Provide feedback on their associations of the actions in the case study to each of the pieces of the cycle (P, D, C and A).

Respond to the two statements below separately using the information above.

First statement:

Leadership at Caesars Casino used LEAN techniques to try and improve management techniques. They took part in Kaizen workshops to find ways to improve processes and identify any areas of their operations that needed improvement. Upon doing so, they realized that there were multiple areas that needed attention and they began analyzing their processes. The most important area of needed improvement in my opinion was inventory management/storage.

Plan:The solution to the inventory problem at the casino was to use an inventory management system that allowed better control over all inventory and keep everything in a rotation that ensures older products are being used before newer products to ensure nothing is going to waste due to expiration dates. The plan to fix the inventory management problem is to better utilize storage space and to keep everything in sight so that nothing is overlooked or forgotten.

Do:To test the solution the casino needs to use fake food containers with expiration dates assigned to them and start testing different ways to track the dates in relation to their spot on the shelf. Are they able to keep the newer dates towards that back and the older inventory at the front? This would be a great way to test out the plan without losing actual inventory in the process.

Check:The data produced after the new changes were introduced supports the idea that the new inventory system would be a success. The data portrays that after the implementation of the new proposed solution the amount of money saved was a significant increase from the old way of managing the inventory. In the chart below the blue line represents the cost of inventory before 5S and the green line is after the changes are introduced. It clearly shows that the green line is lower and more steady than the blue. This supports my claim of the success of the new inventory system.

Act:The solution addressed the problem in this aspect of the business. The data from the implementation shows facts that there was an improvement in operations and the company was able to save money in this area of business. To test the solution, they could consider increasing their inventory to see if the plan still holds up to the new capacity, or if they would have to find another way of doing things if they were to expand or grow. I think the company made a great business decision for regulating their inventory and better utilizing their available space. The data proves that they were successful and that a great decision was made. It was worth the time and effort to analyze their inventory management system and it has clearly paid off. This also proves that if the company were to face another area of problems, they could find a way to address the concerns and fix the problems.

Second statement:

Plan:

To alleviate storage concerns, the team decided to implement the 5's system to combat and standardize storage space within the casino's kitchens. The term 5's refers to Sort, Set (in order), Shine, Standardize, and Sustain.

Sorting through each of the tools or equipment that the team needs to do their job effectively helps to eliminate any unnecessary items that are taking up valuable space. Setting items in order ensures that each tool used for the job task is located within or near the area in an assigned space, sometimes in the order that is necessary for the task. Shine refers to keeping the workplace and 5's locations clean and free of clutter. This allows the team to seamlessly move about the kitchens and able to find, retrieve, and use equipment when its needed. By standardizing, employees are aware that the tools used and their new locations are well-known, and that the new locations are utilized indefinitely. Finally, sustain means that every employee is expected to adhere to these new practices.

Do:

By utilizing data collected on inventory costs, the company can determine if the new 5's system is effective or not. The data that was collected provides the inventory costs before and after implementing the new 5's system.

Check:

The data shows the company's inventory cost savings was $212.88 per week. This is indicative of the 5's systems utilization to free up space and eliminate unnecessary items from the workspace.

This pie chart shows the amount of money spent in inventory costs per week. The red portion indicates the amount spent before 5's and the green portion indicates the money spent after. It is clear that the company spent less in inventory costs after the 5's system was implemented.

Act:

After confirmation that the 5's system was successful, standardization was imperative. Standardizing the new 5's locations allows the employees to fluidly move about the kitchens, creating more time for performing tasks that can improve customer satisfaction.

It is clear that the implementation of 5's helped the casinos to cut costs attributed to inventory. I believe that there was extra value added in the sense that this new system allowed employees the ability to perform their jobs at a more effective pace, which contributes to customer satisfaction. However, there are other continuous improvement techniques that could have yielded better results in this area. One technique would be the Just-in-time (JIT) method of inventory control. This would allow the company to refrain from having to store unnecessary items and would also help to eliminate waste. Forecasting, when certain items will be needed, can allow any company to employ the JIT technique and is a great way for reduced inventory costs and waste management.