technical and radical improvement concepts - magna improvement - supplier... · • kaikaku based...

Technical and Radical Improvement ConceptsBob Yokabitus; Continuous Improvement MgrSupplier DayNovember 9, 2011

2Disclosure or duplication without consent is prohibited

• Repeated incremental improvement steps

• “Point Kaizen” or event driven improvements typical understanding

• “Flow Kaizen” incorporates total operations in Lean Manufacturing (TPS)

16

Traditional Improvements


• Kaikaku can describe radical non-reoccurring improvements or changes

• Sometimes called radical Kaizen

• “Kaikaku Teams” often take control of operations in crisis situation

17

Radical Improvement

4Disclosure or duplication without consent is prohibited 18


• Kaikaku based process improvement (Radical Kaizen).• Uses SDE resources for weeklong detailed process

review and opportunity identification.• With supplier participation quantifies savings

opportunity.• Price reductions immediately taken on 50% of savings

value.• Supplier chooses to move forward to implement savings

ideas and retain remaining 50% of savings, or to simply reduce price.

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• “Clean Sheet” approach to problem solving.• Typically VA focused on design improvement

opportunities.• Requires applications engineering and program support.• SDE and Purchasing using standard VA/VE

methodologies.• Supplier based to focus on specific part improvements

for specific program application.• Commodity based to focus on material commonization,

specification evaluation, etc.

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• Supplier implementation of CI methodologies.• Designed to drive best in class performance in quality,

delivery, customer service and price.• Allows sustained cost improvement opportunities

through on-going manufacturing improvements.• Coordinates supplier value chain activities with Magna

to achieve singular supply chain management efforts.

25

Lean Manufacturing


• Manufacturing improvements & supply cost reduction provide the greatest opportunity for profit improvement.

• For each dollar saved in manufacturing cost or supply cost reduction, approximately $.60 -$.75 is carried to net profit.

• By contrast, for each dollar of incremental sales, profit increases by $.03-.05.

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Why Lean & SCM


Cost Drivers

50

35

4.5 5

Material Cost Manuracturing Cost

SG&A Cost R&D, Corp. Alloc., etc.

29

The Facts – Cost of Business


“One of my concerns after reading several books on the Toyota production system is that, while such books do outline principles and techniques with detailed explanations, their treatment of the subject is specific and anecdotal rather than systematic.”

Shigeo Shingo

Source: Shigeo Shingo. A study of the Toyota Production System From and Industrial Engineering Viewpoint. Cambridge, MA. Productivity Press, 1989

2

Successful Systematic Implementation


• Lean Manufacturing System– The setting of STANDARDS aimed at continuous

improvement by ALL team members through the constant elimination of waste.

4

“Definition of Lean Manufacturing System”


• Standards– Something used as a rule or “basis of

comparison” to evaluate quality, quantity, value, etc.

5

“Standards” From Webster


LEVEL PRODUCTION

EQUIPMENT RELIABILITY

JUST-INTIME

IN-STATIONPROCESSCONTROL

QUALITY / COST / PRODUCTIVITY / SAFETY / MORALE


Team Member

Team Facilitator

Group Leader

Critical Missing Link: - Standardized Work - Control of Kanban Systems - Job Instruction Training - Small team Participation - Andon Response Leadership/Problem Solving - Daily Preventative Maintenance - Team Member Assist for Problems

8

Organization of Support Continuous Improvement


• Establish the Vision• Allow the organization the resources to

implement• Resolve the “Fear Factor”• Teach your direct reports the vision and

system you desire• Make lean part of your annual plans to

the entire team• Constantly/Constantly/Constantly

monitor

10

Leading a Lean Implementation


• No short cuts here…. it must be done• Make contacts with lean organizations and go

tour (pick their brains)• Vision should include how you will work

differently with suppliers and customers• Work with reputable lean consultants or groups

11

Establish Your Long Term Lean Vision


• Get them on lean plant tours• Be a personal teacher to them of the vision and

allow/encourage their input

12

Teach Your Subordinates the Vision


• Get them your vision• Draw/establish current and future state layouts• Drive “Learning to See” maps• Establish accountability and reporting structure• Work on improvements

13

Form Plant Level CIT Teams


• Allow time for organizational implementation• Keep the entire organization focused on the

desired system• Utilize policy deployment to cascade through the

organization

14

Make Lean a Part of Your Annual Plans


Constantly

Constantly

Constantly

Constantly15

Monitor the System


• Hire outside consultants without your lean vision– Your team wants to please you and your company

not outsiders• Kaizen the team lean• Installing Kanban or other tools and state we are

lean

16

What I Have Found Will Fail


“The Toyota Production system is a production system, and a kanban method is merely a means for controlling the system.”

Shigeo Shingo

Toyota:The Benchmark for World Manufacturing

Source: Shigeo Shingo. A study of the Toyota Production System From and Industrial Engineering Viewpoint. Cambridge, MA. Productivity Press, 1989

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• Attempt empowering employees without the lean tools

• Assume management will install lean as you teach them without resources

• Part time won’t cut it• And the worst one

– Is do nothing at all

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What I Have Found Will Fail


Total Employee Involvement

Just-In-Time

Machine Reliability

Stop the Line

Level Production Visual Delivery System

Preventative Maintenance

Total Productive Maintenance

Traffic Light System

Mistake Proofing

In-Station-Process-Control

20

Implementation


• Create the Vision• Develop Implementation Plans• Be a Teacher• Constantly Follow-up

21

In Conclusion


TOOLS USED: -IPCS -SPC -STANDARD WORK -PROCESS CAPACITY -STANDARD WORK CHARTS -STANDARD WORK COMBINATION SHEETS -ERROR PROOFING -5S -JOB INSTRUCTIONAL TRAINING -JOB BREAKDOWN SHEETS -WORK STANDARDS -PROCESS MAPPING

TOOLS USED: -PM BOXES -PM CHECK SHEETS -SKILLED TRADES PM's -STANDARDIZATION -WORK STANDARDS -ERROR PROOFING -5S -PROCESS MAPPING

TOOLS USED: -TAKT TIME -CYCLE TIME -SMALL BATCH SIZES -5S -HEIJUNKA BOXES -SCHEDULING BOARDS -PROCESS MAPPING

TOOLS USED: -KAN BAN -QUICK CHANGEOVERS -WORK STANDARDS -5S -PROCESS MAPPING

TOOLS USED: -MBP -PMP -FOCUS MEETINGS -PERFORMANCE BOARDS

TOOLS USED: -FACT BASED PROBLEM SOLVING -TRAINING MATRICES -BUILDING FORUMS -PARTICIPATION MODEL

MANUFACTURING PHILOSOPHIES FOR CONTINUOUS IMPROVEMENTDPS

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Team or AreaSetting Goals

Team LeaderWho isResponsible forAchieving theTeam Goals

Key Issuesor Actionsfor Sub-Teams orIndividualsto Achieveto makeTeam GoalsHappen

UpwardOrganization’sTargets

Team’s TargetObjectives for

the Year

Go als and Ac tion Matrix - FY 9 9.5Team: JFD-SO UTH Leader : JIM BRODIE

1413 System 5 S urvey in %tile for Climate12 IS O14000 Regis tration11 Achieve % Da ily Sc hedule Obtainment10 OSHA Recordables B elow 50% of Nat' l Ave - 98 P PPH 7 Inven tory Tu rns at or Ab ove 6 S crap Cost 5 Over head % S ales 4 S emi-Varia ble % to S ales 3 Sh ort S hips at o r Below 2 CPP M at or Be low 1 LWI Ra te at or Be low

Tea m Objectives O S

OSH

A Re

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ables

Belo

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14 13 12 11 10 9 8 7 6 5 4 3 2 1

Tar get Champ ion

Own ers

Cus tomers

Sup pliersCommun ity

Employees

Manageme nt By Planning

Key Iss ues or Actio ns for Sub-Teams or Individuals to Achieve to

Make Team Goals Happen (DPS Initiatives)

•Implement PI and PW in Zone 2

•Finalize Fact-Based Problem Solving Pilot

•Successfully Implement 2 Teams with Group Facilitators

•Schedule DN101, LH and Assembly Area to Takt Time

•Finalize Takt Time Counter Installation

•Relocate and Start to Use Andons

•Continue Focus on Defect Free Launches

•Continue Focus on Process Capability

•Continue Work on Setting Up Milk Runs with Suppliers

•Create DPS Library for 2 Zones

•Improve Use of MBP

•Improve Scanlon Literacy at All Levels

•Behavior Based Safety Pilot

•ISO14000 Registration

1.

Identify & Quantify Key Opportunities

Opportunities are quantified in Goal Document

2.

Closure Presentation

Standard Agenda - 30 min

Progress and accomplishments

Lessons learned

Celebrate success

DONNELLY Value Stream Goal Document

Team Name:

% Goal Achieved

METRIC CURRENT STATE TARGET ACTUAL

6.Complete Team Charter & Form Team

Use (1) Charter for each Kaizen activity associated with Value Stream Mapimprovement targets.

Name of Team:

Objective:

Why is This Important?

Leader:

Coach:

Team Members:

Deliverables:

Boundary Conditions:

Coach: Provides educational and directional support to teams upon request of Leader. Coordinates Lean efforts thorughout the site.

METRICS CURRENT CONDITION TARGET CONDITION

Estimated Project Completion Date:

Sponsor: A manager level leader who is underwriting the activity of the team. The sponsor is usually not a member of the team, but provides suport foro the team to succeed, whie also providing accountability. Meets weekly with Leader challenging thinki

Leader: Leads the team and is personally invested in seeing the team succeed. (S)he has te accountability to facilitate the process through to completion. Accountable to Sponsor for continued progress and success.

MBP Goal/Target Action This Supports:

DONNELLY TEAM CHARTER3.

Lean Steering Committee: Review / Priorities

Approve Project Plan

Set boundary conditions

Key metrics

Time Line

ALIGNMENT

4

.Name of Team:

Objective:

Why is This Important?

Leader:

Coach:

Team Members:

Deliverables:

Boundary Conditions:

Coach: Provides educational and directional support to teams upon request of Leader. Coordinates Lean efforts thorughout the site.

METRICS CURRENT CONDITION TARGET CONDITION

Estimated Project Completion Date:

Sponsor: A manager level leader who is underwriting the activity of the team. The sponsor is usually not a member of the team, but provides suport foro the team to succeed, whie also providing accountability. Meets weekly with Leader challenging thinki

Leader: Leads the team and is personally invested in seeing the team succeed. (S)he has te accountability to facilitate the process through to completion. Accountable to Sponsor for continued progress and success.

MBP Goal/Target Action This Supports:

DONNELLY TEAM CHARTER

Execute the Project5.ID Task N Dura1 Workc ######

2 Effic ######

3 Too ######

4 Colo 2 wk

5 Wor 2 wk

6 PM 2 wk

7 Heij 2 wk

8 Con 2 wk

9 Takt 4 wk

10 And 4 wk

11 Impl 51 w

Bartrand,Boss

Boss,Bartrand

Bartrand,Boss

Boss,Bartrand

Bartrand,B

Gillette,Ba

Langejans,Boss

Langejans,Boss

rtrand

1/14 1/21 1/28 2/4 2/11 2/18 2/25 3/4 3/11 3/18 3/25 4/1February March April

PROBLEM/SOLUTION TRACKING SHEET

DATE# INITIATOR PROBLEM/SOLUTION COUNTERMEASURE PLAN ITEM WHO RCVD DUE # OF

MISSES

25 Boss Need work Standard for types of glass Write Boss 12/6/00 1/6/00

26 TEAM Strut mount dunnage too high--difficult to get struts out

Investigate shorter dunnage with buyer Boss 12/6/00 1/6/00

27 TEAM Kanban system for components not being used1. Make sure number of cards in system is correct. 2. Make sure cards are being used correctly 3. Have cell added to conveyance route.

Boss/ team

12/6/00 12/12/00

28 TEAM Mislabel - schedule not followed, parts not identified correctly

Follow schedule. Use cross reference list TEAM 12/6/00 12/6/00

29 TEAM Part ID label not always correct D# Add signal to panelview any time D# differs from previous part.

Teunis 12/6/00 12/12/00

30 TEAM Mixed parts at changeover Add signal to panelview any time D# differs from previous part.

Teunis 12/6/00 12/12/00

31 TEAM Appliques hard to get out of tote Reorient - Stack vertically instead of horizontally Tague 12/19/00 1/12/01

32 TEAM Glue head orientation awkward Reorient Athey/ Teunis

12/19/00 1/12/01

33 TEAM Lock pins are not called out on gauge instructions

Add Ivey 12/19/00 1/12/01

34 TEAM LH Hinge pin missing from gauge sheet Add Ivey 12/19/00 1/12/01

35 TEAM

36 TEAM

KEY MEASURE: ScrapJFD-South Performance

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

MoActualYTDActualMo Goal

26

Lean Implementation Process


Team or AreaSetting Goals

Team LeaderWho isResponsible forAchieving theTeam Goals

Key Issuesor Actionsfor Sub-Teams orIndividualsto Achieveto makeTeam GoalsHappen

UpwardOrganization’sTargets

Team’s TargetObjectives for

the Year

Goals and Action Matrix - FY 99.5Team: JFD-SOUTH Leader: JIM BRODIE

1413 System 5 Survey in %tile for Climate12 ISO14000 Registration11 Achieve % Daily Schedule Obtainment10 OSHA Recordables Below 50% of Nat'l Ave -98 PPPH 7 Inventory Turns at or Above 6 Scrap Cost 5 Overhead % Sales 4 Semi-Variable % to Sales 3 Short Ships at or Below2 CPPM at or Below 1 LWI Rate at or Below

Team Objectives OS

OSH

A R

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es B

elow

% o

f Nat

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Achi

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% D

aily

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Targ

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14 13 12 11 10 9 8 7 6 5 4 3 2 1

Target Champion

Owners

Customers

SuppliersCommunity

Employees

Management By Planning


Key Issues or Actions for Sub-Teams or Individuals to Achieve to Make Team Goals Happen

• Implement PI and PW in Zone 2

• Finalize Fact-Based Problem Solving Pilot

• Successfully Implement 2 Teams with Group Facilitators

• Schedule DN101, LH and Assembly Area to Takt Time

• Finalize Takt Time Counter Installation

• Relocate and Start to Use Andons

• Continue Focus on Defect Free Launches

• Continue Focus on Process Capability

• Continue Work on Setting Up Milk Runs with Suppliers

• Create DPS Library for 2 Zones

• Improve Use of MBP

• Improve Scanlon Literacy at All Levels

• Behavior Based Safety Pilot

• ISO14000 Registration

28


Original State


Suspected Cause Action Item Responsible Due Finding

Current Condition

Background

Goal

Root Cause Analysis

Countermeasures

Follow‐Up Actions

Action Item Responsible Due Status

Effect Confirmation

A3 Thinking


Current State


Supplier

?36

Future State

technical and radical improvement concepts - magna improvement - supplier... · • kaikaku based...

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