Balanced Scorecard tracks accidents, and records the serious near-miss that occurred onsite. BSC analyses health and safety records and gives you a clear idea about the safety measures and to identify areas that require more attention.
Quality metrics in balanced scorecard help organisations to measure the defect level of incoming and in house products as perceived and measured by the customer. Using quality metrics, organisations can easily manage and track quality related processes.
Financial goals and objectives are one of the most important and sensitive metrics for an organisation. Balanced scorecard manages the financial objectives very intelligently by analysing organisation’s financial figures. The system gives you comprehensive insights.
Balanced Scorecard monitors all delivery processes OTIF (On time in Full) from suppliers to customers. All the warehouse processes and stock moves are analysed and the system gives the appropriate data to the management team.
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Various business, government, and non-profit organisations use the balanced scorecard to align day-to-day activities with enterprise vision, mission, and values.
The people metrics in a balanced scorecard measures how good people are, in their job roles. Using a dynamic scorecard system, organisations can assess their professional skills, training effectiveness, employee’s knowledge about the organisational culture, teamwork and employee alignment.
Lean Daily Management System (LDMS) for Continuous Improvement
Part of the LDMS is the Lean Daily Management Boards, also known as visual management boards, have become an inevitable part of an organisation's lean journey. The purpose of lean daily management boards is to ensure that everything is done at the right time in the most efficient way. Why do you need lean daily visual management boards? Daily stand-up meetings are conducted in front of these daily management boards. It is important to make relevant information accessible and available to everyone. When your co-workers are given an overview of what they are doing, how it contributes to the organisational growth and ways to improve, it creates an environment of continuous improvement, pushing employees to give their best.
Lean Daily Management Boards give information at a glance. Any deviation in actual vs planned can be identified, discussed and resolved. For example, imagine that Shift A produced 10% fewer products on day one. On day two, during the huddle time, workers will discuss this issue and identify the reason that is "10% fewer products were produced in shift A due to the unavailability of certain components". As they have identified the root cause, they bring forth the solution 'to restock necessary components as required. The next day again, the discussion takes place, the previous day's result is analysed, and initiatives to ensure maximum productivity are taken.
Lean Daily Visual Management Boards - Three Elements to Consider
- Standard: In Lean, 'standard' is how things should be. Standards are clearly indicated, and measures are taken to achieve this target consistently.
- Problem: Any deviation from the target set at the beginning is called a problem. It is vital to identify problems, escalate the issues further, and resolve them.
- Actions: Measures taken to solve a problem are called actions. A daily visual management board without action doesn't serve its actual purpose. Identifying problems and taking initiatives to address and resolve them becomes the game-changer.
All three elements help the teams understand what is actually happening on the shop floor or the work area. By making things transparent, problems can be identified, addressed and solved quickly.
Digital Daily Management Boards (Daily Huddle Boards)
The aspect of continuous improvement prevails throughout lean management. Various metrics such as Safety, Quality, Cost, People, Lean, Production, and Delivery are being analysed daily and are compared to the actual vs goal. These key performance indicators (KPIs) can differ for organisations, and it is highly important that they are tracked and monitored regularly. Making decisions or initiating action plans based on outdated data is a big NO. Digital daily management boards never confront the team with outdated data. Morning huddle meeting becomes more precise and transparent as no data is left behind. Every effort is considered, analysed and appreciated. Benefits of Digital Daily Visual Management Boards include, but are not limited to:
- Customised daily management boards
- Visualise business status
- Analyse and understand information quickly
- Reduce miscommunication
- Prevent mistakes and improve safety
- Increase employee engagement and morale
- Access anytime from anywhere
- Easy integration with ERP systems
- What is an SQDCP/SQCDP board?
- What is the purpose of the SQDCP board?
- SQCDP Board example
- Different Metrics and Visual Management Boards
- Why is SQDC important?
- What is SQDCPE?
- What is Visual Management Board?
- What are Visual Boards used for?
- Daily Lean Visual Management Board Examples
- Continuous Improvement Visual Boards
- 5S Boards
- Visual Performance Boards
- Visual Management & Kanban Boards
- Digital Obeya Boards for Visual Management
- SQDIP Boards
- What is the Kaizen Board?
What is an SQDCP/SQCDP board?
SQCDP lean visual management board is part of daily shop floor management which easily visualises how teams perform on key indicators. SQDCP stands for Safety, Quality, Delivery, Cost, and People. The board helps the team collaborate, analyse and initiate continuous improvement activities.
What is the purpose of the SQDCP board?
The purpose of the SQDCP visual management board is to monitor and analyse how teams or departments are performing in key areas, to be more specific in areas such as Safety, Quality, Cost, Delivery, and People.
SQCDP Board example
Different Metrics and Visual Management Boards
Other than the SQCDP or SQDCP boards, organisations can customise the boards according to their specification. Various metrics such as SQDCP, SQCDP, SQDC (QDIP), SQDCL, QCD, ESQDCP, SQCPL, EQDCPS, SheQCPLDCPS, SQCDPS and SQDCPS are evaluated consistently to provide a better understanding of where they are in the roadmap to success.
- S - Safety or Site Action or Sales
- Q - Quality
- C - Cost or Customer
- D - Delivery
- P - Production or Performance or People
- L - Lean
- E - Environment
- She - Safety, Health & Environment
- I - Inventory
Why is SQDC important?
SQDC tracks and monitors performance in the categories of Safety, Quality, Delivery and Cost, provides visual assessment and initiates continuous improvement activities.
What is SQDCPE?
SQDCPE stands for Safety, Quality, Delivery, Cost, People and Environment. These metrics are widely used in organisations to track and measure performance.
What is Visual Management Board?
Visual management boards, also known as electronic or virtual visual management boards, are the heart of any organisation that is progressive. The daily work management board provides real-time information regarding what is happening in and around the organisation, enabling teams to collaborate and communicate in real-time. Let us now have a look at why organisations need lean six sigma visual management boards, their advantages and various types of daily management boards.
What are Visual Boards used for?
Online lean manufacturing visual management boards act as a tool for proper communication in a lean environment. These boards give an overview of all the information, and teams can see real-time updates and retrieve updated information every single time.Visual project tracking boards give clear feedback to the team on how they are progressing, that is their goal vs actual. How to start a Visual Management Board? Well, organisations have now shifted from traditional/physical to digital visual management boards to enhance the overall daily management process. Irrespective of industries, digital visual management boards are used in manufacturing, healthcare, production, construction, energy, utilities, transportation, pharmaceuticals, oil & gas, food & beverages, commerce, education and all other industries.
Daily Lean Visual Management Board Examples
Examples of lean visual management or visual control boards include Continuous Improvement Boards, 5S Boards, Visual Performance Boards, SQDIP Boards, Kanban Boards etc. Now let us have a look at these visual management board examples/ideas in detail.
Continuous Improvement Visual Boards
Visual management boards are essential to driving continuous improvement within the organisation. These boards keep track of the continuous improvement efforts and keep the team updated regarding the progress. The dashboards always provide the team with updated information.
Digital lean 5S visual management boards help the team implement and sustain the 5S process within the organisation. These digital boards keep track of the standards and ensures on a daily basis that the set standards are being followed and drive continuous improvement. The 5S visual management shows the processes to be carried out in a visual way, using which organisations can track and analyse their progress.
Visual Performance Boards
Digital visual performance boards provide a quick and comprehensive view of the overall performance. Be it the employees or the processes; users can track and monitor progress by keeping an eye on the associated performance KPIs.
Visual Management & Kanban Boards
Kanban boards act as the foundation for continuous improvement in an organisation. The visual management Kanbanize board helps the team identify and address tasks based on their importance. Teams can address crucial issues as soon as it is found. Using a visual Kanban board, each team can update the status of their own tasks and be accountable for their progress. Kanban visual management production scheduling boards streamline and optimise the production plan making the job flow more transparent and efficient.
Digital Obeya Boards for Visual Management
Toyota first introduced ‘obeya rooms’, which means a “large room”. The idea was to bring together the leaders from different departments to address ground-level reality and help them focus more on the big picture goals. Obeya rooms had visually engaging charts and graphs which depicted their progress. It also promotes problem-solving among the teams, builds communication and encourages team building. Digital Obeya Boards have all the above-mentioned attributes; in addition, information in digital boards is not prone to error, easily accessible and retrievable.
SQDIP boards provide relevant information related to metrics such as Safety, Quality, Delivery, Inventory and Productivity. The SQDIP board facilitates continuous improvement by providing accurate and reliable information.
What is the Kaizen Board?
Kaizen board is a visual management tool that helps organisations initiate, drive and monitor continuous improvement efforts. The process of continuous improvement begins with the identification of problems and later on initiating action plans to drive continuous improvement.