PROFIT SOLUTION SEMINAR

November 2009

Lean Manufacturing and

Dowel Construction for
the Cabinet and
Furniture Industry
Implementing Lean Manufacturing
for the Cabinet and Furniture
Industry

Phil Mitchell
North Carolina State University
Wood Products Extension

November 2009
phil_mitchell@ncsu.edu
Congratulations on Attending
This Seminar!
 Today’s Learning Objectives

• REVIEW LEAN BASICS

• More work will be needed to make
your company lean.
• Business improvement
always sought
• LEAN IS A JOURNEY
• Becomes a way of life
• Not an easy journey
What advantages do domestic
manufacturers have?

ADVANTAGES
What is Lean Manufacturing?

Lean is a manufacturing system

• focuses on customer
• provide a product
 What is Lean Manufacturing?

Strategy derived from Toyota Production System

Key Thrust
• Increase value-added work by
• eliminating waste
• reducing incidental work
What are the benefits to your company
of being Lean?
What are the manufacturing benefits of
being Lean?

• Reduction of lead time

• Operational flexibility
• Increased productivity
• Reduction of work-in-process inventory
• Improved quality
• Increase floor space
 The Key Lean Concepts

• Eliminate WASTE
• Only add VALUE to your product
• Understand your product’s VALUE STREAM
• Create FLOW in your process
• Organize your VALUE STREAM to be
continuous
• Create PULL in your process
• Only respond to downstream customer demand
• Pursue PERFECTION
• Relentless continuous improvement
Value Concept

What defines
value in your
product?
Waste Concept – What is Waste?

• Anything that adds cost and does

not add value

• Non-value activity, such as:

• wait time
• unnecessary motion
• rework
• excess inventory
 Value Added vs. Non-value Added
Value added
• Any activity that physically changes the material
•Cutting •Moulding •Finishing
•Ripping •Gluing •Sewing
•Boring •Fastening •Assembly

Non-value added
• Any activity that consumes resources but does not
physically change the material.
•Stacking •Counting •Hogging
•Sorting •Set-up •Conveying
•Searching •Warehousing •Waiting
Value vs. Waste

Key Lean Concept

• Any human activity which absorbs resources

but creates NO VALUE
• Commit your professional life to remove
WASTE and you approach LEAN

“The most dangerous kind of waste is the waste

we do not recognize.”
- Shigeo Shingo
Types of Waste (7 + 1)

• Defects – repairing of mistakes, rework

• Over Production – making things that are not immediately needed
• Waiting – production delays
• Non-value added processing steps – doing more than what the
customer wants (over processing)
• Transportation – non value step often caused by inefficient
workplace layout
• Inventory – unnecessary raw materials, work in process, and
finished goods inventory
• Motion – poor workplace design resulting in inefficient or
unnecessary human motion
• Employees as a resource (underutilized)

DOWNTIME = WASTE
The Key Lean Concepts

• Value – defined by the final customer.

• Value Stream – the combination of all the tasks
required to manufacture a product
1. Information management
2. Physical transformation
3. Product concept
• Flow
• Pull
• Perfection
The Key Lean Concepts

• Value – defined by the final customer.

• Value Stream – the combination of all the tasks
required to manufacture a product.
• Flow – the goal of continuous process flow
• Reduce wait time to zero
• Opposite of batch processing
• Pull
• Perfection
The Key Lean Concepts

• Value - defined by the final customer.

• Value Stream – the combination of all the tasks
required to manufacture a product.
• Flow – reduce the amount of time that any work
waits to zero.
• Pull – Replacing batch processing with process
flow in place, lead time is sharply reduced
• Customer pull the number and type of product
• Perfection
The Key Lean Concepts

• Value – defined by the final customer.

• Value Stream – the combination of all the tasks
required to manufacture a product.
• Flow – reduce the amount of time that any work
waits to zero.
• Pull – customer pulls the number and type of
product from the manufacturer as needed.
• Perfection – the goal of continuous improvement.
• Never achieved or lean journey over
• Process and technological advantage
Lean Factory Requirements

• Process Stability
• Factory Flow
• Continuous Improvement Path
 Process Stability

• Produce consistent results over time

• Required to create lean processes.
• Instability due to variability in process.
• Variability may be due to
• People
• Equipment
• Product
• Materials
Process Stability Tools

What tools can we use?

• Workplace Organization
• Increase Operational Availability
• Identifying Process Instability
• Production Leveling
• Visual Controls
Does your shop/ factory look like this?
The 5S System

• Sort – remove what is not needed

• Set in Order – make what is needed easy to find
• Shine and Inspect – clean and repair; methods,
schedule, assign,
• Standardize – develop system (rules) to
maintain what has been done
• Sustain – self discipline, communication,
commitment to maintain established procedures
First S - Sort

Throw Away and Purge

• How often do you use it?
• Arrange the workplace for
accessibility
• Separate and Scrap
Red Tag Technique
There are five steps:
RED TAG
TAG NO:
DATE: 1. Prepare Red Tags
CATEGORY:
• Raw Material • Equipment 2. Attach Red Tags to
• WIP • Furniture
• Finish Goods • Office Material
unneeded items
• Tools • Books / Mags
• Supplies • Others
3. Remove Red-tagged
DESCRIPTION OF ITEM: items to a temporary
LOCATION: QUANTITY: holding area
REASON TAGGED:
4. Evaluate red-tagged
DISPOSITION REQUIRED: items and decide the
• Reduce Quantity
• Discard
• Sell / Transfer
outcome
• Store in Area
• Other (Specify)
• Store
Remotely 5. Dispose of items
The 5S System
Second S – Set in Order

The objectives of Set in Order are:

• Decide and organize tools (things)
• How and where to keep
• Easy to find and use
• Obvious when missing
Second S – Set in Order

Everything has a place and is in it’s Example of a tool stand

place when not in use. Courtesy of Archfield Consulting
Courtesy of Great Lakes Industry, Inc.
Second S – Set in Order

Notes lines on floor and staged carts Cart – Store Fixture Mfg

Conveyor – Furniture Mfg Organized Assembly Area

Third S – Shine and Inspect

Cleanliness, Inspection and Repair

• Scrub, clean, paint
• Inspect for missing bolts, wires,
leaks, safety hazards.
• Fix things
• Clean filters, check gauges.
• Integrate daily maintenance activities
Third S – Shine and Inspect

Before After
Fourth S – Standardize

Develop Standards to ensure workplace

organization is maintained.
•Everyone should participate
•Everyone must adopt and follow
standards
•Only after prior three S’s are complete
•Maintain & improve
• Developing visual and written
statements
Fifth S – Sustain

To make 5S a habit:
• Develop new awareness and skills.
• Management support
• Ongoing, company-wide communication.
• 5S part of daily work.
• Total employee involvement.
• Self discipline
Process Stability Tools

What tools can we use?

• Workplace Organization
•Increase Operational Availability
•Identifying Process Instability
•Production Leveling
•Use of Visual Controls
Increase Operational Availability

Questions to address:
• How often does equipment break down?
• How long are setups?
• Does equipment start and stop too often?
• Does equipment run at 100%?
• What speed does equipment need run?
• Do you manufacture quality products?
Increase Operational Availability

Total Productive Maintenance

TPM assigns basic maintenance to team members
• Inspection, cleaning, lubrication, and tightening

TPM Goals:
• Develop equipment knowledgeable operators
• Create well-engineered equipment
• Create an environment for enthusiasm and creativity
• Maximize equipment productivity and capacity
Increase Operational Availability
Setup Time Reduction
Single Minute Exchange of Dies (SMED)
Goal: Reduce setup to under 10 minutes
• (single digit minutes)
Two types:
1. Internal Set-up:
• Activities performed when machine is shut down.
2. External Set-up:
• Activities performed while the machine is running
Process Stability Tools

What tools can we use?

• Workplace Organization
•Increase Operational Availability
•Identifying Process Instability
•Production Leveling
•Use of Visual Controls
Process Stability and Instability

Process Stability
• Capability to produce consistent
results over time.
• Basic process stability is needed to
begin creating lean processes.
Process Instability
•Variability in the process.
 Process Instability

• High degree of process variation

• Pieces produced
• Pieces per labor hour.
• Changing the “plan” when a problem occurs
• Stopping work on one order to change to another
order
• Starting work on an order before all materials ready
• Work-in-process (WIP) variation
• Frequent use of the words: usually, normally, typically
Process Stability Tools

What tools can we use?

• Workplace Organization
•Increase Operational Availability
•Identifying Process Instability
•Production Leveling
•Use of Visual Controls
 Production Leveling

Distributing production volume and mix evenly over time.

Leveling the production mix will:
• Shorten the lead time
• Reduce finished goods and WIP inventories
• Reduce unevenness and strain on personnel
• Help determine resource requirements

Leveling achieved by
• Process control and management
• Mix customer orders (build-to-order)
• Finished goods produced (build-to-stock)
Process Stability Tools

What tools can we use?

• Workplace Organization
•Increase Operational Availability
•Identifying Process Instability
•Production Leveling
•Use of Visual Controls
Visual Factory

Create visual systems

• Workplace will speak
• Identify problems
• Minimize errors

Communicate about:
•Work environment
•Safety
•Operations
•Storage
•Quality
•Equipment
Factory Flow

• Pull System
• Kanban
• Customer Demand Rate
• Value Stream Mapping
• Production Flow & Production Leveling
The Pull System

PULL or Just-in-Time
• Developed to provide
• what is needed
• when needed
• quantity needed.

Characteristics of the Pull System:

• Simple - Visual
• Use only what is required
• Limit inventory
Avoid the Push System

Traditional manufacturing system

• Just in case concept
• Push product thru factory
• Big inventory buffer
• Between suppliers
• In the factory
• Between customers and factory.
 Flow Example

Part Family found in many casegood SKU’s:

Parting Rails

Such As: Top End Rails

Bottom End Rails
Top Side Rails
Bottom Side Rails

Common Processes: Mould

Trim & Tenon
Bore
Sand
Traditional (Batch) Factory Flow
WIP Machining Department (portion) V Sanding Department
WIP WIP WIP WIP e WIP WIP WIP WIP
WIP Moulder WIP WIP r
t
Double
WIP WIP WIP i
End WIP
Tenoner c WIP WIP WIP WIP
WIP Moulder WIP
a
WIP
WIP WIP WIP WIP WIP l
WIP
WIP Moulder WIP Double B WIP WIP WIP WIP
WIP End WIP o
WIP Tenoner WIP
r
WIP Moulder WIP WIP
i
WIP WIP WIP WIP n
WIP
WIP WIP WIP
g WIP WIP WIP WIP
WIP

•Products transported long distances •Long lead times

•Large batch sizes •Defects passed on
•Large Work-in-Process levels •Operators are single process oriented
•Slow product flow
Cellular Factory Flow
Parting Rail Cell

Parting
Rail Moulder Table
Blanks
Infeed

Tenoner

Double
End
Table

Vert. Boring
Sanding Exit
Machined
Parting
Rails

•Processes grouped together •Machine reliability a must

•Small lot sizes •Fast product flow
•Reduced Work-in-Process levels • shorter lead times
•Rapid changeovers required •Defects prevention
•Multi-functional operators
JIT System

The goal of JIT is to make value flow so that

the customer can pull.

Two components of JIT are:

Kanban System

Kanban (kon bon)

• System of visual tools
• Synchronize and provide instruction

Kanban- Requirement to be visual.

• Card
• Empty bin
• Empty space on floor
• Empty pallet
• Ping pong balls, etc
Single Card Withdrawal Kanban System

Withdrawal
Product Card
from W
Production
To
W Customer
W

W
W

Withdrawal
Collection
Box
Customer Demand Rate (Takt Time)
Rate needed to produce a part or product based on
customer’s order rate.
Calculation:
Work Time Available
Takt Time =
Number of Units Sold
Work Time Available: total scheduled time less planned breaks
Number of Units Sold over same time period as Work Time Available.

8 hours per day

Takt Time = = 28800 sec = 288 sec
100 units per day 100 units per unit
( 4 min 48 sec )

The goal is to produce parts based on Customer Takt Time

Value Stream Mapping
Tool to create a process map that includes major process
steps and information flow.
• Flow depicting information and process
• Value Stream Map can be done at total factory level
or single process level.
• Key metrics
Process Steps Cycle Time
Inventory Yield
Waste Changeover Time.
Value Stream Mapping

From Lean
Production
Simplified
Select a Product Family
Group of products that pass through
similar processing steps or common
equipment.
• Specific product line
• Manufacturing cell
• Product Family
Production Flow Analysis
Raw Data
Part Style Mould Tenon Trim Router Bore Dovetail Shape
End Rail 207 X X X X
Drawer Front 207 X X X
End Panels 207 X X
Pilaster 207 X X
Top 207 X X
Pilaster 259 X X
Base Support 259 X X X
End Panels 259 X X X
Top 259 X
Top Rail 259 X X X X

• Information from route sheets

• Sort and group by common operations
• Start with most common parts or products
Production Flow Analysis
Sorted Data
Part Style Mould Tenon Trim Router Bore Dovetail Shape
End Rail 207 X X X X
Top Rail 259 X X X X
Pilaster 207 X X
Pilaster 259 X X
Base Support 259 X X X
End Panels 207 X X
Top 207 X X
End Panels 259 X X X
Drawer Front 207 X X X
Top 259 X
 Production Leveling
Produce in smaller quantities to be more aligned with
actual customer consumption.
• Self imposed leveling
• Manufacture at an ideal smoothness
• Highest degree of flexibility
• Responsiveness to changing customer
demand.
• Slow and steady production can beat fast and
jerky production (think turtle vs. hare).
 Production Leveling
• Requires precise timing and flexibility
• Problems cause delays and must be addressed
• Requires frequent changeovers
• Force equipment setup times to be reduced.
• Employees may be uncomfortable
• Higher level of performance required
• Difficult to implement
• Humans wired to avoid risks
• Avoidance costs money and is NOT Lean.
Resistance to change
 Production Leveling
But……
• The Lean process…..
• Structures manufacturing and support systems
• Identifies areas that require effort &
management
• Minimizes risks
• Smoothes the production process
• Allows more time for Continuous Improvement.
Toyota Model

From class notebook dated 5/89

Continuous Improvement Path

Lean Production
• a path that one follows
• needs to be approached with humility
• quest for lifelong learning
• profound respect for people.
From The Toyota Way Fieldbook
Lean Resources

Lean Thinking (1996, 2003) by James P.

Womack and Daneil T. Jones.
The Toyota Way (2004) by Jeffrey Liker
The Toyota Way Fieldbook (2006) by Jeffrey
Liker and David Meier
Lean Production Simplified (2002) by Pascal
Dennis
Lean Manufacturing for the Small Shop (2001) by
Gary Conner