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08/15/13 KAIZEN STRATEGY FOR CONTINUOUS IMPROVEMENT QMS Management Consultants Sdn Bhd 98-1-31 Prima Tanjung, Jalan Fettes, Tanjong Tokong 11200 Pulau Pinang Tel : 604-8996020 Fax : 604-8994020 Email : [email protected]

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08/15/13

KAIZEN STRATEGY FOR CONTINUOUS

IMPROVEMENT

QMS Management Consultants Sdn Bhd98-1-31 Prima Tanjung, Jalan Fettes, Tanjong Tokong 11200 Pulau PinangTel : 604-8996020 Fax : 604-8994020 Email : [email protected]

Kaizen QMS Management Consultants Sdn Bhd 2

Topics of Discusion

Kaizen

Introduction Why Kaizen?

Terms Used

Typesof

Kaizen

Gemba Kaizen

Kaizen Tools

Practical

Similar Programs

Kaizen QMS Management Consultants Sdn Bhd 3

Introduction To Kaizen

• KAIZEN means improvement.

• KAIZEN means continuing improvement in personal life, home life, social life, and working life.

• KAIZEN means continuing improvement involving everyone - managers and workers alike, when applied to the workplace.

KAIZEN as originally defined in the book of:

"KAIZEN, the Key to Japan's Competitive Success",

by Mr. Masaaki Imai, is:

Kaizen QMS Management Consultants Sdn Bhd 4

Traditional Management

Figure 1: How Kaizen Systems Differ From Traditional Systems

Characteristics Kaizen Traditional

Purpose employee involvement anddevelopment

communication economic benefits

economic benefit its

Focus many very small changes (e.g.revising a form)

elimination of daily hassles

few very large changes (e.g.changing a manufacturingprocess) “breakthroughs”

Awards few dollars merchandise

usually thousands of dollars cash

Participation 50% and higher many ideas accepted

5% and lower many ideas not accepted

Implementation employees implement most ofown ideas

quick suggestion implemented =

improvement idea

Management, engineering driven slow, drawn-out

employees less accountable suggestion = improvement idea

Adoption rate near 100% approximately 25%Administrator majority of time spent processing

implemented ideas and issuingawards

specialist

Majority of time spent investi-gating un-implemented ideas andexplaining “rejected” ones

managerSuggestionsreceived peryear

Thousands Hundreds

Highest award Varies (or merchandise valuedat)

Large amount

Motivators Intrinsic satisfaction — personaldevelopment and recognition

frequent feedback and awards

extrinsic rewards moneyinfrequent

Kaizen QMS Management Consultants Sdn Bhd 5

The Wet Blanket List• Too busy to study it.

• Premature timing.

• No budget.

• Theory is different than practice.

• Does not match corporate policy.

• Not our business.

• Common sense.

• Isn’t there something else for you to do?

• Are you dissatisfied with your work?

• I know the result, even if we don’t do it.

• I will not be held accountable for it.

• Can’t you think of a better idea?

The Traditional Management• Two classes of people in an organization - Thinkers

and Workers

• Thinkers who think and innovate new ideas

• Workers who are required to work with their hands.

Traditional Management

Kaizen QMS Management Consultants Sdn Bhd 6

Not Invented Here (NIH) Syndrome• That’s not ours.• Their culture is different.• We did not learn that way.• We’ve tried that, it could not work.• We are doing what we can.

Type A - Total Rejection

• Over confident about past success or excessively biased with ethnocentrism which indicates a real NIH person.

Type B - Unconditional Imitation

• Blindly follow to implement when having a new idea, prone to fail and end with a giving up.

Type C - Selective Acceptance

• Picking up the workable elements in the beginning and proceed from the point.

• Practicing learning by doing until determine which elements could be implemented well and improved afterward.

Traditional Management

Kaizen QMS Management Consultants Sdn Bhd 7

Kaizen Values and Concepts

Kaizen Values

• Contains two elements - improvement/change and

ongoing/ continuity.• “Business as usual” contains the element of continuity

without improvement.• “Breakthrough” contains the element of change or

improvement without continuity.• Constant improvement• Continual, organized efforts.• Incremental improvements.

Kaizen Concepts

• Kaizen is an umbrella concept covering most of those

uniquely Japanese practices that have recently such

worldwide fame.• These concepts have helped companies generate a

process-oriented way of thinking and develop

strategies that assure continuous improvement

involving people at all levels.• Not a day should go by without some kind of

improvement being made somewhere in the company.

Kaizen QMS Management Consultants Sdn Bhd 8

Kaizen Values and Concepts

Kaizen7 Key Concept

• Standardize-Do-Check-Act (SDCA) to Plan-DO-Check-Act (PDCA) - Follow the Shewhart cycle

• The next process is the customer – Ask what you can do to improve product or services that you pass along to the next process.

• Quality first – Improving quality automatically improves cost and delivery, while focus on cost usually causes deterioration in quality and delivery.

• Market-in vs. product out – Instead of pushing products into the market and hoping customers will buy them, ask potential customers what they need/want and develop products that meet these needs and wants.

• Upstream management – The sooner in the design/pilot test/production/market cycle a problem can be found and corrected, the less time and money is wasted.

• Speak with data – The statistical tools will provide data for convincing arguments.

• Variability control and recurrence prevention – Ask ‘Why?’ five times to get to the real cause of a problem and to avoid just treating the effect of the problem.

Kaizen QMS Management Consultants Sdn Bhd 9

The Kaizen Umbrella

• Customer orientation• TQC (Total Quality Control)• Robotics• QC Circles• Suggestion System• Automation• Discipline in workplace• TPM (Total Productive

Maintenance)

• Kanban• Quality Improvement• Just-in-time• Zero Defects• Small-group activities• Cooperative labor -

management relations• Productivity Improvement• New-product development

Figure 2

Figure 3

KAIZEN

Kaizen Values and Concepts

Kaizen QMS Management Consultants Sdn Bhd 10

Kaizen and Management

Maintenance, Innovation and KAIZEN

Maintenance• Maintaining current status.

• Procedures are set.

• Standards are implemented

• For lower level of an organization.

Innovation• Breakthrough activities

• Purchase new machine, equipment.

• Developing new markets.

• Directing R&D.

• Change of strategy.

• For top level of an organization

KAIZEN• Small steps of continuing improvement

• Implemented by lower/ middle management and workers.

• Encouraged, cultivated and directed by top management.

Kaizen QMS Management Consultants Sdn Bhd 11

Kaizen and Management

Maintenance, Innovation and KAIZEN

Top Mgmt

Mid-Mgmt

Supervisors

Workers

KAIZENInnovation

Maintenance

Innovation and KAIZEN

Figure 4

Figure 5

KAIZEN VS. INNOVATION FACTOR KAIZEN INNOVATION

Size of improvement Small improvements Major improvements

Basis of improvement Conventional

knowledge Technology or

equipment

Main resource Personal involvement Money investment

People involved Many people A few champions

Orientation Improve the process Improve results

Economy Even in slow economy Mainly in good

economy

Kaizen QMS Management Consultants Sdn Bhd 12

Management Commitment

Top Management

• Introduce Kaizen as a corporate strategy

• Provide support and direction bt allocating resources

• Establish policy and cross-functional goals.

• Realize goals through deploymwnt and audits.

• Build systems, procedures, and structures conducive to KAIZEN.

Middle Management and Staff

• Deploy and implement goals as directed through policy deployment and cross-functional management.

• Use KAIZEN in functional capabilities.

• Establish, maintain and upgrade standards.• Make employees conscious through training

programs.

• Assist employees develop skills and tools for problem solving.

Kaizen QMS Management Consultants Sdn Bhd 13

Management Commitment

Management Commitment

Supervisors• Use KAIZEN in functional roles.

• Formulate plans and provide guidance to workers.

• Improve communication and sustain high morale.

• Support Small Group Activities and individual suggestion system.

• Introduce discipline.

• Provide KAIZEN suggestion.

Workers• Engage in KAIZEN through suggestion system

and small group activities.

• Practice discipline

• Engage in continuous self-development to become better problem solver.

• Enhance skills and job-performance expertise with cross-education.

Kaizen QMS Management Consultants Sdn Bhd 14

KAIZEN by Total Quality Control (TQC)

Quality Control (QC) and the “Quality of People”

Quality Control

• Defined as “ a system of means to economically produce goods or services which satisfy customer requirements” - JIS Z8101 (1981)

• Quality is associated with products, services, way people work,way machines were operated, and way systems and procedures are dealt with.

Quality of People

• A company able to build quality into its people is already halfway towards producing quality products.

• Total Quality Control starts with human-ware.

• TQC is defined as implementing quality control effectively necessitates the cooperation of all people in the company.

Kaizen QMS Management Consultants Sdn Bhd 15

KAIZEN by Total Quality Control (TQC)

Quality Control (QC) and the “Quality of People”

Total Quality Control

• Elaborate system of Kaizen strategies as management tools within TQC movement.

• Used Seven Statistical Tools or 7 QC Tools as a management tools.

• TQC dealt with: Quality assurance Cost reduction Meeting production quotas Meeting delivery schedules Safety New-product development Productivity improvement Supplier management Marketing, sales and services

• Six features of TQC characteristics: Company-wide TQC, with all employees participating. Emphasis on training and education QCC activities TQC audits Application of statistical methods Nationwide TQC promotion

Kaizen QMS Management Consultants Sdn Bhd 16

KAIZEN by Total Quality Control (TQC)

Quality Control (QC) and the “Quality of People” Speak With Data

• Establish data collection and evaluation system.• Information should be shared among executives.• There is always a possibility of improvement if

information/data is properly: collected processed channeled put to practical use

• Effective communication network• Develop various systems, tools and formats to

facilitate: new product development cross-functional organizations systems diagrams

quality deployment.

• Quality First, Not Profit First• Basic elements to manage a company are:

quality (products, services and work) quantity delivery (time) cost safety employee morale

Kaizen QMS Management Consultants Sdn Bhd 17

KAIZEN by Total Quality Control (TQC)

Quality Control (QC) and the “Quality of People”

Quality First, Not Profit First (cont’d)• First, establish the technologies and system to make

products that can satisfy customers.• Second, making good products at low cost and in

large quantity without sacrificing quality.

The Five “Why”s• TQC encourages people to go back to the previous

process on the production line to seek out a problem’s causes.

• Improvement requires that always be aware of what comes from the previous process.

• Ask “why” for five times as to dig out the causes and seek the root cause of any problem.

• By repeating “why” five times, it is possible to identify the real cause and hence the real solution.

The Next Process Is The Customers• Realization of the next internal and external

customers.• Never send defective parts to the following processes.• Extracted into the Kanban and JIT system.• Assuring quality to each customer at each stage will

assure quality in the finished product.

Kaizen QMS Management Consultants Sdn Bhd 18

KAIZEN by Total Quality Control (TQC)

Quality Control (QC) and the “Quality of People”

Training

• TQC starts with training and ends with training

• Aim for training is to instill TQC thinking in all employees and employees awareness

• In building quality into people, it should starts with training and educating the people, from top management to workers including the vendors.

Cross Functional Management

• TQC encompasses various levels of management as well as various functional departments as people are not to be isolated.

• TQC seeks: Mutual understanding Collaboration Contagious spirit “Break departmental barriers”

• Strengthening the horizontal and vertical interrelations among different organizational levels

• Facilitates company-wide communication.

Kaizen QMS Management Consultants Sdn Bhd 19

KAIZEN by Total Quality Control (TQC)

PDCA Cycle

Initially was based on a division of labor among supervisors, inspectors, and workers. (See to Figure 6)

Plan• Plan improvements in present practices by using

statistical tools: Pareto Diagrams Cause-and-Effect Diagrams Histograms Control Charts Scatter Diagrams Graphs Checksheets

Do• Application of plan

Check• Seeing if it has brought the desired improvement

Action• Preventing recurrence and institutionalizing the

improvement as a new practice to improve upon

PDCA is a process through which new standard are set only be challenged, revised, and replaced by newer and better standards.

Process of stabilization is often called Standardize-Do-Check-Action cycle.

Kaizen QMS Management Consultants Sdn Bhd 20

KAIZEN by Total Quality Control (TQC)

PDCA Cycle Plan(Mgmt)Plan

(Mgmt)

Check(Inspector)Check

(Inspector)

Do(Worker)

Do(Worker)

Action(Mgmt)

Action(Mgmt)

Plan(Management)

Plan(Management)

Check(Inspectors &

Mgmt)

Check(Inspectors &

Mgmt)

Do(P-D-C-A)(Worker)

Do(P-D-C-A)(Worker)

Action(Management)

Action(Management)

Figure 6 : Initial PDCA

Figure 7 : Revised PDCA

Kaizen QMS Management Consultants Sdn Bhd 21

KAIZEN by Total Quality Control (TQC)

Interaction of PDCA and SDCA Cycles

P

C

A

D

P

C

A

D

S

C

A

D

S

C

A

D

KAIZEN

KAIZEN

Maintenance

Maintenance

Figure 8 : Interaction of PDCA and SDCA cycles with KAIZEN and Maintenance

Kaizen QMS Management Consultants Sdn Bhd 22

KAIZEN by Small Group Activities

Small Group Activities

Defined as • Informal• Voluntary organization• Small group organized

Formed for the purpose of stimulating cross-development among its members.

Improves quality, increases productivity and lowers costs.

Small Group Activities represent• non-confrontational improvements• informal ways of solving problems• introducing improvements

Advantages• Strengthen the sense of teamwork• Improves communications• Sharing and coordinating group members respective

roles better• Improves morale• Workers acquire new skills and knowledge• Develop more cooperative attitudes• Group is self-sustaining and solves problems• Labor-management relations are greatly improves.

Kaizen QMS Management Consultants Sdn Bhd 23

KAIZEN by Small Group Activities

Implementing Small Group Activities

Forming a team• Within the same workplace• Elect a leader• Assign roles to each members

Bringing problems to light• Find problems within the workplace

Selecting a subject• Select subject that every member able to involve

Planning activities• According to QC Story• Use 5W1H for making plan• Divide the work amongst members

Understanding the present condition• Data collection• Consider facts from different angles• Classify the obtained information/data

Setting a target• Determine for improvement• Dateline of completion• Show in figures

Kaizen QMS Management Consultants Sdn Bhd 24

KAIZEN by Small Group Activities

Implementing Small Group Activities (cont’d)

Analyzing causes• Use 5-Why• Examine the facts and data obtained

Studying the measures• Collect ideas from all members i.e. Brainstorming

session• Collect as many ideas as possible

Carrying out the measures• Decide a plan of implementation using 5W1H• Persist in executing the plan

Confirming the effects• Evaluate the results item by item on the measures• Confirm the tangible or intangible achievement

Maintaining the obtained results• Standardization• Preventing effect shrinking• Provide education and training to members

Kaizen QMS Management Consultants Sdn Bhd 25

KAIZEN by Small Group Activities

Implementing Small Group Activities (cont’d)

Summary and review• Check the achievement of the plan• Make future plans

Presentation• According to QC Story

Suggestion Scheme

Three major types of suggestion system in an organization:

• Individual suggestion system and no QC Circles• QC Circles and no individual suggestion system• QC Circles and individual suggestion system

Main subjects for the suggestions may cover for• Improvements in one’s own work• Saving in energy, material and other resources• Improvements in the working environment• Improvements in machines and processes• Improvements in jigs and tools• Improvement in office work• Improvements in product quality• Ideas for new products• Customers services and customer relations

Kaizen QMS Management Consultants Sdn Bhd 26

KAIZEN by Small Group Activities

Suggestion Scheme (cont’d)

Stages of Suggestion System• First stage

Management should make every effort to help the workers to provide suggestions.

• Second stage Management should stress employee education so that

employee can provide better suggestion.

• Third stage Management should concern with the economic impact of

the suggestion.

Suggestion System Goals• Making job easier• Removing drudgery from the job• Removing nuisance from the job• Making the job safer• Making the job more productive• Improving product quality• Saving time and cost

Kaizen QMS Management Consultants Sdn Bhd 27

KAIZEN by Small Group Activities

Suggestion Scheme (cont’d)

Guidelines on suggestion system:

• Always show positive response to suggestion for improvement

• Help workers to write easily and give them helpful suggestions about their work

• Try to identify even the slightest inconvenience for the workers. (This requires good communication skills)

• Make a clear target.

• Use competition and games to initiate interest e.g. displaying individual achievement charts.

• Implement accepted suggestions as soon as possible. Give awards before payday, if possible.

Kaizen QMS Management Consultants Sdn Bhd 28

KAIZEN by Visible Management

Visual Management

Definition:• A technique of providing information and instruction

about elements of a job in a clearly visible manner for worker to maximize his productivity

Visual management is deployed in three areas• For displaying characteristic figures, data and

graphics

• For depicting and controlling processes

• For identifying and marking sources of risks, setting and standards.

In making the workplace easy to understand:1. Make clear the location of set-up articles, parts, and

materials.

2. Any abnormality should be easily noticeable by stock management, set-up order, progress status, or other information management procedures.

3. Place the line stop notice board (abnormality control board) in a conspicuous place.

4. Put Kanban at the head of the line so the present status of production, line status, and the necessary overtime (if any) are clearly visible.

5. Post the standard work sheet so that the cycle time, procedures, and standard time can be easily seen.

Kaizen QMS Management Consultants Sdn Bhd 29

KAIZEN by Visible Management

Visual Management

Visible Management Through 5Ms

• MAN

Worker’s morale can be measured by the number of suggestions each person makes, the level of participation in QC Circles, and absenteeism.

A "multi-skilled" board indicating who is trained to do what and to what level of proficiency.

• METHOD

Working method can be made visible by using standard operating sheets displayed at each work station which show sequence of steps, procedures, safety items, quality checkpoints, and what has to be done when

variability occurs.

• MEASUREMENT

Gauges are well marked to show safe operating ranges.

Trend charts are used at each gemba(workplace) which show ability to meet production schedules, decrease of quality problems, reduction in set-up times, and reduction in safety problems.

Kaizen QMS Management Consultants Sdn Bhd 30

KAIZEN by Visible Management

Visual Management

Visible Management Through 5Ms(cont’d)

• MATERIALS

Implementing "5S" tools for cleanliness, efficiency, and order.

With "5S," everything has its own place or location; a clear declination is made between material storage areas and hallways; and every tool is in the right place.

Each tool is outlined, so that if you only see an outline you know the tool is being used by someone.

Production schedule attainment is made visible.

Production control boards clearly show schedule attainment by the month, day, and hour.

TAKT time is clear, a meter at the workstation makes a minute-by-minute assessment of whether or not the production rate is exactly meeting the customer's demands.

Kanban is used to let people know when materials need to be replenished, ordered, or transported.

Rejects are made visible so everyone knows they have occurred and why they occurred.

Kaizen QMS Management Consultants Sdn Bhd 31

KAIZEN by Visible Management

Visual Management

Visible Management Through 5Ms(cont’d)

• MACHINE

Indication lights are used to indicate problems.

A matrix of lights showing a machine down by what reason, i.e. scheduled down, changeover and set-up, quality problems, machine breakdown, preventive repair, etc.

Lubrication levels, frequency, and type are indicated on the lubricant chart or transparent covers are made, so the operator can see if the machine is working correctly.

Transparent covers are made to replace metal housings, so the operator can see if the machine is working correctly.

Figure 9 : Examples of Visual Management

Kaizen QMS Management Consultants Sdn Bhd 32

KAIZEN by 5S Activities

5S Activities

Introduction• Defined as fundamental discipline for creating and

maintaining a highly organized, high performance work place.

• Focused on production quality safety delivery environment training

The 5S principles are :

• SEIRI - Shifting - Keeping only the minimum of what is required

• SEITON - Sorting - “A place for everything and everything in its place”

• SEISO - Sweeping - Items clean and able to function properly. Return parts in good conditions.

• SEIKETSU - Spic & Span - Working environment clean and safe

• SHITSUKE - Strict - Follow the rules and make them a habit.

Kaizen QMS Management Consultants Sdn Bhd 33

KAIZEN by 8 Wastes Elimination

The 8 Wastes • Defined as anything that increases cost without

adding value.• Present Status of Ability = Work + Waste • Work Contents = Net Operation + Operation +

Non-value Added Operations + Motion + Waste

• The 8 wastes are:1. Over-production 5. Inventory2. Waiting 6. Motion3. Transportation 7. Defects4. Over-processing 8. People utilization

Motion

WasteNet Operation

Operation

Non-value AddedOperation

Figure 10 : Content of Operation In The Workplace

Kaizen QMS Management Consultants Sdn Bhd 34

KAIZEN by 8 Wastes Elimination

• Overproduction – Production more than production schedule

• Waiting – Poor balance of work; operator attention time

• Transportation – Long moves; re-stacking; pick up/put down

• Processing – Protecting parts for transport to another process

• Inventory – Too much material ahead of process hides problems

• Motion – Walking to get parts because of space taken by high WIP.

• Defects – Material and labor are wasted; capacity is lost at bottleneck

• People – Excessive usage of manpower and overtime

• Examples of Waste Watching a machine run Waiting for parts Counting parts Producing parts that aren’t needed Moving parts over long distances Storing inventory Looking for tools or parts Machine breakdown Rework and scrap Products that don’t meet the needs of customers

Kaizen QMS Management Consultants Sdn Bhd 35

KAIZEN by 8 Wastes Elimination

The 3-MUs

MUDA : or waste is created when unnecessary work is done, unnecessary material is used or processing is done

MURA : or irregularity occurs whenever a smooth work flow is interrupted in an operation, or the flow of parts to machines is interrupted, or change in production schedule is made.

MURI : or strenuous work, or conditions for both workers and machines as well as the work process e.g. when a new worker is assigned to do the job will be strenuous and the chances are he will be slower in his work.

Methods to eliminate the 8 Wastes• Ask 5W1H (Why, What, Where, When, Who, Why)• Repeat 5 Why (Why, Why, Why, Why, Why)• Look for the 3 MUs• Simplify/ Combine/ Eliminate

Kaizen QMS Management Consultants Sdn Bhd 36

KAIZEN in Production Floor

The Real Place - GEMBA

GEMBA is referring as the “real place”

GEMBA is where the value-adding activities to satisfy the customer are carried out.

Good management means establishing: • control• maintaining the process• improving the process.

Therefore:1. To establish control, you must be able to measure2. To measure you must be able to define3. To define you must be able to quantify4. Quantifying is only possible at the place where value

is added: The GEMBA.

It is necessary to pay attention on the GEMBA because:

• Solutions are grounded in reality and emphasize commonsense, low-cost approaches.

• Continual adjustment and improvement becomes possible.

• Resistance to change is minimized. • It is not always necessary to gain upper management

approval to make changes. • Reality lies in the work-site, not at the desks.

Kaizen QMS Management Consultants Sdn Bhd 37

KAIZEN in Production Floor

The Golden Rules of GEMBA Management

• Staying in close contact with and understanding GEMBA is the first step in managing a work site effectively.

• The five golden rules of GEMBA Management are:

1. When a problem (abnormality) arises, go to gemba first.

2. Check the gembutsu (relevant item).

3. Take temporary countermeasures on the spot.

4. Find the root cause.

5. Standardize to prevent recurrence.

Kaizen QMS Management Consultants Sdn Bhd 38

KAIZEN by Total Productive Maintenance

Total Productive Maintenance (TPM)

What is TPM?

• Breakdown maintenance repairs to make failed machine operational

• Preventive Maintenance system of periodic inspection & maintenance to keep

machines operating

• TPM combines preventive maintenance and total quality concepts i.e. TPM is a process of taking the methodologies of Preventive Maintenance, quality control and small group activities, mixing them together and using the final output to improve productivity.

How does it work?• Small teams look at all aspects of a machine or

process with the goal of eliminating waste - or zero losses.

Kaizen QMS Management Consultants Sdn Bhd 39

Kaizen QMS Management Consultants Sdn Bhd 40

KAIZEN by Total Productive Maintenance

Total Productive Maintenance

Why do TPM?

• One of the largest assaults on quality is the breaking down or deterioration of machines.

• Aiming to reach 100% up-time on all machinery through the use of cross-functional teams.

• Equipment is not kept up at the condition it was in when it was new.

• Dusts collects, leaks appear and are not fixed, vibrations begin to wear parts which contributes deterioration of equipment.

How stop the deterioration and breakdowns?

• Through the TPM methodologies,

learn to spot abnormalities with the equipment

fix the problem immediately

set up an inspection system to monitor the equipment

set up a series of standards that the equipment must meet in order to stay running

learn how to track down equipment problems to the root cause

Kaizen QMS Management Consultants Sdn Bhd 41

KAIZEN by Total Productive Maintenance

Total Productive Maintenance

Zero losses• Losses are categorized as follows:

1. Break down loss - the machine is inoperable

2. Set up and adjustment loss - the time it takes to change over to different parts or different processes

3. Minor stoppage loss - product gets stuck in a machine, slowing down throughput

4. Speed loss - worn parts slow down the operating time of a machine

5. Defect and rework loss - producing defective work that must be scrapped or redone.

6. Start up and yield loss - machines take longer to warm up as they get older

TPM requires management to:

• Design products that can be easily produced on existing machines

• Design machines for easier operations, changeover, maintenance

• Train & retrain workers to operate machines

• Purchase machines that maximize productive potential

• Design preventive maintenance plan spanning life of machine.

Kaizen QMS Management Consultants Sdn Bhd 42

KAIZEN by Total Productive Maintenance

Total Productive Maintenance

Factors contributes to machine problems:• Machines

• Dirty and oily • Oil pan overflow• Leaks• Overheated• Vibration• Improper routine inspection

• Operators• Lack of concern for dirty machines• No training is given to conduct simple maintenance.• Lack of knowledge• Keeping quiet when problem arises• Quantity more important than maintenance

• Repair Crew• Do not practice 5 Why to seek for the root cause• Do not teach operator on simple maintenance• Attending for major breakdowns only• Always assumed machines eventually breakdown• Suggestion through new machines for improvement.

Kaizen QMS Management Consultants Sdn Bhd 43

KAIZEN by Total Productive Maintenance

Total Productive Maintenance

Steps to achieve TPM

1. Practice the 5S activities

2. Identify problems causes and take the necessary action

3. Draw up standards for cleaning and oiling

4. Review the total system implemented

5. Setting standards for checking procedures

6. Male sure everything is in order and in place

7. Policy deployment.

Kaizen QMS Management Consultants Sdn Bhd 44

KAIZEN Tools

Seven QC Tools

The seven tools of QC:

1. Pareto diagram

2. Tally-sheet

3. Cause-and-Effect diagram

4. Control Chart

5. Histogram

6. Graph

7. Scatter diagram

<1> Pareto Diagram

• From the information gathered from tally-sheets, many minor problems will be eliminated, leaving only the few main problems to be tackled.

<Uses>• To grasp the problem• To grasp the past and present situation of the problem• To stratify • To confirm the improvement results

Kaizen QMS Management Consultants Sdn Bhd 45

KAIZEN Tools

Seven QC Tools (cont’d)

<2> Tally-Sheet

• To analyze the situation and to look at the important questions.

• Depending on the checking done and the data that is available, a table or diagram is derived.

<Uses> To grasp the past and present situation To stratify To grasp the changes through time To grasp the improvement results

To confirm the standards.

<3> Cause-and-Effect Diagram

• The Effect (result) which is influenced by the main factors (causes) is placed as in a fishbone diagram.

• Using this, the real causes of the problem can be found.

<Uses> To grasp the causal relationship between cause and

effect To stratify

Kaizen QMS Management Consultants Sdn Bhd 46

KAIZEN Tools

Seven QC Tools (cont’d)

<4> Control Charts

• This is a broken line graph used to grasp the variation in the data, which is entered through planning the control limit lines of a centerline, an upper control limit and a lower control limit.

<Uses>To discover the variablesTo grasp the control situation

<5> Histogram

• The data has a tendency to be centered upon a maximum of large numerical value, and from there it spreads out, gradually decreasing.

• The analysis of the situation is placed into columnar graph

<Uses>Grasp the past and present situationTo stratifyTo confirm the improvement result

Kaizen QMS Management Consultants Sdn Bhd 47

KAIZEN Tools

Seven QC Tools (cont’d)

<6> Graphs

• Useful information about control and improvement is put into diagrams, which are visual and easily comprehensible.

• Column(bar) graphs, broken line graphs, pie charts, belt graphs, radar graph and so on is commonly used.

<Uses>To analyze the causeTo record the time and contentsTo record the time and schedule controlTo grasp the large and small numbers and time changes

<7> Scatter Diagram

• This is a diagram where you utilize two sets of data to plot (enter) them onto the vertical axis and the horizontal axis.

• From the analysis of the situation, the congenial relationship of the data can be seen.

<Uses>To grasp the past and present situationTo grasp the correlation

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KAIZEN Tools

New Seven QC Tools (cont’d)

The new seven tools of QC:1. Tree Diagram

2. Relations Diagram

3. Matrix Diagram

4. Matrix Data Analysis

5. Affinity Diagram

6. Arrow Diagram

7. Process Decision Program Chart (PDPC)

New seven QC Tools is for supervisors and staff development and to re-arrange verbal data into diagrams.

<1> Tree Diagram

• After establishing the goals of the objectives, targets and results, achieving the goals by systematically developing the steps (plans) at a glance the entire picture of the problem.

<Uses>To pursue the steps needed to achieve the objectives

(targets)To grasp the problem areas

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KAIZEN Tools

New Seven QC Tools (cont’d)

<2> Relation Diagram

• This is used to solve the problem by rationally seeing the relationship between “Cause - Results”, and “Objective - Measures”, where complicated circumstances are interwoven into the problem (phenomenon).

<Uses>To grasp the casual relationship between cause and effectTo grasp the relationship between objectives and

measuresTo grasp the problem areas

<3> Matrix Diagram/ Matrix Data Analysis

• This is used to find the relationships between two or more sets of information.

<Uses>To identify and analyze relationships between information/

dataTo rate the presence and the strength of relationships

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KAIZEN Tools

New Seven QC Tools (cont’d)

<4> Affinity Diagram

• This is used to gathering and grouping ideas effectively.

<Uses> To summarize ideas/ issues by understanding the

essence of problems and breakthrough solutions. Encourages creativity by everyone at all phases of a

process. Encourages non-traditional connections among ideas/

issues. Breaks down long-standing communication barriers.

<5> Arrow Diagram

• This is used as a schedule planning diagram.

• The relation between the essential operations are shown as a network for schedule control.

<Uses> To grasp the whole work process with clear

understanding of problem areas. To identify areas for improvement To ease the checking process for the progress situation

of a operation. Mutual understanding and agreement of views

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KAIZEN Tools

New Seven QC Tools (cont’d)

<6> Process Decision Program Chart

• Is a technique to anticipates at the development stage of various results and lead the process in the desired direction.

• Effective for unexpected problems which arise where quick expectation targets can be set and readjustment to the route made.

<Uses> To forecast the future and taking the necessary action. Essential events are confirmed with ease To have collective views for easy modifications To achieve the end goal with clear and accurate

manner.

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KAIZEN Tools

Problem Solving by PDCA Cycle

Plan1. Select the problem/ process that will be addressed first

(or next) and describe the improvement opportunity.

Look for changes in important business indicators Assemble and support the right team Review customer data Narrow down project focus. Develop purpose statement

2. Described the current process surrounding the improvement opportunity.

Select the relevant process or process segment to define the scope of the project

Describe the process under study

3. Describe all of the possible causes of problem and agree on the root cause(s).

Identify and gather helpful facts and opinions on the cause(s) of the problem

Confirm opinions on root cause(s) with data whenever possible.

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KAIZEN Tools

Problem Solving by PDCA Cycle

• Plan (cont’d)4. Develop an effective and workable solution and

action plan, including the solution or process change.

Define and rank solutions Plan the change process : 5W1H Do the contingency planning when dealing with new

and risky plans Set targets for improvement and establish monitoring

methods

• Do5. Implement the solution or process of the change

Implement the solution in a small scale first Follow the plan and monitor the milestones and

measures.

• Check6. Review and evaluate the result of the change

Confirm or establish the means of monitoring the solution for the validity of measures.

Check for unintended effect and unintended consequences.

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KAIZEN Tools

Problem Solving by PDCA Cycle

Action7. Reflect and act on learning.

Assess the results and problem-solving process and recommend changes

Continue the improvement process where needed; standardize where possible.

Celebrate success

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KAIZEN and Management Functions

Role of Top Management

• Responsible for establishing Kaizen as the overriding corporate strategy

• Communicating this commitment to all levels of the organization

• Allocating the resources necessary for Kaizen to work.

Role of Middle Management

• Responsible for implementing Kaizen policies established by top management.

• Establishing, maintaining and improving work standards.

• Ensuring that employees receive the training necessary to understand and implement Kaizen.

• Ensuring that employees learn how to use problem solving and improvement tools.

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KAIZEN and Management Functions

Role of Supervisors

• Responsible applying the Kaizen approach in their functional roles;

• Developing plans for carrying out the Kaizen approach at the functional level;

• Improving communication at the workplace;

• Maintaining morale; providing coaching for teamwork activities;

• Soliciting Kaizen suggestions from employees and making Kaizen suggestions.

Role of Employees

• Responsible for participating in Kaizen through teamwork activities,

• Making Kaizen suggestions,

• Engaging in continuous self-improvement activities,

• Continually enhancing job skills through education and training,

• Continually broadening job skills through cross-functioning training.

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KAIZEN: Conclusion

Kaizen teams typically improve all three of the major drivers (quality, cost, and delivery) by eliminating non-value adding tasks and improving process documentation.

The resulting documentation (set-up sheets, process procedures, and quality standards) makes training more effective; and, by causing more consistent task execution, it also improves quality.

The documentation is helpful for companies pursuing ISO certification and also forms the standard from which to launch further improvement efforts. As quality improves, both cost and delivery improve.

Floor space requirements and total process times are usually reduced by at least 20 percent.

In conclusion, Kaizen is a low-cost, team-oriented approach that leverages company resources.

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