cut to box module final

8/8/2019 Cut to Box Module Final

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Cut to Box Module

A dissertation submitted in partial Fulfillment of the requirement for the

award of Degree in

Bachelor of Fashion Technology (Apparel Production)

Submitted By

Mihir Kumar Jha

Mukund Narayan

Under the Guidance of

Ms MausamiAmbashtha

Ms NilimaTopono

Department of Apparel Production

National Institute of Fashion Technology,Kolkata


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This is to certify that this Project Report titled{cut to box

module}is based on our,Mihir Kumar Jha and Mukund

Narayan, original research work, conducted under the guidance

ofMs MausamiAmbashtha and Ms NilimaToponotowards

partial fulfillment of the requirement for award of the Bachelors

Degree in Fashion Technology (Apparel Production), of the

National Institute of Fashion Technology,Kolkata.No part of this work has been copied from any other source.

Material, wherever borrowed has been duly acknowledged.


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Index:


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Abstract:

cutto box word is coined by John Allen and Greg Thomerson, president and managing

director of Total Systems Development, respectively. Cut to box module in garment

industry means a single location physically connected cutting, shaping, molding, sewing

and pack

ing. The na

me is S

upe

rma

rke

t.

As in general life supermarket does notmanufacture anything, just a place for purchasing

and selling, in our supermarket also no manufacturing is done. The goods are cut parts

and trims. And the currencies are kanban cards raised by respective deartments.

First the whole production unit was studied and analysed with a lot of data of several

department.

The problems, they were facing were:

y Huge inventories

y Greater lead time

y Quality problems

y Wastage ofman power

y Execution of plans.

Then the basement was drilled and found these enlisted factors as seeds.

y Trims department deadlock/bottleneck

y Stoppages in the line due to delay in trims

y Delay due tochangeover

y Poorexecution of plan

y Late delivery

y Unorganized paperwork and recordkeeping

y Lackofcontrol overthe cutting department

y Excessive inventory /unorganized inventory

y Excessive workload on distributors

We suggested them to implement cut to box. In which we successfully solved most of

theirproblems. Kanban is taken as a tool to implementcutto box.


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CUTTO BOX MODULE

Low barriers to entry.Intense, price-based competition.Supply and distribution chains that

stretch around the world. Product lines that switch out completely every two to three

months. Fickle and unpredictable customers. Low margins. These are the business

realities for garmentmanufacturers.

One would think that such challenges would have forged one of the most efficient and

competitive industries in the world, butthats farfromreality. When itcomes tooperational

efficiency, the pursuitof lowestcost laborcan hide a lotofsins.

Hence we, as a part of our graduation project, have tried to develop a module which

consists of only those lean tools which are relevant to the garment industry. We have

named itcutto box module and its immediate objectives are

Minimized throughputtime.

Low inventory.

Orderly production.

Increased Productivity

Cutto box means tocutonly thatmuch whichcan be packaged, i.e. tocut according to

yourconsumption capacity. Its basically a lean tool; the only difference is that itfocuses

primarily on the implementation of a pull flow system.

Pull / Kanban is a method ofcontrolling the flow of production through the factory based

on a customers demand. Pull Systems cont rol the flow of resources in a production

process by replacing only what has been consumed. They are customer order -driven

production schedules based on actual demand and consumption rather than forecasting.

Implementing Pull Systems can help you eliminate waste in handling, storing, and getting

yourproducttothe customer.

The core idea is tomaximize customer value while minimizing waste. Simply, lean means

creating more value forcustomers with fewerresources.

A lean organization understands customer value and focuses its key processes to

continuously increase it. The ultimate goal is to provide perfect value to the customer

through a perfect value creation process thathas zero waste.

To accomplish this, lean thinking changes the focus of management f rom optimizing


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separate technologies, assets, and vertical departments tooptimizing the flow of products

and services through entire value streams that flow horizontally across technologies,

assets, and departments tocustomers.

Eliminating waste along en tire value streams, instead of at isolated points, creates

processes that need less human effort, less space, less capital, and less time to make

products and services at far less costs and with much fewer defects, compared with

traditional business system s. Companies are able to respond to changing customer

desires withhigh variety, high quality, low cost, and with very fastthroughputtimes. Also,

information management becomes much simplerand more accurate.

The 7 Manufacturing Wastes

Waste elimination is one of the most effective ways to increase the profitability of any

business. Processes either add value or waste tothe production of a good or service. Toeliminate waste, it is important to understand exactly what waste is and where it exists.

While products significantly differ between factories, the typical wastes found in

manufacturing environments are quite similar. For each waste, there is a strategy to

reduce or eliminate its effect on a company, thereby improving overall performance and

quality.

The seven wastes consistof:

1. Overproduction.

Simply put, overproduction is to manufacture an item before it is actually required.

Overproduction is highly costly to a manufacturing plant because it prohibits the smooth

flow of materials and actually degrades quality and productivity. The Toyota Production

System is alsoreferred to as Just in Time (JIT) because every item is made just as it is

needed. Overproduction manufacturing is referred to as Just in Case. This creates

excessive lead times, results in high storage costs, and makes it difficultto detect defects.

The simple solution tooverproduction is turning offthe tap; this requires a lotofcourage

because the problems that overproduction is hiding will be revealed. The concept i s to

schedule and produce only whatcan be immediately sold/shipped and improve machine

changeover/set-up capability.


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2. Waiting

Whenever goods are not moving or being processed, the waste of waiting occurs.

Typically more than 99% of a product's life in traditional batch-and-queue manufacture will

be spent waiting to be processed. Muchof a products lead time is tied up in waiting forthe

nextoperation; this is usually because material flow is poor, production runs are too long,

and distances between work centers are too great. Goldratt (Theory of Constraints) has

stated many times thatone hour lost in a bottleneck process is one hour losttothe entire

factorys output, which can never be recovered. Linking processes together so that one

feeds directly intothe nextcan dramatically reduce waiting.

3. Transporting

Transp

orting p

rod

uctbe

tween p

rocesses is a

cos

tin

cursi

on w

hich

adds no

value

to

the

product. Excessive movement and handling cause damage and are an opportunity for

quality to deteriorate. Material handlers must be used totransportthe materials, resulting

in anotherorganizational costthat adds nocustomer value. Transportation can be difficult

toreduce due tothe perceived costs ofmoving equipment and processes closertogether.

Furthermore, it is often hard to determine which processes should be nextto eachother.

Mapping productflows can make this easierto visualize.

4. Inappropriate Processing

Often termed as using a sledgehammer to crack a nut, many organizations use

expensive high precision equipment where simpler tools would be sufficient. This often

results in poor plant layout because preceding or subsequent operations are located far

apart. In addition they encourage high asset utilization (over -production with minimal

changeovers) in ordertorecoverthe highcostofthis equipment. Toyota is famous fortheir

use of low-cost automation, combined with immaculately maintained, often older

machines. Investing in smaller, more flexible equipment where possible; creating

manufacturing cells; and combining steps will greatly reduce the waste of inappropriate

processing.

5. Unnecessary Inventory

Work in Progress (WIP) is a directresultof overproduction and waiting. Excess inventory

tends tohide problems on the plantfloor, wh ichmust be identified and resolved in orderto


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improve operating performance. Excess inventory increases lead times, consumes

productive floor space, delays the identification of problems, and inhibits communication.

By achieving a seamless flow between workcenters, many manufacturers have been able

to improve customer service and slash inventories and theirassociated costs.

6. Unnecessary / Excess Motion

This waste is related to ergonomics and is seen in all instances of bending, stretching,

walking, lifting, and reaching. These are also health and safety issues, which in todays

litigious society are becoming more of a problem for organizations. Jobs with excessive

motion should be analyzed and redesigned for improvement withthe involvementof plant

personnel.

7.De

fe

cts

Having a direct impacttothe bottom line, quality defects resulting in reworkor scrap are a

tremendous cost to organizations. Associated costs include quarantining inventory, re-

inspecting, rescheduling, and capacity loss. In many organizations the total cost of

defects is often a significant percentage of total manufacturing cost. Through employee

involvement and Continuous Process Improvement (CPI), there is a huge opportunity to

reduce defects atmany facilities.

In the latest edition of the Lean Manufacturing classic Lean Thinking, Underutilization of

Employees has been added as an eighth waste to Ohnos original seven wastes .

Organizations employ their stafffortheir nimble fingers and strong muscles butforgetthey

come to work everyday with a free brain. It is only by capitalizing on employees'creativity

that organizations can eliminate the other seven wastes and continuously improve their

performance.

Many changes over recent years have driven organizations to become world class

organizations or Lean Enterprises. The first step in achieving that goal is to identify and

attack the seven wastes. As Toyota and other world-class organizations have come to

realize, customers will pay for value added work, but neverfor waste.


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Literature Review

In 1990 Jam

es Wom

ack

wrot

e a book

called "T

he Ma

chine T

ha

tC

hanged T

he W

orld".

Womack's book was a straightforward accountofthe history of automobile manufacturing

combined with a study of Japanese, American, and European automotive assembly

plants. What was new was a phrase-- "Lean Manufacturing."

Lean Manufacturing caught the imagination of manufacturing people in many

countries.Lean implementations are now commonplace. The knowledge and experience

base is expanding rapidly.

The essential elements of Lean Manufacturing are described at our page "Principles ofLean Manufacturing." They do not substantially differ from the techniques developed by

Ohno, Shingo and the people at Toyota. The application in any specific factory does

change. Just as many firms copied Ford techniques in slavish and unthinking ways, many

firms copy Toyota's techniques in slavish and unthinking ways and with poorresults. Our

series of articles on implementation includes a " Mental Model" to assist the thinking

process and guidance on strategy and planning.

There is no cookbook for manufacturing. Each firm has its own unique set of products,

processes, people, and history. While certain principles may be immutable, their

application is not. Manufacturing Strategy will always be a difficult, uncertain, and

individual process. Strategy ("The General's Art") is still, largely, an art. But, that should

not preventus from bringing the available science to bearon the problem.


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The history of Lean Manufacturing goes backto at least 1850 when El;i Whitney perfected

the concept of interchangeable parts. The timeline above shows periods of major

development and some ofthe key personalities.

Kanban (orkamban ,katakana, meaning "signboard" or "billboard") is a conceptrelated to

lean and just-in-time (JIT) production. According to TaiichiOhno, the man credited with

developing JIT, kanban is a means through which JIT is achieved.

Kanban is a signaling systemtotrigger action. As its name suggests, kanban historically

uses cards to signal the need for an item. However, other devices such as plasticmarkers

(kanban squares), balls (often golf balls), an empty parttransporttrolley, or simply a floor

location can also be used to trigger the movement, production, or supply of a unit in a

factory.


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The need to maintain a high rate of improvements led Toyota to devise the kanban

system. Kanban became an effective tool to supportthe running ofthe production system

as a whole. In addition, it proved to be an excellent way for promoting improvements

because reducing the numberofkanban in circulation highlighted problem areas.

The

te

rm

ka

mban des

cribes an e

mbellis

hed w

ooden

or

me

tal sign

often

rep

resen

ting a

trademarkor seal. Kamban became an important partofthe Japanese mercantile scene in

the 17th century, much like the military banners had been to the samurai. Visual puns,

calligraphy and ingenious shapes were employed to indicate a trade and class of business

ortradesman.

In the late 1940s, Toyota began studying supermarkets with a view to applying store and

shelf-stocking techniques to the factory floor, figuring, in a supermarket, customers get

what they need, at the needed time, and in the needed amount. Furthermore, the

supermarket only stocks what it believes it will sell, and customers only take what they

need because future supply is assured. This led Toyota to view a process as a customer

of preceding processes, and the preceding processes as a kind of store. The customer

process goes to this store to get needed components, and the store restocks. As in

supermarkets, originally, signboards were used to guide "shoppers" to specificrestocking

locations.

"Kanban" uses the rate of demand tocontrol the rate of production, passing demand from

the end customer up through the chain of customer-store processes. In 1953, Toyota

applied this logic in theirmain plantmachine shop.

An important determinantofthe success of production scheduling based on "pushing" the

demand is the quality ofthe demand forecastthatcan receive such "push."

Kanban, by contrast, is part of an approach of receiving the "pull" from the demand.

Therefore, the supply or production is determined according to the act ual demand of the

customers. In contexts where supply time is lengthy and demand is difficulttoforecast, the

bestone can do is torespond quickly toobserved demand. This is exactly what a kanban

systemcan help: It is used as a demand signal that immediately propagates throughthe

supply chain. This can be used to ensure that intermediate stocks held in the supply chain

are bettermanaged, usually smaller. Where the supply response cannot be quick enough

tomeet actual demand fluctuations, causing signi ficant lost sales, then stock building may

be deemed as appropriate which can be achieved by issuing more kanban. TaiichiOhno

states thatto be effective kanban mustfollow strictrules ofuse (Toyota, for example, has


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six simple rules, below) and thatclose monitoring ofthese rules is a never-ending taskto

ensure thatthe kanban does what is required.

Toyota's six rules

Do not send defective products tothe subsequent process

The subsequent process comes to withdraw only what is needed

Produce only the exact quantity withdrawn by the subsequent process

Equalize production

Kanban is a means tofine tuning

Stabilize and rationalize the process

Three-bin system

A simple example ofthe kanban system implementation might be a "three -bin system" for

the supplied parts (where there is no in-house manufacturing) one bin on the factory

floor (demand point), one bin in the factory store, and one bin atthe suppliers' store. The

bins usually have a removable card that contains the product details and other releva nt

information the kanban card.

When the bin on the factory floorbecomes empty, i.e, there is demand for parts, the empty

bin and kanban cards are returned tothe factory store. The factory store then replaces the

bin on the factory floorwith a full bi n, which alsocontains a kanban card. The factory store

then contacts the suppliers store and returns the now -empty bin with its kanban card. The

supplier's inbound product bin with its kanban card is then delivered intothe factory store

completing the final step tothe system. Thus the process will neverrun outof product and

could be described as a loop, providing the exact amountrequired, withonly one spare so

there will never be an oversupply. This 'spare' bin allows forthe uncertainty in supply, use

and transport that are inherent in the system. The secret to a good kanban system is to

calculate how many kanban cards are required for each product. Most factories using

kanban use the coloured board system (Heijunka Box). This consists of a board created

especially forholding the kanban cards.

Conwip

Production controlsystems can be classified as pull and push systems (Spearman et al.

1990). In a push system, the production order is scheduled and the material is pushed into

the production line. In a pull system, the start of each product assembly process is

triggered by the completion of another at the end of production li ne. One variantof a pull


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system is the CONstant Work in Process (CONWIP) system (Spearman et al. 1990) which

is known for its ease of implementation.

CONWIP is a kind of single-stage kanban system and is also a hybrid push-pull system.

While Kanban systems maintain tightercontrol of system WIP throughthe individual cards

at each workstation, CONWIP systems are easierto implement and adjust, since only one

setof system cards is used to manage system WIP. CONWIP uses cards to control the

number of WIPs. For example, no part is allowed to enter the system without a card

(authority). After a finished part is completed atthe last workstation, a card is transferred to

the first workstation and a new part is pushed into the sequential process route. In their

paper, Spearman et al. (1990) used a simulation to make a comparison among t he

CONWIP, kanban and push systems, and found that CONWIP systems can achieve a

lower WIP level than kanban systems.

Card control policy in CONWIP system

In a CONWIP system, a card is shared by all kinds of products. However, Duenyas (1994)

proposed a dedicated card control policy in CONWIP and he stated thatthis policy could

perform as a multiple chain closed queuing network.

These are some of the few cases we gone through. Since kanban is not very popular in

garmentmanufacturing yet so we studied other similarmanufacturing industries.

Case 1

y A kanban system schedules the production of six people assembling industrial air

cleaners from sheetmetal and purchased parts.

y They build 15 basic units and many variations. Ten assembly cells have fixtures,

tools and parts ready at all times.

y Eachcell produces one ortwo basicmodels. One tothree people can staff any cell.

An adjacent warehouse holds a small finished stockof each standard model.

y The charts show the data which formed the design basis. P-V analysis displays

relative volume. The orderanalysis shows volatility and the order size profile.


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The Team Leader scans incoming orders. He prepares one-time cards for large orders

and customized items. The Leader sorts cards coming fromthe warehouse. All cards then

goon a board arranged by assembly cell. Cells withcards in the red zone have priorit y. If

necessary, additional people work an overloaded cell.

The warehouse picks standard orders from stock and sends cards to production. They

combine standard items with any customized items arriving from production and ship the

orders.

In a second phase of this project, sheet metal and welding operations moved directly

adjacenttothe assembly cells. They have dedicated people and equipment. The welding

Team Leader examines each assembly cell for stocks of welded cabinets. He alsochecks


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the Board.

This daily checking constitutes the signal for replacement. Operators weld the necessary

replacement cabinets and place them on a paint line. This replenishment is normally 24

hours. Itmay be as little as fourhours.

The welding department stocks sheet met al components in large wiretainers. Each

wiretainer has special shelves and brackets. It holds a fixed number of each item on a

particularcabinet. A minimum quantity signals operators orthe Team Leaderto send the

basket to Sheet Metal for replenishment. The sheet metal Team sets up and builds

components to replenish the basket and returns it to the Welding. This normally occurs

within 24 hours. Higher volume cabinets may have several identical baskets to maintain

welding production during replenishment.

This complete systemuses Kanban, Direct Link and Re-Order Point. A Broadcast system

overlays the other systems since all team leaders have access to the final assembly

Kanban board.

This kanban system eliminated 96% offinished goods inventory, simplified scheduling and

eliminated losses fromobsolescent product.


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Case2

The largest manufacturer of office furniture in the world, Steelcase Inc.is dedicated to

helping people in offices across the globe work effectively in the utmost com - fort. The

realization ofthis goal begins in theirmanufacturing plant. One oftheir divisions, Steelcase

North America, wants to expand manufacturing capacity wit hin the confines of existing

floor space. Manage- ment decided that one they could accomplish this objective by

eliminating unnecessary inventory from the manufacturing floor, and streamline as-

sembly line processes. They concentrated on the kanban, the receptacle thathouses parts

needed to assemble office furniture. Kanbans are the key .

A Case for Kanbanscomponents of inventory systems used to control work in process

throughout Steelcase Inc.

Problem

Making sure the kanbans are the correct size is always a challenge. A kanban thatholds

the right amountof parts will never run outof stock and it wontcause extra money and

materials to be tied up in excess inventory. The manufacturing departmentconsistently en -

deavors to make the kanbans large, just in case extra stock is needed, while the

accountants are constantly trying to pull back and minimize kanban size to keep costs

down. Therefore, the challenge is tokeep a happy medium between the twoobjectives.

SIMULATION SUCCESS / JUNE 2000There are approximately 120 kanbans in our plant

which we estimate will save additional $100,000 and free up 50,000 to 60,000 square feet

offloorspace.

With six additional manufacturing plants in our Grand Rapids and Kentwood complexes ,

these could add an additional $600,000 in material and labor savings, plus 300,000 to

1,800,000 square feetoffloorspace.

Aboutthe Author: Mike Cavanaughholds dual bachelors degrees from Aquinas College in

Business Ad

minis

tra

tion and Psy

chol -

ogy. He a

ttended

college, wi

th

tim

eoff

for

m

ilita

ry

duty, raising three daughters and building a house. Mr. Cavanaugh currently resides as

Senior Industrial Engineerat Context Plant, Steelcase Inc.

He has been with Steelcase formore than 22 years, and has hel d several positions from

production worker and production supervisorto his current engineering role. Mr.

Cavanaugh brings a long manufacturing background to his use of simulation. Addi -

tionally, he has been involved in his community as a volun - teer atthe Public Museum and


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as a mentorforthe Grand Rapids Area Pre - College Engineering Pro - gram.

Solution

The simulation tech team at Steelcase wanted to help manufacturing find a way to help

them correctly size their kanbans. They felt confident that ProcessModel simulation

modeling would dothe job. A kanban model was designed, and then to get a proper idea

of the size of kanban needed the manufacturing process was divided into three

hypothetical areas: the fabrication of steel parts, the painting of these parts, and then final

assembly ofthese painted parts.

Most of the kanbans used in the manufacturing process are utilized between fabrication

and paint, sothis is was input intothe model. With simple modifications tothe arrival cycle,

it was discovered that eachkanban partcan be tested and tracked.

First, the model user enters the part numberto be tested. He

then adds the cycle time for the replenishing process. The model tracks the variable

quantity on hand that allows the model user to see if the quantity was sufficient or if it

ran dry. Consumption and replenishing processes can also be viewed atthis point.

Results

We have seen a $3,000 saving in material and laboron the three parts tested sofar and

have also freed the much needed floor space. There are approximately 120 kanbans in

our plant which we estimate will save additional $100,000 and free up 50,000 to 60,0 00

square feetoffloor space. With six additional manufacturing plants in our Grand Rapids

and Kentwood complexes, these could add an additional $600,000 in material and labor

savings, plus 300,000 to 1,800,000 square feetoffloorspace.

LEAN, AS THE TOYOTA-REFINED PRODUCTION SYSTEM for continuous process

improvement, is everywhere. Beginning in the auto industry, its application expanded

outward to all forms ofmanufacturing, supply chain management and logistics as well as a

wide range of service-oriented industries. As industrialengineers move forward intocritical

roles in a growing number of these areas, they find themselves faced with the need to

integrate and adapt the benefits of lean to their specific environments. This article

describes one company's view of those benefits, as reflected in our eight years


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implementing lean worldwide in the garment industry.

Total Systems Development (TSD) is an international lean systems consulting firm with

more than 12 years of experience helping commercial and military clients in the training

and im

plem

enta

tion

ofs

us

tainable lean sys

te

ms -based i

mp

rove

men

ts. W

hen we we

re

firs

t

approached to work in fashion wear production, we took on the projects with the

confidence that the core principles of a lean transform ation hold true, in spite of an

industry's particular characteristics. Several garment clients in Asia and Latin America,

scores of facilities and eight years later, those principles --committed leadership, good

management, a systems perspective and a refusal to live withthe status quo in any partof

the system--did not disappoint.

TSD's lean approach

While the startof any lean-based improvement program is influenced by the client's most

immediate needs, never lose sightofthe largercontextofthatcha nge. Our programs are

grounded on Toyota's five-phase lean implementation process model. While the phases

follow a general sequence, the degrees to whichthey overlap and interconnect (or attimes

shift out of order) depend on each organization's circumsta nces and the skill and

experience of its chosen lean guide.

Stability

The focus of this first phase is to highlight and recognize instability so that immediate

problem solving can begin. The emphasis is in establishing supervisory authority, instilling

a sense of urgency to solve problems and creating a visual workplace so that those

problems become visible. By the close ofthis phase, the organization musthave the ability

to see instability and the skill and knowledge toreactto it appropriately.

Continuous flow. In this phase, the objective is tocreate continuous, controlled flow from

task to task. Flow is typically interrupted by equipment, process or material. Therefore,

each of these elements is examined, and tools are developed to overcome those

interruptions. Atthe close ofthis phase, processes should flow fromtasktotask, attheir

natural rate.


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Synchronous production

The objective of this phase is to adjust the flow of processes to the rate of customer

demand (takt time). Work is redistributed so that each process is completed within this

rate, and as work is rebalanced, each task within the process is documented into a

standard. From that time forward, the visual representation of that process is used to

compare the actual tothe standard.

Pull systems

Once the process flows atthe rate ofcustomer demand, the nextobjective is to pull the

product through the various processes while pulling material from suppliers. This phase

focuses on maintaining smooth and even flow, but to do so by pulling production from

process to process, where only those parts just necessary forthe next production process

are atthe ready. This, in turn, sets the requirementforthe suppliers to provide material at

the rate of its actual use (success at this stage results in drastically lowered work -in-

process and inventory levels).

Level production. Once the organization is capable of producing at the rate of customer

demand, the next stage of improvement, and the one that delivers the greatestreturn, is

reached by focusing on the way production is scheduled and built. The objective is to

build. product in the exact sequence ordered, leveled in volume, mix and sequence, over a

fixed period and equal to customer demand. In this final phase , the organization

encounters the greatest challenge to reduce the time fromorder to completion. Success

results in shorter lead-time and greaterflexibility in meeting customer demands.

Traditional garment production system

Aside fromthe traditional batch-processing, command and control mentality typical ofmost

non-lean p

rod

uction

fa

cili

ties,

the ga

rmen

tind

us

try p

ossesses

othe

rdis

tin

ct

characteristics. It makes regular use of a predetermined motion time (PMT) system

designed by GSD (Corporate) Ltd. that is "used to evaluate working practices with a view

to establishing the time it takes to perform a given task and to determine the costs

associated tothattask."

This systemtranslates to "general sewing data," including standard minute values (SMV),

which assign time and value for specified component actions associated with the


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manufacture of garments. The SMVs for all actions required to produce a single

hypothetical garment, as dictated by the GSD, are tallied. This total is the starting pointfor

the bidding process between the customer and the manufacturer.

Reliance on this format supports traditional forms of factory performance measurement,

such as numberof standard hours in operation and pieces per person perhour. These run

counter to lean-based metrics, which focus on customer demand, the ability to produce

defect-free products the firsttime through withoutrepair, equipment effectiveness and the

ability to produce the right products on the right day in the right sequence in the righttime.

Garment production is very labor-intensive due to a large variety of stitch types and

specialized equipment. We observe that in Asia, it is often the case thatthe predominantly

female workforce turns over every several years, placing a heavy burden on training and

increasing pressure tomaintain high skill levels to produce a balanced repetitive cycle time

(whichonly raise the importance of such lean tools like standardized work, job instruction

and balancing operations).

Path to transformation

Lean transformation, a challenge for any organization, is as simple as refusing to allow

problems to persist and as complex as changing an individual's fundamental perspective

on production. Each pathtothattransformation reflects an urgent need to solve proble ms

from leadership down, a managed discipline to adhere to standards until improvements

supersede them, a systems approach to an aligned set of goals with supporting action

plans and a refusal to accept the status quo. Without this recipe, change is rarely more

than a disconnected setof loosely aligned initiatives thatrise and fall like the tide. Below

are some observations based on garmentmanufacturers working to balance the demands

ofcurrentoperations withthe trials of a transformation to lean.

Planning. Planning for new work is a continual challenge in the garment industry. One

plantmay run 18 lines simultaneously: six running new productforonly three weeks, nine

running p

rod

uctlas

ting

four

mon

ths (

on a

repea

ting ann

ual

cy

cle) and

three

running

productcontinuously.

In the traditional approach planning is intimately tied to the SMV. As an example, a

customer solicits for the manufacture of a given numberof newly designed garments for

delivery in a fixed number of days. All the garment's component actions are tallied in a

standard configuration to arrive at an SMV needed to produce one garment. This is

multiplied by the number of units ordered and divided into the adjusted available time,


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factoring in the numberof people needed toconstructone p roduction module along with

an estimated efficiency factor. In this approach, we have observed that the SMV is the

goal on whichthe process is structured.

In contrast, a lean approach starts with customer demand and the drive to produce

producttotakttime (often mistaken forcycle time, it is not dependenton yourproductivity).

It is a measure of customer demand expressed in units of time. Dividing the customer

demand into the available work time per shift provides an estimated takt time (e.g., x

seconds perunit). In this approach, the SMV perunit is only a departure point.

The elements and time required for making one unit are physically operators or team

leaderto establishthe lowerrepeatable time (the "standard"). The production model layout

is created maximizing space and efficiency. Then the workloads for all the operators are

examined and balanced, refining the numberofoperators needed tomeettakttime. The

numberof people required is based on the actual value -added time fromthe standard plus

an allowance for necessary non-value-added process steps. The starting point is based on

the study of actual operations and revised with direct participation fromthe operators.

When compared, a traditional approach to planning and change is more dictat ed and

controlled than a lean approach. Forthis reason, the transition fromthe formertothe latter

often occurs gradually. The risk is minimized and the testof lean is small enough now to

put customers at ease, allow the methods to evolve and changes i n the process to

emerge. When tradition meets change the key is small incremental steps, allowing time to

adjustto skills and learners to achieve confidence.

Managing change. Central to the management of change in a lean system are: mutual

trust and respect among all parties involved, creation of a highly structured relationship

between the parties withthe appropriate metrics in place, and navigating between knowing

what needs to be done and what can be done. This last element demands an acute

awareness, throughobservation and analysis (using the metrics mentioned above), ofthe

need for and progress toward balanced change, bothcultural and physical.

We take our first example from a garment manufacturer that, over the last three years,

im

plem

ented lean sys

te

ms in a n

umbe

r

ofplan

ts in an e

ffort

tos

horten lead-

tim

es andreduce waste. In the industry specifically, this means shortening the time and distance

from the cutting to sewing to packaging to shipment. But many in the organization

previously committed significant monies to centralizing cutting in a facility that "pushed"

product to many separate sewing facilities located miles apart. Some leaders not only

resisted change, burresisted being changed, invested as they were in an intuitive belief i n

the efficiency of batch processing.


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However, once they acquired a trust in the methodology, they felt secure in committing to

an experiment a trial "cut-to-box" project where a single location physically connected

cutting, shaping, molding, sewing and packing. The result was compelling. The time from

cutting to boxing was reduced from 55 hours to less than eighthours. Significantchange

comes when leaders notonly trusttheir guide, buttrustthe methodology as demonstrated

by the metrics ofothersuccesses.

Another example demonstrating the challenges of man-aging change is revealed in an

early project in a single plant containing two pilot implementation areas progressing

simultaneously. In one, the consultant executed a disciplined change effort that carefully

balanced the physical capacity to execute tools and techniques withthe mental capacity to

absorb and endorse the majorcultural change.

In the second pilot area a less balanced approach prevailed. Major physical alterations to

machinery and line arrangements were made that, while consistent with lean methods,

reconfigured the responsibilities of certain senior operators. These changes, without

additional preparation for the inevitable culture change, resulted in heightened plant

tensions that were only allayed with quick attention to those cultural issues. The

juxtaposition of these two results in a single plant illustrates the difficulty in balancing

between knowing what needs to be done and what can be done. It is critical to secure

commitment from the people on the ground (those who add value) to orchestrate the

ach

ievem

ents

tha

ta

re needed.

Organizational structure

A traditional role of the industrial engineer is to understand the relationship between

performance and performance standards and define those standards. Yetthis can create

and adversarial relationship between the industrial engineer and the persons executing the

standards. In the typical garment production facility some ofthe industrial engineer's roles,

in the guise of the general sewing data, reinforce that conflict. Under the auspices of aseparate organization promoting industry standards, engineers in a remote locate

determine idealized times for performing minute and discrete acts of production, the

compilation of which equa l the time and labor (SMV) required to create any garment.

These standards are then adopted and perpetuated by the manufacturer notonly to bid on

new work, but to determine the necessary labor requirements, sometimes without ever

having produced such a garment before.


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A lean system recognizes the value in the clarity the industrial engineer brings to the

situation. However, its challenge is to integrate the IE's roles and minimize the stress of

conflict. In a lean system, there are two types of personnel: those who add value and

those who supportthose who add value. It is not practical foroperators to determine the

steps and pace of production initially. These are governed by takt time, pitch (space in

which they do their work) and sequence. But then ope rators take than information,

participate in its refinement and turn it into a continuously flowing process.

Industrial engineers and those in remote pilot areas determine the sequence ofoperations

needed to build a quality product. They practice until pe rfect within the constraints of

expected customer demand (takttime). Once done and documented, the process is taken

to the line for trials and consideration by the team. The team, through trials, determines

whetherthe process can flow continuously fromoperatortooperator; the configuration of

required machines; and the inventory or in-process stock needed in eachoperation.

Teammembers workon any problem discovered, and a final product is documented into

standard worksheets. Although the numberofchanges ultimately made may be few, the

real aimofthis process is forthe operators to gain ownership ofthe standard work. Lean

enables operators and gives themthe skills to analyze abnormalities (e.g., quality issues

equipment down time, overtime) and so lve problems using plan-do-check-act/adjust

methods and statistical process control tools.

In a lean system, the industrial engineer and the operatorworkhand -in-glove formaximum

effectiveness. Gone is the command and control mentality where communication is one

way. Participation is the watchword. Time studies and line balancing activities are the

responsibilities ofteammembers, and suggestions made by operators, after evaluation by

management, are often implemented withthe assistance ofthe industria l engineer. In our

experience, garments arriving on the line in the traditional way often exhibit an efficiency

factor of 50 percent, as compared to 90 percent as the starting point for those items

brought along in a lean-based approach.

The

tradi

tional ga

rmen

t

man

ufa

cture

rexe

mpli

fies a w

orld w

he

re expe

cta

tions a

re

developed outside any relationship with the floor-bound "value adders." In contrast, the

world of lean places primary emphasis on those value-adders, trying their success tothe

organization's success with a supportive multi-person organization. The industrial engineer

is key tothis environment, responsible forcreating the basic work interactions, meeting the

needs ofthe value adderand building trust and respect along the way.

Leadership (is all the rage). The lean transformation requires leadership. This can be


24/26

found atthe very apex ofthe organization, as we encountered withthe dynamic leadership

ofone garment manufacturer chairman, or farther down the hierarchy in the roles of the

company lean champion orplantmanager. Regardless of its source, successful leadership

typically exhibits fourcritical characteristics.

First, the leader is a person of vision. This means seeing beyond the obvious and

remaining consistently dissatisfied witht he obvious and remaining consistently dissatisfied

with the status quo. Second, the leaders exhibits a willingness to learn and understand.

Those unwilling to learn are generally unwilling tochange, and change is a prerequisite to

transformation. Third, t he leader demonstrates a willingness to devote personal time tothe

change effort. Delegating participation toothers notonly sends the wrong message tothe

organization, itundermines the leader's ability tocomprehend the complexity ofthe effort

and provide meaningful input. And fourth, the leaderhas patience. There is a willingness

to let people learn, take risks and sometimes fail.

These characteristics are not frequently found in an industry that has a history of

controlling environments where labo r was considered a resource, a factor of production

ratherthan an investmentto solicitmore participation. Butthe garment industry reflects our

wider commercial and military experiences; lean leaders are rare in any traditional

production environment. But if we begin with someone who possesses the seeds of an

enthusiastic lean vision and a willingness to act decisively and assume controlled risk,

these can be nurtured into a disciplined understanding of lean and accountability to the

system as a whole.

One final characteristic is revealed in the necessary transition from "boss" to "leader."

Many bosses are examples of society's best and brightest with good ideas and the

company's interests atheart. Butoften they pushthese ideas in the formofchanges u pon

those that add value, and the ideas often fail. The hallmark of lean leaders and a lean

system in general is involvement. Lean leaders solicit and value participation, and this

feeds buy-in and commitment from the entire organization. They encourage pr oblem

solving and val

ue-

consis

ten

t, in

cre

men

tal

change

ove

r

tim

e. They

rely

on

the expe

rt

knowledge of those who add value, and in so doing inspire and drive change in those

around them.

The garment industry is a challenging and rewarding environrnent to i mplement lean. It

has chased low laborrates only tofind thatthis cannotmean low quality. Ithas played a

major role in the world market and clearly understands the meaning of world class. It

contains some of the best people capable of making needed cha nges and providing


25/26

innovative solutions.

However, the garment industry has allowed inventory to expand, made quality variable at

times and allowed itselfto be defined by the low -cost provider. Its problems are notunlike

those ofother industries, and so like other industries, itfinds its solutions in lean. Lean is

about process, not product, and about people participating in that process. Lean is about

discipline, teamwork and the refusal to perpetuate the status quo. The systems approach

to garment production provides an environment where competition flourishes.

In time, the systems approach will free the industry from its compulsion tochase low labor

rates and allow ittofocus on providing the highest quality garments atthe lowestcost with

the shortest lead-time. Soon, the industry will strike a balance between carefully studied

jobs, supportfrom qualified IEs and invigorated operators constantly striving forcontinuous

improvement. Throughout its evolution, committed, flexible industrial engineers will play a

critical role translating and embedding this into the workplace. The role is set and the

demand is great.

John Allen and Greg Thomerson are president and managing director of Total Systems

Development, respectively. Both are long-term alumni of Toyota's first North American

production facility, authors of the 500-page reference work Lean Manufacturing; A Plant

Floor Guide and recognized experts in lean systems methods.


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cut to box module final

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