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Lean Manufacturing Glossary

The following are some common lean manufacturing terms. For more detailed information, including relevant books and training tools, use the links on the left column under Topics.
1 5 Why's A simple but effective method of analyzing and solving problems by asking 'why?' five times (or as many times as needed to find the root cause). The principle of waste elimination through workplace organization. Derived from the Japanese words seiri, seiton, seiso, seiketsu, and shitsuke. In English the 5S are sort, straighten, sweep, standardize, and self-discipline. There are 7 types of waste that describe all wasteful activity in a production environment. Elimination of the 7 wastes leads to improved profits. The 7 wastes are 1) Overproduction, 2) Transportation, 3) Motion, 4) Waiting, 5) Processing, 6) Inventory, and 7) Defects. This "A3" sized (11 inches x 17 inches) form is used at Toyota as a one-sheet problem evaluation, root cause analysis, and corrective action planning tool. Being able to see and quickly take action to correct abnormalities (any straying from Standard Work). This is the goal of standardization and visual management. A management accounting system that assigns cost to products based on the resources used to perform a process. Agile manufacturers must recognize the volatility of change, and put mechanisms in place to deal with it. A tool of visual management, originating from the Japanese word for 'lamp'. Most commonly, andons are lights placed on machines or on production lines to indicate operation status. The time buffer placed before an assembly operation on non drum parts where Drum components are assembled with non drum components. The time when a machine is running on auto cycle and a person does not needed to be there to operate the machine. Stopping a line automatically when a defective part is detected. A method of recording accounting transactions for labor and materials based on what was shipped rather than by using material issues or cards. The aim of back flushing is to reduce the number of non value-added transactions. Inventory levels between component parts. A plant where capacity of all resources are balanced exactly with market demand. All operations or cells produce at the same cycle time. In a balanced system, the cell cycle time is less than takt time. A production strategy that moves significant quantities of subassemblies from operation to operation in a batch. Producing more than one piece of an item and then moving those items forward to the next operation before that are all actually needed there. Comparing key performance metrics with other organization in similar or relevant industries. A best-known example of performance in a particular operation. One needs to define both the class and the operation to avoid using the term loosely. A hierarchical, indexed listing of all the activities required to build a product or provide a service. A hierarchical, indexed listing of all the materials required to build a product or provide a service.


7 Wastes

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A3 Report Abnormality Management Activity Based Costing ABC) Agile Manufacturing Andon Assembly Buffer Automatic Time Autonomation Back Flushing Balance on Hand (BOH) Balanced Plant Balanced production Batch Manufacturing Batch-and-Queue Benchmarking Best-in-Class Bill of Activities Bill of Materials (BoM)

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Black Belt

Six Sigma team leaders responsible for implementing process improvement projects within the business A fast and focused process for improving some component of business a product line, a machine, or a process. It utilizes a cross-functional team of employees for a quick problemsolving exercise, where they focus on designing solutions to meet some well-defined goals. Any resource whose capacity is equal to, or less than the demand placed on it. Objectives that are 'stretch goals' for the organization, representing a significant change for the organization. An existing and operating production facility. The time buffer placed between the drums in multiple project. This buffer protects the later project from the knock on effect of delays in earlier projects. Where a series of non-bottlenecks, based on the sequence in which they perform their jobs can act as a constraint. A series of discussion between managers and their employees during which data, ideas, and analysis are thrown like a ball. This opens productive dialogue throughout the entire company. A problem solving tool used to identify relationships between effects and multiple causes (also Fishbone Diagram, Ishikawa Diagram). The layout of machines of different types performing different operations in a tight sequence, typically in a U-shape, to permit single piece flow and flexible deployment of human effort. A method of conducting single-piece flow, where the operator proceeds from machine to machine, taking the part from one machine and loading it into the next. The catalytic force moving firms and value streams out of the world of inward-looking batchand-queue. The process of planning, preparing, educating, resource allocating, and implementing of a cultural change in an organization. The time from when the last good piece comes off of a machine or process until the first good piece of the next product is made. This is the thinking process used to precisely define a problem, to surface the underlying assumptions and to enable the identification of the direction of a solution that will remove this problem. Designing a product (or service), its production process, the supporting information flow, and its delivery mechanism at the same time. Anything that limits a system from achieving higher performance, or throughput. A concept where items are processed and moved directly from one processing step to the next, one piece at a time. Also referred to as "one piece flow" and "single piece flow." The never-ending pursuit of waste elimination by creating a better workplace, better products, and greater value to society. A statistical problem solving tool that indicates control of a process within established limits. Any specific process variable that must be controlled. The measurement of a control element indicates whether the process is operating under stable conditions. The constraint of a system where it is not a physical resource, it may be: a policy, or the belief in a false assumption, out dated measures or ineffective behaviours. Costs associated with supplying a quality product. Categories of cost include prevention, appraisal, and failure. A basic principle of Lean manufacturing cell layout is that the flow of material and the motion of people should be from right to left, or counterclockwise. The origin of this idea came from the design of lathes and machine tools with the chucks on the left side, making it easier for righthanded people to load from right to left.

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Blitz Bottleneck Breakthrough Objectives Brown Field Capacity Buffer Capacity Constraint Resources (CCR) Catch-Ball Cause and Effect Diagram Cellular manufacturing Chaku-Chaku Change Agent Change Management Changeover Cloud Concurrent Engineering Constraint Continuous flow Continuous Improvement Control Chart Control Element Core Problem (CP) Cost of Quality Counterclockwise Flow


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Critical Capacity Resource (CCR) Critical Chain Critical Chain Completion Buffer (CCCB) Critical Chain Feeder Buffer (CCFB) Critical Path Current Reality Tree (CRT) Current State Map Cycle time

A CCR is a resource that may prevent the system moving closer towards its goal. This is the longest dependent chain of events in a project plan when both resource dependency and task dependency are taken into account. See Project Buffer. See Feeder Buffer. A Critical Path is the longest path of dependent tasks in a project network not taking resource dependency into account. (From Goldratt The TOC Thinking Process diagram that shows through solid logic how the UnDesirable Effects are linked together. The CRT is used to pin point where improvement actions can have the greatest leverage. Helps visualize the current production process and identify sources of waste. The time required to complete one cycle of an operation. If cycle time for every operation in a complete process can be reduced to equal takt time, products can be made in single-piece flow. Datsuzoku (break from routine) is a principle that signifies a break from daily routine or habit, a freedom from the commonplace. It involves a feeling of transcending the ordinary and conventional. The result of datsuzoku is pleasant surprise and unexpected amazement. Most major breakthroughs in science and industry have come during a break from the problem at hand. Studies show that the ultimate breaksleepis the best inducer of breakthrough insights, ideas and solutions. Total number of days (if the production level equals zero) that it would take to deplete finished goods inventory for the specified product line. The concept of demand flow is to pull raw materials and products through the process strictly according to the dictates of customer demand. Unable to do without. In TOC it is usually referring to two tasks or actions where one is a prerequisite for the other. Design for Manufacturing is an approach to design that fosters simultaneous involvement of product design, process design, and manufacturing. Planning and conducting experiments and evaluating the results. The outcome of a design of experiment includes a mathematical equation predicting the interaction of the factors influencing a process and the relevant output characteristics of the process. An event that was not predicted that delays tasks, resources or materials or reveals extra work that was not expected. The Drum refers to the CCR that is used to build the schedule around in an operation. Applying the principles of mass production, large batch sizes, and consolidated control strategies to achieve minimum unit processing costs. The elements of work are 1) value-added work, 2) non value-added work, and 3) waste. A series of actions designed to give employees greater control over their working lives. A process used to prevent errors from occurring or to immediately point out a defect as it occurs. See "poka-yoke." A method used in Theory of Constraints. Same as Conflict Resolution. All set-up tasks that can be done while the machine is still running. A structured approach to determining the seriousness of potential failures and for identifying the sources of each potential failure.



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Days Supply of Inventory (DSI) Demand Flow Dependency Design for Manufacturing (DFM) Design of Experiments (DOE) Disruption Drum Economies of Scale Elements of Work Empowerment Error proofing Evaporating Clouds External Set Up Failure Modes and Effects Analysis


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Feeder Buffer Feeder lines First In First Out (FIFO) Flexible Manufacturing System

The time buffer that is placed on the end of non critical chains that feed into the critical chain. Sometimes referred to as Critical Chain Feeder Buffer (CCFB). A series of special assembly lines that allow assemblers to perform preassembly tasks off the main production line. Processing orders in a pure sequential flow. An integrated manufacturing capability to produce small numbers of a great variety of items at low unit cost; an FMS is also characterized by low changeover time and rapid response time A main objective of the lean production effort, and one of the important concepts that passed directly from Henry Ford to Toyota. Ford recognized that, ideally, production should flow continuously all the way from raw material to the customer and envisioned realizing that ideal through a production system that acted as one long conveyor. A problem solving tool that maps out the steps in a process visually. The flow (or lack thereof) becomes evident and the wastes and redundancies are identified. A way of doing things in small quantities in sequential steps, rather than in large batches, lots or mass processing. Fukinsei (asymmetry) is a goal to convey the symmetrical harmony and beauty of nature through clearly asymmetrical and incomplete renderings; the effect is that the viewer supplies the missing symmetry and thus participates in the act of creation. The final episode of hit series The Sopranos had no ending... the audience was left to construct their own. The hatchback design of the popular Nissan Cube is asymmetrical. The practice of grouping machines or activities by type of operation performed. The TOC Thinking Process diagram that describes how the the agreed direction for a solution unavoidable through solid logic leads to the desired results or benefits. The vision of a future optimal process, which forms the basis of your implementation plan by helping to design how the process should operate. A Japanese word meaning "actual place," or the place where you work to create value. Japanese for 'actual thing' or 'actual product'. Japanese for 'the facts' or 'the reality'. Someone who has been trained on the improvement methodology of Six Sigma who will lead a process improvement or quality improvement team. A new production facility where lean principles are designed into manufacturing and management systems from the beginning. Auto-eject devices that unload the part from the machine once the cycle is complete. Hansei (reflection) is a discipline to be performed regularly after each key action, irrespective of outcome. In other words, it doesnt matter whether your performance was an A or a C, or whether you missed your objective over or under, you conduct hansei in every case to better understand the process that led to a specific result. In fact, any time a gap exists between expectation and outcome, there is a learning moment, and thus a need for hansei. A method of leveling production at the final assembly line that makes just-in-time production possible. A problem solving tool that displays data graphically in distribution. When tasks are assigned to a person in such a way that the focus is on maximizing a certain skill set or use of certain types equipment.



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Flow Chart Flow Production



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Functional Layout Future Reality Tree (FRT) Future State Map Gemba Gembutsu Genjitsu Green Belt Green Field Hanedashi



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Heijunka Histogram Horizontal Handling

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Hoshin Kanri Hoshin Planning (HP) Informative Inspection Integration Point Intermediate Objective (IO) Internal Setup (IED) Inventory Jidoka Jishu Kanri Judgment Inspection Just in Time (JIT) Jutsu Kai-aku Kaikaku Kaizen Kaizen Event Kaizen Newspaper Kanban

A strategic planning approach that integrates the practices of leadership with the practices of management. A means by which goals are established and measures are created to ensure progress toward those goals. A form of inspection used to determine non-conforming product. Common term in a project to describe where two or more tasks join together. The milestone that must be reached in order to overcome an obstacle to an ambitious target or injection. Set-up tasks that can only be done when the machine is stopped. All raw materials, purchased parts, work-in-process components, and finished goods that are not yet sold to a customer. Stopping a line automatically when a defective part is detected. [Same as Autonomation] (From Self A form of inspection used to determine non-conforming product. Making what the customer needs when the customer needs it in the quantity the customer needs, using minimal resources of manpower, material, and machinery. To talk, or 'the art of' (i.e., 'leanjutsu: the art of lean production'). The opposite of kaizen. Change for the worse. Radical improvements or reform that affect the future value stream. Japanese for 'change for the better' or 'improvement'. Any action whose output is intended to be an improvement to an existing process. A tool for visually managing continuous improvement suggestions. Japanese term which means card signal. Kanban is the information signal used to indicate the need for material replenishment in a pull production process. Kanso (simplicity) is a principle that dictates that beauty and utility need not be overstated, overly decorative, ornate, or fanciful. Kanso imparts a sense of being fresh, clean, and neat. The Apple iPhone has a single home button. The Google interface is p redominantly white space. A model using three types of product requirements which influence customer satisfaction in different ways. Death from overwork. A process in which assemblers are supplied with kits of parts, fittings and tools. The management of knowledge, especially innovative knowledge, that is critical to business sustainability. Koko (austerity) is a principle that emphasizes the disciplines of restraint, exclusion and ommission. Koko involves things that seem spare, even spartan, yet impart a sense of focus and clarity. The Twitter 140 character limit, the menu at In-N-Out Burger, and the FLIP video camera are all successful outcomes of keeping things spare. The result of a typical material or information flow system without FIFO, resulting in earlier orders being perpetually delayed by new orders arriving on top of them. The total time a customer must wait to receive a product after placing an order. A business practice characterized by the endless pursuit of waste elimination. Developing a culture that is intolerant to waste in all of its forms. Smoothing out the production schedule by averaging out both the volume and mix of products.



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Kano Methods Karoshi Kitting Knowledge Management



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Last In First Out (LIFO) Lead time Lean Lean Transformation Leveling

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Line Balancing Line Balancing Load-Load Machine Cycle Time Machine Work Manual Work Manufacturing Resources Planning (MRP II) Master Black Belt Materials Requirements Planning (MRP) Mistake Proofing Mixed Model Production Mokeru Monument Muda Multi Machine Handling Multi Process Handling Multi Tasking Mura Muri Nagara Nagara System Negative Branch (Nbr) Ninjutsu Non-Value Added Obstacle (Obs) One Piece Flow One-Touch Exchange of Dies (OTED) Open Room Effect

The process of evenly distributing both the quantity and variety of work across available work time, avoiding overburden and underuse of resources. This eliminates bottlenecks and downtime, which translates into shorter flow time. Equalizing cycle times for relatively small units of the manufacturing process. A method of conducting single-piece flow, where the operator proceeds form machine to machine, taking the part form one machine and loading it into the next. The time it takes for a machine to produce one unit. Work that is done by a machine. Work that is done by people. A second generation MRP system that provides additional control linkages such as automatic purchase order generation, capacity planning, and accounts payable transactions. Master Black Belts are Six Sigma Quality experts that are responsible for the strategic implementations within an organization. A computerized information system that calculates materials requirements based on a master production schedule. Any change to an operation that helps the operator reduce or eliminate mistakes. Capability to produce a variety of models, that in fact differ in labor and material content, on the same production line. Japanese term for industrial engineering. Any design, scheduling or production technology with scale requirements necessitating that designs, orders and products be brought to the machine to wait in queue for processing. The opposite of a right-sized machine. Japanese for 'waste'. Any activity that adds cost without adding value to the product. When a machine operator is running more than one machine of a certain type. When a machine operator is doing tasks for multiple processes sequentially, and this is contributing to the flow of material. Breaking into one activity before it is complete to move onto at least one other task before returning complete the original task. Variations and variability in work method or the output of a process. Exertion, overworking (a person or machine), unreasonableness. Accomplishing more than one task in one motion or function. Japanese for 'while doing something'. A production system where seemingly unrelated tasks can be produced by the same operator simultaneously. Ideas or solutions greeted with negative responses or concerns. The art of invisibility. Activities or actions taken that add no real value to the product or service, making such activities or action a form of waste. Any significant thing that will block the achievement of an ambitious target or an injection. Producing one unit at a time, as opposed to producing in large lots. (From Advanced Manufacturing) The reduction of die set-up where die setting is reduced to a single step. This common practice in Japanese offices involves taking down the walls and cubicles of an office and laying all of the desks out into one big 'open room'.

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Operator Cycle Time Overall Equipment Effectiveness (OEE) Overproduction Pacemaker Pareto Path PDCA (Plan, Do, Check, Act) Performance Management PERT Physical Transformation Task Pitch Point of Use Poka-yoke Policy Deployment

The time it takes for a worker or machine operator to complete a sequence of operations, including loading and unloading, but not including waiting time. Calculated as Availability x Performance x Quality to determine how much of the time a piece of equipment is being used while it is actually making good parts at an appropriate speed. Producing more, sooner or faster than is required by the next process or customer. A device or technique use to set the pace of production and maintain takt time. A bar chart that displays by frequency, in descending order, the most important defects. Any series of linked (dependent) tasks in a project plan. (From Goldratt This is a basic principle followed for effective problem solving during kaizen. Using a set of tools and approaches to measure, improve, monitor and sustain the key indicators of a business. Project Resource Evaluation Technique The task of taking a specific product from raw materials to a finished product in the hands of the customer. The pace and flow of a product. Keeping all items needed for the job at the location of use in a neat and organized manner. Japanese word that refers to a mistake-proofing device or procedure used to prevent a defect during the production process. The selection of goals, projects to achieve the goals, designation of people and resources for project completion, and establishment of project metrics. Product Quantity Process Routing Analysis. The PQ (Product Quantity) refers to Pareto analysis to determine the 80/20 rule of the top products or services that make up 80% of work volume. The PR (Process Routing) refers to the Parts-Process Matrix analysis to determine product families by grouping of products with similar process flows. The TOC thinking process used to break the injections needed in the solution down into smaller logical steps. The task of taking a specific product from concept through detailed design and engineering to production launch. A series of activities that collectively accomplish a distinct objective. A chart primarily used in machining processes that compares set-up and machine load times to available capacity. A hierarchical decomposition from core business processes to the task level. Continuous improvement through incremental improvements. A series of activities that define a subset of a process. The time a product is actually being worked on in a machine or work area. The stream of activities required to produce a product or service. The production preparation process is a tool used for designing lean manufacturing environments. It is a highly disciplined, standardized model. 3P results in the development of an improved production process where low waste levels are achieved at low capital cost. Keeping total manufacturing volume as constant as possible. The time buffer placed at the end of the critical chain to protect the customer from the fluctuations and disruptions that occur in the Critical Chain. Sometimes called Critical Chain Completion Buffer (CCCB). Protective capacity describes the amount of installed capacity that is necessary to overcome disruptions. Prroducts are made only when the customer has requested or "pulled" it, and not before.



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Prerequisite Tree (TrT) Problem Solving Task Process Process Capacity Table Process Hierarchy Process Kaizen Process Segment Processing Time Product Delivery Process Production Preparation Process (3P) Production Smoothing Project Buffer Protective Capacity Pull production

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Push System QCD (Quality, Cost, and Delivery) QCDSM (Quality, Cost, Delivery - Safety & Morale) Quality Quality Function Deployment (QFD) Queue Time Quick Changeover Quick Response Manufacturing (QRM) Real Value Reengineering Resource Activation Resource Utilization Right-size Root Cause Sanitizing

Product is pushed into a process, regardless of whether it is needed. Key customer satisfaction metrics that determine if a company is competitive. A set of performance management measures that includes employee satisfaction (safety & morale) as well as customer satisfaction. Meeting expectation and requirements, stated and un-stated, of the customer. Using a cross-functional team to reach consensus that final engineering specification of a product are in accord with the voice of the customer. The time a product spends in a line awaiting the next design, order processing, or fabrication step. The ability to change tooling and fixtures rapidly (usually minutes), so multiple products can be run on the same machine. A methodology and system allowing rapid response to changing customer requirements. Attributes and features of a product or service that, in the eyes of customers, are worth paying for. Improving fundamental business processes. Using a resource regardless of whether throughput is increased. Using a resource in a way that increases throughput. Matching tooling and equipment to the job and space requirements. The most basic underlying reason for an event or condition. The act of cleaning the work area. A Japanese management practice taken from the Japanese words "sei", which means manufacturing, and "ban", which means number. A Seiban number is assigned to all parts, materials, and purchase orders associated with a particular customer job, or with a project, or anything else. This enables a manufacturer to track everything related with a particular product, project, or customer. Seijaku (quietude) is a principle that emphasizes the fundamental Zen theme of emptiness, which implies an inexhaustible spirit. It is in states of active calm, tranquility, solitude, and quietude that we find the very essence of creative energy. Silent pauses in music, dance and theater, blank spaces in paintings, the use of negative space in graphic design all illustrate the power of seijaku. An outside master or teacher that assists in implementing lean practices. When changeover times are within Takt time, changeovers can be performed one after another in a flow line. Sequential changeover assures that the lost time for each process in the line is minimized to one Takt beat. Reducing the amount of time a machine or a process is down during changeover from the last good piece to the first good piece of the next product. Taiichi Ohnos original catalog of the wastes commonly found in physical production. These are overproduction ahead of demand, waiting for the next processing stop, unnecessary transport of materials, overprocessing of parts due to poor tool and product design, inventories more than the absolute minimum, unnecessary movement by employees during the course of their work, and production of defective parts. The time buffer that is placed before the customer to protect them from disruptions. With roots in the Zen aesthetic ideals of art, architecture and gardening, it has no direct translation in English, but has come to denote those things that display in paradox and all at once the very best of everything and nothing: elegant simplicity. Effortless effectiveness. Understated excellence. Beautiful imperfection.





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Sensi Sequential Changeover Set Up Reduction


Seven wastes

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Shipping Buffer Shibumi



Shizen (naturalness) is a principle that seeks to achieve a balance between at once being of nature, yet distinct from itto be viewed as being without pretense, without artifice, not forced, yet to be revealed as intentional rather than accidental or haphazard. For example, hightraffic intersections in Holland have been artfully redesigned to be void of traffic controls, resulting in naturally self-organizing order, fewer accidents and better vehicle flow. Continually optimizing the number of workers in a work center to meet the type and volume of demand imposed on the work center. The leader of the team whose job is to design and engineer a new product and it into production. Screening through unnecessary materials and simplifying the work environment. 3D technique used to balance the line. A series of techniques designed for changeovers of production machinery in less than ten minutes. A process in which products proceed, one complete product at a time, through various operations in design, order-taking and production without interruptions, backflows or scrap. A methodology and set of tools used to improve quality to than 3.4 defects per million or better. Organizing essential materials. Specifying tasks to the best way to get the job done in the amount of time available while ensuring the job is done right the first time, every time. A document detailing the sequence of production steps assigned to a single worker performing Standard Work. Shows the work sequence, takt time, standard working process, and layout of the cell or workstation. Information that cannot be precisely predicted. Developing short and long-term competitive strategies using tools such as SWOT Analysis to assess the current situation, develop missions and goals, and create an implementation plan. One of the common behaviours in a project that lead to tasks being later than they need be. A condition where gains made in one activity are offset by losses in another activity or activities, created by the same actions creating gains in the first activity. Any expenditure that has already taken place and can not be undone. A tool of the pull system that helps signal demand for the product. In a supermarket, a fixed amount of raw material, work in process, or finished material is kept as a buffer to schedule variability or an incapable process. The continuation of sifting, sweeping, sorting and sanitizing. Collecting nonessential goods and removing them from the work area. The bringing together of materials information and anything else needed in a coordinated manner such that no part is waiting long for another Daily production number required to meet orders in hand divided into the number of working hours in the day. A way of establishing a cost goal for a product or service in the design phase. Japanese for 'hands-free'. The goal of tebanare is to use low cost automation on manual machines to allow people to do work that is more valuable that only a person can do. A proposal, proposition, or suggestion. A teian system can be likened to a system which allows and encourages workers to actively propose process and product improvements.

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Shojinka Shusa Sifting Simulation Single Minute Exchange of Dies (SMED) Single-piece flow Six Sigma Sorting Standard Work Standard Work Combination Sheet (SWCS) Standard Work Sheet (SWS) Statistical Fluctuations Strategic Planning Student Syndrome Sub- Optimization Sunk Cost Supermarket Sustaining Sweeping Synchronization Takt Time Target Costing Tebanare Teian

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Theory of Constraints (TOC) Throughput Throughput Time Time Buffer Time-Based Strategy Total Productive Maintenance (TPM) Toyota Production System (TPS) Transition Tree (TrT) Tsurube Two-Bin System UnDesirable Effect (UDE) Value Value Analysis Value Chain Value Engineering Value Stream Value stream mapping Value-Added Work

A management philosophy that stresses removal of constraints to increase throughput while decreasing inventory and operating expenses. The rate the system generates money through sales. The time required for a product to proceed from concept to launch, order to delivery, or raw materials into the hands of the customer. A key part of the TOC applications that protects against disruptions Driving improvement activity through focus on time and its relation to quality, cost, delivery, safety, and morale. Maximizing equipment effectiveness and uptime throughout the entire life of the equipment. A methodology that resulted from over 50 years of Kaizen at Toyota. TPS is built on a foundation of Leveling, with the supporting pillars of Just-in-Time and Jidoka. A TOC process used to construct the actions needed to achieve an intermediate objective. A way to keep product flow continuous even when there are interruptions such as outside processing or batch operations. An example of both visual management and the pull system, whereby two bins or containers are used trigger reorder of parts or materials. These are the negative things the problems that are visible and caused by the thing (Core Problem) that must be changed. A capability provided to a customer at the right time at an appropriate price, as defined by the customer. Analyzing the value stream to identify value added and non-value added activities. Activities outside of your organization that add value to your final product, such as the value adding activities of your suppliers. Optimizing products or processes to improve value to the customer. A value stream is a series of all actions required to fulfill a customer's request, both value added and not. The process of directly observing the flows of information and materials as they now occur, summarizing them visually, and then envisioning a future state with much better performance. Work that the customer is willing to pay for. A transformation of the shape or function of the material/information in a way that the customer will pay for. When tasks are assigned in such a way that the materials processes are being progressively worked towards completion, this is vertical handling. This in contrast to horizontal handling which only focuses on the output of a specific process. The placement in plain view of all tools, parts, production activities, and indicators of production system performance so everyone involved can understand the status of the system at a glance. Simple visual tools are used to identify the target state, and any deviance is met with corrective action. Anything that uses resources, but does not add real value to the product or service. A skilled and well-trained person who makes the rounds supplying parts, assisting with changeover, providing tools and materials. A logical and productive grouping of machinery, tooling, and personnel which produces a family of similar products. Product or inventory in various stages of completion throughout the plant, from raw material to completed product. The defined steps and activities that need to be performed in order for the work to be completed.


Vertical Handling

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Visual Control Visual Management Waste Water Spider Work Cell Work in Process (WIP) Work Sequence

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Yamazumi Yield

A bar graph typically showing the balance of workloads as operator cycle times. Produced product related to scheduled product. Yugen (subtlety) is a principle that captures the Zen view that because the human spirit indefinable, the power of suggestion is exalted as the mark of a truly authentic creation. Finiteness is thought to be at odds with nature, implying stagnation, loss of life. The reason the Mona Lisa smile is so seductive and mysterious is because Leonardo da Vinci blurred the corners of her eyes and mouth, a technique he created and called sfumato (smoky).