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Copy of Lean Theory


Angel Garrorena

on 11 May 2013

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Transcript of Copy of Lean Theory

Suppliers Roots of Lean 1820 Captain John H. Hall, American Manufacturing System, semi-skilled labor using machine tools and templates (or jigs) to make standardized, identical, interchangeable parts, manufactured to a tolerance. 1890s Frank Gilbreth, motion efficiency and 17 basic motion steps (therbligs)
1911 Frederick Winslow Taylor scientific management, standardization and best practice deployment (Principles of Scientific Management, 1911).
1911 Henry Towne, American Society of Mechanical Engineers, process productivity issues – lean forerunner. 1910s Henry Ford, focus on waste and mass assembly manufacturing system.

"I believe that the average farmer puts to a really useful purpose only about 5% of the energy he expends. …” (Henry Ford, My Life and Work, 1922)
Design for Manufacture (DFM) and Just in time manufacturing 1940s Taiichi Ohno, Toyota, Toyota Production System (TPS)
1950s-1990s Shigeo Shingo, Toyota, single-minute exchange of die (SMED) and error-proofing (poka-yoke)

1990s-present Womack, Jones & Roos, Lean Manufacturing and Lean Thinking Source: Lean Enterprise Value: Insights from MIT’s Lean Aerospace Initiative by Earl Murman, Thomas Allen, Kirkor Bozdogan, Joel Cutcher-Gershenfed, Hugh McManus, Deborah Nightingale, Eric Rebentisch, Tom Shields, Fred Stahl, Myles Walton, Joyce Warmkessel, Stanley Weiss, Shela Wdnall, (Pagrave, 2002) “Becoming ‘lean’ is a process of eliminating waste with a goal of creating value” Work force Customers
Without defects
At the lowest possible cost A set of principles, concepts, and techniques designed as a relentless pursuit to reduce waste. Lean is about speed and efficiency Exactly what they need
When they need it
In the correct quantity
In the expected sequence Customers Work Force
Womack & Jones 1996 Specify value from the customer’s perspective
Identify the value stream
Make value flow continuously
Let customers pull value
Relentlessly pursue perfection What is Value? Critical questions we must ask ourselves.

Do we truly understand value from our customer’s perspective - both internal & external?

Are we truly focused on providing that Value?

What are the barriers & obstacles preventing us from focusing on, & providing that value? Critical starting point for Lean Can only be defined by the ultimate customer Value Added, Business Value, Non Value Added Source: Murman, et. al, Lean Enterprise Value What is Waste? “Waste is anything other than the minimum amount of equipment, materials, parts, space, and worker’s time which are absolutely essential to add value to the product.” Lean = Seeing & Eliminating Waste & Under Utilization of people U O Over-Processing O Over-Production W Waiting D Defects I Inventory (Excess) M Motion T Transportation Transportation Waste caused by unnecessary movement of material or product Inventory Waste of materials, parts, and assembled goods when purchased or produced in advance of customer requirements. Increases Cycle Time & Process Lead Time Motion Waste caused by non-value added movement of workers and/or production machines

Primary Causes:
Inefficient workplace layouts
Inefficient tools and/or fixtures
Lack of standard Work causing inconsistency
Batch movement of product Waiting Waste that occurs when the hands of an operator are idle. Over-production Waste caused by producing more than the customer needs (Push). This type of waste leads to excessive inventories. Over-processing Waste caused by unnecessary or non-optimized processes and/or operations. Defects/Rework Primary causes:
Poor procedures or standards
Non-conforming materials
Worn or out of tolerance tooling
Human mistakes Waste that occurs when a process, product, or data does not conform to proper specifications. The result could cause product rework, scrap, or the escape of a defect to the customer. Under Utilization of Personnel Primary Causes:
Inefficient facility layout
Process islands vs. continuous flow
Batch (push) mentality
Lack of Right-Sizing
Long setup times
Lack of multi-skilled workers Value Stream Analysis Value Stream Analysis is the key to all improvement activities.
Includes the entire set of activities running from requirement to finished product for a specific product or service.
Seeks to optimize the whole from the standpoint of the final customer. Process,
activity, or
function Process,
activity, or
function Process,
activity, or
function VSA vs BAU Value Stream Approach Business as Usual Process,
activity, or
function Process,
activity, or
function Process,
activity, or
function Toyota Production System Taiichi Ohno/Shigeo Shingo found the real challenge was to create continuous flow in "small-lot" production

Ohno achieved small lot continuous flow by:
Aligning equipment & resources to the Value Stream
Physically locating machines close together
Driving down batch sizes
Quick changeover of tools - SMED
Splitting and right-sizing of operations
Cross Training
Simple production control processes – Pull / Kanban
Aggressive root cause analysis
Application of Lean tools such as Kitting, POUS, and visual controls Flow Single Piece Flow Op # 5
Bill Customer Op # 4
Route to Customer Op # 3
Order Part Op # 2
Check Order “Little’s Law” Op # 1
Take Order 5 operations, 30 seconds each
5 people
No move time

Batch of 5:
Process Cycle Time = ?
One-piece flow:
Process Cycle Time = ? An Example: Batch vs. Lean Small Batches Equate to Reduced Lead Times Pull Production Production Control System for the Lean Process
Regulates the Release of Materials into the Process
Controls the Build Up of Inventory in the Process Process In Material Raw B OPER A OPER OPER C Finished Part Kanban Let Customers Pull Value Pull - A customer-driven system that produces and moves a product/service only when the customer needs it.
Push - Work is pushed into the system or process based on forecasts or schedules.
No one upstream produces a good or service until the downstream customer asks for it.
Replaces “Ready or not here I come” with “OK, Now I’m ready” Begins with understanding the LSS Principles & visualizing the “perfect” process at the outset
No matter how much you improve a process to make it leaner, there are always ways to continue to remove waste by eliminating effort, time, space and errors.

Achieving the “Lot Size of 1”

Achieving Continuous Flow

Achieving a CPI Culture Its Cultural
“One Million – That’s how many ideas Toyota implements each year. Do the math: 3,000 ideas a day. That number, more than anything else, explains why Toyota appears to be in a league of their own, while their competitors remain caught in a cross-fire of cost-cutting”

Here’s the thing: it’s not about the cars. It’s about ideas. And the people with those ideas. But not just any ideas. Mostly tiny ones, but effective ones none-the-less – elegant solutions to real world problems. Not grand slam homeruns, but groundball singles implemented all across the company by associates that view their role not to be simply doing the work, but taking it to the next level…every day, in some little way. Good enough never is.
When an entire organization thinks like that, it becomes unstoppable.
How do we know when we get there? Layout Teams Batch Reduction Set Up Reduction Point of Use System Root Cause Analysis Cellular/Flow Value Stream Mapping Visual Controls 5S + 1 Standard Work Mistake Proofing Continuous Improvement Pull / Kanban Lean Tools Value Stream Analysis Provides a big picture perspective that focuses on improving the whole not optimizing pieces of the process

A visual tool to help see and understand the flow of Material and Information

All actions currently required to deliver a product or service are mapped.

Includes all Process Owners

Identifies Non Value Activities and produces an Action Plan to eliminate Non Value Added Activities – WASTE

Requires physically observing the process area in question

Value Stream Maps can be done for single processes, for single Work Centers (door-to-door), for multiple Work Centers, across departments, across Commands, or across the Marine Corps. F/A 18-C Phase D - SIPOC Flight Schedule NALCONIS IMRL HAZMAT GSE Logs & records Logs & Records Updated Jet Scheduled for Phase Production Control Hanger Bay Control Ships Supply VMFA 323 VFA 146, 147 CAG 9 Process Customers Outputs Inputs Phase D Maintenance Performed Logs & Records Reviewed for TD’s & Up Gripes Jet Consumes Flight Hours Installation Skilled Technicians Updated Logs &
Records Phase Parts Phase Schedule Phased Jet. Phase Deck Perform Scheduled Phase D Maintenance Maintenance Process Current State VSA F/A 18-C Phase D Why is this Important ? Identify the Information Flow Collect Process Data Map the Individual Steps Agree on Sub Processes Define the Boundaries Maintenance Process Current State VSA F/A 18-C Phase D Non-Value Added - Waste Business Value Value Added Total # Steps – 162 Steps
Value Added – 9%
Non Value Added – 91%
Current Cycle Time/TRR = 2 x 12 hr shifts Current State Process Data Summarize Current State Process Data Identify Improvement Opportunities Examples of High Impact Improvement Opportunities Multiple In-Work Iteration
Multiple AWP Iterations
Re-Work Loops
Low First Pass Yield
Excessive in Process Motion
Multiple Trips to/from the Work Center
Waiting Time – Parts, Assist, CDI, Supervisor, PC, Parts
Excessive Inspections Maintenance Process Future State F/A 18-C Phase D 50% Improvement 30% Improvement 58% Improvement 58% Improvement Total # Steps – 67 Steps

Value Added – 33%

Non Value Added – 67%

Future Cycle Time/TRR – <12hrs Future State Process Data “As Is” Flow of Information Additional Types of Process Mapping “Swim Lane” Standardize
Sustain 5S A process and method for creating and maintaining an organized, clean, high-performance workplace
A conditioning discipline for continuous improvement.
5S stands for: 5S Number Simulation VSM Why 5S is Important Creates a proper environment for standard work
Pre-requisite to perfect quality
Encourages visual control
Intolerant to waste
Places high value on safety Sort Definition: To sort often used items from infrequently used items and to dispose of items that are not needed Clearly distinguish needed from unneeded (parts, tools, etc.)
Implement ‘Red Tag’ Sale After Before Separate & Discard Straighten Definition: To have a designated place for everything and to have everything in its place After Before Arrange & Identify
Outline, label and color code all needed items for immediate and easy retrieval - the 5 second rule! Shine Definition: To clean everything in your work area

Why: Creates a more satisfying work environment

Fewer breakdowns
Increased safety
Improved product quality After Before Visually Scan/ Clean Daily
Keep everything neat & tidy through visual and physical sweeping Standardize Definition: To maintain guidelines for the first three S’s (Sort, Straighten, Shine)

Prevents regression to an unclean environment
Eliminates the need for “Special Clean-up Efforts”
Increases FOD prevention efforts

Implement with Visual Controls A place for everything and everything in its place Sustain - Discipline Definition: To practice and repeat until 5S becomes part of the culture of the entire organization
Why: Makes “Housekeeping” part of our everyday routine
Motivate Sustainment: Use Visual Controls, Engage Leadership 5S + 1 (Safety) Common Sense is Good Sense 5S Summary Only leave in place those things that are necessary to support the Least Waste Way

Ensure everything required, has a place, and can be easily reached - like an operating room or a jet cockpit

Always incorporate Safety in 5S procedures
5S creates the proper environment for Standard Work Sort
Shine Why:
Removes waste
Increases safety
Gains space
Visualizes the process Why: Saves time, Creates shorter travel distances, and shows what is required or out of place Make it obvious where things belong, use:
Signs Visual Controls Use signals, lights, diagrams, charts and signs to : Examples of Visual Controls Shadow boards for tools, supplies, and safety equipment

Color coding such as Green/Yellow/Red

Lines on the floor to delineate storage areas, walk ways, work areas, etc.

Marks to indicate correct machine settings
Andon lights

Standard work instructions, standard operating procedures (SOPs)

Kanbans to control production Examples of Visual Controls A Signal to
Induct an engine
when RFI
pool has spot Examples of Visual Controls AIMD Norfolk – 400 Division Eliminates Need for Time- Consuming ATAF Logs Tool Status Identified at All Times
TAG System Provides Complete Accountability IMA North Island – 400 Division Examples of Visual Controls Simple signals that provide an immediate understanding of a situation or condition. When anyone can walk into a workplace and visually understand: The current situation
The work process
Ahead, behind or on schedule
When there is an abnormality Clearly define the normal condition or a required action
Expose the abnormal undesired condition - real time Standard Work
Standard Work eliminates the possibility to do anything but follow established best practice Why Standard Work is Important
Critical in guaranteeing success every day

Increases quality and first-pass yield

Critical for effective Point of Use System (POUS) & 5S Standard Work Example Checklist - Masking for chrome plating Standard Work Example Spaghetti Chart Standard Work Example “To standardize a method is to choose out of the many methods the best one, and use it.
Today’s standardization, instead of being a barricade against improvement, is the necessary foundation on which tomorrow’s improvement will be based.
“If you think of ‘standardization’ as the best that you know today, but which is to be improved tomorrow, you get somewhere. But if you think of standards as confining, then progress stops.” Henry Ford, 1926 Lowers Cycle Time/TRR
Reduces variation - Work is performed the same way every time

Decreases learning curve for rotating workforce

More time is spent performing Value-Added activity

Reduces time and cost across the Value Stream:
Supply knows what to Supply and when

Tools, IMRL, paper work, and etc are also known

Support organizations are more responsive Set-Up Reduction Set-Up is NVA

Set-up activities include:
Get tools, IMRL, etc.
Hook up cables
Re – “anything”
Find files, tools, information, etc.
Position fixtures (overhead cranes)

Set-up is NOT just about machines or manufacturing:
Prioritizing tasks
Waiting for necessary information
Inspect and correct information Personnel What Does It Take to Perform Surgery? POU is a practice that ensures that the right information, parts, tools, and equipment are available where and when they are needed. Point of Use Equipment Facilities Surgical Instruments Medical Supplies Surgical Parts Information POUS PUBS POUS PUBS POUS HAZMAT POUS Engine Rebuild Cages POUS Engine Rebuild Cages POUS IMRL POUS Consumable Kits POUS IMRL POUS & Visual Tool Boxes POUS & Visual Tool Boxes POUS Consumable Kits AIMD Norfolk – T64 Line Kitting
Advantages of Kitting:
Reduces set-up time
Increases operator value added time
Reduces cycle time/TRR
Reduces inventory
Improves inventory accuracy
Reduces errors
Protects parts
Minimizes packaging waste Surgical Kit Engine Kit
MALS 39 Camp Pendleton Delivery
Located @ point-of-use (POU)
Issued to mechanic
Returned empty for refill

Everything required for job (Consumables, parts, tools, fixtures, work instructions, etc.)
In the quantities needed for the task

In the sequence used
On carts or in container or bins F/A 18-C Phase D Maintenance – USS JOHN C. STENNIS POUS & Kitting Kitting provides required parts and tools to a work area in an organized method in order to maximize efficiencies.
Kitted items are presented in a logical order so they can be removed quickly and in a sequence to support the task. Mistake Proofing Mistake proofing is an important Lean technique to prevent mistakes before they create defects.

Devices which prevents mistakes to eliminate defects.

Methods to ensure that processes and products are designed to prevents errors from occurring. Why is Mistake Proofing Important? Accept no defects, make no defects, pass no defects! Enables continuous work flow & reduces cycle time/TRR.
Builds quality into the process, reducing the number of in-process inspection interruptions.

Is a critical element of perfecting standard work.

Enables quick detection of defects to prevent passing to the next process or customer.
Improves FPY & reduces operating expense. Everyday Examples of Mistake Proofing Everyday Examples of Mistake Proofing Lean Principles Pursue Perfection Lean Simulation
(One Piece Flow/WIP Reduction) Building Block Assembly Information Red Blk Blk Blk Brown Brown Red Red Red Red White White BLK BLK BLK Brown Brown Red White White Brown Brown Red White Red White STATION #5
QA STATION #4 STATION #3 STATION #2 STATION #1 Building Block Assembly Instructions RED RED Black Black RED RED Station 4 Station 3 Station 2 Station 1 Brown RED Brown WHITE Black WHITE Simulation Metrics Lean Summary Lean has its roots in the early American production system, it was improved by Ford and then by Toyota.
Lean focuses on process efficiency & speed.
Lean provides powerful tools to identify and eliminate waste from any process.
Improves quality
Increases overall customer satisfaction
Improves employee morale and the working environment
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