Lean Management

Prof. Vivek Kumar

FIIB

Production Optimization Techniques

Kaizen

Poka-Yoke

Lean Manufacturing

Kanban

Production Management

Production Management : Managing production of product in cost effective manner meeting customer needs and

organizational objectives.

Toyota Production System Philosophy of complete elimination of waste, imbibing all aspects of production to get most efficient output.

It is integrated socio-technical system

Based on the concepts of

Jidoka – Automation with a human touch

Just in Time – Production as per demand

Developed by Toyota founders and the engineer Ohno along with Deming and Juran

Reduces lead time and cost with improvement in quality

Diversification and risk reduction strategy

Emphasis on human strength and ergonomics rather than process automation

Continuous experimentation and measurement strategy

Toyota Production System

Long term philosophy (Ford and Shingo)

Right process to produce right results with involvement of everyone

Value addition by developing people and partners (organizational commitments)

Continuously solving root problems through education and training and job empowerment

Production – The Toyota Way

Individual innovation

Motivation

Technology application

Creativity

Analysis and application of results

Innovation for Competitive Advantage

Innovation teams

Innovation Organization

Human Development Strategy

Human Assets Management

Selection and Recruitment as per QR

Training – Cultural & Job Specific

Motivation – Monetary & Recognition

Job Description / Empowerment / Ownership

Synergy at work

“Everyday and in every way, we should get better and better”

- Tiger Woods

“Do the right thing right, the first time and every time”

- Dr. Deming

Hence, Kaizen (Continuous improvement should be the way of doing business)

Kaizen

Management oriented – improvement projects and resource allocations

Group oriented – method and process design and monitoring systems

Individual oriented – job description, job empowerment and job ownership

Developing Kaizen Culture

Customer satisfaction – i.e. right product, at right place, at right time, at right cost

Supplier relations – vendor partnership, base rationalization and constant evaluation

Getting workers’ acceptance and overcoming their “resistance to change”

Waste elimination

Purpose of Kaizen

Perceptiveness – problem identification

Idea development – brain storming by focused team to develop innovative ideas (Quality Circles)

Decision implementation and effect – developing alternate solutions with their costing and implementation of “Appears to be the best solution”. Evaluation of effect on the process such as flexibility, cost and safety as prime parameters

Kaizen Components

Five “S” methodology (house keeping)

Suggestion system & PDCA cycle

Kanban system

Poka – Yoke

TPM

SMED

TAKT time analysis

Kaizen Tools

A lean technique for analysis of flow of materials and information, currently required to bring a product or service to a customer

It is also called “Material and Information Flow Mapping” at Toyota

Commonly used in Lean environment to identify opportunities for improvement in lead time

It can be used in logistics, SC or any service

Value Stream Mapping

Identify target product or service

Draw a current state value stream map, showing current steps, delays and information flow for product delivery

It can be a production flow or design flow

Assess the current state value stream map for eliminating waste

Draw a future state value stream map and implement the decided course of action

VSM Implementation

A Japanese word for “Prevention of Inadvertent errors”

The basic principle of poka-yoke is prevention of defects, rather than eliminating them

It is a zero defect control program

Mistakes can result from forgetfulness, misunderstanding, errors in identification, lack of skill, absent mindedness, lack of standards or equipment malfunctions

Poka - Yoke

Increase in Productivity and Quality

An approach for mistake proofing processes using methods to avoid simple human errors

With fewer or no mistakes, more units are available for use/sales

The time consumed on products is less due to standard method of work, hence, higher productivity

With mistakes reduction, quality improves

Poka - Yoke

Use check lists for operations and design sequences

Brain storm for all possible sources of errors and cater for their elimination during design/production

Use limit switches/warning lights for mistake identification

Use of computer based technology to minimize mistakes

Implementation of Poka - Yoke

Check lists

BPR

Color code for easy identification

JIT – Kanban system

Templates for product differentiation

Optical scanners and bar codes

Distinct packaging

Guide notches for correct matching etc

Various methods for Poka - Yoke

Losses due to over production

Losses due to waiting (including WIP)

Losses due to transportation

Losses due to inventory

Losses due to poor processing

Losses due to bad design/improper motion

Losses due to defective production

Identification of Losses/Wastes

Focused factory networks

Group technology

Quality at the source

JIT production/delivery

Uniform plant loading and minimum set up time

Kanban production control system

Optimal use of all resources

Elimination of Losses

Concept of JIT developed by Japanese

Little JIT

Production Scheduling and inventory management

Production just when needed

Materials just when required for next stage

Lean Production (Lean Factory)

Big JIT

Full range of organizational & operational improvements

Only one type of product with demand constant and firm

All resources for production available

Quality materials delivered just when needed

Processing time and sequence of operations for one unit is fixed and known

Machines well maintained and employees committed

Avoid waste of time, investment and ideal workers

Principles of Lean Production

Accomplishment of Lean Production

Design flow processes

Establish quality control systems

Stabilize schedules and material flow

Vendor partnerships with reduced lead time

Reduced inventories

Improved product design continuously (standardization, high volume, discrete units and automation)

Meaning of Kanban

It is a card or a sign through which we develop a scheduling system for communicating the demand to the delivery system.

It replaces all written work orders, move tickets and routing sheets

It authorizes movement of parts/materials through the production system, hence a physical control

Kanban

Kanban

Part Number & Name Proceeding

Process A12

Box capacity

Box Type

Issue No.

Subsequent

Process B 620 B 4 of 8

Part NumberPart Name

Process A 12

Stock Location

Container Capacity

Withdrawal Kanban Production Kanban

Kanban on Shopfloor

Input Area

Work Station

A

Output Area

Input Area

Work Station

B

Output Area

Pull System

Pull and Push System

A B

IN

OUT

1 2 3 4 5 6

7

8910111213

Mizusumashi JIT uses Kanban and Mizusumashi system

It is fixed, course pickup – production when needed

Workers move between assembly lines and storage and bring the material to the line. Such workers are called Mizusumashi

System was used in 1950’s for raw materials and components between the factories

Mizusumashi Manual movement to the shop floor as per WIP, through human carts/hands

Simulation can be tried for development design

Heuristic approach to work out minimum number of containers

Present system is AGV and Conveyors among processes and storages

Periodic review

Mizusumashi Parts are kept in the containers for handling / counting

Mizusumashi picks up only empty containers, goes to the storage area and fills up the empty containers. Then supply these containers to the work place

Worker (Technician) goes to the staging area to wait until the next review

Electronic Kanban between mill locations

In the present day set up, electronic Kanban signaling is utilized between, division plant location instead of manual Kanban system.

This has been developed to be compatible with the present ERP system, hence implementation can be done in conjunction with installation of ERP system, across various locations.

A system has been created as a stepping stone to the future ERP Kanban functionality.

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