Lean Tools & Topics
Dave Prins
Presenter
Gary Thomas & Dave Prins
Materials
Why implement Lean?
Why implement Lean?
Reduce inventory
Eliminate waste
Increase throughput / Decrease cycle time
House of Lean
House of Lean
One-Pc Flow
Kanban
Work Balancing
Total Productive
Maintenance
Quality Tools
5 S’s
5 Why’s
Materials productivity
Cells
Process productivity
Single Minute
Exchange of Dies
Poka-yoke
Seven Wastes
Visual Factory
Teams
Project efforts applied in this area
Maximize today
Quality
Culture (foundation)
5 S’s
5 Why’s
Visual Factory
5 S's
Product on outside of file
cabinet indicates location within,
reducing unnecessary motion
Sort
Shine
Sustain
Set in Order
Standardize
Safety
Teams
Culture (foundation)
5 S’s
5 Why’s
Visual Factory
Teams
Culture (foundation)
5 Why's
The 5 why's typically refers to the practice of asking,
5 times, why the failure has occurred in order to get
to the root cause/causes of the problem. There can
be more than one cause to a problem as well. In an
organizational context, generally root cause analysis
is carried out by a team of persons related to the
problem. No special technique is required.
1. How did the bread get burnt?
Cooked too long.
2. Why did it cook too long?
Followed the recipe.
3. Is the recipe correct?
Sometimes works, sometimes not.
4. Why?
Temperature of the bread dough.
5. Can you make good bread?
Monitor the baking of the bread.
5 S’s
5 Why’s
Visual Factory
A set of practices which makes
management of production
processes easier by quickly revealing
the abnormalities in the process.
Visual Controls include;
5S
Andon
Floor Markings
Metric Boards
Boundary Samples
Kanban Cards
Standardized Work Instructions
Teams
Culture (foundation)
Visual Factory
5 S’s
TEAMS
5 Why’s
Visual Factory
Teams
Culture (foundation)
Skills - The organization must be broadly educated to apply the right
collection of process improvement tools. Many tools are needed to
build a house, and all are necessary for the overall effort to succeed.
A good saw does not compensate for a missing hammer. Beyond
identifying the tools that are required, building the organization
toolbox requires a means to deliver education content as needed, as
well as the basic capability to learn, master, and apply that content.
Structure - Skills are of diminished usefulness without a systematic
structure to prioritize and guide their application on a broad scale.
Efforts must be focused on the business issues that translate into
customer value and waste elimination. Process improvement must
cross organization functional boundaries, and can cause functional
frictions (e.g. manufacturing vs. engineering), usually because of
inappropriate performance metrics. A rigid functional organization
can squelch cross-functional improvement efforts that inevitably
require trade-offs. In recognition of this, many firms are
reorganizing around processes rather than functions. The successful
implementation of lean practices requires a Value Stream Manager
who owns the value stream across functional boundaries.
Environment - The workforce must be motivated and engaged to apply
the skills within the structure. Recognition, compensation policies, and
the business culture must consistently support team oriented process
improvement or it will die. The workforce must understand WHY it is
important to improve processes, and feel that they have a meaningful
stake in the success of those efforts. A systems perspective is
necessary to connect cause and effect and therefore fully
understand the WHY of Lean Enterprise thinking.
Art
“This is “Art”, not a science.”
Squash “Art” at every opportunity –
replace it with Science
Magic only exists in the absence of
Understanding
“Art” means your don’t understand it
or your trying to fool me.
Quality Tools
Basic Quality Tools
ASQ Koalaty Kid
http://homepage.risd41.org/koalatykid/
Quality Tools
CQE Body of Knowledge
www.asq.org/cert/types/cqe/bok.html
Advanced Quality Tools
(Six Sigma)
http://www.asq.org/cert/types/sixsigma/index.html
Quality Tools
Quality
Six Sigma
Developed by Motorola. Uses sophisticated tools to characterize complex, data
intensive processes, and significantly reduce process variation
High Powered Statistical Techniques & DMAIC
Define
Control
“DMAIC”
Measure
Analyze
Improve
Free Online Statistics Handbook:
http://www.itl.nist.gov/div898/handbook/index.html
Quality Tools
Poka-yoke
Seven Wastes
Quality
Poka-yoke or Error Proofing
A manufacturing technique of preventing
errors by designing the manufacturing
process, equipment, and tools so that an
operation literally cannot be performed
incorrectly.
Example: Two sets of connectors must be connected
Non-Error proofed
Connectors 1 & 2
Error proofed
Connectors 1 & 2
Connectors 3 & 4
Connectors 3 & 4
Quality Tools
Poka-yoke
Seven Wastes
Quality
Mistake Proofing
A manufacturing technique of preventing
errors once made from continuing
through the process and to the
customer.
Quality Tools
Poka-yoke
Seven Wastes
Quality
CORRECTION
WAITING
Repair or
Rework
Any wasted motion
to pick up parts or
stack parts. Also
wasted walking
Any non-work time
waiting for tools,
supplies, parts, etc..
PROCESSING
Providing higher quality
than is necessary, extra
operations, etc.
Types
of
Waste
INVENTORY
Maintaining excess
inventory of raw
matls.,
parts in process, or
finished goods.
MOTION
Seven Wastes
“Muda”
OVERPRODUCTION
Producing more
than is needed
before it is needed
CONVEYANCE
Wasted effort to transport
materials, parts, or
finished goods into or
out of storage, or
between
processes.
Quality Tools
Poka-yoke
Seven Wastes
Quality
Value-added, Non-value added
Activities
Cycle Time Analysis
Value Added
38%
Non-Value
Added
62%
Quality Tools
Poka-yoke
Seven Wastes
Quality
Value-added, Non-value added
Value Added
Non Value Added
Turning
1.0 Hr.
Inventory
42 Days - 1000 Hr.
Polishing
1.0 Hr.
Cut “Dead” inventory to
7 days and get a new
VA percentage of 2.2%
A 1,100% increase in
value adding time?
Total VA 2.0 Hr.
Total NVA 1000 Hr
.2% Value Adding
With Zero increase in
through put.
Total Productive
Maintenance
Single Minute
Exchange of Dies
Maximize today
Overall Equipment Effectiveness (OEE)
Total Productive
Maintenance
Single Minute
Exchange of Dies
Maximize today
Overall Equipment Effectiveness (OEE)
Maximize today
Single Minute
Exchange of Dies
Total Productive
Maintenance
Series Reliability
.95
== .95
== .95 x .95 = .925
.95
.95
.95
.95
.95
.95
.95
.95
== .95 x .95 x .95 = .8574
.95
== .95 x .95 x .95 x .95 = .8145
Parallel Reliability
.95
= 1- (.05 x .05) = .9975
.95
.95
.95
.95
.95
.95
.95
= 1- (.05 x .05 x .05) = .9999
.95
= .999994
Total Productive
Maintenance
Single Minute
Exchange of Dies
Maximize today
S.M.E.D
SMED was developed by Shigeo Shingo in Japan in the sixties and early
seventies at Toyota and other Japanese firms. The impetus was to reduce
costly inventories and improve efficiency.
An important foundation to the SMED system is the distinction between
changeover work that occurs while the machine is not running, called Internal
Setup, and preparatory work that occurs while the machine is running, called
External Setup. At the point in time when SMED was developed, almost all
changeover work was performed while the machine (press) was down.
The SMED philosophy breaks down into four stages:
In the preliminary stage, all setup work is combined. There is no distinction
between internal and external work.
In the second stage, external setup and internal setup are identified and
separated.
In the third stage, work that was previously included in the internal setup is
transferred to external setup.
The fourth stage requires relentless and continuous improvement of all work
elements within the internal and external setup
Total Productive
Maintenance
Single Minute
Exchange of Dies
Maximize today
S.M.E.D
As lean production is dependent upon small lot sizes, small lot
sizes are dependent upon quick changeovers. If set-ups or
changeovers are lengthy, it is mathematically impossible to run
small lots of parts with low inventory because large in-process
inventories must be maintained to feed production during
changeovers.
For example, large stamping dies commonly took hours to change
until the development of quick die change methods (Single Minute
Exchange of Die, or SMED).
Long changeovers necessitate cycle times well below the TAKT
time, and hence a buildup of inventory to supply production while
the die is being changed.
Work Balancing
Cells
Process productivity
Work Balancing
Balanced Production - The rate of production must be balanced
throughout the system based on the Takt time.
TAKT time = Available production time for a period
Average customer demand for that period.
For example:
2 shift operation has a net production time of 4,200 minutes per week
(7 hours per shift after subtracting lunch and break time x 2 x 5 days).
Average customer demand per week is 4,500 units
Takt time is 4,200/4,500, or 0.93 minutes or 55.8 seconds
Take-a-Way:
A unit must be produced every 0.93 minutes in order to satisfy demand.
The actual production rate is called the Cycle Time. Production cycle
time that is lower than the Takt time will result in excess inventory.
The goal is to balance all processes to run at this same rate so that
there is no in-process inventory accumulation between process stages.
Work Balancing
Process productivity
Cells
Work Balancing
Line Balance Chart
Time (seconds)
100
80
60
TAKT
40
20
0
Stamp
Weld 1
Weld 2
Operation
Asm 1
Asm 2
Work Balancing
Cells
Process productivity
Cell - Definition
An arrangement of people, machines, materials and
methods such that processing steps are adjacent
and in sequential order so that parts can be
processed one at a time (or in some cases in a
constant small batch that is maintained through the
process sequence). The purpose of a cell is to
achieve and maintain efficient continuous flow.
Work Balancing
Pod
Craft
Low Thruput
High Takt
Specialized Knowledge
Skill Based Mfg
Little Division of Labor
Low Warranty
Tough Changeover
Process productivity
Cells
Straight Line
Expandable
Dividable
High Speed
Easy Material Access
Work on Both Sides
Communication an Issue
Quality Closed Loop
Auto Product Conveyance
Flow or Indexed
L Shaped
Easy Material Access
Better Communication
Not Optimized for Worker Motion
Combi
High Rate/Volume
Branched Assembly
Auto Conveyance
U Shaped
Easy Balance and Control
Closed Loop Quality
Work Across …..Not Along
Harder to Expand/Flex
Tool and Part Density
One-Pc Flow
Kanban
Materials productivity
Pull System - Definition
To produce or process an item only when the customer
needs it and has requested it. The customer can be internal
or external.
Push System - Definition
To produce or process an item without any real demand from the
customer – usually creates inventory and all other 'wastes'.
One-Pc Flow
Kanban
Materials productivity
Just In Time (JIT) - Definition
Producing or conveying only the items that are needed by
the next process when they are needed and in the quantity
needed. Can even be used between facilities or companies.
One-Pc Flow
Kanban
Materials productivity
Kanban - Definition
A signaling device that gives instruction for
production or conveyance of items in a pull
system.
One-Pc Flow
Kanban
Materials productivity
Production KANBAN
A visual signal used
to initiate the production
process
# cards = (average daily demand * (replenishment time + safety stock))
number of pieces in a container
One-Pc Flow
Kanban
Materials productivity
Withdrawal KANBAN
A visual signal which notifies the transportation department to move a bin
of parts from its production location to its consumption destination.
One-Pc Flow
Kanban
Materials productivity
Supplier KANBAN
A method of signaling replenishment requirements to Suppliers.
•
One-Pc Flow
Materials productivity
Kanban
KANBAN
A Japanese term meaning “card signal”.
Kanban is the information signal used
to indicate the need for material
replenishment in a PULL production
Example:
Part Number
Description
Supplier
Standard Pack Quantity
Sores Location
Instructions
One-Pc Flow
Kanban
Materials productivity
Electronic Kanbans
Physical kanban cards are replaced with electronic, barcode cards.
Enterprise Resource Planning
Electronic kanbans with the Master Schedule of MRP
added.
Material Resource Planning
An inventory management system driven by a master
schedule through an exploded bill of materials.
One-Pc Flow
Kanban
Process productivity
Point of Use
Rack Component Part Information
Part Number
Part Name
Bar Code
S-Location (Stores Location = G12)
C-Location (Consumption Location K8-9)
Name of Vendor
Vendor Part Number
Product Mix - Definition
Mixed-model production - capability to
produce a variety of models, that in fact
differ in labor and material content, on the
same production line; allows for efficient
utilization of resources while providing rapid
response to marketplace demands.
Kaizen - Definition
This is the Japanese word for improvement. Kaizen implies
more than improvement in basic production processes. Kaizen
represents a philosophy whereby an organization, and the
individuals within it, undertake small, incremental, continual
improvements of all aspects of organizational life.
Kaizen Blitz - Definition
Kaizen definition has been Americanized to mean:
"Continual Improvement."
A closer definition of the Japanese meaning of Kaizen is "to take
apart and put back together in a better way."
“Blitz.”
Blitz is short for blitzkrieg. And blitzkrieg is (b) -"Any sudden
overpowering attack."
Therefore, a Kaizen Blitz could be defined as 'a sudden
overpowering effort to take something apart and put it back
together in a better way." What is taken apart is usually a process,
system, product, or service.
Standard Work
Standard Work is the most efficient combination of man,
machine, and material. The three elements of standard
work are 1) takt time, 2) work sequence, and 3) standard
work-in-process. Performing standard work allows for a
clear and visible 'standard' operation. Deviation from
standard work indicates an abnormality, which is then an
opportunity for improvement.
Heijunka
Smoothing out the production schedule by averaging out
both the volume and mix of products. Production leveling
allows a consistent workflow, reducing the fluctuation of
customer demand with the eventual goal of being able to
produce any product any day.
Quality At The Source
Producing quality when the product is made
rather than sorting, inspecting, rejecting
and reworking or scraping.
Value Stream Mapping - Definition
A pencil-and-paper tool used: a) to follow a product or
information (or both) activity path from beginning to end
and draw a visual representation of every process (value
and non-value) in the material and information flows. b)
then to design a future state map which has waste removed
and creates more flow and c) to end up with a detailed
implementation plan for the future state.
Current State VSM example
Future State VSM example
Team Charter
First Past Yield Team Charter
Problem Statement
The first pass yield in test is 55%.
Scope
ANSI (white) product line.
Goal
Increase the first pass yield to 99%. 0% increase in standard cost.
Resources
$50,000 and 10 hours per week from 6 team members. Team leader has
free choice in selection of team members. Availability of Team Champion
and Facilitator’s time as needed.
Time Limit
2 months
Team Members Team Facilitator
Team Leader
Team Champion
Reporting
Progress report every week at Friday Staff Meeting.
The Theory of Constraints
“The Goal”
Avraham Y. Goldratt
“Bottlenecks”
Theory of Constrains in Production, Jeff 'SKI' Kinsey
http://www.cm-sys.com/ideas/leanvstoc.pdf#search='theory.of.constraints%20presentation'
Supplier Partnership /
Just in Time
For your lean system to work you
suppliers must be equally lean.
Trust
Problem Solving / Decision Making
Many tools are available such as Kemper
Trego.
Lean Topics
Implementation
Trust
Cultural Change
Lean Accounting
Technically
Cultural
Orientation
Lean
Simple
Complex
Systemic
Six Sigma
Complex
Simple
Project
Lean Accounting
Traditional Cost Accounting (TCA) – GAP
TCA is a big impediment to Lean justification and
implementation.
Without lean accounting, lean is a leap of faith.
Lean Integration
Integrating Lean into the business system of the
organization.
Leadership for Lean
Trust
Knowledge of the Organizations
Business Model
Challenge the Status Quo
Create a Compelling Vision
(Joseph Campbell, The Power of Myth)
Enable Others to Act
Model the Way
Encourage the Heart
Lean Fears
Change
Job loss
Working harder for the same pay
Flexibility
Requirements for a Lean System
Everything need to be more reliable and
capable.
Processes
People
Work Instructions
Suppliers
Designs Teamwork
Tooling
Training Maintenance
Maximize today
Single Minute
Exchange of Dies
Total Productive
Maintenance
Series Reliability
.95
== .95
== .95 x .95 = .925
.95
.95
.95
.95
.95
.95
.95
.95
== .95 x .95 x .95 = .8574
.95
== .95 x .95 x .95 x .95 = .8145
Parallel Reliability
.95
= 1- (.05 x .05) = .9975
.95
.95
.95
.95
.95
.95
.95
= 1- (.05 x .05 x .05) = .9999
.95
= .999994
People / Flexibility / Employee Engagement
Trust
Program / Project
Justification and Selection
Select a project that yields “Hard”
financial results and increases
executive bonus.
Training
Who?
Leadership
Middle Management
Production Personnel
What?
When?
Mass Overview Training
or
JIT Training
The Training / Documentation Balance
Training
Documentation
Metrics
On-Time Performance: The measure of how well a plant
produces the volume, mix, and
Total Cycle Time (also called Dock-To-Dock Time): Measuring
the velocity of an order
First Pass Yield: The percentage of good units completed
without any rework or rejections.
Overall Equipment Effectiveness (OEE): Measures the
availability, performance efficiency,
Setup Time: The time between the last good piece off one
production run and the first good
piece off the next run.
On-time Delivery %
Productivity %
Plus
Scrap %
Rework %
Uptime %
Metrics
Profit
Sales Growth
Cost Savings
Inventory reduction
Performance Excellence
The Baldrige Criteria
Strategy-Metrics-Deployment-Results
Performance Excellence
“Business System”
Lean
Six Sigma
“Tool Box”
“Tool Box”
House of Lean
House of Lean
One-Pc Flow
Kanban
Work Balancing
Total Productive
Maintenance
Quality Tools
5 S’s
5 Why’s
Materials productivity
Cells
Process productivity
Single Minute
Exchange of Dies
Poka-yoke
Seven Wastes
Visual Factory
Teams
Project efforts applied in this area
Maximize today
Quality
Culture (foundation)