Evaluating the effectiveness of an algorithmic strategy for implementing the Lean concept using modern innovative tools

Momot Roman Aleksandrovich ORCID: 0000-0001-5855-4901 Assistant; Scientific and Educational Center 'Promising Solutions in Education'; Southern Federal University 105/42 Bolshaya Sadovaya str., Rostov-On-Don, Rostov region, 344006, Russia momotroma@gmail.com

Introduction

Evaluating the effectiveness of projects to implement the lean manufacturing concept remains a cornerstone in the system for determining the effectiveness of an enterprise. Currently, a fairly large number of methodological recommendations have appeared to assess the effectiveness of implementing elements of the lean production system in industries covering a significant part of the sectors of the economy ^[1,2,3].

Given the multidimensional nature of the "lean manufacturing" category, the definition of its effectiveness is considered by various authors from different points of view. For example, in the article by T. A. Suetina and D. M. Safina ^[4], a calculation of the economic efficiency of investments in lean production processes, which in our opinion deserves attention, is proposed based on an assessment of the threshold value of the scale of implementation of BP tools, exceeding which, in their opinion, may determine the size of the economic effect of implementation. In the work of L. A. Grezina ^[5], the methodology of expert and quantitative assessment of the effectiveness of the results of the introduction of Lean production technologies is considered, which, as the author quite correctly notes, are an integral integrated part of the quality improvement system of the enterprise. In the publication of Saversky A.I. ^[6], an assessment of the effectiveness of the implementation of BP tools is studied by conducting a questionnaire survey of personnel and conducting a correlation analysis of the information received. The author quite rightly argues that the presence of a quality management system developed in the institution that meets the requirements of the ISO 9001 standard is the key to the successful implementation of the lean approach concept. A. N. Chelombitko ^[7] in his work explores the possibilities of determining the effectiveness of educational organizations from the point of view of evaluating the implementation of the BP methodology, which provides for establishing the degree of correspondence between the elements of BP (principles, tools) and quantitative and qualitative parameters. The authors Kudryavtseva S. S., Ziyatdinov N. N., Lapteva T. V., Titovtsev A. S. ^[8] to assess the effectiveness of these processes, propose the construction of an indicative economic and mathematical model of the production function based on the synthesis of sciences (management theory, production organization, mathematical statistics, etc.). S. O. Gralnik ^[9] suggests to use the KPI system to improve the efficiency of departments, pointing out the need for system checks and adjustments of its indicators depending on the changing business goals of the organization, however, considers only the positive features of this system, without taking into account some relatively limited possibilities of its application in small (micro) enterprises (in which, for example, a small number of due to high workload, employees may not be able to optimize these criteria in a timely manner). E. I. Shveeva ^[10] considers the assessment of the results of the implementation of BP tools on the example of a division of KAMAZ PJSC in the total value based on the implementation efficiency indicators, however, unfortunately without specifying their names. The authors A. A. Ovchinnikov, K. P. Faller, S. A. Ovchinnikov, I. V. Yemanakov ^[11] propose to calculate the economic efficiency of the BP implementation project based on the calculation and comparison of results at different stages (in order to highlight: potential, expected and actual effects) using a methodology that will undoubtedly allow to obtain a more thorough and reliable result, However, it requires a large amount of information and high labor costs, which together may limit the scope of its application.

At the same time, the vast majority of modern methodological approaches rely on the need for fairly complex and time-consuming calculations that are appropriate for use in large and medium-sized business entities, while for small, and especially micro-enterprises, these developments can cause significant difficulties and lead to unjustified costs.

The purpose of the research is to develop methodological tools that are simple enough to be used in conditions of limited capabilities of small and micro enterprises in the field of transport and logistics services. The scientific novelty consists in the development of an improved method for evaluating the effectiveness of key elements of an algorithmized strategy for implementing lean manufacturing tools in small (micro) businesses based on an integrated approach through the development of a system of criteria that include commercial and quality indicators, including the time of operations that add value to the product, as well as the full time of the service throughout the production flow, which It will allow us to better determine the effectiveness of the entire value creation stream.

In the course of the research, based on the application of a systematic approach, conceptual modeling, methods of graphical, comparative and statistical analysis, a review of a wide empirical array, a large number of publications and analytical data, the results of author's theoretical and practical research was carried out, which allowed to achieve the necessary level of factual reliability and reasonableness of conclusions.

Building a system algorithm (algorithmized strategy)

implementation of the BP concept

Practice has shown that enterprises that provided for a lean approach as a strategic goal of improving management efficiency were faced with the need to develop their own production and management system based on the principles and philosophy of the Lean concept. As part of the research conducted by the author, the implementation of BP elements was carried out at small (micro) business enterprises in the field of transport and logistics services, for which a project was formed to introduce individual tools and methods based on the development and construction of a conceptual model of a Transport and logistics system (TL)using the example of Trans LLC ^[12]. Figure 1 shows a diagram of the main constituent elements of the concept of lean production of TLS, which includes specially designed in accordance with the individual characteristics of the organization: the idea, goals, objectives, six basic principles of building TLS, eight principles of forming a lean approach, a basic set of tools and methods, organizational and managerial culture, a list of major potential losses, a seven-stage systematic sequential the implementation algorithm (algorithmized strategy) and transport and logistics flows.

Source: developed by the author based on the research materials

Figure 1. Key components of the concept of the production and management system of an enterprise providing transport and logistics services

Based on a comparative analysis of approaches to the mechanism of building a Lean Production model proposed by authors such as J. Wumek and D. Jones ^[13], M. Vader ^[14], J. Liker ^{[15, 16]}, as well as Russian experts in this field ^{[17, 18]} have developed and empirically verified a seven-step system algorithm (algorithmized strategy) for implementing elements of the lean approach concept in the context of improving the quality of organization management (Figure 2), which has been tested at a small (micro) business enterprise in the field of transport and logistics services ^[19].

Source: developed by the author based on the research materials

Figure 2. A seven-step system algorithm for implementing the BP concept as part of improving the quality of organization management

Methodology for evaluating the effectiveness of key elements of an algorithmic strategy using modern innovative tools

As already mentioned above, most of the currently available methodological recommendations for calculating the economic efficiency of the processes of implementing the lean manufacturing concept, as a rule, were developed for large enterprises engaged in the production of products on a large scale or providing mass customer service in the presence of a significant number of personnel, specialized equipment, significant financial capabilities, as well as requiring the use of rather complex calculations that are inconvenient due to the difficulties in allocating the costs associated with ensuring the implementation of elements of the BP system from the total costs of the enterprise.

At the same time, for small and medium-sized enterprises, the use of such techniques is largely complicated by the presence of a limited number of human and financial resources and many other factors. Considering that for small (micro) enterprises, the main costs of implementation can be reduced to the cost of personnel training, payment to experts of certification commissions and the cost of purchasing software (including the cost of implementation and adaptation to the requirements of the enterprise), the evaluation processes must meet the criteria: urgency, ease of use, low cost of human hours, for clarity. In our opinion, it is more expedient to evaluate small enterprises as part of the implementation of BP elements on the basis of the allocation of individual blocks according to criteria that can be divided into groups: 1) a system of commercial (economic) indicators; 2) a system of qualitative indicators (related to the degree of awareness of the concept of BP and the implementation of the principles of organizational culture) (Table 1).

To assess the economic efficiency of the company, eight groups of indicators have been identified: indicators of turnover, costs, profit and profitability, motor transport, productivity, payroll, average wages, which, together, allow us to analyze the economic condition of the company. The assessment of the effectiveness of the degree of implementation of qualitative criteria was carried out on the basis of the indicator of the documented cargo tracking process on the principle of "from application to payment".

Table 1. Summary table of criteria for evaluating the effectiveness of implementing elements of the Lean concept based on an integrated approach

Source: compiled by the author based on the research materials

To calculate the quality indicators, it is advisable to use the approach used in the GOST R 56406-2015 standard "Lean manufacturing. Audit. Questions for the assessment of the management system", which provides for the assessment of requirements according to a three-point system ^[20], which can be carried out by internal expert auditors or on the basis of self-assessment. However, the main criterion for evaluating the implementation can be the degree of achievement of the overall economic efficiency of the enterprise and the demand for its product among consumers. A general assessment of the socio-economic significance of the results of the implementation of the BP system at an enterprise for the provision of transport and logistics services can be given in the context of achieving the main goals and objectives to ensure the performance of its main functional cargo delivery service. Failure to meet the planned targets means that there is no fact of achieving the goals, and accordingly, there is no confirmation (proof) of the effective functioning of the TL.

An analysis of the economic efficiency of the main economic results of Trans LLC, calculated for the period before and after the introduction of individual lean production system tools, is presented in Table 2.

Table 2. Comparative analysis of individual KPIs before and after the start of the introduction of TL elements in LLC Trans for 2021-2023.

Source: compiled by the author based on the research materials

A graphical representation of the results achieved during the implementation of individual Lean-Trans TLC tools for the period from 2021-2023 is shown by diagrams in Figures 3-5.

Source: built by the author based on the research materials

Figure 3. Dynamics of turnover of Trans LLC for 2021-2023. (thousand rubles)

Source: built by the author based on the research materials

Figure 4. Dynamics of labor productivity of Trans LLC for 2021-2023. (thousand rubles)

Source: built by the author based on the research materials

Figure 5. Dynamics of wages per employee in LLC Trans for 2021-2023 (thousand rubles)

In the course of the research, a methodology was developed for evaluating the effectiveness of key processes of an algorithmized strategy based on the use of modern innovative approaches through the application of criteria (indicators, indicators) for the effectiveness of implementing lean manufacturing tools, based on the principles of: key elements (processes), determining the indicators of each of the key processes and analyzing the dynamics of changes in quantitative characteristics of indicators. In the process of analysis, one of the main key parameters is highlighted – the process of "documented support of cargo delivery services", which is typical for almost all small, medium and large business entities with similar operations.

Figure 6 shows a diagram of the value stream map of the processes of documented support of logistics services in the company, based on timekeeping conducted before and after the introduction of Lean elements, according to which the algorithm of stages is arranged in the following sequence: 1) selection of unprocessed clientele; 2) calling ("cold" call); 3) processing of a "cold" client; 4) processing of a "hot" client (chime); 5) calculation of the offer for the client; 6) discussion of the offer with the client; 7) sending for shipment and registration of the application; 8) distribution of the application among logisticians; 9) search for vehicles; 10) registration of shipment and analysis of the causes of failures; 11) monitoring of delivery and signing of waybills and Universal Transfer Documents (UPD); 12) invoicing.

Source: built by the author based on the research materials

Figure 6. Diagram of the value stream map of the processes of documented support of logistics services in the company within the framework of the Lean-Trans TLC

As a result of measures to improve logistics processes planned as steps to implement elements of the Lean-Trans system, the total time of the logistics service implementation process was reduced from 35090 seconds to 10058 seconds. Time savings due to a clear distribution of responsibilities and the definition of the functions of each employee amounted to 25037 seconds.

The efficiency of the flow of individual value creation processes can be calculated using the formula (1)

(1)

where EpC is the efficiency of the value stream;

B1; B2; B3; Vp – the time of each process that increases the cost of the product from the customer's point of view;

B – the full time of the technological cycle of the service

Table 3 shows the optimal set of tools (suggested tools) which is advisable to use at all stages of the value stream flow diagram of the processes of documented support of logistics services in the company within the framework of the Lean-Trans TLC. The degree of implementation of specific BP tools can be determined and evaluated based on an expert assessment according to the methodology set out in the procedure "Methodology for evaluating the effectiveness of BP processes" developed by the company. It should be noted that achieving high economic indicators compared to the reporting period (before the start of the implementation of BP tools) may not necessarily be associated only with the implementation of the principles of the BP concept, this process may depend on many different circumstances. However, in this case, the influence of other factors was not observed.

Table 3. Algorithm of processes for documented support of cargo delivery services by the company

^*CRM (Customer Relationship Management), is a customer relationship management system designed to automate customer interaction strategies

^**VLSI is a network of business communications and electronic document exchange between companies, government agencies and individuals

^***Bitrix24 is a set of free tools in electronic form for doing business: CRM, website builder and online stores, project management system

Source: compiled by the author based on the research materials

At the same time, it should be understood that the described improvements may turn out to be only a short-term success, which was caused by an active "shake-up" of a small team by activation methods and the subsequent identification of certain hidden reserves of the organization's potential. One of the main conditions for the effectiveness of processes should be, on the one hand, support for the functioning of an implemented system of tools, and, on the other, ensuring continuous improvements (kaizen system) by all employees of the company within the framework of an effective motivation system developed.

Conclusion

The implementation of the methodology developed in the course of the study to assess the effectiveness of an algorithmic strategy for the implementation of the Lean concept, based on an integrated approach through the development of a system of criteria including commercial and qualitative indicators, allowed us to draw the following conclusions:

1. The introduction of individual elements and tools of lean production in accordance with the stages of the proposed system algorithm (algorithmized strategy), which became a determining factor in speeding up document flow, reducing the time for searching and processing applications from customers, as shown by the calculations, significantly increased the productivity of the company's employees and increased the number of customers served, and also led to a change in and other economic indicators.

2. In the process of applying the improved method of evaluating the effectiveness of the implementation of key elements of lean manufacturing, as part of measures to improve logistics processes planned in the context of the implementation of a seven-stage system algorithm, the total time of the process of implementing documented support for logistics services was reduced, which allowed savings due to a clear allocation of responsibilities and definition of the functions of each employee, reduction or elimination unnecessary operations and ensure the efficiency of the value stream, which amounted to more than 28%.

3. As part of the implementation of further research directions, it is planned to expand the scope of application of these methodological developments for small (micro) businesses in other sectors of the economy.