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The Structure of Lean

How do all the aspects of Lean interrelate

It's been over 30 years since the World's most successful business model, was revealed to the World by Taiichi Ohno in his book the Toyota Production System. The TPS system aims to challenge everyone in the company to continuously improve every aspect of the business by removing waste.

There has never been a complete guide published to the TPS and its underlying guiding philosophies, termed The Toyota Way. However, some excellent studies have been carried out, including The Machine that Changed the World by Womack, Jones and Roos, where the term Lean was coined to describe the system.

Lean is a flexible solution, relying on experienced teachers or Sensei in Japanese, to point the direction. Whilst those who get it right achieve remarkable results, many businesses trying to implement Lean struggle.

So how can we put Lean together in a cohesive understandable methodology? Read on to find out more.

The Toyota Production System is a collection of concepts and tools, which can only be successful if supported by a guiding culture. Jeffery Liker, in his book The Toyota Way, describes the complete system as three sides of a triangle consisting of TPS, business philosophy and a management style that are mutually dependent.

Fig 1. Conceptual TPS System

The Toyota house shows the overall structure of TPS but does not give guidance as to where and how all the tools fit together. There is also little in the literature or on professional networks to describe a comprehensive model.

Figure 2 is an attempt to compile a workable model for a complete house of Lean.

Fig. 2 The House of Lean Adapted from J. K. Liker

So now we have two models, which help us understand how all the different elements of Lean link together. The triangle, in figure 1, demonstrates that the three aspects of Lean - Philosophical, Culture and Technical (tools), are all linked, like a three legged stool, very stable if used properly but will fall over if any of the legs are missing or weak. Focusing only on the technical tools of Lean is the reason why many Lean deployments fail. A company must develop all three aspects in order to have a chance of success.

A long term plan must be in place before embarking on a Lean deployment programme, as it is likely to take many years to achieve. This is typically 3 years to establish the basics of management behaviour, team work, continuous improvement mindset and daily disciplines. A further 5 to 10 years may be required to Lean processes so that they flow (see later).

Once there is a long term plan in place, then the basic thinking/ philosophical, cultural and technical tools required to develop a Lean company can start developing.

The House of Lean presented in figure 2, shows how the various aspects fit together. This should not be treated as a rigid structure. A true champion will know all the moves but also be able to put them together in novel and effective ways that a novice could not.

The base of the House of Lean focuses on the basics of consistency, standardisation and disciplines. These are required as a firm foundation for Lean implementation.

To start a Lean journey follow the model provided by Womack and Jones in their book Lean Thinking:

1. Precisely specify customer value by specific product/service;
2. Identify the value stream for each product/service;
3. Make value flow without interruptions;
4. Let the customer pull value from the producer;
5. Pursue perfection.

This will lead through the various aspects of the tools and you will discover how they interact. For example, to achieve flow, you must remove the barriers to flow, such as long set-up times, equipment break downs and poor quality. To achieve this you will need team work and problem solving skills and to achieve these you will need the right culture and philosophical values - the interlocking triangle of figure 1.

What is the prize for implementing Lean in your business? Typically companies can achieve improvements of; 40% productivity, 50% space saving, 70% reduction in inventory, 80% reduction in product development time, 90% reduction in leadtime and a stronger more motivated workforce that keeps the pace of improvement accelerating indefinitely.

Lean has, for many years, been shrouded in a certain amount of mystique born through poor translation, a lack of competent teachers and cultural differences between the East and West.

As knowledge becomes available and more and more companies learn how to implement Lean for themselves, the benefits of using a Lean approach are becoming accessible to most companies.

The inter relationships between the different aspects of Lean are described above and will help companies to gain a better overview of the Lean approach.

If you want to know more about Lean contact SigmaPro to find out about our comprehensive training and support programmes.

David Cowburn

Master Black Belt Lean Six Sigma

David has 25 years of running companies to Managing Director level and is experienced in utilising Lean Six Sigma in a wide variety of businesses including, manufacturing, process industry, service, and administrative.

In a people based hands-on style, he works and trains at all levels in an organisation from Board to shop floor to bring about rapid measurable step changes in performance.

David was originally trained in the Toyota Production System and has since developed a high level blend of Lean and Six Sigma philosophies and tools through working with businesses all around the World.