Operations - Lean

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Lean Services

Lean Services put the voice of the customer at the heart of the process. The aim is to clearly understand customer expectations, and identify mismatches between these and the products and services actually available. The approach delves deep into key processes that deliver customer value, and helps to identify and eliminate waste. It also helps to build the structure and culture necessary to measure and sustain improvements.

Examples of lean principles applied within service industries include:

  • A Lean program at a leading financial services business delivered $76 million in operating profit in two years of implementation, and has identified potential future savings of $560 million
  • Lean application at a leading bank helped improve mortgage and credit transaction processing times by 80%, saving the bank millions of pounds and improving customer satisfaction
  • Improvement in process performance, quality and consistency using Lean saved a large government organisation over £500 million in 2 years

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Optimising operations to deliver the customer value proposition at the lowest possible cost Eliminating waste and streamlining manufacturing processes to deliver only what customer values Applying and tailoring the best of lean methodologies and tools to the service sector Focusing efforts on tackling strategic issues rather than incremental process improvements firms can substantial financial and strategic gains Supply Chain Operating Model at how businesses need to structure themselves to win in an increasingly Global environment Open collaboration and tighter Integration across the entire supply chain can reduce costs, improve time to market, increase efficiency and enhance customer satisfaction Sales and Operations Planning (S&OP) aims at balancing supply and demand in order to minimise inherent variability within the system and financial impact Complexity Management deals with managing complexity in areas of product portfolio, customer portfolio, locations / sites and processes Customer Integration helps tailor Supply Chains to maximise availability to customers and therefore be a major lever for top line improvements Strategic Sourcing enables an organisation to match its supply base performance with its business requirements financial discipline A.T. Kearney’s Assessment of Excellence in Procurement enables procurement organisations to drive their performance to world class levels Advanced procurement category solutions to enable clients to achieve economic benefits whilst enhancing overall supply base performance The world-leading tool to determine the appropriate strategy for every procurement category by addressing supply and demand conditions Physical Supply Chain projects are aimed at most effective alignment of the operational footprint with current and future business imperatives Reducing the capital requirements by focusing on stock management and financial discipline Optimising the end-to-end network using a combination own or third party tools as appropriate Driving excellence within a site operations through a mix of Lean and other performance enhancement tools