LEAN Administration / LEAN Office
The Effective Office
Make your Office and Administration a source of competitive advantage by incorporating Lean Office and Lean Administration principles.
If you are responsible for an office/business process or are the leader of a team responsible for an office/business process, Lean Office / Lean Administration can provide you with a powerful-yet-simple, tools to make the business process value stream visible and to use these tools to make business processes more effective. Based on the principles of the ‘Lean Thinking’.
WHY APPLY LEAN THINKING in an OFFICE
In a Typical Company
- Over 60% of labour Dollars are in Administration
- Over 50% of the Product Delivery Lead time is in the Office
( Order Entry, Design, Planning, Scheduling, Provisioning )
- Cash Flow managed in the Office
- Accounts Payable, and accounts receivable
- The progress you can make in your value creation processes is greatly limited by what happens in the Office
Organisations who have successfully implemented Lean Thinking in Office / Administration have seen the following improvements:
- Order Entry from 2 days to 7 minutes
- Engineering changes 7 months to 1 month
- Errors reduced by 75%
- Accounts Payable from 2 days to 4 hours
- New Product Quote 35 days to 3 days
Lean Manufacturing focuses on material flows. Lean office / Admin focuses on ‘Information flows’ and blockages. The blockages are removed by identifying and removing the classical 7 types of waste, which have also been translated into lean office / admin examples.
Typically waste on the administrative side falls into categories like:
- Data entry errors, missing information
- Analysis paralysis – in the factory this looks like delays, in the office it looks ugly
- Unnecessary approvals – another form of delays
- Excessive rework – never time to do it right, but always time to do it again
- Delay times in work queues, in-boxes, etc.
- Communications redo loops with multiple call-backs to get to results that should have been done right the first time (DIRTFT)
- Missing or incorrect information
For further information on Lean Administration / Lean Office, call 61 (02) 9683 6200 or email email@example.com.