Valeo

The following is the translation of an excerpt from from Richard Kaminski’s latest ILF newsletter:

“As Dan Jones wrote in the preface to Lean Management, the leading global Lean Production System in Europe he saw was Valeo’s, developed by Freddy Ballé with coaching Toyota. […] Less known are the methodological battles that led Freddy Ballé to try to correct the failings of the machine he had put in place, battles that have always fascinated Dan and he has encouraged me to describe several items […]:

1. Quality improvement is the key to innovation. The main industrial problem Freddy has always been improving product quality in production and the implications of these improvements on products under development. Kaizen events help “clean the window” ( and generate immediate savings ) but have meaning only to he extent that eliminating variations reveals quality and process control issues. Quality is much more difficult to achieve than efficiency because it quickly boils down to knowledge — and the need to develop deep skills, which is also one of the true keys to success in Lean.
2. No improvement without involvement. The first topic for Freddy has always been operator safety. His image is that it takes two feet to move : improvement and involvement go hand in hand. Hop on one foot, and you fall. In the factory, one of his first questions is “How are you organized? ” It’s not about the organization chart but how are the operators are organized. Are the teams stable? With a team leader ? How many operators for one supervisor? How the are the operators’ problems handled?
3. The pull system is essential not avoid cherry-picking problems. Another common battle is the constant temptation to set priorities for problems. The pull system requires the discipline of solving problems as and when they arise and block the flow. Often the problems faced by operators in the creation of value are very different from the fads that obsess their managers. There are no major or minor problems . There are problems that can be treated quickly and easily and more difficult problems that are a struggle to solve. But the key is to acquire the discipline not to choose problems, but to deal with the reality of flow reveals,  in the order in which it happens (as you produce to Kanbans in the order in which they arrive and not in the order you prefer) .
4. Hypothesis testing is at the heart of problem solving. Deep learning in problem solving takes place when you test hypotheses . On the one hand , you open minds by asking for several hypotheses beyond the obvious solutions; on the other hand, you learn by testing these hypotheses one by one by practical experimentation rather than rush to a conclusion. Hypothesis test is demanding. However, pursuing ” process improvement ” without individual learning reduces Lean to a mechanical approach that can pick low-hanging fruits but not fundamentally develop the skills of the work force.”