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How Most Businesses Handle Process Management and Why it Fails

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process management Frankenstein

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I recently helped a company who was struggling with inventory management. The General Manager had a white board full of problems, each representing a hole, and she didn’t know how to fill those holes. She kept trying different processes, but each attempt led to a new leak in the pipeline. Employees were becoming confused and frustrated because it seemed that things kept changing. 

Does this sound familiar? Sadly, this is how most businesses handle process management.

This trial-and-error approach to fixing a problem is something I see all the time. It is what I call a “Frankenstein” process. This activity consists of holding parts of a process together with temporary fixes (Band-Aids) that really only stop the heaviest bleeding. Eventually, all the bandages fall off and I get a phone call to help. 

What do I do in regards to process management that is so different than what management has already done? A few things. 

First, I’m objective. I see situations from the outside and can ask the questions that those internally can’t or won’t. For example, if a company is having space constraints and the owner has his yacht parked in the warehouse that would better be used as a production floor, I can point that out without fear of losing my job. 

Second, I’m specialized. Those working in their respective fields are knowledgeable about their job. Whether that’s operations, HR, sales, or whatever. My specialty and training is in Lean process management. I have unique skills, training and tools that help me hone in on the specific task at hand. This means that I am focused on solving any issues of inefficiency. 

Third, I have the time. Just as these workers have skills in their own area of expertise, they also have the bulk of their working hours full with, well, work. As a consultant and Lean Sensei, I am able to devote specific hours to work on solving a problem at a deeper level. I don’t look for areas to smack on a fix, but rather I do diagnostics for the underlying cause of the problem symptom. 

A doctor would never do a surgery without knowing what they were going in for, but in business I see this happen very often. I slow things down and get to the root. From there, we build a process with buy-in so it sticks, build feedback loops to ensure they are working, and put in place strategies for continuous improvement to prevent the process from coming out of remission. 

 

If you are ready to tackle the Frankensteins in your business, we can help. As a lean sensei and lean management consultant, we provide a complete review and analysis of the business processes that create efficiency and profitability, and the barriers to them. If you are ready for true process management, let’s talk.

Contact me today to learn more. Together, we will create a continuous improvement culture and healthier bottom line. 

Dealing with a Frankenstein Business Process? What It Is and How to Fix It

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I have the privilege of working with forward thinking businesses. These businesses know something isn’t quite right, but they can’t always put their finger on it. I’m called in and using a variety of techniques, discover and correct workflow holes and implement process improvement.

Birth of a Process

The first time that a series of steps are performed to complete a task, a process has been born. I use the word “born”, instead of developed, as rarely are processes designed. A business process exists because someone saw the need for something to get done. All of our daily activities are conducted through processes, some are good and some are poor. We recognize the poor processes typically through things that frustrate us. For example, standing in line for hours waiting for a representative to take five minutes of their time to explain the many pages of forms required to fill out. Poor processes can be the state they are in due to something I call a Frankenstein Business Process.

Typical Development of a Business Process

Most processes change many times. They may change in response to changes in technology, changes in products or services and/or changes in customer requirements.  Most often, however, a business process changes for various other reasons, not always in a way best for a business.

One of my responsibilities when working with a business is to ask why they do things the way they do. The typical response is that no one knows why and that it is how they have always done it. One business I was called into found themselves in a state of panic and urgency because the company they relied on for their envelopes had gone out of business. It was an important part of their workflow and they weren’t sure how to manage the change.

It turned out that the specialty envelopes were ordered once because the standard ones were not available, and they continued to order believing there was a requirement for them when there really wasn’t. On the surface, this may seem to be a small issue, but it really created a great deal of problems as a new vendor couldn’t be identified and it was effecting their production to not have this particular and critical supply.

In this case it was envelopes, but in another scenario, it could be a change in adhesive, for example, that effects the final product output. This, in turn could also affect price, skills needed, equipment changes and more.

The Frankenstein Process

Over time, business processes will naturally change. We hire new employees with a mix of education and experiences who change the processes to try to make them better, or in response to poor performance of the business. These changes become a “Frankenstein” process, that is, steps have been added or removed without really looking at how the process works overall. Processes like these are ingrained with wasteful, frustrating and unproductive steps that end up costing a business money, or worse yet, employees or customers.

I believe it doesn’t matter how great your product or service is, your business is only as good as its processes.

Innovation’s Opposite

The biggest curse to innovation is that of “We’ve always done it that way”. When we really look at the need, regardless of how things were done before and independent of the fixes that were put into place, we can discover waste and inefficiencies and replace them with new, improved processes that are long-lasting, rather than quick, Frankenstein fixes that eventually fail.

Contact me today to learn more about how I help businesses to simplify and improve their business process making them easier to understand, perform and manage. Together, we will create a continuous improvement culture and healthier bottom line.

What is Lean Manufacturing?

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What is Lean Manufacturing

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Lean Manufacturing is a business method focused on eliminating wasteful practices in manufacturing. It is also referred to as Lean Production, Lean, or Toyota Production System (TPS). Lean focuses on value and reduces everything that doesn’t create it by using a set of practices to identify both value added and non-value added (waste) steps within manufacturing business processes. Auditing current systems and processes and implementing changes to improve workflow, including adding automation when needed, is the broadest overview of Lean.

What is the Goal of Lean Manufacturing?

The bottom line goal of Lean Manufacturing is to create efficiency, and therefore the most profitable manufacturing process. The objective of reducing all areas of waste, including that created from both unevenness in work load and overburden, is also a part of Lean.

TPS looks at 8 areas when discovering true wastefulness- things done that don’t add value and are unneeded for the final product outcome. These 8 areas are summed up in the acronym “DOWNTIME”:

Defects: Anything done incorrectly, not meeting customer requirements, requiring rework or scrap
Over-production: Building more than what is required- leads to excess inventory
Waiting: Areas of down time in production
Non-Utilized Talent: Not engaging employees in continuous improvement
Transportation: Additional movement of product within the facility
Inventory: Carrying more than what is required, especially “frozen” inventory
Motion: This refers to damage and wear and tear (both to people and equipment)
Extra-processing: Doing more or using more than what is required for the desired outcome

Implementing Lean Methodology

Implementing Lean practices is more than simply using tools. While Lean practices focuses on having an efficient and effective work flow, a cultural shift must happen as well. The organizational value of continued improvement must be adopted. Business agility is required, which means all employees and management must be flexible and willing to change.

True transformation is open-ended and not all business cultures allow for that. Therefore, Lean Manufacturing, in order to offer the long term benefits, must be embraced at all levels and incorporated into onboarding, training, management practices, production, research, and more. This change will not happen overnight and does require a long term commitment to the continuous improvement effort and cultural change.

How PBEX LLC Supports Lean Manufacturing

Trained in Lean Manufacturing Methods, PBEX LLC helps by providing:
• Lean Process Management
• Kaizen
• Gemba Walk
• 5S
• Visual Management
• Kanban
• Value Stream Mapping
• Facility Layout
• Cellular Flow
• Problem Solving

As your “Lean Sensei”, I use these non-software based solutions that can be implemented quickly and easily to reach the goals you are desiring. Contact me today to learn more about how Lean Manufacturing can simplify and improve your business processes making them easier to understand, perform and manage. Together, we will create a continuous improvement culture and healthier bottom line.