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Lean Lean Manufacturing Manufacturing An Overview An Overview

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DefinitioDefinition n

Lean Manufacturing is an operational strategy oriented toward achieving the shortest possible cycle time by eliminating waste.

It is derived from the Toyota Production System and its key thrust is to increase the value-added work by eliminating waste and reducing incidental work.

The technique often decreases the time between a customer order and shipment, and it is designed to radically improve profitability, customer satisfaction, throughput time, and employee morale.

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ExerciseExerciseReadiness Assessment Readiness Assessment Test A.K.A. RATTest A.K.A. RAT

AS A TEAM (4 members)AS A TEAM (4 members), take 3 minutes to provide a written to answer the following questions:

Were all the plans the same? Is one better than the others? Why? Closed Book / Closed Notes

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ObjectivesObjectives

To identify waste elements in a system To apply value stream analysis to a

complex engineering/manufacturing system

To implement 3 M’s in a complex engineering environment

To be able to identify and implement the 5Ss of lean

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Craft Craft Manufacturing Manufacturing Late 1800’s

Car built on blocks in the barn as workers walked around the car.

Built by craftsmen with pride Components hand-crafted, hand-fitted Excellent quality Very expensive Few produced

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Mass Mass Manufacturing Manufacturing Assembly line - Henry Ford 1920s Low skilled labor, simplistic jobs,

no pride in work Interchangeable parts Lower quality Affordably priced for the average family Billions produced - identical

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Lean Manufacturing Lean Manufacturing Cells or flexible assembly lines Broader jobs, highly skilled

workers, proud of product Interchangeable parts,

even more variety Excellent quality mandatory Costs being decreased through process

improvements. Global markets and competition.

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Definition of “Lean”Definition of “Lean” Half the hours of human effort in the factory

Half the defects in the finished product

One-third the hours of engineering effort

Half the factory space for the same output

A tenth or less of in-process inventories

Source: The Machine that Changed the World Womack, Jones, Roos 1990

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Lean ManufacturingLean Manufacturing is a manufacturing philosophy which shortens the time line between

the customer order and the product shipment by eliminating waste.

CustomerOrder

Waste ProductShipment

Time

CustomerOrder

ProductShipment

Time (Shorter)

Business as Usual

Waste

Lean Manufacturing

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The Nature of Lean The Nature of Lean MfgMfg What Lean Mfg is not

• JIT• Kanban

Characteristics• Fundamental change• Resources• Continuous improvement

Defined• “A system which exists for the production of goods

or services, without wasting resources.”

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New Paradigm: Non-Blaming New Paradigm: Non-Blaming CultureCulture

Management creates a culture where:

Problems are recognized as opportunities It’s okay to make legitimate mistakes Problems are exposed because

of increased trust People are not problems -

they are problem solvers Emphasis is placed on finding solutions instead

of “who did it”

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What makes a What makes a manufacturing system manufacturing system lean? – the 3 M’s of lean? – the 3 M’s of leanlean muda – waste mura - inconsistency muri - unreasonableness

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What makes a What makes a manufacturing system manufacturing system Lean?Lean?

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DefinitionsDefinitions

Systems• Recognition• Efficiencies

Waste• Muda• 7 types• Truly lean

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WasteWaste

“Anything that adds Cost to the product

without adding Value”

“Anything that adds Cost to the product

without adding Value”

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7 Types of Muda7 Types of Muda

Excess (or early) production Delays Transportation (to/from processes) Inventory Inspection Defects or correction Process inefficiencies and other non-value

added movement (within processes)

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7 Forms of 7 Forms of WasteWaste

Typesof

Waste

CORRECTION

WAITING

PROCESSING

MOTION

INVENTORYCONVEYANCE

OVERPRODUCTION

Repair orRework Any wasted motion

to pick up parts or stack parts. Also wasted walking

Wasted effort to transportmaterials, parts, or finished goods into or out of storage, or between processes.

Producing morethan is needed before it is needed

Maintaining excessinventory of raw mat’ls,parts in process, orfinished goods.

Doing more work thanis necessary

Any non-work timewaiting for tools, supplies, parts, etc..

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Who wants Who wants what...what...

CustomerLow CostHigh QualityAvailability

Your CompanyProfitRepeat BusinessGrowth

Cash !!Cash !!$

Value !!Value !!

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Elements of Elements of Lean Lean ManufacturinManufacturingg Waste reduction Continuous flow Customer pull 50, 25, 25 (80,10,10) Percent gains

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Benefits of Lean Benefits of Lean ManufacturingManufacturing 50 - 80% Waste reduction

• WIP• Inventory• Space• Personnel• Product lead times• Travel• Quality, costs, delivery

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Setting the Setting the FoundationFoundation Evaluating your organization

• Management culture• Manufacturing culture

Lean Manufacturing Analysis• Value stream (from customer

prospective)• Headcount• WIP• Inventory• Capacity, new business, supply chain

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Tools of Lean Tools of Lean Mfg/ProductionMfg/Production Waste reduction

• Full involvement, training, learning• Cellular mfg• Flexible mfg• Kaikaku (radical change)• Kaizen (continuous improvement) & standard work• 5S• Poka-yoke (visual signals)• Teien systems (worker suggestions)

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Tools Tools (cont.)(cont.) Continuous Flow (10% - 25%)

• SMED (Shingo)• Takt time• Line balancing• Nagara (smooth production flow)

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Tools Tools (cont.)(cont.)

Customer pull (10%- 25%)• Just-in-time• Kanban

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Henry Ford - Henry Ford - StandardsStandards“To standardize a method is to choose out of the many

methods the best one, and use it. Standardization means nothing unless it means standardizing upward.

Today’s standardization, instead of being a barricade against improvement, is the necessary foundation on which tomorrow’s improvement will be based.

If you think of “standardization” as the best that you know today, but which is to be improved tomorrow - you get somewhere. But if you think of standards as confining, then progress stops.”

Henry Ford, 1926Today & Tomorrow

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Captures best practices Posted at the work station Visual aid Reference document

• work sequence• job layout• time elements• safety

Developed with operators Basis for Continuous Improvement

Standardized WorkStandardized Work

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Visual Factory

Error Proofing

Quick Change-over

Total Productive

Maintenance

Other Tools Other Tools

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5S Programs5S Programs

Seiri (sort, necessary items) Seiton (set-in-order, efficient placement) Seison (sweep, cleanliness) Seiketsu (standardize, cont. improvement) Shitsuke (sustain, discipline)

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“Ability to understand the status of a production area in 5 minutes or less by simple observation without use of computers or speaking to anyone.”

5-S• 1S Sift and Sort (Organize)• 2S Stabilize (Orderliness)• 3S Shine (Cleanliness)• 4S Standardize (Adherence)• 5S Sustain (Self-discipline)

Visual Factory Visual Factory

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Error ProofingError Proofing

Preventing accidental errors in the manufacturing process

• Error detection• Error prevention

A way to achieve zero defects.

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