Lean implementation provides the basic foundation for organizational success. However, before you start working on it, it’s important to ask yourself: are you ready to carry out Lean and follow its principles? While any answer that you give will most likely be from a point of assumption, make sure it has a realistic basis. Therefore, I prefer a moderated path for Lean implementation.
In a business life cycle, every company goes through 7 stages. Firstly, there’s the ‘seed stage’. Right at the very end is the ‘maturity and renewal/ exit stage’. As a first step, locate your company in this life cycle, considering the years on the x-axis. As to how many years each stage takes? There isn’t a standard answer to this question. Moreover, it depends on your industry segment.
Based on the Lean implementation and business life cycle graph above, here are a few inferences we can make:
- Firstly, at the seed or start-up stage, the goal should be to make the product or service ‘click’ in the market. At this stage, standard working procedures are unavailable. Therefore, use a trial-and-error method, plan experiments, and discover the work standards. However, you can also use some of the Lean startup techniques.
- Secondly, during the growth stage, it is crucial to get a stronghold over workplace discipline and quality. Additionally, you should make use of the basic statistical techniques such as seven QC tools and Statistical Process Control techniques to review performance. Furthermore, use Total Productive Maintenance to maximize machine efficiency. Total Quality Management and visual factory practices will also help significantly in this stage.
- Thirdly, set up the best Lean practices within your entire organization. Make sure you know the 3 key areas that you should look into during Lean implementation. Consequently, this will catalyze growth and further business expansion. Lean will help you become more competitive in the marketplace. On the other hand, just-in-time (JIT) practices will help boost profits and customer satisfaction levels. Most importantly, integrate Lean with your company’s long-term vision. Depending on the size of your company, it may take years to holistically integrate Lean into every process. However, it’ll sure be worth it!
- Fourthly, when a company is in its maturity stage, Lean can work wonders. Specifically, it’ll play a vital role in achieving long-term benefits for both business results and customer satisfaction.
- Fifthly, after years of perseverance, the company may choose to either exit the marketplace or renew the business life cycle. This can be done by innovating and launching new products or services in the market. With this, the cycle to standardize begins again. Since the company already has a Lean culture place, there’s a high probability of a successful renewal.
- Lastly, and very importantly, Lean deployment should be aligned with your company’s long-term vision and goals. You should be aware of how Lean can shape your company’s future!