Production Operations Transition-To-Lean Roadmap Supply Chain/External Environment • Legal • Environmental • Government Reqd. Systems (MMAS, EVMS, etc.) Enterprise / Production System Interface • Financial • Information • Procurement • Engineering • Quality • Safety • Training and Human Resources • Workforce/Management Partnership Phase 0 Phase 1 Phase 2 Phase 3 Phase 4 Phase 5 Phase 6 Adopt Lean Paradigm Prepare Define Value Identify Value Stream Design Production System Implement Flow Implement Total System Pull •Build vision •Build vision •Establish need •Establish need •Foster lean •Foster lean learning learning •Make the •Make the commitment commitment •Obtain Sr. •Obtain Sr. Mgmt. buy-in Mgmt. buy-in •Integrate with •Integrate with Enterprise Enterprise Level Top Level •Establish an Leadership •Establish an Operations Operations Lean Lean Commitment Implementation Implementation Team(s) Team(s) •Develop •Develop implementation implementation strategy strategy •Develop a plan •Develop a plan to address to address workforce workforce changes changes •Address Site •Address Site Specific Specific Cultural Issues Cultural Issues •Train key •Train key people people •Establish target •Establish target objectives objectives (metrics) (metrics) Lean Roadmap •Select initial •Select initial implementation implementation scope scope •Define •Define customer customer •Define value •Define value Quality, Quality, Schedule, and Schedule, and Target Cost Target Cost •Record current •Record current state value state value stream stream •Chart product •Chart product and and information information flow flow •Chart operator •Chart operator movement movement •Chart tool •Chart tool movement movement •Collect •Collect baseline data baseline data + •Develop a future •Develop a future state value state value stream map stream map •Identify takt time •Identify takt time requirements requirements •Review •Review make/buy make/buy decisions decisions •Plan new layout •Plan new layout •Integrate •Integrate suppliers suppliers •Design visual •Design visual control system control system •Estimate and •Estimate and justify costs justify costs •Plan TPM •Plan TPM system system + •Standardize •Standardize operations operations •Mistake proof •Mistake proof processes processes •Achieve process •Achieve process control control •Implement TPM •Implement TPM •Implement self•Implement selfinspection inspection •Eliminate/ •Eliminate/ reduce waste reduce waste •Cross train •Cross train workforce workforce •Reduce set-up •Reduce set-up times times •Implement cell •Implement cell layout layout •Implement visual •Implement visual controls controls + + Phase 7 •Select •Select appropriate appropriate production production system control system control mechanism mechanism •Strive for single •Strive for single item flow item flow •Level and •Level and balance balance production flow production flow •Link with •Link with suppliers suppliers •Draw down •Draw down inventories inventories •Reassign •Reassign people people •Re-deploy/ •Re-deploy/ dispose assets dispose assets + Strive for Perfection •Team development •Optimize quality Expand Internally/Externally •Institutionalize 5S •Institute Kaizen events •Remove system barriers • Expand TPM • Evaluate against target metrics • Evaluate progress using lean maturity matrices ENTRY © 2000 Massachusetts Institute of Technology IMPROVED COMPETITIVE POSITION 6/5/00