lean manuf a cturing - industrial solutions · ¥ continuous flow in cells ¥ standard work ¥...

LEAN MANUFACTURING

How to Achieve

World Class Performance

Industrial Solutions, Inc.

The Principle Goal of Business

To Deliver Value

to the Customer


What Stands in the Way ?

Companies typically spend over 95% of their time and money doing things that

DO NOT ADD VALUE


Means “Waste”Muda


WASTE

Any activity that consumes resources

But does not create or add value

Non-Value Added


FORMS OF WASTE

• Overproduction: making items to fast or too soon

• Processing: unnecessary steps

• Transportation and Motion: Movement of employees and materials without adding value


FORMS OF WASTE

• Errors and defects

• Underutilized human resources

• Waiting for processing


How Much Waste?

In the average company over 95% of what goes

on is waste in some form


What is the Effect

• Limits to capacity

• Longer lead times

• Higher costs

• Cash tied up in the business

• Mistakes

• Late deliveries

• Customer defections

• Employee frustration


What is World Class Performance ?

• 99% on-time delivery

• 12+ Inventory Turns

• Single digit set-up times (SMED)

• COPQ < 2%

• OEE > 95% (Availability)

• 100% Pull; No MRP

• One Piece Flow

• Kaizen Culture


THE SOLUTION

A powerful, systematic approach which quickly yields dramatic improvements in cycle time, WIP inventory, throughput, productivity and quality.

The key is to reduce or eliminate

non-value added steps

achieving smooth, continuous flow

in response to customer demand

Lean Manufacturing


Lean is a Different Way

VALUE STREAM

FLOW PULL

PERFECTIONEMPOWERED PEOPLE


A “Lean Enterprise” is focused on creating flow in a “Value Stream”

This is fundamentally different than traditional organizations that are organized along functional boundaries devised in the early part of the last century. Most of the effort is expended in managing the interface between the boundaries

A Lean Enterprise is

Organized Differently


LEAN ENTERPRISE PRINCIPLES

Workplace

Order and

Cleanliness

JIT

Production

Six Sigma

Quality

Pursuit of

Perfection

Empowered

Teams

Visual

Management

What Does the Lean

Enterprise Look Like?


A Brief History of Lean Thinking

• Ford originated the idea of “flow”

• Toyota figured out how to flow with low volume and high variety

• Ohno created the Toyota Production System (TPS)

• Total Quality and JIT grew naturally from TPS


More History

• Nummi gave us the first complete picture (1984)

• Toyota Motor Manufacturing of America (Kentucky) launched the lean movement in America (1988)

• American success stories broke down the barriers


Documented Success

• The Machine that Changed the World, Womack, 1991

• Lean Thinking, Womack, 1995

• Becoming Lean, Liker, 1998

• Lean Enterprise Institute, 1999

• Industrial Solutions, Inc., 2000+


LEAN TOOLS

• Workplace Organization, Visual Controls, the 5-S System

• Point of Use Storage

• Quick Changeover

• Continuous flow in cells

• Standard work

• Pull/Kanban Systems


Flavor of the Month???

• Lean

• Six Sigma

• Lean Six Sigma

• Lean Six Sigma Logistics

• Lean this ….

• Lean that……….


Pull System

• Pull System is a flexible and simple method of controlling/balancing the flow of resources.

• Pull System consists of:

– Production based on actual consumption

– Small lots

– Low inventories

– Management by sight

– Better communication


Pull System Flow DiagramInformation Flow

Supplier

RawMatl

ProcessA

ProcessB

Fin. Goods

Kanban Locations

ProcessC

Customer

Parts Flow


What Does ISI Do?

• Brings years of practical experience to the transformation effort

• Develop a strategic vision

• Deploy the vision to the value streams

• Train and facilitate

• Develop your internal leaders


Strategy Deployment

• Most companies do not have a clear strategy

• Most companies that have a strategic plan do not effectively communicate the strategy to the workforce

• Your improvement efforts must be linked to your strategic plan


ISI Strategy Deployment Template

Corporate Goals

Value Stream 1

Value Stream 2

Cell Level


Roadmap for Change

• Management commitment

• Develop a “Vision”

• Strategy Deployment Session

• Train the employees

• Conduct shop floor events

• Select and train facilitators

• Lean Accounting

• Lean Office


SUSTAINABILITY

• Management Commitment

• Front Line Supervisory Skills

• Lean Performance Measures

• Long Term Strategy


MANAGEMENT COMMITMENT

“People will listen to what you say but they will only believe your actions”

The time it takes to implement a full lean conversion requires that it be part of a strategic vision. This requires top level involvement and commitment


FRONT LINE SUPERVISORS

• The Missing Link

• Measurable Management Program


LEAN ACCOUNTING

• Traditional cost accounting works contrary to Lean Thinking

• We need a new set of internal performance measures that support lean

• Association with BMA


Why Is the Success Rate So Low

• Wrong Assumptions

– People don’t like change

• People Do Not Act Rationally

• Company Culture is Powerful

• Mixed Signals from Management

• Measurements not tied to Strategy


TRAINING

The people who will make it work must be given the training to understand and apply Lean Tools


Instruction in Lean Tools

• Lean Manufacturing Simulation

• Value Stream Mapping

• Cellular/Flow Manufacturing

• Quick Change Over

• Total Productive Maintenance

• 5-S

• Performance Measurement

• Facilitator & Leadership Training


LEAN MANUFACTURING SIMULATION


Value Stream Map

• Helps to visualize flow

• Helps to find waste

• Provides a common language

• Ties together lean techniques; information and materials

• Provides implementation plan


VS MAPPING WORKSHOP

• 2-Days

• 5-15 People

• On Site Event

• Practical exercises using your actual process flows


Daily

Order

32

Pcs/

day

CustomerSupplier

Production Control

MRP - System

C/T: 12

min

C/O: 1 Hr

U/T: 100%

A

C/T: 14

C/O: 2 Hr

U/T: 80%

B

5 days

26 min12 14

2 days 3 days

Drawing The Future State


Other Workshops

• 5-S

• QuickChangeover

• Cellular Flow

• Pull Systems

• TPM

• Performance Measures

• Lean Accounting


THE PILOT PROJECT

• Demonstrate the concepts in action

• Allows opportunity to test ideas

• Does not disrupt entire plant

A “Kaizen” Event


PROJECT CHARACTERISTICS

• Management Selected

• Balance Ease with Impact

• Representative of Typical Production

• Visible and Frequent Cycle

• Low Cost Solution Options

• Immediate Implementation


Typical 1st Stage Projects

• Waste elimination

• Creating continuous flow work cells

• Setting up point of use storage

• Reducing set-up time

• Balancing operations to TAKT


Typical 2nd Stage Projects

• Setting up pull systems

• Setting up supermarkets

• Eliminating work orders

• Creating single-piece flow


Pilot Project Portfolio

• Cellular Flow

• 5-S

• Set-up Reduction


Thank You

Industrial Solutions, Inc

918-280-9051

www.isiworld.net

!

lean manuf a cturing - industrial solutions · ¥ continuous flow in cells ¥ standard work ¥...

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