【正文】 rate current ?physical? and ?anizational? capabilities ? Current state physical and anizational analysis ? Set of current operating metrics CLE_ZXG779_Apr0302_1WkDiagnostic_v1 12 ?To meet the plant?s management and others with whom you will work to review the purpose and method of the diagnostic Purpose ?Members of target pany?s management team who have been involved in preliminary discussions ? Plant or area manager and appropriate staff members ? Those who are likely to be key resources (., from finance or operations) ? Core team Remended participants ? Introductions by all participants ? Describe why we are conducting the diagnostic –Explain vision for production system –Background of lean concepts, if necessary ? Review the approximate time line the team will follow ? Determine who will be key resources from the client ? Decide how the focus area will be selected Agenda ? ~60 minutes Duration HOLD KICKOFF MEETING Example of kickoff document included in Appendix CLE_ZXG779_Apr0302_1WkDiagnostic_v1 13 Shareholder/ corporate expectations Improvement requirements Customer needs ? Increase ROS from % to 15% by 20xx ? 15% return on investment for new factory ? Demonstrate improvement capability ? Stable product quality ? Lead times consistently 2 weeks ? Customer plaints % ? Raise productivity by ~20% ? Reduce working capital ? Reduce variability of manufacturing lead times ? Develop longterm capabilities ? Grow the business ? Interview site management ? Interview corporate representative (., head of BU) ? Interview sales and marketing representative Sources of information COMPLETE BUSINESS NEEDS ASSESSMENT DISGUISED CLIENT EXAMPLE CLE_ZXG779_Apr0302_1WkDiagnostic_v1 14 Process steps Sales volume Operating condition Unique conditions Major changes expected ? Does the product line/process flow have the key process steps which are representative for the whole plant? ? Does this product line/process flow have a reasonable percentage of the plant?s volume? ? Is the line/flow in good condition for the time available to conduct the diagnostic and is the scope defined accordingly? ? Are there any conditions that are unique to this product line? (., this line is projected for no growth while all other areas are at 10% over the next years) ? Are changes such as major redesign, moving production to a new facility expected to happen? KEY CONSIDERATIONS FOR SELECTING MODEL AREA/PRODUCTS A model area serves as a microcosm which should be representative of the rest of the plant People/key resources ? Would the key stakeholders be excited, open, and willing to participate in such an initiative? CLE_ZXG779_Apr0302_1WkDiagnostic_v1 15 27 36 53 47 48 623 300 32 7 17 10 15 7 2 10 12 DEVELOP COST STRUCTURE $ Millions * FebJuly 20xx Source: Hayes Lemmerz。CLE_ZXG779_Apr0302_1WkDiagnostic_v1 “Howto Guide” for 1Week Lean Diagnostic McKINSEY amp。 McKinsey analysis Direct material Direct labor Scrap cost Indirect labor Sala ried employees Indirect supplies Utilities Depreciation Miscellaneous Sales and admin Engineering IT Goodwill amortzation Corporate SGamp。 target specific data collection ? Assess capability –Map current material and information flows。 COMPANY MMP June 20xx CONFIDENTIAL This report contains information that is confidential and proprietary to McKinsey amp。A Total Leases and property tax Addressed in diagnostic Plant overhead costs Variable costs Business unit SGamp。I * See analyses example pack for details on benchmarking CLE_ZXG779_Apr0302_1WkDiagnostic_v1 7 DETAILED DATA REQUEST ? Sales revenue – Dollars (by product) ? Top customers ? Major suppliers ? Number of units produced annually ? Number of parts produced ? Overall inventory turns ? Raw material – Dollars ? WIP – Dollars ? Finished goods – Dollars ? Copy of plant layout ? Floor space ? Organizational chart ? Annual cost per FTE ? Number of shifts/day ? Work hours/shift ? Overall factory utilization and capacity ? List of current improvement initiatives ? Turnover – Percent ? Absenteeism – Percent Inventory Plantspecific data General People ? Break down of COGS – Material cost – Dollars – Direct labor cost – Dollars – Overhead – Dollars ? Variable (indirect labor, etc.) ? Fixed (depreciation, etc.) ? Copies of ine statement and balance sheet ? Overtime – Percent ? Typical productivity improvement for last 35 years – Percent ? Delivered customer PPM ? Internal PPM (or firstpass yield) ? Scrap per year – Percent and dollars ? Rework – Percent and dollars ? Warranty cost – Percent of sales ? Ontime delivery – Percent ? Customer lead time (quoted) – Days ? Premium freight – Dollars ? Manufacturing lead time – Days ? Number/type of machines ? Average setup times – Minutes ? Average down time – Percent Quality Delivery Cost Equipment NOT EXHAUSTIVE CLE_ZXG779_Apr0302_1WkDiagnostic_v1 8 AGREE ON CLIENT RESOURCE REQUIREMENTS Team structure Role Leadership team ? VPoperations ? Plant manager ? McKinsey leadership Core team ? McKinsey EM and associates ? 100% dedicated client resources –Manufacturing manager who is “rising star” –Supervisor from model area Support team ? Representatives from many functions (~20% dedicated) –Finance –Materials –Scheduling –Process engineers –Maintenance ? Direct and support the diagnostic ? Lead the diagnostic and report findings to leadership team ? Client resources assist in: –Identifying and ensuring access to the right people –Transferrin