《Integrating The Lean Enterprise》The Lean Enterprise Self Assessment Tool

LESAT The Lean Enterprise eai Self assessment tool Aerosol Ie Initiative November 112002 Professor Debbie Nightingale Research Sponsored By LAI

Research Sponsored By LAI LESAT The Lean Enterprise Self Assessment Tool November 11, 2002 Professor Debbie Nightingale

Lean Aerospace Overview Initiative >Background >LESAT Development Process >LESAT Architecture and Practices >Assessment Process >LESAT Research Results Nightingale-2 @2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 2 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean Overview ➢Background ➢LESAT Development Process ➢LESAT Architecture and Practices ➢Assessment Process ➢LESAT Research Results

Lean Aerospace LAI Enterprise Tool Triad Initiative LEM Principles Practices TTL LESAT Roadmaps Assessment Self Assessment Nightingale-3 @2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 3 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean TTL Roadmaps TTL Roadmaps LEM Principles & Practices LEM Principles & Practices LESAT Self Assessment LESAT Assessment Self Assessment LAI Enterprise Tool Triad Best Practices Implementation

Lean LEM Lean Enterprise Model Aerospace Initiative Practices and benchmark data Meta-Principles/Enterprise Principles Enterprise Level Metrics Overarching Practices Identify & Optimize Assure Seamless Optimize Capability Make Decisions at Enterprise Flow Information flow Utilization of People Lowest Possible Level Implement Integrated Develop Relationships Product Process Based on Mutual Trust Continuously Focus on Promote lean Leadership at all levels Development the customer Commitment Maintain Challenge of Nurture a learnin Ensure Process Maximize stability in a Existing Processes Environment Capability and Maturation Changing Environment Metrics- Barriers- Interactions Data Enabling Practices (- 60) Internet Metrics -Data- Barriers - Interactions Sheets (-225) Supporting Practices(-300 (-600 Nightingale-4 @2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 4 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean Lean Enterprise Model Practices and Benchmark Data Supporting Practices(~300) Enabling Practices (~ 60) Metrics -Data - Barriers - Interactions Enterprise Level Metrics Meta-Principles/Enterprise Principles Overarching Practices Develop Relationships Based on Mutual Trust & Commitment Continuously Focus on the Customer Nurture a Learning Environment Ensure Process Capability and Maturation Assure Seamless Information Flow Optimize Capability & Utilization of People Identify & Optimize Enterprise Flow Implement Integrated Product & Process Development Maintain Challenge of Existing Processes Make Decisions at Lowest Possible Level Promote Lean Leadership at all Levels Maximize Stability in a Changing Environment Metrics - Barriers - Interactions Data Sheets (~225) Internet Links (~600) LEM

Lean Aerospace LAI Enterprise Tool Triad Initiative LEM Principles Practices TTL LESAT Roadmaps Assessment Self Assessment Nightingale-5@2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 5 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean TTL Roadmaps TTL Roadmaps LEM Principles & Practices LEM Principles & Practices LESAT Self Assessment LESAT Assessment Self Assessment LAI Enterprise Tool Triad Best Practices Implementation

Lean Aerospace Enterprise Transition To Lean Initiative (TTL Roadmap Entry/Re-entry Long Term cycle Cycle Adopt Lean Focus on the Develop Lean Structure Paradigm Value stream Behavior Initial Detailed Lean Lean Vision Vision Decision to Environmental Short Term Cycle Lean Enterprise Corrective Detailed Transformation Transformation Action Indicators Corrective Action Framework Enterprise Indicators Strategic Focus on Continuous Create Refine Planning Improvement Transformation Plan Outcomes on Enterprise Enterprise Level Metrics Implement Lean Initiatives Transformation Plan Nightingale-6@2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 6 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean Long Term Cycle Short Term Cycle Entry/Re-entry Cycle Create & Refine Transformation Plan Focus on Continuous Improvement Implement Lean Initiatives Adopt Lean Paradigm Enterprise Strategic Planning Decision to Pursue Enterprise Transformation Focus on the Value Stream Initial Lean Vision Detailed Lean Vision Lean Transformation Framework Develop Lean Structure & Behavior Enterprise Level Transformation Plan Outcomes on Enterprise Metrics Environmental Corrective Action Indicators Detailed Corrective Action Indicators + + Enterprise Transition To Lean (TTL) Roadmap

Lean Aerospace/ Enterprise Level Roadmap Initiative Entry/Re-entry Long Term Cycle Cycle Adopt Lean Focus on the value Develop Lean Structure Paradigm Stream Behavior .Build Vision map value stream Organize for lean implementation Convey Urgency .Internalize Vision Detailed .Foster Lean Learning Set goals metrics Lean Identify Empower Change Agents Make the Commitment .ldentify Involve Key Vision Align Incentives .Obtain Senior Mgmt Stakeholders .Adapt Structure Systems Buy-in Environmental Short Term cycle Corrective Lean Action Indicators Transformation Decision to Detailed Framework Pursue Corrective Action Enterprise Focus on Continuous Create Refine Improvement Indicators Transformation Transformation Plan .Monitor Lean Progress Identify Prioritize Activities Nurture the Process Enterprise Commit Resources .Refine the plan Strategic .Provide Education Training Capture Adopt New Knowledge Planning Enterpris Outcomes on Implement Lean Initiatives Level Enterprise Metrics .Develop Detailed Plans Transformation Implement Lean Activities Plan Nightingale-7 @2002 Massachusetts Institute of Technology web. mit.edu/lean

Nightingale - 7 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean Entry/Re-entry Cycle Focus on t h e Value Stream Initial Lean Vision Short Term Cycle Create & Refine Transformation Plan Lean Transformation Frame work Adopt Lean Paradigm Enterprise Strategic Planning Focus on Continuous Improvement Outcomes on Enterprise Metrics Implement Lean Initiatives Enterprise Level Transformation Plan Develop Lean Structure & Behavior Det ailed Lean Vision Environmental Corrective Action Indicators Det ailed Corrective Action Indicators Decision to Pursue Enterprise Transformation •Build Vision •Convey Urgency •Foster Lean Learning •Make the C ommitment •Obtain Senior Mgmt. Buy-in •Map Value Stream •Internalize Vision •Set Goals & Metrics •Identify & Involve Key Stakeholders •Orga nize for L e a n Imple m e ntation •Identify & Empower Change Agents •Align Incentives •Adapt Structure & Systems •Identify & Prioritize Activities •Commit Resources •Provide Education & Training •Monitor Lean Progress •Nurture the Process •Refine the Plan •Capture & Adopt N e w Knowl edge •Develop Det ailed Plans •Implement Lean Activities Enterprise Level Roadmap + + Long Term Cycle

Lean Aerospace LAI Enterprise Tool Triad Initiative LEM Principles Practices TTL LESAT Roadmaps Assessment Self Assessment Nightingale-8 @2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 8 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean TTL Roadmaps TTL Roadmaps LEM Principles & Practices LEM Principles & Practices LESAT Self Assessment LESAT Assessment Self Assessment LAI Enterprise Tool Triad Best Practices Implementation

Lean Aerospace What s lesat? Initiative x a tool for self-assessing the present state of"leanness"of an enterprise and its readiness to change Comprised of: Capability maturity model for enterprise leadership, life cycle and enabling processes x Supporting materials (Facilitator's Guide, Glossary, etc.) Nightingale-9 @2002 Massachusetts Institute of Technology Source: Lean Aerospace Initiative, MIT@2001 web. mit. edu/lean

Nightingale - 9 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean What Is LESAT? ➢ A tool for self-assessing the present state of “leanness” of an enterprise and its readiness to change ➢ Comprised of: ➢ Capability maturity model for enterprise leadership, life cycle and enabling processes ➢ Supporting materials: (Facilitator’s Guide, Glossary, etc.) Source: Lean Aerospace Initiative, MIT © 2001

Lean Aerospace How Do I Assess My Progress? > Enterprise TTL application highlighted need for assessment tool >Lean Enterprise Self Assessment Tool ( LESAT) developed by joint industry government /MIT team in collaboration with UK LAI >LESAT supports both “ AS-Is"Analysis “To- Devision x Targeted at Enterprise Leadership Team Nightingale- 10@ 2002 Massachusetts Institute of Technology web. mit. edu/lean

Nightingale - 10 © 2002 Massachusetts Institute of Technology Lean Aerospace Initiative web.mit.edu/lean How Do I Assess My Progress? ➢ Enterprise TTL application highlighted need for assessment tool ➢ Lean Enterprise Self Assessment Tool (LESAT) developed by joint industry / government / MIT team in collaboration with UK LAI ➢ LESAT supports both ➢ “As-Is” Analysis AND ➢ “To-Be” Vision ➢ Targeted at Enterprise Leadership Team