1. Local Energy Solutions Conference November 20, 2016
LEAN
Local Energy Solutions Conference
November 20, 2016

2. Agenda For Today:
Introduction to Lean
Kaizen Exercise

3. Lean Process Improvement
Scientific Approach
Eliminating Waste
Reducing Frustration
Empowering Staff
Culture of Continuous Improvement

4. NO WASTE = Happy Staff & RESULTS! WASTE = Frustration &
Resources
WASTE =
Frustration &
Limited Productivity
Results
Results

5. How Lean Works Engage STAFF MAP the process Spot WASTE
Diagnose ROOT CAUSE
Implement CHANGE
Sustain CHANGE

6. Process Mapping Current Process Feedback Loops Extra Review Steps
Future Process
Streamline
Eliminate Extra Steps

7. Process Mapping

8. Value Stream Mapping Value Added Non-Value Added Business value added
Step customer would be willing to pay for
Result cannot be achieved without it
Consumes resources but does not produce
Results can be achieved without it
Business value added

9. Waste (DOWNTIME) Transportation Inventory Motion Extra Processing
Defects
Overproduction
Waiting
Not Utilizing Skills
Transportation
Inventory
Motion
Extra Processing

10. Root Cause Analysis See symptoms (WHAT) Identify causes (WHY)
5 Whys (HOW)
Prevent future events
Root Causes are those for which effective recommendations for preventing recurrences can be made.

11. Solution: Turn lights on at a later time.
5 Whys
Problem Statement:
The Washington Monument is disintegrating.
Why? Use of harsh chemicals
Why use chemicals? To clean pigeon poop
Why so many pigeons? They eat the spiders
Why so many spiders? They eat the gnats.
Why so many gnats? They are attracted to the lights.
ROOT CAUSE
Solution: Turn lights on at a later time.
Source: Marketing Works 5 Whys Worksheet

12. Lean can be used anywhere!

13. Exercise: Making Mojitos