Mr. Al Hammonds
Manufacturing and Quality Director
Strategic Partnership for Industrial Resurgence
The Center for Industrial Effectiveness, University at Buffalo
And
Instructor, UB Department of Industrial Engineering
Lean Manufacturing
And
Six Sigma
EAS 590 – February 25, 2004 used again March 2, 2005
Flow Manufacturing
Modules/Agenda
Process Design for Flow
Calculate Planned Cycle Time
Assign Work Elements to Machines and Operators
Establish Material & Information Flow
Finalize and Validate the Design
Formalize & Implement
Determine Resources to Meet Customer Demand
Prepare Process Map and Product Synchronizations
Gather Data from the Production Process
Calculate Takt Time
Determine Required Machine and Labor Resources
Improve Flow
Prepare the Process Flow Chart and Lead Time Reduction Graph
Eliminate Non-Value Added Time on the Critical Path to Reduce TPc/t
Stabilize the Processes in Preparation for Flow
Identifying the Value Streams
Identify the Value Streams and Draw Product Synchronization
Calculate Total Product Cycle Time and Identify Critical Path
Prepare the Financial Report Card (Optional)
Plant Wide Flow Plan
Identify Activity Relationships
Analyze Material Flow Density
Establish Block Layout
Flow Manufacturing Manual
Design New or Modify Existing Manufacturing Systems:
•
•
•
•
Establish a Team
Define the Problem
Gather and Analyze Data
Redefine Operations and
Procedures
• Formalize and Validate Changes
• DO IT AGAIN!
Flow Manufacturing Contents
• 6 “How-To” Chapters
• Value Stream Identification
• Improve Flow
• Determining Resources to Meet
Customer Demand
• Process Design for Flow
• Plant-Wide Flow Plan
• Financial Report Card
Flow•Manufacturing
Contents
9 Operational Definitions
1.
2.
3.
4.
5.
6.
7.
8.
9.
Process Integration & Flexible Work Cells
Elimination of Waste
Constraint Management
Level Scheduling
Delphi PDP
Simulation for Flow Manufacturing
Value Stream
Lean Guidelines Equipment & Workstations
Synchronous Assist Devices
Value Stream
•Definition
•Within Manufacturing, the Value Stream is
defined as:
“The set of all specific actions
required to bring a specific product
through the physical transformation
task proceeding from raw materials to
a finished product in the hands of the
customer.”
Value Stream
• Objectives
1. Understand the Definition and
Purpose of Value Streams.
2. Understand Total Product Cycle
Time.
3. Understand how to Analyze a
Value Stream.
FM-05 Plant Wide Flow Plan
SAW
PAINT
TURN
GRIND
RECEIVE
ASSY
MILL
RECEIVE
STORE
PAINT
ASSY
WELD
PLATE
STORE
Material Flow in a
Product Oriented Layout
GENERAL SERVICES
Material Flow in a
Process Oriented Layout
TURN
GRIND
SAW
MILL
ASSY
SAW
TURN
PAINT
PLATE
WELD
FM-02 Improving Flow
•Purpose
•Reduce TP c/t Using Quality Network
Leadtime Reduction:
•Value Added / Non-Value Added
•Process Flow Chart
•Lead Time Reduction Graphic
•Interdependent Element Analysis
Lead Time Reduction Graphic
Tool
ORIGINAL
Electronic Version Available
(Developed by Global Manufacturing
Systems Group)
Value Non-Value
Added Added
Process 1
Process 2
PLANNED
IMPROVEMENTS
Process 3
Wash
Value Non-Value
Added Added
POTENTIAL WITH
COMBINATION
Value Non-Value
Added Added
Process 4
Process 1/2
Process 3/Wash
Process 4
Process
1/2/3/Wash/4
Improving Flow Implementation
• Map out Process with VA / NVA time.
• Ask WHY?
WHY? WHY? WHY?
WHY?
• Generate Solutions considering all of
the interdependent elements.
• IMPLEMENT Improvements.
FM-03 Determine Resources
Purpose
This phase collects the data needed for
flow process design and determines the
machine and labor resources required to
meet customer demand.
FM-03 Determine Resources
Objectives
• Engage the team in the data
gathering process.
• Learn the tools of data gathering.
• Capture work elements as
completely as possible.
Takt Time
Takt Time =
Scheduled Runtime
Total Customer Requirements
Scheduled Run Time:
Time scheduled to run per day - breaks, lunches,
meetings, planned maintenance
Process Design for Flow Strategies
• Defining Flow Concepts
• Planned Cycle Time
• Defining Machine and Manual
Operations
• Defining Material and Information Flow
• Finalize Layout
• Formalizing Best Practices
Buffer Size Determination
 One
piece flow is the
goal
 Buffers only needed
where an imbalance
between operations
exists - use formula
 Strategically place
buffers
 Use standard
quantities that fit in the
operator envelope
Validate Process Design /
Finalize Layout
• Validate and Optimize Process Design
• Verify machine and operator cycle times
are below Planned Cycle time.
• Perform computer or manual simulation
if necessary.
•
•
•
•
•
Formalize Layout
Exact location of equipment to scale.
Incorporate material flow.
Apply workplace organization.
Show any buffers or storage points.
Implementation
• Generate Concepts
• Determine Planned Cycle Time
• Define Operations and Draft PFP
Chart
• Map Material and Information Flow
• Finalize Layout
• Formalize Best Practices using PFP
FM-06 Financial Report Card
Focused on Identifying Potential Savings
• Plant and Product
– End Items / Product Mix
– Product Cost Percentages (Mat’l/Labor/Overhead)
• Inventory
– Inv $ by RAW, WIP, FGI
• Productivity
– Uptime / Overtime / Staffing (Salaried & Hourly)
• Quality
– Scrap & Rework Costs / PPM
• Floor Space
• Flow Manufacturing
– Total Product Cycle Time
– Work Content, Non-value Added, Value Added
Six Sigma / Kaizen / Lean
What does it all mean?
Essential Tools for
Survival
Presented by:
Thom Marra
February, 2004
Six Sigma / Kaizen / Lean –
Why does any of this matter?
The Old Testament
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Customer Satisfaction
Quality (for its own sake)
Cost Reduction
Market Share
Market Research
Six Sigma / Kaizen / Lean –
Why does any of this matter?
The New Testament
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Customer Loyalty
Customer Retention
Zero Defections
Lifelong Customers
Culture - SWOT
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Strengths (core competencies)
Weaknesses
Opportunities
Threats
• Different Strokes for different folks
People – Power in the People
Typical Organization Chart
CEO
Six Sigma vs. Kaizen
Kaizen
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•
•
•
A problem solving methodology
A systems approach
7 QC tools
7 Management tools - Affinity diagram, Tree
diagram, Process decision program chart
(PDPC), Matrix diagram, Interrelationship
digraph (I.D.), Prioritization matrices, Activity
network diagram
• Teams / everyone
• Kaizen is a process oriented way of thinking. It
rewards for improvement in the process & trusts
(has faith) the results will follow.
Six Sigma
• Six Sigma means something different to every
company: a goal, a philosophy, a tool box,
customer focus, a management system
• 3.4 defects per million opportunities
• Stresses breakthrough improvement, not
incremental improvement
• Should be part of a larger business system
• Emphasizes a very structured approach –
DMAIC
• Bottom-line driven
History of Six Sigma
• The statistical tools created < 1980’s
• Zero defect concepts introduced – Crosby (late 70’s
early 80’s)
• The PC & statistical software – late 80’s
• Methodology created (MAIC) (Motorola, Allied Signal,
GE) – late 80’s early 90’s
• Today – a metaphor for Business and Process
Excellence
Six Sigma – Why Do Six Sigma?
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•
•
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Money
Customer Satisfaction
Quality
Impact on Employees
Growth
Competitive Advantage
Six Sigma – Why not Six
Sigma?
• The company has a strong, effective
performance and process improvement
effort in place
• Current changes are already
overwhelming
• Potential gains aren’t sufficient to finance
the investments
Six Sigma – What to Solve?
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Project cost savings
Customer satisfaction deliverables
Processes
Problems
Targeted location
Design
Supplier processes
Six Sigma – Roles
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Executive
Champion
Process owner
Master Black Belt
Black Belt
Green Belt
White Belt
Data driven
Data driven
“Statistics is the art and science of
discovering what is at first difficult to
see and later becomes obvious.”
- Author unknown
Uncertainty
Variability
Statistics
Six Sigma - DMAIC
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•
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•
•
Define
Measure
Analyze
Improve
Control
Six Sigma - DFSS
DFSS – Design for Six Sigma
• QFD – Quality Function Deployment
• Robust Design and Process
• FMEA – Failure Mode and Effects Analysis
• Design for X
• Special design tools