Run a Better, Faster, Leaner Business

Lesson 15 of 29

Simulation: LeanSigma Game - Round 3

 

Run a Better, Faster, Leaner Business

Lesson 15 of 29

Simulation: LeanSigma Game - Round 3

 

Lesson Info

Simulation: LeanSigma Game - Round 3

So this things to our demo on what we're going to do now is we're going to we're going to demonstrate that it is possible teo hit numbers like that and to do that well, just just for time purposes we won't run a full ten minutes we'll run five okay? So instead of thirty units in ten minutes we want fifteen and five so attack time is still the same it's twenty seconds and what we're gonna do is just set up a little we're going to kind of blow up the old system these khun go away except I'm still the customer and I'm I'm not you know, you might talk to me and the kaiser event about saying hey, can we co locate with you? Can we get like, right next to you? Can we you know, like an intel plant is frequently located right right next to adele plant for example what's let's co locate let's take that movement that transportation out of the equation as much as we can so we could have a discussion like that I've said I'll take him one time all right? I use them one of the time it's so as long as...

we can figure out a smooth way to do that that's cool, so what we're gonna do is we're gonna run this with three people we've also challenged paradigms we've said, you know what? We talked to the customer and nobody picked up on this just yet but one of the things we noticed in the game as I created a paradigm in your mind. And you may not have caught it. I created a department called diamond. Words are paradigms. And then I positioned dots on the paper in such a way, right? And I said, they all have to be connected, and I'll be exactly the same now, what almost everyone does as they think. They have to be like that that's, a diamond like a baseball diamond, and then we go out. We buy a fancy template, that's, expensive or whatever shaped like that. 00:02:01.32 --> 00:02:04. But no one ever necessarily asked that, well, 00:02:05.72 --> 00:02:07. could we shape the diamond? 00:02:08.62 --> 00:02:10. A diamond, iraq technically, it's, not a basement 00:02:10.94 --> 00:02:13. it's, not a shape. We just think, it's, a shape that's, 00:02:13.81 --> 00:02:16. a paradigm. What color is that? What shape is the 00:02:16.82 --> 00:02:17. red dot? 00:02:20.69 --> 00:02:21. It's, round, 00:02:22.62 --> 00:02:24. square, peg, round hole kind of paradigm. 00:02:25.62 --> 00:02:27. Could we connect these dots 00:02:28.22 --> 00:02:28. this way, 00:02:30.12 --> 00:02:33. which gives us a lot more room for dot placement. 00:02:35.26 --> 00:02:36. People go that's, not a diamond, it's a circle. 00:02:38.22 --> 00:02:40. I go, actually the first time it's, not a diamond, 00:02:40.23 --> 00:02:43. it's, a square, just turned forty five degrees. Oh, 00:02:44.25 --> 00:02:46. that's, a good point. So they only some people get 00:02:46.67 --> 00:02:48. really difficult on and they go. No, no, no, you're 00:02:48.77 --> 00:02:51. wrong, that's, not a diamond, that's! A circle. You 00:02:51.23 --> 00:02:52. can't do that, that's cheating 00:02:53.94 --> 00:02:57. what's that on your finger. What shape is that? There 00:02:57.86 --> 00:02:59. weren't around diamond. All right, 00:03:00.86 --> 00:03:01. well, there's, what's that, 00:03:03.16 --> 00:03:03. oh, 00:03:04.62 --> 00:03:06. if they really get nit picky about all of this will 00:03:06.78 --> 00:03:08. save. All right. How about if we shape the diamond 00:03:08.49 --> 00:03:09. like this? 00:03:14.28 --> 00:03:17. Connects all the dots now we're back to square again 00:03:18.62 --> 00:03:21. but this is where we're designing in an easier way 00:03:21.22 --> 00:03:25. to do the work okay so we've had fun with this game 00:03:25.55 --> 00:03:29. over the years and I had a student from scotland give 00:03:29.01 --> 00:03:32. me a gift some years ago I get strange gifts sometimes 00:03:32.93 --> 00:03:37. but I he gave me this you know what that is? You could 00:03:37.59 --> 00:03:42. see that all right, that would be a one load round 00:03:42.18 --> 00:03:45. diamond template that he created for this game 00:03:46.49 --> 00:03:49. to say that you know what I can actually do to diamonds 00:03:49.97 --> 00:03:54. on a sheet and six to eight seconds with us what's 00:03:54.26 --> 00:03:56. tack time twenty 00:03:57.49 --> 00:04:01. mmm so you can do to diamonds in less than half the 00:04:01.82 --> 00:04:04. time you have available what else could you potentially d'oh maybe you could put the red dots down too oh really what else do we have? We got to you do those yellow dots that's value add the review and inspection we talked to the customers about that they didn't even realize we were doing it because we were shipping bad stuff anyway so we can we can come up with a better way to do that so what we're gonna do real quickly is we're going to run the game for five minutes. I'm just gonna pick a few of you to do the job. So three of you all right and uh use jane's going out. I want to be yellow circle again and you're very good at it by the way so you've you've already proven that so we're gonna take this we're going to take some dots by the way we're gonna we're gonna challenge this you can't have your own dots at the at the pitch your own place and uh I left kurt has been our masterful diamond personal along I'm gonna give you a new template all right susan you can go out and sell new business okay because we're gonna want more business so kurt's going tto be our diamond man all right with that little tool we're going to put a red circle right next right in between you two and kate when kurt's done he can if he's got time permitted now readout attack time okay twenties every twenty seconds he's got time he could put the red dots down he gets behind for any reason you put the red dots down okay? So there's red dots right here and I'm gonna put yellow dots just right here between you two right? And uh when you're finished you're going you're going to pass it on one at a time we've eliminated the staples so this is what I would call this one piece flow and lean so you're going to pass it on to jane so gifted it yellow circles I appreciate that so you're going toe you're going to do your job. Each one of you is in charge equality so you're going to make sure that you you look at it carefully. This is not a race this is about going slower to move faster it's paradoxical so that's going to go faster the sheet that which we get paid for but you're going to work at a nice rhythm pace now read off that tack pace this is that graceful swimmer okay, jane when uh when you're finished with it okay? You're just gonna you're going to set it right here on the in a little pickup area and, uh and the customer is going to pull it. Okay? So it's either think you know it's either an elektronik pull like an e book or it's a physical pickup thinks things like that, but we want what we want to see here is just a simple illustration of what a true lean six sigma operational excellently run organization looks like. All right, no pressure, but with that, any questions on it? So, jane, you know you've done the yellow circles before kate has a question in the red dots on he's behind. Yeah, well, he can yes, but you're also looking at quality. Okay? You're and you could put yellow dot son. Okay, okay, so you are a cross trained red dot yellow dot person, all right, all right, and you ready, so, uh ready set, go so the game is on. And what we want to do is just take our time. Where it? Five seconds. We're ten seconds. So we're not even attack time yet. Kate can help with yellow is well. And then and twenty seconds there's. Our first drumbeat. All right, I've got my first one and thirty eight seconds. Looking good. So I got my first one up here. Thirty eight seconds. One. And we're at one minute now. Now we make the customer come and get it. What, we beam it to him, all right, you know, or we could have, ah, we could have co located next to the customer, which is what we typically doing this round of the game. Okay, I've got two good ones. Wait a minute, twenty sort, another drumbeat. How many do we have an inventory? Three, another one. Okay, here's, another one. I'm pulling our down to an inventory so you can see our inventories fluctuating in that zero to four range. I've got three good ones for a minute. Forty again, it's, not a race. What we want to do is relax and just, uh, balance our efforts out. Not that we're actually going to do this every day. All day is stick circles, and I'll take both. Unfortunately, there's, no pizza at the end of this, guys. So I have five good ones in two minutes, and ten seconds in the line is flowing. This is what we mean by flo is the, uh, is the sheet moving a lot faster than it did in around one and two? Indeed, it is the people moving any faster. Yeah, but he shouldn't be putting red circles on it, because he's delaying the line. You will definitely move quick, prove you didn't do this. Don't do this. You don't have to wear two forty, so I'm trying to re tacked off every twenty seconds. So if if we had a visual signal, that's said that to kurt hey, jane's available. Two dot put dots. He could move that on to kate and that kind of thing, so yeah, and then let's, get on this case that the tool. We validated the tool with the customer. We said, we've got this new tool. We talked about a better way to do this, and the customer said, I think that's ingenious, that that really wows me because it's, a much more clever design. So we're we're three. Twenty. I've got eight good ones. Looks like nine and ten are right here. Got nine and ten. Yes, kimberly has a question or an observation. I see some non value added activity. Uh, kurt could just have the stack of paper all there, so he doesn't have to pull it for. Ok. Well, now you're taking now you're thinking like a lean sense saline champion, and you know, what is lena's, this process looks. I still see some ways, haven't we? We are now at four minutes, I have twelve, you think we're going to make it? We hope so. We're not in a hurry. Remind me, joe many fifteen, fifteen and keep in mind we're not running to ten minutes. We're running to five and it's the first minute that that takes takes the longest because we started with an empty system, right? Yeah, so we're we're easily at the twenty second pace right now. All right, I've got thirteen, I've got fourteen. It looks like I've got fifteen and that's what I ordered. So I'm at four forty and I have fifteen, and I gotta tell you, wow, I am wow, you, khun, stop! I've got fifteen good ones. Guess how many are not good? Zero are you kidding? May. So we did the equivalent of thirty in in ten minutes. We did fifteen and five minutes. So we we met this mark, so to speak. How many? We have an inventory over there. There actually was one, two. Yeah, the blanks don't count, so we've got two over there. We had. Did you rework or scrap anything internally? No, so our poky yoke seemed to work. All right. Plus, we weren't hurrying, and we were so co located and connected that we could actually, uh, c c the c, the work. All right, so we hit our one point, oh, productivity number. All right, I think we made any money, so, nine dollars, and in this case, not ten dollars, nine dollars, and we had, uh, fifteen. So that's one thirty five on the top line. Minus ten dollars to met, two dollars, permitted times. Five minutes. Our labor was three dollars. It was. It was two dollars times three people's six times five, so thirty dollars. We had zero re workers scrap and we had two whips right times two dollars so minus two dollars looks like we made some money, folks so we're at ninety three dollars, I believe look right uh, so we made ninety three dollars at a lower price and higher inventory costs and higher labor costs. We got the customer everything they wanted and we did that using the tools we just covered. Now think about that if your soul oprah neuron entrepreneur, a startup company, how do I make the most out of the resource is I have the people I have all right, the tooling the equipment that I have because if we just start throwing money at stuff wow, we could we could be digging ourselves in pretty deep. All right? So in ah in this round and round three, we just captured the numbers pretty significant at thes lower prices. We made a significantly a larger amount of money. This is the world we're in today where companies air out there coming up with better, faster, lower cost, more user friendly business models challenging uh, whatever it is we're doing. So we want to be very clever about our value propositions and that kind of world today and then our process designs and our utilization of resource is we're really it really starts to come together I like to I like to leave people with this thought that our systems and structures are perfectly designed for the results we're currently getting. We're happy with our results, we not to change anything, but if we've got udi's, we've get customers that are mad at us for asking for more. We've got to go back down to that deeper level of systems and structure, you know, to really get our heads around it. Some very commonly sigma solutions are listed in your materials things like co locating cell design, which we just displayed one piece flow, which we just displayed smaller amounts faster, which we just displayed standard work where things air standardized and organized con bond type type systems. Standard operating procedures will cover more of that in the next segment, just in time training things like that. You can. You can you can read right through these the five s, the workplace organization producing to pull using tak time. Some of these things, the combine control. We just took a lot of these solutions. We built them into our design, and we got astonishing results using the very same exercise we struggled with, uh, earlier session. Summer's. Comin results to pay attention to is, uh, we're not talking about just little incremental five and ten percent gains. And typically, when we applied, these tools were looking at triple figure gains. You know, three hundred, four hundred, five hundred percent productivity gains, in some cases read really significant. I'll leave you with this little thought from thomas edison. You know, if we, if we all did the things we're capable of doing, we would literally astound ourselves. Not true.

Class Description

Ready to finally let go of the unproductive processes that are holding you back at home, in the office, and in your creative life? Join educator and business consultant John Murphy for a three-day introduction to streamlining your creativity.

As he shares techniques from his critically-acclaimed books Beyond Doubt and Zentrepreneur, John will cover ways to make your day-to-day life and tasks better, faster, and more efficient. You’ll learn about the DMAIC model of process improvement, and how it can be used to approach problem solving in an effective, rational way. You’ll also learn about how to prevent processes from being bogged down by waste, duplication or redundancy. John will cover Kaizen -- the art of making good change -- and give you tools to change both your processes and your mindset.

By the end of this course, you’ll have an increased creative energy and processes that will help you implement creative solutions in a balanced, harmonious way.

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