Let’s investing on new equipment or hiring

Let’s say your business is doing
great. But you’re thinking of expanding it. That’s great but it’s also a
riskiest time for your business. In fact, many businesses don’t survive the
transition. Should you through money at the problem by investing on new
equipment or hiring more people? Should you make your staff make work more
overtime? your answers to these type of questions can make or break your
business. And that’s where LEAN comes in. LEAN is a philosophy about delivering
value from your customer’s perspective, eliminate waste and continuously
improve your process.

 

LEAN can radically change the way
you do business. Lean management is based on four principles.

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The first principle is pull.
Rather than producing as much as possible, customer’s demands pulls the goods
and services through the manufacturing process. This minimizes over production,
inventory and ultimately working capital.

The second is ‘One-piece flow’,
focusing on one single piece at a time minimizes work in progress, process and
eruptions, lead and waiting time. It increases quality and flexibility.

The third is ‘Tact’. It’s a
heartbeat of LEAN system. It’s how fast you need to manufacture a product and
meet customer’s demand. Tact allows us to balance work content, achieve a
continuous flow and respond flexibly to the changes in the market place.

Fourth is a ‘Zero Defects’.
Mistakes happen but a LEAN company doesn’t pass on defects. Mistakes from
previous steps must be fixed before going on combined with the robust
continuous improvement process.

Continual improvement

1)     
Written operation manual

·      
Procedure: processes of the work

·      
Quality and services control check lists

·      
Policies

·      
Job descriptions

·      
Routine checklist

Why?

The processes that run in a
business shouldn’t be floating around the business owner. These processes
should be readily available/ accessible to all the employees of the company
that need the information. This minimize the interruption in the work flow that
comes up in daily basis. Otherwise, owner becomes the central computer that
everyone logs into to retrieve the information needed to do their
job.(Documents needed to be on continual improvement)

System of cleanliness simply
states that system is a place for everything and everything in its place. The
place should be labeled and conveniently located for easy access.

 

5S’s

Sort, set in order, shine,
standardize and sustain.