Lean Manufacturing Breakfast Seminar Part 2 Seven Wastes And The Tools to Fight Them

This programme is funded by the European Union

under an Agreement with the Government of the Republic of Trinidad and

Waste

The essence of lean manufacturing is ide All processes either add value or waste.

Through waste elimination, opportunitie

to create competitive advantages.

Value

= what the customer is prepared to pay f

Waste

Waste Material Time Equipment Finished Goods Hidden Costs Set up and changeovers Reduced Speed Breakdowns Idling and Minor Stoppages Defects, Rework Overproduction The Seven Wastes in Manufacturing

1. Overproduction 2. Waiting 3. Transportation 4. Processing 5. Motion 6. Defects 7. Inventory 8. Underutilized People

(After Womack Jones Roos The Machine That Changed The World: The Story of Lean Production, 1990; Womack Jones Lean Thinking, 2003)

1. Overproduction

Overproduction is the production of an it

Overproduction drives high inventory lev

Overproduction has a negative impact on

Overproduction leads to all other forms o Just in Case production Overproduction Countermeasures Turn off the tap Reveales underlying problems Order-based scheduling Improve setup/changeover capacities 2. Waiting

Waiting for the next process step is typic

Waiting is a major cause of production a Waiting is mostly due to long runs, poor Waiting Countermeasures Redesign production flow Interfaces Shorten production cycles Kanban Scheduling Teamwork 3. Transportation and Excess Motion

Unnecessary movement of materials, peo

Excessive walking, bending, lifting and h

Transportation is a cost factor, and exce Transportation and Excess Motion Countermeasures Process Mapping Ergonomics Workplace Redesign Shorten distances and processes Teamwork

4. Processing Overprocessing is processing an item to

Overprocessing implies overkill in techno

Inappropriate technologies result in larg

Overprocessing drives high asset utilisat Processing Countermeasures Appropriate Technology Appropriate Automation Levels Flexible Options Total Productive Maintenance

Teamwork 5. Defects

Defects result in rework, adaptations, an

Defects drive costs associated to materia

Defects are the primary metrics in Six Si Defects Countermeasures Quality Control Benchmarking Continuous Process Improvement

Teamwork 6. Inventory

Inventory levels are a yardstick to measu

Excess inventory utilises shop floor spac

Work in Progress inventory levels corres

Inventories devour capital, and inventory Inventory Countermeasures Redesign production flow Interfaces

Order-based scheduling One-Piece-Flow 7. Underutilized People

People are hired for specific jobs and fun

Peoples motivation and problem-solving

The value of transparency, communicatio

Peoples involvement is key to any kind o Underutilized People Countermeasures Management by Objectives Performance Appraisal, Bonus System

Teambuilding Training Multiskilling

Lean manufacturings basics to eliminate

waste and focus on processes that add va Value Stream Mapping Flow Cellular Production Pull Scheduling Continuous Improvement

Value Stream Mapping

Typically, as much as 60% of operations i final product and can be eliminated.

medium sized enterprises does not add v

Value Stream Mapping helps to identify t

flows of material and information in proce improvement that will most significantly performance. Value Stream Products/Processes Matrix Products Processes Functional Focus Value Streams

range of products, highlighting the oppor

Product A Product B Product C

Value Stream Mapping Broad perspective of value streams Objectives: Increase customer responsiveness Identify opportunities Specify added value Process Mapping Sequential process charts Objectives: Identify wastes Specify improvements Streamline processes Standardize steps Build consensus

Process Mapping Example Process Mapping - Current, Future State Flow Key Objective: Tools: Takt Time Calculation Overall Equipment Effectiveness Set up reduction Standardised Work Levelled Production Work Balancing Pull Scheduling, Kanban Error Proofing 5 S, Visual Controls, FiFo

Align processes to suit customer requirem

Flow Levelled Production Monthly customer demand translated into a daily mix of products Flow - Cellular Production Flow Takt Time
Takt Time = Production Time Available
__________________________________

Customer Demand

Crew Size = Sum of Manual Cycle Time

__________________________________

Takt Time

Example Production Time Available = 420 mins per day

Customer Demand = 500 parts per week = 100 parts pe Takt Time = 420 / 100 = 4.2 minutes Cycle Time = 1,400 seconds Crew Size = 1,400 / 242 = 5.6 = 6 staff, strive for cycle reduction as to arrive at crew size of 5 staff

Overall Equipment Effectiveness

OEE = Availability/Uptime x Productivity/Speed x Quality % Typical: 50-60% World Class: 85% Example Availability 86%, Productivity 60%, Quality 96% OEE = 0.86 x 0.6 x 0.96 x 100 = 49.5%

Just in Time
Little or no inventory Supplying the production process with the right part, First in, first out flow

When a preceding process does not receive a request,

Small buffers accomodate minor fluctuations, yet allow

Pull Scheduling 5 S / 5 C
Seiri - Sort, Housekeeping Seiton - Set in order, Workplace organisation Seiso - Shine, Cleanup Seiketsu - Standardize Shitsuke - Sustain

Clearout & Classify clear up space Configure Standard layouts Clean & Check ensuring equipment fit for purpose Conformity standardize, communicate new standard Custom & Practice make it a habit and review freque

Metrics
Primary Metrics Six Sigma: Defects Primary Metrics Lean: Time Principles for Lean Metrics

Keep it simple. Use metrics that are easy to compile a Limit the metrics. Metrics only have to signal an alert; Use tripwires. Daily or weekly metrics only need to ale

Benchmarking
Adopting Best Industry Practices Setting Standards Quality Management Continuous Improvement

Deming Cycle Plan Do Check Act (Project Mgmt) DMAIC Process Variant (Six Sigma) Define Measure Analyze Improve Control Plan

Define a problem, an opportunity Analyze the situation. Brainstorm on causes and possi Develop an implementation plan Do Implement change/test Document processes Collect data Check Analyze data/results Monitor trends/levels Compare results against plan Act

If results are as expected, conclude/adopt > benchma If results are not as expected, revise plan Document processes

Continuous Improvement

Establishing an environment that fosters continuous definition, measurement and improvement of key processes driving performance.

ays in identifying problems.

bility, quality and cost.

erial, parts, sub-assembly and finished goods

ality and costs. and safety.

ciency rates, and high depreciation costs.

d overproduction.

ontrol etc.

me, inhibits communication, complicates the tr

turing investments.

d creativity are underutilised and generally m

e appropriate.

Prioritize.

ed goods storage not adding value to the bus

osts.

tes the tracing of defects.

nerally misunderstood.

o the business.