lean innovation - basic principles of lean

Basic principles of Lean

LEANinnovation

@Joeri Vercammen

IntroductionInnovations in aeronautics! – J. Vaughan (Flickr)

“We are living in the age of creativity”

(1) Agriculture age – Farmers(2) Industrial age – Factory workers(3) Information age – Knowledge workers(4) Conceptual age – Creators

Consider unlocking creativity is crucial to economic sustainability.

http://www.adobe.com/aboutadobe/pressroom/pressreleases/201204/042312AdobeGlobalCreativityStudy.html

Believe that they are living up totheir own creative potential.

http://www.adobe.com/aboutadobe/pressroom/pressreleases/201204/042312AdobeGlobalCreativityStudy.html

Sunfl

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Blue

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Lean provides:

the tools to release wasted time the insights of a structured process

Lean basicsModern Times – CNN

Ford Model T:Any colour you like, provided it is black.

1950 – 1980 Toyota changes its production process:

worker is process owneravoid waste, low cost, high productivity

Toyota I



1980sMore Japanese cars thanAmerican in the US

Toyota II



1980sMore Japanese cars thanAmerican in the US

1990sWomack & Jones “The machine that changedthe world” Toyota III

Lean is ‘hot’ Lean entrepreneur Lean startup Lean branding Lean UX Lean analytics Lean talking Lean service design Lean enterprise Lean design

“Lean is a philosophy with as goal to increase productivity by systematic elimination of waste”

It starts with the visualization of a process.

In the broadest of sense, i.e.manufacturing, service, administration, etc

1 Visualize the entire process

“Sample prep” “Analysis” “Data hand ling”

This is the value stream map

2 Measure


Turnaround timeProcess timeRequired time

2 Measure



How long does the entire step take?+ what’s the first time right ratio?

How much time is spend on actions thatcreate true value for the customer?

2 Measure



2 Measure



How much time is spend on actions that are necessary but not create true value for thecustomer, e.g. making reports, invoices, etc?

2 Measure


3 Remove all waste


3 Remove all waste

“Sample prep”

“Analysis”

“Data hand ling”

3 Remove all waste

75%

Typically, time reductions up to 75%can be achieved by applying Lean principles.

The 7 wastes (+1)Wasting time – Mr. Birnbaum (Flickr)

Remember Tim Woods?

TransportInventoryMotion

WaitingOverproductionOverprocessingDefectsSkills

Remember Tim Woods?

Too much transport (product, information)

Moving products to and from storage Transport between workstations Moving products and materials back and forth Picking up signatures

WASTE #1

Too much inventory

Too much consumables, reagents, etc… Multiple locations Pending documents Open projects Unread emails Unused/useless data in DB

WASTE #2

Unnecessary motion of people

Not everything within range Looking in materials/documents Looking for materials/documents

5S

WASTE #3

Waiting…

For the previous process step For equipment to be ready/available For outpu/results (runtime) For approval For maintenance, (technical) assistance

WASTE #4

Overproduction

Too much reagents, standards, etc… Too much samples Too much data Making reports that are never read Making an extra copy (endless cc-ing)

WASTE #5

Overprocessing

Unnecessary re-analysis/calibrations Doublechecks Validation Over-complicated procedures Double documents

WASTE #6

Defects

Instrument failures Retesting Variation Wrong data input Missing information No procedure

WASTE #7

Skills

Underutilizing skills of people Lack of decent training Not using people’s creativity

WASTE #8

Some Lean toolsOld tools – J.M. Rosell (Flickr)

Main sources of waste are:

Waiting Overproduction & overprocessing leading to inventory Motion

FLOW & PULLA simple way to address these wastes

(similar to the assembly line in a car manufacturing plant)

FLOW & PULLA simple way to address these issues


= make sure that a product never stops from the moment the production process is launched.

FLOW & PULLA simple way to address these issues


= the subsequent process step signals when ready to accept new product.

[The tools]PDCA

5 WhysOne-piece flow

KanbanTakt time

Line balancing5S

Continuous improvement.

Kaizen is derived from two Japanese characters; kai, meaning ‘change’ and zen meaning ‘good’. It aims at continuously eliminating waste from the value stream. Therefore, it applies the so-called PDCA cycle.

Kaizen

Plan

Do

Check

Act

Plan

Do

Check

Act

What’s going?What are the facts?What could be done?

Plan

Do

Check

Act


Put the plan into action.Measure the result.

Plan

Do

Check

Act


Put the plan into action.Measure the result.What happened?

Was it what was expected?What should we do differently?

Plan

Do

Check

Act


Put the plan into action.Measure the result.What happened?

Was it what was expected?What should we do differently?

Measure the new processMake sure change is permanent

Question-asking technique to determine the root cause of a defect.

Ask five subsequent questions in response to an observed defect. The answer to each question forms the basis of the next question.The last answer points to the process failure that needs to be addressed.

5 Whys

Approach to prepare each product individually rather than in batch.

By working this way, turnaround times are reduced significantly and the impact of errors on the process is less significant because only ‘one piece’ is involved rather than a batch of pieces.

One-piece flow

Assume a process that consists of three steps.Each step takes one minute to complete.

This is what happens in function of variable batch size.


Batch size, # 1st sample, min All samples, min10 21 305 11 202 5 141 3 12



! Faster turnaround !



! Faster troubleshooting !


System that matches inventory with actual demand.

Kanban is a visual technique that applies cards to signal when new product is required. It is true pull, since the trigger to start production send to the previous step in the production cycle.

Kanban


1 2

Kanban 1: Analysis ready, trigger sample prepKanban 2: Data handling ready, trigger analysis


t0: No production

1 2


2

t1: Kanban 2 triggers “Analysis” based on customer demand (= pull)

1


1

t2: Kanban 1 triggers “Sample prep” (= pull)

2


1 2

t3: Kanban 1 returns to “Analysis”


t4: Kanban 2 returns to “Data handling”, Kanban 1 triggers “Sample prep”

1 2


This process is continued until all “Data handling” is finished.

1 2

Production time needed to meet customer demand (= pull).

If a customer needs 10 units per week for example, then the average time to build a single unit must be 4 hours (= takt time). Production must be (slightly) faster than takt time, so that it can meet customer demand without over or under performing.

Available timeRequired units

Takt time

Takt =


In the previous slides is was assumed thateach process step takes the same amount of time.

In reality this is rarely the case.

More appropriate is, for example:

Sample prep: 120 minAnalysis: 60 min

Data handling: 30 min


120

60

30


Or graphically,

- Example 1 -Demand: 10 samples in 3 days (= 21 h)

Takt = 2.1 h


120

60

30

Takt


120

60

30


Takt = 2.1 h

TaktOverperforming


120

60

30


Takt = 2.1 h

Takt


Takt = 1.1 h


120

60

30

Takt


Takt = 1.1 h


120

60

30

Overperforming

Takt


Takt = 1.1 h


120

60

30

Underperforming

Leveling the workload in a value stream.

Lean balancing applies takt time calculations to remove bottlenecks and excess capacity from a process.

Line balancing

Takt

Let’s return to Example 2Demand: 20 samples in 3 days (= 21 h)

Takt = 1.1 h


120

60

30

Underperforming

Takt

Sample prep is the bottleneck


120

60

30

Underperforming

Takt

Possibilities?


120

60

30

Underperforming

Takt

Possibilities?Map the value stream of the “Sample prep” process

Remove wasteTransfer workload to “Data handling”

Increase capacity


120

60

30

Underperforming

A method to organize a clean & efficient workplace.

It involves a sustained hierarchical organization of all the tools and products that are needed to get a job done.

5S

SummaryThinking differently – M. Cardus (Flickr)

Lean provides a strategy to release time that isotherwise inevitably lost in inefficient procedures.

It provides crucial insights into how things are done.

It is the ideal starting pointto provoke more effective innovation.

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lean innovation - basic principles of lean

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