September 25, 2019Operations Health Check The Operations Health Check (OHC) provides a quick view on how your operation measures up against world-class references. After answering 20 questions in 20 minutes, you will receive the maturity score via email. For a full assessment, consider the Lean Office Audit and Lean Factory Audit to score all 20 keys to world-class operations, which takes 2 hours to complete. Scope (?)Email Company (?) 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How are budgets defined and costs understood? a) No solid budgets or low awareness; only few people can explain basic costs, hourly rates by cost center b) Budgets decided top-down; managers understand cost structure and work with teams to resolve variances c) Budgets based on historical data; managers can explain cost drivers, cost structure, allocation logic d) Budgets designed bottom-up based on actual data; managers readily explain cost model and draw driver trees e) Zero-based budgeting (ZBB) drives relentless cost discipline; resources newly allocated each budgeting cycle2. How is efficiency or productivity controlled? a) Indirect reporting and not directly measured; calculated from other metrics, such as revenue per person b) Labor time or cycle time standards defined for main activities; first efficiency charts established c) Resource consumption tracked against standards in key areas; run charts show trend over several months d) Efficiency charts with firm goals for each department and work center; time-per-unit is closely managed e) Performance continuously tracked by system for each area; deviations triggers formal corrective actions3. How accessible is essential information? a) Information guarded by few people and not openly shared; tribal knowledge is common, seen as job protection b) Information collected and controlled by managers and experts, shared with others as needed, or upon request c) Information shared within teams, but restrictive rules or rigid systems limit exchange between functions d) All information stored in centrally, allowing free exchange between functions, but still requires searching e) Information available on demand; expert communities control content and configure collaboration systems.4. How long does it take to collect status information for a complete overview end-to-end? a) Poor transparency; many walls and areas, requires several people 1 hour or more to collect status information b) Low transparency requires 20 minutes pulling reports from system and walking around to get full status update c) Moderate transparency; few walls between processes and effective reports allow status review in 10 minutes d) Good transparency overall and full transparency in production and warehouse, status overview in 5 minutes e) Full transparency end-to-end, glass offices and real-time status displays allow overview within secondsInfo5. How well is strategy defined and executed? a) Senior management decides on goals, but leaves workforce with little understanding on how to achieve them b) Goals defined and communicated to all levels, but not all priorities are aligned or not all initiatives funded c) Initiatives are resourced, priorities clear, goals cascaded; everyone knows what is important, what to do next d) Policy deployment formalized; X-matrix links goals, tactics, teams, technology, projects, rewards to strategy e) Policy deployment entrenched; X-matrix for next 5+ years drives all organizational objectives and incentivesInfo6. How effectively do managers take action? a) Managers are too busy to recognize problems early, mainly coordinating responses to urgencies and breakdowns b) Managers recognize issues, but have little time left to address them; many plans show deviations and delays c) Managers take action, but consequences not firmly set for missing expectations, causing persistent minor gaps d) Managers address all issues within few days; actions and consequences well defined; all major issues resolved e) Managers address 90% issues on the same day; discipline and responsiveness of all staff is consistently highInfo7. How well are metrics defined and goals aligned? a) Metrics missing or measures without meaning; only few people can explain how they can support company goals b) Some numerical goals defined and spot performance tracked by department; but not tied into the business plan c) Metrics and goals defined, but measurement process not yet stable or teams cannot directly influence numbers d) Solid performance indicators and goals for each team, covering at least quality, delivery, cost, morale (QDCM) e) Balanced scorecard fully deployed, linked to strategy and reward system; mission and metrics are clear to allInfo8. How well do key processes perform? a) Quality is below expectations, customer requirements not well understood or not fully met; frequent complaints b) Quality actively managed; meets expectations most times, but defects and instabilities still cause disruptions c) Quality consistently meets expectations, problems limited to occasional glitches; no major issues pending d) Reliable, repeatable processes; few issues quickly solved, quality and customer satisfaction consistently high e) Competitive advantage with strong evidence of improving market share due to superior quality and reliabilityInfo9. What is the general attitude towards change? a) I always have done it this way, I never did it that way, or I see no reason to change b) I think that change is needed but elsewhere in the organization; the others should change or do something c) I see the need for change but I am not sure where to start, let me know what to do; we should do something d) I can see what we need to improve and I am getting actively involved to change what we have today e) I actively search for opportunities, take charge and lead change because I see it as the engine of our successInfo10. How is performance improved? a) Team was busy with day-to-day work; no time left to think about improvements; processes unchanged for years b) Team applied spot-fixes, reorganized people, rearranged equipment, installed boards, shelves, service stations c) Team improved workflow and updated procedures, significantly reducing efforts and errors by double-digit% d) Team doubled (200%) efficiency or velocity of at least one core process by totally redesigning method or flow e) Team achieved a major breakthrough, transformed at least one value stream end-to-end, from demand to deliveryInfo11. How are roles and responsibilities defined? a) Roles evolved over time; responsibilities more assumed than defined; colliding, duplicative, competing efforts b) Roles defined top-down with little discussion; more imposed than aligned or job standards not well defined c) Roles discussed between manager and team; some issues around standards because rigid, generic, or not binding d) Roles defined and aligned with few exceptions; key responsibilities linked to goals and performance metrics e) Responsibility assignment matrix for all positions and processes, updated annually to adapt to changing needs12. How well are commitments to external customers met? a) Regularly missed without accountability; people try to justify reasons for misses; 2.5-sigma delivery or 84% OTC b) Frequently missed; some people feel responsible and establish a sense of urgency; 3-sigma delivery or 93% OTC c) Commitments usually met with extra effort, overtime, expedites, or workarounds; 3.5-sigma delivery or 98% OTC d) Most commitments met without extra effort by following established procedures; 4-sigma delivery or 99% OTC e) Performance culture; track record of consistently meeting commitments; 4.5-sigma delivery or 99.9% OTCInfo13. How are problems addressed? a) Quick fixes and workarounds, reactive approach to problem-solving, frequent fire-fighting and expediting (2D) b) Containment and symptom treatment, such as rework, reset, repair, replace, return, reschedule, reissue (3D) c) Formal root cause analysis, fishbone and failure-analysis tools regularly used by managers and experts (4D) d) Systematic root-cause elimination (5D) with recognition of prevention; evidence of reduced reoccurrence (6D) e) Problem prediction and prevention is management priority (7D); solutions translated into new standards (8D)Info14. How effective are work standards? a) Basic user manuals from suppliers or uncontrolled process documents; no evidence of standard work in use b) Basic process descriptions, such as quality manual or ISO handbook, mainly used for compliance purposes c) Procedures with pass-fail criteria for each step, describe what to do, how to do, and how to check the result d) Detailed procedures specify steps, flow, quantity, quality, timing; used as basis for efficiency management e) Full standards specify steps, flow, quantity, quality, timing, skills; serve as basis for all improvementsInfo15. How well is the workplace organized? a) Areas look messy, dirty, cluttered, neglected; disorder goes along with safety issues, such as cables on floor b) Sorting completed; clutter and unnecessary items have been removed; only items required for work are kept c) Organized level; items stored in optimal locations, areas cleaned up and equipment in perfect working order d) Standardization completed and all storage spaces marked; items kept in assigned places and returned after use e) Organization is culture and housekeeping part of daily activities; structure and discipline consistently high16. How effective are team meetings? a) No regular team meetings; people get together mainly for special events, such as employee information meetings b) Meetings held but time wasted from irregular attendance or unclear objectives, lack structure or discipline c) Meetings held regularly with good attendance, but not always effective or they take longer than expected d) Meetings well-structured and relevant to all members, held regularly without exception; most are effective e) Daily meetings considered essential to everyone, participants fully engaged; no meeting is missed or delayedInfo17. How advanced are technical capabilities? a) Core technology in place for many years; technical contractors perform maintenance and upgrades b) Core technology upgraded in recent years, but still not very modern; internal resources keep systems running c) Core technology considered up-to-date; internal specialists dedicated to maintain and improve capabilities d) Modern technology end-to-end; dedicated technology team and budget allow quick deployment of new methods e) Cutting-edge technology designed in house; technology team recognized for their breakthrough innovationsInfo18. How well is rhythm established, time controlled, and discipline managed? a) Attendance unstable; some critical areas unstaffed during core times; break times left to employee discretion b) Attendance recorded but not strictly managed; social breaks are common; work and meetings sometimes start late c) Attendance controlled and schedules regularly updated; work starts promptly and meeting time is well managed d) Everyone is conscientious about time; no early stops, next day targets clear, and long days are exceptions e) Time considered valuable resource; strictly managed and effectively used, high discipline is part of culture19. How are skills developed? a) Learning by doing; new employees gain skills through loose mentorship with experienced people b) Training based on simple process descriptions; skill requirements not well defined or skill scores missing c) Cross-training ongoing; skills tracked against targets and skill matrices readily available for most teams d) Cross-training completed and people qualified per skill matrices; core skills doubled and deputies in place e) Continuous training and certification program; skill matrices cover all employees including senior levelInfo20. What kind of visual tools are used? a) No visual tools beyond basic forms, such as marked aisles, areas, offices, fire extinguisher, emergency exits b) Information boards display static information, such as company policies, organizational charts, overall status c) Departmental status displayed but insufficient for spot-review, requires printing report or manager to explain d) Workflow visually controlled end-to-end; signals and charts allow spot review without reports and computers e) Cards, lines, bins, marks used to assign resources, control workflow, balance load, and alert of abnormalitiesWho did the audit? Please enter your name. Click "Done" to submit your inputs and calculate the result. Questions must be answered in one session. If you lose Internet connection or need a break, do not close your browser; just resume when you are ready.Please wait while we process your inputs and calculate the result.