Lean Process

History, Lean Process

© Divakar Rajamani

Brief History – Lean Perspective

PRODUCT PROCESS ALL ACTIVITIES ALL PEOPLE
COST QUALITY TIME
1911- Scientific
5S Process Reengineering
Management
1913 – Mass Production/ Kaizen Benchmarking
Economies of Scale
1915- Inventory SMED
Management (EOQ)
Poke Yoke

Kanban/ JIT / Cell

Total Productive
Maintenance
Toyota Production System

Lean

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 Lean Process Steps
Specify Value
Product, capabilities, price,
customer needs

Identify Value
Perfection Stream
-Continuous improvement - Identify actions to get
Kaizen the product to the customer
- Eliminate non-value-add
-actions

Make it Flow
Pull - Make the value-creating
Sync-up with the customer steps flow
demand - Takt time

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Specify
Value

Specify Value Perfection

Identify Value
Stream

Pull Make it Flow

n Value is the perception of the customer about the product or service for which
he/she is willing to pay.
n 95 % of the time is spent on non value adding activity.
n Use QFD, Kano model, focus groups, and surveys to identify value

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 Specify
Value

Identify Value Stream Perfection

Identify Value
Stream

Pull Make it Flow

n A value stream is all activities required to convert raw materials into the final
product for the end customer.
n Supply chains are value streams
n Waste is any non-value adding activity consuming resources.
n Process Mapping is a critical tool to help separate value adding activities from the
waste.

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Specify
Value

Exercise Perfection
Identify Value
Stream

Pull Make it Flow

n Identify different wastes in your processes

n Over production
n Correction
n Inventory
n Motion
n Over processing
n Conveyance/Transportation
n Waiting
n Under use of talent
n Lack of safety
n Resource not available
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Waste: Examples
Overproduction
üPreparing extra reports
üReports not acted upon or even read
üMultiple copies in data storage
üOver-ordering materials
üDuplication of effort/reports
Motion
üExtra steps
üExtra data entry
üHaving to look for something
Defects/Corrections
üIncorrect data entry
üPaying the wrong vendor
üMisspelled words in communications
üMaking bad product
üMaterials or labor discarded during
production
Over processing
üSign-offs
üReports that contain more information than the
customer wants or needs
üCommunications, reports, emails, contracts, etc. that
contain more than the necessary points (briefer is better)
üVoice mails that are too long
Waiting
üProcessing once each month
Inventory
üTransactions not processed
instead of as the work comes in
üBigger “in box” than “out box”
üShowing up on time for a meeting
üOver-ordering materials consumed in-house
that starts late
üOver-ordering raw materials – just in case
üDelayed work due to lack of
communication from another internal
group
Conveyance
üExtra steps in the process
üDistance traveled
üMoving paper from place to
place

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Specify
Value

Waste Elimination Perfection

Identify Value
Stream

Pull Make it Flow

Material Handling No/Min Cell

Setup Reduce SMED
Waste in process Process Capability Poke Yoke
Poor Vendor Quality Reliable Supplier JIT-Purchasing
Manpower Optimum Use Multi-Skill
Defect Q at Source Poke Yoke
Inventory Make as needed Pull system
Waiting Queue Transparent Workplace House Keeping
Over Production Level Production Pull system
M/C Breakdown High Effectiveness TPM

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 Specify
Value

Begin the Lean Journey with 5S Perfection

Identify Value
Stream

Pull Make it Flow

Sort “Red Tag” what is not needed

Set in Order Everything has a place and everything in its place
Shine Cleaning and Inspection followed by 1S and 2S
Standardize Based on 1,2,& 3 S, brainstorm and find good
solutions and standardize the system
Sustain Discipline, make the standard practices part of life

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Specify
Value

Make It Flow Perfection

Identify Value
Stream

Pull Make it Flow

n Flow is dictated by how much the customers need and when they need it.
n Represented using Takt Time
Available Work Time
Takt Time =
Customer Required Volume

n Need to balance the flow using the Takt Time.

n Tools that help improve flow: 5S, Cell, Level Loading, TOC, Flexible
Manufacturing, SMED, Lot size reduction, Pull systems

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 Specify
Value

Pull System Perfection

Identify Value
Stream

Pull Make it Flow

n Don’t make it until customer wants it.

n Execution System
n An execution system driven by actual consumption and controlled by synchronized
replenishment
n Push – “Ready or not, here I come”
n Pull – “Don’t call me, I will call you”

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Specify
Value

Perfection Perfection
Identify Value
Stream

Pull Make it Flow

n Kaizen vs Innovation
n Unwilling to consider until every possibility is accounted for
n Starting now and getting better every day is the key to overcome postponed perfection
n Adapt a continuous improvement (Kaizen) philosophy
n Plan: generate an idea to do things better
n Do: experiment the idea at a small scale
n Check: evaluate the results of the idea
n Act: if the idea generated the expected results change the standard operating procedures.

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 Specify
Value

We need Good Stress for Kaizen Perfection

Identify Value
Stream

Pull Make it Flow

n Good Stress
n A rubber band has no value lying in a box, But if you stretch it and place around a deck of
cards, it is doing useful work
n Producing just enough discomfort to overcome the inertia of status quo, so we move ahead
n Draw out our capabilities to the limit by placing all people, equipment and material in a set
of uniform stress”
n “Just one easy day” not wanted

n “You Can’t Cross the Sea Merely by Staring at the Water” Rabindranath Tagore

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