From the automotive industry to the semiconductor industry, manufacturers are suffering from an overabundance of automation methods that they cannot fully comprehend or afford, and glamorous leadership techniques that are simply not sustainable. In this respect, management has lost its way. Beyond World-Class Productivity shows why a return to traditional tools and the power of people can help companies meet today’s challenges in the manufacturing sector. Beyond World-Class Productivity gives readers a balance of essential information, theory and case studies. Readers can expect to gain new insights into engineering approaches to productivity, profitability and real or non-real gain, including: • useful tools for industrial engineering • effectiveness in unit labor costs; • feasibility studies • work simplification; and • developing mind innovation. Practical examples and their accompanying commentary come from the author’s 40 years of real-world experience on the shop floor and in the boardroom. Figures are also provided to illustrate actual productivity results from real companies. Both managers and engineers can appreciate Beyond World-Class Productivity as an enlightening guide to the improvement of productivity and profitability within the manufacturing sector.
Being 'world class' is inextricably linked to being competitive. In this new book the author builds upon Becoming World Class and incorporates his experience of introducing fundamental changes in a number of major organisations. The author discusses how organisations can compete when competitors have also introduced the management innovations of recent years and become `lean'. He argues that success comes not from making business processes more efficient but from the contribution of people and he examines how companies can successfully motivate employees. This is an innovative book which puts forward a new approach for regional development in a global context. The author argues that the three elements of society, the firm and individual must work together to achieve economic growth in these competitive and changing times.
Currently, the challenge for manufacturing organizations is how to achieve their expected profit by continuously improving productivity or reducing costs. Manufacturing organizations have been using different improvement approaches to achieving cost reduction and productivity improvement for years by eliminating various losses and waste structures, such as excess inventory, excessive workforce, excessive capacity, excessive utility consumption, and so on. But is the problem solved? Unfortunately, no! Often manufacturing companies focus on maximizing the flow and meeting customer needs but forget their real aim – to make a profit for their stakeholders. Too many organizations meet customer expectations by seeking to continuously synchronize the flow to market demand but forget to check that they are doing it profitably enough to ensure business continuity and prosperity. When the financial results show that they are not so profitable, it is already too late. Moreover, the strategic direction of systematic improvements according to the sales trend – depending on the current degree of production capacity utilization and its dynamic effects on cost structures – is deficient in many manufacturing companies. So, would the failure of strategic and profitable systematic improvements be an option? Of course not! If the ultimate goal of the organization is to create target profit for stakeholders, then the behavior and strategic systematic improvements must be directed to those scenarios, strategies, tasks, problems, and “production levers” that are best based on creating the target profit. That’s what Strategic Kaizen thinking does – the simultaneous and consistent achievement of systematic operational and financial improvements in a strategic and operational manner. It achieves both synchronous operations at market demand by fulfilling takt time and profitable operations in accordance with profit demand by fulfilling takt profit. In short, the Strategic Kaizen mission is striving for the fulfillment of the ideal state of operations called synchronous profitable operations. In this book, the author, while presenting in detail the seven processes of Strategic Kaizen methodology, exposes the answer to historically incomplete thinking of productivity improvements for target profitability. The uniqueness of the book is reinforced by the detailed presentation of the successful application of the Strategic Kaizen thinking over the years in two multinational manufacturing organizations operating in highly competitive markets, addressing the synchronous profitable operations for both the sales increase scenario and the sales decrease scenario. Moreover, it presents examples of the practical application of the “white-collar” Strategic Kaizen. Essentially, by adopting the Strategic Kaizen methodology presented in detail in this book to consistently achieve the ideal state of a manufacturing organization, organizations will enter a new paradigm of thinking of strategic improvements – Strategic Kaizen thinking – to meet annual and multiannual target profits in a unique and effective way that operates according to its own strategic and operational management system.
This book shows how to consistently obtain annual and multiannual manufacturing target profit regardless of the evolution of sales volumes, increasing or decreasing, using the Manufacturing Cost Policy Deployment (MCPD) system. Managers and practitioners within the manufacturing companies will discover a practical approach within the MCPD system that will help them develop and support their long-term, medium-term, and short-term profitability and productivity strategy. The book presents both the basic concepts of MCPD and the key elements of transforming manufacturing companies through MCPD system, as well as supporting the consistent growth of external and internal profit by directing all systematic and systemic improvements based on meeting the annual and multiannual Manufacturing Cost Improvement (MCI) targets and means for each Product-Family Cost (PFC). This book is unique because it presents two types of systematic and systemic improvement projects for MCI that have been applied over the years in various multinational manufacturing companies operating in highly competitive markets, in order to address the consistent reduction of unit manufacturing costs by improving the Cost of Losses and Waste (CLW). Readers will discover the practical approach of MCI based on a structured approach to MCPD system beyond the traditional approach to manufacturing improvements based mainly on improved time and quality. Therefore, from the perspective of the MCPD system, the multiannual manufacturing target profits are met while the annual and multiannual manufacturing target costs are a predetermined stake and not a result of the improvements already made.
Profitable production planning is and will remain an eternal challenge to ensuring the prosperity and dignity of companies in a global market. Even though there are different approaches to achieving the target profitability through productivity in the production planning stage, these approaches do not guarantee consistent planning, creation, and sustenance of synchronous profitable operations for multiannual and annual target profit. In feedback to this predicament, Alin Posteucă develops a new system called speed-based target profit (SBTP). SBTP is the profitable production management and manufacturing improvement system that approaches production planning to achieve unit speed of target profit for target products through manufacturing cost improvement and bottleneck profitability control for maximum takt time. Managers and practitioners within manufacturing companies will discover a practical approach for cost down and cash up by applying a powerful operational profitable production planning formula to meet profitability expectations through productivity based on strong leadership with the help of a specific system for feedforward, concurrent, and feedback control. Therefore, the SBTP system in this book presents a holistic approach to profitability for target products and the development of its own mechanism since the acceptance of each order from customers to achieve continuous synchronization of all manufacturing processes to market requirements, profitability management, and profitable production planning. The uniqueness of the book is reinforced by a detailed presentation of the successful application of the SBTP system in two case studies, as a way of life and a unit speed of target profit improvement ethos at all hierarchical levels, in two multinational manufacturing companies operating in highly competitive markets in order to address the synchronous profitable operations for both the sales increase scenario and the sales decrease scenario. By adopting the SBTP system, your company will be able to consistently achieve unit speed of target profit in the bottleneck process for fulfilling annual and multiannual target profit as a unique and effective way through a new profitable production planning paradigm that operates according to its own production system.
Achieving a long-term acceptable level of manufacturing profitability through productivity requires the total commitment of management teams and all staff in any manufacturing company and beyond. Awareness and continuous improvement of manufacturing costs behind losses and waste is the core goal of the Manufacturing Cost Policy Deployment (MCPD). Achieving this goal will continually uncover the hidden reserves of profitability through a harmonious transformation of the manufacturing flow, coordinated by the continuous need to improve manufacturing costs. Setting annual targets and means for manufacturing costs improvement (more exactly for costs of losses and waste, and the exact fulfillment of these) requires mobilization of all people in the company to carry out systematic improvement activities (kaizen) and systemic improvement actions (kaikaku) of the processes of each product family cost. The MCPD system was born out of careful observation of the challenges, principles, and phenomena of manufacturing companies and the profound discussions with the people in these companies at all levels. Manufacturing Cost Policy Deployment (MCPD) Transformation: Uncovering Hidden Reserves of Profitability is organized in three sections. The first section presents the concept and the need for an MCPD system from a managerial perspective. In the second section, the transformation of manufacturing companies through the MCPD system is presented, more precisely the details of the initial steps of the implementation of the MCPD, the three phases and the seven steps of the MCPD, and the elements necessary for a constant and consistent application of the MCPD. In the last section, there are two examples of the MCPD implementation in two different types of industries, namely, manufacturing and assembly industry and process industry, and two case studies for the improvement of manufacturing costs for each (cost of equipment setup loss, using kaizenshiro; replacement of bottleneck equipment and associated costs of losses, using kaikaku; cost of quality losses with improving operators’ skills to sustain quality, using kaizen; and cost problem solving with the consumption of lubricants for one of the equipment, using A3).
Providing a reasonable level of profitability through productivity is - and will remain - one of the fundamental tasks of the management teams of any production company. Manufacturing Cost Policy Deployment (MCPD) and Methods Design Concept (MDC): The Path to Competitiveness contains two new methodologies to improving the productivity and profitability of production systems that continuously increase competitiveness: Manufacturing Cost Policy Deployment (MCPD) and Methods Design Concept (MDC). Both MCPD and MDC are the result of long-time synthesis and distillation, being implemented successfully, totally or partially, in many companies. The MCPD system, developed by Alin Posteucă, is a manufacturing cost policy aimed at continuous cost improvement through a systemic and systematic approach. The MCPD is a methodology that improves the production flow driven by the need for Manufacturing Cost Improvement (MCI) for both existing and future products through setting targets and means to continuously improve production process productivity for each product family cost. The MDC, developed by Shigeyasu Sakamoto, design the effective manufacturing methods using a tool of engineering steps identifying ideas for increasing productivity called KAIZENSHIRO (improvable value as a target). The MDC results on production methods lead to effectiveness of work measurement for performance (P) and to knowledge and improvement of production control and planning as utilization (U), in order to achieve labor target costs. The combination of MCPD and MDC methodologies can provide a unique approach for the managers who are seeking new ways for increasing productivity and profitability to increase the competitive level of their manufacturing company.
The two volumes IFIP AICT 397 and 398 constitute the thoroughly refereed post-conference proceedings of the International IFIP WG 5.7 Conference on Advances in Production Management Systems, APMS 2012, held in Rhodes, Greece, in September 2012. The 182 revised full papers were carefully reviewed and selected for inclusion in the two volumes. They are organized in 6 parts: sustainability; design, manufacturing and production management; human factors, learning and innovation; ICT and emerging technologies in production management; product and asset lifecycle management; and services, supply chains and operations.
Beat the odds with a bold strategy from McKinsey & Company "Every once in a while, a genuinely fresh approach to business strategy appears" —legendary business professor Richard Rumelt, UCLA McKinsey & Company's newest, most definitive, and most irreverent book on strategy—which thousands of executives are already using—is a must-read for all C-suite executives looking to create winning corporate strategies. Strategy Beyond the Hockey Stick is spearheading an empirical revolution in the field of strategy. Based on an extensive analysis of the key factors that drove the long-term performance of thousands of global companies, the book offers a ground-breaking formula that enables you to objectively assess your strategy's real odds of future success. "This book is fundamental. The principles laid out here, with compelling data, are a great way around the social pitfalls in strategy development." —Frans Van Houten, CEO, Royal Philips N.V. The authors have discovered that over a 10-year period, just 1 in 12 companies manage to jump from the middle tier of corporate performance—where 60% of companies reside, making very little economic profit—to the top quintile where 90% of global economic profit is made. This movement does not happen by magic—it depends on your company's current position, the trends it faces, and the big moves you make to give it the strongest chance of vaulting over the competition. This is not another strategy framework. Rather, Strategy Beyond the Hockey Stick shows, through empirical analysis and the experiences of dozens of companies that have successfully made multiple big moves, that to dramatically improve performance, you have to overcome incrementalism and corporate inertia. "A different kind of book—I couldn't put it down. Inspiring new insights on the facts of what it takes to move a company's performance, combined with practical advice on how to deal with real-life dynamics in management teams." —Jane Fraser, CEO, Citigroup Latin America
Cusumano and Nobeoka the bestselling coauthors of MICROSOFT SECRETS, reveal how Toyota and other leading automobile makers achieve remarkable savings and growth by using shared technology and organisational capabilities across multiple projects. THINKING BEYOND LEAN explains how to manage product development more strategically and efficiently, focusing on a concept the authors call "multi-project management". In contrast, most books on product development deal with how to manage products one at a time. The basic idea of multi-product management is to create new products that share key components but to utilise separate development teams that ensure each product will differ enough to attract different customers. Taking up where THE MACHINE THAT CHANGED THE WORLD left off, THINKING BEYOND LEAN will change the way leaders do business now and in the future.
