In this blogpost I shall touch upon R&D process improvement in order to reduce procurement, supply chain logistics cost. If this intrigues you, read on …

Reducing procurement, supply chain logistics is an omnipresent to-do issue for business leaders, pandemic or otherwise, but more so in today’s times because of transport disruptions due to the pandemic.

I would say there are broadly two ways to handle any issue- proactive and reactive. Improving R&D processes via Design Thinking & Kaizen is a proven proactive way of making sure that external environment will have minimal to negligible effect on your supply chain function. Further, this is true for all companies in the manufacturing as well as the service sectors.

So, I come to my favorite questions-

• Did you know that improving your R&D business processes can have immediate direct savings of 35 to 40% of your sourcing and supply chain costs?
• Did you know that R&D process improvement can ensure that your supply chain is productive and functions at an all -time-good level regardless of disturbances in the external environment?

Want to know more? Check out the video below-

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• How to cut costs strategically using KaizenCulture of Kaizen
• How does Kaizen Enhances Employee Engagement?
• Quality-by-Design (QbD) approach means Design for Manufacturing (DFM)​​

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#SupplyChainProcessImprovement #QbD #QualityByDesign #Kaizen #Agile #DesignSpace #WideDesignSpace #Pandemic #SupplyChainDisruption  #ProductDevelopment  #ProcessImprovement 

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Wait-times, hold-ups, bottlenecks, slowdowns, delays are common deficiencies at workplace. Want to get rid of them? Use Spaghetti models.

Spaghetti model is a method of viewing data to visualize processes in order to identify redundancies in workflows and increase business efficiency.
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Spaghetti models are also known as Spaghetti diagram, Spaghetti charts or Spaghetti plots.

Spaghetti model maps the total path of a process and tracks movement of product, paper and people. This helps to identify areas of ‘waste’ and opportunities of process improvement. When an underlying process get streamlined, business efficiency increases immediately.

Since delays and deferral type of deficiencies are omnipresent, Spaghetti model may be used to improve all types of workplaces be it a manufacturing set-up, service sector, government office, educational institute, non-profit organization etc.
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However, Spaghetti models are popularly used on production shop floors of manufacturing companies, healthcare, aviation, weather bureaus, meteorology, pharmaceuticals, supply chain logistic companies, retail, hospitality, financial institutions etc.

In financial institutions, Spaghetti model can be used to improve customer service by decreasing wait-times to approve a mortgage loan.

Restaurant kitchen use Spaghetti models to improve chef’s efficiency to deliver on orders taken.

Package delivery and logistics companies use Spaghetti models to improve on-time delivery of letters and parcels.

Weather bureaus use Spaghetti models to study positions and intensities of pressure systems to forecast rainfall or snowstorm warnings.

Also, Spaghetti models are useful to study fish, animal and bird distribution and migration patterns.

Traditionally Spaghetti models are drawn using color pens on paper. However, now they can be done via digital means too. 

​Further, Spaghetti models are an integral component of business transformation and continuous improvement campaigns done via process stapling and Gemba walks. 

Here are five signs that indicate your organization needs to use Spaghetti model-

1. Shorten scale-up time or the time taken to transfer technology know-how from R&D bench to commercial manufacturing.
2. Reduce backorders.
3. Planning a new layout or renovating your manufacturing facility or office premises.
4. Improve your supply chain processes.
5. Increase your business’s operating efficiency.

​The success of a Spaghetti model led process improvement is confirmed when the new process does not look like ‘spaghetti’ and the total distance of process path as well as operational time are reduced drastically.

Hence, make sure to include Spaghetti model at the time of strategy planning to achieve assured returns on your business transformation or continuous improvement projects. 

#spaghettimodel #spaghettidiagram #spaghettichart #spaghettiplot #continuousimprovement #businessturnaroud

Gemba Walk is a process of making personal observation of jobs and workflows where it happens (i.e. Gemba) with those who actually do it as against discussing about the solving the problem in a meeting room.
​
However, Gemba Walk must be done correctly for it to give desired results. The video below presents important Dos and Don’ts of Gemba Walk. Watch on …

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#GembaKaizen  #GembaWallk  #ContinuousImprovement #BusinessProcessImprovement   #ProcessMethodology

In the first part of this article, I touched upon what is Agile methodology, which industry sectors use it and some dos and don’ts for Agile.

​In this part I shall discuss top 10 frequently asked questions around Agile. By the way, these questions have been taken from my blog reader’s feedback which I regularly receive as direct messages or queries. If you too have questions, please hit the ‘Get-in-touch’ button at the bottom of this blogpost and send me your thoughts …
 
So, let’s begin with top 10 frequently asked questions on Agile business improvement methodology.

​Agile business process improvement methodology is a proven concept to transform or turnaround businesses. Its ability to unlock value has been pressure-tested in different industry sectors belonging to manufacturing as well as service-based setups. Agile is extensively beneficial to startups. A startup could be a new company or a new function or department within an existing company.

​Agile concept emphasizes team collaboration and flexible reassessment of plans based on customer feedback. Agile can be applied to all departments. Agile was first used in the software development and is popular within the IT sector. But since Agile offers fast return on investment, it is gaining popularity in other sectors as well.

​The correct answer to that question is- May be. Because, although Agile can be applied in any industry, it must not be applied blindly. Agile must be applied only after a due diligence around how it would be applied, what benefits it shall bring-in for the organization etc is done. Further, there are several Agile methodologies. One must take cognizance of this and choose the Agile methodology most suitable for your workplace.

​There are several differences. But the most striking difference is that Agile cannot/ must not be applied in the same way across the entire organization. Different sections of an organization benefit from Agile in varying ways. The benefits can be optimized or increased based on the results of blueprinting i.e. identifying the value streams and investigating how each section of the value stream can benefit from Agile, provides valuable input in Agile- based business transformation.

​Agile is not same as Scrum. Agile is a wide concept, Scrum is a type of Agile method.  Scrum is one of the many dynamic Agile methods and emphasizes team collaboration and flexible reassessment of plans for bringing about business transformation.

​Scaling-up Agile has similar challenges as scaling-up any other process improvement methodology. Simply having more teams or conducting more dry runs are not enough. Further, expenses towards Agile scale-up must be factored in the budget before embarking on Agile. My best recommendation is to never begin any process improvement campaign without first doing a cost-benefit analysis.

​There are several differences, but I shall highlight only two main differences here. Since Agile was initiated in software business, let me explain this question using software development as an example.
 
The first main difference is that- When Agile is used in product development, in this example a software, features of the software are delivered frequently, and the testing is done in parallel to development. As a result, testing time is shortened because only small features are need be tested at a time. On the contrary, in the Waterfall methodology, testing take place at the end of the development. As a result, testing time gets lengthy as the entire product must be tested.
 
The second difference is that- Waterfall methodology is a closed process where all stakeholders are not involved in the development activity. In Agile methodology, active participation of all stakeholders as well as customers is a must.
 
Although Agile is traditionally being used in software development, it can be applied for any product development be it- toys, food, chemicals, devices, cosmetics, apparel, electronics, services etc.
 
Agile is especially beneficial for product development where frequent changes in the product come up on a regular basis.

​Speed and flexibility are two key advantages of Agile methodology. This aspect improves employee engagement, collaboration between teams internal and external to the organization which then boosts output. Agile implementations increase productivity as well as ‘value creation’. In fact, Agile’s strength is in 'value creation' rather than fixing crawling productivity. Therefore, if you are looking to create value, go for Agile. If addressing productivity issues is the sole aim, then go for Lean or Kaizen.

There are multiple advantages of utilizing Agile in organizations. Versatility and speed are two of its key benefits. Further, when applied to R&D business processes, Agile accelerates product development; companies can then achieve first-mover advantage. Also, Agile maximizes value throughout the development process and significantly reduces the overall risk of a project. 

Agile must be applied after due diligence.
 
First important limitation of Agile implementation is that- Agile is rapid at small scale; but scaling up takes time. A company-wide full-scale Agile implementation takes 1 to 3 years depending upon the nature and size of business. Therefore, Agile is not for weak-hearted setups.
 
Secondly, Agile is unpredictable with regards to effort planning.  Hence, Agile project planning must be done with caution.
 
Thirdly, Agile is all about being fast- to- market with a product designed as per customer demand. Hence, the mechanism of collecting voice of customer and its interpretation must be flawless. However, combining Hoshin Kanrii with Agile helps to circumvent this issue in a big way.
 
Lastly, Agile methodology has minimal documentation. No elaborate reports etc. Usually, simple burn up and burn down charts are used for documentation purposes. Burn up and burn down charts are visual diagrams which measure a project and show its progress, schedule, status and any outstanding work. If creating and distributing bulky reports is part of an organization’s work culture, then it needs to adapt to a major change if hoping to work with Agile. This must be factored-in while designing change strategy before proceeding with Agile.

In the next part of this article, I shall discuss on how to use Agile to improve business resilience.

​#Agile  #AgileProductDevelopment  #BusinessTransformation #AgileFAQ #Scrum #ProjectManagement #WaterfallProjectManagement #AgileProjectManagement #ResearchandDevelopment  #AgileForProcessImprovement  #StrategyBuilding  #ImplementingAgileFramework  #ChangeManagement

​Agile is a management methodology proven to speed-up business growth. 

Agile can be used by all types of organizations be it for-profit or non-profit, large companies or startups, those involved with manufacturing, service, education, or government offices.

​However, Agile implementation is the backbone for organizations intending to go for digital transformation.
 
Further, Agile is a necessity and not an option for companies working on product/ process innovations. 

Also, companies aiming to become Smart Factory or Industry 4.0 must include Agile as an inseparable part of their business architecture.

Agile can be applied to all areas of an organization- be it Sales, Marketing, R&D, Supply Chain, Advertising, Finance, HR, IT etc.
 
Agile is versatile. It can be successfully used for product development, business process improvement as well as process design. But it has been found to be especially resourceful in product development as compared to process improvement.

Agile as per its name increases speed, that is, it brings-on rapid product development, fast change implementation, fast market launch of a new product, rapid inventory turns at a production site etc.

Agile for project management has been found to assure on-time project deliverables. Implementing Agile for project management is extensively beneficial for handling complex projects such as- Building a new facility, new business development, new product launches, manufacturing site changes etc.
 
An interesting feature of Agile is that it is not just one methodology. Rather it has multiple method components to it such as- methods that focus on practices, those which manage workflows or those which focus on full development cycle etc. There are several effective Agile methods; Scrum and Kanban being the most popular ones.

​Unlike other business process improvement methodologies and product development techniques, working with Agile in the beginning is tough. But once you gain expertise with it, Agile is easy and fun.
 
An important point to note is that the modus of Agile implementation to work conducted by big teams is vastly different from the way it is applied to work happening in small teams.
 
Also, modus of Agile applied to bigger projects is different from the ones applied to small or greenfield projects.
 
Note that there are clearly defined guidelines as to when to use and when not to use Agile. I shall cover this point in detail in subsequent parts of this article.
 
Hence, Agile method must be selected based on the need and type of the project. Agile must not be applied blindly to whole of a product development or process design campaign. Selecting right type of Agile method is critical for its success; one-size-fits-all approach can cause a disaster.
 
In today’s business environment where rate of change is fast as compared to the ones faced in the previous century, Agile supports businesses to improve its agility and meet rapidly changing customer expectations.
 
Agile facilitates businesses to stay relevant.
 
In the next part of this article, I shall touch upon top ten frequently asked questions about Agile methodology and how it can be used to increase business agility.

​Keywords and Tags-
 
#Agile #BusinessAgility  #AgileProjectManagement #AgileFAQ #BusinessProcessImprovement #ProcessDesign  #ProductDevelopment #DigitalTransformation  #BusinessTransformation #Scrum #Kanban #SmartFactory

Concept wise Quality-by-Design or QbD is not new. The word quality-by-design was introduced by Juran in his work on quality management. And since then organizations have used QbD to introduce quality aspect into products and services.
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However, in my view QbD is a holistic concept for business improvement and has not been fully explored to its full potential. It can do much more than just build-in quality. In the video below, I have touched upon how QbD can improve business resilience. Watch on…

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• How to cut costs strategically using Kaizen
• Quality-by-Design (QbD) approach means Design for Manufacturing (DFM)
  
• Business Turnaround and Continuous Improvement Tips & Tricks Part 5 of 6: TQM in a Nutshell
  

Keywords and Tags:

#Qualitybydesign #Businessresilience #Juran #QualityManagement #AgileKaizen #DesignThinking #DesignSpace #ProductDevelopment #QbD #BusinessTransformation

Gemba in Japanese means site where work happens. It is a popular terminology of Lean Innovation as well as Kaizen based process improvement. 

Gemba Kaizen philosophy is based on the principle that best process improvement happens when people closest to the process give suggestions for improvement of that process. Moreover, the best place to assemble for the discussion to come up with improvement ideas is the Gemba.
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In Kaizen, process improvements can be done using multiple tools viz. Visual Management, Kaizen Events etc. Gemba Walk is one such important process improvement tool.

​​Gemba Walk is based on the philosophy- ‘Go and See’ in Gemba.

Gemba Walk is a process of making personal observation of jobs and workflows where work happens (i.e. Gemba) with those who actually do it, as against discussing about the solving the problem in a meeting room. ​It is like, you can’t be an expert in lawn tennis by learning about the sport in a classroom. You learn it best at a tennis court i.e. the Gemba.

This in-person observation allows leaders to see the difference between what they assumed is happening and what is actually happening. 

Gemba Walks may be conducted the traditional way as well as digitized.

​The objective of Gemba Walk is to better understand the value stream, its problems and how to improve upon those problems. 

By closely observing ‘the site where the value is created’ and listening to employees, business leaders and supervisors can get a fresh perspective on the business and new insights into how to make product/ service/ process changes better for their customers. 

​Tip: Note that the purpose of Gemba Walk is not to review results or make superficial comments.

Another objective of Gemba Walk is to identify wastes in a process. By identifying waste, one can save costs as well as increase process efficiency. As much as 40% overhead expenses can be saved by conducting Gemba Walks regularly at your workplace.
​
However, Gemba Walk must be done correctly for it to give desired results. The video below gives important Dos and Don’ts for Gemba Walk; watch on …

​Gemba Walks may be done singly or in a small team of 3 to 4 members.

If a department head plans to go for the Gemba Walk then I would recommend that he/she goes alone (rather than a team), so that they get a chance to have open and frank discussions with the shop floor employees working on that process. The idea is to make your employees comfortable to open up, be creative and give useful suggestions, rather than worry about petty politics.

​You could have one-on-one or many-to-one discussions during the Gemba Walk.
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Also, leaders doing Gemba Walk must note that the walk is not an exercise for employee performance evaluation. Neither is it a time to engage in employee task management. 

​The frequency of Gemba Walk depends on the size of the organization and nature of business. Generally, process owners, supervisors must do Gemba Walk every other day. Managers and Senior Executives can do Gemba Walk once each fortnight.

​After completing Gemba Walk, make notes to capture your observations. Plan the day so that there is time to write notes and reflect on them. Document key takeaways.
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Categorize your thoughts, findings, and discussion points, and within a week or so provide feedback to employees on your walks. 

​Gemba Walk has a dual purpose- First to observe, understand, and ultimately improve process efficiency. Second, to gain deep knowledge about the process, reflect upon the information and explore opportunities of continuous improvement.

Note that Gemba Walk is not an audit. Audit is done to check compliance to 'documented' procedures. While Gemba Walk focuses on 'process improvement'.

Gemba Walk is a rewarding tool for big and small organizations, especially Startups.

Few key areas of using Gemba Walks may be to improve value quotient of a specific product, or increase productivity of a machine, increase sales, improve area utilization, or identify wastes in a business process and increase its efficiency.
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When done correctly, Gemba Walk can have a dramatic impact on a company's operational excellence since it entails engaged leadership. 

Moreover, Gemba Walks can save as much as 40 to 45% of a business’s operating costs. 

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• How to cut costs strategically using Kaizen
• ​Leadership Kaizen: How can leaders keep employees happy?
• ​Continuous Business Improvement with mastermind Shruti Bhat series- What is Gemba Kaizen?​

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