Case example: Std. W ork at Automotive Supplier

1. Case example: Std. Work at Automotive Supplier This client produces stampings for Ford, Chrysler, GM and others and has recently expanded into Non-Auto Segments BEFORE Kaizen AFTER Kaizen • Batch Operation • 14 People on the line • Inspection/Rework at end of line • High levels of Work In Process • Disruptions from forklift ops. • Excessive stopping to clean scrap • Line Runs in Flow • Batching and WIP eliminated • Tooling Issues Resolved to eliminate rework • Scrap removal Automated • 10 People on the Line • Cycle Time Improved $340K Annualized Benefit 97.6 % Productivity Improvement ONE IMPROVEMENT EVENT IN January 2011 Eliminated Waste, Standardized Processes; Eliminated WIP, Balanced Line

2. Case Example: HospitalOperating Room Changeover Event This 281 bed medical center (acute and sub-acute care) handles more than 26,700 inpatient cases and approximately 60,000 emergency room visits annually. BEFORE Kaizen AFTER Kaizen • Operating Room Reported Changeover Time = 25 minutes • Not all Changeovers Measured • Patient Delays • “Dirty” & “Sterile” Operating Rooms not sitting idle • No defined plan for execution (ie no Standard Work) • Operating Room Reported Changeover Time = 12 min • Reduced Patient Delays • Fewer Operating Rooms sitting idle • Defined “Operating Room Changeover Process” • Potential for 107 additional Cases per month ONE IMPROVEMENT EVENT IN JUNE 2010! Eliminated waste, Standardized processes, Established “operating room changeover playbook” >$11M Potential Additional Annual Revenue due to possible additional cases 9/2011

3. Case Example: Electric Panel Shop Consolidation for Boiler Manufacturer Company is a complete boiler room solutions provider that helps businesses run better every day. BEFORE Kaizen AFTER Kaizen • Two different panel shops for production and aftermarket product • Duplicate Inventory in two departments • Average assembly time per unit of 30 hours • No Daily Management • 19 employees • One combined panel shop for all panels • One location for inventory • Average assembly time per unit of 16.5 hours • $242K realized savings in 5 months • Daily Management implemented • 12 employees with increased productivity ONE IMPROVEMENT EVENT IN JAN 2011 Eliminated waste, Standardized processes, Established “operating playbook” 2/8/2011

4. Case Example: Donor Driven Emergency Department Flow Improvement Major university Health System’s overall goal is to expand understanding of the core values which animate the Health System’s patient care,  its teaching and research, and its administration and service. BEFORE Kaizen AFTER Kaizen • Typical design cycle is done in series with many hand offs and approvals. • Key stakeholders are not part of the design process up front from day one. • Design process typically does not consider flow of patients, RN’s, Doctors and technicians to be key criteria. • Long lead time from initial design concept to construction start. • Completed a 3P layout kaizen with a cross functional team including architects and construction engineers. • Completed a ½ scale mock-up in the hospital basement made from styrofoam, duct tape and cardboard for future state moonshining. • 3P process reduced lead time to complete design by bringing all stakeholders together at the start of the process. One 3P Layout Event At the Design Start! Reduced the design lead time with collaboration of key stakeholders from design start. >60% reduction in Emergency Department staff walking distance! Construction started six months later! Event Date:

5. Case Example: Authorization Process forOutpatient Visits At (name) Therapy Center, our goal is to help our patients realize their full potential. Through our Speech-Language, Physical and Occupational Therapy, adults and children improve their communication, enhance mobility and become more independent. BEFORE Kaizen AFTER Kaizen Waiting Time in Days for Authorization All 5 Sites • Patients/Families waiting > 13 • days for insurance authorization to • schedule appointments • (Large Inventory >50 patients) • No reimbursement for patients • seen if authorization process not • complete prior to visit • Monthly metrics not posted • No standardized process and • Lack of standard work • 5 Day reduction in wait time for • patients/families to schedule • appointments • (Meeting daily demand) • Reimbursement obtained for all • patients after initial evaluation • Daily metrics are posted • Medicaid Authorization Team has • a “winning spirit” • Team shares updates on • continuous improvement • Standardized process • Standard work at each desk 1st EVENT FOR THIS ORGANIZATION ONE 3 DAY IMPROVEMENT EVENT May 18 - 20 , 2011 Eliminated waste, Standardized processes, Established Standard Work Saved organization $32,500 by not replacing FTE 8/24/11

6. Case Example: Government Subsidized Healthcare Workflow Improvement A non-profit organization in existence for over 100 years, dedicated to providing medical care to the un-insured, under-insured or those that are not able to pay for care. BEFORE Kaizen AFTER Kaizen • Low patient volumes seen but local need was known to be much greater • HEAP* clients NOT aware they may qualify for free healthcare • Patients could only be seen by appointment and then were not showing up • Value of return on government funding for this level of coverage was coming into question • All HEAP* clients (80-100 per day) considered potential qualifier for healthcare • Dramatically simplified, real-time qualifier process • Dramatic improvement in visual awareness of healthcare provision • Able to easily accommodate walk-in’s (provide care immediately) using new scheduling guidelines ONE IMPROVEMENT EVENT IN DEC 2010! Eliminated waste, Standardized processes, Established “operating playbook” >75% increase in healthcare coverage with same number of staff! *HEAP is a federally funded program that issues home energy benefits to those below an income threshold. 2/8/2011

7. Case example: Grain Bin ManufacturerRoof Line Poka Yoke & Flow Improvement Cell supplies all hardware for assembling the roof of a grain bin. The roof of a grain bin is the first thing assembled BEFORE Kaizen AFTER Kaizen • Cycle time 20 min + • Sub packaging part counting / Weigh counting • FPY = 92% • Cycle time 10 min • Rationalized packaging from 58 SKUs to 11 • Electronic Pick / Weigh verification (break the beam) • First Pass Yield = 99% ONE IMPROVEMENT EVENT IN Jan 2011 Reduced walk for both water spider & Packer X 40%, 50% reduction in pack cycle time From 20 min to 10 min (PLS 42117) 2/8/2011

8. Case Example: Major Midwest Hospital EVS room turn-around time reduction Midwest 300 bed community hospital New category BEFORE Kaizen AFTER Kaizen • Average room turnaround time for Environmental Services (EVS) was 185 minutes • 30% of cleans were “stat” – not reality but code was used out of frustration • No standard work for EVS • Poor communication system to alert EVS staff on cleaning needs • Developed new coding: Stat, Clean Now, Routine. Dropped Stat cleans by 50% - enabled EVS to focus better • Developed eBed electronic tracking system to have consistent & real time communication • secondary outcome was $200k reduction in linen cleaning costs by not washing clean linens. Stat reduction! • Reduced STAT room cleans by more than 50% • Reduced annual linen cleaning costs by over $200,000 • Greater than 13 to 1 ROI

9. Case Example: Major Midwest Medical Center – Reduce overall patient length of stay in ED Private hospital where length of stay in ED was unacceptable at 233 minutes BEFORE Kaizen AFTER Kaizen • Length of stay average = 233 minutes • Left without being seen at 4.3% • Time form disposition to admit = 180 minutes • Goal was 100 minute reduction 50% reduction • eliminated 33 steps I process • reduced Dispo to admit time 90 minutes – past the goal • Developed new Quick Admit orders for physicians • Revised receiving room & bed assignment process to avoid delays • Revised admit process Implemented changes during week after trystorming with staff. Developed tracking metrics for leadership staff to ensure sustainment

10. Case Example: Leader in Mfg., Rebuild, and Coating of Twin Screws and Barrels BEFORE State CURRENT State • Management needed to spend > 1 million for new CNC Thread Mill equipment to increase productivity • Could not hire enough people because of low employment rate in area • Low employee morale • Communication between departments non existent until after the fact • New CNC Thread Mill not needed at this time • Need for new hires not critical • Employee morale greatly improved • Daily planning meetings for problem solving 4 IMPROVEMENT EVENTS from April thru August All addressing flow and communication • $1.1 M capital investment eliminated • $1.8 M In Annualized savings 2/8/2011