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Final Conference – ERIPSME case study

The German experience

Jens Mehmann

Prof. Dr. Thorsten (ERIP Project Manager)

Hochschule OsnabrückInstitut für Management und TechnikAm Wall Süd 16 E-Mail: t.litfin@hs-osnabrueck.de49808 Lingen URL: www.mut.fh-osnabrueck.de

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Overview1. Authors and Institute

2. German Project Partner

3. Case one – Lean Production

1. SME – Grimm

2. SME – Siems

3. SME – Bley

4. SME – Sport Import

4. Case two – Lean Administration

1. SME – L-Druck

2. SME – Duo Collection

5. Conclusion

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Jens Mehmann: Research Assistant ERIP University of Applied Sciences Osnabrueck, Department for Management and Engineering,

Prof. Dr. Thorsten Litfin: Project Manager ERIPUniversity of Applied Sciences Osnabrueck Department for Management and Engineering

University of Applied Sciences Osnabrueck:• Faculty of Agricultural Sciences and Landscape Architecture• Faculty of Engineering and computer science• Faculty of Economics and Social Sciences• Faculty of Management, Culture and Technology• Institute of Music

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German Project Partners

ERIP – A strong project with different branches and a lot of experiences

Organizations and Institutes Testing SMEs

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Case one – Lean Production Grimm

• 1. Workshop in the production:• Purchasing of a new storage

system in the cutting area.• Independent introduction of

additional lean elements like KANBAN…

• 2. Workshop in the administration• Development of a matrix

organization with responsibilities• Improvement of the processes by

increasing the transparency

Branch of industry: Metal processingEmployees: 66Contact: Oliver Grimm

Challenge:• Introduction of lean

management methods in the production

• Analysis of business processes in the administration

Results

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Branch of industry: Window productionEmployees: 90Contact: Uwe Siems

Challenge:• Introduction of lean

management methods for workplace organization in the production

Results

Case one – Lean Production Siems

• Establish and maintain a workplace organization in the production area of the end stop

• Independent introduction of workplace organization in the administrative areas

• Constant focus on process improvement through team leader rounds, company visits, etc.

• Continuation of self-improvement measures

• Total Logistics Analysis• Value stream analysis in the

production• …

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Branch of industry: meat and meat productsEmployees: 230Contact: Rolf Bley

Challenge:• Introduction of lean

logistics and the lean change methodology for SME in the company,

Results

Case one – Lean Production Bley

• Construction of a storage structure• Definition of ordering and provisioning

processes and development of an action plan

• Optimization of the storage locations using ABC-clustering

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Branch of industry: Bicycle wholesaleEmployees: 55Contact: Ralf Fischer

Challenge:• Introduction of lean

management methods for workplace organisation

Results

Case one – Lean Production Sport Import

• The transit time in the goods receipt has been reduced by 10%

• Based on process analysis are numerous optimization potentials identified and measures have been defined

• Gradually more departments will be optimized

• The change agent is driving independently further optimization measures

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Branch of industry: PrintingEmployees: 55Contact: Thomas Ihnen

Challenge:• Analysis of business

processes between two locations

Results

Case two – Lean Administration L-Druck

• Reduction of cycle time in an administrative process of 16 hours to 2 hours.

• Independent introduction of a kanban card in the paper logistics

• Introduction of standards in the production, as well as in the administration

• Permanent focus on process optimization for the responsible persons

• Direct cost savings as part of improvement initiatives

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Branch of industry: Wholesale FurnitureEmployees: 10Contact: Jan Steinhoff

Challenge:• Transparent

representation of the processes and staff training in the methods of Lean Administration

Results

Case two – Lean Administration Duo Collection

• All employees could be illustrated the process

• Based on an information structure analysis the e-mail traffic is very transparent

• Integrated a lot of standards for the workflow optimization

• Development of an electronic data exchange with suppliers and customers (currently, approximately 80% of invoices are transmitted via EDI interfaces)

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ConclusionsGeneral:• Effective methodology for resource saving in the SME• The ERIP Lean change methodology works in the production as well as in the

administration• Different branches can work with the methodology• The companies can learn from each other• A lot of SMEs have a high potential to modify the processes

SMEs need projects like ERIP

Experiences:• Contact Persons and Change Agents are needed in the companies• The commitment of the Management is elemental needed• Different companies have different potentials• The self-initiated implementation is necessary and the key to a sustainable

implementation

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Your questions please?