1. Introduction to 20 keys to improve workplace

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Introduction

Operations Analysis and Improvement

2010 Fall

Dr. Tai-Yue Wang

Industrial and Inormation !anagement Department

"ational #$eng %ung &niversity


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2r. Tai-Yue Wang IIM ept.

NCKU

Presentation Asian culture has had a significant impact

on the rest of the world.

Many words used in our daily languages. Martial arts, religion or food.

Within the business environment.

Improvement tools (ai!en( " tools" Production philosophies such as #ust$in$time.

#ust$in$time philosophy is also nown as %ean

Manufacturing.


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Presentation Another important philosophy is the concept

developed by a #apanese consultant named

'obayashi( ". ased on a methodology of 2) eys leading

business on a course of continuous improvement

(ai!en".


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Presentation +he core elements of 'obayashis concepts are

presented in order to focus on production

improvements. In addition, a measurement standard for

improvement results is also e-plained.


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Introduction /ontinuous improvement is a management

philosophy based on employees suggestions. It was developed in the 0nited 1tates at the end of

the 3th century.

Many important improvements too place

when this idea or philosophy arrived in #apan. #apan was already utili!ing tools such as 4uality

circles. When they combined these two ideas, ai!en was born.


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Introduction In 325 6enry 7ord wrote

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.

Todays standardization, instead of being a

barricade against improvement, is the necessary

foundation on which tomorrows improvement will

be based.


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Introduction

In 325 6enry 7ord wrote

If you think of standardization as the best thatyou know today, but which is to be improved

tomorrow ! you get somewhere. "ut if you think

of standards as confining, then progress stops.


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'ai!en vs :eengineering /reating an useable and meaningful standard is ey to the

success of any enterprise.

usinesses usually utili!e two different inds ofimprovements. +hose that suppose a revolution in the way of woring.

+hose that suppose smaller benefits with less investment.


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'ai!en vs :eengineering

Kaizen

Final situation

Initial situation

time

Reengineering

productivity


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NCKU

'ai!en vs :eengineering +he evolution consists of continuous

improvements being made in both the product and

process. A rapid and radical change (kaikaku, "

process is sometimes used as a precursor to ai!en

activities. /arried out by the utili!ation of process reengineering

or a ma;or product redesign.


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'ai!en vs :eengineering :e4uire large investments and are based on process

automation.

In the 0.1., these radical activities are fre4uently called


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'ai!en vs :eengineering If the process is constantly being improved

(continuous line", the innovation effort re4uired

to mae a ma;or change can be reduced(discontinuous line in the left". >therwise, the process of reengineering can become

very e-pensive (discontinuous line in the right".


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Improvement Philosophies and

Methodologies In order to find the source of a problem, it is

important to define and understand the source

and core of the problem. Problem $? Any deviation with respect to the

standard value of a variable (4uality and

production rate". It is necessary to now what the variable ob;ective is

(desired standard" and what is the starting situation in

order to propose a realistic ob;ective.


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Improvement philosophies and

methodologies +hree main factors that production managers

fear. Poor 4uality.

Increase of production cost.

Increase in the lead time.


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methodologies Production improvements should be based

on the improvements of processes as well as

operations. Problems can appear in any of the basic

elements that constitute the production area.


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methodologies 1ome e-ample of problems.

@efects, obsolete wor methods, energy waste, poorly

coached worers, low rates of performance inmachines and materials.

y analy!ing the production management history,

several improvement approaches can beidentified. #ust!in!timeMethodologies ($ean %anufacturing".

2) 'eys to Worplace Improvement ('obayashi".


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methodologies +he eys to the #apanese success are.

1imple improvement methodologies.

Worers respect.

+eamwor.


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#ust$in$+ime$$Introduction In accordance with this philosophy principle,

nothing is manufactured until it is demanded,

fulfilling the customer re4uirements


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#ust$in$+ime$$Introduction

In 3*3 +oyota was on the brin of banruptcy. While in the 0nited 1tates 7ords car production was at

least 9 times more efficient than +oyotas. +he president of +oyota, 'iichiro +oyoda, presented

a challenge to the members of his e-ecutive team.


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+aiichi >hno( ", vice president of

+oyota, accepted his challenge. Inspired by the way that an American supermaret

wors,


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@aiichi >hno ( "and 1higeo 1hingo (

" wrote their goal. @eliver the right material, in

the e-act 4uantity, withperfect 4uality, in the right

place ;ust before it isneeded=.

+hey developed differentmethodologies.

Thinkingrevolution

The 5S

Standardoperations

One-Pieceflow

Poka-Yoke Jidoka

TPM

JST !" T!M#

$orkforceoptimi%ation

&isual'ontro

l

(evelingProduction

)an*an

Multi-functionalworkers

SM#+


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+he systematic application of all the methodologies

create a new management philosophy.

+he real value is the nowledge ac4uired during itsimplementation.

+he philosophy developed in +oyota was not

accepted until the end of the si-ties. #apan in 38& benefited from the petroleum crisis and

started to e-port fuel efficient cars to the 0nited 1tates.

1ince the 38)s, #apan has been the pioneer of wor

improvement methodologies.


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#ust$in$+ime$$+hining

:evolution

+he Western world employed the following formula to

obtain the price of a product.

Price /ost B Profit. In #apan, mainly +oyota, employed the following e-pression.

Profit Price C /ost. +oday, this formula is used worldwide.

In order to mae sure that +oyota would wor lie thesupermaret it was necessary to identify and eliminate all

business and production wastes.


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#ust$in$+ime$$+hining

:evolution

+he real cost is


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#ust$in$+ime$$1even types of

Waste

6iroyui 6irano ( " defined waste as


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Waste

>verproduction Producing unnecessary products, when they are not

needed and in a greater 4uantities than re4uired. Inventory.

Material stored as raw material, wor$in$process and

final products.

+ransportation. Material handling between internal sections.


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Waste

@efects. Irregular products that interfere with productivity

stopping the flow of high 4uality products.


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Waste

Processes. +ass accepted as necessary.

>perations. Dot all operations add value to the product.

Inactivities. /orrespond to machines idle time or operators idle time.

Inventory is considered the type of waste with greater

impact


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#ust$in$+ime$$Inventory Inventory is a sign of an ill

factory because it hides the

problems instead of

resolving them. 7or e-ample, in order to

cope with the problem of

poor process 4uality, thesi!e of production lots is

typically increased. Products that will probably

never be used, get stored.


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#ust$in$+ime$$Inventory If the problem that produces the

low 4uality is solved inventory

could be reduced without affecting

service.

1ometimes it is necessary to force

a decrease in inventory in order to

identify the production variabilitythat necessitated it. +hen, the wor method can be

changed.


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%ean Manufacturing

%ean Manufacturing is the systematic elimination

of waste.

%ean is focused at cutting


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%ean Manufacturing

Many of the tools used in lean can be traced bac

to +aylor, 7ord and the Eilbreths.

+he #apanese systemati!ed the development andevolution of improvement tools.

$ean %anufacturingis one way to define +oyotas

production system. M0@A is the term chosen when referring to lean. In

#apanese,%&'(means waste.


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%ean Manufacturing

%ean Manufacturing is supported by three

philosophies. #ust$in$time

'ai!en (continuous improvements"

% M f i


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%ean Manufacturing

#idoka ( ". +ranslates as autonomation.

Machinery automatically inspects each item after producing it,ceasing production and notifying humans if a defect is

detected.

+oyota e-pands the meaning of#idokato include the

responsibility of all worers to function similarly.

(Automation)!"#$%

!"#&'()*+,-./0123+456789:;?@,-ABCD,-A

*+,-./-73+4569:

;E


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%ean Manufacturing

+raditional appro-imations improves the lead time

by reducing waste in the activities that add value

(AF". %ean Manufacturing reduces the lead time by

eliminating operations that do not add value to the

product )%&'(*.

(ead Time,5 M+. 5 &.

,/ M+. 0

&.(ead Time

,5 M+.

(ead Time

,1 M+.

(ead Time

5 &.

21 &.


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2) 'eys to worplace

improvement

Iwao 'obayashi, in 399,

published a boo e-plaining 2)

eys to Worplace improvement. +hey all must be considered in order

to achieve continuous improvement.

2016

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17

6

1

2 3


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2) 'eys to worplace

improvement

+hese 2) eys are arranged in a

circle.

1hows the relations between theeys and their influence on the three

main factors. Guality, cost and lead time.

2016

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15131019

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2 3


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01(eading

Technology

23

ProductionScheduling

20

+eveloping

your

Suppliers

22

4uality

.ssurance

System

,

Maintaining

#uipment

6

7ero MonitorManufacturing

28

#mpowering

$orkers to

Make improve-

ments

5

4uick

'hangeover

Technology

89educing

!nventory

/'oupled

Manufacturing

25

'ross

Training

13

#liminating

$aste

21Time 'ontrol

.nd

'ommitment

2,

'onserving

#nergy and

Materials

2/

sing

!nformation

systems

26

#fficiency

'ontrol

3Method

!mprovement

2'leaning and

Organi%ing

09ationali%ing

the system

:

!mprovement

Team

.ctivities

Quality

Cost Lea

ti!e


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Guality


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/ost


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%ead +ime


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2) 'eys to worplace

improvement +here are four eys

outside the circle. 'eys , 2 and &

must beimplemented before

the rest.

'ey number 2) is

the result ofimplementing the

other 3 eys.

20Leaing

"e#$nology

16

%rou#tion

$euling

12

'e(elo)ingyour

&u))liers

11Quaility

*ssuran#e

&yste!9

+aintaining,-ui)!ent

7

.ero +onitor

+anu/a#turing

14

,!)oeringorers to

+ae i!)ro(e!ents

5Qui#

C$angeo(er

"e#$nology

4Reu#ing

In(entory

8

Cou)le+anu/a#turing

15Cross

"raining

13,li!inating

aste

10

"i!e Control

*n

Co!!it!ent

19

Conser(ing

,nergy an+aterials

18

sing

In/or!ationsyste!s

17

,//i#ien#yControl

6+et$o

I!)ro(e!ent

1Cleaning anrganizing

2

Rationalizingt$e syste!

3

I!)ro(e!ent

"ea!*#ti(ities

Quality

Cost Leati!e


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2) 'eys to worplace

improvement

'obayashi divided each ey into five levels and

set some criteria to rise from one level to the ne-t.

'obayashi offers the steps to reach the final levelgradually rather than attempting to directly reach the

top.


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2) 'eys to worplace

improvement 'obayashi presents a radar

graphic to show the

evolution of the factory

+he scoring of each ey isrepresented.

'obayashi recommends to

improve all the eys e4ually. In the radar graphic, the

factorys scoring will grow

concentrically.

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20


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>verall H4uipment Hfficiency

(>HH"

+o improve the productivity of production e4uipment

Daa;ima (GH " summari!ed the main time lossesfor e4uipment based on the value of three activities.

Available wor time $? /alendar time.

7i-ed time for planned stops $? Preventive maintenance,

operators brea.

+he rest of the time is considered load time.

Loa ti!e

Calenar ti!e

%lannesto)s


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1i- main causes that reduce valid operation time. readowns.

+he time that the machine is stopped by repairs. 1etup and changeovers.

/orresponds to the change time between models, or between products

of the same model.

Idling and minor stoppage. %oss time caused by the processes randomness or by the worer$

machine cycle comple-ity.


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1i- main causes that reduce valid operation time. :educed speed.

/aused by the wear of components. @efects and rewors.

%ow 4uality products.

1tarting losses. Machine produces defects until it reaches the operation steady

state.


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+hese si- main losses are grouped.

Loa ti!e

se/ul ti!e

)erating ti!e

reaons

&etu) an #$angeo(er

Iling an !inor sto))ages

Reu#e s)ee

'e/e#ts an reor

&tarting losses


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Loa ti!e

se/ul ti!e

)erating ti!e

100ti!eloa

ti!esetu)anreaonti!eloaty*(ailaili*

==

100ti!eo)erating

units)ro#esseti!e#y#lestarare%er/or!an#%

==

100units)ro#esse

unitse/e#ti(eunits)ro#esseualityQQ

==

Q%*85,,9,//e#ien#y

,-ui)!ent5(erall=

+he previous grouped losses define three basic indicator.

Availability, performance and 4uality.

>verall H4uipment Hfficiency (>HH" A J P J G


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>b;ectives predicted for each indicator by Daa;ima. More than 3)K in the availability.

More than 3K in the rate of performance. More than 33K in the rate of 4uality.

+he main advantage of the implementation of these

rates is that they can show how the improvementscarried out affect directly the e4uipment efficiency.


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More on >HH(L2"

+he >HH definition in 1HMI H83 is composedof four components.

+ - (vailable fficiency

+peration fficiency

/ate fficiency /ate of 0uality


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More on >HH(2L2"

(vailable fficiency

- )1uipment &ptime* 2 )Total Time*

+peration fficiency- )3roductive Time* 2 )1uipment &ptime*

/ate fficiency

- )(ctual unit output* 2 )Theoretical unit throughput*

2)3roductive Time* /ate of 0uality

- )(ctual unit output 4 /ework ! Scrap*

Documents

1. Introduction to 20 keys to improve workplace