it’s the little things making a big

It’s the LITTLE things

making a BIG Difference

Maureen O. Gallo

V.P. of Human Assets &

Operational Excellence

Beekley…a Great Small Company

Beekley Corporation

Beekley Medical ~ Disposable Medical Products. Beekley

Medical's simple innovative medical products help imaging, surgical

and radiation oncology professionals save time, improve accuracy,

enhance communication, and provide a better patient experience.

Prestige Lane Hospitality Brands ~ custom solutions for the

Hospitality industry. Prestige Lane's innovative products help drive

new business into hotel restaurants, spas and shops, and reduce the

costs and liability associated with lost or misplaced bags and

vehicles.

Our lean journey…

It all started with attending a local AME event

Recognized Beekley:

• Was Open

• Was Customer focused

• Had the Culture to

Support this thing called

“Lean”

GROWTH IS EVERYONE’S

BUSINESS!

LEAN is everyone’s Business!!

Orientation

Posted

5KG’s

Performance Profiles

Expectation

Reward & Recognition

Mistakes are Learning Opportunities… Mistake #1:

Began using the Tools not the thinking…

5s THEN and NOW

Opportunity #2:

Kaizen before teaching

Opportunity #3:

Choose the right teachers – one size does not fit all!

The Basis for Kaizen

Kaizen

“it’s all about engagement”

• House of Lean

• Team Charter

• Value Stream

Mapping

• Kaizen Newspaper

• Report Out

• 30-60-90-Day Check-

in’s; 80/20

PLHB KAIZEN TEAM

Project Scope:Process:

Start Point: Generating a Customer OrderEnd Point: Shipping and / or Storing

Green Opportunities:

Minimize waste of resources - paper, ink, water, cleaning solvents, human time;

Baseline if we sell all inventory vs. tossing.

$95,000.00

25,000.00

Contracts 75% With agreement

OTD 99.8%

LEAD TIME

Print tags that do not ship, i.e., generate revenue

We will realize the following benefits: Increase VA time

Lack of buy in by all stakeholders. Reduce inventory

Reduce storage requirements

Negative impact to customer Reduce time to process an order

Reduce time to physically count inventory

Running lower quantity; increase waste Reduce raw materials needed

Tag Reproducability

Project : PLHB Blanket Order Process

Business Case Opportunity Statement:

To support PLHB top and bottom line growth and profitability goals, increase our

capacity for growth and time spent on Value Added activities, via identifying and

minimizing the 8-wastes. This project has a direct impact on meeting / not

meeting these goals and more importantly to assure we provide a timely

response to what the customer wants when they want it (WCCC)!

$120k in current blanket inventory; $25k on shelf for 12+months. All

require time to produce, storage space, monthly physical counts,

multiple touch points, and multiple packaging time/expense. Create a

Win/Win Customer (WCCC) gets product when they want it /PLHB

(reducing inventory/increasing profits). Improved communication.

Differentiate blanket vs. split shipment.Taking press time to produce goods that are not generating revenue,

in the short term and in some cases the long term; and taking time

away from other customer orders and runing risk of poor quality when

printing tags but not shipping. String tags - manage inventory to

expenses / risk.

Key Assumptions

Goal Statement

Current Blanket inventory is valued at $120k. The goal is to reduce this by a

minimum 50%, in the next 9-months; to be measured at year end 2012.

Beginning with $25k in inventory that is at least 12-months old; selectively using

blanket orders; and by selling/shipping 100% of our blanket inventory within 12-

months or less, from this event forward.

Blanket Order Process

Metrics: Goal

Blanket Inventory, current $60,000.00

Blanket Inventory, 12+ months 0

100% w/Agreement

100%

Project Risks

Improvements do not lead to measurable improvements in OTD All team members will support the decision of the team inside and

outside of the team.

Project Plan Team Members:

Plan Do Check Act

20-Apr-12

Kaizen Action Items

Owner: CSL

Project Scope: Blanket Order Process (Multi-5k)

Item Action Items Leader Est. Complete Actual Complete Percent

Date Date Complete

1 ELIMINATE OUTSOURCING TRACKING FILE; INSTEAD PLACE SHIPPING LABEL ON JOB BAG "OUT" ARM 5/31/2012 100%

2 REDUCE BLANKET INVENTORY >12-MONTHS OLD; GOLDEN OPPORTUNITIES CSL 7/20/12 0%

3 DISTINGUISH BLANKET INVENTORY FROM SPLIT SHIPMENTS CSL 0%

4 DETERMINE RELEASE DATES ON CURRENT BLANKET INVENTORY CSL 0%

5 AT NEXT TOUCH POINT PACKAGE PLANNED RELEASE AMOUNTS ARM ON-GOING 12/31/12 0%

6 ESTABLISH STANDARDS FOR NEW BLANKET ORDERS; DOCUMENT STANDARD WORK CSL/AJL 5/31/12 0%

7 5S- LABEL BLANKET INVENTORY BOXES ARM 0%

8

STANDARD WORK IN SALES: BLANKET AGREEMENTS, BLANKET REQ'TS ON JOB BAG SHEET, CDL

SCHEDULING JOBS, SCHEDULING FUTURE RELEASES, SCRIPTING CSL 5/31/12 0%

9 REDUCE RUN SIZE TO NO MORE THAN 10K TAGS AT ONE RUN JUNE 0%

10

ELIMINATE DUPLICATE INFORMATION; MARRY INFO ON PROOF WITH JOB BAG; IMPROVE C&A

FROM 40% TO 80%; Kaizen 0%

11 REVAMP JOB BAG 0%

12

GRAPHICS TO SCHEDULE JOBS ON MACHINES (ELIMINATING 1 OF THREE TOUCH POINTS);

STANDARDIZE ELECTRONIC FILE NAMES & DESCRIPTIONS ON PLATES 0%

13

STANDARD WORK - BLANKET ORDER ENTRY; TMC PROCESS; CREATING PO FOR OUTSOURCING;

IMPROVE C&A 95% TO 100% 0%

14

MISTAKE PROOFING JOB BAG SHEET SO PROOFS IN THE BAG ARE A MATCH AND NUMBERING

REQ'TS ARE CLEAR (TRAINING) 0%

15 PARTNER WITH STRINGER (OUTSOURCED) TO MISTAKE PROOF OUR WORK; SET STANDARDS 0%

16 POUS - EVALUATE LOCATION OF BLANKET JOB BAGS IN PLHB SALES 0%

17 EXPLORE LASER FICHE AS CENTRAL STORAGE POINT FOR ALL BLANKET AGREEMENTS MOG 0%

18 PROCURE PRINTER FOR PLHB SHIPPING AREA AJL

19 5S JOB BAG STORAGE in SHIPPING AREA; LABEL, PACKAGE;SPREADSHEET ARM/TEAM 5/31/12 0%

20

SET STANDARD FOR FIELDS THAT MUST BE COMPLETED; ELIMINATE UNWANTED FIELDS IN CRM

(LONG TERM) 0%

Where we began… and where we hoped to be!

Current State Future State

WHERE WE ARE NOW… PLHB

Communication Hub • 2013 was a flat sales year

• 2014 Grew by 8.2%

• 2015 YTD growth 8.6%

• Decreased Cost of Materials

• Reduced set up times (Avg. of

25%)

• Improved turnaround time;

currently 10.5 days vs.16 days

• Reduced expenses

• Increased profitability

• Maintained a 99.98% OTD with

the same number of people

(1 late shipment of 5046 Orders)

• Planning to invest in our

future!

Walk the

• “GO SEE”

• Ask the SME’s

• Engage People

• Get Buy-in

• Create a Visual Workplace

We will be recognizing a Lean MVP – an individual that stands out in the

following ways:

Demonstrates an understanding of the Principles & Practices of Lean

Participated in at least one Kaizen event (small or large)

Living Lean by word and actions, i.e., embracing Lean as part of the

Beekley Culture.

Coach can submit examples of Lean in Action, i.e., Continuous

Improvements that led to measurable results and positively impacted /

improved a process(s).

8-Wastes

Impacted by the Great Idea program 2014 Wastes Ideas Submitted Ideas Implemented

Over Production 0 0 0%

Transportation 3 3 7%

Motion 33 25 58%

Waiting 5 5 12%

Over Processing 10 3 7%

Inventory 0 0 0%

Correction/Defects 9 6 14%

Non Utilized Talent 1 1 2%

Total Ideas YTD 61 43

Continuous Learning…

Footprints

Lean 101

Lean 201

Kaizen Training

James P. Womack ~ founder and chairman of the

Lean Enterprise Institute

Thank You!

Please complete the session survey at:

www.ame.org/survey

Session: TP/14

It’s the Little Things making a Big Difference

Maureen O. Gallo

Beekley Corporation

mgallo@Beekley.com