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LEADING YOUR LEAN TURNAROUND
Art ByrneNovember 6-7, 2013
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DELIVER MORE VALUE TO YOUR CUSTOMERS
THAN YOUR COMPETITION CAN
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IMPROVE YOUR OWN VALUE ADDING
Compete On Your Operational Excellence
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ESTABLISH THE LEAN FUNDAMENTALS
Work To TAKT Time
One Piece Flow
Standard Work
Pull System
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5S AND SMED ARE FOUNDATIONAL ACTIVITIES
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Set Up Reduction In One Week Kaizen
Rolling Mill 720m to 34m -95%150 Ton Press 90 to 5 -94%PM Punch Press 52 to 5 -90%Hole Cut Mill 64 to 5 -922.5” Extruder 180 to 19 -89%Injection Molder 120 to 15 -88%
AVG SETUP REDUCTION = 91%
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SET UP APPROACH
Separate Internal From External
No Tools
No Cranes
No Money
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MAIN THRUST IS TO GO FROM BATCH TO
FLOW
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FIRST CREATE FLOW THEN PULL
• Set Up Reduction Comes First
• Create One Piece Flow Cells
• Establish Standard Work
• Create Visual Controls
• Implement Pull
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PACE• Be Aggressive
• Two Kaizens Per Week Per Facility
• Two Set Up Kaizens, One Flow, One Office
• Celebrate Your Gains
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RUN THE COMPANY ON YOUR OPERATIONAL EXCELLENCE GOALS
• 100% On Time Customer Service• 50% Reduction In Defects Per Year• 20% Productivity Gain Each Year• 20X Inventory Turns• Visual Control And The 5S’s
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TRANSFORM THE PEOPLE
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EVERYTHING HAS TO CHANGE
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YOU CAN’T DROP LEAN ON A BATCH ORGANIZATIONAL STRUCTURE
• This Is The Most Common Error
• The Whole Company; Sales, Marketing, Finance, IT, HR, Must Make The Shift
• To Change The People Change The Structure
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A LEAN ORGANIZATION REQUIRES;
• TEAMWORK
• TRUST
• RESPECT FOR PEOPLE
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RESPECT YOUR PEOPLE
• Listen To Them
• Support Them
• Set Stretch Goals
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REORGANIZE BY VALUE STREAM
• Team Leaders
• Buyer/Planner
• Value Stream Engineers
• Cell Leaders
• Support Functions
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VALUE STREAM LEADERS
• Self Motivated Problem Solvers• Capable Of Running A Small/Medium Size
Business• Report to Both VP Of OPS and Senior
Team• Focus On Key Value Adding
Measurements• Complimented With A Strong KPO
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YOU WANT TO GET TO A KAIZEN CULTURE
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GET EVERYONE ON A KAIZEN TEAM
• Up Front Training
• Learn By Doing
• Multiple Kaizens
• Kaizen Team Leader
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GO TO THE GEMBA• Kaizen Is A Doing Exercise
• Start With Projects That Will Give The Biggest Financial Impact
• Set Stretch Goals
• Attendance Should Be Mandatory
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START WITH THE BIGGEST VALUE STREAM
• Create Model Lines Or Model Factories
• Two Set Up Kaizens and One Flow
• Do The Whole Value Stream
• Don’t Forget The Office
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CREATE DAILY MANAGEMENT AT THE POINT OF VALUE ADDING
• Hourly Production Control Charts• Quality And Productivity Measures/Trends• Set Up Time Tracking• Daily TPM Tracking• Daily Meetings Countermeasures• Constant Management Support
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REMOVE PRODUCTIVITY BARRIERS
• Multiple Job Classifications
• Piece Part Incentives
• Chairs, Food, Drinks In The Gemba
• Provide Lots Of Cross Training
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ESTABLISH PROFIT SHARING
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GET MARKETING AND SALES INVOLVED AND COMMITTED
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START HOSHIN KANRI• Aligns Your Team Around Clear
Objectives
• Must Do Can’t Fail Projects
• Makes Available Resources Very Clear
• De-Select What Can’t Get Done
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YOU ARE RUNNING A BUSINESS
• Progress Is Faster If You Learn From Your Mistakes
• Maintain An Atmosphere Of Constant Learning
• Kaizen Work Solves Customer Problems• You Have An Obligation To Your People• Protect There Jobs And Provide
Opportunities For Growth And Wealth Creation
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SUMMARY
A KAIZEN CULTURE = AN UNFAIR COMPETITIVE ADVANTAGE