1. Client Logo LEAN ENTERPRISE Implementation Workshop

2. Client Logo 2© The Delos Partnership 2006 January 2006 How will we proceed ? Day one :Team building and actual physical flow- mapping. Day two :Supports flow-mapping, existing issues identification and documentation, target flow design. Day three :Target flow presentation to sponsor, operational solution design and test. Intersession Day four :Performance measurement, change modelling, project execution structure design. Day five :Project planning, action plans, costs and benefits, return on investment, final presentation to sponsor.

3. Client Logo 3© The Delos Partnership 2006 January 2006 OBJECTIVE DAY 5 Learn how to develop action plan. Develop action plan. Evaluate project costs. Fail proof the project. Get sponsors’ approval for action..

4. Client Logo 4© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

5. Client Logo 5© The Delos Partnership 2006 January 2006 The Activity Network Diagram  When you need to plan the most appro­priate schedule for the completion of any complex task and all its related subtasks. It determines total implementation time, simultaneous tasks and key subtasks to be monitored. Use When:  The task is a complex one. The subtasks are familiar with known durations. The project is a critical organization target. Simultaneous implementation paths must be coordinated. There is little margin for error in the actual vs. the estimated time to completion.

6. Client Logo 6© The Delos Partnership 2006 January 2006 Activity Network Diagram (CPM) StartEnd Activity Deliverable Activity Deliverable Activity Deliverable Activity

7. Client Logo 7© The Delos Partnership 2006 January 2006 Activity Network Diagram (CPM) 1.Assemble the Right Team  Most detailed knowledge of the issue  Employee input where possible 2.Generate and Record All of the Necessary Tasks to Complete the Project  Use brainstorming - Review past implementations - Record each job on a card - Divide card with space for job name and duration (completed later) 3.Sequence All of the Identified Activities  Create the "sequential flow" by placing in a row those job cards that form the longest path of sequential tasks - Organize the next longest path, etc. - Create the "simultaneous path" by drawing necessary connections between the sequential paths 4.Give a Time Duration to Each Job  Record probable length of each job based on past projects 5.Calculate the Shortest Possible Implementation Schedule Using the Critical Path Method  Find the path with the longest cumulative duration - Mark the path with bold arrows to distinguish it 6.Calculate the Earliest Starting and Finishing Times and the Latest Starting and Finishing Times for Each job  Calculate each job's earliest start and finish times by adding the duration of each job to the cumulative duration of all predecessor jobs  Calculate each job's latest start and finish times by subtracting the duration of each job from the latest start time of its successor 7.Locate jobs With Slack Time and Calculate Total Slack  Subtract the earliest start from the latest start of any job where there is a difference Add the slack of all jobs in the network to get total slack 8.Review and Revise Activity Network Diagram  Get those who will be monitored, involved  Change as needed to make it more realistic

8. Client Logo 8© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

9. Client Logo 9© The Delos Partnership 2006 January 2006 People Process Technology and tools Technology and tools Measures Suppliers Planning the Lean Action 1.Generate the action list for change on each of the steps of Lean, for each supply chain. 2.Position sequentially. 3.Build the network. 4.List on each card its lead time, responsible for co- ordination, work content by resource and out of pocket expenses. 5.Define major milestones and deliverables. 6.Draw critical path. 7.Schedule the project with ambitious yet realistic dates.

10. Client Logo 10© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

11. Client Logo 11© The Delos Partnership 2006 January 2006 Costs € (£) List and validate planned expenses and investments. ExpensesInvestments -€-€

12. Client Logo 12© The Delos Partnership 2006 January 2006 Costs € (£) Document each major investment or expense with:  assumptions,  planned return,  alternative options. Expense  Investment  Object : Justification: Estimations: -Purchasing€ -Installation€ -Education€ -Learning curve€ -Life time€ -…€ -Total :€ Alternative option: Expense  Investment  Object : Justification: Estimations: -Purchasing€ -Installation€ -Education€ -Learning curve€ -Life time€ -…€ -Total :€ Alternative option:

13. Client Logo 13© The Delos Partnership 2006 January 2006 Return € (£) Document each planned return with:  Assumptions,  Calculation mode,  Control measures. Return: Assumptions: Calculation mode: Control measures: Return: Assumptions: Calculation mode: Control measures:

14. Client Logo 14© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

15. Client Logo 15© The Delos Partnership 2006 January 2006 Failure Mode and Effects Analysis FMEA concept  FMEA - Failure Mode and Effects Analysis is an easy to use and yet powerful pro-active engineering quality method that helps you to identify and counter weak points in the early conception phase of products and processes. The structured approach makes it easy to use and even for non-specialist a valuable tool. The benefits obtained encompass by large the investments in time and resources to execute the analysis.

16. Client Logo 16© The Delos Partnership 2006 January 2006 Failure Mode and Effects Analysis FMEA Process in short  Brainstorm and list potential risks of failure.  Brainstorm and list potential effects.  Evaluate effect severity.  Brainstorm possible causes.  Evaluate occurrence probability for each cause.  Brainstorm preventative controls on causes & failures  Evaluate the likelihood of detection  Determine recommended actions  Assign responsibilities.

17. Client Logo 17© The Delos Partnership 2006 January 2006 Failure Mode and Effects Analysis

18. Client Logo 18© The Delos Partnership 2006 January 2006 Evaluating Lean project risks 1.Keep it simple! 1.Brainstorm and list failure modes. 2.Use affinity diagram to group and tree diagram to complete. 3.Evaluate severity by voting. 4.Evaluate probability by voting. 5.Brainstorm controls. 6.Develop alternative strategies or contingency plans for higher risks. 2.A bias for action!

19. Client Logo 19© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

20. Client Logo 20© The Delos Partnership 2006 January 2006 Prepare meeting with sponsors Divide into groups to prepare. Nominate a speaker. Each group must reach a consensus on presentation content. Prepare documents. Be prepared to answer questions. 45 minutes to prepare.

21. Client Logo 21© The Delos Partnership 2006 January 2006 Presentation Agenda SubjectGroupSpeaker Introduction- Delos- Delos Presentation Agenda-- Project’s objectives and benefits-- Answers brought to sponsors’ remarks -- New process presentation-- New dashboard presentation-- Implementation plan-- Major deliverables Dates Risks analysis and limitation- - Implementation budget-- Project organisation proposal- Delos- Delos Q & A- All- Delos

22. Client Logo 22© The Delos Partnership 2006 January 2006 PROGRAM DAY 5 Project planning technique  Activity network diagram (CPM) Project planning:  Network.  Responsibilities, work, lead-time.  Critical path.  Dates. Cost evaluation & project return. Risks evaluation & prevention. Prepare meeting with sponsors. Meeting with sponsors for presentation and approval.

23. Client Logo 23© The Delos Partnership 2006 January 2006 Execution Your turn: Objectives are agreed Planning is known Education plan is defined Performance measurements are defined Risk limitation is active … We will follow-up during our visits.

24. Client Logo 24© The Delos Partnership 2006 January 2006 Thank-you for filling your evaluation sheet. Thank-you for your active participation!