Driving Competitiveness Delivering Growth and Sustainable Jobs 29 May 2013 Dublin Castle, Ireland
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Driving Competitiveness
Delivering Growth and Sustainable Jobs
29 May 2013
Dublin Castle, Ireland
Driving Competitiveness at SteriPack
Cormac Kinahan
BRIEF INTRODUCTION TO STERIPACK
Established in 1994, now with 4 facilities
Clara, Ireland Wroclaw, Poland
10,000 sqm 3,500 sqm
Lakeland, Florida Kuala Lumpur, Malaysia
5,000 sqm 6,500 sqm
What we do?
SteriPack
Medical device
producer
Sterilisation
Hospital
Patient
Customised
flexible
packaging with
breathable
layer
Our Core Activities
Medical Contract
Packaging Manufacturing
Laboratory
Testing
DRIVING COMPETITIVENESS AT STERIPACK
Grow our business
Safe Working Best Highest
Environment Service Quality
Skilled Best ServicePeople
Motivated
Lowest
Cost
What do we need to do ? • Improve faster than our competitors • Grow faster than our competitors • Innovate faster than our competitors
How?
Lean
Using Lean
Principles to
improve
everything we doHave been applying Lean since 2005 Lot’s of successes…. but
So… What exactly does Lean mean?
Origin of the word
It’s not the tools
Lucky spin…… or favourite tool syndrome
It’s not about heroes, you need everyone involved
It’s not in the books
It should not be complicated
It should not create confusion
It’s not about the latest buzzword
Back to the source
What is Lean?
• Rapid recognition & resolution of problems
₋ Create healthy tension
₋ Raise sensitivity to abnormality
• Engagement & empowerment of employees
₋ Increase capacity for problem solvingClear Expectations 1. What is the standard or expectation? 2. Is it clear ? 3. Does everyone understand it? 4. Is it followed?
System thinking
• If you can't describe what you
are doing as a process, you
don't know what you're doing.
• It is not enough to do your
best; you must know what to
do, and then do your best.
– -W. Edwards DemingWhat does that mean for SteriPack?
Goal Question To answer we need..
Clear expectation What do we need to achieve? •Clear targets
•Aligned to business needs
•Standardised processesWhat does that mean for SteriPack?
Goal Question To answer we need..
Clear expectation What do we need to achieve? •Clear targets
•Aligned to business needs
•Standardised processes
Clear, visual How do we know we are •Visual workplace
performance achieving it? •Visual metrics
•Visual standardsWhat does that mean for SteriPack?
Goal Question To answer we need..
Clear expectation What do we need to achieve? •Clear targets
•Aligned to business needs
•Standardised processes
Clear, visual How do we know we are •Visual workplace
performance achieving it? •Visual metrics
•Visual standards
Effective response What happens when we are •Meeting structure
not achieving it? •Escalation process
Who responds? •Support team skillsWhat does that mean for SteriPack?
Goal Question To answer we need..
Clear expectation What do we need to achieve? •Clear targets
•Aligned to business needs
•Standardised processes
Clear, visual How do we know we are •Visual workplace
performance achieving it? •Visual metrics
•Visual standards
Effective response What happens when we are •Meeting structure
not achieving it? •Escalation process
Who responds? •Support team skills
Reflection to improve What have we learned? •Practical Problem Solving
What is the opportunity for •Improvement projects
improvement?Understand the gap, create tension to improve
Ultimate Goal •Long term strategy
•Annual strategy sessions •Driven by business needs
•Hoshin plan
Improvement Target •Improvement challenge informed by knowledge
•Weekly structured meeting looking at of current process capability
performance trends
•Clear tracking of actions
Current Standard •Need clear standards
•Strong Supervision •Need clear targets
•Structured daily meeting
•Close monitoring of performance to target
•Understand gap
•Rapid response
Actual Performance •Current performance must be easy to see
•Clear
•Live if possibleChanging the way we think about our organisation
Traditional thinking Lean mindset
Problem
Value Adding
Problem
Solving
Solving
Supporting
Directive Supportive organisation
Hierarchy
based
organisation
Value addingClear expectation
Schedule now used to drive discussion at all
meetings, creating clear expectation at
supervisor and support team levelVisual Performance: Abnormality highlighted
creating focus and tension
•Focus
•Tension
•Abnormality clear
•Right problem, right prioritiesLive Issues: First priority is the effective response
when the issue occurs
Identifying problem Action agreed Reflection
Lane not working Process restarts What do we learn
from issue?
Can
Op tries to fix do
Practical problem
Team agrees on actions
Need solving session on
5 mins help needed and sets priorities
larger issues
Eg.
Can
Sup called to m/c do •Limp on to break
•Hand hold equipment
Need Leading to possible
15 mins help •Take m/c down and fix (now
strategy changes..
or later)
Sup calls support to Can
Change PM schedule
m/c do
Training
Need
30 mins help Spare parts
Escalate to manager Etc..
level
Can
doEffective Response: Meeting structure designed to
ensure right issues are addressed
OEE SHEET Can do
Shift Walk-
around
Need help
Shift handover
Daily Meeting
Support team
Plant managers
meetingEffective Response: Agenda for daily support team meeting
Timing: 15 min daily
Daily team review
Location: Production Floor Office
Purpose: To monitor day to day performance and agree necessary actions
Agenda Attendees
Production manager
• Safety issues Shift leader
QA
• Customer complaints Planning
Engineering
Shipping
• Shipping condition
• Missed shipments Input
• Incomplete shipments • Data regarding issues from last 24hrs
• Schedule achievement
• Plan vs actual
• Problem escalation Output
• Issues from walkabout
• Agreed actions on action board
• Review actions due
Meeting rules
• On time
• Issues identified, discussion off-lineReflection: Practical problem solving
Reflection must
address:
•Why did it occur,
so that we can
prevent re
occurrence
•How quickly did
we recover, so that
we can find ways
to improve our
capabilityOverall results achieved with the help of Lean
• Throughput time
– Reduced by 80%
• Lost production time
– Reduced by 30%
• Productivity
– Business volume has doubled with headcount
increase of 30%Finally…the roles within the organisation
Meet standard
Continuous Improvement
Innovation
Lean mindset
Frontline Value adding
Support team
Meet standard/ immediate
Continuous Improvement/
Challenge existing
Site Leadership Innovation/ future
challengeTHANK YOU
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