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Lean was originally developed within the Automotive Industry and is a set of principles,
practices and tools aimed at creating precise customer value.
Lean can be applied to all aspects of an organisation, from product development and provision
through administration and finance to customer services and support. The goal of ‘Lean Thinking’ is to create
high quality, defect free products and services at all stages of the customer experience, whilst using less
capital, space and effort to produce this.
‘Lean’ classifies every activity that we do into 3 types:
- Value Add - activities that help create the final form or function of
the finished article - those activities that a customer would be willing to pay for
- Non Value-Add, but essential - things that need to be done, but that
don’t actually bring any value to the finished article (e.g. waiting for a document to print, the time it
takes for paint to dry etc.)
- Waste - actions that bring no value whatsoever to the final form or
function of the article involved, and are therefore unnecessary
Lean Examples
By applying ‘Lean Thinking’, benefits are seen in cost reduction, shorter cycle times,
improved customer service, greater employee productivity and increased profit margins. In fact, often it
is not untypical for waste to account for up to 75% of a non-leaned process! By applying ‘Lean Thinking’,
therefore, massive results can be achieved, such as those below:
| Process/Activity |
Pre-Lean |
Post-Lean |
Improvement |
| Standard Service Call on customer equipment - Cycle Time - Consumer Electronics |
94 minutes |
37 minutes |
60.63% reduction in cycle time |
| Resolution of customer complaint - Cycle Time - Telecoms |
151.2 hours (6.3 days) |
7.8 hours |
94.85% reduction in cycle time |
| Improvement in volume of customer request handling & resolution - Publishing House |
471 per day |
663 per day |
40.76% increase in workload throughput |
| Average unresolved complaints per agent - quantity - Telecoms |
16 per agent |
4 per agent |
75% reduction in unresolved complaints |
| Receipt of Payment delay post- payment terms - Professional Services |
42 days |
4 days |
90% reduction in delay of payment receipt |
For further details about the Lean Unit please
register your interest online.
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