The Automation Trap: Saving a Shop with Systems, Not Spindles

Welcome back to Lights Out, where we’re continuing our deep dive into Iron Clunk’s lean transformation—and this one is a turning point.

After hitting rock bottom, Gary’s found a lifeline in Klaus and the Lean Stream team. But this isn’t a charity case—it’s an investment. With tools like value stream mapping, theory of constraints, and 5S, Gary and his crew begin diagnosing their real problems: lost travelers, inefficient setups, no in-process inspection, and automation that added more chaos than value.

In this episode, you’ll hear how Gary starts to regain control—not just of his machines, but of his culture. Tim, Sarah, and the rest of the Lean Stream crew don’t just swoop in with answers; they bring structure, empowerment, and a systematic approach to finding flow. Gary’s team starts to see themselves not just as operators, but as problem solvers.

We also talk about how the right automation, used in the right way, can unlock real ROI. This isn’t about throwing tech at the problem—it’s about building the systems that help technology thrive. And it all comes back to visibility, strategy, and aligning your team around what truly drives profit.

If you’ve ever felt like your shop was one big mess of potential—this one’s for you.

You will want to hear this episode if you are interested in...

• (0:31) Investing in ProShop is investing in your business
• (2:55) Post-Europe recap, dad life, and terrible accents
• (4:23) Recap: Gary’s glimmer of hope and commitment to lean
• (5:55) Scene #1: Meet the Lean Stream team
• (7:37) Tim Woods = the 8 wastes explained
• (9:20) Acquiring messy shops with potential: the Gary investment thesis
• (10:35) Scene #2: Value Stream Mapping: identifying and solving bottlenecks
• (15:02) Shift the focus: it’s not just about cycle time
• (17:00) Deburring in or outside the machine? Depends on your readiness
• (18:45) Scene #3: Daily standups and 5S in action
• (20:41) Grow your top and bottom-line with CLA
• (21:50) Real-world benefits of a clean, organized shop
• (22:32) Why 5S fails without standardization and sustainability
• (23:45) Scene #4: Lean automation vision, from inspection to pallets
• (25:00) In-process inspection integrated into the system
• (27:25) Flexibility and smarter job switching with pallets
• (28:07) The tradeoff: spindle utilization vs. quality
• (29:00) What’s the right OEE target for high-mix shops?
• (29:43) Dinner scene: Linda’s back, and so is hope
• (31:40) Klaus’s story reminds Gary he’s not alone
• (32:36) Final scene: A new future for Iron Clunk takes shape
• (34:07) Vision → Strategy → Tactics: the right order for shop success
• (35:30) Personalizing lean: what works for your goals
• (38:19) What kind of pie? (The real debate of the episode)
• (39:20) Teaser: next time, Gary takes the lead
• (39:41) Why you should listen to Machine Shop Mastery

Resources & People Mentioned

• Investing in ProShop ERP is investing in your business
• Episode 12 of Lights Out
• Lean Process Improvement with Noah Goellner
• Traction

Connect With Lights Out

• LinkedIn
• MakingChips.com

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Audio Production and Show Notes by - PODCAST FAST TRACK