Pictorial Representation Frameworks / Lean Models

A traditional Lean model is represented in the lean house (Figure3). Toyota is the pioneer of this framework and titled it the Toyota Production System (TPS) house. The basic idea is that the house has a foundation, two pillars, and a roof. The TPS philosophy together with visual management, stable and standardized processes, and leveled production are the foundations of the house.

Figure 3. The Lean House (Liker 2004, p.33)

One of the pillars is the Just in Time (JIT) system for “Flow” and the other pillar is Jidoka “to build quality the first time.” Between the pillars is continuous improvement by developing people and teamwork to eliminate waste in the value stream. The foundation of the house together with both pillars supports the roof, which is the achievement of the key

performance indicators. An advantage of the Lean house is that it is a very simple framework and easy to understand.

There are a huge variety of Lean house frameworks. Many organizations adopt these frames and adapt them to their organization when they start their Lean journey. It is very common to see the TPS house with the name of the company followed by Production System, i.e. “Company X” Production System.

Framework for Lean manufacturing based on the Lean house structure

This framework identifies the Lean manufacturing elements comprehensively, and its main objective is to help practitioners to understand what constitutes Lean manufacturing. The approach of this research was a comparative analysis of the literature using 65 elements for building the framework as shown in Figure 4.

Figure 4. Framework for Lean manufacturing based on the Lean house structure (Anand

& Kodali, 2010)

Lean Enterprise Model - Lean Advancement Initiative (LAI) at MIT The most consistent explanation of the MIT framework, which embarked on the

development of an enterprise level Transition to a Lean Roadmap, is the one by Nightingale and Mize (2002) described in Figure 5. This version of the model was developed to assist

organizations in their efforts to transform into Lean enterprises. The framework shows all the steps that are necessary to begin, maintain, and continuously improve an enterprise

transformation based upon Lean principles and practices. The Roadmap was developed from an enterprise perspective, paying attention to strategic issues, internal and external relations with key stakeholders, and structural issues that must be taken into account if a significant change is to be carried out (Nightingale & Mize, 2002).

Figure 5. Transition to Lean Roadmap (Nightingale and Mize, 2002)

The Roadmap has three cycles. The first is the Entry/Reentry Cycle, which names the actions needed to adopt the Lean paradigm. This cycle is closely related to the enterprise

strategic planning cycle. The second cycle is the Long Term Cycle, in which the environment and the necessary conditions for a successful transformation are created. After completing this cycle, the organization is ready to begin thorough planning and implementation. The third cycle is the Short Term Cycle, when implementation is planned, executed, and monitored. This cycle has a

fast clock speed, with ongoing action-monitoring-corrective action phases. The Long Term Cycle is re-entered periodically to benefit from the lessons learned during implementation and to accommodate changes that take place in the dynamic external environment.

Experience shows that Lean implementation is definitely influencing how organizations shape their business strategies. Because implementing this process reduces lead times, lowers cost, and improves operating efficiencies, lean enterprises can compete in new markets and business opportunities that were not previously accessible. Lean implementation frees resources like space, labor, and capital, allowing firms to grow or to venture into new markets or

businesses. Thus, the third cycle also impacts the first Reentry Cycle as an organization becomes leaner. Therefore, the Transition-to-Lean Roadmap is actually a set of nested feedback loops (Nightingale and Mize, 2002).

In addition to the Transition-to-Lean Roadmap, the Lean Advancement Initiative (LAI) at MIT developed a systematic framework that includes the principles and practices that help map a path to becoming a Lean enterprise as shown in Figure 6 (MIT, 2004). LAI comprises the

following twelve Lean practices: 1) Identify and optimize enterprise flow, 2) Assure seamless information flow, 3) Optimize capability and utilization of people, 4) Make decisions at the lowest possible level, 5) Implement integrated product and process development, 6) Develop

relationships based on mutual trust and commitment, 7) Continuously focus on the customer, 8) Promote Lean leadership at all levels, 9) Maintain the challenge of existing processes, 10) Nurture a learning environment, 11) Ensure process capability and maturation, and 12) Maximize stability in a changing environment.

Figure 6. The Lean Enterprise Model (MIT, 2004)

The Seven Disciplines of Enterprise Engineering

In addition to the Lean house previously mentioned, there is a pictorial image for Enterprise Engineering that constitutes the seven disciplines of Enterprise Engineering (Martin, 1995). Martin defines Enterprise Engineering as an “integrated set of disciplines for building or changing an enterprise, its processes, and systems. It integrates the most powerful change methods and makes them succeed. The goal is a human-technological partnership of maximum efficiency in which learning takes place at every level.” The basic diagram consists of five categories of change methods: TQM-Kaizen, Procedure Redesign, Value Stream Reinvention, Enterprise Redesign, and Strategic Visioning. Culture development, the organization of human resources, and information technology are required to support these change methods as shown in Figure 7.

Figure 7. Seven Disciplines of Enterprise Engineering (Martin, 1995)

2.3.3 Lean Enterprise Architecture Frameworks