Download - Lean Transformation With VSM
-
8/14/2019 Lean Transformation With VSM
1/26
...1
Lean Transformation
Lean / Value Stream
Mapping Overview
-
8/14/2019 Lean Transformation With VSM
2/26
...2
Agenda
Lean Principles
Company Vision
What is Value Stream Mapping
Seven requirements of Lean
Building Lean Organization
-
8/14/2019 Lean Transformation With VSM
3/26
...3
Roots of Lean Thinking
Interchangeable parts: 1850s
Toyoda Weaving: 1902
Ford: Highland Park: 1913
GM: Mixed Model: 1930-1940
Deming Influence: 1950s
Ohno: American Supermarkets: 1950s
Toyota Production System: 1945-1970-now
Theory of Constraints: 1980s Lean
-
8/14/2019 Lean Transformation With VSM
4/26
...4
Womack and Jones
Lean Thinking 5 principles:
1- Specify value
2- Map the flow of value3- Make value flow
4- Pull from the customer
5- Seek perfection
Jim Womack and Dan Jones,
Lean Enterprise Institute, USA & England
-
8/14/2019 Lean Transformation With VSM
5/26
...5
Vision
Supply Chain Vision(13 weeks)
Customer
Order Raw MaterialAssembly
& Test
Procurement
Cycle
Order
Cycle
Current Supply Chain
(average in excess of 40 weeks)
Delivery
Cycle
Assembly
Cycle
ShippingManufacturing
FINLA
FAB
-
8/14/2019 Lean Transformation With VSM
6/26
...6
Vision
Material Flow Strategy
Engine Core Build
A Supply Chain delivering an
engine every shift
-
8/14/2019 Lean Transformation With VSM
7/26
...7
Point Efficiency vs System Efficiency
Fast rower
How fast should we produce?
-
8/14/2019 Lean Transformation With VSM
8/26
...8
The Transformation
Its all about
Connecting
the Dots
-
8/14/2019 Lean Transformation With VSM
9/26
...9
What is a Value Stream?
All activities both value added and non-value added required to bring product
from raw material to the customerValue Stream
Customer
Producer
A
CUSTOMER
Raw
Material
Finished
Product
Producer
B
Producer
CWarehouse
Assembly &
Text
-
8/14/2019 Lean Transformation With VSM
10/26
-
8/14/2019 Lean Transformation With VSM
11/26
...11
Example of a Current State Map
CustomerRaw MaterialSupplier ProductionControl
90/60/30
day forecasts
Daily
Order
6 Week
ForecastWeekly Fax
Producer A
1
I
2500 parts
I
1800 partsI
Shipping
1500 parts
Weekly Schedule DailySchedule
30 days 35 days 5 days
5 hours 10 hours 20 hours
Leadtime
= 270 days
Processing
time = 35 hrs.
Producer B
1
Assembly
1
I
2500 parts
200 days
C/T = 46 sec.C/O = 10 min.
Uptime = 80%
C/T = 46 sec.C/O = 10 min.
Uptime = 80%
C/T = 46 sec.C/O = 10 min.
Uptime = 80%
-
8/14/2019 Lean Transformation With VSM
12/26
...12
Set-upTotal Work
-
8/14/2019 Lean Transformation With VSM
13/26
...14
Value Stream Mapping Advantages
Measures value from a customers perspective
Focus is on lead time
Shows a system view
Links the material and information flows Enables the organization to identify waste
Provides a roadmap for continuous improvement & change
-
8/14/2019 Lean Transformation With VSM
14/26
...15
Seven Requirements of Lean
1- Takt time
2- Finished goods strategy
3- Continuous flow
4- Pull System
5- Schedule only one point
6- Pitch
7- Interval
(EPEI=Every Part Every Interval)
-
8/14/2019 Lean Transformation With VSM
15/26
...16
Requirement #1: Takt Time
Synchronizes the pace of production to the
pace of sales
The rate of assembly based on customer
demand
TAKT Time =Effective working time per shift
Customer demand per shift
460 minutes460 pieces
= 1 min / partTAKT Time =
-
8/14/2019 Lean Transformation With VSM
16/26
...17
Requirement #2: Finished Goods Strategy
Build to Stock
Best for mass production
Standard product
Build to Order
More difficult to level load Custom product
High value product coupled with uncertain demand
Hybrid
Aids level loading
Run as a Build to Order system with inventory for peak loads
High value or highly variable demand patterns
-
8/14/2019 Lean Transformation With VSM
17/26
...18
Requirement #3: Continuous Flow
Process
BProcess
AProcess
C
10 minutes
10 minutes
Batch & Queue Processing
Leadtime : 30+ minutes for total order
10 minutes
ProcessA
ProcessB
ProcessC
One-Piece Flow
3 min.
Leadtime : 12 min.
-
8/14/2019 Lean Transformation With VSM
18/26
...19
Customer goes to supermarket and gets what they need when they need itSupplier produces to replenish what was withdrawn
supermarket
supplying
process
customer
process
production
kanban
withdraw
kanban
withdrawn
product
new
product
Purpose: A way to control production
between flows without scheduling
Requirement #4: Pull System
-
8/14/2019 Lean Transformation With VSM
19/26
...20
Requirement #5: Schedule Only One Point -
What & When
flow
Customer
Supermarket
Flow
Customer
FIFO FIFO
Pull
-
8/14/2019 Lean Transformation With VSM
20/26
...21
Requirement #6: Pitch
Management timeframe: how often we find out andcan react to problems
It is a takt image for the operators
Start
In
FIFO
KANBAN
Out
FinishStrategy
-
8/14/2019 Lean Transformation With VSM
21/26
...22
Requirement #7: Interval
(EPEI = Every Part Every Interval)
How long does it take to
make parts of every
model?
H A
B
C
DE
F
G
-
8/14/2019 Lean Transformation With VSM
22/26
...23
Future State - What to expect
Drumbeat Set the pace
Pitch Monitor flow of material
Reduce process inefficiencies
Flow / Pull / Kanban Reduce inventory levels
-
8/14/2019 Lean Transformation With VSM
23/26
...24
Building the Lean Organization
Every one of us must realize that:
the company is in business because of our customers
the customers have choices those choices lay with our competition
waste adds cost, time, and service interruption thus giving the
advantage to the competition
-
8/14/2019 Lean Transformation With VSM
24/26
...25
Supporting the Lean Organization
At every level
Understand what is important to the customer
See the flow of value
Recognize waste
Solve problems that interrupt the flow of value
Continuously improve the flow of value
Conti nuously reduce variation to enable the achievement of lean
metrics
-
8/14/2019 Lean Transformation With VSM
25/26
...26
VSM Project Milestone - TypicalWeek 1 Week 2 Week 4 Week 5 Week 6
(4 - 9 months)
Management
awarenessTeam
Training &
Workshop
Identify
VSM Expert &
Project Leader
Team members& commitment
Present action
plan to Mgmt
Implement action
plan & monitor
progress
-
8/14/2019 Lean Transformation With VSM
26/26
...27
Driving
Customer Satisfaction
Quality Improvement
Inventory Reduction
Leadtime Reduction
Process Improvement
A Drumbeat Throughout
the Value Chain