In 2021, the company partnered with Huicheng Enterprise Management to launch the “Introduction of Lean Management” project. This project marked the company’s third consulting-driven reform on its journey toward lean management. According to the initial plan, the project ran from March to September 2021, lasting a total of seven months. During these seven months, the Huicheng Enterprise Management project team members conducted on-site training and guidance at Yang’s Company twice each month, with each session lasting three days. The team made a total of 12 official on-site visits to the company. The final month was designated as a stabilization phase, during which new activities were planned—primarily focusing on follow-up actions and on-site problem-solving and guidance related to the 12 previous on-site visits.

For this refined implementation project, the Huicheng Project Team officially moved into the company on March 8. The very first task the team undertook after settling in was to hold one-on-one interviews with the heads of each department and workshop. Through these interviews, we immediately identified four clearly apparent issues currently affecting the company’s operations and management:

1. Some data are incomplete.

2. The goals and directional positioning of management personnel are unclear.

3. No sales and human resources strategies have been developed.

4. The eight major forms of waste in various departments, especially in the production workshops, are extremely serious.

In response to the series of existing issues within the company, the lean coach promptly developed a comprehensive set of solutions. Every position must have a job description, and critical business processes must be supported by established flowcharts and management systems. Only by clearly defining job responsibilities can we pinpoint the goals and direction of our work; only by clearly outlining processes and regulations can we ensure that business operations are neither overlooked nor disorganized.

First-time entry. (March 8–10, 2021)

Each supervisor was given a “Workload Analysis Form,” requiring them to conduct statistical analysis of their own workload. Speaking of this analysis form, even now when I think about it, I still have that nightmare—calculating and estimating the duration of each individual task.

Of course, to move the project forward, our Yangshi Group also needed to establish a dedicated project team. Led personally by General Manager Yang, with department heads serving as team members, we set up this project promotion team. To ensure even more effective project implementation, we formulated the “Project Promotion Team Code of Conduct,” introduced a buddy system and a reporting mechanism, and even adopted a motivational rallying cry reminiscent of multi-level marketing—“Hello, everyone at Yangshi Industrial! Good afternoon!” “Great! Excellent! Superb!”—followed immediately by applause in the sequence of 1, 12, 123. The teacher’s buddy system, reporting mechanism, and the way we kick off meetings have proven to be powerful tools for driving team projects. In our subsequent work, we’ve frequently drawn on these approaches—for instance, in sharing responsibility for quality and safety in the current situation, which has helped enhance everyone’s sense of accountability and team spirit. Another example is the pre-meeting slogans used during morning briefings and other meetings—these truly help focus everyone’s attention and boost meeting efficiency.

 

The First Project Team Summary Meeting

 

Second entry. (March 18–20, 2021)

 

Flowchart Training

 

The project team’s instructors reviewed each supervisor’s “Workload Analysis Forms.” Based on these forms, they identified the primary workflows currently in place across all departments within the company and defined the key business processes for each smart department. They then conducted training sessions on process mapping. Teacher Zhang Hongming provided a thorough and meticulous introduction to the essential elements of creating flowcharts and offered detailed explanations of each symbol used in flowchart notation. He instructed each department to develop flowcharts for their key discussed business processes that accurately reflect the company’s current actual workflows. The following day, we held our first major training session since the project team’s arrival: “The Execution Tool—The Ten-Step Method for Effective Morning Meetings.” As an execution tool, morning meetings serve as an important means for unified communication and efficient coordination. Through morning meetings, teams can align their thinking, reach common ground, boost motivation and morale, establish consistent standards and build authority, and foster collective growth and development. Teacher Zhang explained in great detail the entire process of a morning meeting—from forming up and arranging ranks, standing at attention, offering greetings, summarizing the previous day’s activities, assigning tasks, conducting publicity and education, gathering feedback, reciting the team’s slogan, to bringing the meeting to an orderly close. Afterwards, we conducted a practice run of our first morning meeting right in the office of our Production Department. I’m sure everyone still remembers the nervousness they felt when stepping up to lead their very first morning meeting.

 

Morning Meeting Training

Morning meeting drill

First Morning Meeting of the Quality Department

 

If there’s one thing that Huicheng Enterprise Management’s recent, meticulous implementation project has left us with, the morning meeting is definitely one of them. Today, the morning meeting has become an integral part of our Yang family’s corporate culture. Every Monday, Wednesday, and Friday, as soon as you enter the factory premises, you’ll see the morning meetings taking place in various workshops. During these meetings, we summarize the work done the previous day, plan the day’s tasks, and emphasize safe production as well as ensuring quality and quantity. This has truly become a habit—a highly effective means of conveying information.

Third residency. (April 8–10, 2021)

After two rounds of on-site communication and one-on-one individual guidance, the supervisors from various departments have made several adjustments and revisions to their respective job descriptions. During this on-site engagement, we systematically addressed the issues that were identified as particularly urgent and important through departmental communications but had previously been somewhat chaotic. Under the guidance of Teacher Hui Cheng from Enterprise Management, we refined and finalized the following systems: the "Warehouse Management System," the "Mold Management System," the "Workshop Tooling and Fixture Management System," the "MRB Operation Guidelines," the "MRB Material Review Procedure," and the "Nonconforming Product Control Procedure." In particular, we focused on strengthening the control over production abnormalities and defective product scrap. By reorganizing the "Production Abnormality Forms" and "Scrap Forms," we clarified the corresponding procedures. According to the established regulations, all workshops have now gradually begun implementing these procedures. The Quality Department, by compiling and summarizing monthly data on abnormality occurrences and scrap material information from each workshop, is able to present this data in a quantifiable format, making the direction of quality control much clearer. Furthermore, by leveraging regular meetings and on-site Kanban boards to display relevant information, workshops can immediately identify their strengths and weaknesses in quality control, pinpoint areas for improvement, and address shortcomings effectively. This approach has significantly enhanced the effectiveness of on-site quality management.

 

PMC Training—One-on-One Tutoring (with Principal Tong and Teacher Zhang)

PMC Production Planning and Material Control Training

 

In response to the current chaotic situation in the production department—characterized by disorganized planning and severe accumulation of materials on-site—the Huicheng Project Team has launched a training program titled “PMC Production Planning and Material Control.”

Teacher Zhang vividly explained the fundamental concepts of PMC—Production-Materials-Control—as well as the interrelationships among the three major flows in business operations: material flow, information flow, and cash flow. He also outlined the functions of the PMC department and, through case studies, analyzed key points for PMC’s effective control and the methods used to manage the production department. Furthermore, he introduced the PQCDMS management theory—the key performance indicators for enterprise management—which encompasses Production Efficiency, Quality, Cost, Delivery Time, Morale, and Safety. Regarding how to effectively carry out PC (Production Planning) and MC (Material Control), Teacher Zhang particularly emphasized that controlling the production process must be done according to the process route. He also detailed the procedures for formulating the MPS (Master Production Schedule), RCCP (Rough Capacity Plan), and the Master Production Schedule itself, stressing that identifying bottlenecks and workload peaks is crucial for successful planning. Additionally, he provided an in-depth introduction to material management knowledge, including the “Three No’s” principle (no stockouts, no obsolete materials, no excess inventory), the relationship between inventory planning and inventory control (such as safety stock, maximum stock, and minimum stock), and key points for material control (including inventory counts). The inventory count involves primarily three departments: warehouse, finance, and production. To this end, Teacher Tan Zhaoping from our project team specially organized a workshop on material inventory counting techniques, which proved highly enlightening and inspiring for all of us.

 

Material Inventory Guidance (Teacher Tan / Xu Linjuan / Yang Hua / Pan Weiqin / Tong Xiaozhen)

 

Through the training, the company’s departments—including production, sales, procurement, and warehousing—have gained a deep understanding of the importance of production planning and material control, as well as the urgent need to implement these practices. Following the training, the production department has adjusted its previous approach to organizing production. Previously, tasks were randomly assigned on an ad-hoc basis via handwritten task lists sent directly to the assembly workshop, which then took the lead in coordinating production across various departments according to assembly requirements. Now, production scheduling is organized on a biweekly basis—meaning one week is dedicated to frozen production planning, while the next week is reserved for preliminary scheduling. Each workshop, from stamping to assembly, is assigned specific weekly production tasks. To ensure the feasibility and reasonableness of these plans, the company has established a weekly production and quality meeting held every Monday afternoon at 2:00 p.m., where scheduled production plans are confirmed on-site, and any difficulties encountered during planning are discussed and resolved immediately. This is the second significant change brought about by our introduction of refined management practices. As of today, although there are still some hitches in scheduling, occasional omissions remain, and certain details still require improvement, we now have a clear goal and direction to strive toward.

As the project progresses, we’ve also held our first plant-wide meeting—the project kickoff conference.

At the kickoff conference, the speech delivered by Ms. Ren Xinmiao, General Manager of Huicheng Enterprise Management, left a profound impression on everyone. Words like “gratitude,” “self-reflection,” “change,” “trust,” and “setting sail”—Ms. Ren led us through a transformative journey of life insights from five different perspectives. Among them, the phrase that resonated with me most deeply was, “If you don’t push yourself, you’ll never know just how strong you really are.” Do you remember the wolf on the grassland, patiently waiting for the flock of sheep, as described in Ms. Ren’s speech? Or do you recall the speeches given by General Manager Yang, Factory Director Tong, Supervisor Wei, and Representative Xu? And can you still feel the passion we shared during that moment when we took our oath?

 

Group photo of the launch conference project team

 

Fourth time moving in. (April 19–21, 2021)

During this on-site engagement, the project’s focus has been on reviewing and discussing process flowcharts for each department, as well as reviewing and confirming the job descriptions for each department head position. Through the instructor’s one-on-one training and guidance on-site, the job descriptions for department heads and the key operational processes have been finalized. Also during this engagement, the company officially established a material preparation workshop and initiated actions to control materials from the source, ensuring that the stamping workshop procures materials according to the order schedules.

 

Detailed introduction to the oath-taking ceremony

 

Fifth time moving in. (May 6–8, 2021)

Teacher Zhang Hongming conducted a training session titled “Public Speaking Skills and Practical Exercises.” This training combined lecture instruction with hands-on practice. The session began with four key characters—“Cai,” “Cai,” “Cai,” and “Cai”—which were used to illustrate the value of talent: starting from the premise that everyone is inherently valuable raw material, we can all create maximum value. The importance of public speaking was introduced by highlighting the three major responsibilities of men, women, and parents. Next, the four-step process for delivering a successful speech was explained—namely, overcoming nervousness, striving for perfection, engaging in systematic training, and cultivating positive energy. Additionally, participants learned essential speaking techniques, such as focusing on key points, sharing personal stories, and maintaining enthusiasm and a positive mindset. Following this, members of the Yangshi Project Implementation Team took turns stepping onto the stage for a brief round of public speaking practice.

 

 

This training has brought about subtle yet profound changes for us. The presentation skills we’ve learned can be applied to a variety of settings—such as morning meetings, daily briefings, and training sessions. Thanks to Teacher Zhang’s guidance and instruction, we’ve deeply realized that the presentation skills of all our project team supervisors have improved, making our morning meetings run more smoothly and seamlessly. Once again, congratulations to our colleagues who won awards in the presentation mini-competition!

 

Hui Cheng Project Team teachers conduct on-site 5S diagnosis / Supervisor Chong Yi

 

Led by instructor Wang Dalin from Huicheng Enterprise Management, our company’s workshop floor and public areas underwent a 5S diagnostic assessment, and a comprehensive planning scheme was subsequently developed for both the workshop and public spaces. It’s safe to say that the changes are quite noticeable. Although our company had previously implemented 5S initiatives, the results were only marginally satisfactory. What was the root cause? Instructor Wang Dalin’s 5S training provided us with an enlightening insight: “We must not only mop the floors—we also need to turn off the faucets.” Before the training, our 5S efforts had largely been confined to mopping the floors, with recurring problems persisting. The issue wasn’t that we weren’t taking action; rather, we hadn’t addressed the root causes of the problems. For example, in the stamping workshop’s material storage area, although a designated zone had been planned initially, no further detailed markings or guidelines had been drawn within that zone. As a result, material bins were piled haphazardly throughout the area. Under Instructor Wang’s guidance, we adopted a grid-based positioning system—each bin was assigned a specific location—and employees began placing bins precisely within these marked zones according to established standards. Immediately, the workshop floor became much tidier and more organized. As Instructor Wang put it, 5S site improvement is far more than simply drawing lines, affixing labels, conducting deep cleanings, chanting slogans, or organizing campaigns—it’s a process of self-reflection and identifying gaps. It’s also about clarifying thinking and carrying out the steps of “measure” (conducting on-site measurements and mapping), “draw” (marking lines and warning signs), and “stick” (attaching labels and notice boards). Moreover, it’s a process of establishing standards and conducting rigorous audits. In our company’s previous 5S management approach, standards were vague, and the lack of systematic audits was the fundamental reason why implementation results had consistently been poor. Thanks to Instructor Wang’s training and his hands-on, tireless leadership in driving on-site improvements following the training, the results have been striking. From the warning lines at the factory entrance, to the marking lines in the plaza, to the dedicated pedestrian walkway at the administrative entrance, to various lean-promotion boards and motivational slogans throughout the workshops, and even to the improved placement of fire safety warning stickers—all these enhancements continue to evolve under the teacher’s influence.

Sixth time moving in. (May 20–22, 2021)

The first morning meeting evaluation competition was held.

 

Spray Plating Group 2 Morning Meeting Competition Scene

 

To evaluate the effectiveness and quality of the morning meetings held by various departments within the company, the company organized the first-ever Morning Meeting Competition on May 21. Each department meticulously prepared its competition entries, and the atmosphere at the judging venue was exceptionally lively, with fiercely intense competition. We once again extend our heartfelt congratulations to the Quality Department, the Finance Department, and the Production Department for securing top honors. At the conclusion of the competition, Teacher Zhang provided insightful comments on each participating team. Through this competition, the effectiveness of the morning meetings across all departments has been significantly enhanced.

This new entry has brought about a change for the company: the establishment of a proposal-based improvement system.

Teacher Zhang Hongming from Huicheng Enterprise Management has just conducted a training session for the entire Project Promotion Team on “Lean Production: Employee-Initiated Improvement Proposals.” Lean management—“lean” means achieving more with less, while “benefit” implies that all business activities must be both beneficial and efficient, possessing economic viability. Lean involves getting to the root of problems (exploring their underlying causes), getting to the source of issues (cultivating a mindset geared toward continuous improvement), eliminating the superfluous and retaining the essential (stripping away non-value-added processes), striving for perfection (continuously refining and improving), responding swiftly to customer needs, and reacting rapidly to changes. A hallmark of lean management is the elimination of waste. There are eight major types of waste in lean management, and the way to eliminate these wastes is through improvement. There are many approaches to improvement, and employee-initiated improvement proposals represent a highly effective method involving the participation of everyone. Teacher Zhang provided a detailed introduction to the four principles of motion improvement—“eliminate, combine, rearrange, and simplify”—and guided the team to identify areas within the company that could be improved by following these principles and formulating specific improvement proposals.

 

Proposal for Improving the Training Session On-site

 

After the training, each department within the project team submits a proposal every month as required. These proposals are then reviewed and used to improve existing systems. Since the implementation of these measures, they have been consistently carried out to this day, and many outstanding proposals have emerged. Through this proposal-based improvement approach, the company has seen improvements in numerous areas—for example, the enhancement of the promotional display window at the entrance, which is now regularly maintained and updated once a month, with some content even being updated weekly, resulting in a significant boost in promotional effectiveness. Another example is the improvement in how the Quality Department handles incoming material statistics and documentation: so far, this has saved the company at least 20 reams of A4 paper and reduced inspection and statistical processing time by more than 72 hours. There are also similar improvements initiated by the Technical Department regarding structural design and by the Mold Department concerning manufacturing processes. Proposal-based improvements have opened up a positive channel for company employees to offer rationalization suggestions, ensuring that improvement efforts are no longer confined solely to senior management. This approach truly reflects collective wisdom and embodies the spirit of teamwork.

Seventh residency. (June 3–5, 2021)

The focus of this onboarding training is “goals.”

 

Departmental Goal Exploration and Confirmation (Yu Weigang / Han Jie / Teacher Zhang)

 

First, we discussed the objectives for each department’s positions. Right from our first day on-site, we were once again challenged to rethink our conventional assumptions. Previously, the company’s objectives tended to be relatively simple—often just one or two per department. During our initial communication with the instructor, many departments couldn’t even accurately articulate what their own departmental objectives were! Drawing on his years of management experience, Teacher Zhang, after gaining a clear understanding of this rather dismal situation, conducted one-on-one discussions about objectives, helping us gain a fresh perspective on our departmental goals. He also provided guidance on establishing assessment criteria for these objectives and organized a series of related activities. Furthermore, he arranged and led a training session titled “Objectives and Performance Evaluation.” Following the training, Teacher Zhang from Huicheng Enterprise Management helped us set specific performance evaluation standards for each department.

 

Employees actively participated in the construction of the model workshop and cleaned the site.

 

In fact, the construction of the model workshop, the advancement of the 5S initiative, and the superficial “face-saving” projects on the periphery have all undergone tremendous changes under the continuous on-site guidance of Teacher Wang Dalin. Taking advantage of the targeted training, we’ve now proposed transforming Workshop No. 1 into a model workshop. This initiative has received unanimous praise from all members of the project team. After the task was assigned, the employees of Workshop No. 1 demonstrated remarkable enthusiasm. Under the leadership of Workshop Supervisor Li Shujin, they worked overtime to clean up oil stains on equipment and shelves. Although the equipment remains the same, everyone remembers that, thanks to the meticulous efforts of our dedicated frontline workers, the equipment has truly achieved what it means to “shine like new iron.”

Eighth residency. (June 21–23, 2021)

For this round of onboarding, we’ve mainly done three things.

 

The Hui Cheng Enterprise Management teachers led a team to conduct on-site 6S inspection and guidance.

 

First: The proposals from the first batch are undergoing review. The review is being conducted under the guidance of Teacher Tan Zhaoping. For us Yangs, who are new to this process and submitting our proposals for the first time, Teacher Tan has truly set a great example for us.

Second, the reform of the 6S management system. After careful deliberation, during the implementation of 6S, our instructors from Huicheng Enterprise Management identified significant shortcomings in our existing 6S inspection standards, inspection methods, and audit procedures. Specifically, we had been relying on a single-person inspection and audit approach, which not only placed an enormous workload on individual inspectors but also gave the workshop the false impression that 6S was solely the responsibility of one person. In response to these issues, Teacher Tan promptly made improvements by revising our 6S management standards. This revised standard has since been consistently adopted by the company and continues to be effectively implemented today. The new 6S management standards not only clearly define the inspection requirements for each of the six S’s—Sort, Set in order, Shine, Standardize, Sustain, and Safety—but also introduce a regular “Weekly 6S Inspection Rotation Schedule.” Under this schedule, every five employees form a team with a designated team leader. Each week, teams take turns conducting inspections across all departments throughout the entire factory. Subsequently, the Administration Department carries out a centralized audit. This revamped inspection approach effectively addresses the problem of accountability shifting between inspectors and auditors, ensuring that every workshop supervisor is actively involved in the inspections and thereby dispelling the misconception that 6S is the sole responsibility of one individual. Meanwhile, to further promote the ongoing implementation of the 6S management system, we have introduced a monthly red-and-black flag assessment system. At the end of each month, bonuses and the “Monthly Red Flag” are awarded based on the assessment results; conversely, the department with the worst performance receives the “Monthly Black Flag.” On the 21st, under the leadership of Teacher Tan, we officially launched the first round of 6S group inspections.

Third, we’ve introduced a job responsibility exam that’s keeping department heads up at night. To help us better remember and understand our respective job responsibilities, the project team has specially scheduled this exam. Looking back now, I’d like everyone to take a moment and reflect: Do you still recall your own job responsibilities?

 

 

Ninth time moving in. (July 8–10, 2021)

First is the “Weekly Plan and Weekly Summary.” To boost the enthusiasm of mid-level and higher-level managers within the company and to ensure that what I initiate, I take responsibility for, and what I’m responsible for, I guarantee will be delivered, Teacher Tan conducted training for the project team on weekly planning and summarizing. Last week’s work summary and this week’s work plan—though seemingly simple, actually filling them out is no easy task. Summarizing last week’s plan implementation isn’t difficult in itself; what’s challenging is drafting this week’s plan. The plan needs to address not only which issues in our work require resolution, but also how we can improve work efficiency, reduce costs, minimize damage, train new employees effectively, enhance equipment utilization, elevate product quality, boost employee motivation, and better improve our working environment—all of which present quite a significant challenge for us.

Next came the “Quality Awareness and Control” training, aimed at addressing the current situation where there were relatively many defective products. Teacher Tan summed up the essence of quality management in just one simple sentence: “Quality equals conscience plus sense of responsibility.” Though brief, this statement captured the heart of quality management with remarkable clarity. After all, the character for “quality” (品质) is composed of three “mouths”—each representing people—and “zhi” (质) stands for money. Thus, quality essentially means that everyone is meticulously calculating and striving for money. In other words, quality management is, at its core, management of money. The new understanding of quality—emphasizing that a qualified product is not necessarily a superior one, and that the true measure of quality lies in customer satisfaction—has completely refreshed our site supervisors’ perceptions of quality management. Particularly profound was the final section, which outlined the overarching goal of zero defects, two key priorities, three “no” policies, four major practices, five core viewpoints, and six principles of never letting anything slip by. Although the training focused on raising awareness and fostering an internal shift in mindset, its impact was unmistakably tangible. We could clearly feel that, following Teacher Tan’s instruction and explanation, the mindset of most department heads—especially those in the production workshops—had undergone a significant transformation. They had shifted from the previous attitude of prioritizing output over quality, or neglecting quality when idle and focusing solely on output during busy periods, to recognizing that quality and output are interdependent. While this shift hasn’t yet become deeply ingrained, the seeds of quality awareness have certainly been planted in the hearts of every member of our project team.

The 10th time moving in. (July 27–29, 2021)

The project is nearing completion in terms of scheduling. On the 27th, Teacher Tan from the Huicheng Project Team delivered a lecture titled “Becoming a Qualified Production Supervisor.” The lecture covered the definition of the production supervisor’s role, as well as their mission and responsibilities, highlighting the supervisor’s position and significance within the company. It also addressed the spiritual aspirations that a production supervisor should pursue, the fatal habits that a supervisor must abandon, and the daily tasks that a supervisor must perform—before, during, and after shifts. Furthermore, the lecture explored the thinking principles that outstanding supervisors use to solve problems, the “four no-let-go” approach to handling any assigned task, and finally, the essential lessons in team building for supervisors: effective communication with superiors, peers, and subordinates.

 

 

The next day, to deepen the training’s effectiveness, Teacher Tan delivered a lecture on “Practical Applications of Execution.” Execution is the action that transforms goals into results—the concrete process through which we achieve our objectives. The first reaction of successful people is to find solutions, not excuses. Drawing on his own personal experiences, Teacher Tan explained the concept of execution and highlighted four common illusions about it: waiting passively, burnout, unclear responsibilities, and attitude problems—all of which do not equate to actual results. He also emphasized that fully embracing and understanding both the goals and the proposed plans is the foundation of effective execution. Through further guidance, he revisited the topic of communication—from the steps and types of communication to the necessity and methods of two-way communication, as well as various techniques for enhancing communication effectiveness. Finally, he addressed the three major pitfalls in responsibility management: "responsibility jumping"—the dangers of top-down, one-size-fits-all management; "responsibility dilution"—where everyone ends up acting like Mr. Nanguo; and "responsibility oversight failure"—where punishment can never replace thorough inspection.

The 11th time moving in. (Aug. 16–18, 2021)

 

 

The course’s theme is “The Eight Wastes in Lean Production.” At the very beginning of the course, the concept of lean production is directly and straightforwardly explained: “Lean” means being refined and precise, while “benefit” means that all production and business activities must be beneficial and economically viable.

In the subsequent discussion, centered around the core principles of Lean, the word I heard most often was “waste.” The course’s interpretation and analysis of “waste” completely transformed my previous perspective, giving me a brand-new understanding of the “eight types of waste” in production as well as of “Lean Production” itself.

The eight major wastes are: 1. Waste from overproduction and producing too early; 2. Waste from waiting; 3. Waste from unnecessary handling; 4. Waste from excessive processing; 5. Waste from excess inventory; 6. Waste from unnecessary motions; 7. Waste from defective products; 8. Waste from inefficient management. At our production site, we have display boards promoting awareness of these eight wastes, which gave me a vague idea and some personal understanding, though my grasp wasn't very deep. However, after attending the training session, my understanding has become much more profound, and I’ve come to recognize the three biggest sources of waste currently existing in our company.

First, there’s the waste caused by overproduction and premature manufacturing. Due to concerns about failing to meet production schedules, unstable planning, and imbalanced labor hours, our company has long had a habit of overproducing and manufacturing too early. This unhealthy practice is precisely the root cause of our company’s waste. Excessively produced goods that are manufactured ahead of schedule lead to increased waste in handling, inventory buildup, and the occupation of company funds and space. Moreover, they can trigger a cascade of subsequent problems, such as prolonged searching and waiting, inventory fluctuations, and other related issues.

Second, there’s the waste caused by defective products. Controlling defects during the production process has consistently been the second biggest challenge in our company’s lean improvement efforts. The weak quality awareness among middle- and senior-level managers has led to a massive number of defective products being produced, resulting in frequent quality incidents. Subsequent processing steps such as rework and repair not only fail to generate any economic benefits but also incur significant quality-related costs. Moreover, the waste associated with processing, handling, waiting, and management further exacerbates the situation, ultimately leading to prolonged customer complaints, declining customer loyalty, and disruptions in procurement and production planning.

Finally, there’s the waste of management. At its core, management involves guiding people and managing tasks—ensuring that each person is put to their best use, that resources are utilized to their full potential, and that the collective wisdom of employees is fully leveraged. Only by identifying and eliminating waste, embracing the “three on-site principles”—seeing the actual situation, with the actual objects, and recognizing the reality on the spot—and employing analytical tools such as the “5W1H” framework can we truly achieve lean management. Yet, our company’s management team still has room for improvement in terms of managerial competence. Even the supervisors in the workshop fail to grasp the true meaning of “management.” Rather than engaging in genuine management, they tend to act more like general-purpose staff—flexible workers tasked with moving materials, performing statistics, processing production, and so forth. In their rush to ensure that production targets are met, they often neglect their core managerial responsibilities. And this very neglect represents the greatest form of waste.

 

 

The other five major wastes also exist within our company; however, they’ve become less conspicuous due to the overwhelming impact of the first three major wastes.

Take, for example, the waste of waiting. Any kind of waiting is pure waste—no value is created at all. It’s common to see people waiting for machines, machines waiting for people, machines waiting for materials, people waiting for people, and even downtime caused by equipment failures.

For example, waste from handling—such as the handling of raw materials, the transportation and handling of finished products, and the handling within transfer warehouses—all constitute handling waste. Indeed, even the very existence of transfer warehouses itself is a form of waste.

For example, processing waste. When processing objectives are unclear, it leads to production waste; when products don't meet customer needs, it results in inventory buildup—all of which constitute processing waste.

For example, waste from inventory. Materials found everywhere—such as in hardware warehouses, semi-finished goods warehouses, finished goods warehouses, and even on the shop floor—are all part of inventory. Obsolete materials and those that have remained idle beyond a certain production cycle—all these represent waste.

For example, there’s the waste of motion. Performing unnecessary movements and engaging in futile efforts both constitute waste. According to lean principles, using both hands simultaneously in opposite or symmetrical motions, minimizing forearm movements, and reducing awkward actions such as bending over, squatting, or standing on tiptoes—instead, reaching out effortlessly to grab objects—all these are effective ways to eliminate motion waste.

Today’s enterprises have long since moved from an era focused solely on output volume to an era centered on quality. Now, we are either entering or already in an era of cost management—a period marked by razor-thin profit margins. As this new era dawns, if companies fail to reduce their costs, they will inevitably suffer losses and ultimately face the prospect of being phased out. The lean production approach represents the best way to control waste and save costs. This lesson offers us both a warning and valuable insights. It lays the foundation for lean principles and points us toward directions for proposing and implementing improvements.

To kick off the project’s advancement, Ms. Ren Xinmiao, founder of Hui Cheng Enterprise Management, delivered a session titled “Understanding the Roles of Outstanding Mid- and Lower-Level Managers and the Eight Key Transformations.” Right from the start of the course, she provided a detailed profile of the roles and responsibilities of mid- and lower-level managers, outlining four distinct thinking patterns—“the ox mindset,” “the hound mindset,” “the lion mindset,” and “the vulture mindset.” She also explored the spirit of craftsmanship through five traditional artisan trades: blacksmithing, carpentry, masonry, bamboo weaving, and tailoring. Drawing on this craftsmanship ethos, she identified five core competencies: the ability to set work objectives, the capacity to develop work plans, the skill to spot problems on-site, the talent to motivate and inspire subordinates, and the capability to enhance production efficiency. Each of these competencies was thoroughly explained and analyzed in detail. Finally, she articulated eight key positioning requirements for mid- and lower-level managers: serving as strategic implementers—fighting for performance; acting as departmental commanders—ensuring subordinates achieve their goals; functioning as business inspectors—spending 70% of their time on inspection; being management innovators—working creatively; serving as team coaches—cultivating outstanding subordinates; collaborating with others—working harmoniously within the department; enforcing institutional rules—upholding fairness and justice; and becoming cultural inheritors—building an execution-oriented culture.

The 12th time moving in. (Aug 31 – Sep 2, 2021)

 

 

This is the final session of our detailed implementation project. Once again, the Hui Cheng Enterprise Management instructors have arranged two sessions tailored to address our company’s challenges in frontline management and the shortcomings on the production floor: “How to Effectively Manage Frontline Operations” and “Quick Mold (Changeover) and Continuous Improvement.”

In “How to Excel in Grassroots Management,” Teacher Tan begins the course by defining what management truly is, then moves on to discuss managing tasks and people. She emphasizes that every task must have a designated person in charge, every task must follow clear standards, every task must be subject to regular inspections, and every task must yield concrete results. She also outlines the roles that managers should play: they must not shy away from tough challenges, excel at communication, possess keen insight, have the composure of a general, and move with the speed of a sprinter. Through specific examples, she illustrates how managers can serve as invaluable assistants to their superiors. She further details daily management activities at the grassroots level—such as team meetings, pre-production checks, quality inspections, and team communications—and highlights three key management principles: goal-oriented management, the 4M1E approach, and 6S management. Finally, she provides in-depth analysis and interpretation through a series of compelling case studies.

In the course “Quick Mold (Changeover) and Improvement,” Instructor Wang Dalin provided a detailed introduction to SMED. He then compared SMED with the traditional ten-step mold changeover process, highlighting the problems inherent in the conventional method, the seven types of waste, and time allocation. Through this comparison, he clearly demonstrated the necessity and advantages of SMED. The course also thoroughly explained SMED’s six basic requirements, four core principles, and fundamental rules. Finally, it introduced SMED using the six-step implementation methodology, enabling us to gain a deep understanding of SMED’s critical role.

Under the careful guidance of our lean instructor, starting from a workload survey and proceeding through the streamlining of processes, job descriptions, and key systems, we have implemented training and on-site support for the establishment of PMC production planning and material control. Additionally, we’ve put in place a series of lean management systems—including an early-morning meeting mechanism, a proposal-based improvement system, a weekly planning and summary mechanism, and a 6S inspection system. As a result, we can clearly see significant improvements across all aspects of the company.

In everything people do, a goal is essential. When one’s actions have a clear objective and one continually compares those actions with the goal, clearly understanding both the pace of progress and the distance remaining to reach the goal, the motivation for action will be sustained and strengthened. As a result, people will consciously overcome all difficulties and strive wholeheartedly to achieve their goals.

Finally, I’d like to say that as long as we start by making small improvements in every little detail and gradually integrate the principles of lean into quality management, lean will always bring unexpected rewards.

 

Yang’s Quality Department, Han Jie

June 29, 2022