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Lean Manufacturing: Improve Business Efficiency & Maximize Profits (Pt. 1) - YouTube
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what if i told you guys that in two
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seconds a day
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you could reduce waste and maximize
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profits in your business
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a rural washington company is using lean
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manufacturing
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to optimize their efficiency and their
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netting results
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that you guys need to see in order to
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believe so stay tuned
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this is a life-changing episode from up
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flip
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on this episode we're going to be
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interviewing joe pilat owner of joe's
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gaming
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and electronics we'll see how joe used
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lean manufacturing
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to grow his bedroom startup into a
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multi-million dollar powerhouse
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every aspect of his business is lean and
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that's been one of the keys to his
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success
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when you have less resources when you
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have less space you have to think lean
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all i gotta do is hop into here scan my
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qr code and it takes me directly to a
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costco listing that i can easily add to
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my cart
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and check out today joe's going to share
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some secrets on how to use lean to build
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a successful business
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he's also going to talk about ways that
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a lean business can help you
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eliminate how that improves efficiency
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how that increases productivity
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and ultimately maximizes your business
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profits
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the most important thing for us is
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wheels everything's in wheels what
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impact
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did lean have on your margins and the
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quality of your product
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we no longer have a customer service
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person we have our technicians
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who are customers serving the tips he'll
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share with you guys today won't just
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help you grow your business
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it could ultimately change your life if
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you implement it so make sure you give
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this video a thumbs up
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subscribe to our channel that way you
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don't miss any of our business and
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life-changing content
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here on upflip
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hey guys paul boulanov with upflip ready
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to introduce you to joe pilot joe say hi
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to our audience
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what's up audience so i can't wait to
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share your story and
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i guess we can start off with tell us a
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little bit about yourself and how you
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started this business
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yeah i started this business in my
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parents bedroom i guess my bedroom but
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my parents house
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and then eventually upgraded to my
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parents garage which is really cool had
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a couple shelves there
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got a couple of buddies and we started
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fixing stuff we saw a big need in the
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marketplace for having electronics being
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repaired and we're gonna repair
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as many electronics as we can to save
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people money and try to bring their
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products back to life that's always what
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we're trying to do with all the new
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products that we're bringing on
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was there a moment that kind of tipped
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you into thinking of this
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as a business idea yeah i think really
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the most important thing that
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brought us into thinking that this would
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be a business
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was when i was in college and that first
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month of college when i had too much
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work going on here
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and i had to make a difficult decision
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do i continue
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this traditional path or do i go ahead
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and start and put more time into the
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business
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right that's kind of what shifted to
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make it think like hey this is no longer
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a job it's actually a business it's
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actually an opportunity
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for me to get better opportunity for us
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to grow and that really
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that had to make a really hard decision
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because you know school takes up a lot
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of time
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right and at that moment you got to make
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a decision if you're going to go full
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time with your
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hustle or full time with college exactly
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right
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how did you discover lean so i
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discovered lean
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by talking to buddies that worked for
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fast cap okay and they would always say
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man things run differently there
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like it's actually fun we get a little i
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do lean things i've heard
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bad things about lean from other people
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like oh they're they're trying to cut my
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hours or something dumb like that
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but really when you come down to a lean
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is just about making life easier
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and when i read the book two-second lean
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it allowed me to understand that
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that's really what we're trying to do
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we're just trying to make things a
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little bit easier
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we're trying to fix the things that bug
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us right as that's what we do about
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wasting time or reducing time
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that's all the other layers to it but if
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you just kind of do
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the basics of it we're just trying to
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make things easier and once i wrapped
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my mind around that i got to go a little
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deeper into the
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eight waists which are really important
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transportation inventory motion
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weighting over production over
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processing defects
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and skills those are eight ways
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let's dive into lean how did that change
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your business and at what point did you
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really start to
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experience that well as we all know for
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me at least paul akers
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is the father of lean to me of course
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there was people before him but to me
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he's the father of lean
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paul akers if you guys haven't heard him
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check him out on our videos we've got a
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number of episodes with him
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he is truly like you said the the the
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the master of lean so he's the master of
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lean so all the stuff
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we have here we stole from fast cap we
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still
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often duplicate 100 rip off duplicate
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and hopefully
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improve it that's the most important
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thing and lee's been super important to
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our business because it makes our lives
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easier
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it makes my life easier and most
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importantly makes our customers lives
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easier
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and if we can do all three of those
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things it makes everyone's life amazing
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you know who doesn't want their job to
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be easier right which customer doesn't
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want a better experience
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i would think everyone where did that
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start to grow
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the whole idea of lean can you share a
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little bit about your journey with that
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sure so like i was saying paul kind of
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introduced me to his two second lean
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book which
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basically blew my mind and that was the
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antithesis
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and the starting point of lean for us so
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the literature in the book kind of
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helped us
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structure what we needed to do and we
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had to build a lean culture
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that would improve every single day and
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the obviously the thesis of the book is
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to improve two seconds at a time right
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and so we were just super pumped to
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start improving to make things easier
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and paul really got us on board with
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that and we started trying a little bit
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you know and we just we tried i'm like
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wow this is really cool
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and contagious super contagious and like
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you were telling me right before this
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compound interest that's what
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improvements are they're compounding
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just every single day
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especially if you're sharing them with
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the team it is
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it is a it's a true virus right
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joey what's your favorite implementation
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of link can you show that to us
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absolutely so of course when you
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understand lean you're always trying to
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find ways to make your life easier
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and that's really really important so
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what we have here is something that
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we took the implementation of kanban the
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idea of kanban
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each thing needs to be reordered
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anything from the toilet paper
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to certain parts that we need need to be
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reordered and how do you do that
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so what we do is we use our kanban
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system which is a really
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easy and you can do this at home i'm
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going to show you something with
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something as simple as
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ordering toilet paper from costco which
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is really easy
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we have a qr code here this qr code if
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you scan it with your phone will take
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you to a listing
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that has these specific paper towels all
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i got to do is hop into here scan my qr
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code
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and it takes me directly to a costco
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listing that i can easily add to my cart
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and check out this has nothing to do
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with barcodes there's nothing special
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it's just a qr code maker
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that allows you to order anything
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imagine for all the different things
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that you have and this really changed
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the way we ordered it made my life
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easier
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so instead of two people doing my job i
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can do this all myself right
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what impact did lean have on your
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margins
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and the quality of your product the
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biggest impact they had it was on our
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team
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because we make their lives easier
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because we made their likes easier
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the product that the output is better
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because the product they output is
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better
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then the profits are better because
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there's going to be less issues there's
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going to be
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higher profit margins and everyone's
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happier that way
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and so we're able to become more
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profitable because we're able to take
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our labor that was being is a non-value
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added labor
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meaning like shipping or cleaning and
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moving those into technical areas
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which allows us to be able to generate
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revenue from those areas
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so we basically redistributed the
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workforce
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from areas that are non-value added to
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areas that were value added
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creating more profits for our business
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and making the product better
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because everyone's cross-trained they
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know a bunch of different things and
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that's really
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where the margin can be gained from lean
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because you're taking people from areas
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that you don't need them in necessarily
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and putting into areas of
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revenue generation which makes a big big
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difference at one point we used to have
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four people shipping and one person
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cleaning
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today we have one person shipping and no
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one cleaning meaning all the technicians
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clean their own product right
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we did that because we wanted to add
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more value back to the customer
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so we have a lot of visitors here people
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checking out what we're doing moms dads
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just making sure their kids are actually
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at work so what we try to do is we try
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to make things easy
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one of the things we can't live without
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is wi-fi and one of our technicians here
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dan
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actually made a really cool improvement
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up here you see we have our passwords we
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have this on different parts
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of our warehouse and all you simply do
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is just go ahead and scan this
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with your camera and once you do that
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you click on it and you join
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and now there's no need to put a
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password in as uppercase is it lowercase
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is a sideways case
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is there a number who cares the whole
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idea is you scan it you log in you're
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good to go
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no more having to ask anything else
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that's one of those lean things that we
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do here
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what about tools i see there's a lot
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going on what would be one lean
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manufacturing tool that you've
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implemented
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why what did that process look like the
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most important thing for us is
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wheels everything's in wheels i noticed
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yeah almost everything everything's
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everything's on wheels everything you
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see in this shop here pretty much has
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from our garbage from our compressor
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everything has wheels everything has
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wheels everything has wheels
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why is that important joe we want to be
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able to move and change and morph
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as our needs grow and change without
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adding costs
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of say uprooting the cabinet from that
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spot
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what's the whole point there's no point
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really there's no value added one second
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we bring back
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there's no value out to the customer so
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we want to make it as easy as possible
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to move anything at any time very
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quickly and also one thing that really
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helped us out a lot too is because
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everything is in wheels and we have a
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smaller space
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we're going to take everything out of
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boxes so we got to think really lean
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where we can add way more stuff in here
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because we're thinking we don't have
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that much space so now we have to take
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everything out of boxes we take all the
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stuff out of boxes and put it into a box
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and then we can standardize it
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standardization's super important as
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well so when you have less resources
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when you have less space you have to
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think lean
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you know i think it's also a little bit
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more difficult for bigger businesses to
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think clean because they have resources
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they have space they can just keep
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throwing crap everywhere they keep being
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very wasteful so if you don't have those
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resources you got to get things really
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lean
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this is actually pretty neat something
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that we've been working on as all the
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different
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inventory we have coming in gets checked
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right away in the past we used to just
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list a bunch of different stuff and not
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know if we can repair it
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so we made some process change where
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guys go through and identify the issues
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before we actually list it
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so we have a general cleaning area which
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is really cool we built in this little
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switch that makes everything really
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really light
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and if you got to blow anything out this
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is right here so we got the air to blow
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that out
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along with any other attachments and we
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got like a little cleaning wheel so that
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was a couple iterations
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and we're able to have a nice standard
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cleaning area we also have our office
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station here
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everything we need we have a laminator
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something to cut paper with we have our
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printer
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paper all of it's all in one area we
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used to have it in a bunch of different
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areas which is really confusing
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so we're able to make that work for us
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which is really awesome as well
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but what about customer service as far
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as lean
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how's that helped you improve it so what
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we did in our business in regards to
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customer service is having
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our technicians become customer service
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agents
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interesting and the most rewarding thing
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for our customers how we add value to
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our customers is to have
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our customers talk to a person that's
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actually fixing the thing that they're
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asking that is pretty cool isn't that
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amazing you don't have to put anyone on
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hold if
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paul if i call you and you're a real
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estate agent you probably know real
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estate stuff
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but if i call your office and it's a
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receptionist and she has no idea what
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real estate is so what we try to do is
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create a phone tree
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within our crm so when somebody calls in
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they click a button based off what
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department they want and they get to a
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person that can actually help them
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that's awesome and so as you can see
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that we have our our software here that
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helps us with that
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we have our phones here and we have
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three different lines connected and so
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far we have three people and we're going
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to implement this
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up to six different people on phones
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different departments
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so if you have a shipping question you
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get a ring to the shipping department
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if you have a general customer service
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question you get a ring to the general
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customer
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service and the reason why this is lean
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is because we no longer have a customer
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service person
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we have our technicians who are
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customers serving
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meaning there's no training on boarding
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needed all they need to do is learn to
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use the system
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and been able to answer the questions
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the customer has right
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there's no more six month training
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course to get someone to be able to
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learn the generals of customer service
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how did lean principles improve the
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quality
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of your employees that's a really good
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question paul and i just thought of a
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really good example of this
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but we used to all work seven days a
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week well at the beginning of our
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company we'll work seven days a week
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we took no days off and every single day
[804]
we had to come and grind
[805]
and now we're able to work five days a
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week we're able to take days off
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and we're able to do this because we're
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able to do more in less time
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so we have a team that can take care of
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more and less time and lean allowed us
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to have that extra time
[823]
make sure you guys check out our other
[825]
lean manufacturing videos in the
[827]
description below or check out these
[828]
paul acres videos right here they're
[830]
going to be
[831]
blowing your mind away and execute on
[833]
everything that we're talking about
[834]
that's really what the game changer is
[836]
we would love to hear your lean ideas
[839]
comment them below
[840]
make sure you do that we're a community
[842]
i'd love to collaborate
[844]
engage and add value to you and receive
[847]
value back so thank you for watching and
[848]
let's keep going
[853]
what are the challenges of implementing
[856]
a lean
[857]
business model regardless of what kind
[859]
of people you have everyone's stubborn
[861]
including myself and it's really
[863]
difficult to change it's so so difficult
[865]
so if you're going to take on lean it is
[868]
a journey
[869]
it is a really tough journey and you
[870]
have to be convinced that this is the
[872]
right way to run a business
[874]
because if you're not convinced you are
[875]
going to fall and falter
[877]
but being the example of lean me being
[880]
the person that first stood up me being
[882]
the person that had the first standing
[883]
desk
[884]
and doing that for six months before
[886]
anyone even became interested in slowly
[889]
telling them hey this is not to make
[892]
your life harder it's to make your life
[894]
easier right
[894]
paul if i could tell you i could make
[896]
your life easier at your job wouldn't
[897]
you love that
[898]
absolutely awesome and you get paid the
[900]
same not less
[901]
more and you get more hours being more
[903]
efficient we're not taking anything from
[905]
you we're just giving everything back to
[906]
you we're giving time back to you
[908]
we're giving patience back to you we're
[909]
giving everything back to you
[911]
and we had a lot of pushback but then
[913]
slowly as
[914]
kind of the leaders of the business
[916]
started to sink their teeth into it
[919]
like wow it's actually fun well this is
[921]
the end of part one i hope you guys
[923]
really enjoyed us hearing from joe
[926]
his story his experience i'm fascinated
[929]
and blown away by all the
[931]
things they're implementing the idea of
[933]
lean
[934]
we'd love to hear from you as well so if
[936]
you want to share your lean ideas
[938]
share that with us in the comments
[939]
section we want to hear from you we read
[941]
every comment
[942]
we want to engage and add more value so
[944]
i hope you really enjoyed this
[946]
if you have haven't subscribed already
[948]
to our channel please do so right now
[949]
smash that button
[951]
like this video and make sure you check
[953]
out part two some amazing content coming
[955]
up again
[955]
link is in the description below or just
[957]
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