introduction to just in time (jit) pg 0 copyright © 2001-2004 six sigma academy international llc...
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Introduction To Just In Time (JIT) Pg 1
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Group Exercise Description
• Based on your previous work, you’ve been awarded a contract by the Left Dogleg Bank of America (LDBA) to facilitate a lean event on the Credit Card process
• The current daily demand is 25 and there are 15 minutes in a day. • The Credit Card company is looking for help in increasing productivity
and reducing variation • It’s critical that standard work be created to they can proliferate the
model throughout all locations • They’ve asked that you focus on the 4 operators that complete
the forms- Data Entry for Credit Card Application - Green- Background Credit Checks - Blue- Set the Customer up in the System - Red- Issue the Card - Yellow
Introduction To Just In Time (JIT) Pg 2
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Group Exercise Instructions
This is the standard model we’ll follow for the event
• Calculate Takt Time
• Time study credit card operations
• Create Percent load
• Balance work to Takt
• Create Standard work layout
• Define Standard WIP
• Create Standard work combination for operators
• Complete each tool and be prepared to discuss your proposal with the class along with expected productivity results
Introduction To Just In Time (JIT) Pg 3
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Takt Time Calculation
• Takt Time = Available time
Demand
• Available time = 15 min
- 15 min * 60 sec = 900 sec
• Demand = 25 pc
• Takt Time = 900 sec = 36sec/pc
25pc
Introduction To Just In Time (JIT) Pg 4
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Time Observation Form
• Each team should have a Time Observation form for each operator
• Remember – Keep the watch running (this insures we capture normal variation)
• Double check their math – Each dot should take around 4 – 5 sec each(Ex. 2 Red dot Cycle Time should be 8sec)
• We want lowest repeatable time for each element
• Encourage note taking when using this tool – This normally reveals additional opportunities to eliminate waste. (Use Time Observation Form.xls)
Process for Observation: Date & Time:
Observer:
Applying Red Dots Team
Analysis #:
Item No.
Component Task 1 2 3 4 5 6 7 8 9 10Component Task Time
2 10 181 Pick up dot sheet 2 2 2 2
3 11 192 Remove dot 1 1 1 1
5 13 213 Apply Dot 2 2 2 2
6 14 224 Remove dot 1 1 1 1
8 16 245 Apply Dot 2 2 2 2
Points Observed
TIME OBSERVATIONFORM
Introduction To Just In Time (JIT) Pg 5
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Before Percent Loading Chart
First sum up total operator Cycle Time to complete one form
16 sec + 24 sec + 8 sec + 16 sec = 64 sec
Then divide the total operator cycle time by Takt time
64 sec / 36 sec = 1.8 Operators
The necessary theoretical staffing for this process is 1.8 Operators
Date:
Prepared by:Process Name:
Part Number:
CYCLE
TIME(sec)
OPERATOR
Before Project Takt time
=SUM OF Cycle time Operators NeededOperators NeededOperators NeededOperators Needed
48
40
32
24
16
81 2 3 4
T/T=36 Sec
Introduction To Just In Time (JIT) Pg 6
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
After Percent Loading Chart
Prepared by:Date:
Process Name:Part Number:
OPERATOR
CYCLE
TIME(sec)
Takt time= Operators Needed
After ProjectAfter Project
SUM OF Cycle time
48
40
32
24
16
81 2
T/T=36 Sec
To balance the operations to TaktCombine Operations 1 and 4 = 32 secCombine Operations 2 and 3 = 32 sec2 Operators
50% productivity improvement
Introduction To Just In Time (JIT) Pg 7
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
/ /
Standard Work in ProcessQuality Check
Operator NumberNet TimeTAKT Time
# of Pieces of Std WIP
Safety Precaution
Process Name Model Number Model Name
Scope of Operations
From
To
Standard Work Layout SheetDepartment
HeadDepartment Supervisor
Date Prepared or Revised
Identify each machine & significant work area in scale (1ft per Square)Draw a circle with a number in it for each standard sequence of stepsShow a path of operatorShow path of work in ProcessShow how many work units are in process (WIP)
Standard Work Layout Sheet
Oper. 2
Oper. 1
Oper. 3
Oper. 4
1
2
Standard WIP = 3pc
Takt Time = 36 Sec
Introduction To Just In Time (JIT) Pg 8
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Date Prepared
Volume Per Shift Pieces
Dept. Takt Time
Operation Name Man Auto Walk 4 8 12 16 20 24 28 32 36 40
1 Pick up Red dot sheet 2
2 Remove dot 1
3 Apply Dot 2
4 Remove dot 1
5 Apply Dot 2
6 Walk to Blue 2
7 Pick up Blue dot sheet 2
8 Remove dot 1
9 Apply Dot 2
10 Remove dot 1
11 Apply Dot 2
12 Remove dot 1
13 Apply Dot 2
14 Remove dot 1
15 Apply Dot 2
16 Remove dot 1
17 Apply Dot 2
18 Remove dot 1
19 Apply Dot 2
20 Walk to Red 2
TimeStep No.
Operation Time (In Seconds)
Standard Work Combination Sheet
ManualAutomaticWalking
Model No.and Name WorkSequence
Standard Work Combination Sheet
This is a Standard Work Combination for Operator 2Performs operations 2 - Blue and 3 – Red under Takt Time
Introduction To Just In Time (JIT) Pg 9
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Key Learning Points
• Takt Time- What happens to Takt when demand
• Goes up? Takt time is smaller (less time to complete product)• Goes down? Takt time is bigger (more time to complete product)
- What happens to staffing needs when Takt• Goes Up? Staffing needs increase• Goes Down? Staffing needs decrease
- We should look at Takt monthly or even more frequent depending on demand patterns
• Time observations- Break down to small elements- Copious notes – May observe waste during timing - Multiple runs must be timed to capture variation
Introduction To Just In Time (JIT) Pg 10
Copyright © 2001-2004Six Sigma Academy International LLCAll Rights Reserved
Exercise Take-aways
• Percent Load Chart- Helps us see graphically where waste (wait time, overproduction)
is occurring- Theoretical Staffing is an approximation based on how possible it is to
split up and combine operations for balancing purposes• Standard Work Layout
- This example shows how a “U” shaped layout enabled us to combine operations 1 and 4 to balance work to Takt
- Can also be used a visual training tool• Standard Work Combination Sheet
- This where we capture the best work sequence- It is a visual description of how the operator work sequence flows- Also a great tool for training- Managers can use to audit processes and monitor variation