# 3: Using Visual Management to Expose your Hidden Problems & Waste through Standard Work

Rhonda Kovera is an Industrial Engineer with 25 years of continuous process improvement experience, including the use of visual management, to identify and eliminate waste. Rhonda is CEO of Visual Workplace Inc.

Phil Kirby coaches executives on performance improvement using Visual Management. He has over 25 years of operations management and process improvement experience in all business sectors.

His third book, The Process Mind, is scheduled for release this Fall.

Visual Management Webinar Sponsors

Visual Management Webinar Series

Using Visual Management to…

# 1…improve your business performance.

# 2…optimize your workflow.

# 3…expose your hidden problems & waste through Standard Work.

# 4…build a problem-solving environment and create a culture of continuous learning.

 

Visual Management: Recap

1. Safety

2. Throughput

3. Cycle-Time

4. Productivity

5. Operating Expense

Visual Management: Recap

Workplace StructureNavigationPresenceOrganization

Process ImprovementIdentificationDocumentationMeasurement

Employee EngagementOwnershipProblem-solvingCommunication

Visual Management: What is Standard Work

Work instructions

Clear, visual,current bestapproach Baseline forimprovements

Visual Management: Why Standard Work

Maintain changes

Reduce variations

Training

Drive C.I.

Standard Work Drives Continuous Improvement

1. Establish Standard > See workflow disruption

2. Monitor Standard > Define variances

3. Problem-solve Variances > Create flow

Standard Work Drives Continuous Improvement

Establish Standard Monitor Standard Problem-Solve Variances

Scheduling Board Run at Rate ChartFishbone Diagram

Establish Standard: See Workflow Disruption

Scheduling Board (Material)

Establish Standard: See Workflow Disruption

Scheduling Board (Information)

Establish Standard: See Workflow Disruption

Scheduling Board (Shipping)

Establish Standard: See Workflow Disruption

Reliable Methods

Establish Standard: See Workflow Disruption

Shadow Board KanBan Board

Reliable Methods

Sub-Assembly Shipping Procedure

1. 8” and 10” Boots:

1. Place 2 rows of 3 back to back

2. Secure with wire

2. 13” Boots:

1. Place 2 rows of 2 back to back

2. Secure with wire

Establish Standard: See Workflow Disruption

Reliable Methods

Baggage Tag PlacementPurpose: To improve the aircraft loading process

Service Agent will assist with the proper placement of the baggage tag on the bag as shown:1) The tag is placed on the handle

located on the short side of the bag

2) The tag is NOT placed on the handle located on the long side of the bag

.

X

Establish Standard: See Workflow Disruption

Reliable Methods

Establish Standard: See Workflow Disruption

Reliable Methods

Monitor Standard: Define Variances

Run at Rate Chart

Monitor Standard: Define Variances

Run at Rate Chart

Monitor Standard: Define Variances

Scorecard

Monitor Standard: Define Variances

010

50

Operators

Tim

e (s

econ

ds)

8/31/2004

Scope of Operations

From Kit Delivery Dept. Head Supervisor

Percent Loading Chart Date Preparedor Revised

L. Simpson

Dave W. Dan

To Finished Goods B. Simpson

PartNumber

PartName

Fitting and Wedging

87-RF

Fitted Snorgle

ProcessName

900

750

600

450

300

150

Randy Dave S *

* = I n training** = Supports other areas

Takt Time = 575 secondsCell 435 MinutesLeader 26,100 Seconds Date

40065 Seconds

StepProcess

DescriptionMachine

#

Manual Time

(Secs)

Machine Time

(Secs)

# of pcs per

changeChange

Time

Tool Change

TimeTotal Time

to CompleteProcessing

Capacity Remarks1 Mill 7502 4 65 100 120 1.2 70.2 3712 Drill 6532 3 35 50 75 1.5 39.5 6603 Tap 8405 4 25 200 60 0.3 29.3 8904 Grind 3271 4 85 0.0 89.0 293

Process Capacity FormAvailable Time

Daily DemandTakt Time

Process Tool Change

5 77 95674, 95671

Standard Work In Process

Operator NumberTakt Time(Seconds)

Number of Pieces of Standard Work In Process

Safety PrecautionQuality Check

ProcessName

PartNumber

PartName

Bracket Fabrication

9876-43C

Bracket

Scope of Operations

From

To Finished Goods

Standard Work Sheet

R. Coltrain D. Duke

8/31/2004Date Preparedor Revised

SupervisorDept. HeadRaw Material

MillDrillTap

Grind

Assembly Test Pack

Raw Material

Finished Goods

12345

6

1 2 3 4

5164

Plug

56-AD

Final Machining

Manual Auto Walk Wait

1 5

2 20 20

3 5 5

4 5 5

5 15 15

6 5 5

20 35 15 35 Note:Make sure to account for all the work to be done, including gaging, tool changes, set-up, etc.

N/A

N/A

Takt Time(seconds)

70

Demand Per Shift

Time

395

10:00 AM

Standard Work Combination Sheet

70Total Process Time

Component Totals

Operator removes part from machine

Machine Part

Load part into lathe

Operator removes part from debur machine

Machine debur

Load part into auto debur

90 100

Time (seconds) Operation Working Time (in seconds)

10 20 30 40 50 60 70 80

Manual

Automatic

Walking

Wait

Description of Operation

Part Number

Part Name

Work Center

Process Name

Step No.

Date

Prepared By

Kaizen #

Event

8/31/2004

J. John

Date

TOTAL 5S LEVEL:(Lowest of individual audit levels)

Sort (record audit level)

LevelSort Identify & eliminate what is not needed

1234

5

Set in order (record audit level)

LevelSet in Order A place for everything

and everything in its place123

45

Shine (record audit level)

LevelShine An effective, organized environment

12345

Standardize (record audit level)

LevelStandardize Develop standards and stick to them

123

45

Sustain (record audit level)

LevelSustain 5S is a way of life

12345

Comments

Comments

Necessary and unnecessary items are mixed together in the work area.Necessary and unnecessary items are separated.All unnecessary items have been removed from the work area.A dependable, documented method has been established to keep the work area free of unnecessary items.

Waste is immediately visible and triggers a planned response with root cause analysis and corrective action.

Tools, supplies and materials are randomly located.Designated location established for all items as needed.Designated locations are marked to make organization more visible (color, outlines, labels, numbers, etc).

Documented method of visual sweep to identify items out of place or exceeding quantity limits.Defined process to evaluate and improve movement and motion.

Work/break areas and machinery are dirty and disorganized.Work/break areas and machinery are cleaned on a regularly scheduled basis. Key items identified.

Substantial process documentation is available and followed.Everyone is continually seeking the elimination of waste with changes documented and information shared.

Visual Controls are in place for labeling and quantity levels. Machines are cleaned daily. 5S techniques are understood and practiced continually. 5S schedules are posted and followed.Dependable, documented method of preventative cleaning and maintenance.

Work place methods are not consistently followed and are not documented.

Area:5S Audit Sheet

Comments

There is a general appearance of a confident understanding of, and adherence to, the 5S principles.

Work place checks are randomly performed and there is no visual measurement of 5S performance.A recognizable effort has been made to improve the condition of the workplace.5S schedules and safety practices have been developed and are utilized.Follow through with 5S schedules and safety practices is evident.

Methods are being improved, but changes have not been documented.Working environment changes are documented and performed the same by all employees. Visual Controls are in place for labeling and quantity levels.

Name:

Comments

Comments

5S Audit Sheet

Std Work Documents

#

Pareto Chart Item

Root Cause Action Impact Owner

Due Date Status

12345

Acton Item List

#

Pareto Chart Item

Root Cause Action Impact Owner

Due Date Status

12345

Acton Item List

0

5

10

15

20

25

a b c d other

#

Pareto Chart Item

Root Cause Action Impact Owner

Due Date Status

12345

Acton Item List

#

Pareto Chart Item

Root Cause Action Impact Owner

Due Date Status

12345

Acton Item List

Action Items

Month to Date

Pareto

Monthly Measure

CostDeliveryQualitySafety

Metric Tracking

0

1

2

3

4

5

6

7

8

9

10

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

OSH

A In

cide

nts

TargetActual Metric Tracking

0%

20%

40%

60%

80%

100%

120%

M T W T F S M T W T F S

FPY

TargetActual Metric Tracking

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

OTD

TargetActual

Pareto of Causes

0

1

2

3

4

5

Cut f inger Back injury

OSH

A In

cide

nts

Pareto of Causes

0

5

10

15

20

25

30

Burrs Oversized Part 234backw ards

Part 543 loose

Qua

lity

Inci

dent

s

Pareto of Causes

0

2

4

6

8

10

Sick days Rew ork Late to w ork Scrap

Hou

rs lo

st

Metric Tracking

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

1 2 3 4 5 6 7 8 9 10 11 12

Week

Uni

ts/P

erso

n/H

our

TargetActual

Daily Measure

Metric Tracking

0

1

2

3

4

5

6

7

8

9

10

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

OSH

A In

cide

nts

TargetActual Metric Tracking

0%

20%

40%

60%

80%

100%

120%

M T W T F S M T W T F SFP

Y

TargetActual Metric Tracking

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

OTD

TargetActual Metric Tracking

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

1 2 3 4 5 6 7 8 9 10 11 12

Week

Uni

ts/P

erso

n/H

our

TargetActual

Skills MatrixDate: Aug. 20, 2009Team/Area: Rapture Cell Team/Area Leader: Carl

Skill

Name

1

2

(1 / 2) * 100%

Harry

Bob

Tom

Dick

Legend Total # of skill levels attained:

Total % Skill Attainment 58

93Untrained Learner Practitioner Developer Coach Total # of potential skill levels: 160

Problem-Solve Variances: Create Flow

Fishbone Diagram

Problem-Solve Variances: Create Flow

Fishbone Diagram

Problem-Solve Variances: Create Flow

Fishbone Diagram

Problem Statement

Red Dot Concentration:Indicates high-priority problem

Effect Description

Problem-Solve Variances: Create Flow

Andon Lights

Problem-Solve Variances: Create Flow

Accountability Board

Problem-Solve Variances: Create Flow

Huddle Meeting

Problem-Solve Variances: Create Flow

Job Assignment Board

29

Standard Work Drives Continuous Improvement

Visual Display Room

Fishbone Diagram

Standard Work

Accountability Board

Standard Work Drives Continuous Improvement

Visual Display Room

Fishbone Diagram

Standard Work Drives Continuous Improvement

59

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

II

Coils5 days

ShippingI

I81

202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

Project on67% Yield

1.5 dayorder queue

Eliminate order entry

Kanban KaizenCombine Ops

SupplierKanbanDailyDelivery

EliminateMRP

Eliminate and Ship Direct

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 minFPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shift Cycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

CT > TTUptime 70%TPM

SetupReduction

SetupReduction

2

DAILY SCHEDULE

1414

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

IICoils

5 days ShippingI

I81

202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Qu eue = 1.5 Days

SR2

Deman d = 900 per month

Takt Time= 593 Seconds

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shift Cycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

2

DAILY SCHEDULEl m A8 - Information Technology Improvements m m m m l m

l A7 - Planning Optimization l ll l A6 - Make vs. Buy Decision Making l l l ml l A5 - Supplier Development l l l m l

l m A5 - Grow Revenue l l m l m mm l A3 - VA/VE l m m l mm l A2 - Reduce Cost of Quality l m l

l A2 - Improve Productivity l m l ml m l A1 - Value Stream Development l l l m m m

Inve

ntor

y T

urn

Ove

r Rat

io o

f 1.8

(50%

in

crea

se w

/flat

sal

es; $

5 m

illio

n de

crea

se)

Flat

sal

es

grow

th v

s. 2

009

($25

mill

ion

gros

s re

v.)

7% O

I lev

el in

201

0 (c

umul

ativ

e fo

r ye

ar)

Redu

ce T

otal

Pro

duct

Cyc

le T

ime

on K

ey V

SM's

by 5

0%

Impr

ove

Tota

l Pro

duct

ivity

(EH/

Tota

l hrs

. wor

ked)

by

25%

Redu

ce C

ost o

f Qua

lity b

y $30

0K in

201

0

Actu

al 2

010

DM C

ost S

avin

gs fr

om V

AVE

proje

cts >

= $5

00k

Mai

ntain

or g

row

200

9 Re

venu

e le

vels

in 2

010

Redu

ce P

urch

ased

Com

pone

nt In

vent

ory

valu

e of

Chi

na s

ourc

ed m

ater

ial b

y 75

%

Redu

ce S

uppl

ier i

ncom

ing

defe

ct ra

te b

y 25

%

$'s re

coup

ed fr

om s

uppl

iers

for M

uelle

r exp

ense

s in

curre

d du

e to

sup

plie

r def

ects

>=

$200

k

Stra

tegic

Sou

rcin

g DM

Cos

t Sav

ings

>=

$500

k

Mak

e 50

k sq

. ft.

of fl

oor S

pace

Ava

ilabl

e fo

r Bu

sines

s G

rowt

h

Phil M

atth

ews

Stev

e Sn

ead

Stev

e Le

derm

ann

Pedr

o

Geo

rge

Ande

rson

Rola

nd A

rago

na

Gina

Rob

erts

Earl

Davi

s

m l Achieve 12% OI profitability levell m Inventory Turn Over Ratio = 5

l Reduce total product cycle time from 300 days to 70

Rev 2_0

Resource Deployment

3-Year FinancialBreakthrough Objectives

Top LevelStrategic Priority

Annual Objectives

Targets toImprove

l Primary Responsibility or Link (type "l")m Secondary Responsibility or Link (type "m")

MuellerTTI Bowling Chart - Strategy Deployment

Target to Improve (TTI) JOP YTD ACT January February March April May June July August September October November December

TTI 300 285 270 255 240 225 210 195 180 165 150 135 Actual 310 320 285 285 250 220 200

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

TTIActual

300

Strategic Sourc ing DM Cost Savings >= $500k

Make 50k sq. ft. of floor Space Available for Business Growth

Maintain or grow 2009 Revenue levels in 2010

Reduce Purchased Component Inventory value of China sourced materia l by 75%

Reduce Supplier incoming defect ra te by 25%

$'s recouped from suppliers for Mueller expenses incurred due to supplier defects >= $200k

Reduce Total Pr oduct Cycle Time on Key VSM's by 50%Improve Total Productivity (EH/Total hrs. worked) by 25%

Reduce Cost of Quality by $300K in 2010

Actual 2010 DM Cost S avings from V AVE projects >= $500k

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

nFe

b

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec Current Year

$ ImpactAnnual $

Impact (if app)Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to identify main plant value streams

Phil Matthews Steve Snead, Roland A ragona

1/15/2010 x

Conduct VSM workshops create VSM's for main value streams

Phil MatthewsSteve Snead,

Roland A ragona1/30/2010 x

SMED events to support Value Stream waste elimina tion Steve Snead Phil Matthews xCNC Programming enhancements to reduce change-over time to support VSM waste elimination e fforts

Earl Davis Ph il Matthews x

Improve Flow in Fabrication Steve Snead Phil Matthews xEstablish Kaizen Roadmap for 2010 Phil Matthews 1/30/2010 xConduct Ka izen Events to support VSM strategy Phil Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. of floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Earl DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

n

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec Cur rent Year

$ ImpactAnnual $

Impact ( if app)Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to iden tify main p lan t va lue streams

Phil Matthews Steve Snead, Roland Aragona

1/15/2010 x

Conduct VSM workshops create VSM's for main value streams

Phil MatthewsSteve Snead,

Roland Aragona1/30/2010 x

SMED events to support Value Stream waste elimination Steve Snead Phil Matthews xCNC Programming enhancements to reduce change-over time to support VSM waste e limination effo rts

Earl Davis Phil Matthews x

Improve Flow in Fabrication Steve Snead Phil Matthews xEstab lish Kaizen Roadmap for 2010 Ph il Matthews 1/30/2010 xConduct Ka izen Events to support VSM strategy Ph il Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. of floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Earl DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

n

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec Cur rent Year

$ ImpactAnnual $

Impact ( if app)Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to iden tify main plan t va lue streams

Phil Matthews Steve Snead, Roland Aragona

1/15/2010 x

Conduct VSM workshops create VSM's for main value streams

Phil MatthewsSteve Snead,

Roland Aragona1/30/2010 x

SMED events to support Value Stream waste elimination Steve Snead Phil Matthews xCNC Programming enhancements to reduce change-over time to support VSM waste e limination effo rts Earl Davis Phil Matthews x

Improve Flow in Fabrication Steve Snead Phil Matthews xEstab lish Kaizen Roadmap for 2010 Ph il Matthews 1/30/2010 xConduct Ka izen Events to support VSM strategy Ph il Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. of floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Ear l DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

nFe

bM

arAp

rM

ayJu

nJu

lAu

gSe

pO

ctNo

vDe

c Current Year $ Impact

Annual $ Impact (if app)

Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to identify main plant value streams

Phil MatthewsSteve Snead,

Roland Aragona1/15/2010 x

Conduct VSM workshops create VSM's for main va lue streams

Phil Matthews Steve Snead, Roland Aragona

1/30/2010 x

SMED events to support Value Stream waste e limination Steve Snead Phil Mat thews xCNC Programming enhancements to reduce change-over time to support VSM waste elimination efforts

Earl Davis Phil Mat thews x

Improve Flow in Fabrica tion Steve Snead Phil Mat thews xEstablish Kaizen Roadmap for 2010 Phil Matthews 1/30/2010 xConduct Kaizen Events to support VSM st rategy Phil Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. o f floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Ear l DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

nFe

bM

arAp

rM

ayJu

nJu

l

Aug

Sep

Oct

Nov

Dec Current Year

$ ImpactAnnual $

Impact (if app)Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to identify main plant value streams

Phil Matthews Steve Snead, Roland Aragona

1/15/2010 x

Conduct VSM workshops create VSM's for main value streams

Phil MatthewsSteve Snead,

Roland Aragona1/30/2010 x

SMED events to support V alue Stream waste elimina tion Steve Snead Phil Matthews xCNC Programming enhancements to reduce change-over time to support VSM waste elimination e fforts

Earl Davis Phil Matthews x

Improve Flow in Fabrication Steve Snead Phil Matthews xEstablish Kaizen Roadmap for 2010 Phil Matthews 1/30/2010 xConduct Kaizen Events to support VSM strategy Phil Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. of floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Earl DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Mueller - Continuous ImprovementAction Plan (Macro) - Strategy Deployment

Action Step/ Kaizen Events Owner Assisting Planned Dates Ja

n

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec Cur rent Year

$ ImpactAnnual $

Impact ( if app)Create CIOS Deployment Room Phil Matthews 1/15/2010 xConduct VSM workshop to iden tify main p lan t va lue streams

Phil Matthews Steve Snead, Roland Aragona

1/15/2010 x

Conduct VSM workshops create VSM's for main value streams

Phil MatthewsSteve Snead,

Roland Aragona1/30/2010 x

SMED events to support Value Stream waste elimination Steve Snead Phil Matthews xCNC Programming enhancements to reduce change-over time to support VSM waste e limination effo rts

Earl Davis Phil Matthews x

Improve Flow in Fabrication Steve Snead Phil Matthews xEstab lish Kaizen Roadmap for 2010 Ph il Matthews 1/30/2010 xConduct Ka izen Events to support VSM strategy Ph il Matthews x x x x x x x x x x x

Target to Improve

(1) Reduce Total Product Cycle Time on Key VSM's by 50%; (2) Make 50k sq. ft. of floor Space Available for Business Growth

Action Plan

Team Date of Next ReviewPhil Matthews, Steve Snead, Earl DavisFactors to Consider

Strategic Priority Owner DateValue Stream Development Phil Matthews

Strategic Deployment Site Strategic Deployment Matrix

Targets to Improve

Strategic Priorities & Action Plans

Value Stream FocusVSM #1

Current State Future State

59

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

II

Coils5 days Shipping

II

81202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

Project on67% Yield

1.5 dayorder queue

Eliminate order entry

Kanban KaizenCombine Ops

SupplierKanbanDailyDelivery

EliminateMRP

Eliminate and Ship Direct

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shiftCycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 sh ift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

CT > TTUptime 70%TPM

SetupReduction

SetupReduction

2

DAILY SCHEDULE

1414

WEEKLY SCHEDULE

Cu stomer

Stamping342

S. Weld # 1

I

I

IICoils

5 daysShipping

II

81202122

Assembly Test

90

90/60/30 dayForecasts

Order En try

Produ ctionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shift Cycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

2

DAILY SCHEDULE

VSM #2

Current State Future State

59

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

II

Coils5 days Shipping

II

81202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

Project on67% Yield

1.5 dayorder queue

Eliminate order entry

Kanban KaizenCombine Ops

SupplierKanbanDailyDelivery

EliminateMRP

Eliminate and Ship Direct

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 sh iftCycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 sh ift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

CT > TTUptime 70%TPM

SetupReduction

SetupReduction

2

DAILY SCHEDULE

1414

WEEKLY SCHEDULE

Cu stomer

Stamping342

S. Weld # 1

I

I

IICoils

5 daysShipping

II

81202122

Assembly Test

90

90/60/30 dayForecasts

Order En try

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shiftCycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

2

DAILY SCHEDULE

VSM #3

Current State Future State

59

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

II

Coils5 days

ShippingI

I81

202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Queue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

Project on67% Yield

1.5 dayorder queue

Eliminate order entry

Kanban KaizenCombine Ops

SupplierKanbanDailyDelivery

EliminateMRP

Eliminate and Ship Direct

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 sh ift Cycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

CT > TTUptime 70%TPM

SetupReduction

SetupReduction

2

DAILY SCHEDULE

1414

WEEKLY SCHEDULE

Customer

Stamping342

S. Weld # 1

I

I

IICoils

5 daysShipping

II

81202122

Assembly Test

90

90/60/30 dayForecasts

Order Entry

ProductionControl

MRP

6 WEEKForecast

Suppliers

Lead Time - 34 Days

Competitive Lead Time = 3 Days

Orders/day= 36Qu eue = 1.5 Days

SR2

Demand = 900 per month

Takt Time= 593 Seconds

SR

Co=10 min.Uptime=70%

Co=0 min.Uptime=100%2 shifts

Co= 23 min

FPY = 67%

5 days

1 sec

7.6 days 1.8 days 2.7 days 4.5 days 2 days

Lead Time =23.7 days

1 shift Cycle Time = 2861 sec

CT=1secCo=1 hr.Uptime=85%1 shift

CT=180 sec CT= 1200 sec CT= 1240 sec

1 shift

CT= 240 sec

180 sec 1200 sec 1240 sec 240 sec

2

DAILY SCHEDULE

VSM #4

Current State Future State

Kaizen Area: Event Start Date:Faci li tator

Team Leader

Before Kai zen

Kaizen Goal

%Improvement

After K ai zen%

Improvement

1 Month%

Improvement

2 Months%

Improvement

3 Months%

Impro vement

4 M onths%

Improvement

5 Months%

Improvement

6 Months%

Improvement

QUALITY

DE LIV ERY

FINANCIAL IMPACT

COST

GROWTH

Notes

Measurement Due Da te (Month End)

KAIZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropriate to event)

Primary Kaizen

Objectives

SAFETY

Kaizen

Lean Event Description Site Scheduled Start Date

Scheduled Finish Date Status Lean Leader Event Sponsor Event Leader Inventory Savings P&L Savings

Total P&L + Inventory Savings

Plating Outsourcing Carolinas 2/16/2009 8/7/2009 Complete $ 470,000.00 $ 470,000.00 Epoxy Cell Creation Phase 2 Ames 9/14/2009 9/18/2009 On Going Svensson West Svensson $ 250,000.00 $ 100,000.00 $ 350,000.00 9D Cell Inventory Kaizen Carolinas 9/17/2009 9/21/2009 Complete $ 126,000.00 $ 126,000.00 Create a high volume "Bagging" COE @ Chesnee - Kaizen (Phase 2) Carolinas 7/13/2009 8/20/2009 Complete $ 43,000.00 $ 43,000.00 800 VAVE Webster 8/6/2009 8/6/2009 Complete Geldermann Jalbert Mullavey $ 40,000.00 $ 40,000.00 Shower Cell Kaizen Event Carolinas 8/31/2009 9/4/2009 Complete $23,000.00 $ 23,000.00 Screen Dept Flow & Scrap Mueller 9/4/2009 9/10/2009 complete Ledermann Robinson Ledermann $ 20,000.00 $ 20,000.00 3" 909 Cell kaizen Webster 8/1/2009 8/30/2009 Moschell Moschell $ 6,500.00 $ 6,500.00 Neptune VA/VE Ames 4/21/2009 7/31/2009 On Going Loya Klopper Ng $ - ACV-SS Star VA/VE Ames 7/7/2009 7/21/2009 Complete Svensson West Ng $ - Epoxy Cell Creation Phase 1 Ames 8/31/2009 9/4/2009 On Going Svensson West Svensson $ - Bath Waste Cell Trim Kit Kaizen Event Carolinas 6/29/2009 8/10/2009 Complete Dowdy Jerch Dowdy $ - Lean 101 training Dormont 7/13/2009 7/13/2009 Complete Smith Mantia Smith/Fennel $ - Lean 101 training Dormont 8/10/2009 8/10/2009 Complete Smith Mantia Smith/Fennel $ - Lean 101 training Dormont 8/13/2009 8/13/2009 Complete Smith Mantia Smith/Fennel $ - Centerline Automation Cell 5S Dormont 8/19/2009 8/21/2009 Complete Nemeth Mantia Bonelli $ - CIOS 1 - Centerline Run at Rate Dormont 8/24/2009 8/28/2009 Complete Smith Mantia Nemeth $ - Lean 101 training Dormont 9/14/2009 9/14/2009 Complete Smith Mantia Smith/Fennel $ - HnH Electronic Kanban Dormont 9/15/2009 9/17/2009 Complete Rouse Mantia Rouse $ - Lean 101 training Dormont 9/24/2009 9/24/2009 Scheduled Smith Mantia Smith/Fennel $ - Watts Lean Daily Mgt System N. Andover 6/29/2009 7/1/2009 Scheduled Sejourne Flanders OTI $ - Domestic Supply Chain Webster 7/15/2009 7/30/2009 Sejourne Nims $ - AGF M1000 -M1011 VAVE Webster 9/1/2009 9/30/2009 Geldermann Mullavey $ - 6s Ramco Washer Webster 9/25/2009 9/25/2009 Complete Sylvester Sylvester $ - BV Nameplate Stamp Press Integration Into assembly cell Carolinas 8/14/2009 8/14/2009 Complete6S Blitz Paint Booth 1 Webster 6/1/2009 7/15/2009 Complete Sylvester Robichaud6S Blitz Paint Booth 2 Webster 8/5/2009 8/5/2009 Complete Sylvester Robichaud719/919 power change Kaizen Webster 8/24/2009 9/9/2009 Complete Geldermann Moschell1 1/4-2 007/009 Cell E&A Webster 9/10/2009 9/15/2009 Complete Geldermann Sargent MoschellRegulator Offline Cells E&A Webster 9/18/2009 9/18/2009 Complete Geldermann Sargent Moschell

Kaizen Calendar

Kaizen Event Target Tracking Sheets

JanuaryKaizen A rea: Event Start Date:

Facil itatorTeam Leader

Before Kaizen

Kaizen Goal

%Improvement

After Kaizen%

Improvement

1 Month%

Improvement

2 Months%

Improvement

3 Months%

Improvement

4 Months%

Improvement

5 Months%

Improvement

6 Months%

Im provement

QUALITY

DELIVERY

FINANCIAL IMP ACT

COST

GROWTH

Notes

Measurement Due Date (Month En d)

KAIZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropriate to event)

Primary Kaizen

Objectives

SAFETY

FebruaryKaizen Area: Event Start Date:

Facili ta torTeam Leader

Before Kai zen

Kaizen Goal

%Improvement

After K ai zen%

Improvement

1 Month%

Improvement

2 Months%

Improvement

3 M onths%

Improvement

4 Months%

Improvement

5 Months%

Improvement

6 Months%

Improvement

QUALITY

DELIVERY

FINANCIAL IMPACT

COST

GROWTH

Notes

Measurement Due Date (Month En d)

KAI ZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropriate to event)

Pr imary Kaizen

Objectives

SAFETY

March

Kaizen Area: Event Start Date:

Faci litatorTeam Leader

Before Kaizen

Kaizen Goal

%Improvement

After Kaizen%

Improvement

1 Month%

Improvement

2 Months%

Improvement

3 Months%

Im provement

4 Months%

Improvement

5 Months%

Improvement

6 M onths%

Improvement

QUALITY

DELIVE RY

FINANCIAL IMPACT

COST

GROWTH

Notes

Measurement Due Date (Mo nth End)

KAIZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropriate to event)

Primary Kaizen

Objectives

SAFE TY

Kaizen Area: Event Start Date:

Faci litatorTeam Leader

Before Kaizen

Kaizen Goal

%Improvement

After K ai zen%

Improvement

1 Month%

Improvement

2 Months%

Improvement

3 Months%

Im provement

4 Months%

Improvement

5 Months%

Improvement

6 Months%

Improvement

QUALITY

DELIVE RY

FINANCIAL IMPACT

COST

GROWTH

Notes

Measurement Due Da te (Month End)

KAI ZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropriate to event)

Pr imary Kaizen

Objectives

SAFE TY

Kaizen Area: Event Start Date:Faci li tator

Team Leader

Before Kaizen

Kaizen Goal

%Impro veme nt Af ter K ai zen

%Improvemen

t1 M onth

%Improveme

nt2 Months

%Improveme

nt3 Months

%Improveme

nt4 Months

%Improveme

nt5 Months

%Improvemen

t6 Months

%Improvemen

t

QUALITY

DELIV ERY

FINANCIAL IMPACT

COST

GROWTH

Notes

Measurement Due Date (Month End)

KAIZEN EVENT TARGET SHEETEvent Type:

METRICS(Measurements appropr iate to event)

Pr imary Kaizen

Objectives

SAFETY

Visual Display Room

Standard Work Drives Continuous Improvement

Is your Standard Workthe same as it was 6 months ago?

Standard Work Drives Continuous Improvement

1. Establish Standard > See workflow disruption Scheduling Board, Reliable Methods

2. Monitor Standard > Define variances Run at Rate Chart, Scorecard

3. Problem-solve Variances > Create flow Fishbone Diagram, Andon Lights, Accountability Board, Huddle Meeting, Job Assignment Board

VM drives Continuous Improvement through…

Workplace StructureNavigationPresenceOrganization

Process ImprovementIdentificationDocumentationMeasurement

Employee EngagementOwnershipProblem-solvingCommunication

Visual Management Webinar Series

Using Visual Management to…

# 1…improve your business performance.

# 2…optimize your workflow.

# 3…expose your hidden problems & waste through Standard Work.

# 4…build a problem-solving environment and create a culture of continuous learning.

 

Phil Kirby’s executive coaching program - Managing at the Speed of Sight - enables companies to achieve breakthrough performance improvement using visual management. philkirby@thoughtware.ca

Visual Workplace products support continuous performance improvement. Ask me about our Sign Shop, a do-it-yourself tool that saves you time and money.rhonda@visualworkplaceinc.com

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Questions and Answers