Lean services apply the lean manufacturing concept in the service environment. Lean service is not interested in the production of “hard” goods but services that are not tangible. Therefore, it is possible for lean work to be applied in the service industry. The following are some of the aspects that make lean service possible.
The service wastes such as delays in those customers may wait for long before delivery, duplication of data in that one has to re-enter or repeat filling in of forms, and unclear communication that promotes seeking of clarification, wasting time in locating a service provider, etc. are avoided. Service wasters also include errors in service transaction, defects, incorrect inventory such as being unable to get the exact service required, and failure to retain customer due to failure to create rapport with them. For example, in financial companies, errors in transactions may take long to rectify. The “Lean six sigma” is adopted to eliminate these wastes.
Lean services succeed if four rules should be followed. Rule one requires that all the work be specific in content, timing, sequence and the outcome. The second rule is that the customer-supplier connection has to be direct, and with no ambiguity. The third rule is that the connection path for every product or service supplied has to be direct and simple. The fourth rule require improvements be made following scientific methods, and at the lowest levels of the organization. For example, in transport service such as airlines, the customers need to connect direct with the service providers as well as a proper time schedule.
The DEB-LOREX™ model is suggested in services companies. It utilizes the lean and systems thinking philosophies. Its components include leadership, values systems, anchors, functions, lean thinking, and results (Debashis Sarkar, 2006). For the service company to succeed, these components must be in harmony. For example, the values of service in transport industry have to be excellent so as to retain the customers.
There are several criticisms of lean work in service industry. It is claimed that the application of lean production in service industry destroys the service industry. It creates impersonal working environment in the service company. Extreme lean services are prone to external shocks such as jams, whether changes, etc. However, the benefits outweigh the negatives.
Work cited
Sarkar, Debashis . 5S for Service Organizations and Offices - A Lean Look at Improvement, ASQ Press. 2006.