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1.0 IntroductionLean manufacturing is the systematic elimination of waste from all aspects of an organizations operations, where waste is viewed as any use or loss of resources that does not lead directly to creating the product or service a customer wants when they want it. In many industrial processes, such non-value added activity can comprise more than 90 percent of a factorys total activityLean manufacturing or lean production are reasonably new terms that can be traced to Jim Womack, Daniel Jones and Daniel Roos book, The Machine that changed the world [1991]. In the book, the authors examined the manufacturing activities exemplified by the Toyota Production System. Lean manufacturing is the systematic elimination of waste. As the name implies, lean is focused at cutting fat from production activities. It has also been successfully applied to administrative and engineering activities as well. Although lean manufacturing is a relatively new term, many of the tools used in lean can be traced back to Fredrick Taylor and the Gilbreaths at the turn of the 20th century. What Lean has done is to package some well-respected industrial/manufacturing engineering practices into a system that can work in virtually any environment.2.0 Brief HistoryMany people and developments have been instrumental in shaping Lean. Key moments are described here.1913The first moving assembly line was built at Ford Motor Co. in Highland Park, Mich., USA. A chassis was pulled slowly across the factory floor.1924Sakichi Toyoda invented the world's first automatic loom, which could change shuttles without stopping operation. Years earlier he had invented a device that automatically stopped a loom if a thread broke, preventing waste. The concept of jidoka automation with a human touch was born.1927Kiichiro Toyoda, Sakichis son and the founder (and second president) of Toyota Motor Co., introduced a flow production method using a chain conveyor into the assembly line of a textile plant and later into the body production line at the car company, which was established in 1937.1949Taiichi Ohno, who later became an executive vice president at Toyota, was put in charge of a machining shop and experimented with setting up the equipment in various ways to produce needed items in a timely manner. After visits to Detroit, he created the basic framework for just-in-time and empowered production workers to stop the assembly line if there was a problem.1950Eiji Toyoda, Sakichis nephew, traveled to the United States to study Fords production methods and returned with ideas about how to redesign and innovate on Toyotas processes. Eiji later became chairman of Toyota Motor Corp.1956Ohno, who with Eijis support became one of the chief architects of the Toyota Production System, visited U.S. auto plants and supermarkets, where he conceived the kanban idea of using visual controls.1978Ohno wrote the book, Toyota Production System: Beyond Large-Scale Production.1987 John Krafcik, a researcher in the Massachusetts Institute of Technology (MIT) International Motor Vehicle Program (IMVP), proposes a label of Lean for the combination of methods pioneered at Toyota. A few years later, The Machine that Changed the World: The Story of Lean Production was published, the culmination of MITs five-year IMVP study.1988Ohnos book was translated into English.At PresentLean is widely applied in manufacturing and transactional environments across many industries in private, public and government sectors.3.0 What is Lean Manufacturing?James Womack, Daniel Jones, and Daniel Roos coined the term lean production in their 1990 book The Machine that Changed the World to describe the manufacturing paradigm established by the Toyota Production System.6 In the 1950s, the Toyota Motor Company pioneered a collection of advanced manufacturing methods that aimed to minimize the resources it takes for a single product to flow through the entire production process. Inspired by the waste elimination concepts developed by Henry Ford in the early 1900s, Toyota created an organizational culture focused on the systematic identification and elimination of all waste from the production process. In the lean context, waste was viewed as any activity that does not lead directly to creating the product or service a customer wants when they want it. In many industrial processes, such non-value added activity can comprise more than 90 percent of the total activity as a result of time spent waiting, unnecessary touches of the product, overproduction, wasted movement, and inefficient use of raw materials, energy, and other factors.7 Toyotas success from implementing advanced manufacturing methods has lead hundreds of other companies across numerous industry sectors to tailor these advanced production methods to address their operations.Lean production typically represents a paradigm shift from conventional batch and queue, functionally-aligned mass production to one-piece flow, product-aligned pull production. This shift requires highly controlled processes operated in a well maintained, ordered, and clean operational setting that incorporates principles of just-in-time production and employee-involved, system-wide, continual improvement. To accomplish this, companies employ a variety of advanced manufacturing tools to lower the time intensity, material intensity, and capital intensity of production. 4.0 The 3 Ms of Lean ManufacturingLean manufacturing is a Japanese method focused on 3Ms. These Ms are: muda, the Japanese word for waste, mura, the Japanese word for inconsistency, and muri, the Japanese word for unreasonableness. Muda specifically focuses on activities to be eliminated. Within manufacturing, there are categories of waste. Waste is broadly defined as anything that adds cost to the product without adding value to it. Generally, muda (or waste) can be grouped into the following categories:

1. Excess production and early production2. Delays3. Movement and transport4. Poor process design5. Inventory6. Inefficient performance of a process7. Making defective items5.0 The 7 WastesOne thing is certain: Waste is all around at work, at home and everywhere in between. As applied to business, waste, or muda in Japanese, is any activity that adds no real value to the product or service being created or delivered. The diligent ferreting out and elimination of waste in how work is performed is a fundamental tenet of Lean, the operational excellence strategy that was developed over many years and is widely used in business today.Lean battles seven commonly recognized wastes: transportation, inventory, motion, waiting, overproduction, overprocessing and defects. Following are explanations of these wastes, with examples in manufacturing and transactional environments.TransportationThe waste of transportation occurs any time goods or materials are moved. To be fair, some form of transportation will always be needed, but the act of simply moving things around the plant or office adds no real value to the product or service. In manufacturing, the most common form of transportation waste occurs when material is transported across the plant with forklifts. Additionally, conveyor systems are nothing more than elaborate and space consuming transportation waste creators. In a transactional environment, transportation waste occurs when documents or folders are transported around the office by person or internal courier.InventoryThe waste of inventory is tricky because for producers of any type of goods or services some inventory is needed. But inventory must be carefully controlled. To illustrate the point, imagine this situation: Bob has spent his life savings on soap that he hopes to sell for a profit. While this soap may indeed appear as an asset to his financial controller, Bobs kids are getting hungry and until he actually sells some of this soap, they will have to be content with peanut butter and noodles.MotionMotion is probably the most misunderstood waste of all. Often confused with the waste of transportation, the waste of motion is any movement of people that does not add value to the product or service. It is an extremely high productivity killer. Examples of motion waste: Whenever assembly operators are forced to walk away from their work area, or must reach and strain for a tool. Also, the 39 times a day office workers are forced to get up from their desk and walk 32 paces to the shared printer (1,248 paces).WaitingAnytime people are queued up, the waste of waiting is happening. For example, Bob flew overseas to sell some of his soap, only to arrive at customs where the line wrapped so far back he couldnt even see the end. Waiting is another productivity killer and is a major source of frustration for customers. It doesnt matter if the waiting occurs in the manufacturing area, the doctors office or the airport. Waiting stinks, so it should be eliminated altogether.Over ProductionOften called the mother of all wastes, overproduction occurs when a company produces more than its customer (internal or external) needs. This often happens in manufacturing when, in order to absorb long changeovers; an operator produces 100 widgets even though the customer ordered 25. Overproduction is also seen in non-manufacturing environments, such as restaurants throwing away excess food, which can definitely impact the bottom line. The reason this is the mother of all wastes is simple: The waste of overproduction gives birth to other wastes. Excess goods created by overproduction need to be moved around and stored (transportation and inventory), which takes people away from their work (motion). Overproduction even creates waiting, as it often delays production of products that customers actually want.Over ProcessingPerhaps the hardest waste to see and understand is overprocessing doing more than a customer asks for. For example, while a customer may indeed admire a lovely gold-plated finish to a product, they simply want, and are only willing to pay for, a bronze finish. In this case, a company is throwing away time and money by overprocessing with gold plating. Likewise, if a simple website explaining what a company has to offer will serve the purpose and convert leads into an acceptable level of sales, there is no need to spend $8,000 on the creation of the most amazing site ever seen.DefectsLast, but certainly not the least of the seven traditional wastes, is the waste of defects. Formally defined, a defect is any work that is less than the level the customer has requested. In manufacturing terms, defects occur when the product has something wrong with it, such as when an electronic device wont turn on because of a short in the circuit board. An example of a defect in a transactional environment: A procurement specialist, when entering a purchase order, might type 1,000 when they actually meant to type 100.The Eighth Waste-SkillsSometimes in focusing on the elimination of the seven wastes, companies forget about the aspect of Lean that is inherent in the philosophy as it was originally developed in Japan respect for people. In other words, the recognition that a companys most important assets are its employees. To that end, Lean practitioners sometimes add an eighth waste to the list skills. This waste occurs when a company does not fully leverage the gifts and talents of its associates. In fact, employees may even decide to leave a company for the simple reason that they do not feel as though they are being listened to or valued, and, as such, they feel like a number in a sea of numbers.6.0 Stages of Lean Application Demand Stage This stage refers to understanding the customer demand and incorporating it into the lean process. It involves knowing exactly the number of parts or products that the company needs to produce each day. There is an important concept called Takt time that can be used to define the customer demand. The word Takt comes from the German word rhythm, therefore Takt time determines the rhythm necessary to maintain customer demand. Takt time is calculated based in the following formula: Takt Time (TT) = Flow Stage In order to meet customer demand the company needs to implement a flow manufacturing of production to ensure that the customer will receive the right products on time and the right amount.Leveling Stage The leveling stage refers to leveling production; it means to spread the work required to achieve customer demand over a shift or a day.7.0 Methods to Implement Lean ManufacturingThere are numerous methods and tools that organizations use to implement lean production systems. The methods include:1. Kaizen Rapid Improvement Process2. 5S3. Total Productive Maintenance (TPM)4. Cellular Manufacturing / One-piece Flow Production Systems5. Just-in-time Production / Kanban6. Six Sigma7. Pre-Production Planning (3P)8. Lean Enterprise Supplier Networks9. Value Stream MappingWhile most of these lean methods are interrelated and can occur concurrently, their implementation is often sequenced in the order they are presented below. Most organizations begin by implementing lean techniques in a particular production area or at a pilot facility, and then expand use of the methods over time. Companies typically tailor these methods to address their own unique needs and circumstances, although the methods generally remain similar. In doing so, they may develop their own terminology around the various methods.KAIZENLean production is founded on the idea of kaizen, or continual improvement. This philosophy implies that small, incremental changes routinely applied and sustained over a long period result in significant improvements. Kaizen, or rapid improvement processes, often are considered to be the building block of all lean production methods, as it is a key method used to foster a culture of continual improvement and waste elimination. Kaizen focuses on eliminating waste in the targeted systems and processes of an organization, improving productivity, and achieving sustained continual improvement. The kaizen strategy aims to involve workers from multiple functions and levels in the organization in working together to address a problem or improve a particular process. The team uses analytical techniques, such as Value Stream Mapping, to quickly identify opportunities to eliminate waste in a targeted process. The team works to rapidly implement chosen improvements (often within 72 hours of initiating the kaizen event), typically focusing on ways that do not involve large capital outlays. Periodic follow-up events aim to ensure that the improvements from the kaizen blitz are sustained over time. Kaizen can be used as an implementation tool for most of the other lean methods.5 S5S is a system to reduce waste and optimize productivity through maintaining an orderly workplace and using visual cues to achieve more consistent operational results. It derives from the belief that, in the daily workof a company, routines that maintain organization and orderliness are essential to a smooth and efficient flow of activities. Implementation of this method cleans up and organizes the workplace basically in its existing configuration, and it is typically the starting point for shop-floor transformation. The 5S pillars, Sort (Seiri), Set in Order (Seiton), Shine (Seiso), Standardize (Seiketsu), and Sustain (Shitsuke), provide a methodology for organizing, cleaning, developing, and sustaining a productive work environment. 5S encourages workers to improve the physical setting of their work and teaches them to reduce waste, unplanned downtime, and in-process inventory. A typical 5S implementation would result in significant reductions in the square footage of space needed for existing operations. It also would result in the organization of tools and materials into labeled and color coded storage locations, as well as kits that contain just what is needed to perform a task. 5S provides the foundation on which other lean methods, such as TPM, cellular manufacturing, just-in-time production, and six sigma, can be introduced effectively.TOTAL PRODUCTIVE MAINTENANCE (TPM)Total Productive Maintenance (TPM) seeks to engage all levels and functions in an organization to maximize the overall effectiveness of production equipment. This method further tunes up existing processes and equipment by reducing mistakes and accidents. Whereas maintenance departments are the traditional center of preventive maintenance programs, TPM seeks to involve workers in all departments and levels, from the plant-floor to senior executives, to ensure effective equipment operation. Autonomous maintenance, a key aspect of TPM, trains and focuses workers to take care of the equipment and machines with which they work. TPM addresses the entire production system lifecycle and builds a solid, plant-floor based system to prevent accidents, defects, and breakdowns. TPM focuses on preventing breakdowns (preventive maintenance), mistake-proofing equipment (or poka-yoke) to eliminate equipment malfunctions and product defects, making maintenance easier (corrective maintenance), designing and installing equipment that needs little or no maintenance (maintenance prevention), and quickly repairing equipment after breakdowns occur (breakdown maintenance). TPMs goal is the total elimination of all losses, including breakdowns, equipment setup and adjustment losses, idling and minor stoppages, reduced speed, defects and rework, spills and process upset conditions, and startup and yield losses. The ultimate goals of TPM are zero equipment breakdowns and zero product defects, which lead to improved utilization of production assets and plant capacity.JIT / KANBANJust-in-time production, or JIT, and cellular manufacturing are closely related, as a cellular production layout is typically a prerequisite for achieving just-in-time production. JIT leverages the cellular manufacturing layout to reduce significantly inventory and work-inprocess (WIP). JIT enables a company to produce the products its customers want, when they want them, in the amount they want. JIT techniques work to level production, spreading production evenly over time to foster a smooth flow between processes. Varying the mix of products produced on a single line, often referred to as shish kebab production, provides an effective means for producing the desired production mix in a smooth manner. JIT frequently relies on the use of physical inventory control cues (or kanban), often in the form of reusable containers, to signal the need to move or produce new raw materials or components from the previous process. Many companies implementing lean production systems are also requiring suppliers to deliver components using JIT. The company signals its suppliers, using computers or delivery of empty containers, to supply more of a particular component when they are needed. The end result is typically a significant reduction in waste associated with unnecessary inventory, WIP, packaging, and overproduction.SIX SIGMASix Sigma was developed by Motorola in the 1990s, drawing on well-established statistical quality control techniques and data analysis methods. The term sigma is a Greek alphabet letter used to describe variability. A sigma quality level serves as an indicator of how often defects are likely to occur in processes, parts, or products. A Six Sigma quality level equates to approximately 3.4 defects per million opportunities, representing high quality and minimal process variability. Six Sigma consists of a set of structured, data-driven methods for systemically analyzing processes to reduce process variation, which are sometimes used to support and guide organizational continual improvement activities. Six Sigmas toolbox of statistical process control and analytical techniques are being used by some companies to assess process quality and waste areas to which other lean methods can be applied as solutions. Six Sigma is also being used to further drive productivity and quality improvements in lean operations. Not all companies using Six Sigma methods, however, are implementing lean manufacturing systems or using other lean methods. Six Sigma has evolved among some companies to include methods for implementing and maintaining performance of process improvements. The statistical tools of the Six Sigma system are designed to help an organization correctly diagnose the root causes of performance gaps and variability, and apply the most appropriate tools and solutions to address those gaps.VALUE STREAM MAPPINGValue stream mapping, a lean manufacturing tool, which originated from the TPS, is known as material and information flow mapping. This mapping tool uses the techniques of lean manufacturing to analyze and evaluate certain work processes in a manufacturing operation. This tool is used primarily to identify, demonstrate and decrease waste, as well as create flow in the manufacturing process. VSMs can be created merely using paper and pencil; however more advanced maps are created using Microsoft Visio as well as Microsoft Excel.The creation of a VSM is divided into five basic steps: 1) Identify the product. 2) Create a current VSM. 3) Evaluate the current map, identify problem areas. 4) Create a future state VSM. 5) Implement the final plan. The first step, identifying the product, consists of choosing which specific product the VSM will focus on. After the product used has been chosen, an initial VSM of the current process is created. Following the completion of the current map, the team evaluates the process and the steps involved. All this information is then compiled on a map and analysis is performed. On a typical VSM every step of the process is included. For each step, parameters could include cycle time, TAKT time, work in progress (WIP), set up time, down time, number of workers, and scrap rate. A VSM identifies where value is added in the manufacturing process. It will also show all other steps where there is non-added value. After analyzing and evaluating the current process of the product, the problem areas can be identified. Once it is changed the current process to minimize problem areas completely, it can create a final state VSM. The last step of the value stream mapping process is to implement the new ideas, which will in turn create a more efficient lean manufacturing process.8.0 The Five Steps of Lean ImplementationThe process used to implement lean manufacturing is a straightforward one. However it is critical that lean is implemented in a logical manner. The steps associated in implementing lean follow: Step 1: Specify Value Define value from the perspective of the final customer. Express value in terms of a specific product, which meets the customer's needs at a specific price and at a specific time. Step 2: Map Identify the value stream, the set of all specific actions required to bring a specific product through the three critical management tasks of any business: the problem-solving task, the information management task, and the physical transformation task. Create a map of the Current State and the Future State of the value stream. Identify and categorize waste in the Current State, and eliminate it! Step 3: Flow Make the remaining steps in the value stream flow. Eliminate functional barriers and develop a product-focused organization that dramatically improves lead-time. Step 4: Pull Let the customer pull products as needed, eliminating the need for a sales forecast. Step 5: Perfection There is no end to the process of reducing effort, time, space, cost, and mistakes. Return to the first step and begin the next lean transformation, offering a product that is ever more nearly what the customer wants.

9.0 ConclusionInspired by the excellent performance of Toyota, many companies would be interested in looking for more knowledge about Lean and the conditions required for implementation of the system in their own organizations. Most firms are actively working on improving their operational processes and develop their capabilities. The main purpose for everybody in the business world is to respond quickly to the demands of their customers. To stay competitive on the market managers today need to choose the best one of a great number of innovative tools and techniques. The real challenge is the question concerning how to incorporate these tools into day-to-day activities of the company towards successful implementation of these improvement programs in a long run.10.0 Referenceshttps://www.wpi.edu/Pubs/Eproject/Available/Eproject083107002611/unrestricted/Valuestreammapping.pdfhttp://core.ac.uk/download/pdf/5066619.pdfhttp://blog.gembaacademy.com/wpcontent/uploads/2009/09/7_wastes_isixsigma_magazine_0909.pdfhttp://www.levantar.co.uk/images/uploads/What%20is%20Lean%20Manufacturing%20pdf.pdfhttp://www.reman.org/pdf/leancasestudies.pdfhttp://www.engr.psu.edu/cim/ie450/ie450ho1.pdfhttp://www.epa.gov/lean/environment/pdf/leanreport.pdfhttps://www.sfsa.org/meetings/spring12/Lean%20Manufacturing.pdfhttp://pure.au.dk/portal-asb-student/files/9093/ak83188...pdf