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Research Article

Advances in Mechanical Engineering


2019, Vol. 11(2) 1–17
Ó The Author(s) 2019
Integration of value stream mapping DOI: 10.1177/1687814019827115
journals.sagepub.com/home/ade
with DMAIC for concurrent
Lean-Kaizen: A case study on an
air-conditioner assembly line

Wei Guo1, Pingyu Jiang1, Lei Xu1,2 and Guangzhou Peng2

Abstract
This article proposes a new model for concurrent Lean-Kaizen based on the Lean production thinking. According to the
concept and application scenarios of value stream mapping and DMAIC (Define, Measure, Analyze, Improve, and
Control), we proposed an integrated VSM-DMAIC by adopting their advantages and avoiding their disadvantages. The
VSM-DMAIC model is applied to tackle the production problems on production line. Value stream mapping is used to
identify the production problems during production processes by waste identification. Then, the production problems
are clustered into different production problem sets according to the changed types of production resources while sol-
ving production problems. The data envelopment analysis method is used to rank the production problems by input–
output ratio, and the most important production problem in each set can be the concurrent Lean-Kaizen. DMAIC pro-
vides a structured problem-solving method for production problems. Finally, the production problems and production
problem sets will be reassessed for the next concurrent Lean-Kaizen. A case study of an air-conditioner assembly line
verified the feasibility and efficiency of the proposed VSM-DMAIC model, which can be used to improve the economic
benefits and decrease the waste of production line.

Keywords
Value stream mapping, DMAIC, Lean production, concurrent Lean-Kaizen, case study

Date received: 31 August 2018; accepted: 4 January 2019

Handling Editor: Xichun Luo

Introduction and Defects.3 The core of LP is to locate production


waste and find appropriate methods for eliminating
Following the market competition in superheating and them. LP also emphasizes that elimination processes
rising cost of production, enterprises try to overcome should have a continuous improvement mind-set in
this situation and become more profitable, and they productivity and quality.
turned to Lean production (LP), which is a concept
based on the Toyota Production System.1 LP is gener-
ally considered to be a systematic method for produc- 1
State Key Laboratory for Manufacturing Systems Engineering, Xi’an
tion waste minimization by enhancing value added Jiaotong University, Xi’an, China
2
(VA) activity and eliminating non-value added (NVA) Hefei Haier Air Conditioner Co., Ltd, Hefei, China
activity with specialized Lean principles.2 Within the
Corresponding author:
context of production systems, there exist original Pingyu Jiang, State Key Laboratory for Manufacturing Systems
seven types of production waste: Overproduction, Engineering, Xi’an Jiaotong University, Xi’an 710054, China.
Waiting, Transport, Processing, Inventory, Motion, Email: pjiang@mail.xjtu.edu.cn

Creative Commons CC BY: This article is distributed under the terms of the Creative Commons Attribution 4.0 License
(http://www.creativecommons.org/licenses/by/4.0/) which permits any use, reproduction and distribution of the work without
further permission provided the original work is attributed as specified on the SAGE and Open Access pages (https://us.sagepub.com/en-us/nam/
open-access-at-sage).
2 Advances in Mechanical Engineering

The first step of LP is identifying production waste efficiency of this model by a case study of air-
and pointing out improvement directions. Value stream conditioner assembly line.
mapping (VSM) is a visualized Lean-management The rest of this article is organized as follows: sec-
method for analyzing the current production state and tion ‘‘Literature review’’ reviews the related works on
designing a future production state by current VSM VSM, DMAIC, and their integration. Section ‘‘The
and future VSM, respectively, so the production waste model to be applied’’ details the methodology of VSM
would become clear by recognizing the gaps between and DMAIC integration for PP-solving. Section ‘‘Case
current VSM and future VSM.4 The production waste study’’ analyzes a case of air-conditioner assembly line
may cause different kinds of production problems from a Chinese white electrical appliances enterprise.
(PPs), such as imbalance of production line, stopping Section ‘‘Discussion’’ discusses the generalizability of
line, and waiting. However, VSM as a systematic Lean the proposed model. Conclusion, limitations, and
tool avoids sporadic implementation of improvements future scope conclude this article.
and builds toward a dependable system that everyone
connected within the value stream could work together
Literature review
to improve the whole not just optimize the parts.5
However, VSM has some inherent defects as: (1) VSM The development of LP
is a powerful diagnostic and planning tool, but it fails The foundation of LP is waste elimination, by enhan-
to propose feasible solutions. Even though some other cing VA activity and eliminating NVA activity for
Lean tools or methods may apply to tackle these PPs, finally achieving zero waste. Panwar et al.12 investi-
the procedures of PP-solving and Lean tool selection gated the status of Lean manufacturing in Indian pro-
are chaotic;6,7 (2) The identified PPs are static and the cess industries and declared that the implementation
relations among them are fuzzy, so the PPs may inter- level of LP in Indian process industries is still low, but
ference with each other during the procedures of LP thinking has already been accepted by some enter-
improvement. After one PP has been solved, the rest of prises and confirmed very useful to reduce waste and to
the related PPs may change. These two defects have increase quality. Zhou13 studied more than 200 small-
impeded the development and application of VSM and and medium-sized enterprises (SMEs) in the United
need to be solved. States about the implementation of LP, and the results
Unstructured PP-solving procedure and confused suggest that most of the SMEs have a relatively accu-
relationships among PPs are the main problems during rate understanding of Lean thinking and principles;
VSM application. Scholars proposed different kinds of varied Lean tools have been applied and they are posi-
solving procedures or models for VSM according to the tively related with performance of SMEs. Chiarini14
characteristics of the PPs and enterprise’s capabil- observed five European motorcycle components manu-
ities.8–10 The proposed procedures or models applied facturing enterprises which have implemented five Lean
VSM with other Lean tools to solve practical PPs and tools: VSM, 5S, cellular manufacturing, Single Minute
achieved desired results. However, these procedures or Exchange of Die (SMED), and Total Productive
models are lack of universality for various PPs and need Maintenance (TPM). He found that implementing LP
a mess of cases to verify their reliability. Proposing a principles and tools not only decrease the waste during
novel procedure or model may not be a feasible way for production but also help enterprises to reduce environ-
various PPs, and VSM should integrate with a mature mental impacts and realize manufacturing-greening
procedure tool and build a relationship evaluation processes. Taj investigated the adaptation of LP and
method to overcome its defects. This article proposed a assessed its current state of practice in 65 plants of
novel model to tackle the mentioned defects of VSM by China. He found that the petroleum industry is in lead
establishing a standard procedure for PP-solving and a among all industries, followed by computer, telecom-
dynamic evaluation mechanism. For PP-solving proce- munication/wireless, and electronics industries.15 Jasti
dure, DMAIC (Define, Measure, Analyze, Improve, and Kodali16 reviewed and analyzed recent research
and Control), as an effective problem-solving method articles on LP, and they believed that LP has a big
in Six Sigma, provides a structured problem-solving impact on academicians and is very useful for produc-
procedure, and it is suitable for rather extensive tion around the world. Based on the results, the sugges-
problem-solving tasks.11 Integration of VSM with tions for the future scope of research possibilities and
DMAIC is a novel method to accomplish standard pro- development are identified. LP thinking has applied to
cedures for increasing PP-solving performance. For the a lot of areas and achieved considerable benefits on
relationships among PPs, we applied incidence matrix waste elimination. Enterprises pay more attention on
and data envelopment analysis (DEA) method to clar- introduction and implementation of LP thinking to
ify them. This article aims at proposing the VSM- production. Lean tools support the realization of LP
DMAIC model, and verifying the feasibility and thinking based on special LP principles, and different
Guo et al. 3

Lean tools assist enterprises to eliminate waste from


various perspectives. VSM, as one of the basic Lean
tools for LP, is used as a tool for identifying waste and
directing improvement.

VSM and DMAIC for Lean-Kaizen


LP is a procedure of waste elimination and efficiency
promotion; however, Toyota Production System
focuses on not only improvement but also continuous
improvement. Kaizen is a Japanese word for ‘‘continu-
ous improvement,’’ hence Lean-Kaizen means continu-
ous elimination of waste and efficiency promotion.17
For realizing Lean-Kaizen, Kaizen event is proposed as
a focused and structured improvement project which
concentrates on a special target to produce positive
change in business results.18 Since Lean-Kaizen devel-
ops based on LP, the principles and tools of LP are
equally applicable to Lean-Kaizen.
Identifying and locating waste are the preliminary
steps for Lean-Kaizen, and VSM is the most commonly Figure 1. Three model types on integration of VSM with
DMAIC.
used Lean tool for representing production flows and
identifying some types of waste.19 Hines and Rich20
presented a set of seven mapping tools and linked to
should be a way to perfect the contents of VSM and
the identification of the seven wastes. Yang et al.21 pro-
extend VSM method to more application domains.
posed five factors for designing future VSM and used
VSM tool for reducing the work in process (WIP) and
increasing the service level of a fishing net manufactur- Integration of VSM with DMAIC
ing system. Matt22 studied an Italian steel construction
company to identify best practice guidelines for the According to attributes and applications of VSM and
adaptation and use of VSM in the design of Lean DMAIC, there are mainly three integration model
engineer-to-order production systems. Based on the types as shown in Figure 1.28 The first model type pre-
original VSM, researchers have extended VSM to more sents DMAIC is a part of VSM that identifies and
specialized and complex production systems for adapt- locates waste and PPs from current VSM to future
ing the diversity.23,24 VSM, then solving the PPs by the procedure of
After waste identifying, hundreds of tools assist DMAIC. This kind of model is close to the integration
VSM to eliminate the waste, such as Pareto chart, model proposed in this article. Based on this model, we
Fishbone diagram, and poka-yoke. As the procedures developed and perfected this model by defining the
of waste elimination are confusing and undisciplined in functions and mechanism of VSM-DMAIC, realizing
most scenarios, a structured problem-solving frame concurrent Lean-Kaizen, and dynamic updating of
should be introduced to VSM for guiding waste elimi- PPs. The second model type presents VSM is part of
nation. DMAIC as a widely used Six Sigma approach DMAIC that acts as a tool for supporting the specific
for quality improvement, and it provides a structured phase of DMAIC. This kind of integration is often
and systematic problem-solving procedure. In most called as Lean Six Sigma, and most of scholars focus
cases, DMAIC is applied to improve the performance on this type model.29–31 The third model type presents
and quality of production.25–27 From the perspective of that VSM and DMAIC are used separately from each
problem-solving, DMAIC is a generic and versatile other to solve different types of PPs. In this mode, the
method which can be extended for rather extensive PPs should be separated according to their attributes.
problem-solving tasks. De Mast and Lokkerbol11 ana- According to what we have discussed above, LP is
lyzed the characterization of the types of problems for applied to different kinds of enterprises for waste elimi-
which DMAIC is a suitable method, and the results nation and obtained plentiful achievements. VSM is a
showed that DMAIC is applicable to empirical prob- powerful LP tool for identifying and locating waste to
lems with larger scope ranging from well-structured to assist PP improvement; however, the procedures of
semi-structured. So, DMAIC can be used as a powerful waste elimination are confusing and undisciplined.
tool for realizing structured waste elimination proce- DMAIC can provide a structured procedure for prob-
dure. In addition, integration of VSM with DMAIC lem-solving, and scholars proposed three types of
4 Advances in Mechanical Engineering

Figure 2. The framework of VSM-DMAIC.

Figure 3. The relationships among waste, PPs, production resources, and resources attributes.

VSM-DMAIC models for different scenarios. We production resources, and resources attributes is illu-
selected and developed the first model (DMAIC is a strated in Figure 3.
part of VSM), since the PPs of assembly line are VSM-
driven. The seven wastes may cause PPs, and the relation-
ships among them are many-to-many. To solve a PP
equals to optimize the production resources of relevant
The model to be applied production station which include man, machine, mate-
For realizing concurrent Lean-Kaizen, the integration rial, method, and environment (4M1E). Each kind of
model is proposed with the basic functions of PPs: iden- resource may have the attributes of activity, quantity,
tifying, clustering, ranking, and solving. Based on the position, function/type, and performance. By changing
idea of integration of VSM with DMAIC, and Lean- the attributes of production resources, PPs can be
Kaizen, a systemic PP-solving model is proposed, as solved suitably.
shown in Figure 2. The VSM-DMAIC model consists
of five steps for realizing identifying and solving PPs. Step 2: creating PP sets. In most cases, researchers
The five steps of VSM-DMAIC are detailed as follows: just found and tackled the PPs and the relationships
among them are neglected. During the procedure of
Step 1: identifying PPs. Finding and locating PPs are PP-solving, two or more solving procedures may
the preliminary steps of Lean-Kaizen. The PPs can change attributes of the same production resource.
be identified from current VSM to future VSM by So, the solving procedure can only focus on one of
analyzing the waste during production processes. In PPs and tackle them one by one.32,33 To realize con-
essence, PP-solving is to optimize the attributes of current Lean-Kaizen, the relations among PPs must
production resources of each station in production be cleared and related PPs should be clustered into
line. The relationship mapping among waste, PPs, one PP set.
Guo et al. 5

1X m
s+
i2
min 1 + ð1Þ
m i = 1 Ri

X
n
Subject to lj xij + s +
i1  si2 = xi0 , i = 1, . . . , m
j=1
j6¼0
ð2Þ
X
n
lj yrj  s+
i1 = yr0 , r = 1, . . . , s
j=1
Figure 4. The relationships among PPs by incidence matrix. j6¼0

lj , s + +
i1 , si2 , sr ø 0, i = 1, . . . , m; r = 1, . . . , s; j = 1, . . . , n
A team is built up with engineers from equipment
department, industrial engineering (IE) department, where j represents PP (j = 1, ..., n) that all the PPs have
product department, quality department, and engineering m inputs xij (i = 1, . . . , m) to produce s outputs
department. The engineers independently analyze the yrj (r = 1, . . . , s). Assuming that Xj = (xij ) 2 Rm 3 n and
relationships among PPs and then the team holds a meet- Yj = (yrj ) 2 Rm 3 n are non-negative. Ri is maximum of
ing and analyzes the relationship from overall perspective all ith inputs; s+ 
i1 and si2 are, respectively, the slacks for
with the method of Brainstorm or Delphi. Based on engi- decrement and increment of ith input; and s+ r is output
neers’ experience, incidence matrix is applied to identify slack.
the relationships among PPs with different production The inputs of super-efficiency DEA ranking on PPs
resource attributes. If solving procedure of PP1 has an are the changing cost of 4M1E and the outputs are eco-
impact on the activity of man a11 , then marked with 1; nomic benefits and cost-saving. It is a typical multiple
otherwise, marked with 0 as shown in Figure 4. inputs and outputs model and can be properly handled
by super-efficiency DEA ranking method.
Step 3: PP importance ranking. In the last step, the
relationships among PPs are clustered into PP sets. Step 4: Kaizen events based on DMAIC. According
In a PP set, which PP should be tackled first is to PP sets and ranking results, the most important
decided by IOR or results of PP-solving. The stan- PP in a set should be tackled first, then comes the
dard DEA method has been successfully applied for second, and so on. The PPs in different sets can be
the evaluation of efficiencies where multiple inputs improved concurrently. Each PP corresponds to a
and outputs occur.34 Based on this characteristic, Kaizen event which is a focused and structured
researchers extend DEA to the field of ranking, such improvement project with the potential of improving
as cross-efficiency DEA ranking, super-efficiency both a technical system and a social system.37 The
DEA ranking, and benchmark DEA ranking.35 DMAIC-based Kaizen event is proposed as shown
This article applies super-efficiency DEA ranking in Figure 5, and full name of the tools are illustrated
method36 for realizing IOR rank of PPs, and the in Appendix 1. Each phase of DMAIC has corre-
method can be described as below sponding tools to support it,38 and the tool selection

Figure 5. Kaizen events based on DMAIC.


6 Advances in Mechanical Engineering

Figure 6. The production line layout of air-conditioner outdoor unit.

is based on the outputs of previous phase. One PP assembly line in 2016 by adding automation equip-
may use one or more tools at a phase. ments, such as automatic nut machine, automatic cas-
Step 5: changes on PPs. After a round of concurrent ing machine, and automatic refrigerant inject and test
Lean-Kaizen, the most important PP of each set is equipments. Also, HR has added digital equipments
tackled and the rest PPs may change. The variational for recording production processes and production
directions of PPs can be described as follows: data. The assembly line layout is illustrated in Figure 6,
 New PP generation. Solving the previous PPs and it can be divided into four areas with 55 main pro-
may cause new PPs, since they change the attri- cesses: component assembly area, electronic assembly
butes of 4M1E. In a general way, new PPs have area, inject and test area, and final assembly area.
lower importance than tackled PPs. These areas assemble original materials to make inte-
 Original PPs vanish. During the procedures of grated air-conditioners. The assembly processes are
PP-solving, some other unresolved PPs may van- complicated and rely on assemblers, machines, assem-
ish since the solved PPs have strong relationships bly techniques, original materials, and environment,
with them. That means the solved PPs include which can be seen as production resources or 4M1E.
the procedures of solving vanished PPs. Based on the production resources, each area can per-
 Changing on original PPs’ importance. PP-solving form the specified tasks as shown in Figure 7.
may have effects on the rest PPs; unlike PPs van- The new assembly line did not sharply improve the
ishment, the effects may change the ranking of production efficiency and decrease the production cost.
the rest of the PPs. Some PPs may become less On the contrary, the product quality, assembly line
important and others become more important capacity, and production continuity decreased. In some
than before. worst scenarios, more than 1 h stopping line took place
in a shift and rejected air-conditioners are fully piled up
According to the changes on PPs, the ranking of PPs on the repair area. The upgraded assembly line failed to
and PP sets should be reassessed synchronously. And realize the preset goals and made the production even
then, the concurrent Lean-Kaizen will run again based worse. Therefore, we try to apply the novel integrated
on the five steps of VSM-DMAIC. method VSM-DMAIC and relative tools to tackle the
PPs of this assembly line.

Case study
Data collection and analysis—current VSM of the
The chosen enterprise is a leading air-conditioner manu-
facturer, which commands 17% of the air-conditioner
assembly line
market in China. The identity of the manufacturer is The assembly line assembles different types of air-con-
protected; however, we shall refer to it as HR. In China, ditioner outdoor units, but they have similar assembly
total sales of air-conditioner increased from 110 to processes and takt time only with a slightly difference
140 million between 2013 and 2017. However, the profit on refrigerating capacity of compressor. We selected
of single air-conditioner has declined 19% since the the maximum yield product type KFR-35W/1222AT as
increasing cost of labors and original materials lead to research object, since it has greatest impact on produc-
increased manufacturing cost. However, the saturation tion and the improvement will be maximized. The data
of urban markets compels air-conditioner manufacturer were collected by taking personal visits to the manufac-
to reduce the price for expanding the rural markets. turer over a period of 35 days. The data contain two
Facing the challenges mentioned before, HR parts: (1) production data exported from the manufac-
upgraded one of its air-conditioner outdoor unit turing execution system (MES) system of HR, it
Guo et al. 7

Figure 7. Brief description of production line task.

included daily output, production types of air-condi- each assembly station within takt time. The LOB state
tioner, lead time, stopping line, yield, customers’ infor- of this assembly line is shown in Figure 8.
mation, suppliers’ information, and so on. (2) The CTs of green marked stations are very short
Production process data are obtained from stopwatch and far away from the takt time, and the CTs of the
and video. By analyzing these data, cycle time (CT), red marked stations are very long and beyond the takt
changeover time (C/O), numbers of assembler, WIP time. In general, this assembly line is in an unbalanced
inventory, and VA activity were recorded. Based on the state, and the LOB rate h can be calculated using equa-
collected data, some key indicators of the assembly line tion (4) below
are proposed to support the development of current
VSM. P
N
ti
i=1 673:01
h= = = 72:6 ð4Þ
n 3 maxðtÞ 55 3 16:86
Takt time. Takt time is the rate or time required mea-
PA
sure at which a manufacturer must produce a product where i = 1 ti represents total time of all stations, n is
to satisfy customer demand.39 Equation (3) is used to the quantity of stations, and max(t) is the maximum
calculate the takt time (T) of assembly line, and HR is CT.
operating on two shifts (S) of 10 h per day with an aver-
age customer demand of 23,510 units per week (O).
The number of effective days in a week (D) is 6 days by Motion analysis of assembly station. For most assembly sta-
excluding Sunday, and average number of working tions, the motion analysis includes not only VA activity
hours per shift (H) is 8 h by excluding lunch break of and NVA activity but also necessary but non-value
1 h and dinner break of 1 h for each shift. The takt time added (NNVA) activity, for example, holding and posi-
is 14.7 s—that means the assembly line must assemble tioning. We recorded videos and decomposed assembly
an air-conditioner within 14.7 s. So, the assembly line motions of each station. Table 1 shows the analysis
should be optimized in such a way to meet the calcu- results of fixing cut-off valve station, and the other sta-
lated takt time tions were analyzed in the same way.
There are two NVA motions: one is pick up motion,
D3S 3H 6 3 2 3 8 3 3, 600 since the cut-off valves are put on the floor and assem-
T= = = 14:7 s ð3Þ blers have to stoop for picking up the valves; the other
O 23, 510
is adjusting valves’ position motion, since sometimes
the cut-off valve should be adjusted to the right position
Line of balance rate. Continuous flow is one of the most before fixing. The VA rate of this station is 46.32%.
important targets of LP, and it requires CT of each Current VSM provides a pictorial view of existing
assembly station to be as close as possible to takt processes and guides to identify gap areas for improve-
time.40 Line of balance (LOB) provides a feasible way ment. Figure 9 shows the current VSM of the air-
for realizing continuous flow by balancing the CT of conditioner assembly line. From the current VSM, it is
8 Advances in Mechanical Engineering

Figure 8. LOB rate of assembly line.

Figure 9. The current VSM of air-conditioner assembly line.

Table 1. Motion analysis of fixing cut-off valve station.

Station No. Motion Type Cycle time (s)


1 2 3 4 5 Average

Fix cut-off valve 1 Pick-up valve NVA 2.12 3.48 2.57 4.02 3.63 3.16
2 Set cut-off valve NNVA 4.43 4.52 4.46 4.45 4.51 4.47
3 Adjust position NVA 1.38 1.46 1.43 1.37 1.42 1.41
4 Fix cut-off valve VA 7.84 7.78 7.86 7.82 7.77 7.81
Sum 15.77 17.24 16.32 17.66 17.33 16.86

NVA: non-value added; NNVA: necessary but non-value added; VA: value added.
Guo et al. 9

Table 2. The identified waste and PPs of assembly line.

No. PPs Description

1 Imbalance The LOB rate of the assembly line is only 72.6%.


2 Excess WIP Pre-assembly line causes 750 pieces of WIP inventory.
3 Preparation time It takes 1 h to prepare the production materials.
4 Stopping line It waste 0.5–1 h of each shift and cause work overtime.
5 Long changeovers There are three stations with changeover time beyond 60 s.
6 Defective product 87% reject rate cause by welding failure.
7 Logistics waiting It takes 1.5 h for waiting for the logistics trucks.
8 Waste motion Some stations’ waste motion accounts for more than 50% CT.
9 Equipment failure The added automation equipments failed sometimes.
10 Supply delay Some suppliers cannot offer just-in-time delivery.
11 Low VA activity Some stations’ NVA activity account for more than 50% CT.
12 Material delivery delay Assemblers wait for the production materials.

LOB: line of balance; WIP: work in process; CT: cycle time; VA: value added; NVA: non-value added.

found that about 270.41 s, or 2.80% out of 9673.01 s,


were VA activities, compared to 9402.6 s or 97.2% of
NVA activities. Except the preparation time and logis-
tics waiting time, the VA activities are 40.18%. Other
data such as defective rate, equipment failure, and stop-
ping line duration can be drawn from the enterprise
resource planning (ERP) system directly.

Identifying PPs
According to the recorded data and key indicators cal-
culated before, the current VSM has been developed as
shown in Figure 9. So, the waste and PPs can be identi-
fied and are illustrated in Table 2.
We summarized 12 relative important PPs of the
assembly line which can be easily identified by the Figure 10. The PPs incidence matrix of the air-conditioner
seven wastes and have obvious influence on produc- production line.
tion. These PPs may have relationships with each other,
and the Kaizen event for each PP may cause conflicts
with other PPs. improvement team includes 13 engineers that have 5.4
average years of Lean-Kaizen experience from equip-
ment department, IE department, product department,
Using VSM-DMAIC for concurrent Lean-Kaizen quality department, and engineering department.
For realizing concurrent Lean-Kaizen, the first thing is According to the incidence matrix, the 12 PPs can
to clarify the relationships among PPs. The incidence be clustered into four PP sets: (1, 2), (3, 5, 7, 10, 12), (4,
matrix is proposed for distinguishing the unrelated PPs 6, 9), and (8, 11). After that, the IOR of each PP should
according to the production resources with 4M1E. be calculated and ranked by super-efficiency DEA
Mapping to the air-conditioner assembly line: man rep- ranking method. The estimated inputs and outputs are
resents the assembler; machine includes torque gun, illustrated in Table 3. The inputs represent the chang-
tooling car, and so on; material represents the compo- ing cost of 4M1E and outputs represent benefits in
nent for assembly; method is the assembly technique of 3 months after changing, since HR completes a Lean-
air-conditioner; environment includes luminance, tem- Kaizen cycle around every 3 months.
perature, and so on. If the Kaizen events of two PPs Table 4 shows the rank result of PPs by super-
change the same production resources, they cannot be efficiency DEA ranking method; we neglected the inter-
improved synchronously since they may conflict with mediate results, and only left final rank and score
each other during the Kaizen events. The PPs incidence result. So, the PPs of each set can be ranked as (1, 2),
matrix of the air-conditioner assembly line is shown in (3, 12, 10, 5, 7), (4, 9, 6), and (8, 11). The PPs of No. 1
Figure 10, and the relationships are determined by imbalance, No. 3 preparation time, No. 4 stopping line,
experiences of engineers. HR built a special and No. 8 waste motion should be concurrent Lean-
10 Advances in Mechanical Engineering

Table 3. The estimated inputs and outputs of PPs (Unit: 1000 RMB).

1 2 3 4 5 6 7 8 9 10 11 12

Inputs Man 15 20 0 5 0 8 0 12 25 0 60 65
Machine 320 450 5 5 5 8 3 0 49 0 15 0
Material 5 0 0 12 0 25 0 0 0 0 0 05
Method 2 8 15 7 8 12 4 15 13 23 25 05
Environment 0 0 0 29 0 6 5 0 68 0 0 25
Outputs Benefits 2980 1040 360 548 97 20 18 26 54 25 675 15
Cost saving 170 560 650 450 102 75 56 22 95 14 455 35

Table 4. The ROI rank result of PPs.

Rank 1 2 3 4 5 6 7 8 9 10 11 12

PPs 1 3 2 12 4 8 11 10 5 7 9 6
Score 11.46 6.12 5.42 4.77 2.83 2.41 1.10 1.00 0.49 0.32 0.16 0.14

PP: production problem.

Table 5. The tools apply to DMAIC.

Define Measure Analyze Improve Control

Tools Benchmarking Data collection plan Fishbone diagram ECRS SOP


Team building Histogram SOD Ergonomics
Pareto chart 5S

Kaizen first since they obtain relatively high scores in team is built, and detailed responsibilities and time lines
each set and have no relationship among them, espe- are assigned to every participator.
cially imbalance problem which obtained the highest
score of 11.46. Excess WIP, preparation time, and stop-
ping line are also important comparing with other PPs. Measure phase. We used stopwatches to measure the
Since imbalance problem and excess WIP problem are operation time of each station, and the result can be
in the same set, they cannot be tackled simultaneously. seen in Figure 8. For reflecting the accurate operation
Four PPs can be concurrently tackled and apply the time of air-conditioner assembly line, the measurement
VSM-DMAIC framework. Considering the length of times are calculated by equation (5) according to the IE
this article, we chose the most important and represen- handbook from HR
tative imbalance problem as an example to explain the sffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffi
 n 2ffi
idea of VSM-DMAIC. By analyzing the current VSM P n
2
P
and production data, the current state of LOB rate is 40 n xi  xi
1 1
clear and DMAIC is ready for tackling this PP. Table 5 n0 = P
n ð5Þ
shows the tools in each phase of DMAIC, and it should xi
1
be pointed out that the tool selection is based on the
output of last phase. where n is the predefined measurement times of sta-
tions, we measure the operation time of each station
Define phase. The imbalance problem of air-conditioner five times (n = 5). Then, we selected a key station’s
assembly line can be defined as improving the LOB rate operation time as standard times, x1 = 16.08 s,
of assembly line. By applying benchmarking tools, we x2 = 14.24 s, x3 = 13.99 s, x4 = 14.59 s, and
compared the air-conditioner assembly line with bench- x5 = 14.10 s, respectively. The calculation result is 8.77,
marking assembly line in air-conditioner industry. Gaps approximately equal to nine times. So, each station
and disadvantages are analyzed, and the aim of LOB should be measured four more times despite predefined
rate is set around 85%–90%. Then, the Lean-Kaizen measurement times.
Guo et al. 11

Figure 11. Fishbone diagram for imbalance factors analysis.

and assembly sequence accounts for more than 80%.


So, these four factors are the important factors for
imbalance problem and need to be tackled.

Improve phase. For solving these four factors, ECRS


(Eliminate, Combine, Rearrange, and Simplify),
Ergonomics, and 5S tools are applied to enhance LOB
rate. ECRS is often used to optimize assembly tech-
nique by combining two stations into one station, sim-
plify assembly motion of a station, or rearrange the
Figure 12. Pareto chart for importance of imbalance factors. assembly sequence.41 According to results of motion
analysis of each assembly station, whether a station can
be eliminated, combined, rearranged, or simplified will
Analysis phase. Fishbone diagram was used to analyze the be clear. The ECRS result for imbalance is shown in
possible factors for imbalance of the air-conditioner Figure 13. Blue blocks represent the eliminated station,
assembly line from the aspects of 4M1E as shown in green blocks represent combined stations, and red
Figure 11. Based on the factors, the importance of each blocks represent simplified station.
factor is determined by SOD (Severity, Occurrence, After applying ECRS tool, some stations still are the
Detection) method. Severity represents the influence of bottlenecks because unfit assembly motion may affect
each factor on the imbalance problem, Occurrence repre- the assemblers’ status. Ergonomics was introduced to
sents frequency of each factor, and Detection represents analyze the assemblers’ status, and it aims at reducing
whether the factors are easy to detect or not. Integers 9, 6, the assemblers’ fatigue and increasing assembly effi-
3, and 1 are applied to show the importance of factors, 9 ciency.42 Figure 14 shows an example on changing from
means very important and 1 means unimportant. In total, standing posture to sitting posture during assembly.
12 engineers are invited to grade the factors. To clearly Material mix-up is another important factor on
reflect the importance of factors, Pareto chart is used to imbalance, and it might cause assemblers take wrong
illustrate proportion of each factor as shown in Figure 12. materials or take a long time to find the right materials.
According to Figure 12, cumulative percentage of 5S tools are used to standardize materials placing of
assembly motion, assembler status, material mix up, the assembly line, and Figure 15 shows an example on
12 Advances in Mechanical Engineering

Figure 13. The ECRS for imbalance problem.

Figure 14. Ergonomics was applied to improve assemblers’ status.

Figure 15. Using 5S tools for standard materials placing.


Guo et al. 13

Figure 16. An SOP document (in Chinese and English).

improving the materials placing of motor assembly includes assembly motions, materials, and announce-
station. ments with pictures for illustration.
Using the tools of ECRS, ergonomics, and 5S, the An Xbar-R control chart was introduced for moni-
LOB rate of assembly line has increased from 72.6% to toring the balance rate along with a control plan.
87.8%. The four important imbalance factors have Stopwatches were used to measure the operation time
been tackled; the improved assembly line is economical of each station five times per shift and then calculate
and efficient than ever before, but there is still space for the average LOB rate. In total, 20 shifts were measured
Lean-Kaizen. and the average LOB rate of each shift was calculated
as shown in Table 6. Based on that, the Xbar and R
charts were used to control the stability of LOB as
Control phase. To maintain the achievements of Lean- shown in Figure 17. The charts show that LOB improv-
Kaizen, Standard Operating Procedure (SOP) method ing tools obtain a satisfied result and stable fluctuation
is proposed for standardizing the motion of assemblers. with the model of VSM-DMAIC.
Figure 16 shows a station’s SOP document, which
14 Advances in Mechanical Engineering

Table 6. The average balance rate of 20 shifts.

Shift 1 2 3 4 5 6 7 8 9 10

LOB 86.6% 88.2% 87.9% 89.3% 88.5% 87.1% 88.4% 87.4% 87.7% 87.7%
Shift 11 12 13 14 15 16 17 18 19 20
LOB 87.0% 87.1% 88.5% 86.4% 87.6% 88.5% 87.3% 87.8% 87.1% 88.1%

Figure 17. The Xbar-R charts for LOB.

Evaluation on Lean-Kaizen results where U0 is the output per minute before concurrent
Since the VSM-DMAIC is a concurrent Lean-Kaizen Lean-Kaizen, U1 is the output per unit time after con-
model, a single evaluation indicator cannot reflect the current Lean-Kaizen. WT represents production time
results of concurrent Lean-Kaizen. Based on other in 3 months. Pr is the price of an air-conditioner, Cp is
researchers’ studies,7,43,44 we proposed 10 evaluation the production cost of an air-conditioner. Pa is actual
output during the 3 months, and DCp is the difference
indicators as shown in Table 7.
In this case, the concurrent Lean-Kaizen PPs are Nos cost
Pn between before and after concurrent Lean-Kaizen.
1, 3, 4 and 8. After the first round of concurrent Lean- i = 1 Ca is the costs for tackling PPs, n represents the
quantity of PPs, n = 4 in this case. Co represents other
Kaizen, the evaluation indicators are calculated, and
costs during concurrent Lean-Kaizen. In this case, the
radar chart is applied to illustrate the Lean-Kaizen results
total economic benefit is calculated in equation (7), and
as shown in Figure 18. The normalization procedure is
the first round of concurrent Lean-Kaizen has created
applied to simplify the value of evaluation indicators.
The LOB rate, average WIP, and supply delay have 797,051 RMB profit per month
obviously improved after the first round. However, VA
Etotal = (3:8  3:1) 3 69, 120 3 (780  620)
rate and synergistic ability of work station are still at
low levels. We should pay more attention on the PPs + 283, 500 3 52:1  (4, 210, 000 + 130, 000) ð7Þ
which have relations with the two evaluation indicators. = 8, 667, 475 RMB
For an air-conditioner manufacturer, promoting
economic benefits is the ultimate and core goal. The
economic benefits from tackled PPs can be calculated Discussion
by equation (6), which quotes from the ‘‘Calculating
First, generalizability of the VSM-DMAIC model is
method for economic benefits of enterprise innovation’’
discussed for verifying that the model can achieve con-
by China State Council
current Lean-Kaizen not only for an air-conditioner
Etotal = (U1  U0 ) 3 WT 3 (Pr  Cp ) assembly line but also for other production scenarios.
! Second, the challenges and risks are discussed for clari-
X
n ð6Þ fying the direction of VSM-DMAIC model improve-
+ Pa 3 DCp  Ca + Co
i=1
ment. Third, theoretical and managerial implications of
the article are illustrated.
Guo et al. 15

Table 7. Evaluation indicators for concurrent Lean-Kaizen.

Evaluation indicators Formulas Notations

Total value added rate: g total P


n VAt : total VA time in the process.
Ati TL: total time in the process.
VAt i=1
gtotal = = n 3100% Ati : assembly time of ith station.
TL P
(CTi + Trai, i + 1 ) CTi : cycle time of ith station.
i=1 Trai, i + 1 : transport time from ith to
Synergistic ability of work station: l jHi  CTi j i + 1th station.
li = qffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffiffi l = min l *
i
(CTi  Hi )2 + si 2 li : synergistic ability of ith station.
Hi : standard operation time of ith
Average value added rate of station: g Tti Ati
gi = = 3100% station.
CTi Rti + Sti + Ati + Cti + Wti si : Standard time deviation of ith
1 Xn
g= g station.
n i=0 i gi : VA rate of ith station.
Bottleneck capacity: § jmax CTi  CT j Tti : effective operation time.
§= Wti : waiting time.
CT
Line balancing rate: h P n Sti : setup time.
CTi Cti : proving time.
h = i=1 3100% Rti : material transport time to ith
n3 max CTi station.
Maximum changeover time: COmax COmax = max COi , i = (1, 2, 3, . . . , n)
Pn wt: equipment work time.
Average WIPavg
WIPi, i + 1 st: downtime.
i=1 f : quantity of defective product.
WIPavg =
n1 sum: quantity of product.
Supply delay times: dn Times of stopping line due to lack of
material in a shift.
Equipment utilization: v v = (wt  st)=wt
First time yield: FTY FTY = (1  f =sum)3100%

VA: value added; CT: cycle time.

assembly line. However, the generalizability theoretical


saturation of the model still should be enhanced by
multiple cases in the future. We will apply VSM-
DMAIC to other production lines of HR.
The proposed VSM-DMAIC model was verified by
only one case, and this model is in an early stage of
implementation. Some challenges and risks are still
need to be solved, and they are illustrated as follows:
(1) we just consider 4M1E to analyze the relationships
among PPs; sometimes, 4M1E cannot contain all pro-
duction resources. Two PPs may interact with each
other and the procedures of improvement may change
the same production resource. (2) DMAIC is used to
realize the improvement; however, some PPs are solved
Figure 18. The evaluation indicators before and after
properly and some others are not, such as eliminating
concurrent Lean-Kaizen.
time waste problems cannot obtain satisfied result. (3)
The PPs summary, PPs relationship analysis, and PPs
It is obvious that VSM is a powerful tool for identi- rank are empirical, and if some engineers leave the com-
fying waste and DMAIC provides a structured proce- pany, that may result in decision-making mistakes and
dure for problem-solving, and integration of VSM and have a direct effect on the PPs improvement.
DMAIC has been verified by a case study that the The VSM-DMAIC provides a method to realize con-
VSM-DMAIC model is useful and reliable. The VSM- current Lean-Kaizen, and the relationship analysis
DMAIC model was applied to an air-conditioner among PPs and dynamic PPs update mechanism greatly
assembly line, which is a typical production line, and improved the efficiency of PPs improvement. This
these kinds of lines have similar production flow and model applied feedback mechanism to realize continu-
always face similar PPs, so the VSM-DMAIC model ous improvement, and we can manage the unordered
can be applied to identify and tackle PPs of various PPs with problem sets.
16 Advances in Mechanical Engineering

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Appendix 1
The full name of the tools in Figure 5.

Abbreviation Full name Abbreviation Full name

SIPOC Supplier, Input, Process, Output, Customer 5W2H What, Why, When, Where, Who, How, How much
QFD Quality Function Deployment RACI Responsible Accountable Consulted Informed
SWOT Strengths, Weaknesses, Opportunities, Threats DOE Design Of Experiments
MSA Measurement System Analysis RSM Response Surface Method
DPMO Defects Per Million Opportunities PDCA Plan, Do, Check, Action
FMEA Failure Mode and Effect Analysis TPM Total Productive Maintenance
OED Orthogonal Experimental Design 5S Seiri, Seiton, Seiso, Seiketsu, Shitsuke
FTA Fault Tree Analysis

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