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CLE_ZXG779_Apr0302_1WkDiagnostic_v1 “Howto Guide” for 1Week Lean Diagnostic McKINSEY amp。 COMPANY MMP June 20xx CONFIDENTIAL This report contains information that is confidential and proprietary to McKinsey amp。 Company and is solely for the use of McKinsey amp。 Company personnel. No part of it may be used, circulated, quoted, or reproduced for distribution outside McKinsey amp。 Company. If you are not the intended recipient of this report, you are hereby notified that the use, circulation, quoting, or reproducing of this report is strictly prohibited and may be unlawful. CLE_ZXG779_Apr0302_1WkDiagnostic_v1 1 OVERVIEW OF THIS DOCUMENT ?The purpose of this document is to act as a ?howto? guide for pleting a 1week lean diagnostic of a manufacturing facility ? This document walks through the major process steps and gives example end products from such a diagnostic Purpose End products Contacts ? The 1week diagnostic should answer 2 basic questions: –What is the potential financial impact of manufacturing improvements? –What steps and actions are required to capture this opportunity? ? For assistance please reach out to Melissa McCoy, MMP Practice Manager, in Atlanta or Daniel Woolson, Diagnostic Gatekeeper, in Detroit CLE_ZXG779_Apr0302_1WkDiagnostic_v1 2 SUMMARY OF DIAGNOSTICS AND ASSESSMENTS 1day assessment ? Determine how/if lean principles can be used to help solve business problems ? Evaluate conditions for proper support/involvement ? Review key data ? Tour shop floor ? Synthesize findings ? Lean assessment summary (radar chart) ? Discussion of intangible impact Objective Process End products 1week diagnostic ? Document current and future states ? Project financial impact ? Communicate workstreams ? Review data collected in advance ? Observe shop floor ? Select model area ? Describe current and future states ? Describe financial impact ? Describe generic next steps ? Value stream maps ? Description of financial benefit ? Generic workstreams Deepdive diagnostic Same as 4day, plus: ? Indepth analysis to provide details of future state and financial impact ? Communicate implementation plan Same as 4day, plus: ? Conduct additional indepth analysis ? Provide more precision for current and future states and financial impact (product and customer profiles, schedule attainment, valueadded/nonvalue added analysis) ? Develop implementation plan for model area ? Value stream maps ? Detailed description of financial benefit ? Detailed implementation plan Source: McKinsey Primarily a qualitative assessment Firstlevel quantitative assessment “Ready to implement” CLE_ZXG779_Apr0302_1WkDiagnostic_v1 3 THE 1WEEK ASSESSMENT Will Will not ? Complete a fully prehensive analysis of all areas of the plant ? Provide detailed future vision maps or layouts beyond the model area ? Provide a detailed improvement approach beyond the model area ? Evaluate the operationsstrategy linkage ? Identify potential market / industry advantages (., “ability to change the game”) ?Compare the client?s current state of operations to an ideal lean system ? Identify major improvement levers and possible methods for achieving impact ? Evaluate potential cost savings and cost avoidance by direct observation ? Develop future state for model area ? Evaluate the pany culture and change readiness of the anization ?Identify possible “road blocks” or constraints to lean applications ? Develop work plan for achieving benefits in model area CLE_ZXG779_Apr0302_1WkDiagnostic_v1 4 DIAGNOSTIC APPROACH Activities Timing Main end products ? Determine approach and objectives ? Launch data request ? Determine resource requirements ? Finalize work plan ? 13 days ? Initial data request ? Clearly defined team and work plan ? Hold kickoff meeting ? Complete business needs assessment ? Select model area/ products ? Determine cost structure ? Map current material and information flows ? Complete detailed analyses ? Assess physical and anizational capability ? 12 days ? Current state physical and anizational analysis ? Operational metrics ? Develop future state material and information flows ? Create guidelines for future anizational structure ? Develop targets for operational metrics ? Quantify financial opportunity ? 12 days ? Vision of future state ? Financial impact ? Identify potential barriers to change ? Identify change initiatives ? Create proposed work plan ? 1 day ? Proposed work plan ? Synthesize findings and municate to senior management ? 12 days ? Review with senior management Prepare Assess current state Develop future state Draft change approach Communicate Diagnostic CLE_ZXG779_Apr0302_1WkDiagnostic_v1 5 DETERMINE APPROACH AND OBJECTIVES The basic approach is to identify manufacturing improvement potential along several dimensions through . . . . . . assessing both physical and anizational dimensions for building capability Quality Cost Delivery Future Cur rent Organizational capability High Low Physical process capability Low High Future Current Main objectives are to: ? Determine financial opportunity ? Draft action plan to capture the opportunity CLE_ZXG779_Apr0302_1WkDiagnostic_v1 6 LAUNCH DATA REQUEST Steps Purpose Consideration