Lean Techniques in a Customer Service Model:

Dharani Dhar Narra

Riddi Jadhav

Anishreddy Nomula

Sreeshanth Pillai

Contents

• Introduction• Process• Value Stream Map (Current State)• Issues with the process• Proposed Lean Methodology• Value Stream Map (Future State)• Results and Conclusion

Introduction

• Subway is an American Fast Food joint• Found in Bridgeport, Connecticut in 1965• Fastest growing franchise in the world• We are focusing on the On-campus joint• Comes under Aramark Corp• 700 different types of sandwiches• Personalization of food• Supplier – US Foods

Some of the Lean Techniques being followed

• Just In Time: (Eat Fresh) Subway makes the exact sandwiches and

salads the customer wants at the time they order

• Visual Factory: There are signs with pictures along the

assembly process to support the customer order

Process• Making the meal1. Taking the order2. Subway’s “Thru-put” questions3. Inclusion of Extra Items4. Wrapping the Sub

• Transaction with Cashier1. Gets the order2. Request for inclusion of Side-orders3. Transaction of money

Customer has to wait for 2 minutes 45 seconds for an order to receive

Value Stream Map (Current State)

Issues observed in the process• Wastage of Bread

• Size of FOOTLONG bread

• Speed of Service

• Overwork

• Exact treatment to each customer

Proposed Lean TechniquesISSUES OBSERVED LEAN TOOLS APPLIED

Wastage of Bread Kanban , JIT & Muda (Waste)

Size of FOOTLONG bread 5 Why

Speed of Service 5 Why & 5S

Overwork Heijunka

Exact treatment to each customer Gemba & Genchi Genbutsu

Muda – 7 WasteS/No 7 Muda Waste Current Condition Remarks

1 Overproduction

2 Waiting Time Speed of Service

3 Transportation

4 Processing

5 Inventory Overstocking of Baked Bread

6 Motion (non-work)

7 Defects Size of FOOTLONG

Issue 1: Wastage of Bread

To Do Doing Done

Reduce Wastage of Bread Forecast the flow of customer

Bake the bread

Monitor the Stock Supply it to the counter

Place the order when the stock is about to replenish

(JIT)

Kanban Scheduling Board

Issue 2: Size of FOOTLONG Bread

Why?

•Improper supply by US Foods

Why?

•Improper inspection during delivery

Why?

•Inadequate Training

Why?

•Shortage of time for training

Why?

•Management not focused on Training of new recruits

Solution: Management directed to provide adequate training to each staff

Issue 3: Speed of Service

Why?

•Speed of Service is slow

Why?

•Staff is taking more time to prepare the order

Why?

•All the food items are not placed in order

Why?

•5S is not implemented

Solution: 5 S should be implemented by the Management to standardize the speed of Service

Issue 4: Overwork

• Overwork is experienced due to improper scheduling of work

• Hence we propose HEIJUNKA to eliminate this issue

Issue 5: Improper Service

Start Time End Time Task Planned Actual Remarks

10:00 am 2:00 pm Prepare Subs

Greet the customer

Missed greeting the customer

Loss of Interest

10:00 am 2:00 pm Cleaning the tables

Sustain good hygienic conditions

Few Unhygienic tables were not cleaned on time

Overwork

10:00 am 2:00 pm Cashier Ask for Add-On items and collect cash

Cashier not mentioning about Add-On items

Loss of interest

Gemba Analysis

Issue 5: Improper Service (contd)

Solution:

The lean tool proposed in this scenario is Heijunka Scheduling.

Rotation of tasks within the unit can overcome this issue and maintain the level of Service and Customer Satisfaction.

Value Stream Map (Future State)

Results / Kaizen

• No overstocking of Bread and hence no wastage of bread.

• Sorting items in the counter improved the speed of service.

• Inspection of the breads from the supplier eliminated chances of having varying size of FOOTLONG.

• Scheduling the work led to rotation of tasks and improved quality of service.

A3 ReportSubway

Team: Team Members: 1 Dharani Dhar N 2 Anishreddy Nomula 3 Riddi Jadhav 4 Sreeshanth Pillai Facilitator Lasalle Turner

Improve (Do): 1) Applying Kanban Scheduling Board and Just In Time techniques to eradicate overstocking of bread 2) Asking '5 Why' to get to the root cause of Size of the FOOTLONG not being accurate and Speed of Service is not as per standards 3) Applying 5 S, the staff can make the Subs/Salads faster and improve Speed of Service 4) Heijunka (Scheduling) promises level scheduling and controls over working of an employee 5) Gemba Analysis can result to the exact reason for improper service to customer

Define Problem (Plan): Problem Statement: To Improve the service of Subway S.M.A.R.T Targets: 1 Reduce of Wastage of Bread 2 Sustain proper length of FOOTLONG breads 3 Improve Speed of Service 4 Counter attack Overwork 5 Improve Service to customer equally

Measure: 1) Wastage of breads in due to shelf life is low 2) Customer finding the FOOTLONG bread not be actually foot long. 3) Speed of Service is not as per Subway standards 4) Improper Scheduling of Work

Control (Check): 1) Baking the bread only when in demand and no overstocking of bread 2) Proper training of Staffs maintains the quality of food 3) Scheduling of work improves the customer service 4) Standardizing and Sorting of items improves Speed of Service

Analyze: 1) Overstocking of Bread 2) Improper Inspection of supplier 3) Food items not been sorted accordingly in the counter 4) Improper Scheduling of tasks

Future Steps (ACT): 1) Monitor Supply of US Foods 2) Tests new recruits with respect to the rules of organization 3) Taking quick look at the counter to check if items are placed in order 4) Taking feedback from staffs to ensure they are not overworking

Conclusion

Applying Lean Techniques • Improved the business• Sustain Customer Satisfaction• Reduced Wastage• Overcame overwork of staff

References• Lasalle Turner (Manager/Supervisor of Subway, Towers Suite, Detroit, MI)

• http://www.aleanjourney.com/2010/02/lean-demonstrated-at-subway.html

Thank You for your attention!

Questions or Comments?