Cost Reduction & Lean (Part 3 of 3)

Business Management Health Assessment (BMHA)

“Designed for the Manufacturing Industry”

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COST REDUCTION & LEAN

QUESTION => Manufacturers – Are you achieving 500% + on Overall Equipment Efficiency (OEE)?  Are you achieving the planned ROI?

In this months’ topic series for COST REDUCTION & LEAN.

This week, we will focus on the domain of ‘PERORMANCE QUALITY’.  One may ask, what do you mean by performance quality?  Well, we look at Quality Assurance as the mortar that binds the organization’s processes together.  With that in place and operating well in concert with the business plans & strategy, then performance is a natural outcome.

Last week’s blog article on ‘Cost’ spoke extensively about processes and how they have a direct impact on the manufacturing organization.  Quality Assurance is an entity within the manufacturer that assures that the processes are developed, make sense for the product and services provided, and most importantly, how the workforce operates.

At the risk of generalizing, most of a manufacturer’s workforce views Quality Assurance as an Inspector or the function of inspection.  This could not be further from the true scope of what QA does and responsible for.  QA has a deep understanding of all functions within the organisation and how they link into and support the objectives of the company.  They’re responsibility is to help the workforce and functions develop, implement, and deploy processes and practices that drive the organization on a daily basis to achieve the products and services of the company.  If this is done properly, then performance quality becomes reality through controlled execution.

Aside from the business practices being well developed and deployed, the human element is equally important.  In our previous blog article, we referred to a process called ‘Personal Development Program – PDP’.  This tool is an excellent example of how to get your workforce aligned and marching in the direction of the business plan strategy, objectives, and goals.  It supports realization of performance quality results and a congruence of all functions in the organization for its intended purpose.  Please do reach out to our team on this item if this is of interest to you.

Associated with this domain is lean initiatives.  This typically involves a continual improvement program, a lean audit regimen that is tailored to your needs for the organization.  Simplicity is the best way forward.  If it isn’t, it isn’t ‘lean’ in itself and will be doomed for indifference, neglect and eventual failure.  All bad things that reflect upon the leadership and direction of the company.

Lean is meant to be simple and just ‘lean’.  No need to be complex and time consuming of resources.  It has to be part of what your team does day in and day out.  They need to have a mission plan that is limited to less than a handful of objectives that makes a difference to the lives of the workforce, and performance quality as an end result.

To help explain what this meant, think of yourself working on a personal project that may be of some considerable time.  Where there are repetitive motions or tasks, we would wager that as you do these repetitive tasks, you begin to lean out the process simply because there is wasted time or effort.  You begin to see ways to utilize your time better.  (For example; while the paint is drying on this end of the project, I could be nailing down the boards on the other side and preparing a faster way to paint it once its time to do so).  We believe that people naturally think lean in daily life for beneficial outcomes.  It is no different at work.  What may be missing is not fully understanding the company’s processes, business plan, strategies and what is expected from them.  If the workforce does, again, we wager that they will begin to implement lean processes that will foster performance quality outcomes.

Our team at LYNXBMG consists of lean thinkers and have a ‘Lean Expert’ onboard.  We would be more than pleased to exchange ideas with you.  Contact Us – LYNX Business Management Group (lynxbmg.com)

As this is the final blog article for Cost Reduction & Lean, we will be moving onto the next business management principle with a 3-part mini blog series dedicated to Partner Management & Strategic Procurement.

We encourage you to reach out to us on this topic.  We are practitioners with a true passion to help manufacturers like you meet your objectives.  It costs nothing to enquire and we wager that you will be glad that you did.

 

The BMHA is an efficient LYNXBMG auditing and business development process assessing eight operating key business management principles & institutional processes.

Extended support by LYNXBMG enables manufacturers like you to execute continual improvement through mentoring of personnel and optimization of your operating processes.

Flexible Product Options:

OPTION A
Client self-performed assessment – Internally managed.  Formalized Report-Out.

OPTION B
Assisted assessment – Leave the process to us – 3 Day on-site process with a LYNXBMG Business Development Expert to manage and document a deep dive of your operational business.  Formalized Report-Out and Roadmap to develop the business.

With a completed BMHA, we guarantee leadership will have clarity on:

  • The level of congruence within the functions planning, managing, and controlling the company.
  • The level of congruence and integration of the management processes used to drive the company.
  • The alignment of the business plan to the company’s core objectives.
  • Strengths, weaknesses, opportunities, and threats within the company.
  • Opportunities for cost reduction and performance improvements affecting overall equipment efficiency (OEE).
  • Procurement and purchasing leverage opportunities.
  • Operations and Quality Assurance alignment.
  • Organization readiness & prioritization of what to focus on to develop the business.
  • Progressive steps to achieving a lean enterprise.
  • Expected ROI from development actions taken ~ 500+% based on OEE improvement to manufacturing quality, efficiency, resource allocation & management processes.

Our Mission is to help manufacturing organizations achieve operational excellence, profitability, and growth in a competitive market through the mentoring of personnel and optimization of processes.

Our Core Values are:

  • Integrity & honesty
  • Demonstrate and build trust
  • Genuine care for Client growth and wellbeing
  • Coaching and devotion for excellence
  • Making a difference for industry

For more information or to order your own BMHA from LYNXBMG.

We look forward to hearing from you.