Funding Supports for your Lean Programme

Lean Supports for your Business

Lean manufacturing or lean production, often simply “lean”, is defined as a systematic method for waste minimisation within a manufacturing system without sacrificing productivity.

A Lean consultant works with producers in a dedicated one on one basis, looking at the business as a whole, and then selecting an area to focus on.  The process is intensive, and requires a high level of commitment for success, but has resulted in considerable cost savings and increases in productivity.

The projects typically concentrate on big cost centres with in the business, especially labour and energy use.  There is also a heavy emphasis on metrics – e.g. labour performance v last month, v this time last year, and a reduction in waste – what proportion of production is not sold, and why.

A Lean project can provide the ideal framework for a Digitalisation journey for your company, using Lean to map out and measure processes can enable the automation of repetitive tasks, thereby freeing up and equipping staff to work on value-adding activities.

The Lean Business Offer is made up of three levels of support:

1. LeanStart
2. LeanPlus
3. LeanTransform

Each level of support is characterised by increasing levels of capability in implementing Lean business principles and other best practice approaches to drive company awareness, adoption and integration of Lean tools and techniques.

Projects should also consider the environmental sustainability of the business and include training where appropriate to increase the agility and resilience of the company to environmental climate change impacts.

LeanStart

LeanStart provides an introduction to Lean concepts and allows you to gain an understanding of what the tools and techniques can do for you and your company in a short, focused engagement. 

The programme involves up to 7 days support from an external Consultant/trainer working directly with an eligible company, typically over an 8-12 week period.

The goals of a LeanStart project may include;

• The introduction of Lean or related process improvement principles to a company,
• The completion of a specific improvement project to show the value of the approach, and/or,
• The development of a Lean / Organisational Innovation & Digitisation roadmap or action plan (this should normally include an assessment or benchmark of the current situation).

A LeanStart project can be an ideal introduction to a Digitalisation journey for your company, using Lean to map out and measure processes can lay the ground-work for automation of repetitive tasks, thereby freeing up staff to work on value-adding activities for customers. 

Note that LeanStart is not a general consultancy grant and cannot be used for items such as;

• IT implementation projects (i.e. installation and customisation of new systems);
• HR consultancy;
• Health and Safety initiatives;
• Market research or Marketing

What costs are eligible and what is the maximum funding available?

The eligible costs are for external Training or Advisory Services provided by a suitable Lean Service provider.

Bord Bia will provide grant funding for 100% of the project cost up to a maximum of €6,300. This is based on 7 days Training or Advisory Services.

LeanPlus

LeanPlus is a medium-scale business process improvement project facilitated/supported by one or more external Lean service provider(s).

The aim of the project is to improve productivity within the company through a focus on what brings value to the customer, including increased quality, reduced costs/waste and improved speed of delivery. The basis for a good project is to empower and engage the people in the company, by drawing on their skills and talents to embed continuous improvement systems.

The LeanPlus grant can be used to support specific process improvement activities across the organisation as outlined in the application from the company. Note that the output from a project must include a visible step up in terms of new production or delivery capability. The project must not be focused on routine operational changes.

Are there examples?

Examples of LeanPlus process improvements could include (but are not limited to);

• Identifying waste and reducing costs in your key processes through value stream mapping
• Improving lead times by optimising layout, workplace organisation and processes, information and materials flow
• Enhancing communications and teamwork through introduction of visual management systems throughout the organisation
• Improving quality through introduction of standardisation, structured practical problem solving and continuous improvement systems
• Increasing capacity at a reduced cost by implementing better processes to get the best out of equipment and systems (e.g. OEE, TPM, automation)
• Reducing cash flow costs by optimising inventory and stock forecasting through increased visibility and control to match customer demand
• Increasing profitability through improved product planning, scheduling and supply chain control systems in line with customer needs.

In order to support the change process within the company, the grant can also be used to cover part of the salary cost for up to 10 staff members working on the Lean project activities over the project duration.

Projects may vary in size and scope but will typically be 6-9 months in duration.

What costs are eligible and what is the maximum funding available?

Eligible costs include;

• External Consultancy Services provided by a suitable Lean Service provider. Supported daily rates for Lean Consultancy Services are capped at €900 per day inclusive of travel and subsistence and all out-of-pocket expenses. Note that actual costs to the company are based on market rates and may be higher.
• Salary costs for up to 10 staff members on the project team, based on actual base salary paid, subject to a maximum supported rate of €200 per person per day. Base salary excludes employer’s PRSI, overtime or any additional payment. The grant allows for a maximum of 250 days supported in total covering all team members with a maximum for any one person of 100 days.
• Salary costs can make up a maximum of 50% of the total project cost. The salary costs cannot be higher than the external consultancy costs.

Ineligible costs include;

• General Consultancy including Market research, IT implementation, Financial review and planning, HR consulting or Health and Safety training
• Capital equipment, materials or travel and subsistence costs

Maximum Funding;

Bord Bia will provide grant funding for 50% of the eligible project costs up to a maximum of €100,000 (€50,000 grant).

GreenStart

The aim of the GreenStart assignment is to improve environmental performance through greater resource efficiency helping companies achieve competitive advantage and greater market share through enhanced credentials and cost savings. Projects may vary in scope from implementing a structured environmental management and reporting system to understanding the carbon or environmental footprint of products or services.

Companies can apply for grant support towards the cost of hiring a Green consultant/trainer to undertake a short in-company assignment.

Eligible assignments may include:

• Guidance with basic Environmental Management Systems,
• Guidance with developing a Sustainable/Decarbonisation Strategy and Action Plan,
• Guidance with aligning environmental practices to global/Irish sustainability reporting initiatives, e.g., United Nations Sustainable Development Goals, CDP, Origin Green etc.
• Guidance with Life cycle assessment and/or Circular economy thinking
• Guidance with a range of activities including Carbon Footprinting, developing a Metering roadmap, Green Procurement, Green Tenders, Sustainable Packaging, Sustainable Logistics, Plastic Management, Developing a Biodiversity action plan, Climate Adaptation, Sustainability Benchmarking, Communications, Employee and Customer Engagement.

Companies can apply for grant support towards the cost of hiring an Environmental consultant/trainer to undertake a short in-company assignment which will introduce environmental best practice systems and structures, achieve cost reduction targets and lay a foundation for future environmental improvement projects.

GreenStart is funded under the Climate Planning Fund for Business, which is operating under the Green Transition Fund. The overall objective of which is to accelerate the decarbonisation of Irish enterprise, as part of Ireland’s National Recovery and Resilience Plan, funded by the European Union.

All projects supported under the Climate Planning Fund for Business must comply with relevant EU and national environmental legislation and in particular with the ‘Do no significant harm’ Technical Guidance (2021/C58/01).

What costs are eligible and what is the maximum funding available?

The typical cost of undertaking a GreenStart assignment is €6,300.

The maximum grant funding available from Enterprise Ireland is €5,000. If the cost of the GreenStart assignment is less than €6,300 the company is still required to pay the first €1,300 in costs.

Eligible Expenditure is limited to the cost of hiring an Environmental consultant/trainer for a maximum of 7 days. Note that actual costs to the company are based on market rates and may be higher.

The maximum daily fee payable to a consultant/trainer is €900 inclusive of travel and subsistence and all out-of-pocket expenses.

Ineligible costs include;

• General Consultancy including Market research, IT implementation, financial review and planning, HR consulting or Health and Safety training.
• Consultancy for design, installation or commissioning.
• Capital equipment, materials or travel and subsistence costs.
• Energy audits mandated under the European Energy Efficiency Directive (SI 426 of 2014).

Note: SMEs with an energy spend >€10,000/annum that are not already mandated to get an audit are potentially eligible for €2000 voucher towards an SEAI Energy Audit

Operational Excellence Offer

Enterprise Ireland’s Operational Excellence Offer sets out to support established companies (SME and Large) to address their competitive challenges and growth opportunities through a transformation project that would include investment in:

• Digital Process Innovation: the implementation of new and innovative production, delivery or organisational methods
• Capital equipment, including investment in digitalisation
• Capability building through training in Lean, Leadership, Innovation and Digitalisation