- Principles of Lean in manufacturing

- Different phases of implementation

- Difficulties faced when implementing

Lean.

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

1. Who am I

2. Who are you

3. What is your objective

Who Am I ? PHAM Ngoc Binh Long / Married

Value : Passionate - Open - Straightforward - Effective

Education : Master Degree in Automation and Production Engineering

Our Four Different Selves

Infers

Imagines

Speculates

Takes risks

Is impetuous

Breaks rules

Likes surprises

Is curious/plays

Analyses

Quantifies

Is logical

Is critical

Is realistic

Like numbers

Knows about

money

Know how things

work

Is sensitive to

others

Likes to teach

Touches a lot

Is supportive

Is expressive

Is emotional

Talks a lot

Feels

Takes preventives

action

Establishes

procedures

Gets thing done

Is reliable

Organises

Is neat

Timely

Plans

D

C

A

B

The Herrmann Model

Personal Career Path

France Process

Engineer

Project

Manager

Plant General

Manager

Plant General

Manager

Indonesia

Who are you ?

What is your Lean Background?

1 – I have never used Lean tools/methods

3 – I use Lean tools occasionally

5 – I use Lean frequently

7 – I always use Lean and know what to do with it

9 – I should be teaching this stuff

Class Profile - Baseline

X

X

X

X X X

X X X

X X X

x x x

1 3 5 7 9

Lean Rating

Nu

mb

er

of

Peo

ple

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

OLD Profit Equation

PROFIT COST SELLING

PRICE

NEW Profit Equation

PROFIT COST MARKET

PRICE

BENEFITS OF LEAN BEFORE AFTER

INVENTORY

EQUIPMENT

OPERATOR

BUILDING

BENEFITS OF LEAN

Productivity

Quality

Flexibility

BENEFITS OF LEAN

Lead times

Operating Costs

Inventories

Space needed

IDEAL LEAN WORKSHOP

EXAMPLES OF LEAN PRODUCTION

EXAMPLES OF LEAN PRODUCTION

EXAMPLES OF LEAN PRODUCTION

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

ORIGIN OF LEAN

TODAY EVOLUTION

Lean is a set of principles, behaviors and tools designed for a relentless pursuit in the elimination of waste. Producing an efficient just-in-time production system, that will deliver to our customers…

exactly what they need

when they need it

in the quantity they need

in the right sequence

without defects

and at the lowest possible cost

DEFINITION

1. Specify value from the standpoint of

the consumer (not from your assets and organization)

PRINCIPLES

2. Identify the value stream through the steps required to create and deliver each product and remove the wasted steps.

PRINCIPLES

3. Make the process of value creation

flows smoothly and quickly to the

customer, but only in line with the pull of consumer

PRINCIPLES

4. Pursue perfection by

continuously improving the product, process and value stream.

PRINCIPLES

5. Engage, empower and encourage

employee participation, converting their

passion and energy into lasting improvement.

PRINCIPLES

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

3 forms :

1. Customer Value Added

2. Business Non-Value-Added

3. Non-Value Added (Waste)

WORK ELEMENTS Lean is a set of principles, behaviors and tools designed for a relentless pursuit in the elimination of waste.

1. The Customer is willing to pay for it.

2. The “thing” must physically change.

3. The work must be done right the first time.

Work has no added value but

need to be done to meet

customer need under today

conditions.

Activities that take

time, resources, or

space, but do not add

value to the product or

service itself

The customer is NOT

willing to pay for

Waste / Overproduction

Making something before it is truly needed

Excess inventory that is often used to mask other underlying problems and

inefficiencies.

1

Waste / Waiting

Time when work-in-process is waiting for

the next step in production (no value is

being added).

2

Production that is scrap

or requires rework.

3 Waste / Defect

Product (raw materials, work-in-process, or finished goods) quantities that go beyond

supporting the immediate need.

4 Waste / Inventory

Unnecessary movement of people (movement that does not add value).

5 Waste / Motion

6 Waste / Over-processing

More processing than is needed to produce what the customer requires. This is

often one of the more difficult wastes to detect and eliminate.

Unnecessary movement of raw materials, work-in-process or finished goods.

7 Waste / Transport

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

LEAN TOOLS

Eliminates waste that results from a poorly organized work area (e.g. wasting

time looking for a tool).

5S

5S

TAKT TIME

TAKT TIME

Acts as a real-time communication tool for the plant floor that brings immediate

attention to problems as they occur – so they can be instantly addressed.

Visual feedback system for the plant floor that indicates production status, alerts when assistance is needed, and empowers operators to stop the production process.

Andon

Kanban Kanban is a tool to achieve JIT. Kanban prevents overproduction because it is a pull system,

parts will not be built until needed. Kanban works like a signalling device - it gives instruction for

the production or movement of items within the pull system.

Warehouse

SMED Single Minute Exchange of Die

Enables manufacturing

in smaller lots, reduces

inventory, and

improves customer

responsiveness.

Poka-Yoke Poka-Yoke is fool proofing, which is the basis of the Zero Defect approach, which

is a technique for avoiding and eliminating mistakes. Generally this technique is

used in manufacturing process but has much wider uses, such as; offices

Poka-Yoke

Schuko

socket

Jidoka (Autonomation)

Design equipment to partially automate the manufacturing process (partial

automation is typically much less expensive than full automation) and to

automatically stop when defects are detected.

After Jidoka, workers can frequently monitor multiple stations (reducing labor

costs) and many quality issues can be detected immediately (improving

quality).

Jidoka (Autonomation)

Value Stream Mapping A tool used to visually map the flow of production. Shows the current and future

state of processes in a way that highlights opportunities for improvement.

Exposes

waste in

the current

processes

and

provides a

roadmap

for

improveme

nt through

the future

state.

Hoshin Kanri

Strategy

Priorities Actions

Results

- Align the goals of the company (Strategy), with the plans of middle

management (Proritiess) and the work performed on the plant floor (Action).

- To eliminates the waste that comes from inconsistent direction and poor

communication.

KAIZEN (Continuous Improvement)

- A strategy where employees work together proactively to achieve regular,

incremental improvements in the manufacturing process.

- Combines the collective talents of a company to create an engine for

continually eliminating waste from manufacturing processes.

“Kai” means “change”

“zen” means “good (for the better)”

KAIZEN (Continuous Improvement)

1 – Discard fixed ideas, reject current practices.

2 – Think about how to do it, instead of why it cannot be done.

3 – Act immediately on improvement suggestions.

4 – Do not seek perfection, achieve 60% of your target right away.

5 – Correct errors immediately.

6 – Turn problems into ideas.

7 – Seek root causes: ask “why” 5 times.

8 – Seek the wisdom of 10 people, rather than wait for one person to have a great idea.

9 – Put to the test, and then validate.

10 – Acknowledge that there is infinite potential for improvement.

The 10 Kaizen principles

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

IMPLEMENTATION PHASES

1 INTRODUCTION

2 LEAN CULTURE

3 MAPPING

4 STABILITY

5 JUST-IN TIME

6 MEASURING

7 SUSTAINING

PHASE 1

INTRODUCTION

- Educate Organization

- Assess Readiness (resources available)

- Define products family

Customers!!!

Individual station

I - line

U – shape

Standing position

Mutual help

PHASE 2

LEAN CULTURE

- Plan for Change

- Create Teams

- Select Pilot Product Family

PHASE 3

MAPPING

- Map Current-State Value Stream

- Map Future-State Value Stream

- Plan Implementation

Clipsal CVN Customer Supplier

Ware House

Monthly order fax

Twice order fax per month

Pro

. superv

isor

C/T : 39.33s

C/O : 0

Uptime :

80%

Assembly

C/T : 10,5s

C/O : 60min

Uptime : 80%

Molding

Ware House

Current State

10.8 sec

55O PCS

12.2 days

8400 PCS

3.4 days

200 PCS

0.0864 days

200 PCS

0.08 days

Profuct Lead Time: 12.2 + 3.4 + 0.0864 + 0.08 + 1 = 16.7

days

Process Time : 10.5 + 10 + 4 + 39.33 = 63.83 s

REDUCE

IMPROVE

IMPROVE

Monthly deliver

Occasional deliver Weekly deliver

E426UEST2/T

Twice order mail per month

TAKT TIME : 7.5 x 3600 /

2500

Clipsal CVN Customer Supplier

Ware House

Monthly order mail

Twice order fax per month

Pro

. superv

isor

C/T : 39.33s

C/O : 0

Uptime :

80%

Assembly

C/T : 10,5s

C/O : 60min

Uptime : 80%

Molding

Ware House

Future State

55O PCS

12.2 days

Monthly deliver

Occasional deliver Weekly deliver

E426UEST2/T

Monthly order fax

Twice order mail per month

Raw Materials

Plastic

components

PHASE 4

STABILITY

- Stabilize Demand and Process

- Standardize Work

- Improve Process

PHASE 5

JUST-IN TIME

- Calculate Customer Demand

- Create Flow

- Implement Pull

- Develop Schedules

PHASE 6

MEASURING

- Define Metrics

- Start measurement

Quality : MDR Service : IOTD Efficiency : Output/h

PHASE 7

SUSTAINING

- Design for Lean

- Continuously Improve Quality

- Sustain Lean

BEFORE

First Modification

Second Modification

AFTER

1. Benefits

2. Definition and Principles

3. 7 Deadly Wastes

4. Lean Tools

5. Implementation

6. Lean Management System

Agenda

Engine :

Leader standard work

Transmission :

Visual controls

Gas Pedal and Steering Wheel :

Daily accountability process

Fuel :

Discipline

Element Key Characteristics

Leader standard work

Daily checklists for line production leaders – team leaders, supervisors, and

value stream managers – that state explicit expectations for what it means

to focus on the process.

Visual controls

Tracking charts and other visual tools that reflect actual performance

compared with expected performance of virtually any process in lean

operation – production and non production alike.

Daily accountability

process

Brief, structured, tiered meetings focused on performance with visual action

assignments and follow-up to close gaps between actual results vs.

expected performance

Discipline Leaders themselves consistently following and following up on others’

adherence to the process that define the first three elements.

Myth What LEAN is NOT

Reality What LEAN is

A Tangible Recipe for Success

A Management Project or Program

A Set of Tools for Implementation

A System for Production Floor Only

Able to be implemented in a Short or

Mid-term Period

• A Way of Thinking

• A Total Management Philosophy

• Focus on Total Customer Satisfaction

• An Environment of Teamwork and

Improvement

• A Never Ending Search for a Better Way

• Quality Built-in Process

• Organized, Disciplined Workplace

• Evolutionary