Q&A Zone
Q : How do you improve business performance when the workforce is not interested. They always ask “what’s in it for me”?
You may think that your workforce is not interested but that is quite often as a result of poor management and communication. You get the people you deserve and as a Manager it’s your responsibility to lead improvement. At Accelerate we often find that the so-called luddites can become a revelation to your business given the development and motivation. People will often be seen to be negative due to ignorance or lack of confidence. Don’t blame them, develop them.
Q: I’ve seen companies measure OEE, but how useful is this? It appears to be just a pointless mathematical exercise.
OEE (Overall Equipment Effectiveness) highlights the potential for improvement to a machine or process. All machines and processes will have a theoretical maximum capacity if they can run at 100% availability and at peak performance. However in reality you will have breakdowns, minor stoppages, changeovers, material shortages labour shortages, poor machine performance, the list goes on. Add to this poor quality of final product and you would be amazed at your actual performance to true capacity.
OEE multiply’s three key measures
Availability – Actual time the machine or process is available to run (so any downtime for whatever reason is deducted from total availability)
Performance – Actual product produced as a % of the optimum amount given the ideal cycle time.
Quality – The amount of first time saleable product produced as a % of the total produced
Typically a business may have 70% availability x 92% performance x 94% Quality, At first glance yosu think you’re doing OK, but in reality your OEE is 61.4%. In truth your business is losing almost 40% of its capacity.
At Accelerate we have found the best OEE measurement systems to be those developed by the workforce. This is because they understand what they are measuring and can then integrate the measurement activity into normal working practices. Don’t use a consultant to design the measurement, use your workforce, unless of course you want a pointless mathematical exercise.
Q: Can Lean be applied to non-manufacturing companies?
Of course. Think about what you are in business to do and list all your processes. Then ask yourself, “How effective and efficient are these processes”? If you think they are completely effective and efficient then lean improvement is not for you. However we have yet to meet any business that comes close to this. If you think you can’t improve then you will be surprised at the suggestions that people in the business will actually make when asked – standing still is never an option! Accelerate now has more involvement with non-manufacturing than manufacturing companies, and many of these are producing staggering results. Look at our case studies.
Q: There is so much jargon surrounding Lean. It’s so confusing, where do you start?
We totally agree with you. It’s almost as if the gurus and consultants have created an unlean process to confuse industry and commerce. We believe that confusion and complexity comes from ignorance and lack of understanding. Therefore our projects are designed to be simple and pragmatic. It’s not important what you call your improvement initiatives (Lean, Kaizen, Six Sigma, TPM, TQM - to name a few) What is important is what you achieve in your business.
Q: What benefit will my company get from an Accelerate Improvement programme?
Increasing competition and ever decreasing profit margins mean that it is now more important than ever to have good people at the helm of your operations. You may want to look outside, but many companies can find these leaders inside their own business. There is a huge choice of management development programmes available, but many come with a hefty price tag, and do they offer value for money? We aim to develop your operational leaders for the future and save you money whilst they are being developed. Can you imagine reporting to your head office or managing director that you have found talented individuals in the business who should be developed. When asked how much this will cost you answer “Cost? I was actually planning on it saving us £30k!” This is not unusual and very realistic. Look at our case studies.
Got a different question?
If you would like to ask us a question that is not listed above please complete the following submission form. At Accelerate we value your privacy, and all information is strictly confidential. Please provide us with as much detail as you need and we will respond as soon as possible. If you query is generic enough we will ask you for permission to include it on our above list.