The Vative Lean Business Health Check is a Lean diagnostic tool used to evaluate multiple business units and their performance in relation to the 7 Lean pillars:

  • Process Orientation, Pull Systems, Perfect Quality, Flexibility, Standardisation, Transparent Processes, Continuous Improvement & Associate Involvement and Empowerment

The Lean Audit uses known benchmark standards achieved by leading companies practicing Lean. This is a comprehensive assessment which should be used to determine company vision and goals. It also measures process improvement and Lean progress over time.

The Vative Lean Business Health Check can be conducted in any one or all of the following business departments or sections and can be tailored to both production and service environments – Production or Service Areas, Procurement, Processing Orders / Requests in Administration, Processing Customer Orders / Referrals, Internal Logistics, Incoming and Finished Goods Stores, Associate Involvement and an overall Level of Implementation.

Application and Benefits of the Lean Business Health Check audit:

  • Generally conducted as a baseline and every 6-12 months in line with the Lean business vision planning
  • Measures against benchmark standards of world class businesses practising Lean
  • Allows for assessment of each department individually and also the company overall
  • Ideal to plan business improvement, productivity and growth
  • Ideal to measure success of action plans and projects implemented

 

Strive for excellence, and pave the road to reach it!
 

 

The Lean Business Health Check measures the following Business KPI’s:

Example of how the Lean Business Health Check may be used in different industries

 

In a manufacturing environment

In an office environment

Work in Progress process measures:

  • Inventory Total (Average over 6 months) – ratio of total stock value divided by demand/day

Work in Progress process measures:

  • Inventory Total (Average over 6 months) – ratio of total orders in process and  their value divided by the demand / day

Quality measures:

  • Total rejects External returns No. of & Percentage of.

Quality measures:

  • Total mistakes found in the next process. No. of & Percentage of 

Productivity measures:

  • Total Labour required to make 100 pieces (min/100 pieces)

Productivity measures:

  • Total Labour required to complete XX No. of orders (minutes per order)

Structural Cost measures:

  • Overheads as either a cost or percentage in addition to labour rate

Structural Cost measures:

  • Overheads as either a cost or percentage in addition to labour rate

Dock to Dock Time

  • Lead time for materials to move from supplier to the customer 

Overall Order Completion Time

  • Lead time for orders to move from initial order creation/ request to final order completion and delivery to the “customer” 

The Lean Business Health Check has application in many other environments such as Finance, Logistics and Healthcare, Construction, Mining etc..

 

Download Free PDF to learn more about Lean Business Health Check. Contact us to know how Vative can help implement Lean Six Sigma’s Lean Business Health Check tool to help you achieve your goals!

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