Lean Aerospace Initiative Plenary Workshop Cycle Time Reduction with Part Synchronization March 31- April 1, 1998 Presented By: Tom Shields MIT Research Sponsored By LAI Lean Aerospace Initiative l l l l l l Outline Context Design and management of complex manufacturing systems Engine sector research Engine Study results System characteristics Observations FO Shields 033198-2 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l Achieving Lean: Some Accepted Wisdom Customer satisfaction – Produce to actual demand – Provide predictable output & rapid response to undesired events – Desired quality l Continuous Improvement – Systemic – Iterative FO Shields 033198-3 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l Customer Satisfaction Produce to actual demand – On time delivery l Provide predictable output & rapid response to undesired events – Low variability in throughput time – Ability to recover schedule l Desired quality – Fitness to standard – Fitness to use – Fitness to cost FO Shields 033198-4 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative Continuous Improvement Continuous = Systemic Iterative + Improvement Improvement Improvement l Aspects – Action based on facts/data – Focus on the vital few FO Shields 033198-5 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l Key Aspects of Continuous Improvement Action based on facts – Understanding of the process – Example: Flow chart – Use data as the basis for decision making – Example: Check sheet (how often do certain events happen) l Focus on the vital few – Identify causes – Address the biggest problem first FO Shields 033198-6 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l Research Project: Design & Management of Complex Systems Key Questions – What enables flow optimization to reduce cycle time? – What are other manufacturing system elements that enable this reduced cycle time? l Method – Investigate similar products in each sector – Focus on assembly operations – Measure key performance metrics l Progress – Engine sector completed – Airframe sector under study FO Shields 033198-7 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l l l Engine Sector Research Three sites Studied final assembly of engines Research focus – Build times – Sources of delay – Delivery history – Manufacturing system performance l Subsequent investigation of supplier network FO Shields 033198-8 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative Engine Sector Study Results Customer Satisfaction = On Time Delivery Site A B C Delivery history Late On Time 35% 65% 30% 70% 0% 100% FO Shields 033198-9 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative 18.0 Part Count 16.0 Normalized Build Time (actual/planned build time) Engine Sector Study Results (Con’t) l 14.0 12.0 Average Build Time Shortest Build Time 10.0 Longest Build Time 8.0 6.0 Key attributes of superior performance: – Build on time – Predictable build time 4.0 2.0 0.0 B1 B2 A1 A2 C2 C1 Site Engine Lines FO Shields 033198-10 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative Nonattributable Parts shortage Quality Resources Sources of Build Delay A1 47% 38% 13% 2% B2 70% 16% 14% C 3% 97% 0% • Sites A & B did not track build time or sources of delay • Site C did track build time and other data 1 Based on weekly measurements of delay sources 2 Based on perceptions from multiple levels FO Shields 033198-11 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l What Will Improve the Part Shortage Problem? Part synchronization to assembly ops – Don’t start until all parts available – Ensure all parts are available when needed l Systemic factors – Planning – Scheduling – Supplier networks – Long term agreements – Certified suppliers FO Shields 033198-12 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative Key: Part Synchronization Supplier Assembly Plant Warehouse MRP MRP Kanban 80% of parts value Monthly Batches MRP A - Push Kanban B - Push C - 80% Pull FO Shields 033198-13 ©1998 Massachusetts Institute of Technology Lean Aerospace Initiative l Observations Systemic attack on part synchronization yields major benefits to on time build l Must have information to focus actions l Cycle time continues to be important metric l Production synchronization with suppliers requires steps beyond long term agreements and certified suppliers FO Shields 033198-14 ©1998 Massachusetts Institute of Technology