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But what is best quality for products and services involving multiple people in a more complex supply chain? What is quality at the source, why does it matter? Quality must be defined by whoever the end customer is, so there is not one definition. However, when a company commits to producing according to the quality characteristics desired by its end-consumer, doing the right thing the first time will help deliver a product of the desired quality and at a predictable cost. When quality is not built into every step of the way, defects get passed on and produce unnecessary waste, potentially compromising the end result and making for a more expensive overall operation. Our customers (and our associates) "taste" the quality of our products and services every single day. Let us create a flavor that has them coming back for more.

Steps to consider when applying "Lean" to services. 1) Define Improvement Targets on the Basis of Voice of the Customer 2) Make the Relevant Processes Visible 3) Determine the Time Traps 4) Analyse the Time Traps to Determine their Causes 5) Apply Appropriate Tools to Improve the Process

In your workplace, do people act like shopowners?  Do they do work extra hard to take care of the shop, own its processes, design its delivery of goods and services, and constantly seek out innovative ways to provide value?  Are they looking for ways to grow the business, since that growth leads to both stability and prosperity?

Once value added activities and necessary non-value activities are identified, improvement efforts are directed toward making the activities flow. Flow is the uninterrupted movement of product or service through the system to the customer.

How could we use this? Too often 5S, kaizen, standardization and checking our own work or the work of others begins with enthusiasm as a new management program but soon becomes a routine and neglected "nice to have". Putting 5S and kaizen together as the "6T practice" positions them as essential daily "must haves" behaviors. Placing the record of completing these duties on the clip board on the food service floor within reach of the customer is an excellent way to link practice with purpose.

Value stream mapping is a tremendously valuable tool for improving a process. Well suited for a broad range of industries and processes. A value stream map (VSM) illustrates the flow of materials and information as a product or service moves through a process. In short, it helps eliminate waste.

Work shouldn't require heroics to get it done and get it done well. Outstanding organizations continuously strive to create work environments where successful performance isn't dependent on heroics. Where people can be proud of the deliverables they create versus rushing through everything and delivering suboptimal output. Where leaders sleep at night versus wondering if deadlines will be met. Where customers don't have to regularly call the customer service center because… well, there's no need to. Where stress levels are in check and employee joy is palpable.  Being proud, reduced stress, sleeping, joy… they may not be easy to measure, but…. Don't you want to be one of those organizations?

It seems that since the beginning of time we've all learned, "Lean is about continuously developing people and improving processes to create and flow value to customers using the least possible resources required." Value of products and services is created through a series of work processes, some which create value and some that definitely do not (think of rework, inspection, waiting and expedited shipping). One objective of operational excellence and lean is to eliminate non-value added work to improve the flow of value to our customers, the result of which is shorter delivery cycles and higher levels of quality. Some people describe this as "creating value as efficiently and effectively as possible." 

It is said that performance is related to housekeeping and workplace organization. It is a first step to improving operating results. The 5S Tool is a common sense approach to improve the visual control in the workplace. The decision-making process usually comes from a dialogue about standardization, which builds understanding among employees of how they should do the work. It can apply to both manufacturing and the service setting.

Too often the principle of flow and pull is seen as applicable only in a manufacturing environment. In fact, the principle can be applied in many different ways. On a recent trip to Kenya I had the pleasure of experiencing the "Matatu" bus service in Nairobi. It really got me thinking about the principle of flow and pull. 

Lean business operation philosophy not only applies to manufacturing, we've also seen its positive impact on service. Now here's somebody proposing to apply it to municipal operations. And he's right!

A number of these apply to service in interesting ways as well.

I really like these three tips: Complaining trumps self satisfaction. The people in an organization which is 10 years into a lean transformation should not be satisfied with their condition. A happy lean culture is a faltering lean culture. People should be happy, but there should be a distinct sense of dissatisfaction with the status quo. Frequent and brief complaining followed by 5 why root cause analysis and corrective action is a characteristic of a sustaining lean culture. Structured program trumps invisible behaviors. It's tempting to think that a formal, structured lean program is no longer necessary after 10 years of practicing lean because it is now "in the blood" and does not require special promotion or attention. However this is rarely the case. Nature abhors a vacuum, and corporations seem to abhor a vacuum in program-space. Best to keep the lean program and improve it also continuously as a support mechanism. Pedal to the metal trumps cruise control. Thomas Jefferson said, "The price of freedom is eternal vigilance" and coincidentally this is also the price of a sustained lean culture. At no time is it safe to put the program on cruise control. Corners always want to be cut, people naturally want to do what is easy, and without strong leadership to remind people that sometimes the important things are not easy, a lean culture will not sustain. Developing people trumps driving results. After 10 years even people who may have only paid this lip service begin to see the cause and effect connection and begin to believe. It takes time to develop people. When you can point to people that have developed with the organization and are driving results, this is a sign that the elements of a sustainable lean culture are in place.

Four

How do Lean organizations develop their employees if Lean considers expenditure of resources other than for creation of value to be wasteful? First, a true lean organization isn't obsessed with waste. If anything, they are obsessed with value.  Waste is anything more than the absolutely minimum required to add value to a product or service; waste is not just anything that doesn't create value. I can't imagine much value can be delivered without the right skills and capabilities in the organization. Therefore, I don't think there is any conflict between developing employees and waste elimination. Second, a lean organization thinks about the total system, and thinks long term. There is a constant pursuit of the knowledge between cause and effect. All of that means that there is a strong understanding of the performance impact (effect) of more talented and skilled people (cause). Third, people think too narrowly about how they develop their people that they think it all must cost dollars, because it is all about training. I'm not suggesting that you should stop training; I've rarely seen an organization that is over-trained. What I'm suggesting is that the increase in developing people come from coaching and experimentation. These two sources of development are very powerful when done consistently and for the long-term.