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Assessing Capability

Manufacturing Focus

Lean Factory Audit (LFA) for manufacturing operations, converting raw materials into finished goods.


Service Focus

Lean Office Audit (LOA) for professional service operations, converting consumers into satisfied customers.


Assessment provides Clarity

The operations diagnostics helps investors understand what they are buying; it delivers critical input for developing effective strategies. Traditional due diligence efforts mainly focus on validating financial statements and the sales funnel. We differentiate ourselves by assessing the value-chain end-to-end, uncovering the hidden problems and potentials in functions and interfaces – Sales, Operations, Engineering, Quality, and IT – all of which are critical to the long-term success.

Operations Diagnostics (OD)

  • Purpose: identify problems and discover opportunities
  • Application: pre-merger evaluation and benchmarking
  • Process: assess value chain performance PLM, SCM, CRM, OPS
  • Duration: 1 week for a ‘Quick Scan’ and 1 month for a ‘Deep Scan’
  • Deliverable: diagnostics report, benchmark ranking, gap-fit assessment
  • Impact: clarity as foundation for effective decisions

Assessed Dimensions

MANAGEMENT – ability to plan, motivate and execute:

  • Strategy deployment and tactical planning
  • Budgeting and financial control
  • Goal cascade
  • Performance management
  • Consequence management
  • Negotiation and conflict resolution

PROCESS – ability to meet the needs of the customer (VOC) and business (VOB):

  • Organization and communication
  • Strategy implementation
  • Problem solving, deviation management
  • Innovation and renewal
  • Learning, skill-building, people development

SYSTEM – infrastructure, accessibility, availability, quality of information:

  • Planning and manning (CRP, MRP)
  • Costing (FIM, ABC)
  • Information value, accessibility, protection (IT, IP)
  • Quality (ISO, QA, QM)
  • Continuous improvement (CI, Lean, Six Sigma)

PEOPLE – capability, motivation, mindset to meet business-needs:

  • Mindset, motivation, behavior
  • Knowledge, critical know-how
  • Skills and strategic capabilities

Assessment provides ’Big Picture’

  • Assets – plant, equipment, inventory
  • People – capability, mindset, motivation
  • Structure – documented vs practiced
  • Baseline – current performance vs benchmark
  • Potential – constraints, dysfunctions, inefficiencies
  • Strengths – source of competitive advantage to enhance

Contact us for an objective, comprehensive operations assessment. As a preparation for the full Operations Diagnostics, you can do the initial Lean Audit yourself.