Lean Development and Innovation

Book description

Using Toyota's principles for product and process development, this book focuses the implementation of the Lean system during the past 10 years in dozens of corporations across various industries. The book highlights all steps on the journey from common trouble area to remarkable results. As it is written by a manager for other managers, it contains real work discoveries and insights. The author provides case studies from many different fields of application. The reader gains insight on US and European companies that successfully streamlined their innovation and product-development processes. These companies have overcome difficult periods and major challenges thanks to the ability to innovate with new Lean methodologies and, above all, a new workplace culture and mindset. The goal of this book is to help managers successfully apply Lean principles in the innovation and development area of their company while benefitting from the author's lessons learned during his many years of capitalized experience.

This book provides a comprehensive framework that supports, step-by-step, the successful application of Lean principles in the innovation and development areas of the company. Readers learn how to drastically reduce the time required to develop products and discover and eliminate hidden costs and critical waste while increasing value for customers.

Table of contents

  1. Cover
  2. Half-Title
  3. Title
  4. Copyright
  5. Contents
  6. Foreword
  7. Preface
  8. Acknowledgements
  9. Author
  10. 1 Lean Product-Process Innovation and Long-Term Thinking
    1. 1.1 A Strategic Question: Excellence in the Long-Term or Mediocrity in the Short-Term?
    2. 1.2 Innovating to Achieve Success
    3. 1.3 From Lean Management to the Lean Development and Innovation System
    4. 1.3.1 Lean Thinking
    5. 1.3.2 Historical Background of Lean Thinking
    6. 1.3.3 What Can We Learn from the Toyota Model?
    7. 1.3.4 Wastes in Product and Innovation Processes
    8. 1.4 Types of Waste in the Innovation Process
    9. 1.5 Process Kaizen in Non-Manufacturing Processes
    10. 1.5.1 Waste “Suffered” and Waste “Generated”
    11. 1.6 Why Invest in a Lean Development and Innovation System?
    12. 1.6.1 Integrating People, Processes, and Tools
    13. 1.7 Each Situation Has Its Own Peculiarities
    14. 1.8 Summary of Key Points in Chapter 1
    15. Resources
    16. Notes
  11. 2 Processes: The Way We Work to Add Value
    1. 2.1 When Processes Are Real Solutions to Problems
    2. 2.1.1 Do Many Things at the Same Time or Arrange Project Activities into a Sequenced Flow?
    3. 2.1.2 Pay Attention to Small Signals and Accumulate the Knowledge
    4. 2.1.3 Balancing and Synchronizing Work Loads from a Value Stream Perspective
    5. 2.1.4 How Can We Ask for the Materials and Information That Are Needed When They Are Needed?
    6. 2.1.5 Cause and Effect
    7. 2.2 Make the Customer the Center of Attention: Concept Paper
    8. 2.2.1 Forming the Project Team and a Sample Concept Paper Format
    9. 2.2.2 Who Guides the Process?
    10. 2.2.3 Product and Market History
    11. 2.2.4 Who Will Use Our Products?
    12. 2.2.5 Classification of Product Features
    13. 2.2.6 How Can We Understand What the Customer Wants?
    14. 2.2.7 Radical Sharing
    15. 2.2.8 The Importance of a Single Unified Vision
    16. 2.2.9 One Product or a Family of Products? The Right Choice Could Bring Big Benefits (and) Savings
    17. 2.2.10 How Can We Standardize the Use of Product Components to Reduce the Final Cost?
    18. 2.2.11 How Can We Establish Goals at the Beginning of the Project?
    19. 2.2.12 Why Choose One Goal Value and Not Another?
    20. 2.2.13 Are These Objectives Really Achievable?
    21. 2.2.14 What If We Are Already the Market Leader?
    22. 2.3 Concentrating Efforts at the Beginning of a Project
    23. 2.3.1 When Does a Project Really End?
    24. 2.3.2 Starting Out Already Late
    25. 2.3.3 The Problem of a Sprint Start
    26. 2.3.4 Iterative Models and Convergent Models of Development
    27. 2.3.5 Kentou and Set-Based Concurrent Engineering in Practice
    28. 2.3.6 Development Teams Based on Modules
    29. 2.3.7 Reuse of Existing Solutions and Knowledge of Previous Critical Areas
    30. 2.3.8 Simultaneous Convergence of Different Modules
    31. 2.3.9 The Case of the Prius
    32. 2.3.10 Group Brainstorming? No Thanks
    33. 2.3.11 What Happens if the Solutions Are Incompatible with Each Other?
    34. 2.3.12 Excessive Harmony Does Not Yield Good Products
    35. 2.3.13 From a Good Product to an Excellent One
    36. 2.3.14 Two Small Secrets
    37. 2.3.14.1 First Secret
    38. 2.3.14.2 Second Secret
    39. 2.3.15 When the Supplier Teaches Something to the Client: The Denso Case
    40. 2.3.16 Problem-Solving Resolves Everything… But How Much Does It Cost?
    41. 2.3.17 When Simple Steps Yield Solutions That Avoid Serious Consequences
    42. 2.3.18 It Is Advisable to Make Modifications Early On
    43. 2.3.19 When a Limited Budget Makes No Provision for Additional Expenses
    44. 2.4 Value Stream Mapping to Understand the Real Current State and Creatively Envision a Desired Future State
    45. 2.4.1 Value Stream Mapping in Practice
    46. 2.4.2 The Steps of a Value Stream Mapping Event
    47. 2.4.3 Why Not Start Immediately with Tried and Tested Solutions?
    48. 2.5 How to Get the Intellectual Juices Flowing without Obstacles or Interruption
    49. 2.5.1 The Myth of Multitasking
    50. 2.5.2 Queuing Theory and Intellectual Efficiency
    51. 2.5.3 The Eight Principles of Flow in Intellectual Activities
    52. 2.5.3.1 Level the Arrival of Work
    53. 2.5.3.2 Minimize the Number of Activities in Process
    54. 2.5.3.3 Reduce the Size of Activities
    55. 2.5.3.4 Establish a Regular Cadence
    56. 2.5.3.5 Plan Results and Not Activities
    57. 2.5.3.6 Pull Planning
    58. 2.5.3.7 Avoid Overloading
    59. 2.5.3.8 Minimize Interruptions
    60. 2.6 Resource Leveling in a Complex Project
    61. 2.6.1 A Model for Leveling Workloads between People
    62. 2.6.2 What Happens if There Are Just a Few of Us or I Am on My Own?
    63. 2.7 Lean Project Management: The Art of Surfing Applied to Projects
    64. 2.7.1 Taking Project Times and Deadlines into Account
    65. 2.7.2 Is the Right Information in the Right Place at the Right Time?
    66. 2.7.3 Value Creating Management
    67. 2.7.4 Who Promotes the Principles of Flow on a Project?
    68. 2.7.5 How Pull Planning Is Put into Practice—A Real Case
    69. 2.7.6 Detailed Planning of the Flow of Materials and Information: Fundoshi Scheduling
    70. 2.7.7 The Management System and Review of the Whole Project
    71. 2.8 Standardization and Creativity: The True Strength of a New Product
    72. 2.8.1 The Basis of Standardization: Knowing How to Use the Data and Knowledge in Our Possession
    73. 2.8.2 How Do We Collect Data for a Trade-Off Curve? We Make Better Use of the Way We Already Do Things and the Data Already Available to Us
    74. 2.8.3 Standardization of Components, Reuse of Know-How, and Corporate Profit
    75. 2.8.4 Releasing Energies to Make a Real Difference
    76. 2.9 Summary of Key Points in Chapter 2
    77. Resource
    78. Notes
  12. 3 People: The Engine for Creativity at the Heart of Long-Term Success
    1. 3.1 There Can Be No Innovation without People
    2. 3.1.1 Are Corporate Productivity and People’s Well-Being Compatible?
    3. 3.1.2 What Does It Mean to Become Lean? The Principles of Lean Leadership
    4. 3.2 Coordinating and Integrating Development through the Chief Engineer System
    5. 3.2.1 Matrix Structure?
    6. 3.2.2 What Skills Should a Chief Engineer Have?
    7. 3.3 Cross-Functional Cooperation to Effectively Develop New Products
    8. 3.3.1 Who Makes the Decisions?
    9. 3.3.2 What About the Other Departments Not Strictly Related to the Product?
    10. 3.4 The Value of Competence
    11. 3.4.1 Example: The Typical Development and Career Path of a Toyota Engineer
    12. 3.4.2 What Is the Best Way to Develop Human Resources in Your Company?
    13. 3.4.3 Personnel that Leave and Enter into the Company
    14. 3.4.4 School, Apprentices, and Artists
    15. 3.4.5 Superstars or Normal, but Competent People?
    16. 3.4.6 Specialists or Generalists?
    17. 3.5 Suppliers or Partners: Mirage or Reality?
    18. 3.5.1 How Should We Choose Our Supplier-Partners?
    19. 3.5.2 Different Categories of Suppliers
    20. 3.5.3 How Do I Know If It Is the Right Supplier for Me?
    21. 3.6 Constant Learning and Continuous Improvement
    22. 3.6.1 Big Initiatives
    23. 3.6.2 Learning and Continuous Improvement: Visible and Invisible Knowledge
    24. 3.6.3 Making the Intangible Tangible
    25. Summary of KeyPoints in Chapter 3
    26. Resource
    27. Notes
  13. 4 Tools for a Lean and Innovative Company
    1. 4.1 Criteria for Choosing the Right Tools
    2. 4.1.1 Criteria 1: Integration and Ease of Use
    3. 4.1.2 Criteria 2: Support of Processes
    4. 4.1.3 Criteria 3: Support People
    5. 4.1.4 Criteria 4: Reinforce Standardization
    6. 4.1.5 Criteria 5: Enable Organizational Alignment
    7. 4.1.6 Criteria 6: Assist Organizational Learning
    8. 4.2 The Obeya
    9. 4.2.1 The Effectiveness of Different Means of Communication
    10. 4.2.2 The Importance of Distances
    11. 4.2.3 Setting Up an Obeya Room
    12. 4.2.4 Seeing for Yourself
    13. 4.3 Simplify Communication and Learning with A3
    14. 4.3.1 Summary of the Basic Principles of an A3 Report
    15. 4.4 Systematic Reflection in Order to Learn from Experience
    16. 4.4.1 When Do We Do It? And Who Should Do It?
    17. 4.4.2 What Is the Difference between Hansei and Lessons Learned?
    18. 4.4.3 Some Practical Examples
    19. 4.5 Summary of Chapter 4
    20. Resources
    21. Note
  14. 5 Companies That Have Successfully Streamlined and Innovated Their Product Development
    1. 5.1 Sacmi Ceramics
    2. 5.1.1 Mature Technology and Market Leadership. The Quest for Continuous Improvement and Growth
    3. 5.1.2 Value Stream Mapping—Current State
    4. 5.1.3 Hansei
    5. 5.1.4 Value Stream Mapping—Future State
    6. 5.1.5 Project Start: The Concept Paper
    7. 5.1.6 Kentou
    8. 5.1.7 Managing the Project: The Obeya System
    9. 5.1.8 The “Quick Die Change” Subgroup—Adding Customer Value
    10. 5.1.9 Conclusions
    11. 5.2 Laika
    12. 5.2.1 Innovation and Lean Leadership as a Reaction to Economic Crisis
    13. 5.2.2 The New Kreos Motorhome Project
    14. 5.2.3 Coaching and Training
    15. 5.2.4 Next Steps
    16. 5.3 Sacmi Closures
    17. 5.3.1 Cut Costs or Earn More?
    18. 5.3.2 Current State Value Stream Mapping
    19. 5.3.3 Hansei and the Future State Value Stream Map
    20. 5.3.4 Concept Paper
    21. 5.3.5 From Efficiency to Effectiveness
    22. 5.3.6 The Project Review System and Management of the Project
    23. 5.3.7 The Kentou Phase and the Design Execution Phase
    24. 5.3.8 Modifications: Are We Sure We Know the Causes?
    25. 5.3.9 The Assembly of the Prototype
    26. 5.3.10 Conclusions
    27. 5.4 Continental
    28. 5.4.1 Not Enough Time to Develop a New Technology?
    29. 5.4.2 The Problem
    30. 5.4.3 Getting Started: Scoping, Goal Setting, Partner Selection, and Planning
    31. 5.4.4 The First Steps: Analysis of the Current Situation and Competitive Benchmarking
    32. 5.4.5 Project Review System and Test Activities Standardization
    33. 5.4.6 Set-Based Concurrent Engineering put to the Test: The Evaluation Matrix
    34. 5.4.7 Trade-Off Curves
    35. 5.4.8 Chosen Solutions and Conclusions
    36. 5.5 PSA—Peugeot Citroen: Applying Set-Based Concurrent Engineering
    37. 5.5.1 Introduction
    38. 5.5.2 SBCE Approach
    39. 5.5.2.1 Set-Based Concurrent Engineering—Scoping: What Is Value-Added? Where Do We Need to Search?
    40. 5.5.2.2 Set-Based Concurrent Engineering—Initialization Workshop
    41. 5.5.2.3 Convergence Phase
    42. 5.5.3 Conclusions
    43. Acknowledgments
    44. 5.6 Lamborghini
    45. 5.6.1 Applied Research and Bold Product Innovation
    46. 5.6.2 The Sesto Elemento, a Laboratory of Excellence
    47. 5.6.3 Frontal Impact Absorption
    48. 5.6.4 Aventador: The Industrialization of the Product in Carbon Fiber
    49. 5.6.5 Building Block Approach
    50. 5.6.6 Advanced Composite Research Center
    51. 5.6.7 Innovative Processes
    52. 5.6.8 RTM Lambo
    53. 5.6.9 Conclusions
    54. 5.7 The Natuzzi Case—Relaunching a CompanyStarting from Its Products
    55. 5.7.1 The Company and Its History
    56. 5.7.2 Today’s Context and Challenges
    57. 5.7.3 Project Setting and Starting
    58. 5.7.4 The New Product Development Process
    59. 5.7.5 Product Architecture and Platforms
    60. 5.7.6 Operational Management of Industrial Platforms
    61. 5.7.7 Design to Cost: Design for Manufacturing and Assembly
    62. 5.7.8 Implementation Phase of the New Principles
    63. 5.7.9 Results
    64. 5.7.10 Lessons Learned
    65. 5.7.11 Next Steps
    66. Resources
    67. Notes
  15. Conclusion: The Secrets to Being a Lean, Innovative, and Winning Company
  16. Appendix: Modularity: The Way to Reduce the Total Product Costs While Drastically Increasing the Industrial Flexibility
  17. Glossary
  18. Bibliography
  19. Index

Product information

  • Title: Lean Development and Innovation
  • Author(s): Luciano Attolico
  • Release date: September 2018
  • Publisher(s): Productivity Press
  • ISBN: 9781351059572