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Lean Six Sigma and Value Stream Mapping

§The current state VSM was created in the Review Phase and is analysed in the Investigar Phase for improvement opportunities.
§There are many lean tools & techniques which can be used but the majority of these are outside the scope of EGB training (see EBB Session 2).
§However, the majority of Lean tools & techniques are common sense improvements that become obvious after modelling the whole value stream.
§Potential improvements opportunities are represented as Kaizen Bursts (call-outs) on the VSM, at the appropriate place within the value stream.
§Kaizen is Japanese for improvement.

Black Belt training during the summer in Würzburg

during the months of July and August there will be several green and black belt session for Lean Six Sigma; all events will be held in the Maritim Hotel in Würzburg.

Zentral und unweit des Hauptbahnhofs erwartet das stilvolle Maritim Hotel Würzburg seine Gäste. Direkt am Mainufer gelegen, bietet es einen herrlichen Ausblick auf die Festung Marienberg, die hoch über der Stadt thront. Die barocke Innenstadt mit ihren zahlreichen Sehenswürdigkeiten lässt sich bequem zu Fuß erkunden. Elegantes Ambiente, verbunden mit herzlicher Gastfreundschaft, und der direkte Anschluss an das Congress Centrum Würzburg schaffen ideale Voraussetzungen für jeden Reisezweck.

 

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In the Lean Six Sigma methodology is Level Scheduling an important concept.

In the Lean Six Sigma methodology is Level Scheduling an important concept;

‘ The process of smoothing production volume and model mix over a given time period.’

This major component of the Lean philosophy is to smooth out the flow of value so that minimal waste inventory and waiting are incurred. To be able to provide a smooth flow when many product types are produced on the same lines it is necessary to even out the schedule, so Level Scheduling is often used. Benefits to be gained from employing level scheduling include; reduces inventory of raw materials, reduced quantity of finished goods and reduced lead times.

Not only the scheduling will do the job, with Lean Six Sigma, it will also require implementing other process improvements, e.i.;

• replacing the existing order entry process with an online system

• cross-training engineering / operations
• automating the BOM
• standardising parts where possible to allow suppliers to build-to-stock
• developing blanket orders to reduce the work involved in the purchasing
• initiating purchasing in parallel with the customer approval process
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Europe has a great economy. Why do we need to worry about productivity?

Europe’s economy has experienced seemingly high productivity over the past decades, due largely to the massive capital investments in various sectors. However, the real issue is Europe’s productivity growth rate (how quickly we’re improving our productivity).

Over the recent years, Europe’s productivity has been lower then China’s and India’s productivity growth rate. Europe doesn’t fare any better when compared to countries around the world. As an economy, we start to lag behind, but on the macroeconomic level, Europe’s prospects remain very rosy, but from a microeconomic perspective our performance is of serious concern.

Compared to other developed economies, Europe has weakening labour productivity growth and sliding real income growth. Concerns about weak productivity growth will only intensify as structural changes in the global economy shift the engines of economic growth to China, India, and Brazil.

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Why is Europe performing so poorly in productivity growth?

Various factors have contributed to our poor productivity growth:

  • slow or no adoption of new processes and technologies to enhance efficiency
  • underinvestment in machinery, equipment, and technology
  • lack of innovation to enable the creation of new products and technologies
  • lagging workplace re-organization and worker training

The EU, in close partnership with industry and other levels of governments, is working on a strategic three-pronged approach to address the productivity growth challenges faced by Europe:

  • education and awareness of productivity
  • productivity enhancement tools
  • policies to promote and enhance productivity and innovation
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So, what is the EU doing to address the productivity gaps?

The EU, in close partnership with industry and other levels of governments, is working on a strategic three-pronged approach to address the productivity growth challenges faced by the EU:

  • education and awareness of productivity
  • productivity enhancement tools
  • policies to promote and enhance productivity and innovation
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Does Europe have an enough young and growing population? Will that be enough to address the productivity gaps?

Europe’s population is aging. More and more workers, especially the Baby Boomers, are or will be approaching retirement age in the very near future. When this group of workers begins to leave the labour force, it will place great demands on the existing workforce and on the economy as a whole.

Europeans relocating from other parts of the continent or immigration will not address the full shortage of workers in the European economy. In order to successfully meet the challenges of the demographic shift and the high demands of today’s employers, we need to tackle the labour issue from both the supply and demand sides of the equation.

It is important to understand that all companies compete in a global market place and, more often then not, are competing with companies with a greater cost advantage. To ensure European companies are able to sustain themselves, they must look at how they can improve operational efficiencies to maintain their competitive advantage.

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Lean Six Sigma , labour and productivity

What is the difference between labour and multifactor productivity?

Labour productivity is measured as real output per hour worked. Multifactor productivity, a broader measure of efficiency, is measured as real output per unit of combined inputs (capital, labour, etc). In essence, this is the efficiency of all or your factors of production.

Progress in productivity constitutes a significant source of increased standard of living. In the long run, increases in real hourly earnings are tied to productivity gains. The European economy has been able to produce more goods and services over time, not by requiring a proportional increase of resources such as labour, but by making production more efficient. The overall performance of any company, operating in any industry, is comprised of at least seven key criteria:

  • effectiveness
  • efficiency
  • innovation
  • productivity
  • profitability
  • quality
  • quality of work life
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