{"id":1050,"date":"2021-12-16T07:15:53","date_gmt":"2021-12-16T06:15:53","guid":{"rendered":"https:\/\/pranckh.com\/2021\/12\/16\/cost-out-implementing-lean-value-streams\/"},"modified":"2021-12-16T07:28:34","modified_gmt":"2021-12-16T06:28:34","slug":"cost-out-implementing-lean-value-streams","status":"publish","type":"post","link":"https:\/\/pranckh.com\/en\/2021\/12\/16\/cost-out-implementing-lean-value-streams\/","title":{"rendered":"Cost out \u2013 Implementing Lean Value Streams"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"1050\" class=\"elementor elementor-1050 elementor-251\" data-elementor-settings=\"[]\">\n\t\t\t\t\t\t\t<div class=\"elementor-section-wrap\">\n\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-2a6e8ba elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2a6e8ba\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-dc5f808\" data-id=\"dc5f808\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-a8e044b elementor-widget elementor-widget-theme-post-featured-image elementor-widget-image\" data-id=\"a8e044b\" data-element_type=\"widget\" data-widget_type=\"theme-post-featured-image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img width=\"800\" height=\"400\" src=\"https:\/\/pranckh.com\/wp-content\/uploads\/2021\/12\/Ferdinand-R-Pranckh-interim-manager-projekt-01.jpg\" class=\"attachment-large size-large\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/pranckh.com\/wp-content\/uploads\/2021\/12\/Ferdinand-R-Pranckh-interim-manager-projekt-01.jpg 800w, https:\/\/pranckh.com\/wp-content\/uploads\/2021\/12\/Ferdinand-R-Pranckh-interim-manager-projekt-01-300x150.jpg 300w, https:\/\/pranckh.com\/wp-content\/uploads\/2021\/12\/Ferdinand-R-Pranckh-interim-manager-projekt-01-768x384.jpg 768w\" sizes=\"(max-width: 800px) 100vw, 800px\" \/>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-14eae6c elementor-widget elementor-widget-theme-post-title elementor-page-title elementor-widget-heading\" data-id=\"14eae6c\" data-element_type=\"widget\" data-widget_type=\"theme-post-title.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">Cost out \u2013 Implementing Lean Value Streams<\/h3>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-ab9949c elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ab9949c\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-08bfbfd\" data-id=\"08bfbfd\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c560f4c elementor-widget elementor-widget-text-editor\" data-id=\"c560f4c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.5.1 - 20-12-2021 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#818a91;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#818a91;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p><strong>Company:<br \/><\/strong>Miba Friction Division<br \/>Laakirchen, Austria<\/p>\n<p><strong>Information: <br \/><\/strong>1B \u20ac manufacturer of high-tech composite-components for clutches and brakes in automotive and off-road applications<\/p>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-acfd5cc\" data-id=\"acfd5cc\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-9709aff elementor-widget elementor-widget-text-editor\" data-id=\"9709aff\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Period:<br \/><\/strong>February 2018 \u2013 January 2021<\/p>\n<p><strong>Role:<\/strong><\/p>\n<ul>\n<li>Managing Director Operations<\/li>\n<li>COO Friction Division<\/li>\n<li>Interim Assignment<\/li>\n<\/ul>\n<p><strong>Responsibility:<\/strong><\/p>\n<ul>\n<li><em>200 Mio <\/em><em>\u20ac<\/em><em> business, accountable for six global sites, 1300-employees <\/em> <\/li>\n<li>In particular: the plant was the Slovak plant, about 650 employees, 65mio <em>Euro<\/em>sales<\/li>\n<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-7e733e0 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"7e733e0\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-d774bf5\" data-id=\"d774bf5\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-3f9ca52 elementor-widget elementor-widget-text-editor\" data-id=\"3f9ca52\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Situation:<\/strong><\/p>\n<ul>\n<li>The plant was a metals fab shop \u2013 stamping with subsequent operations.<\/li>\n<li>EBIT and ROCE dropped below benchmarks as the plant managed a 35% upturn in volume.<\/li>\n<li>Lead times were too long, information on orders was unreliable, costs and inventories were too high. Customer relationships were stressed.<\/li>\n<li>The task was to transform the plant to a higher volume, reduce throughput times and bring transparency to the processes.<\/li>\n<li>The aim was to bring EBIT and ROCE &#8211; at higher volumes &#8211; above the benchmarks.<\/li>\n<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-3ef7177 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3ef7177\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-d3aff6b\" data-id=\"d3aff6b\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-77f2633 elementor-widget elementor-widget-text-editor\" data-id=\"77f2633\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Challenge:<\/strong><\/p>\n<ul>\n<li>The operations were set-up in work centers \u2013 creating waste in movement and wait times.<\/li>\n<li>SAP and scheduling software were only partially implemented with work arounds.<\/li>\n<li>The product portfolio was wide, and references had complex up to 14 routings steps.<\/li>\n<li>Delivery reliability was in the eighties versus a customer commitment of ninety eight %.<\/li>\n<li>The plant and the team were operating in ways established ten years ago.<\/li>\n<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-4795c08 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"4795c08\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-fd58699\" data-id=\"fd58699\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-d5e278d elementor-widget elementor-widget-text-editor\" data-id=\"d5e278d\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Execution:<\/strong><\/p>\n<ul>\n<li>While the overall operation may have been overwhelming, I recognized that there were opportunities to segmentize the product portfolio. Based on the segmentation work centers could be reconfigured into value streams to drastically reduce lead times, inventories, and costs.<\/li>\n<li>I strengthened the leadership and trained the plant team on lean manufacturing with value streams to get buy-in and excitement.<\/li>\n<li>I aligned the plant team with corporate and external resources and together we took a deep dive into analyzing the current state and based on it developed the future state.<\/li>\n<li>I tackled the most difficult part early on: realigning the organizational and reporting structures and convincing key players of the need to change.<\/li>\n<li>I attended work meetings to encourage, give tips, and expel when necessary. There were regular reviews to move the project forward, eliminate obstacles to field support, and adjust.<\/li>\n<li>Initially we wanted to separate out one value stream. Once the team realized the positive effects, they, with some encouraging and challenging, came up with another four value streams.<\/li>\n<li>Presenting the future state with EBIT and ROCE commitments to Corporate Management lead to approvals for investments.<\/li>\n<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-6d97a70 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"6d97a70\" data-element_type=\"section\" data-settings=\"{&quot;_ha_eqh_enable&quot;:false}\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-7c1da85\" data-id=\"7c1da85\" data-element_type=\"column\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-f9d19bd elementor-widget elementor-widget-text-editor\" data-id=\"f9d19bd\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><strong>Result:<\/strong><\/p>\n<ul>\n<li>A proud, engaged team that finished the project within 24 months.<\/li>\n<li>Over 16 mio Euro invest with a payback of less than 2.5 years.<\/li>\n<li>Reduction of lead times by up to 95%, from 10 days to a few hours.<\/li>\n<li>Reduction in direct labor. Reduction in WIP and overall inventory by 30%<\/li>\n<li>EBIT and ROCE improvements will be evaluated after Corona distortions.<\/li>\n<\/ul>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<div class=\"elementor-element elementor-element-98dbd52 elementor-widget elementor-widget-heading\" data-id=\"98dbd52\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.5.1 - 20-12-2021 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h2 class=\"elementor-heading-title elementor-size-default\">Social Media:<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2e23a97 uael-share-buttons--view-icon-text uael-stylex-inline elementor-grid-0 elementor-widget elementor-widget-uael-social-share\" data-id=\"2e23a97\" data-element_type=\"widget\" data-settings=\"{&quot;columns&quot;:&quot;0&quot;}\" data-widget_type=\"uael-social-share.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\r\n\t\t<div class=\"uael-style-inline uael-container uael-floating-align-\" data-pin_data_url=\"\" data-share_url_type=\"current_page\" data-share_url=\"\">\r\n\t\t\t<div class=\"elementor-grid uael-floating-align-\">\r\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-grid-item\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<a  class=\"uael-share-btn-twitter\">\r\n\t\t\t\t\t\t\t<div class=\"uael-share-btn elementor-animation- uaelbtn-shape-square uaelbtn--skin-gradient\">\r\n\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__icon\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<i class=\"fab fa-twitter\" aria-hidden=\"true\"><\/i>\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"elementor-screen-only\">Share on twitter<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"uael-share-btn__text\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__title\">Twitter<\/span>\r\n\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t<\/a>\r\n\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t<div class=\"elementor-grid-item\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<a  class=\"uael-share-btn-linkedin\">\r\n\t\t\t\t\t\t\t<div class=\"uael-share-btn elementor-animation- uaelbtn-shape-square uaelbtn--skin-gradient\">\r\n\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__icon\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<i class=\"fab fa-linkedin\" aria-hidden=\"true\"><\/i>\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"elementor-screen-only\">Share on linkedin<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"uael-share-btn__text\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__title\">Linkedin<\/span>\r\n\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t<\/a>\r\n\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t<div class=\"elementor-grid-item\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<a  class=\"uael-share-btn-xing\">\r\n\t\t\t\t\t\t\t<div class=\"uael-share-btn elementor-animation- uaelbtn-shape-square uaelbtn--skin-gradient\">\r\n\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__icon\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<i class=\"fab fa-xing\" aria-hidden=\"true\"><\/i>\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"elementor-screen-only\">Share on xing<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"uael-share-btn__text\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__title\">Xing<\/span>\r\n\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t<\/a>\r\n\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t<div class=\"elementor-grid-item\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<a  class=\"uael-share-btn-email\">\r\n\t\t\t\t\t\t\t<div class=\"uael-share-btn elementor-animation- uaelbtn-shape-square uaelbtn--skin-gradient\">\r\n\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__icon\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<i class=\"fas fa-envelope\" aria-hidden=\"true\"><\/i>\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"elementor-screen-only\">Share on email<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t<\/span>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"uael-share-btn__text\">\r\n\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"uael-share-btn__title\">Email<\/span>\r\n\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t<\/a>\r\n\t\t\t\t\t<\/div>\r\n\t\t\t\t\t\t\t\t<\/div>\r\n\t\t<\/div>\r\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Miba Friction Division<\/p>\n<p>Laakirchen, Austria <\/p>\n","protected":false},"author":1,"featured_media":890,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"default","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":""},"categories":[7],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v17.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Cost out \u2013 Implementing Lean Value Streams - Dr. Ferdinand R. 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