Culture consciousness and people management present challenges greater than those related to cost trimming when implementing change, via Lebanese-born Dr. Joe Khoury.
Deep change expertise, communication & inclusion in goal achievement lean process is key to this review. ~ Deb
...people were working 12- to 13-hour days unnecessarily – they were, after all, only paid for eight.
Dr. Khoury was one of three engineers lined up to relate success stories of lean principles’ implementation.
“Never underestimate the importance of culture,” Dr. Khoury cautioned. "...Understanding your people will take you a long way towards reaching your lean goals.”
Through ...illustrating where teams were at in reaching their targets ...people were able to take corrective action sooner.
Dr. Khoury and others from the wider Methode family, including former manager Edward Chetcuti, now a lean adviser and coach, devised the VAVE (value added, value engineering) process to deliver value more efficiently.
The process was implemented successfully in China, where labor costs are traditionally lower, and later in the US.
The team also created customized software, able to provide a snapshot of the movements of major contributors to raw material cost. The software was later patented.
In Mr. Chetcuti earlier project, he examined behavior and processes and found that people were working 12- to 13-hour days unnecessarily – they were, after all, only paid for eight.
“Information must be cascaded so that everyone within the organisation is aware of the goals,” ~ Antoine Bonello
After classroom training & simulation, Mr Chetcuti and the team took the principles to the shopfloor. People learned to see waste and took ownership of the mission to reduce it and to get things right first time.
Through ...illustrating where teams were at in reaching their targets ...people were able to take corrective action sooner. Creative flow of value to the customer began soon after the company stabilised. Within eight months, profits improved significantly.
“Information must be cascaded so that everyone within the organisation is aware of the goals,” Betfair’s global head of process improvement Antoine Bonello, explained.
“We expect people to learn by themselves, but even in the best companies, employees can score very low on knowledge of what they are doing. Value engineering prevents mistakes from being replicated. ”