Lean thinking as the enemy of muda Lean thinking provides a way to specify value ,line up value-creating actions

in the best sequence ,conduct these activities without interruption whenever someone requests them, and perform them more and more effectively. In short, lean thinking is lean because it provides a way to do more and more with because it provides a way to do more and more with less and less – less human effort ,less equipment, less time and less space- while coming closer and closer to providing customers with exactly what they want. Lean thinking also provides a way to make work more satisfying by providing immediate feedback (through jidokad pokayokce) on efforts to convert muda into value. It is a thought process that neatly ties together various lean techniques and methods like QFD, TPM, Pokayoke, total value engineering, NOAC and cycle time reduction. Lean thinking can be summarised in 5 principles:1) 2) 3) 4) 5) Precisely specify value by specific product. Identify the value steam for each product. Make value flow without interruptions Let the customer pull value from the producer Pursue perfection 1)value specification by the customer-value can only be defined by the ultimate customer .all the value space builders (components) must be precisely specified. Explicit as well as implicit needs must be carefully considered and delight features must also be included,. Lean Thinking therefore must start with a conscious attempt to precisely define value in terms of specific products with specific capabilities offered at specific prices through a dialogue with specific customers. The way to do this is to ignore existing firms on a product line basis with strong, dedicated product teams. 2)identify the value stream:- the valuestream is the set of all the specific actions required to bring a specific product/service into the hands of the customer. Its the whole process that is,the whole value chain. So lean thinking must go beyond the firm and look at the whole value chain. The organisation at mechanism for doing this is called as the lean enterprise , a continuing conference of all parties (suppliers, producers and customers) to review and recreate the whole valuestream and dredge away all the muda. This voluntary alliance must examine each value-creating step and will last as long as the product lasts. Crating lean enterprises does require a new way to think about firm to firm relations , some simple principles for regulating behaviour between firms ,and transparency regarding all the steps taken along the valuestream so each participant can verify that the other firms are behaving in accord with the agreed principles. 3)flow:- once value has been precisely specified the value stream for a specific product fully mapped by the lean enterprise, and obviously wasteful steps eliminated, its time for the next big step in the lean thinking – a truly breathtaking one :make the remaining , value – creating steps “flow” creating a continous flow in small-lot production: this is the step of kaikaku (radical improvement or precisely radical redesign of the valuestream ) rearranging batches of the valuestream rearranging, batches and department into continous flow

Time to market for new products will be halved and a wider variety of products can be offered at very modest additional cost. Getting value to flow faster always exposes hidden muda in the value stream. is to ignore the traditional boundaries of jobs . once the value is defined and the entire value stream is identified is to focus on the actual object the product . 4)full by the customer :. cost and mistake while offering a product which is ever more nearly what the customer actually wants. LEAN PERFECTION TOOLS 1) QFD 2) TPM 3) Pokayoke 4) NOAC 5) Total value engineering 6) Cycle time reduction . radical realignment of the valuestream. This is the JIT principle-Product/service must flow only upon customer information. Errors . and stoppages fo all sorts so that the design. And this is just to get started.this means built to order or produce to order. The ‘flow’ principle calls for formation of truly dedicated QFD multi-skilled teams to achieve Kaikaku. functions (often organized into departments ) and firms to form a lean enterprise removing all impediments to the continous flow of the specific product. the more the impediments to flow are revealed so they can be removed. order and production of the specific product or proceed continuously. is to rethink specific work practices and tools to eliminate backflows .3 steps to create flow :First step. combination of kaikau & kaizen can produce endless improvements. 5) Pursue Perfection:. space. the capital investment required will be very modest.there is no end to the process of reducing effort. What follows is continuous improvements by means of kaizen en route to perfection. careers. The first four principles interact with each other in a virtuous circle. This is the kaikaku bonus released by the intial . which makes the first step possible. The third step . scrap . defects and scrap will be halved (within the production process and these reaching customers). time. dedicated product teams in direct dialogue with customer always find ways to specify value more accurately and often learn of ways to enhance pull and flow as wwll. even negative . And the harder you pull. Getting the kaikaku bonusConverting a classic batch and queue production system to continuous flow with effective pull by the customer will double labour productivity while cutting production throughput times by 90 % as well. if facilties and equipment can be freed up and sold.and never let it out of sight from beginning to completion. Whats more . Second step. This step avoids building inventories and time traps throught the process of creating value. The customer must be in charge of value.

ensures that their effort are focussed on resolving key trade offs in a consistent manner against measurable performance targets for the product. machine and plant productivity and throughput. These methods improve worker-maintenance teamwork to reduce equipment problems TPM reduces lifecycle equipment costs. TPM-total productive maintenance I.1) QFD-Quality function deployment The lean approach is to create truly dedicated product teams with all skills needed to conduct value specificat ion.tool and production planning in one room in a short period of time using a proved team decision making methodology commonly called QFD integrates the perspectives of team members from different disciplines (Cfts). The use of QFD eliminates expensive backflow and rework and scrap as projects near launch. purchasing . also QFD accelerate product development and cuts development time by half as well as the cost of development. Benifits of ipm are expressed by a following diagram III. 2) TPM-total productive maintenance This includes a series of techniques to improve equipment. 5)reduce life-cycle equipment costs II.maintance personnel teams for preventing.Objectives 1)to improve FOE(factory overall efficiency) fromy % 40%-50% to above 85% (foe %=yield% into uptime% into machine efficiency% Machine efficiency = runtime/runtime + setup +chanfeover time) 2)radically improve process/equipment quality and productivity 3)improve plant throughput rate or flow rate. not correcting equipment problems.general design. Methodology of IPM: 1)improve product yields using doe 2)improve machine yields using doe 3)improve machine efficiency by achieving set up time r Ductions of 50% . reduce cycle time and inventories 4)establish production workers.detailed engineering .

. instead the customer and products and solution were ignored . This tam is formed for each product to stick with that product during th entire production life. . and often both at once) which meets the customer needs at a specific price at the specific time. vibration.this is because lean organisations are always freely up substantial amounts of resources.they need to find more sales right now. dedicated product teams consist of people from various disciples like marketing . The walls are created by industrial age attitudes. noise and lubrication. tooliy & process engineering etc.4)promote preventive maintance by encouraging operations to perform routine activities like cleaning. Those boundaries can be dissolved through TPM and synergy betters production and maintance can be created Lean thinking (continued ) Customer value is the totality of Value consist of fulfill all ice 6 basic wants of the customer . product engineering .value can only be defined by the ultimate customer and its meaningful if it can be experessed in terms of a specific product (a good or a service .instead the customer and producer focussed on the value the customer really needs-value in unimagined dimensions. positional logs etc 5)promote predictive maintance (with diagnostics and alarm signals) that can monitor key process variables such as temp.it proceeds to enter into a continuing dialogue with leading customers in which all the old products and solutionsomer and producer focuses were ignored. In lean thinking. lubrication.giving customers unique value proposition-so that most firms can boast sales immediately.the critical starting point for lean thinking is value. TPM dissolves the wall/boundary betters Productions and maintance.if they are to defend their employees and find the best economic use for their employees and find the best economic use for their assets as they strike out on a new path.so lean thinking starts from this requirement .beecause this is often the key to finding more customers and sales very quickly is critical to the success of lean thinking . record keeping. Its vital that producers accept the challenge of redefinition of value-giving uvp to the customer.

select two or 3three most important steps to get you there and defer the other steps until later (using the pareto principle of vital few first. Sadly many other firms which set off full of vision. the top management agrees on a few goals for transitioning from mass to lean to select a few projects to achieve these goals.STRATEGIC TRANSFORMATION FROM MASS TO LEAN THROUGH ANNUAL. tts eseential to openly discuss the amount of resources available in relation to the targets so that everyone agrees by consensus as the process begins that is actually doable. Whats needed instead is to form a vision. which summarizes the goals(objective) the projects for that year and the targets for these projects so everyone in the entire organization can see them. Most organizations trying to do this find it easiest to construct an annual policy deployment matrix. and. In doing this . to designate the people and ther resources for getting the projects done. once the specific projects are agreed on its essential to consult with project teams about the amount of resources and time available to ensure that the projects are realistic. finally to establish numerical improvement targets to be achieved by a given point in time. It’s also important to note that the process is top down in the first step of setting goals but top down/bottom up in the subsequent steps. The teams are collectively responsible for getting the job done and must have the authority and resources from the outset . . energy and high hopes. trivial many later or none at all) By policy deployment. Policy deployment-focussing energy to banish muda:firma which never start down the path because of a lack of vision obviously fail. make very little progress because they go tearing off perfection in a thousand direction and never had the resources to get very far along any path. For example.LEAN POLICY DEPLOYMENT MATRIX.

he says that we must alternate between these two tyes of actions.the objective is to covert from TOP-DOWN leadership into bottom up initiatives Former CEO and chairman of intel corporation Mr.FROM POLICY DEPLOYMENT TO POLICY MANAGEMENT In truly lean firms . . This dynamic can be extremely productive. it is upto Senior management to rein in chaos. This happens when there are value stream managers for every value stream and employees across the enterprise have learned to see the four things (first four principles of lean)as a result. The wisdom to guide the company through The “VALLEY OF DEATH” cannot as a practical matter reside solely in the hands of the top management. this dynamic is a must. the ideas for further improvement in every value stream continually bubble up to Senior management which needs only reconcile conflicts and make sober judgements on just how many improvements initiatives can be supported at one time. A pendulum like swing between 2 types of actions is the best way to work your way through a strategic transformation. The solution is not to find many brilliant managers but to perfect the process—the value stream-for every value creating activity and then rejoice in the fact that average prople can get brilliant results and get them consistently. A few brilliant process thinkers in the lean promotion office are sufficient to tackle the most difficult issues and average managers bring these issues to the notice of senior managements attention a part of policy management. Toyota obtains brilliant results from average managers utilizing brilliant process while it’s competitors obtain mediocre results from brilliant managers utilizing broken processes. After a creative chaos reign and a direction becomes clear . PD matures into PM . Andy Grove calss the transition a Dynamic Dialectic bet top down actions and bottom up actions.

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