Kaizen Training

1Kaizen TrainingCompeting in the MarketplaceWhat factors are important to the customer?John Deere - Supplier DevelopmentJohn DeereSupplier Development2Kaizen Training

TIME:The single best indicator of competitivenessCustomer Lead Time / Delivery TimeWorking to reduce or minimize each of these times can make your company more valuable to both its internal and external customers.Set-up or Change-over TimeProduct Development TimeManufacturing Cycle TimeJohn DeereSupplier Development3Kaizen TrainingShrinking Lead TimesOrder Lead TimesManufacturing Lead TimesDelivery Lead TimesManufacturing Lead TimesOrder Lead TimesDelivery Lead TimesReducing the overall time from receiving the order to delivering the product makes your company more responsive to the customer. This can become the deciding factor when the customer makes their selection.As can be seen, manufacturing is only one part of the entire process. Inputting, processing, and issuing orders is an area for improvement, as well as, assembly, loading and delivery to the customer`John DeereSupplier Development4Kaizen TrainingWheres the Time in Lead TimeThis timeline represents an overall lead-time, with very little time spent on adding value to the product.Non-Value Added Time (NVA)99% of Total Lead timeValue Added Time (VA)1%Improvement EffortsConcentrated on reducing VA time, with no attention given to NVA. Non-Value Added Time (NVA)99% of Total Lead timeVA1/2 %Results of Common Improvement efforts, did not improve response time. VA time is reduced, but, the costs for those improvements in lead time was substantial.CommonJohn DeereSupplier Development5Kaizen TrainingWheres the Time in Lead TimeNVA Time95% of Total Lead timeVA5%When we look at attacking the NVA Activities in the Timeline and compare that to the original timeline:Non-Value Added Time (NVA)99% of Total Lead timeValue Added Time (VA)1%This shows a 5X improvement in lead timeGreat Job!!Greatest Opportunities are actually here!John DeereSupplier Development6Kaizen TrainingDifferent Types of ActivitiesBeing able to tell the difference between NVA and VA activities is an important step in the Improvement Process.Value Added Activity (VA) An activity that changes raw material to meet customer expectations.Non Value Added Activity (NVA) Those activities that take time, or occupy space but do not add to the value of the product.You must ask yourselves Would you as a customer be willing to pay for any NVA activity being performed to that NEW 4x4 Pickup you just ordered?

John DeereSupplier Development7Kaizen TrainingSome examples NVA Activities:WalkingWaiting on machine cycleTransporting partsGenerating useless reportsTHE GOAL IS TO ELIMINATE THE NON-VALUE ADDED ACTIVITIES.Unnecessary motionUnnecessary stock on hand

John DeereSupplier Development8KAIZENA definition:

Destroy, in our minds, the concepts and techniques of manufacturing that we practice today.

Create a vision of what our production system and manufacturing techniques should be.

Carry out that Vision by breaking through the status quo.We must avoid the urge to discover more sophisticated and technological solutions to tasks we shouldnt be doing at all.John DeereSupplier Development9Kaizen TrainingBasic Rules for ChangeKeep an open mind to change

No such thing as a dumb question or idea

Avoid spending money (Capital expense should be a last resort)

Think about how to do it, NOT why it cant be done

Maintain a positive attitude

Dont make excuses & question current practices

Just do it!!

Have Fun!!!

John DeereSupplier Development10Kaizen TrainingSteps on Team DevelopmentFormingThis is the development of a multi-functional team with a variation of backgrounds and knowledgeNormingStage where the group agrees how to operate as a team StormingOpen & honest discussion, also brainstormingPerformingAgreement on solutions & taking actionAdjourningClosing on the continuos improvement process after 30 days

John DeereSupplier Development11Kaizen TrainingWhat is TAKT Time?TAKT time is how many minutes or seconds are needed to make one part when considering the daily volumes, to be produced in that workcell and the total time available to perform the job.TAKT time is NOT the time it takes to manufacture the product. It is based on customer demand.Who is the customer?The next operationCustomer ordersJohn DeereSupplier Development12Kaizen TrainingTAKT Time CalculationProduction Time Available / PeriodNumber of Required Units / PeriodTAKTProduction Time Available / Period (one shift):Breaks - 2 @ 10 minutesShift Time ( 8 hrs. )Clean-up at end of shiftProduction Time Available:- 20 mins.480 mins. - 5 mins.455 mins.Units Required / Period (one shift):10,500 Units Sold Monthly21 Working shifts / month27,300 secs.or500 Required units / shiftTAKT Time:27,300 secs / shift500 units / shift54.6 secs.John DeereSupplier Development13Kaizen TrainingThe 5S Housekeeping StandardsFirst Step towards Continuos Improvement

The aim of 5S is to create an atmosphere to keep a clean, organized, safe and efficient workplace for everyone.The foundation for the practice of 5S, comes from a Japanese program derived from these words, seiri, seiton, seiso, seiketsu and shitsuke. The 5Ss are a conventional approach towards maintaining and improving the work place. The following words have been chosen for the 5S acronyms.SortSustainSanitize (Safety)StraightenSweepJohn DeereSupplier Development14Kaizen TrainingMeaning of the 5SsSortStraighten Sweep(Scrubbing clean)Examine everything at the workplace & identify what is needed and what can be discardedOrganizing the way things are put away with efficiency, quality, and safety in mind. Need to decide where and how things should be put away and what rules should be obeyed to insure that it is maintained. Sweeping, scrubbing and cleaning of the building, machines, fixtures & tools so that all areas of the workplace are neat & tidy. This leads to early detection of mechanical problems before they become major breakdowns. Machines cry!John DeereSupplier Development15Kaizen TrainingSanitize (Safety)Sustain(Standardize)Meaning of the 5SsInsuring that each workplace is properly designed for safety. This is to protect every member from the dangers during the performance of their assigned tasks.Developing the practice necessary to continually participate in the 5S process. This requires that each of the Ss become a personal habit. This is the most difficult of the 5Ss, but it is the most important factor in achieving long term success. Establishing routines and procedures for maintaining and improving on the first four (Ss), incorporating visual management tools.John DeereSupplier Development16WASTEKaizen TrainingJohn DeereSupplier Development17Kaizen TrainingDo MORE with LESSWasteProductivityStaffingProductivityJohn DeereSupplier Development18SHIFT MINDSETCURRENTTHINKINGREQUIRED THINKINGWASTE NOT DEFINEDREACT TO LARGE EXAMPLESREACTIVE IMPROVEMENTWASTE IS "TANGIBLEIDENTIFY MANY SMALL OPPORTUNITIES -LEADS TO LARGE OVERALL CHAGECONTINUOUS IMPROVEMENTWASTETYPES OFWASTECorrectionProcessingMotionWaitingInventoryTransportationOver- ProductionJohn DeereSupplier Development191. Transportation - Transporting 1. Transportation - Carrying farther than necessary or Tools to Point of Usetemporarily locating, filing,stacking and moving parts(people, paper, information) iswaste.

2. Correction - Doing something 2. Correction - Redo an Activityover is waste. Because of Error

3. Overproduction - Generating 3. Overproduction - Number of excess paper or information, or Copiesgenerating information or papertoo soon in a process is waste.

Definition ExampleELEMENTS OF WASTEJohn DeereSupplier Development204. Motion - Unnecessary work 4. Motion - Tools in drawers movements are a form of waste.

5. Waiting - Waiting for people, 5. Waiting - Meetings to start paper and information is waste - it stops work.

6. Inventory - Too much of 6. Inventory - Supplies anything is waste.

7. Processing - this is waste in 7. Processing - Typed when the process itself. Redundant handwritten would be activities sufficientDefinition ExampleELEMENTS OF WASTEJohn DeereSupplier Development21Kaizen TrainingStandardsEnforceInspect.StabilizeIdentifyWasteImproveProblem SolveStandardize Process requires ongoing inspection and enforcement to ensure Standardized Work is being followed Process does not improve automatically- Following standards will only maintain, not improve, the process.- Improvement focuses on the entire process.John DeereSupplier Development