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.
​
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.
​
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.
​
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.
​
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. 

Follow Shruti on Twitter, Facebook, YouTube, LinkedIn

• 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?​

#GembaWalk #GembaKaizen #ContinuousImprovement #ProcessImprovement  #ProcessEfficiencyImprovement #BusinessProcessImprovement #Lean #Kaizen #LeanMethodology #BusinessTransformation  #JapaneseKaizen #KaizenEvents #VisualManagement #KaizenForStartups

​A picture is worth a thousand words ... ​Visual Management hence is one of the top techniques to improve process efficiency. 

​The purpose of Visual Management is to improve communication in an enterprise. Excellent communication is the master key to good employee collaboration leading to smooth workflows.

​An example of explicit Visual Management (also called Visual Control) is flow of people at an airport. Isn’t this view familiar?

Visual Management is routinely practiced in air transport industry. ​Almost everyone at an airport follows instructions provided by signage to reach their destinations- Boarding gate, food court, restrooms, baggage pick-up, customs, immigration, transit etc.
 
A gadget placed near the boarding pass kiosk must be tried out to judge if your cabin luggage is of the permissible size allowed in the plane’s overhead baggage locker. This check prevents over-size cabin bags from getting onto the aircraft, thus, improving boarding process efficiency.
 
An example of Visual Management in daily life is a flashing red light (and siren) of an approaching ambulance or a police car which informs everyone around to stay clear and give them priority on the road. 

Visual Management is also popular in service sectors such as hotel, retail, logistics etc. ​The picture below is an example of Visual Management from the retail industry. 

This simple Visual Management approach gives bigtime boost to a customer’s shopping experience at a mall. No path-breaking innovation is always necessary ... Good creativity and a visual can do the job. The visual is bang-on to its objective. ​

​As a shopper, would you not like to visit that store again? ​

There more than 70 Visual Management tools; for example- Signage, Andon lights, Activity Boards, Huddle Boards, Gemba Walks, Kanban, 5S, Control charts, Kamishibai Boards, X- Matrices etc.  

All Visual Management tools comprise of two parts- Visual Metrics and Visual Control. 

The choice of tools depends on the organizational size, culture, product mix and geographical locations. Best results are usually obtained when 10 to 20 tools are used in synchronicity. 
​
Visual Management tools aim to do one or more of the following:

• Share information.
• Communicate standards.
• Enforce and monitor the standards.
• Bring attention to deviations and/or irregularities.
• Augment CAPA (Corrective Action Preventive Action).

​Visual Management or Visual Control can be used in each and every process of any organization.
 
Let me take an example of traffic or stop lights. Red color for ‘stop’, Orange for ‘caution’ and Green to ‘go’ is a universal sign language. Now if you were to use this traffic-light color code in a project Gantt Chart or a RACI Matrix, it will provide instant understanding of the project status; no query calls and no back-n-forth emails …
 
This color coding in project charts is exceptionally helpful for decision-makers and project teams alike situated at different locations or working remotely via cloud or those in a multi-cultural workplace as in a multi-national company.
 
A popular example of Visual Management in manufacturing setups are Andon lights. Andon lights are useful in automated as well as automatic processes. A flashing red Andon light on a production belt means that the line is held up. It draws attention so that someone on the shop floor initiates to sort out the problem and re-start operations. 
 
Another example of Visual Management is ‘Activity Board’ that depicts task status as- Doing, Done, To Do, New Ideas, On Hold etc. ​Traditionally Activity Boards used to be hand-written. However, now there are digital ones too.

Activity Boards are especially popular in the auto sector; both in auto manufacturing as well as services. 

​Next time when you go to pick-up your car at a service center, do checkout for their Activity Board. It is usually displayed on the right side of the service representative's desk. The information displayed there tells you a whole lot about their work style, processes and how good or bad an experience you would get while dealing with them.​

Here are five signs that indicate your organization needs to go for Visual Management-​​

1. There is slow progress towards achieving strategic objectives.​
   
2. Your company deals in complex projects.
3. Stalled work-in-progress happens often at workplace.
4. There are frequent bottlenecks and/or poor capacity planning.
5. Your company has multi-locational distributed teams.

Visual Management escalates process efficiency in manufacturing as well as service set ups.

​​Make Visual Management a part of your business, improve process efficiency and watch your business grow year-on-year despite adverse market dynamics.
 
The purpose of Visual Management is to improve communication at an organization. And excellent communication is the master key to good employee collaboration leading to smoother workflows.
 
Visual Management is not just a signage, furniture, or a label. It makes your workplace alive- Because it speaks!
 
To introduce Visual Management technique in your organization, start with process mapping. Then identify areas of implementation based on communication touch points. Make sure that Visual Management at your workplace evolves as you develop a deeper appreciation of stronger teamwork, workflows, product offerings and business landscape. Also do conduct a dry run before its full-scale implementation …
 
Note that there are eighteen such awesome proven process improvement techniques; learn more here. And I will see you again with yet another topic on how to improve operational efficiency at your organization.

#visualmanagement #visualcontrol #continuousimprovement #operationalefficiency #processefficiency #kaizen #lean #businessprocessimprovement #operationalexcellence #organizationaldevelopment #processdesign #workplaceorganization ​#activityboards #businesstransformation #operatingefficiency #projectmanagement

Covid- 19 is powering a shift to remote working, heightening cyber security concerns for many organizations and fueling growth for investors in the space.

​These are three under-invested areas in IT resources today that are critical and must be first addressed for a secure remote working; namely:

1. Identity and access management.
2. Endpoint protection.
3. Application (or App) security.

Cyber security has always been on top of minds for organizations, many of which have had to deal with data breaches, ransom attacks, phishing scams and other forms of intrusions. The pandemic has brought that concern into even greater focus.

So far network boundaries of access were relied upon for threat security. The rise in remote workforce and the proliferation of access points means that organizations will need to extend their cyber security priorities beyond protecting their networks.

So far, IAM (Identity Access Management) has been considered as add-on to cyber apps, but not anymore, as a greater number of people opt for work from home or remote locations.

The most important feature of a good IAM solution is usability and consistency. If employees become frustrated because of a cumbersome log-in process or multiple levels of verifications; they will seek workabouts and undermine the very security.

As more devices get into the company’s network, this prolific user endpoints also need data protection and security.

Endpoint protection solutions serve the simple purpose of enabling access while blocking malware. They assist with data encryption and data transfer between many endpoints from a centrally managed system. Also, user-owned devices that are not controlled by the company must have up-to-date operating systems, applications, and web browsers, for reducing the risk of vulnerabilities.

For all Apps, security features must be built-into at the time of app development, while minimizing friction in workflows.

One change at a time thru Kaizen technique is all that it takes to enhance your IT system’s performance and productivity, and simultaneously bring-in exponential returns.

Would you like to know more on how Kaizen can help your organization’s IT process improvement?

#Digitalization #ITProcessImprovement  #CyberSecurity  #RemoteWorking  #KaizenForIT #ContinuousImprovement #Covid19 #WorkFromHome #AppSecurity

Post Covid-19, numerous organizations are letting their employees telecommute. A few companies have chosen to have 50-90% of their people work distantly through phone, PC frameworks, video conferencing and so on. 

According to an article published on Forbes.com Coinbase, Google, Microsoft, Morgan Stanley, JPMorgan, Capital One, Zillow, Slack, Amazon, PayPal, Salesforce and other major companies are leading the ‘work from home’ revolution.

While such a move guarantees operational cost-savings and continued productivity (thru the pandemic); remote working has its own bundle of difficulties both for the employee as well as the company.

For instance, you may need to set up procedures to ensure that there is no disturbance because of children or pets at the employee's home or some woodwork clamor originating from their neighbor's home.

People ordinarily are social creatures. Working continually from home or distant places can have unfavorable impact on the employee’s output, personality and in extreme cases, even on their psychological wellness.

Organizations seeking to change over huge amount of its work through far-off tasks should necessarily assess their employee's capacity to bear distant working before allotting them remote work duties. Comparative test must be accomplished for every new hire. Hence, HR processes, recruitment, employee development, learning processes must be appropriately amended prior to changing traditional working norms to remote operations.

Another challenge to remote working is changed operational framework. For example, computer systems, software, cloud-based working platform, ERP, cyber-security, eLearning platforms and so on.

Drawing process maps for every single business process, division wise and also cross-functional processes will help identify potential challenges to transitions from conventional working to remote operations.

Employing Kaizen to bring -on such transitions will not only augment smooth transition, but also bring-on the change effectively, lower costs and increase employee morale.

Kaizen is a time-tested Japanese business improvement methodology. It got popularity after it was implemented by Japanese auto companies to rise from economic downturn post world-war II.

Just-in-time (JIT) technique is usually applied to manufacturing and service functions of companies, but not to their R&D divisions. 

​Considering the vast benefits of JIT methodology, I recommended using it in R&D division of a Life science company (my client). This company had a major set back; consequently, had a severe cash-crunch and was looking for a better option to sustain business and avoid employee layoffs.

This project was accomplished few years ago. However, the learnings are relevant today perhaps more than ever before.

R&D departments of pharmaceuticals, vitamins & supplements, natural health products, cosmetics and personal product companies need a very large quantity of consumable items. Some of the consumable items are- raw materials, packing material, tools, machine spares etc.

Some of commonly used raw materials in life science R&Ds include- Active ingredients (such as bulk drug, herbal extract), additives (such as bulking agents, colors, flavors, perfumes, emulsifiers, solvents etc.), packing materials (such as tubes, bottles, caps, wads, aluminium foil, paper, glue), machine parts (viz. tablet punches, dies, chromatography columns).

These consumable items are extensively used during experimentation for new product development and testing. In fact, the R&D department cannot function at all if consumables are not provided.

In research-based life science companies and contract research organizations, consumables comprise of 20 – 45 % of their R&D budget. Therefore, any savings in consumable expenses help organizations to lower over-head costs big-time, and Just-in-time methodology does just that!

A four-step approach was taken for this project-

Step 1: The existing supply chain process was mapped, inventory demand-supply schedules reviewed and gaps in these processes were identified.

The objective was to re-design the supply chain process to include Just-in-time technique to lower R&D over-heads (without disturbing R&D output) and the savings generated thereof could be utilized for other needs of the business.

Step 2:  A supply chain process improvement strategy was designed.

Note that, there are several dos and don’ts prior to applying Just-in-time technique for process improvement or process design. One of such important to-dos, is to ensure all items being sourced comply to CQA (Critical Quality Attributes).

Step 3:  A core team comprising heads of R&D, Manufacturing, Quality, Regulatory and Procurement was formed.

Then all consumable raw materials were classified into- expensive, moderate and cheap items, based on their cost and availability. Vendors were approached to provide samples (of raw materials) for testing. Once test results proved compliance to CQA, the vendors were short-listed.

Step 4:  Just-in-time process was set up.

This also involved effective collaboration between R&D, resource planning and quality groups. Then, meetings were conducted with vendors to provide raw materials at negotiated price to R&D. Vendors for expensive raw materials were approached first, followed by those for moderate and cheaper items.

Note that-

• Depending on the size of the organization and the number of consumable items to be worked on, it might take from 2 to 8 weeks to fully set up Just-in-time in a company.
• Just-in-time methodology encourages sourcing from local or regional vendors rather than overseas. Should a company go for an overseas vendor, then make sure that vendor has a distribution warehouse situated locally or regionally.
• Savings from Just-in-time implementation are further augmented when R&D's follow Quality-by-Design (QbD) approach for product development.

Result Dashboard: 

1. Through flawless execution of Just-in-time technique, around 35% of R&D over-head cost was saved in the first year.
2. Besides lowering over-heads, Just-in-time also helped free-up warehouse capacities.
3. Continued implementation of Just-in-time technique maximized over-head savings up to around 80%.

To know more on how Just-in-time technique can benefit your organization-

#JustInTime  #ImproveOperatingEfficiency  #ContinueInnovation #ContinueProductDevelopmentInPandemic   #Covid19  #ImproveOperatingExcellence  #ProcessImprovement  #ProcessDesign

A few years ago, I was approached by a CEO of a pharmaceutical contract research company to turnaround his sick unit into a profitable enterprise. This company was dealing with the development of solid oral dosage forms. To bring about the necessary change, we initiated several Kaizen campaigns companywide, with 360 degrees focus to overhaul all processes and operational systems. We addressed all key areas across the organization including accounts payable/ receivable, material procurement, order processing, suppliers, R&D, scale-up, production, logistics, product dossiers filings, project management, business development, sales & marketing and PR communication processes.
 
Another key area where Kaizen helped us in a big way was to integrate various client information data sets maintained within different databases on separate systems.​

​At the end of nine months, this company’s books started showing profits, and from there on, it kept going from ‘good to great’. It was an excellent example of a successful transformation.
 
Unfortunately, this contract research company is not alone in the challenges it has faced. Studies indicate that 88% of business owners in North America struggle to maintain consistent cash-flow. Key questions to consider are:

• Can your organization benefit from increased workplace productivity?
• Does your team face challenges with reduced R&D budget?
• Does your organization face challenges because of inconsistent or poor cash-flow?
• Do you need to cut corners as you are forced to do more with less?

 
If you answered ‘yes’ to any of the above questions, then Kaizen should be your mantra…​

​This book is a structured approach to designing Kaizen strategies, practices and implementation for pharmaceutical, medical device, and biotech companies.
 
It is an invaluable resource, an essential tool for all professionals within the pharmaceutical, medical device, biotech organizations i.e. all life sciences and health care companies, interested in employing Kaizen in their workplaces and their personal lives. This book will also facilitate running Kaizen in a manufacturing company and do it at a world-class level.

​This book doesn’t simply explain Kaizen process features, implementation, and application. The scope of this book is much wide.  

This book is meant for small to medium-size pharmaceutical, medical device and biotech research, manufacturing and contract services companies. This book is to-

• Demystify Kaizen and help business leaders in pharmaceutical, medical device, biotech, and all life sciences organizations, irrespective of their size or workplace culture.
• Apply Kaizen to what really matters, that is, ‘to achieve business expansion along with increased productivity and profits’.  
• Provide practical and useful examples of Kaizen principles that can be executed at various levels: across the organization; within a specific department, business unit or team, as well as for yourself as an individual to further your personal career.
• Improve revenues and create a lasting change using Kaizen principles and techniques.​

Some salient features of this book

• It shows pharmaceutical & biotech scientists, design engineers, operators and everyone involved in product development, how to utilize Kaizen- to create innovations, shorten product development times, improve first-to-file rates, conduct successful scale-up and technology transfer to manufacturing sites.

 

• It shows everyone associated with manufacturing, how to use Kaizen to decrease cycle times, work-in-process & quarantine inventories, the cost of distribution & logistics, improve equipment efficiency, facility capacity utilization and shift output.

 

• It shows everyone in Human Resources how to use Kaizen to minimize employee turnover, hire and retain talent, and motivate employees to create a difference.

  

• It shows the company’s senior management, stakeholders, finance and other supporting business units, how to use Kaizen to increase ROI (return on investment) while complying with cGMP (current Good Manufacturing Practices) and other regulations, address rising competition and counteract fluctuating market economy.

 

• This book presents useful ideas that one can implement immediately, often at no additional cost.

 

• It shows how to transform a business from ‘good- to- great’. True benefits of Kaizen implementation are realized because, it adds value to your products, increases market share, and drives both top line and bottom line of your business.

 
Kaizen has mainly been used in Japan and many other SE Asian companies and in Europe. Up until now, it has not gained enough significance in North America, because of which it has not been utilized to its full potential. The root cause is the difference in work culture and corporate governance styles of companies in eastern and western countries; this book totally eliminates this gap.​

In addition, this book is an excellent resource for Kaizen beginners with a lot of real-life industry examples, case studies and provides several ‘do-it-yourself’ exercises, which is of tremendous value, in absence of a Kaizen coach.


Chapter 1:
 
Pharmaceutical industry growth unlike few other industries viz. retail, banking etc. is not completely determined by ‘value’ it brings to its customer. Frustrated customers can easily walk out of a shop and get their product from some other place. In contrast, pharmaceutical products are unique in the sense, the customer (i.e. patient) doesn’t usually have much say in its purchase. Patients usually buy medicines their doctors prescribe or pharmacist dispense (until such time they don’t experience any adverse effects). For the medicines where adverse effects are well-known or documented on the product label, patients really have no choice but to take bitter medicine (pun intended).
 
Also, a patient on a prescription drug may not always have the option to change medication or brand, because of lack of competing brands due to enforced Exclusivity and Patents laws. Even with the advent of generic medicines which offer price benefits, many patients don’t prefer to change the pill they have been taking over the years.

Moreover, Kano’s model may not strictly apply to Life science industries, because unlike other products, a drug product if not proved safe, efficacious and stable, will just not make it to the market. And this applies to all medicinal products- be it Rx (prescription), OTC (over the counter), medical devices etc.​

Pharmaceutical, medical device, and biotech companies are always under federal drug authorities radar for compliance to standards. The very existence of pharma business is based on meeting compliance- be it cGMP, safety, therapeutic efficacy, quality etc.
 
As federal drug regulations change, companies must upgrade to stay in business. Hence, there is an indirect continuous improvement happening all the time. This is probably one of the reasons why the majority of life science companies have not really attempted formal business process improvement methodologies.
 
However, Kaizen is not simply a business process improvement technique. Kaizen doesn’t just focus on cost-cutting or quality improvement. Kaizen is a way of life; of becoming ‘better’ every day; of becoming better than the best- consistently, and taking your business from being good to great with its products, market share, governance, and most importantly, Good to Great with PROFITS!
 
Let’s begin with what is Kaizen?
 
The name ‘Kaizen’ is an adaptation of the Japanese term that stands for continuous improvement. In Kaizen technique, it is believed that employees need to be empowered to enhance various processes of the company. Kaizen utilizes some of the Lean methodology philosophies to plan, implement and evaluate changes in a variety of roles. Kaizen must be integrated into a company’s daily operations to achieve maximum benefits.
 
Kaizen hails from the words, "Renew the heart and make it good." Therefore, an adaptation of Kaizen concept requires changes in the "heart of the business", corporate culture and structure; since Kaizen enables companies to translate the corporate vision in every aspect of its operational practice.​​

Dr. Shruti Bhat is an award-winning Business Excellence Leader, Global Continuous Improvement Mastermind, Best-selling Author and Speaker. She is Continuous Improvement Advisor to several start-ups, mid-size and growing firms in Canada, USA, India, Africa and Emerging markets. She has authored eight business books and is an invited speaker at several national and international conferences, symposia and workshops.
​

Follow Shruti on Twitter, Facebook, YouTube, LinkedIn
 

#DrShrutiBhat  #ContinuousImprovementAcademy  #Manufacturing #Lean #ProcessExcellence  #ContinuousImprovement #Kaizen  #QualityImprovement  #Innoworks  #Innovation  #Quality  #eLearning  #Business  #BusinessProcessManagement  #ServiceIndustry  #ManufacturingManagement  #LeanInnovation  #Pharmaceutical  #LifeScience  #Food  #Beverage  #Biotechnology  #Retail  #Cosmetics  #PersonalProducts  #Chemicals  #Drugs #Engineering #ShiftingParadigms #BPM  #LeanManagement  #KaizenLeaderMasterclass  #LeanSixSigma  #Kanban  #FMEA  #RiskManagement  #Speaker  #KaizenTrainingAcademy