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Benchmarking Event Toyota, San Antonio Conducted by: CenTex OpEx Consortium May 19, 2014

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Benchmarking Event Toyota, San Antonio

Conducted by:CenTex OpEx Consortium

May 19, 2014

Executive Summary

A half-day benchmarking activity was conducted on May 19, 2014 at Toyota Motor Manufacturing Texas, in San Antonio. The focus was Visual Management. Twenty eight participants from eight organizations attended the session. The session agenda included:

– Viewing the exhibits

– Lunch & Networking

– Plant tour

– Overview and discussion of Toyota’s Visual Management techniques

– Debrief discussion & feedback

– Consortium business & open forum

While the presentation and tour provided the basic benchmarking, the debrief session enhanced the effectiveness of learning and

benchmarking.

The debrief of the learning event resulted in positive feedback along with a few opportunities for improvement. The overall Learning Session

feedback was also positive with an excellent score.

The session concluded with announcements of the next few events of the Consortium and training sessions available for complimentary seats:

– Leader Strategy Sessions: Process Excellence: June 25, 2014 — Houston, June 26, 2014 — Austin/Georgetown

– July 15, 2014: Benchmarking Session — Focus: Warehouse Storage & Mats. Sys. Optimization— Location: TASUS, Georgetown

– Leader Strategy Sessions: Topic: Supply Chain Management: Aug 23, 2014— Austin/Georgetown — Aug 24, 1014, Houston,

– Sep 24, 2014: Benchmarking Session — Focus: TBD — Location: TBD

– Training Complimentary Seats for Members:

• Sep 9 – 10, 2014: Integrated Management System — Location TBD (Facilitator Training)

• Sep 11, 2014: Enterprise Transformation for Leaders — Location TBD (Leader Training)

• Sep 12, 2014: Strategic Metrics for Leaders — Location TBD (Leader Training)

• Advanced Process Excellence: Jun 5: Operator Work Instructions & Operator Training

• Back-to-Basics of OpEx Webinar Series: Aug 29: Workplace Organization (5S)

• Product Development Process Webinar Series: June 4: Product and Process Validation & Launch

• Theory of Constraints Webinar Series: Aug 25, 2014: Foundations of TOC (pre-requisite for sequential series)

Participants

Organization Name

Austin Water Bruce Coe

Austin Water Benyamin Ayman

Dupont Jason Franklin

Dupont Craig Mossman

Dupont Ricardo Ortiz

Dupont Jesse Valdez

Dupont James Villafranca

General Motors Dan Clarkson

General Motors Bill Moore

General Motors Terry Murphy

Greene, Tweed Kris Ali

Greene, Tweed Dan Clevenger

Greene, Tweed Ed McGann

Organization Name

Magnum Precision Operations Michael Cox

Magnum Precision Operations Jean-Paul Podesta

Magnum Precision Operations Chriss Ward

OpEx Solutions John Lepper

OpEx Solutions Martin Nazareth

OpEx Solutions Andrew Nazareth

OpEx Solutions Vivian Sullivan

TASUS Chris Hilbert

TASUS Susan Muniz

TASUS Jim Ramien

TASUS Candi Young

TCEQ Erwin Madrid

Toyota Julio Mata

Team Picture

Agenda

11:30 – 12:00 Lunch & Networking

12:00 – 12:10 Instructions/Introduction to Toyota

12:10 – 1:30 Plant tour

1:30 – 1:45 Introductions

1:45 – 2:45 Toyota Presentation — Toyota’s Visual

Management

2:45 – 3:15 Debrief — Positives & Opportunities

3:15 – 3:30 Consortium Business & Open Forum

3:30 – 4:00 Overflow or Additional Q&A

4:00 Adjourn

Topics Covered

Toyota’s Visual Management

Toyota Plant Tour

Team Debrief

Consortium Business & Open Forum

Adjourn

What to Observe on the Tour

• How each operator completes their job

within their space on the line.

• Help requests light and sound signals

(andon) when they are not able to

complete their task within their space.

• Balance charts (yamazumi charts) used to

analyze and balance between operators

and between operator and takt time.

Andon System

Visual Indicator of Shop-floor

Balance Chart

Department Level FMDS Board

Topics Covered

Toyota’s Visual Management

Toyota Plant Tour

Team Debrief

Consortium Business & Open Forum

Adjourn

Me de miru kanri

“Me” means “Eye”

“Miru” means “ See, watch, or observe “

“Kanri” means “ Management “

VVVViiiissssuuuuaaaallll MMMMaaaannnnaaaaggggeeeemmmmeeeennnntttt---目で視る管理

Global Production Center - Toyota Job Instructions

Floor Management Development System - Ideal Management

Process

IDMP- Ideal Daily Management ProcessDocument outlining the roles and responsibilities for each level ofmanagement from the TL to the Manager

Criteria

Use to Set Direction(Link to Hoshin)

Engages all levels of the team(Role specific actions)

FMDS Floor Management

Development System

Drives activity(Problem Solving)

FMDS- Floor ManagementDevelopment System

Manager FMDS Board

Manager Commitment to Department

Main KPI (Safety)

Sub KPI Reflections Actions

ORG Chart Main KPI (Quality)

Sub KPI Reflections Actions

5 Year Plan Main KPI (Productivity)

Sub KPI Reflections Actions

Annual Plan (Department)

Main KPI (Cost) Sub KPI Reflections Actions

Annual Plan (Plant)

Main KPI (Human Resource Development)

Sub KPI Reflections Actions

Visual Management – GPC (Basic)

Yearly GPCcertification

GPC TrainingBasic training to learn the general

process skills.

Online TrainingTraining is done online with multiple

vehicles.

Quarterly Fundamental SkillAssessment

Fundamental OfflineTeam member utilizes offline resources to learn all of the

fundamental skills and knacks specific to a pitch.

Single Cycle TrainingTeam member training is done online under trainer’s supervision and only on one unit at

a time.

Dos and Don’ts

• Dos

• Start with Fundamentals

• Properly prepare TM

• Assessment

• Follow-up

• Share Knowledge

• Learn from Mistakes

• TMs are the source of many answers

• Challenge

• Don’ts

• Over visualize

• Assume

• Push ideas away

• Think short-term

• Criticize people for pointing out

kaizen

• Blame people

Q&A

Q: How often do workers change jobs on the line?

A: They change processes every two hours within their own line and shift. Every employee on the

line must master four processes.

Q: What do the cups on the board signify?

A: Change point management, indicating a recent change.

Q: Who updates the FMDS boards?

A: The Team Leader updates the boards on the floor. In addition to the floor level, FMDS is maintained at

the manager level and exec level

Q: Does the line stop for lunch and how long is the ramp up after lunch?

A: Yes, the line stops during lunch and the ramp up time is 60 seconds. However, if the production is behind,

they may work during lunch. Work during lunch is actually staggered lunch. TM still get a lunch.

Q: How many trucks are assembled per day?

A: About 1000 a day in two shifts.

Q: What are the sift timings?

A: 6:30 a.m. – 3:13 p.m. and 6:30 p.m. – 3:15

Q: How many Team Members are assigned to Team Leader:

A: 4 - 6

Q: How do yu encourage ideas from the people ?

A: Team members give the suggestions the Team Leader and he/she submits

Japanese Terms Usedin Toyota Presentation

• Andon System

– Two cords are available to team members to pull for help – yellow

and red• Yellow does not stop the line. It signals for help to enable completion of the task before the

allocated time – may be like 10% of time

• Red stops the line. It signals for help when a task cannot be done within the allocated time –

may be like 2% of time

– Each area has an audible signal, a light at the station that is calling

for help and the area digital board display highlights the station

number (pitch point) with the appropriate color

• Jishuken

– Jishuken is a type of improvement workshop intended to teach:

• Jishu Kenkyuu Kai --> Jishuken

• Ji --> I or Me, Myself

• Shu --> Self Motivated; Take Ownership

Ken --> • Study & Learn; Research & Develop; Enhance Knowledge and Skill

Japanese Terms Usedin Toyota Presentation

• FMDS: Floor Management Developmental System

• Yokoten (shop self reliance) is used to copy good

practices across the plant(s)

• JKK = Ji Koteï Kanketsu

– Build-in quality at every stage with ownership

• Poke yoke, tests, …

– Necessary conditions

• good design and process

• competent operators and the judgment criteria and the skill to

judge (no grey area)

– Operators retrained every six months

Topics Covered

Toyota’s Visual Management

Toyota Plant Tour

Team Debrief

Consortium Business & Open Forum

Adjourn

Post-tour Feedback - Positive

• PPE “vending” machines

• Emphasis on safety

• Efficient use of space

• Kaizens id’d on floor and assigned to

teams

• Two-hour job rotations for ergonomics

• Visual Management (VM) taught first day

of employment

• Goals & status visible to catch up

• Training before employees hit the floor

• Team member/team leader/group leader

relationship

• Culture of training from Day 1

• Long-term planning

• VM boards show status to goals

• Andon board clarity

• Meeting at beginning and end regarding

goals

• Material delivery sys. carts minimize

walking

• VM for non-standard situations (colored

cups)

• FMDS & maintenance boards visible

• Appropriate use of automation

• Skills assessment fit into 5 categories

• Excellent housekeeping and dedication

• Visual an audio systems (andon) work

together

• Job balancing practiced to avoid

overload/unevenness

• POU materials

Post-tour Feedback -Opportunities

• Some boards used and others not used

• Too many boards

• Cross-training & back-filling of people a

problem – high employee turnover

• Short notice for overtime required

• Don’t have batch of people to fill in for

large sick absences

• 2 weeks night 2 weeks day shift is a

rough schedule

• People need more opportunities to move

between departments

• Toyota introduction video should be

available to run in any room

• There seems to be less quality checks in

between processes and more at the end

of the line

• Redress rotations for people

• Weld area needs better air exchange and

light

• Turnover rate is high

• Lighting differentials are too extreme

• Some tools held together w/electrical tape

• Defects seem to get by the line to final

check

• No face-to-face shift change

• Use English terms instead of Japanese

Topics Covered

Toyota’s Visual Management

Toyota Plant Tour

Team Debrief

Consortium Business & Open Forum

Adjourn

Announcements — COC Events

— Leader Strategy SessionFocus: Process Excellence

June 25, 2014 Houston, TX

June 26, 2014 Austin, TX

— July 15, 2014: Benchmarking SessionFocus: Warehouse Storage & Mats. Sys. Optimization

Location: TASUS, Georgetown

— Sep 24, 2014: Benchmarking SessionFocus: TBD

Location: TBD

— Leader Strategy SessionFocus: Supply Chain Management

Aug 23, 2014 Austin, TX

Aug 24, 2014 Houston, TX

Announcements — Training Courses

Please note that COC Members may use their unused

complimentary training seats for any of these courses.

• Leader Training Week, Sep 9-12, 2014

– Integrated Management System

– Enterprise Transformation for Leaders

– Strategic Metrics for Leaders

Location TBD

Customized working sessions to help organizations solve

issues they may have in different areas

Announcements — Live Webinars

Please note that COC Members may use their unused

complimentary training seats for any of these webinar

series.

• Advanced Process Excellence Series

June 5: Operator Work Instructions & Operator Training

• Back-to-Basics of OpEx Series

Aug 29: Workplace Organization (5S)

• Product Development Process Series

June 4: Product and Process Validation & Launch

• Theory of Constraints (TOC)

Aug 25, 2014: Foundations of TOC (Restart of Sequential Series)

Upcoming Professional Org. Events

May 31-June 3, 2014

Palais des Congrés de Montréal

Montréal, QC, Canada

Publication Opportunities

Industrial Engineer is a practitioner magazine, not a journal. As

such, content is more geared toward the “real-world” and less technical

than journals.

– Submissions should range from 2,000 to 3,500 words, be non-

copyrighted, original work, and include practical ways to help our

readers make improvements in their professional lives. IIE prefers

submissions written in third-person narrative that concentrate on

process, not products. Articles that focus on future trends, thought

leadership and/or that take a how-to tone are more likely to be

accepted. Graphics, charts and photos are encouraged but not

mandatory.

– Deadlines are two months in advance. So anything received by April 1

could be considered for June, etc.

Topics Covered

Toyota’s Visual Management

Toyota Plant Tour

Team Debrief

Consortium Business & Open Forum

Adjourn