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Louis Farinola of General Motors Corporation shown at the Lean Service Summit on 23rd June 2004 ran by the Lean Enterprise Academy
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1
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
TakingTakingLeanLean
Enterprise -A Project ReviewEnterprise -A Project Review
to theto the
Louis FarinolaDirector GM-Global Manufacturing System
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Project Review Agenda
• Getting Started– Integration vs. “Program of the Month”– Preparing the Team– Standardizing the Approach
• Project Reviews– Purpose– Maps– Results– Learnings
• List of additional projects• Suggestions for How to Get Started
3
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Integration vs. “Program of the Month”
4
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
5
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
In Manufacturing, the Global ManufacturingSystem is “the method” for achieving superiorbusiness performance in all measures:
• Safety • People• Quality• Responsiveness• Cost
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
NonNon--ManufacturingManufacturing
•• EngineeringEngineering
•• VSSMVSSM
•• HRHR
•• WWPWWP
GMSGMS•• 5 Principles5 Principles•• 33 Elements33 Elements
GMSGMS•• 5 Principles5 Principles•• 33 Elements33 Elements
•• Vehicle Mfg.Vehicle Mfg.
••PowertrainPowertrain
Manufacturing
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
“Expanding GMS to the Enterprise”
• Established that the only difference between Mfg. And Office Lean was that the fact that the processes were not as visible
• Introduced Value Stream Mapping as a “tool”within the GMS Toolbox that would make the office processes visual
• Used GMS language throughout and retained the notion of increasing value while while we worked to eliminate waste.
• Identified 6 GMS elements as “foundational”to implementing lean principles in the office.
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement Foundational
Elements of GMS in the Office
• Business Plan Deployment• Simple Process Flow • In Process Control and Verification• Standardized Work• Workplace Organization• People Involvement
(level schedules)(Andon)
(Shop Floor Management)
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Preparing the Team
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Preparing the Team - Selection13 Functional Implementation Leaders
– Design
– Vehicle Engineering
– Powertrain Engineering
– Manufacturing Engineering
– Manufacturing Support
– Vehicle Sales Service &
Marketing
– Planning
– Quality
– Purchasing
– Human Resources
– Information systems
– Legal
– Finance
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Preparing the TeamTraining-Week One
Monday
• Introductions
• GMS Overview
• Simulated Work Environment
• Debrief
Tuesday
• Learn by Doing:
Conduct a Plant project using the Value Stream Mapping Tool
Wednesday
• Finish Project
• Present to Future State Proposal to Plant Leadership
• Debrief
Thursday
• Learn by Doing:
Conduct an Office project using the Value Stream Mapping Tool
Friday
• Finish Project
• Present to Future State Proposal to Office Leadership
• Debrief
12
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Simulated Work Environment
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Preparing the TeamTraining-Week One
Monday
• Introductions
• GMS Overview
• Simulated Work Environment
• Debrief
Tuesday
• Learn by Doing:
Conduct a Plant project using the Value Stream Mapping Tool
Wednesday
• Finish Project
• Present to Future State Proposal to Plant Leadership
• Debrief
Thursday
• Learn by Doing:
Conduct an Office project using the Value Stream Mapping Tool
Friday
• Finish Project
• Present to Future State Proposal to Office Leadership
• Debrief
14
GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Preparing the Team – TrainingWeeks Two and Three
• Week Two – Develop Process and Materials – To Identify and scope projects– To Facilitate GMS Projects– To Develop implementation plans
• Week Three – Learning by Doing– Participated in Vehicle Engineering Interiors
project– Debriefed learnings and implemented
countermeasures– Created a project plan– Completed a war room template
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Standardizing the Approach
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Implementation90 days or less
- Establish Review sessions (up to 4)- Measure Results to bottom line- Update War Room
Scoping4 sessions completed at least 1 wk prior to workshop
to define the project scope
Workshop3 days
- Day 1: Training & Current State- Day 2: Training & Future State & Leadership Panel- Day 3: Implementation Planning & Leadership Panel
GMS Project Structure
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Objectives Timing
OwnerMethods
Status
Targets
Business Plan Deployment
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Functional Implementation War Room
3GM ConfidentialWar Room 4-7-03
Individual Project Tracking WallOverall Layout
Team
Selection Criteria
GMS Project Plan
Current State Map Future State Map
Approved Changes
Kaizen Bursts
Project BPDs Metrics Measures Overall Status Countermeasures
PLAN DO CHECK ACT
Picture/ Powerpoint
Map or Scroll
Picture/ Powerpoint
Map or Scroll
SponsorOwnerTeam
Leadership Panel
Why was this project
selected
Plan from Pre-scoping
through Workshops
Listing of KaizenProjects
Listing of ChangesApproved By
Leadership Panel
BPD Forms for Implementation
BPD Forms for Implementation
BPD Forms for Implementation
BPD Forms for Implementation
Metric/Target/Status G Countermeasure
Countermeasure
Countermeasure
Countermeasure
Project Title
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
Example Projects by FunctionDesign/Pre-Production ProcessInterior Design ProcessTrans. Shift Algorythm Development ProcessAir Quality Permitting ProcessDie Development ProcessDealer Communication ProcessResearch Acquisition ProcessWarranty Analysis Reporting ProcessTooling Purchasing ProcessNew Hire ProcessAppropriation Approval ProcessOutside Legal Retention ProcessHourly Timekeeping Process
• Design • Vehicle Eng.• Powertrain Eng.• Mfg. Eng.• Mfg. Support• Sales• Planning• Quality• Purchasing• H.R.• I.T.• Legal• Finance
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
What Have We Learned about Applying “Lean” in the Office?
• GMS Principles apply throughout the enterprise• Value Stream Mapping is the right tool
– Technically– Psychologically
• There is an absence of standardized work and clear performance metrics in every function
• There is often no owner for the entire value stream• Customer requirements are not known or are unclear• Handoffs, even within functions, are a source of waste• First Time Quality in the office is extremely low• We have a lot more to learn!
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
So How Can You Get Started?• Learn about Lean
– Read Lean Thinking– Read Learning to See
• If you are a leader, get personally engaged in a project with your staff, at least as a sponsor– Ask a sensei to help (internal or external)– Find out for yourself that it works– Determine how to integrate the process into your
current approach to lean• Challenge the organization to make significant
improvement• Develop internal resources (coaches)• Expand the process throughout the enterprise (let the
results sell it)
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GM-GMSGM-GMS
ContinuousContinuousImprovementImprovement StandardizationStandardization
Built-In-QualityBuilt-In-QualityShortShort
Lead TimeLead Time
PeoplePeopleInvolvementInvolvement
What’s in it for you?
• Higher Quality Products• Lower Operating Costs• Faster to Market• Excited Employees