Workplace: Make It Lean

Q. I hear a lot of talk about companies operating “lean and mean,” especially after a takeover or merger. That usually means they let a lot of people go. Is there any way to head that off before it happens to our company? — Albert W.

A. If a new company takes over, or your company has to cut costs fast, it’s usually the workforce that’s the first target—unless the operation is running already so lean that to reduce the workforce any more would immediately threaten sales or profits. But it’s been proven that companies can cut hundreds, even thousands of people, while improving the profit picture. When this happens, I believe that the company was overstaffed to begin with, and finally came to grips with reality.

You have the right focus, and I’d hope your company’s management is thinking the same way. Many companies are already taking this step, by being really serious about newer and better ways to work, such as implementing Total Quality Management; Zero Defects; Workplace Organization (5 S Program); Lean Workforce Practices; Set-up Reduction; Batch Size Reduction; Point-of-Use Storage; Cellular Manufacturing; Workflow Design. If your company isn’t fully committed to operating lean, at least you should. Make sure you’re so productive, and so valuable to bottom-line results, that you’d be the last to be “downsized” if things get tough.

One good way to start is to install—even for you if no one else wants to do it—a 5 S Program. It’s the core of a lean workforce—an idea that originated with Japanese author Hiroyuki Hirano's 5 Pillars of the Visual Workplace (Productivity Press, 1995). While it’s usually applied to the manufacturing floor, the 5 S concept works well in the office, too.

Charles Skinner, a consultant for Productivity, Inc. (www.productivityinc.com) believes that 5 S “…is critical to the implementation of all other improvement efforts…5S is a must-have tool.” He says the foundation idea for 5S is that anyone should be able to find anything in his or her own workplace in less than 30 seconds, and anywhere else in the workplace in less than five minutes without talking to anyone, opening a book or turning on a computer. Here’s how it works:

Overview of 5S

The 5S's are: sort, set in order, shine, standardize, and sustain.

“Sort”

The sort step separates needed items from unneeded items. You remove any item you don’t currently need for your work, wherever it may be, whether in the factory or office. It’s a difficult step for some people who are afraid to let go of parts, machines, files, records and data, "just in case" they may be needed in the future. However, "red-tagging" such items allows you to set aside and evaluate items and information in terms of its usefulness and how often you use it. The items and information are returned, stored elsewhere, sold, given away or thrown away. Red-tagging is best done in one target area at a time and within one or two days. When red-tagging is completed, problems and annoyances in the workflow are reduced, communication between employees is improved, product quality is increased, and productivity is enhanced.

"Set in order"

organizes a work area for maximum efficiency. It means arranging needed items so that they’re easy to use, and labeling them so that anyone can find them and put them away quickly. The key word in this definition is "anyone." Labeling is mostly for other people who need what is in the area, when the area "owner" is away. The ideal is economy of time and motion. No one should have to wait because “Joe” is away from his desk; out sick; having coffee; on vacation. When the workplace is orderly, there’s no wasted human energy or excess inventory.

"Shine"

means to clean everything in the work area thoroughly. Planning a clean-up campaign is a five-step process including: cleanliness targets, assignments, methods, tools, and follow-up inspections.

Review the first two S’s; find the source of dirt or litter and eliminate it. What’s “cleanliness”? Keeping everything swept and clean." "Shine" should become so deeply ingrained as a work habit that tools and equipment are also kept in top condition and are ready for use at any time, and cleaning—a daily habit—is needed less.

"Standardize"

means you write a plan to maintain continual improvement. It integrates sort, set in order, and shine into a unified whole.

“Sustain”

Finally, “sustain” involves employees closely in planning and maintaining the 5S technique, and having clearly designated tasks to keep it that way.

When employees take an active role in designing and maintaining their workplace, they take more pride in their work, leading to greater satisfaction and higher productivity.