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8/2/2019 ions Management II
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OPERATIONS MANAGEMENT-II
PRESENTED BY:-
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LEAN SYSTEM
Eliminate waste
Solve problems
Continuously improve operations
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LEAN PRODUCTION
Doing more with ---
Less inventory
Fewer workers
Less space
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PRODUCT
BUILT & SHIPPED
CUSTOMER
ORDER
Time
Waste
PRODUCT
BUILT & SHIPPED
CUSTOMER
ORDER
Time (Shorter)
Waste
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JUST IN TIME
Minimizing inventory
Smoothing the flow of material
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LEAN PRINCIPLES
Define Value
Customer Defined
Identify Value Stream
Follow the Product
Flow the Product
Eliminate Waste
Pull the Product
Produce Just in Time for Demand
Strive for Perfection
Continuous Improvement
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ELEMENTS OF LEAN
PRODUCTION
The main objective of lean productioneliminate waste
ELIMINATE WASTE
Increase flexibility
Flexible resources
Cellular layouts
SMOOTH THE FLOW
PULL SYSTEM
KANBANSSMALL LOTS
QUICK SETUPS
UNINFORM PRODUCTION
CONTINOUSLY IMPROVE
QUALITY AT THE SOURCESUPPLIER NETWORKS
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FLEXIBLE RESOURCES
Perform more than one job.
TOYOTA-
Eliminate waste concentrated on workerproductivity.
What The Effect was?
Reduce time to movement to other machinesReduce setup times for other machines
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U-SHAPED DESIGN
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PULL SYSTEM
Material is pulled through the systemwhen neededReversal of traditional push systemwhere material is pushed according to a
scheduleForces cooperationPrevent over and underproductionWhile push systems rely on a
predetermined schedule, pull systems relyon customer requests
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Push System
Raw
material
Parts
ManufactureAssembly Product
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KANBANS
A card that corresponds to a standard quantity of
production.
The Toyota Production System (TPS) wasestablished based on two concepts:
The first is called "jidoka"(which can be loosely
translated as "automation with a human touch")which means that when a problem occurs, theequipment stops immediately, preventing defectiveproducts from being produced;
The second is the concept of "Just-in-Time," inwhich each process produces only what is neededby the next process in a continuous flow
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UNIFORM PRODUCTION LEVELS
Result from smoothing production
requirements on final assembly line
Reduce variability with more accurate
forecasts
Smooth demand across planning horizon
Mixed-model assembly steadiescomponent production
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Uniform Production Levels-- TOYOTA
Several different vehicles models on eachassembly line.
Limited space and resources and lack ofsufficient volume
Daily production is arranged in the same ratioas monthly demand.
Some quantity of even item is produced daily
Always have some quantity of item available torespond to variations in demand
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MARUTI PLANT
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TATA PLANT
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KAIZEN
Means continuous
improvement.
Eliminating all waste.
Observation.
Understand the problem.
Commitment of the
management.
Poka-yoke or errorproofing.
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Pre-requisites for kaizen
Discard conventional fixed ideas.
Dont make excuses.
Correct it right away , if you make
a mistake.
Seek the wisdom of ten people
rather than that of one.
Think of how to do it , not why it
cannot be done.
Ask Why? five times.
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JIDOKA
Andon cord
Training & development
Physical fitness
Preference to engineers.
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Ohnos Seven Wastes
Defects
Over Production
Waiting
Transporting Movement
Inappropriate Processing
Inventory
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TOTAL PRODUCTIVE MAINTENANCE .
GOAL
1. Increase production while,at the same time, increasing
employee morale and jobsatisfaction.
2. Hold emergency &unscheduled maintenance to
a minimum..
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TOTAL PRODUCTIVE MAINTENANCE .
Why we need TPM ?
The major objectives of the TPM are listed as under :
1. Avoid wastage in quickly changing environment.
2. Reduce Cost of Manufacturing.3. Produce a low batch quantity at the earliest possible time.
4. Goods send to Customers must be non defective
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Why Get Lean?
Productivity improvements of 20-50%
Set-up time reductions of 60-80%
Inventory reductions of 40-75%
Floor space reductions of 30-50%Reduced quality defects by 50-100%
Improved safety performance of 30-60%
More efficient office procedures
Survival in the marketplace
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The Toyota Production System(TPS)
Collaborative effort of Ohno , Sakichi, Kiichiro and Eiji.
Focus was on Reduction of costthrough elimination of the waste.
TPS consists of two parts :
the hard or the technical partand
the soft or people related part
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Just In Time (JIT)
JIT was the foundation ofthe TPS.
Underlying Principle :
Produce only thenecessary products, at thenecessary time and in thenecessary quantity.
JIT governed Toyotas buystrategy.
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The concept of JIT was based on the
Reverse Reasoning
Based on the PULL system of manufacturing
and not on PUSH system.
Complexity of the process gave birth to theKanban System.
DEMAND ASSEMBLYDELIVERY OF
PARTS
SUPPLY BY
SUPPLIER
Benefits of JIT
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Benefits of JIT
Reduction of direct and direct labor by eliminating non-valueadded activitiesReduction of floor space and warehouse space per unit ofoutputReduction of setup time and schedule delays as the factory
becomes a continuous production process.Reduction is waste, rejects, and rework by detecting errors atthe source.Reduction of lead time due to small lot sizes, so thatdownstream work centers provide feedback on quality problems.Better utilization of machines and facilities.
Better relations with suppliers.Better integration of and communication between functionssuch as marketing, purchasing, design, and production.Quality control built into the process.
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Toyota Production System
Process A
Process C
Process B
Just-in-Case (JIC) Involves the use of buffer or safety stock
Buffer
or
Safety Stock
Buffer
or
Safety Stock
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Toyota Production System
Process A
Process C
Process B
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Toyota Production System
Process A
Process C
Process B
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Toyota Production System
Process A
Process C
Process B
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Toyota Production System
Process A
Process C
Process B
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Toyota Production System
Process A
Process C
Process B
Defect detected at
Process B that actually
occurred atProcess A
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Toyota Production System
Process A Process B Process C
Smooth Flow Processing
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