Professional Documents
Culture Documents
David Brunt
Mobility
Acquisition Maintenance
Value
- in the Eyes of the Consumer
Acquisition Maintenance
) The right car in the ) Fixed right first
right place at the time on time
right time ) At the right price
) At the right price Customer
Fulfilment
Quality &
Delivery
Not Measured!
Value:
Extending the Concept
Right First Ease of the
Time Event
Quality &
Convenience
On Time Delivery
Acceptable Distance,
Price Time,
Remembering,
etc.
Service
How Information,
customers Care,
are treated Consideration
Process Inventory
Box Push
Data
Box
What are Your Value Streams?
Suppliers R&D Manufacture Assembly Distribution Customers
Secondary Primary
Support the Primary
What people pay for
Value Streams
Manufacture
Distribution
Distribution
Product Family
Work Plan
Focus on One Product Family
We often think
) Determine product/service families via every job is
Similar downstream steps & equipment different
Process Steps & Equipment
Service Book in Cust. Order Work- Test Cust.
Valet Invoice
Letter Car Meetg Parts shop Car H-over
Service
X X X X X X X X X
Products/Services
30
25
Time (Hours)
20
15
10
0
Jobs
Planned Taken
Cumulative Time Taken per Job
400
350
300
Time (Hours)
250
200
150
100
50
0
Jobs
Cumulative Planned Time Cumulative Taken Time
Cumulative Frequency
120.00%
100.00%
80.00%
Occurrences
60.00%
40.00%
20.00%
0.00%
Hours
Cumlative %age (Planned) Cumlative %age (Actual)
Current State Drawing
Understanding how the process
Product Family currently operates
) Material & information flows
Current State Drawing
) Draw using icons
) Start with the door to door
flow
Future State Drawing ) Have to walk the flow & get
actuals
No standard times
Work Plan Draw by hand, in pencil
) Foundation for the
Future State
1 Day 1 Day
5 Mins
Service Reminder
Service Reception
Manufacturer Appointment
Parts Warehouse 3SA, 1 Books
Inform Parts
Cost & Inform
C/T
9 Mins Customer Requirements
A/W Cars 1-7 years old
Invoice 1,2,3,4 Class, 1500 hours
Cycle Min sold/month.
A/W Time
5
s Lead Time = 7 Days
50% Service, 20%
Parts Workshop Control Service & Repair, 20%
Warranty, (20% of all
jobs have MOT), 10%
Breakdowns
Reserve
C/T
5
Min
s Give Job C/T 5 Mins Time up Job
Min Cycle Min
A/W C/T 5 A/W Job C/T 3 Mins 10
s A/W Time s
A/W Inf C/T 1 Mins
Additional Work
(A/W)
Park Car Inspect Car Carry out Road Test Valet Handover
Work
s
CT=2 min
BOOK
ADMIN.
IN
1 A/W510
3 min
CT=5 min DROP
SERVICE COST & HAND
Dist.= 0 OFF CAR INFORM INVOICE
ADVISOR Q = N/A INFORM OVER
3 A/W510
CT=10 min
CT=5 min CT=2 min CT=5 min CT=10 min
Dist.=30m
ON SITE PARK Del.=N/A
Q = N/A
DRIVER CAR Q = N/A
1 A/W510
CT=5 min
2 min 1 min
WORKSHOP Dist.=30m GIVE TO TIME GIVE TO GIVE TO TIME
CONTROL INFORM
Q = N/A TECH JOB TEST VALET UP
1 A/W510
90 min CT=15 min CT=3 min CT=2 min CT=2 min CT=2 min CT=10 min
TECHS. INSPECT GET
DO JOB
+ A/W PARTS
10 A/W510 1 min
TECH
CT=15 min CT=1 min CT=60 min
TESTER Dist.=30m Dist.=120m Dist.=120m TEST
Q = N/A Q = N/A Q = N/A
1 A/W510
30 min CT=15 min
VALET Q = N/A VALET
2 A/W510 5 min
30 min CT=20 min
PARTS CT=5 min CHECK CT=5 min Dist.=30m
PARTS
RESERVED Dist.=30m STOCK Dist.=0m Q = N/A
2 A/W510 Q = N/A Q = N/A
Customer Requirements
Cars 1-7 years old 1,2,3,4 Class, 1500 hours sold/month.
Lead Time = 3 Days
50% Service, 20% Service & Repair, 20% Warranty, (20% of all jobs have
MOT), 10% Breakdowns
Current State
VA NVA
GO
CUSTOMER CUST.
AHEAD
CT=2 min
ADMIN.
BOOK 0 5
IN
1 A/W510
3 min
DROP
20 12
CT=5 min
SERVICE COST & HAND
Dist.= 0 OFF CAR INFORM INVOICE
ADVISOR Q = N/A INFORM OVER
3 A/W510
CT=10 min
CT=5 min CT=2 min CT=5 min CT=10 min
Dist.=30m
ON SITE
DRIVER Q = N/A PARK 0 5
Del.=N/A
CAR Q = N/A
1 A/W510
2 min 1 min
0 34
CT=5 min
WORKSHOP Dist.=30m GIVE TO TIME GIVE TO GIVE TO TIME
CONTROL INFORM
Q = N/A TECH JOB TEST VALET UP
1 A/W510
90 min CT=15 min
65 16
CT=3 min CT=2 min CT=2 min CT=2 min CT=10 min
TECHS. INSPECT GET
DO JOB
+ A/W PARTS
10 A/W510 1 min
TECH
15 2
CT=15 min CT=1 min CT=60 min
TESTER Dist.=30m Dist.=120m Dist.=120m TEST
Q = N/A Q = N/A Q = N/A
1 A/W510
30 min
20 2
CT=15 min
VALET Q = N/A VALET
2 A/W510 5 min
30 min CT=20 min
PARTS
PARTS CT=5 min CHECK CT=5 min Dist.=30m 0 11
RESERVED Dist.=30m STOCK Dist.=0m Q = N/A
2 A/W510 Q = N/A Q = N/A 12087
5 min 15 min 15 + 3 + 5 + 5 + 2 + 2 + 1 7 min 7 min 15 min
10 min 15 min 50 min 15 min 20 min 10 min
Customer Requirements
Cars 1-7 years old 1,2,3,4 Class, 1500 hours sold/month.
Lead Time = 3 Days
50% Service, 20% Service & Repair, 20% Warranty, (20% of all jobs have
MOT), 10% Breakdowns
Current State
VA NVA
GO
CUSTOMER CUST.
AHEAD
CT=2 min
ADMIN.
BOOK 0 5
IN
1 A/W510
3 min
DROP
20 12
CT=5 min
SERVICE COST & HAND
Dist.= 0 OFF CAR INFORM INVOICE
ADVISOR Q = N/A INFORM OVER
3 A/W510
CT=10 min
CT=5 min CT=2 min CT=5 min CT=10 min
Dist.=30m
ON SITE
DRIVER Q = N/A PARK 0 5
Del.=N/A
CAR Q = N/A
1 A/W510
2 min 1 min
0 34
CT=5 min
WORKSHOP Dist.=30m GIVE TO TIME GIVE TO GIVE TO TIME
CONTROL INFORM
Q = N/A TECH JOB TEST VALET UP
1 A/W510
90 min CT=15 min
65 16
CT=3 min CT=2 min CT=2 min CT=2 min CT=10 min
TECHS. INSPECT GET
DO JOB
+ A/W PARTS
10 A/W510 1 min
TECH
15 2
CT=15 min CT=1 min CT=60 min
TESTER Dist.=30m Dist.=120m Dist.=120m TEST
Q = N/A Q = N/A Q = N/A
1 A/W510
30 min
20 2
CT=15 min
VALET Q = N/A VALET
2 A/W510 5 min
30 min CT=20 min
PARTS
PARTS CT=5 min CHECK CT=5 min NVA
Dist.=30m 0 11
82 min
RESERVED Dist.=30m STOCK Dist.=0m Q = N/A
Q = N/A Q = N/A VA 120 min12087
2 A/W510
5 min 15 min 15 + 3 + 5 + 5 + 2 + 2 + 1 7 min 7 min 15 min
10 min 15 min 50 min 15 min 20 min 10 min
Customer Requirements
Cars 1-7 years old 1,2,3,4 Class, 1500 hours sold/month.
Lead Time = 3 Days
50% Service, 20% Service & Repair, 20% Warranty, (20% of all jobs have
MOT), 10% Breakdowns
Current State
VA NVA
le GO
CUSTOMER CUST.
Availabrs? AHEAD
a
Loan C for
Delay ation
is CT=2 min
BOOK ect
Incorr sis Author 0 5
ADMIN. o
IN Diagn
1 A/W510
ect
3 min Incorr g
CT=5 min DROP Bill in 20 12
SERVICE lt COST & HAND
ADVISOR
Dist.= 0 OFF CAR Difficuk INFORM
INFORM INVOICE
OVER
Q = N/A
to P ar
3 A/W510
CT=10 min
CT=5 min CT=2 min CT=5 min CT=10 min
king
No Par es
Dist.=30m
ON SITE PARK rd 0 5
Del.=N/A
DRIVER Q = N/A
C ar H a d or Spac
Wait frson
CAR Q = N/A
to Fin or
1 A/W510 Wait frson N e xt P
e
2 emin 1 min
N e xt P
0 34
CT=5 min
WORKSHOP Dist.=30m GIVE TO TIME GIVE TO GIVE TO TIME
CONTROL INFORM
Q = N/A TECH JOB TEST VALET UP
1 A/W510
90 min CT=15 min
65 16
CT=3 min CT=2 min CT=2 min CT=2 min CT=10 min
TECHS. INSPECT GET
DO JOB
for
+ A/W
Delay ation PARTS or
Wait f r
is 1 min
Author
10 A/W510
TECH Tes te
15 2
CT=15 min CT=1 min CT=60 min
TESTER Dist.=30m Dist.=120m Dist.=120m TEST
Q = N/A Q = N/A Q = N/A
or
1 A/W510 Wait f for
Parts Searchls 30 min
Too 20 2
CT=15 min
VALET Q = N/A VALET
ot
Parts n le
2 A/W510 Availab Parts
g
5 min
Waitin 30ormin
Wait f
CT=20 min
PARTS
PARTS CT=5 min CHECK CT=5 min
Valet
NVA
Dist.=30m 0 11
82 min
RESERVED Dist.=30m STOCK Dist.=0m Q = N/A
Q = N/A Q = N/A VA 120 min12087
2 A/W510
5 min 15 min 15 + 3 + 5 + 5 + 2 + 2 + 1 7 min 7 min 15 min
10 min 15 min 50 min 15 min 20 min 10 min
Future State Questions
) What is the Takt Time?
) Where can we use continuous flow
) Where do we have to use supermarket pull systems?
) At what single point in the production chain do we
trigger production?
) How do we level the production mix at the
pacemaker process?
) What increment of work will we release and take
away at the pacemaker process? (levelling the
volume)
Supporting Improvements
) What process improvements will be necessary?
(e.g. uptime, changeover & training)
TAKT Time
1st 2nd 3rd 4th
Totals
Year Year Year Year
Available Time
Work Time
480 min
Required
60 90 120 240
No. of Jobs
Demand 30 cars
Booked in
4 3 2 2
34% of Total Time
Demand
10 cars
Booked in
240 270 240 480 1230
Standard No. of
Time Slot
30 min
Work Cycles
8 9 8 16 41
SERVICE
ADVISOR
P/D
TECHN.
TIME KEYS
PLANNING 1
2
3
CT=60 min
Dist.=60m
VALET Q = 99%
PARTS
Physical Flow After Sales Future State Value Stream
Information Flow
CUSTOMER
SERVICE
ADVISOR
P/D
TECHN.
TIME KEYS
PLANNING 1
2
3
CT=60 min
Dist.=60m
VALET Q = 99%
PARTS PARTS
PARTS
Physical Flow After Sales Future State Value Stream
Information Flow
CUSTOMER CUSTOMER
SERVICE
BOOKING
ADVISOR
PDT
CT=5 min
P/D Dist.= 0 PRE-
TECHN. Q = 100% DIAGNOSIS
CT=60 min
Dist.=60m
VALET Q = 99%
PARTS PARTS
PARTS
Physical Flow After Sales Future State Value Stream
Information Flow
CUSTOMER CUSTOMER
SERVICE
BOOKING
ADVISOR
PDT
CT=5 min
P/D Dist.= 0 PRE-
TECHN. Q = 100% DIAGNOSIS
CT=60 min
Dist.=60m
VALET VALET
Q = 99%
CT=20 min
Dist.=60m
PARTS PARTS
Q = 100%
PARTS
Physical Flow After Sales Future State Value Stream
Information Flow
CUSTOMER CUSTOMER
SERVICE
BOOKING INVOICE HANDOVER
ADVISOR
PDT
CT=5 min CT=5 min CT=10 min
P/D Dist.= 0 PRE-
Del.=N/A
TECHN. Q = 100% DIAGNOSIS
Q = N/A
CT=60 min
Dist.=60m
VALET VALET
Q = 99%
CT=20 min
Dist.=60m
PARTS PARTS
Q = 100%
PARTS
Physical Flow After Sales Future State Value Stream
Information Flow VA NVA
CUSTOMER CUSTOMER
SERVICE 10 10
BOOKING INVOICE HANDOVER
ADVISOR
PDT
CT=5 min
P/D Dist.= 0 PRE-
CT=5 min CT=10 min
30 0
Del.=N/A
TECHN. Q = 100% DIAGNOSIS
Q = N/A
60 0
TECHS. TECHNICIAN TECH
VALET
CT=60 min
Dist.=60m 20 0
VALET VALET
Q = 99%
CT=20 min
Dist.=60m
PARTS PARTS
Q = 100% NVA 145 min
Service Reception
Manufacturer Appointment
Parts Warehouse 3SA, 1 Books Arrival
Booking C/T 5 Mins
Reserve
C/T
5
Min
s Time up &
A/W C/T 5
Min OXOX Invoice
s
Cycle Min
15
Time s
Additional Work
(A/W)
0-4
CUSTOMER CUSTOMER
SERVICE
BOOKING INVOICE HANDOVER 10 10
ADVISOR
CT=60 min
Valet Loop
VALET
Dist.=60m
VALET 20 0
Parts Loop Q = 99%
CT=20 min
Dist.=60m
PARTS PARTS NVA 145 min
Q = 100%
Process
Point
Kaizen
But How do we Really Implement
& Sustain a Change?
) Develop a cadre of dealers from a network
Six dealers per club
Drive improvement through competition within the
group
) Teach these pioneers to see their business as
a series of processes
Measure how well these processes deliver what
customers want
Look at the costs and time spent fixing processes
that dont work
) And recognise that the answer is to redesign
each process not push people harder!
Progress Measure
) Time will tell
) Progress will be evident from
Dealers attitudes and efforts, and
Level of change achieved
) whether theyll become self-sustaining
) i.e. motivated to continuously improve:
Processes
Knowledge of Lean tools & techniques
) Once there are some examples it will be
easier for others to follow
Presentation Framework
Agenda
) Introduction & Industry Background
) Value & Waste applied to the dealer
) A Value Stream Map for servicing a car
) How manufacturers and dealers can
achieve the change
) Conclusion
Creating the Lean Car Dealer
A Value Stream Mapping Workshop
Purpose
) To introduce how lean can be applied in a
service organisation
Through applying 5 Lean Principles
) To share a road map for implementation
Conclusion
) Always start with the principles
Teach your own people how to add value &
eliminate waste
) Design the system so that value flows & so
that problems can be flushed out
People need to be able to solve rather than be
blamed for problems
) Today nobody has to do this.unless one
of your competitors starts.then the
agenda will change from if to how as
it did in manufacturing over 10 years ago
Creating the Lean Car Dealer
David Brunt