Tag Archives: TPS

IoT, Industry 4.0 & 21st Century Lean

Just two days to go before our 16th Annual Northeast L.E.A.N. Conference, an opportunity for all of us to put aside the tactical realities of Covid-19 and think more strategically about the future of society.  Our theme this year, 21st Century Lean, deals with the humanistic application of technology, in particular information technology, in the coming decades.  Concepts like the Internet of Things (IoT, coined in 1999) and Industry 4.0 (first referenced in 2011) are rapidly moving to center stage.  The goals of each are laudable:

  • IoT is the network of physical devices, vehicles, buildings and perhaps even humans -embedded with electronics, software, sensors, actuators, and network connectivity- that enable these to collect and exchange data.  This capability could support a worldwide Utopia of sharing, innovation and best use of scarce resources; but it could also support a dystopic world such as that painted in George Orwell’s 1984.  When Orwell’s book was published in 1949, IoT was entirely science fiction.  Today it’s approaching science fact, making the questions he raised 70 years ago urgent.
  • Industry 4.0 is more narrowly defined as a network of physical devices, vehicles, buildings and other items—embedded with electronics, software, sensors, actuators, and network connectivity- that enable these objects to collect and exchange data. The expressed goal here is to accommodate an anticipated shortage of human workers in the coming decades. Population studies suggest rapid population growth for the remainder of this century to perhaps 10 billion people, but thereafter a sharp decline.  And in some more industrialized countries, a shortage of labor already exists.  As with IoT, the impact of Industry 4.0 may be viewed as yet another advancement in productivity and quality; and like IoT, it’s knocking on our doorsteps.  It’s no longer science fiction as noted in a 1964 episode of Rod Serling’s Twilight Zone.  Here is a link to a 90 second clip, from “The Brain Center at Whipple’s,” but for those of you with Netflix, I recommend the full 30-minute version. 

So where does Lean fit into these strategies?  Must we adapt some of the thinking to new technology?  A client of mine, for example, once asked “If Mr. Shingo were alive today, with all of the automation we have, would he have invented mistake-proofing?”   Or are the principles and concepts of Lean more important than ever before to help us reign in our impulses; to aim for, as my teacher, Hajime Oba once said “what we should do, not what we can do.”   In 2003, speaking at SME’s Eastec Exhibit in Springfield, Mass, Mr. Oba was asked, “Why do American manufacturers get so little benefit from TPS?”  Mr. Oba responded without hesitation, “First, management does not understand TPS and second they are focused only on quarterly earnings.”   Did Mr. Oba have Mr. Whipple in mind?

Here is my 10th and final Lean Peeve before the conference: short-term thinking.  It’s not too late to invest in a little strategic thinking about this critical and now urgent idea of harmonizing the best of Lean Transformation and Digital Transformation.  Take a couple days to stop worrying about what’s going to happen the next month. Give yourself a break, and join our discussion about where our world is headed for next century.  Hope to see you at the conference.

O.L.D.

Turning Downtime into Learning Time

For over 25 years, the GBMP’s mission has been to help organizations large and small develop their most valuable resource: their employees.  Our abiding belief, connoted in our slogan, EVERYBODY EVERYDAY, is that given the right training and inspiration, every employee – from the front lines to the corner office can be a Lean thinker and problem solver.  My personal learning first as an operating manager has been, that continuous improvement requires an army of problem-solvers, a culture that embraces tough challenges collaboratively and confidently. 

Presently, we are all faced with a challenge that absolutely requires that confidence and collaboration.  While we may not be able to march forward arm in arm at this point, thanks to the facility available from the Internet we still can learn together – face-to-face – in the Gemba, if only remotely.  And there is no better time or burning platform than at this moment to engage and inspire all of our employees to become an army of innovators and problem solvers in face of COVID19. 

Whether your workforce is presently at home or in the workplace, local or dispersed, GBMP consultants can help with interactive Lean and Six Sigma training, consulting and coaching targeted exactly to your needs and timeframe.  While we may not be able join you at this time at your site, we are all still as close as your nearest computer or smart device. 

We’re all facing a tough and unprecedented situation right now.  But the best of human spirit dictates that we nevertheless find ways to do our jobs and improve our jobs.  Whether are an existing GBMP partner or are just beginning with continuous improvement, I encourage to take a few moments to peruse the interactive opportunities available to you from GBMP.  Let us help you turn downtime into learning time.

– O.L.D.

Tools or Culture?

With our annual Northeast LEAN Conference just a few days away, I want to relate a personal story about the theme of this year’s conference,

The Integration of Tools & Culture:

The first two books I ever read about Lean were Zero Inventories by Robert Hall and Japanese Manufacturing Techniques by Richard Schonberger.  In 1985, these definitive academic works were among just a few sources of information about what was then referred to as Just-In-Time, or JIT for short.   As I was just starting to manage a factory at that time with inventory turns of less than one (really), these JIT “how to” books seemed like the solution to my problems.    I owe Hall and Schonberger a debt of gratitude for their early reports about technical aspects of Toyota’s incredible improvement system.  But, for me, the single most important shred of information from these academic texts was a footnote in Hall’s book that referred to a then unknown industrialist by the name of Shigeo Shingo.  Hall cited Shingo’s book, A Study of the Toyota Production System: From an Industrial Engineering Viewpoint.  This book presented the technical aspects of Lean in a context of revolutionary concepts and principles.  The original 1982 version was a crude translation from the Japanese, but reading it created a sense of excitement about a wholly new way of thinking about work.   To be sure, Shingo’s explanation of tools echoed reports from Hall and Schonberger, but as one of the key inventors of TPS, Shingo shared a deep understanding that was grounded in unique personal experience and wisdom of a creator.  While he is most often remembered for introducing technical concepts like quick changeover and mistake-proofing, Shingo’s greatest contribution to my learning was in providing an integrated image of TPS, a system that was both technical and social science – tools and culture.  One could not exist without the other.  Beyond that, he conveyed his personal struggles to overcome what he referred as “conceptual blind spots” of his clients, Toyota among them.  He gave us the Law as well as the Gospel:  Lean is an immense opportunity but equally a daunting challenge to rise above status quo thinking.  “Keep an open mind,” he reminded us.  According to Mr. Shingo, management’s #1 job was “volition,” i.e., a passionate commitment to creating an environment that favored improvement. These were lessons that supported my organization and me as we learned new tools and unlearned old concepts at the same time.

Today I’m often asked, “What do we work on first, tools or culture?”   I answer, in context of the Toyota Production System, neither has substance without the other.  They are two sides of the same coin. We need to learn them together.   Our 2017 Northeast Lean Conference is dedicated to reinforcing that message.   Lean tools are essential as means for improvement; Lean culture is essential to enable us to see beyond the status quo. If you haven’t already registered, here’s a link with more information:

http://www.northeastleanconference.org/about-ne-lean-2017.html

Hope we see you next week in Worcester, MA for a couple of energizing, informing and inspiring days.

O.L.D.

The Final Frontier

On May 5, 1961, Alan Shepard became the first US astronaut to journey to the “final frontier.”  Atop a Mercury rocket, Shepard launched into a fifteen-minute suborbital journey reaching an altitude of about one hundred miles before returning to earth.  His space capsule, Freedom 7, was a wonder of science weighing a little more than one ton and loaded to the max with avionics and life support apparatus. Yet, this pioneering venture into endless space would also afford almost no space for the passenger.  According to launch engineer, Guenter Wendt, “astronauts entered their capsules with a shoehorn and departed with a can opener.”   I remember watching footage of Shephard squeezing into his capsule.  The memory still creates pangs of claustrophobia.

Ironically, space constraints faced by NASA fueled a revolution in miniaturization evident in almost every innovation of modern society – from laptops to cell phones to transportation to medical devices to all things Internet.  The need to pack more utility into a small package has changed everything.  Or almost everything.  Here are some recent exceptions:

“We’re adding a new wing to manufacturing,” a colleague related to me recently, “we’re running out of space.”   As I glanced around a shop floor crowded more with material than machines, I asked, “What are you going to put in the new space?”  “We’re just going to spread out,” he said.  “This is a good time to build before interest rates start to climb.”

Another manufacturer advised recently that he was building a Lean warehouse.  “What’s that?” I asked.   “We’re relocating all of our raw material to a location that’s closer to the main highway,” he said. “We need to add several machines, so were Lean-ing out the space.”    “Aren’t you just adding more space and moving inventory farther from your floor?”  I asked.  His response: “Warehouse space is cheap.”

A major hospital requested Lean assistance to re-design its perinatal services in order to accommodate more patients.  After reviewing the current operation, I recommended that existing space could be repurposed to handle the projected growth. “No,” they said, “We’re cramped. We need more space and the budget is already approved.”

It seems that decisions regarding space are driven more by claustrophobia or perceived worth than actual need.   Flow distance may double or triple as a result of expansion, but additional space somehow still equates to growth.   More space is viewed as an investment, an alluring addition to the balance sheet, or a badge of success.   Only on rare occasions do I encounter a growing business that is interested in reducing space. Perhaps, then, space is the final frontier.  Not more space, but less.   I wonder how much Lean progress would be made if space were seen as a constraint for business as it was for NASA’s Mercury launch.

How much space do you have?  Too much?  Too little? Share a story.

O.L.D.

PS I’m teaching the Shingo Institute workshop “Continuous Improvement” at MassMutual in Springfield next week and a few seats remain if you’d like to join us. Learn more here.

PPS I’m also looking forward to presenting my monthly “Tea Time with The Toast Dude” webinar on June 20th. It’s free! The topic is “Silver Bullet Mania”. Intrigued? Read more and register here.

Lean Wizards

wizardOctober was Lean conference month for me: First our own Northeast Lean Conference in Worcester (pronounced “Wustah”), then the international AME conference in Dallas and finally, the mid-Atlantic Lean Conference in Timonium, Maryland.   These annual assemblages of Lean wizards are themed to inspire, inform and reinvigorate true believers and newbie wannabees;  maybe not wizards, but at least committed to continuous improvement at some level.  I’m always flattered when someone sees me at conference and wants a selfie with the “toast guy.”   But really, if we were wizards, there would be a lot more Lean magic out there in the workplace.   After forty-five years in the workforce, almost thirty of them spent personally pursuing TPS understanding, I worry sometimes that the major product of TPS so far has been more wizards, not more excellent organizations.   When I began my Lean odyssey, for example, there were precious few persons or functions in any organization dedicated to continuous improvement: no kaizen program offices, no value stream managers, no lean accountants, no lean trainers, no belts, and no lean consultants.  Today there is an entire industry dedicated to training, developing and placing these folks.

What struck me at October’s Lean conferences was how nomadic this community of wizards has become.   Rarely do I find a consultant, internal or external, who has remained with the same organization for more than a couple years.   Some have moved on for higher pay, but most it seems it seems are refugees from organizations whose commitment to improvement has waned.  Gallows humor regarding shifting sands beneath Lean foundations abounded in private networking discussions, and more than a few business cards changed hands.  While building a Lean culture has emerged as singularly important to Lean transformation, it seems that the wizards do not find enough stability within their organizations to stay in one place long enough to help to create that culture.

Many years ago I was asked to present at a Lean conference at University of Dayton.  They requested specifically that I speak on “Survival of the Change Agent.”  When I suggested that I felt uncomfortable with the topic, they pleaded, “But we can’t find another change agent who has survived.”  No doubt, that was an exaggeration, but even in 1992,  Lean transformers  were careful not to push the Lean envelope too far.   So perhaps nothing has changed in twenty-five years. Last week I received a request for help from a talented and insightful Lean change agent whom I will have known now through four different companies.  She continues to grow and develop her skills while the organizations from which she has moved on have plateaued in their Lean journeys.   Maybe there are just more wizards in flux today.   At the recent AME Dallas conference, a Lean colleague and vice president of opex for a large corporation mentioned to me  “I have never seen so many resumes from continuous improvement persons in transition.”

To my readers:  Do you also see this phenomenon?   What are the implications? I’m not sure what to think about this, but it’s a little spooky.   Happy Halloween.  : )

O.L.D. 

PS A reminder that the onsite discounted registration price for our 13th (another spooky coincidence?) annual Northeast Lean Conference was extended to November 8th. Don’t miss out on saving 30% per seat, simply by registering online in the next week.  Only $665 per person (normally $950).