Using Lean to Get to Green
Water Environment School
March 25, 2010
Debra Taevs, Deputy Director
Pollution Prevention Resource Center (PPRC)
Acknowledgments:
Michelle Gaither, Environmental Engineer, PPRC
Partially adapted from:
»Ross & Associates Environmental Consulting,
»EPA’s Lean & Environment Toolkits
Additional thanks to:
Canyon Creek Cabinet Company, Lasco Bathware, Columia Paint &
Coatings, Woodfold Manufacturing, ON Semiconductor, Oregon
Manufacturing Extension Partnership (www.omep.org), Impact
Washington, Idaho Department of Environmental Quality, Idaho
Department of Energy Resources
Pollution Prevention Resource Center (PPRC)
PPRC is the Northwest Region’s leading nonprofit that provides practical, on-the-ground
technical assistance to businesses, public
agencies, and non-profits that are seeking to
conserve resources and improve economic
performance.
PPRC
»
Est. in 1990 as an alternative to building new
hazardous waste disposal sites in the region
»
Serve EPA Region 10 (WA, OR, ID and AK)
»
Provide pollution prevention (P2) information
resources, research and networking
»
Support for Technical Service Providers in
federal, state and local government and
industry
Presentation Objectives
»
Describe how lean manufacturing principles relate to
environmental performance.
»
What is happening in Lean and Green?
Learn by examples from different case studies.
»
What is Lean?
»
A continuous-flow production approach, pioneered by
Henry Ford, further developed by Toyota, and
adapted by many others
»
Lean thinking aims to produce:
• high quality products and services
• at the lowest cost
• with maximum customer responsiveness
»
Seeks to eliminate “waste” which is defined as any
non-value added activity, input, or output
Lean = Eliminating Waste
Value-Added
Non-Value-Added









Overproduction
Waiting
Transportation
Non-value-added processing
Excess inventory
Defects
Excess motion
Underutilized people
Environmental waste
Typically 95% of all lead time can be non-value-added.
What Lean Does
Lean reduces the capital and time intensity of
manufacturing products
$$$
&
Time
Lean Philosophy
Shorten time line between customer order and
product shipment by eliminating waste
Business as Usual
Customer
Order
Waste
•Time
Lean Manufacturing
Customer
•Order
Waste
Product
Shipment
Lead Time (Shorter)
Product
Shipment
Seven Wastes ‘Muda’
»
»
»
»
»
»
»
»
Overproduction
Transportation
Waiting
Inventory
Motion
Over Processing
Defects
Underutilized
employees
•Sea of Inventory
•Line Imbalance
•Quality
Problems
•Long
Start-up
•Time
•Poor
•Scheduling
•Machine
Breakdowns
•Poor Housekeeping
•Long Vendor
Deliveries
•Communication
Problems
•Absenteeism
•Long Transportation
©Washington Manufacturing Services
www.wamfg.org
House of Lean (& Environment)
Building Blocks
•Continuous Improvement
Pull/Kanban
Cellular/Flow
Batch Reduction
Plant Layout
Teams
5S System
P2
Standardized Work
Quality at Source
Quick Changeover
POUS
TPM
Visual Controls
Adapted from www.mep.nist.gov
•Value
•Stream
•Mapping
Why Are You Hearing About Lean?
»
Lean production is becoming more & more widespread
• At least 30-40% of U.S. manufacturing firms are engaged in
lean; 5% are pursuing it aggressively
• Many organizations in the Pacific NW are implementing Lean
• The Economy!
»
Lean is connected to competitive business drivers with
substantial financial benefits
»
Growing interest & experience in non-traditional settings
• service sector (hospitals, banking, insurance)
• government (15+ State and local environmental agencies)
•1
What is Pollution Prevention (P2)?
Pollution prevention consists of any activity or strategy that
» eliminates or reduces the use of toxic substances;
»
»
conserves water or energy; and/or,
reduces (or better yet, eliminates) the generation of
nonproductive output, hazardous waste, air emissions,
wastewater, or other pollutants.
Buzzwords Relating to P2
Zero-Waste
Source Reduction
Sustainability
The Environmental Hierarchy
Lean Eliminates Production “Wastes”
But Not Always Environmental Wastes
Lean’s “Deadly
Wastes”
1.
2.
3.
4.
5.
6.
7.
Defects
Overproduction
Waiting
Non-value added (over-)
processing
Transportation
Inventory
Motion
Where are the
environmental wastes?
•
•
•
•
Excess material use
Toxic / hazardous material use
Scrap & non-product output
Hazardous wastes
• Pollution (emissions/effluents)
• Energy and water consumption
Environmental Waste
=
any inputs or outputs that do not add value to the product

Energy Waste
Heating, cooling, lighting

Resource Waste
Raw material, space, equipment, water

Process Waste
Scrap, rework, emissions, heat

Solid & Hazardous Waste
Expired or unusable hazardous material, excess
packaging (inbound or out), trash, manufacturing wastes
XX = Definite crossover with lean waste
Lean Manufacturing and
Environment Integration Efforts
»
EPA’s Lean and Environment
Toolkit (2006) and Lean and
Energy Toolkit (2007) and Lean
and Chemicals Toolkit (2009)
• Designed to show lean practitioners
how to integrate environmental &
energy considerations into lean
• Practical strategies and tools that
work with and support lean’s overall
waste-elimination focus
House of Energy Efficiency
Continuous Improvement
Equipment & Tech
Vendors
Utility EE Programs
Energy Audits
Hardware &
Technology
Continuous
Improvement
Kaizen
Align Performance to
Strategic Plans
Measure Energy
Intensity/Output
Operations
Sustain
Strat.
Tools
Strategic
Management
Source: California MEP (www.cmtc.org)
•Value
•Stream
•Mapping
Similarities Between Lean and P2
»
»
A systematic approach to continual improvement.
A systematic and on-going approach to identify and
eliminate waste.
• Root cause analysis
• Baseline assessments and data collection (lots)
»
»
»
Active employee participation in improvement
activities.
Emphasis on metrics to inform decisions.
Engagement with the supply chain to improve
enterprise-wide performance.
Differences
Lean is fundamentally about competitiveness, not environmental improvement.
»
Drivers/Motivation
•
•
»
Lean
Value stream maps, 5S, standard work, flow, setup reduction,
P2
Process mapping, P2 and engineering assessments,
utilities assessment, environmental cost accounting
Different “Wastes”
•
•
»
Competitiveness, capital productivity, and customer satisfaction
Reduced toxicity, consumption, waste, & pollution
Methods (many of these tools can be used in tandem)
•
•
»
Lean
P2
Lean
P2
non-value added production waste
Toxics, pollution, solid & hazardous waste, energy, water, material use
Leadership
•
•
Lean
P2
Operations and business managers
Environmental or safety managers
Strategies for Adding Environment to Lean
#1 = Include the company EHS person
»
Lean Training
• Include (“integrate” or “layer in”) environmental
wastes not typically covered in lean
• Add a waste stream to lean simulations
»
Lean Events
• Add “EHS” icons or flags
• Record environmental data on current state VSM
• Use P2 Checklists
• Process Mapping with environmental inputs/outputs
Example P2 Checklist Excerpt
Metal Finishing Industry P2 Checklist
Parts Cleaning:
Mechanically pre-clean parts as much as possible first.
 Determine level of cleaning needed.
 Work with the supplier to use a corrosion inhibitor more easily removed
or compatible with the cleaning system used on site.
 Arrange for JIT delivery to reduce or eliminate need for corrosion
protection.
 Use a lower vapor pressure cleaner.
 Use an aqueous cleaner.
Reduce Drag Out Losses:
 Extend drip time; install drip racks.
 Install drainage boards between tanks to route drag out into the correct
process tank.
 Reduce workpiece withdrawal rate from the chemical bath.
 Install air knives or water misters to remove drag out.
 Lower the concentration of plating bath constituents, increase the
plating solution temperature. Both actions will reduce solution viscosity to
enhance runoff.
 Rack workpieces being plated so that cavities open downward to
promote draining.
 Use non-ionic wetting agents ….
Source: http://www.epa.ohio.gov/portals/41/p2/Kansas%20SBEAP%20Checklist.pdf
Current State Value Stream Map
(Unmodified)
Production
Control
Supplier
1
Market Forecast
Customer
A
Supplier
2
Customer
B
D
WK
D
WK
I
30 days
Shipping
Receiving
I
Welding
Milling
5 days
2 people
I
C/T = 2 min
C/O = 2 hr
Uptime = 74%
5 days
2 people
2 min
I
C/T = 4 min
C/O = 3 hr
Uptime = 61%
2 days
Assembly &
Inspection
Painting
3 people
I
C/T = 2 min
C/O = 30 min
Uptime = 93%
C/T = 7 min
C/O = 4 hr
Uptime = 48%
1 day
4 min
Total Lead Time = 10 days
Value Added Time = 15 min
3 people
2 days
7 min
3 days
2 min
Current State Value Stream Map Example
Previous Page
Next Page
Example of Adding a Materials Line
EHS
EHS
Welding
Milling
I
2 people
12 lbs
Top line:
Materials Used
by Process
I
2 people
10 lbs
8 lbs
5 lbs
Materials Used = 22 lbs
Materials Needed = 13 lbs
Materials Wasted = 8 lbs
Bottom line:
Materials Added to Product
During the Process
Materials lines can be developed for any major
material source used in processes and products
Expand the current state value stream
mapping to include natural resource flows
(energy, water, materials)
EHS
Paint
Surface Prep
I
1 person
Water Used
2 lbs
1 person
2 gal
Materials Used = 15 lbs
Materials Needed = 9 lbs
Materials Wasted = 6 lbs
Purge Spray Line
I
1 person
0 lbs
N/A
7 lbs
5 gal
5 gal
4 gal
Water Needed
I
10 lbs
Materials Used 5 lbs
Materials Needed
EHS
EHS
5 gal
3 gal
Water Used = 14 gal
Water Needed = 10 gal
Water Wasted = 4 gal
Lean/Green Value Stream Map – Inputs & Outputs
Louver Paint Line – Current State
Lean and Environment
Kaizen Events
Previous Page
Next Page
What Are Kaizen Events?
»
Cross-functional, team-based activities that:
• Eliminate waste
• Make rapid changes in the workplace
»
Events last 2-7 days – and may involve pre-planning
»
Steps in kaizen events include:
• Gathering baseline data
• Brainstorming improvement ideas
• Testing ideas
• Presenting the results
Example Lean Event Meeting Room
Reasons to Include Environmental Health
and Safety (EHS) Expertise in Kaizen Events
»
If not properly managed for EHS impacts, kaizen
events can:
• Result in regulatory compliance violations
• Create health and safety hazards for workers
• Overlook opportunities to reduce wastes and help
organizations meet their environmental goals
The P2 Thinking Cap and “Open Eyes”
»
»
Processes or overproduction that unnecessarily consume raw material, chemicals, or
resources
•
Can water use be reduced or spent water be reused, recycled?
•
Is a chemical inventory management system utilized? (e.g., from 2,130 vs. 700)
•
Can packaging be reduced? (e.g., reusable, buy in bulk)
Processes that use highly toxic chemicals
•
•
•
»
»
Why are these chemicals used? Are these the only option?
If no other option, can we reduce the amount used?
Can we reduce evaporation?
Processes that generate major quantities of material wastes, including scrap,
spoilage, overspray, defects, and inventory due to overproduction
•
Can transfer efficiency or material utilization be improved?
•
How can we reduce defects?
•
If there is no opportunity to reduce, can one process’ scrap for another process?
Processes that generate significant regulated emissions and effluents?
•
Are there alternative, lower-VOC products that could reduce emissions?
•
Are there alternative methods to clean equipment, purge spray lines, etc?
•
Can transport, movement, and oversized equipment be changed/reduced to minimize
emissions?
CASE STUDIES
WOODFOLD: Shutter Paint Line Improvements
• Lean Improvements
 WIP reduced from 58 to 40 units
 Mixed model line – paint and stain flow together
 Better flow and line balance
 Throughput – 20% potential capacity increase
Material Use
• Reduced overproduction of
custom color paints by 48
gallons/year with a Minimum Fill
simple container redesign.
Before
• Increased paint transfer
efficiency by around 15% with
training and standard work for
shutter painters.
After
Shutter Paint Line Improvements
Water Reductions
•Revised methods and criteria for flush water for
line purging.
•Reduced water consumption by about 50% for
this function – from 12 gallons/day to 6
gallons/day. (Saved a whopping $4, but stay
tuned….
Shutter Paint Line Improvements
Energy
• Reduced energy associated with
evaporating paint line flush
wastewater stream.
Shutter Paint Line Improvements
Woodfold – Particulate Emissions
Actions:
• Changed to a zipper-mounted filter system for
paint booths.
• Improved spray transfer efficiency
Results:
• Eliminated particulate emissions and increase
longevity of the filters.
• Reduced labor for filter changeout and added 156
hours of available paint booth time.
Woodfold Mfg., (Forest Grove, OR)
Saving $43K/year with opportunities
identified by including P2 during their VSM.
Reductions
Labor/Increased
Capacity
Material
Source of Savings
Annual Cost Savings
Annual Time, Material,
& Environmental Savings
New filter system
$ 3,800
Over 160 hours
Avoided paint purchase (raw
material) due to new paint
container design
$ 1,440
48 gallons/year
Improved transfer efficiency
$34,530
Emissions
Improved transfer efficiency
Not quantified
Disposal
Filters (longer life)
PVC scrap to recycler
Not quantified
$ 670
102 gallons primer
980 gallons of lacquer
968 pounds VOCs
82 pounds hazardous air pollutants
(HAPS)
Not quantified
6 tons scrap PVC
Water
New flush /purge water methods Not quantified
2,600 gallons/year
Energy
Reduced use of evaporators due
to improved water use
120,000 kwh electricity
Total Cost Savings (Quantified as of 12/07)
$ 3,300
$43,740
Food Processor (in Oregon)
Used VSM to Identify Wasted Water,
Energy, and Material
A Case of “That’s the Way We’ve
Always Done It”.
• Dumpster Dive – tons of food processing residuals
• Plant clean-up day
• Incredible amount of water used at plant
• Heated water to clean food residuals
• Wash water collection and treatment
•Energy
•Dewatering of solids
•Permitting/BOD issues
• Found local composter
• Changed cleaning process to remove most of solids
Three Washington Pilot Projects: ’06 – ‘07
Collective Annual Cost Savings in Productivity and
Environmental Improvements:
$1.6 Million
“I believe the collective experience has
set the groundwork for future lean and
environmental improvement efforts at
our company.”
Canyon Creek Cabinet Company
Excerpts from Pilot Project - 2006
Lean and Environment Pilot Project
»
»
»
»
Conducted through a grant partnership with the Washington
State Manufacturing Extension Center and Washington
Department of Ecology
Lean 101 Training
Value Stream Mapping Event
3 One-Week Kaizen Events for Each of Two Teams
• Woodworking and milling (Woodchuckers)
• Cabinet surface coatings (Toxics Team)
Kaizen Event – New Saws and In-Flow Layout
»
3 new crosscut saws
»
Cutting time per day (before)
•
»
368 sheets/day @ 120 sec/sheets = 12 hours 15 min
Cutting time per day (after)
•
219 cuts @ 21 sec/cut = 1 hour 17 minutes
»
---------------------------------------------------------------------------Reduction in time:
90% = $31,000
»
Reduction in sheets required:
$194,000/year
»
Reduction in waste removal:
580,000 lbs/year and $58,000/year
----------------------------------------------------------------------------------------------Layout improvements saved: Over 650 foot-miles of foot travel per year!
5S in the Work Area –Set in Order with
Visual Controls
•
Orphan Bin, Doors & Drawer Fronts
Before
After
Quality / Inspection Line
Before
After
Better ergonomics
In-Line (reduced travel)
Improved lighting
Changes reduced cost of rework by $208,000/yr
Capital Equipment is Not Typical Lean Solvent-Based Staining
Before
After
Aqueous Purge System (1 of 2)
Example of Mistake Proofing (Poka Yoke)
Aqueous Purge (2 of 2)
Waste
1.3 quarts
Old
New
Waste
0.5 quarts
Recoverable
Product
1 quart
17
/2
7/ 00
18 6
/2
7/ 00
19 6
/2
7/ 00
20 6
/2
7/ 00
21 6
/2
7/ 00
24 6
/2
7/ 00
25 6
/2
7/ 00
26 6
/2
7/ 00
27 6
/2
7/ 00
28 6
/2
7/ 00
31 6
/2
0
8/ 06
1/
20
8/ 06
2/
20
8/ 06
3/
20
8/ 06
4/
20
8/ 06
7/
20
8/ 06
8/
20
8/ 06
9/
8/ 200
10 6
/2
8/ 00
11 6
/2
8/ 00
14 6
/2
00
6
7/
Daily Rejects
350
200
323
300
279 284
263
250
264
246
263
220
203
262
228
233
242
211
206
215
215 214
183
195
171
150
100
50
0
Material substitution –
Topcoat to “Unicoat”
» Reduced Volatile organic compound
(VOC) emissions by 114,535
pounds/year.
» Now will not need to file for Title V air
permit even with a 70% increase in
production)
Lasco Bathware
Spray Variability
» Reduced
variability from
+13 lbs/unit to +4
lbs/unit (69%)
»
Reduced
overspray and
calibration waste
»
Stronger products
(more resin on the
product)
Columbia Paint
Reducing Bad Batches and Inventory
Waste By Reorganizing Ingredients
BEFORE
AFTER
ON Semiconductor (Idaho)
Used a Facility Map (Pseudo-VSM) to
Identify Environmental Improvements
Avoid disposal of
800 booties /month
• Eliminate redundant lab refrigerators
• Turn off lab incubators when not in use
• Consolidate office space and duplicate services
• Evaluate beneficial end use for calcium fluoride cake waste
• Shut down records building (heated, sprinkler)
• Right-size the nitrogen gas production system
For More Links/Info
www.pprc.org/solutions/leangreen.cfm
Debra Taevs
T 503-336-1256 | C 503-889-6488
dtaevs@pprc.org | www.pprc.org |
twitter.com/PacNW_PPRC
Pacific Northwest Pollution Prevention Resource
Center (PPRC)