lean 101 2 hour 2011

John Veatch

Lean Concepts Inc.

17710 Willowcreek Way

Westfield, IN 46074

johnveatch@lean-concepts.com

All Material Herein © 1998 Lean Concepts Inc. Revised 2010 1

(Please Turn Off or Silence Cell Phones)

Lean 101

John Veatch

Lean Concepts Inc.

17710 Willow Creek Way

Westfield, In 46074

johnveatch@lean-concepts.com

2

Agenda

Introductions

History

Need for Change

Lean Overview

Review

A Chronology of Lean Eli Whitney 1799

Part Standardization

Frederick W. Taylor 1890 Time Study

Henry Ford 1910 Mass Production

W. Edwards Deming 1950 SPC/14 Pts & 7 Sins

Joseph Juran 1952 TQM

Taiichi Ohno 1950 - 1972 JIT/TPS

Change

6

The Workplace Must Adapt

Traditional Manufacturing

Schedule to Forecast

Push Process

Excessive Idle Inventory

Remote Subassemblies

Quality Problems are Hidden

Driven by Operating Efficiency

Lean Manufacturing

Customer Order Driven

Pull Process

Near -zero Idle Inventory

Synchronized Feeder

Processes

Prevent Quality Problems

Problems are Made Obvious

Driven by Operating Efficiency

+Throughput + Inventory

Just-In-Time (JIT)

Jidoka

Production Leveling

Quality Assurance

What are Lean Concepts?

Producing just what is needed, when it is needed, in the amount needed, with the minimum material, equipment, labor, and

space.

Create flow production

Establish “TAKT” time

Incorporate pull production

JIT Principles

Machines in order of process

Small and inexpensive equipment

One piece flow production

Multi-process handling workers

Easy moving/standing operations

U Cell Layout, counter clockwise

Production paced to “Takt” time

Standard operations defined

JIT Production Characteristics

The amount of time it takes to

convert raw material into finished

goods and ship them to the

customer.

Lead Time Definition

3 Elements

“Stop the Line” authority for workers; find the root

cause of problems

Machines can detect abnormalities; only one defect

can be made

Separate human from machine work; multi-process

handling

Jidoka

The process of adapting production to variable demand so as to utilize minimum material, labor,

equipment, and space

Results in Cost Reduction!!

Kanban is a “Pull System” which was developed by Toyota to encourage rapid response to the next process (customer) in terms of requirements and changes in market demand

Reduction of inventory and cost are the “Result” of Kanban, not the Purpose

Kanban highlights opportunities to Kaizen the process

Kanban Philosophy

Prevents waste created by overproduction

Promotes small lot size production (less storage

space)

Promotes reduced lead times

Visualizes problems for further Kaizen

Communicates production information (visual

control)

Benefits of Kanban

An activity that transforms or shapes raw material or information to meet customer requirements.

Value Added Test:

The customer must recognize the value.

(Be willing to pay for it)

The product must physically change during the process.

The activity must be done right the first time.

Value Added Activity

Any activity that consumes time, resources, (manpower, material, machinery), and /or space, but does not add value to the product or service itself.

Activities that do not meet all of the three test rules.

Some non-value added work may be necessary.

Non Value Added Activity

Learning to See

A Value Stream is all the actions (both value added and non-value added), currently required to bring a product

through the main flows essential to every product.

The production flow from raw material into the arms of the customer.

The design flow from concept to launch.

What is Value Stream Mapping?

Objectives

To establish and clarify the guidelines for manufacturing

QUALITY, QUANTITY, COST, MANNING, INVENTORY, AND SAFETY

Provides a tool for Kaizen

YOU CANNOT MANAGE WHAT YOU DO NOT MEASURE

WHERE THERE IS NO STANDARD, THERE CAN BE NO KAIZEN

Standardized Work

Three elements “Takt” time / Cycle time

Work Sequence

Standard WIP

Four Tools Time Observation

Process Capacity

Standard Work Combination Sheet

Standard Work Layout

Standardized Work

Workplace organization empowers employees to

take ownership of their processes!

Introduction to

Workplace Organization

Trash on the floor

People doing

troublesome work

Too much Inventory

Parts on the Floor

Dirty bathrooms

Information not shared

Symptoms of Traditional Companies

Measurement Scoreboards

Use of Charts, Graphs, Pictures

Mechanism to Expose Problems

Use of Standard Procedures

Absenteeism Declining

Number of Suggestions

Housekeeping and Organization

Top Management on Shop Floor

Top Management’s Participation

Information Shared

Meetings on the Floor

Symptoms of World-Class Companies

A work area where anyone can enter and in 5 minutes

or less know the Who, What, When, Where, How,

and Why of the Work area

WITHOUT TALKING TO ANYONE OR OPENING A

BOOK OR TURNING ON A COMPUTER

Workplace Organization

Visual Management Types

Production Analysis Boards

Quality Measurables

DPPM

RPPM

Set-up Times

Standardized Work Tables

Kaizen Work Sheets / 30 Day Goals

Delivery Performance

Safety / Attendance

Visual Management

5s

Sort

Set

Shine

Standardize cleanup

Sustain

Visual Management

Tools to Organize the Workplace

Sort-The separation of the necessary items from

the unnecessary items and removing the

unnecessary items from the work area.

Sort S1

Organize shop floor

items and information

with the physical flow

of work in order to

accelerate the flow.

Better Organization

Better Work Habits

Improved Productivity

Reduce Lead Time

Set S2

Clean both the Internal and External surfaces

Use Cleaning as an Inspection

Establish a Regular Cleaning Routine

Cleaning for Throughput

A clean work area enhances equipment utilization,

quality, safety, pride

Integrate it into the PM process.

Shine S3

Locate All Items Based on the “Can-Be” Map

Put Borders in Place for:

Traffic

Moveable and Non-Moveable Floor Items

Walkways/Work Areas

Work Surface Items

Give Each Item a Home Address

Give Each Item an Identification Label

Standardize S4

5s Check List

5s Audit Teams

The 5s Cabinet

Management Reviews

Visual Management

Sustain S5

The 7 Forms of Waste (Muda)

T ransportation

O verproduction

M otion

D efects

W aiting

I nventory

P rocessing

34

Extra Inventory

Extra Space

Extra Handling

Extra Machinery

Extra Overhead

Extra Paperwork

Extra Defects

Waste of Overproduction

Poor

Scheduling

Machine

Breakdown

Quality

Problems Supplier

Delivery

Absenteeism

Line

Balance

Long Setup

Time

Long

TransportationCommunication

Problems

Sea of Inventory

Lack of Housekeeping

Excess Inventory Hides Problems

Review

John Veatch

Lean Concepts Inc.

17710 Willowcreek Way

Westfield, IN 46074

johnveatch@lean-concepts.com

38

Lean Concepts, Inc

THANKS YOU

for your attendance, attention, and

participation

John A Veatch

888-314-3684

johnveatch@lean-concepts.com

www.lean-concepts.com