Is It Time to Redefine the Boundary between Outside-In & Traditional Process?

We (HYM) commonly characterize O/S (office & service) work as O-I’s natural domain and production as more apropos for inside-out approaches, especially Lean, which is our preference. Since most work directly affecting customers happens in the O/S, this creates for a nice, clean, understandable distinction. But every once in a while, complexity does help – as is the case with accurately describing the O-I/production process dividing line.

Case in point. A very high volume reconditioner of capital goods interviewed us for a process engagement intended to increase throughput (we formally kick off next week). The company’s customers had voted with their wallets that they wanted to sacrifice pristine quality for a lower finished price point, which made throughput and efficiency the primary goals. Sounds like a job for Lean (or LSS) rather than O-I, no?

No. During an initial day observing we quickly discovered the major impediments to reducing cycle time. Communication breakdowns and slowdowns only addressable through systems architecture changes plus an infusion of new, communication-based process automation technologye. Yes, we’re to recommend plant layout changes and work force disposition and training, but this client’s primary issues aren’t origi9nating on the shop floor.

From our perspective, neither Lean nor LSS redesign communication process well, especially at the level of specifying systems architecture and application layer changes. In contrast, the full O-I regimen – which aligns strategy to customers; process to strategy; and then technology to process – gets deep into enabling technologies. So we made what I believe is fair representation saying that O-I was a better fit than Lean or LSS, crossing over the basic O-I/production process dividing line. The client agreed with our thinking.

I know our saying that Visual Workflow, the O-I approach we use, will outperform Lean and Lean Six Sigma in this setting will rile up some traditional process types, who’ve at least had safe competitive refuge from O-I Process on the production side. But I’d venture a prediction that we’ll soon see more encroachment by O-I on what’s been accepted as traditional process space as O-I continues to grow in share of overall process redesign work.

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