’t, break it down further until you can.
  • Do not criticize ideas. Write them down for later evaluation.
  • Aim to eliminate unnecessary steps (muda), reduce the variability in how the steps are carried out (mura) and their inconvenience (muri).
  • Assign a category to each step so that you can aggregate times by category.

You can generate your own categories as you go along and standardize them as you reach conclusions. There must not be too many (5 better than 10) and they are usually of the following type:

  • Pick up/put down
  • Walk
  • Assemble
  • Inspect or test
  • Wait
  • Adjust
  • Rework
  • ….

If there are large differences in how different operators perform the operation, several videos can be screened at the same time, with the same task carried out by different operators. It is essential to carry out this detailed review with the operators in the videos. They know things that nobody else knows, and have ideas that you want to use.

Asenta -- Operators participating in analysis
Operators participating in the analysis of their own work

Conclusions

When you analyze operations for the first time, it is common to discover that about 40% of the time is spent on activities other than assembly or test. This is due to a combination of wrong sequencing, redundant steps, multiple handling, inadequate fixtures, inconveniently located tools or parts, etc.

Of course, not all of these can be eliminated easily. Some can be, by redesigning or retrofitting the work station; others can be taken out of the assembly flow and performed in parallel so that, for example, the operator does not have to prepare a part while the product waits. The net productivity increase that can usually be accomplished is on the order of 30%, without overburdening the operator. In our client’s case, this means making the assembly jobs sustainable while absorbing a higher demand.

Once the summary of times by category has shown the “gold in the mine” — that is, the improvement potential, the team fleshes out the ideas generated during the review of the video, tries them out as much as possible immediately, and turns them into proposals. The following pictures shows the flip chart with sketches of the proposals generated in our sessions, and a snapshot of try-storming.

Sketches of improvement ideas
Trystorming improvements

The team then turns the  improvement proposals into a detailed action plan for the short, medium-, and long term.

Once the improvements are implemented, the team shoots another video of the operation, for the following purposes:

  • Validating the improvements.
  • Standardizing the sequence of operations
  • Training other operators

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By Michel Baudin • Technology • 2 • Tags: Assembly, Excel, industrial engineering, Lean manufacturing, Productivity, Spreadsheet, Video

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