Applying LEAN: StoneTech
The most effective way to grasp the impact of LEAN strategies is by witnessing them in action. While we value our clients' confidentiality, this fictional example illustrates just how transformative small, targeted changes can be for any business.
A family-owned stone benchtop cutting and installation business, ‘StoneTech’, (fictional business) was facing new challenges. Serving demanding wholesale clients, including major construction contractors, they found themselves increasingly strained by tight deadlines and bottlenecks in production. Every time they encountered a delay in the cutting or installation process, it not only cost them time and resources but also jeopardised their relationships with key clients. That’s when they decided to turn to LEAN strategies for help.
Here’s a look at how StoneTech applied five advanced LEAN strategies to address their challenges and how similar companies can benefit from these approaches.
1. Creating Efficiency with Cellular Manufacturing
Challenge: StoneTech's workshop layout required employees to move between different areas for each phase—cutting, polishing, and edge finishing. This created wasted time as employees transported materials and tools back and forth.
Solution: They implemented Cellular Manufacturing by reorganising their workspace into dedicated cells. Each cell was equipped with all the tools and materials necessary to complete a specific stage without requiring additional movement.
Steps Taken:
They started with a workflow analysis, pinpointing areas with repetitive back-and-forth movement.
After rearranging the space, each “cell” was outfitted with the needed equipment, and pathways were cleared to create a logical, smooth transition from one stage to the next.
Staff were trained to work within their assigned cells efficiently.
Timeline: This took about 4-6 weeks, including planning, rearrangement, and training.
Budget: $3,000 - $5,000 for workspace modifications and additional tool storage.
Outcome: By reducing the time spent moving materials around the shop, StoneTech estimated a 20-30% decrease in production time. This allowed them to keep up with high client demands and better meet their tight timelines.
2. Real-Time Job Tracking for Clear Communication
Challenge: As orders increased, StoneTech struggled to monitor each stage of production accurately, leading to unforeseen delays.
Solution: To maintain oversight, they adopted a real-time job tracking software. This software offered transparency into each job’s progress, alerting management when tasks were falling behind so that resources could be reallocated quickly.
Steps Taken:
StoneTech chose a software that easily integrated with their existing scheduling tools.
They provided training to ensure every team member knew how to update and interpret job statuses.
Management began reviewing production data regularly to detect and address recurring bottlenecks.
Timeline: Setup and training took about 2-3 weeks.
Budget: $2,000 - $5,000 for software licensing and initial training.
Outcome: The software empowered StoneTech’s team to identify potential delays early and take corrective action immediately. Their on-time delivery rates improved, fostering stronger relationships with their wholesale clients.
3. Standardising Work with Documentation for Installation Teams
Challenge: Variability in installation methods across different team members resulted in inconsistencies and occasional errors, which required costly rework and extended timelines.
Solution: StoneTech developed Standard Work Documentation to provide clear, consistent installation instructions. They created step-by-step guides and visual aids for each type of benchtop, ensuring that all team members followed the same high-quality practices.
Steps Taken:
StoneTech documented key steps for each type of installation.
They created videos to demonstrate complex techniques.
After feedback from installers, they refined the documentation to ensure clarity and effectiveness.
Timeline: The entire process took 6-8 weeks to complete.
Budget: $2,500 - $3,500 for creating and producing documentation and videos.
Outcome: By standardising processes, StoneTech minimized errors and rework, leading to smoother installations and ultimately saving time on each job. This consistent quality also allowed them to reduce client complaints and meet KPIs more consistently.
4. Ensuring Material Readiness with a Kanban System
Challenge: StoneTech often experienced downtime due to missing or delayed materials, particularly stone slabs and specialised adhesives, which disrupted production flow.
Solution: They implemented a Kanban System to maintain optimal inventory levels. Visual Kanban cards were placed at each workstation to signal when materials needed to be restocked, preventing unexpected shortages.
Steps Taken:
StoneTech identified essential materials and tools, setting minimum stock levels for each.
Visual Kanban cards were added to workstations, providing an easy visual cue for when items were running low.
They began regularly monitoring inventory levels to adjust reorder points based on usage patterns.
Timeline: Setup took 3-4 weeks.
Budget: $1,000 - $2,000 for physical materials and software as needed.
Outcome: The Kanban system reduced downtime significantly, allowing for continuous workflow without interruptions. This helped StoneTech fulfill orders on time, enhancing their reliability with clients.
5. Mapping and Optimising the Entire Workflow with Value Stream Mapping
Challenge: The overall process from order intake to final installation was lengthy, and StoneTech wanted a way to systematically identify and address inefficiencies.
Solution: Using Value Stream Mapping (VSM), StoneTech’s team mapped every step in the production and installation process, identifying bottlenecks and non-value-added activities.
Steps Taken:
Key team members collaborated to create a visual map of the end-to-end workflow.
They pinpointed redundant steps and areas with excessive wait times.
An action plan was developed, including task consolidation and cross-training staff to cover multiple roles.
Timeline: Mapping, analysis, and planning took about 4-6 weeks.
Budget: $5,000 - $6,000 for VSM session facilitation and a few pieces of new equipment or tools.
Outcome: With VSM, StoneTech identified high-impact areas for improvement, cutting lead times and boosting efficiency. The analysis allowed them to make data-driven adjustments to their processes, ultimately helping them meet even the tightest deadlines and better serve their wholesale clients.
Summary of Results
After implementing these LEAN strategies, StoneTech transformed its operations:
Estimated 20-30% faster production times from cellular manufacturing.
Improved on-time delivery rates with real-time job tracking.
Consistent quality across installations, reducing costly rework.
Uninterrupted workflow thanks to the Kanban system.
Optimised lead times through VSM, helping meet customer requirements more effectively.
These LEAN approaches showcase how even small to medium-sized manufacturers can enhance productivity, minimise waste, and strengthen client relationships. The StoneTech example is a demonstration of how targeted, strategic changes can make a huge difference in any manufacturing business striving to improve and compete.
Reminder - This is a fictional business that has been used to demonstrate the application of LEAN strategies in a production environment. If you would like to explore what this might look like in your organisation, please get in touch.