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H&H Color Lab – American Company Growing Through Lean

HHLogoH&H Color Lab began in the basement of Wayne and Shirley Haub’s residence in a suburb of Kansas City, Missouri, in 1970. Wayne and his brother, Ted Haub, owned a portrait studio that had just landed its first high school senior contract. With a background in and love for color printing, Wayne chose to install his own color processing equipment in the basement of his home.

Business increased, and so did the need for additional space and employees. What began with Wayne doing everything from his basement has grown to 165 people and 55,000 square feet of space over 40 years later.

H&H customers are primarily school/portrait/wedding photographers.  The offer a wide range of products from photo prints to books to Leather bound albums and digital products.

In 1999, H&H Color Lab started is Lean journey led by Lee Gabbert.  Lee had been with the company for 5 years at the time and was chosen to learn more about lean and teach others at H&H.  They started by reading “Lean Thinking” by James Womack and Daniel Jones.  H&H also decided to get a sensei to help them learn as they traveled the bumpy road down the lean path.

H&H Color Lab started by setting up work cells, going away from a department mentality. H&H moved to smaller batches, moving cells closer to the monuments (that they couldn’t move), standard work, and lots and lots of 5S.

Muda (waste), lead times, late work and quality all had improved. In fact, the gains from lean had now freed up space that was once occupied by manufacturing departments.  It allowed H&H to take the space and use it as a training facility to help customers from all over the United States. Thus, H&H University was born. Roughly 3,000 square feet of space was now designed and transformed into a learning center, working photographic studio with equipment, mock up photography sales room, photography studio work area, kitchen to host all day training, library sitting room with sample products that H&H produce on the book shelves and restrooms. By providing training for customers (mostly free of charge), you truly can engage in a partnership that can grow.

All of this work allowed H&H Color Lab to make a success transition from the “Age of Film” to the “Digital Age”.  Understanding their customers and providing training and education others companies do not, shows how the most important part of lean, focusing on the customer, helps you innovate, grow and thrive.

Here are results that H&H Color Lab have seen from their lean implementation.

 

1999

2012

% Change

Late Orders

3,076

25

99% reduction

WIP

10,421

1731

83% reduction

Redo

5.3%

1.3%

75% reduction

% Shipped Late

49.3%

5.8%

88% reduction

Time in Plant

7 days

1.1 days

84% reduction

Sales

22% increase

 

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My Continuous Improvement: Personal Kanban

As I look for ways to improve, I am inspired by other lean thinkers and bloggers.  I see what they are trying and look to how that might work for me.  I try and experiment with things in order to make my job easier and to feel more in control and organized.

I decided to start a series that will be based on what I have tried in order to make my work better.  It may be small or large things and most likely it was an inspiration I got from someone else.  I hope that by passing along what I have learned that it may inspire others the way others have inspired me.

About seven months ago I read Tim McMahon’s blog post about the benefits of his personal kanban.  I decided that this was something I was going to try.

I decided this was something I was going to try to improve my work.  I spent a few months deciding how I was going to go about this before jumping in and trying it.  Finally, I did give it a try.  I wish I had better news, but my first and second iterations were not very successful.

I tried using note cards and a bulletin board to move the work.  I chose my value stream to be WIP Queue, In-Process, and Completed.  I color coded the tasks by which customer I was serving since my role is internal consultant.

I found I was re-prioritizing the work on a constant basis, mainly because my customers were re-prioritizing their work.  Plus, like Tim I don’t sit still.  I am out in the manufacturing plants or in different parts of the main building all the time so I don’t get to see the bulletin board as much.  I really liked my digital task list that syncs with my Blackberry.  Having the tasks mobile was very helpful.

I was also having trouble squeezing time in to complete these tasks, but I started blocking time off on my calendar to work on some tasks.

In the end, the experiment was a failure.  But, I did learn what worked and what didn’t and why.  I still want to improve my work flow so further reflection and study is necessary.  With Tim’s recent post about how and why he digitized his personal kanban, I was exposed to digital tools that I did not know existed.  I will now take the time to look at some of the tools Tim presented and conduct some research of my own to figure out the best way to incorporate the right tools to help with my process.  Find the tools to fit the process, don’t fit the process to the tools.

Not all improvements work out and I think it is to highlight those and talk about those as much as the ones that did work.  Happy improving!

Music Industry is Shifting from Batch to Single Piece Flow

The digital age has been here for quit some time.  One industry that has be changed significantly is the music industry.  For over 50 years the music industry was a batch industry.  Musicians released music in batches to the public in the form of albums.  Then batches of albums would be manufactured and sent to stores before finally a consumer would buy a copy of the album.

The digital age has made it possible for the music industry to go to a single piece flow.  The middle man or seller has done taken advantage of it.  Now you can go to iTunes or Amazon or other websites, pick what songs you would like and download them one at a time.

Why haven’t the musicians taken advantage of this though.  Musicians are still releasing songs in batches (albums) even though the consumer is downloading just certain song off the album from the internet.  Why don’t musicians create a song and then release it and not wait for batches of songs to release together?  It might allow more songs of theirs to be downloaded because a song is getting played, the fans hear it, and then buy it.  When done in batches, only a couple of songs get played and the rest of the album may be heard by the fans if they buy the whole album or it may not.

Leveling the release of the songs in a single piece flow seems like it would be beneficial to the musicians.  Allowing more of their songs to be played on the radio, which I would think would lead to more downloads and more revenue for the musicians.

Just a thought in a way to use the digital music age to their advantage.  What are your thoughts?