growing the lean community - core

Research Sponsored By LAI

LESATLean Enterprise

Self-Assessment ToolApril 11, 2001

Growing theLean Community

An LAI Plenary Conference

Presented By:Deborah Nightingale

LAI

Nightingale - 2 © 2001 Massachusetts Institute of Technology

LeanAerospace

Initiative

web.mit.edu/lean

Overview

➢Background

➢LESAT Development Process

➢LESAT Architecture and Practices

➢Assessment Process

➢Next Steps / Schedule


LeanAerospace

Initiative

web.mit.edu/lean

TTLRoadmaps

TTLRoadmaps

LEM Principles & Practices

LEM Principles & Practices

LESATSelf Assessment

LESATSelf AssessmentAssessment

LAI Enterprise Tool Triad

Best PracticesImple

men

tatio

n


LeanAerospace

Initiative

web.mit.edu/lean

What Is LESAT?

➢ A tool for self-assessing the presentstate of “leanness” of an enterpriseand its readiness to change

➢ Comprised of:

➢ Capability maturity model for enterpriseleadership, life cycle and enablingprocesses

➢ Supporting materials: (instructions manual,scoring guide, etc.)

Ass

essm

ent M

atri

x

WorldClass


LeanAerospace

Initiative

web.mit.edu/lean

Approach: Evaluation of ExistingAssessment Tools

➢ Conducted analysis of existing tools vs. requirements

➢ Types of assessment tools

➢ Maturity matrices (Boeing, SEI, SAE J4000)

➢ Quality of document processes (Baldrige, Shingo Prize)

➢ Outcome based, measured change in performance (Evidenceof Lean, Financial Scorecard)

➢ None of the existing tools met key requirements

➢ Did not address entire enterprise (most focused on factoryfloor) nor integration aspects

➢ Did not provide a gap analysis

➢ Did not identify “next steps” to take


LeanAerospace

Initiative

web.mit.edu/lean

LESAT Tool Requirements(Survey of LAI Stakeholders)

➢ Simple, easy to use and minimal time to create

➢ Instructions and mechanism for use

➢ Standard and clear definitions

➢ Focus on lean attributes

➢ Alignment with business performance planning (goalsand results)

➢ Provides guidance for “next steps”

➢ Gap analysis capability

➢ Ability to accommodate both single and alignedorganizations (teaming, partnerships, suppliers) withinan enterprise


LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level ModuleAlpha Testing Feedback

➢ High enthusiasm for executive-level tool

➢ Strong support for linkages to enterprisetransition to lean roadmap

➢ Suggested simplification and strong integrativefocus for practices

➢ Strategic and enterprise-level issues given highpriority

5 Companies (9 sites)7 Government (2 SPOs, 5 DCM sites),

2 Lean Aerospace Initiatives (LAI, UK LAI)


LeanAerospace

Initiative

web.mit.edu/lean

Lean Enterprise SelfAssessment Tool Architecture

Section I Section II Section III

Lean

Transformation

/ Leadership

Life

Cycle

Processes

Enabling

Infrastructure

Processes


LeanAerospace

Initiative

web.mit.edu/lean

LESAT Architecture

Section ILean

Transformation / Leadership

Section IILife

Cycle Processes

Section IIIEnabling

Infrastructure Processes


LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section I

➢Practices directly linked to enterprise Transition toLean Model (TTL)

➢Assesses the following elements:➢Strategic integration

➢Leadership and commitment

➢Value stream analysis and balancing

➢Change management

➢Structure and systems

➢Lean transformation planning, execution and monitoring

++

++

Section I: Lean Transformation/Leadership

LESAT Maturity Matrix Template

Name and brief description of one of the Primary Activities or Process Areas

DiagnosticQuestions

Generic questions regarding the performance of the enterpriserelative to this Primary Activity on TTL Roadmap

Lean Indicators Lean behaviors that an enterprise will exhibit as it proceedson its Lean transformation

LP#LeanPractices Capability Levels

Level 1 Level 2 Level 3 Level 4 Level 5A specificLeanpracticeassociatedwith thisPrimaryActivity

Statementdescribinglittleawarenessof this Leanpractice

Statementdescribingworld-classbehavior forthis Leanpractice

Nightingale - 11 © 2001 Massachusetts Institute of Technology web.mit.edu/lean


LeanAerospace

Initiative

web.mit.edu/lean

Adopt LeanParadigm

Long Term Cycle

Short Term Cycle

Entry/Re-entryCycle

Create & RefineImplementation Plan

Focus on ContinuousImprovement

Implement Lean Initiatives

EnterpriseStrategicPlanning

Decision to Pursue

Enterprise Transformation

Focus on theValue Stream

InitialLean

Vision

Detailed Lean

Vision

LeanImplementation

Framework

Develop Lean Structure &Behavior

Enterprise Level

Implementation Plan

Outcomes on Enterprise

Metrics

Environmental Corrective

Action IndicatorsDetailed

Corrective ActionIndicators

+

+

Enterprise Transition To Lean(TTL) Roadmap


LeanAerospace

Initiative

web.mit.edu/lean

I.B. Adopt Lean Paradigm

I.B Adopt Lean Paradigm - Transitioning to lean requires a significant modification to the business model of the enterprise. It is imperative that the enterpriseleadership understands and buys into the lean paradigm since they will be responsible for creating a vision for doing business, behaving and seeing value infundamentally different ways.Diagnostic Questions • Do enterprise leader and senior managers understand the lean paradigm at the enterprise level?

• Have all senior managers made a commitment to enthusiastically support a lean transformation?Lean Indicators • Lean transformation progress is integral to all senior leadership discussions and events

• Senior managers are championing the enterprise transformation.

Capability LevelsLP# Lean Practices

Level 1 Level 2 Level 3 Level 4 Level 5B.1 Education in ‘Lean’ for

Enterprise Leaders

Learning the new,“unlearning” the old

Little interest in learninglean principles isevident amongenterprise leadership

Actively seekingopportunities to learnabout lean; initial graspof the extent of theparadigm shift for theircompany

Continuously applyingand adopting leanlearning

Actively sharing theorganization’sexperiences inimplementing lean;promoting lean learningwithin extendedenterprise

Senior leaderscontribute to & advancethe development /refinement of the bodyof knowledge aboutlean

B.2 Senior ManagementCommitment

Senior managementleading it personally

Level of commitmentamong senior managersis variable – someendorse while othersmay actively resist

Senior managers buyinto group commitment;senior managers whocannot or will not adaptare replaced

“Lean” is integral in allaspects of enterprise-wide meetings, seniorstaff meetings, etc.;senior managerspersonally and visiblylead lean transition

Senior managers arelean champions intransforming theenterprise

Senior managersmentor & foster leanchampions internally &through the extendedenterprise

B.3 Lean EnterpriseVision

New mental model ofthe enterprise

Senior leaders havevarying visions of lean,from none to welldefined

Senior leaders adoptcommon vision of lean

Lean vision has beencommunicated and isunderstood by mostemployees

Common vision of leanshared by the extendedenterprise

All stakeholders haveinternalized the leanvision and are an activepart of achieving it

B.4 A Sense of Urgency

The primary drivingforce for lean

Scan of environmentidentifies competitivethreats & need foraction

Enterprise seniorleaders develop anurgent & compellingcase for the leantransformation

Urgent & compellingcase for leantransformation has beencommunicated & theorganization ralliesbehind it

Urgent & compellingcase for lean expandedto & accepted by keysuppliers

Urgent & compellingcase for lean expandedto & acceptedthroughout theextended enterprise


LeanAerospace

Initiative

web.mit.edu/lean

Diagnostic Questions

➢Do enterprise leader and senior managers

understand the lean paradigm at the

enterprise level?

➢Have all senior managers made a

commitment to enthusiastically support a

lean transformation?


LeanAerospace

Initiative

web.mit.edu/lean


I.B Adopt Lean Paradigm - Transitioning to lean requires a significant modification to the business model of the enterprise. It is imperative that theenterprise leadership understands and buys into the lean paradigm since they will be responsible for creating a vision for doing business, behaving andseeing value in fundamentally different ways.Diagnostic Questions • Do enterprise leader and senior managers understand the lean paradigm at the enterprise level?

• Have all senior managers made a commitment to enthusiastically support a lean transformation?Lean Indicators • Lean transformation progress is integral to all senior leadership discussions and events



Level 1 Level 2 Level 3 Level 4 Level 5B.1 Education in ‘Lean’

for EnterpriseLeaders


Little interest inlearning leanprinciples is evidentamong enterpriseleadership

Actively seekingopportunities to learnabout lean; initialgrasp of the extent ofthe paradigm shift fortheir company

Continuouslyapplying andadopting leanlearning

Actively sharing theorganization’sexperiences inimplementing lean;promoting leanlearning withinextended enterprise

Senior leaderscontribute to &advance thedevelopment /refinement of thebody of knowledgeabout lean



Level of commitmentamong seniormanagers is variable– some endorsewhile others mayactively resist

Senior managers buyinto groupcommitment; seniormanagers whocannot or will notadapt are replaced

“Lean” is integral inall aspects ofenterprise-widemeetings, senior staffmeetings, etc.; seniormanagers personallyand visibly lead leantransition


Senior managersmentor & foster leanchampions internally& through theextended enterprise



Senior leaders havevarying visions oflean, from none towell defined

Senior leaders adoptcommon vision oflean


Common vision oflean shared by theextended enterprise

All stakeholders haveinternalized the leanvision and are anactive part ofachieving it





Urgent & compellingcase for leantransformation hasbeen communicated& the organizationrallies behind it

Urgent & compellingcase for leanexpanded to &accepted by keysuppliers

Urgent & compellingcase for leanexpanded to &accepted throughoutthe extendedenterprise


LeanAerospace

Initiative

web.mit.edu/lean

Lean Indicators

➢Lean transformation progress is integral toall senior leadership discussions andevents

➢Senior managers are championing theenterprise transformation


LeanAerospace

Initiative

web.mit.edu/lean


I.B Adopt Lean Paradigm - Transitioning to lean requires a significant modification to the business model of the enterprise.It is imperative that the enterprise leadership understands and buys into the lean paradigm since they will be responsible forcreating a vision for doing business, behaving and seeing value in fundamentally different ways.Diagnostic Questions • Do enterprise leader and senior managers understand the lean paradigm at the enterprise

level?• Have all senior managers made a commitment to enthusiastically support a lean

transformation?Lean Indicators • Lean transformation progress is integral to all senior leadership discussions and events



Level 1 Level 2 Level 3 Level 4 Level 5B.1 Education in ‘Lean’ for

Enterprise Leaders


Little interest in learninglean principles isevident amongenterprise leadership

Actively seekingopportunities to learnabout lean; initial graspof the extent of theparadigm shift for theircompany

Continuously applyingand adopting leanlearning

Actively sharing theorganization’sexperiences inimplementing lean;promoting lean learningwithin extendedenterprise

Senior leaderscontribute to &advance thedevelopment /refinement of thebody of knowledgeabout lean



Level of commitmentamong senior managersis variable – someendorse while othersmay actively resist

Senior managers buyinto group commitment;senior managers whocannot or will not adaptare replaced

“Lean” is integral in allaspects of enterprise-wide meetings, seniorstaff meetings, etc.;senior managerspersonally and visiblylead lean transition


Senior managersmentor & foster leanchampions internally& through theextended enterprise



Senior leaders havevarying visions of lean,from none to welldefined

Senior leaders adoptcommon vision of lean


Common vision of leanshared by the extendedenterprise

All stakeholders haveinternalized the leanvision and are anactive part ofachieving it





Urgent & compellingcase for leantransformation has beencommunicated & theorganization ralliesbehind it

Urgent & compellingcase for lean expandedto & accepted by keysuppliers

Urgent & compellingcase for leanexpanded to &accepted throughoutthe extendedenterprise


LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section I: Example

Level 1

I.B.3 Lean Enterprise Vision - new mental model of the enterprise

Senior leaders have varying visions of lean, from noneto well defined

Level 2

Level 3

Level 4

Level 5

Senior leaders adopt common vision of lean

Lean vision has been communicated and is understoodby most employees

Common vision of lean shared by the extendedenterprise

All stakeholders have internalized the lean vision & arean active part of achieving it


LeanAerospace

Initiative

web.mit.edu/lean

LESAT Architecture

Section ILean


Section IILife

Cycle Processes

Section IIIEnabling



LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section II

Assess:

➢ Enterprise level core processes

➢ Acquisition

➢ Program Management

➢ Requirements Definition

➢ Product/Process Development

➢ Supply Chain Management

➢ Production

➢ Distribution and Support

➢ Key integrative practices

Section II: Life Cycle Processes


LeanAerospace

Initiative

web.mit.edu/lean

II.C. Develop Product and Process

II C. Develop Product and ProcessDiagnostic Questions • Are life-cycle stakeholders involved in product development?

• Are products and processes being developed concurrently?Lean Indicators • Design cycle is shorter.

• Downstream design considerations considered at beginning.• Significant reduction in design changes.

LPLean

Capability Levels

# Practices Level 1 Level 2 Level 3 Level 4 Level 5C.1. Incorporate

customer valueinto design ofproducts andprocesses

Understandingcustomer value allowscontinuousimprovement of productand process

Customer inputscaptured only at thebeginning of thedevelopment

Customer inputsconsidered qualitativelythrough top-levelliaison and occasionalreviews.

The customer isformally represented onIntegrated ProductTeams (IPT) andfeedback mechanismsexist to facilitate timelydesign iterations

Customer is activelyinvolved with the IPTat multiple levels tojointly improve theeffectiveness andquality of the productand process design

Customer is routinelyinvolved with IPT viaeffective, continuouscommunication.Sharing of benefits iswell established; Valuequantification andtradeoffs are acontinuous andautomatic part of theprocess.

C.2. Incorporatedownstreamstakeholder values(manufacturing,support, etc.) intoproducts &processes

Understandingdownstreamstakeholders allowsvalue to flow seamlesslyto customer

Manufacturing issuesare considered late indesign

Manufacturing &assembly issues areconsidered earlier inprojects, but in an adhoc manner. Supplier& cost considerationsare limited

Multi-functional teamsinclude somedownstream disciplinesand key suppliers

Priorities ofdownstreamstakeholders quantifiedas early as possible indesign, and used forprocess evaluation andimprovement

Downstreamstakeholders’ values inthe extended enterpriseare quantified, andbalanced via tradeoffs,as a continuous part ofthe process


LeanAerospace

Initiative

web.mit.edu/lean


➢Are life cycle stakeholders involved in

product development?

➢Are products and processes being

developed concurrently?


LeanAerospace

Initiative

web.mit.edu/lean





LPLean

Capability Levels

# Practices Level 1 Level 2 Level 3 Level 4 Level 5C.1. Incorporate customer

value into design ofproducts andprocesses



Customer inputsconsidered qualitativelythrough top-level liaisonand occasional reviews.


Customer is activelyinvolved with the IPT atmultiple levels to jointlyimprove theeffectiveness andquality of the productand process design

Customer is routinelyinvolved with IPT viaeffective, continuouscommunication. Sharingof benefits is wellestablished; Valuequantification andtradeoffs are acontinuous andautomatic part of theprocess.

C.2. Incorporatedownstreamstakeholder values(manufacturing,support, etc.) intoproducts & processes



Manufacturing &assembly issues areconsidered earlier inprojects, but in an adhoc manner. Supplier &cost considerations arelimited


Priorities of downstreamstakeholders quantifiedas early as possible indesign, and used forprocess evaluation andimprovement



LeanAerospace

Initiative

web.mit.edu/lean

Lean Indicators

➢Design cycle is shorter

➢Downstream design considerationsconsidered at beginning

➢Significant reductions in design changes


LeanAerospace

Initiative

web.mit.edu/lean





LPLean

Capability Levels

# Practices Level 1 Level 2 Level 3 Level 4 Level 5C.1. Incorporate customer

value into design ofproducts andprocesses



Customer inputsconsidered qualitativelythrough top-level liaisonand occasional reviews.


Customer is activelyinvolved with the IPT atmultiple levels to jointlyimprove theeffectiveness andquality of the productand process design

Customer is routinelyinvolved with IPT viaeffective, continuouscommunication. Sharingof benefits is wellestablished; Valuequantification andtradeoffs are acontinuous andautomatic part of theprocess.

C.2. Incorporatedownstreamstakeholder values(manufacturing,support, etc.) intoproducts & processes



Manufacturing &assembly issues areconsidered earlier inprojects, but in an adhoc manner. Supplier &cost considerations arelimited


Priorities of downstreamstakeholders quantifiedas early as possible indesign, and used forprocess evaluation andimprovement



LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section II: Example

Level 1 Manufacturing issues are considered late in design

Level 2

Level 3

Level 4

Level 5

Manufacturing & assembly issues are considered earlier in projects, but inan ad hoc manner. Supplier & cost considerations are limited

Multi-functional teams include some downstream disciplines and keysuppliers

Priorities of downstream stakeholders quantified as early as possible indesign, and used for process evaluation and improvement

Downstream stakeholders’ values in the extended enterprise are quantified,and balanced via tradeoffs, as a continuous part of the process

II.C.2 Incorporate downstream stakeholder values (manufacturing,support, etc.) into products & processes - Understanding downstreamstakeholders allows value to flow seamlessly to customer


LeanAerospace

Initiative

web.mit.edu/lean

LESAT Architecture

Section ILean


Section IILife

Cycle Processes

Section IIIEnabling



LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section III

Assess critical supporting processes

➢ Finance

➢ Information Technology

➢ Human Resources

➢ Environmental Health & Safety

Section III: Enabling Infrastructure


LeanAerospace

Initiative

web.mit.edu/lean

Section III - Enabling Infrastructure

Section III - ENABLING INFRASTRUCTUREDefinition: To achieve a successful lean transformation, the enterprise infrastructure must support the implementation of lean principles, practices & behavior.

Diagnostic Questions • Are common tools and systems being used across the enterprise?

• How well has the financial and accounting systems been integrated with non-traditional measures of value creation?

• How well can stakeholders retrieve financial information as required?

• Are human resource practices reviewed to assure intellectual capital matches process needs?

• Are enabling infrastructure processes being aligned to value stream flow?

• Do processes create the least amount of environmental hazards practical?

• Is the information technology system compatible with stakeholder communication and analysis needs?Lean Indicators • Workforce skills have improved to support lean implementation.

• Financial and other performance measures are balanced.

• Compatible information systems exist across the extended enterprise.

LPLean

Capability Levels

# Practices Level 1 Level 2 Level 3 Level 4 Level 5A. Common Tools and

Systems

Assuring compatibility,reducing costs

Tools and systems varyby program or workcenter

Have identified highleverage opportunitiesfor common tools andsystems; initialdeployment in a fewareas

Plans are in place forachieving common toolsand systems and havebeen implemented tovarying degrees acrossmost areas

Common tools andsystems have beenimplemented across theenterprise

Compatibility of toolsand systems with thoseof enterprise partners inthe extended enterprise

B. Financial systemsupports leantransformation

Lean requires accurateassessment of valuestream activities

Finance systemprovides basic balancesheet & cost accountingdata; there is littleawareness andexploration of broadersupport roles forfinance.

Analytical tools areprovided by the financialsystems to assist usersin planning andprogramming activities(e.g., cash flow, returns,NPV, etc.)

Initiatives are under wayto apply new andsystematic approachesto the use of financialdata across theenterprise (e.g., activity-based costing, lifecyclecost accounting, totalcost accounting, etc.)

Set of financialmeasures integrateswith non-traditionalmeasures of valuecreation (e.g.,intellectual capital,balanced scorecard,etc.)

Seamless integrationacross the extendedenterprise withemphasis onmeasurement of valuecreation for allstakeholders


LeanAerospace

Initiative

web.mit.edu/lean


➢Are common tools and systems being used across theenterprise?

➢How well has the financial and accounting systems beenintegrated with non-traditional measures of value creation?

➢How well can stakeholders retrieve financial information asrequired?

➢Are human resource practices reviewed to assureintellectual capital matches process needs?

➢Are enabling infrastructure processes being aligned to valuestream flow?

➢Do processes create the least amount of environmentalhazards practical?

➢Is the information technology system compatible withstakeholder communication and analysis needs?


LeanAerospace

Initiative

web.mit.edu/lean












LPLean

Capability Levels


Systems















LeanAerospace

Initiative

web.mit.edu/lean

Lean Indicators

➢Workforce skills have improved to support lean

implementation.

➢Financial and other performance measures are

balanced.

➢Compatible information systems exist across

the extended enterprise.


LeanAerospace

Initiative

web.mit.edu/lean












LPLean

Capability Levels


Systems















LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level Section III: Example

Level 1

Financial system supports lean transformation - Leanrequires accurate assessment of value stream activities

Finance system provides basic balance sheet & cost accountingdata; there is little awareness & exploration of broader support rolesfor finance

Level 2

Level 3

Level 4

Level 5

Analytical tools are provided by the financial systems to assist usersin planning & programming activities (e.g., cash flow, returns, NPV,etc.)

Initiatives are under way to apply new & systematic approaches tothe use of financial data across the enterprise (e.g., activity-basedcosting, lifecycle cost accounting, total cost accounting, etc.)

Set of financial measures integrates with non-traditional measures ofvalue creation (e.g., intellectual capital, balanced scorecard, etc.)

Seamless integration across the extended enterprise with emphasison measurement of value creation for all stakeholders


LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level ModuleSupporting Materials

➢ Introductory Presentation

➢ Assessor’s Guide

➢ TTL Roadmap & Guide

➢ Summary Score Sheet

➢ Glossary of Terms

++

++


LeanAerospace

Initiative

web.mit.edu/lean

Suggested Methodology forEmploying LESAT

LESAT

Lean Journey

Step 1: Facilitated meeting to introduce tool.Enterprise leader champions

Step 2: Enterprise leaders and staff conductLESAT assessment

Step 3: Leadership reconvenes to jointlydetermine present maturity level

Step 4: Leadership determinesdesired level and measuresgap

Step 5: Developaction plan andprioritize resources


LeanAerospace

Initiative

web.mit.edu/lean

Summary Form Example

LESAT Enterprise Self-Assessment Tool (LESAT) Beta Version

Section I Lean Transformation/Leadership

Process Description: Develop and deploy lean implementation plans throughout the enterprise leading to (1) long term sustainability, (2) acquiringcompetitive advantage and (3) satisfaction of stakeholders.

Capability LevelTTL Link Lean Practice Lean characteristic Desired Present

Integration of Lean in StrategicPlanning Process

Lean impacts growth,profitability and market penetration

Focus on Customer Value Customers pull value from enterprise value streamI.A Enterprise

strategic planningLeveraging the Extended Enterprise Value stream extends from customer through the enterprise to suppliersEducation in "Lean" for EnterpriseLeaders

Learning the new, "unlearning" the old

Senior Management Commitment Senior management leading it personallyLean Enterprise Vision New mental model of the enterprise

I.B Adopt LeanParadigm

A Sense of Urgency The primary driving force for LeanCurrent Value Stream How we now deliver value to customerFuture Value Stream Delivering value with minimal waste

I.C Focus on theValue Stream

Performance Measures performance measures drive enterprise behaviorEnterprise Organizational Structure Organize to support value deliveryRelationships Based on Mutual Trust "Win-win" vs. "we-they"Open and Timely Communications Facilitates a learning environmentEmployee Empowerment Decision making at lowest possible levelIncentive Alignment Reward the behavior you wantInnovation Encouragement From risk aversion to risk rewardingLean Change Agents The inspirational leaders and drivers of lean change

I.D Develop leanStructure and

Behavior

Process Standardization Strive for consistency and re-use


LeanAerospace

Initiative

web.mit.edu/lean

Scoring Form Example

LESAT Assessment Scoring Form

Section I: Lean Transformation/Leadership Desired Present

I.B Adopt Lean Paradigm Level Level

I.B.1 Education in Lean for Enterprise Leaders _____ _____Evidence:

I.B.2 Senior Management Commitment _____ _____Evidence:

I.B.3 Lean Enterprise Vision _____ _____Evidence:

I.B.4 A Sense of Urgency _____ _____Evidence:

_________________________________________________________________________________________________________Average Level _____ _____

Gap ______

Suggested Actions:


LeanAerospace

Initiative

web.mit.edu/lean

Scoring Form

LESAT Assessment Scoring Form(Sample)

Section I: Lean Transformation/LeadershipDesired Present

I.B Adopt Lean Paradigm Level Level

I.B.1 Education in Lean for Enterprise Leaders ___5__ __3___Evidence: 8 of 9 Leaders have attended 30 hours of executive seminars in Leanprinciples. 6 have visited other Lean firms. All are engaged in Kaizen events.

I.B.2 Senior Management Commitment ___4__ __2___Evidence: 26 of 30 Sen. Mgrs. have demonstrated commitment. 2 have beenre-assigned. 2 are attempting to understand.

I.B.3 Lean Enterprise Vision ___4__ __2___Evidence: A common vision of Lean has been agreed upon and an extensivecommunication plan is being prepared.

I.B.4 A Sense of Urgency ___5__ __3___Evidence: The urgency has been articulated in terms of direct competitive threat.It is understood that the company’s survival is threatened.

_________________________________________________________________________________________________________Average Score ___4.5__ __2.5___

Gap __2.0____Suggested Actions:1. Initiate Lean Enterprise education for Senior Leaders of key suppliers and customers.2. Increase budget for Education and Training of top management and staff.3. Press for full commitment; replace any managers who cannot or will not commit.4. Contract with top behavioral specialists for promulgating the Lean Enterprise Vision.


LeanAerospace

Initiative

web.mit.edu/lean

5

4

3

2

1

0

Cap

abili

ty L

evel

LESAT Enterprise Process Areas

Current Capability

A Company’s Strategic Plan for a Tailored Capability Goal matched to the business objectives.

LESAT Desired Score Can beTailored for Each Process Area

Gap


LeanAerospace

Initiative

web.mit.edu/lean

Radar Chart

Sample Section I Results Chart

0

1

2

3

4

5

Enterprise Strategic PlanningI.A

Adopt Lean ParadigmI.B

Focus on the Value StreamI.C

Develop Lean Structure & BehaviorI.D

Create and Refine Implementation PlanI.E

Implement Lean InitiativesI.F

Focus on Continuous ImprovementI.G

Assessed Maturity Level Desired Maturity Level


LeanAerospace

Initiative

web.mit.edu/lean

Enterprise Level ModuleDevelopment Plan

Activity NameJanuary February March April May June July August

2001

January February March April May June July August

Beta Version Testing

Incorporate Feedback

Enterprise LevelVersion 1.0


LeanAerospace

Initiative

web.mit.edu/lean

Cross-Section of LAI Consortium isParticipating in LESAT Beta Assessment

AerojetS

RaytheonE

Sikorsky HelicopterH

Pratt & WhitneyN

Lockheed Martin (Fort Worth)A

Northrop Grumman (3 sites)A

Lockheed Martin (Newtown)S

Rockwell Collins (2 business units)E

Textron SystemsE

Boeing HelicopterH

H - HelicopterA - AirframeE - ElectronicsN - EngineS - Space

growing the lean community - core

Documents