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Understand the five critical components of metrics.

By Dennis McCafferty  |  Posted 12-02-2011 Print

Today's precarious economy has forced organizations to think lean -- as in launching transformations to eliminate wasteful processes and inefficient use of resources. Yet, by focusing strictly on cost reductions, CIOs and other top business leaders lose sight of what's really important: The need to create value throughout this lean transformation. The book "Beyond the Lean Revolution: Achieving Successful and Sustainable Enterprise Transformation" (Amacom/Available now) conveys the need for managers to assemble a complex and interdependent blueprint involving people, processes and technology to effectively serve all stakeholders. Authors Deborah J. Nightingale and Jayakanth Srinivasan provide a detailed lean transformation roadmap, as well as examples taken from real-life companies such as Raytheon and Rockwell Collins. Nightingale is a professor of practice of engineering systems and aeronautics and astronautics at MIT and is director of MIT's Center for Technology Policy and Industrial Development. Srinivasan is a research scientist at MIT's Lean Advancement Initiative. Here are eight highlights:

1

Metrics to quantify successful lean transformation must be:StrategicMeasurableActionableRelevant Timely.



 

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