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Toyota Production System

• After World War II, Toyota was almost bankrupt.


• Post war demand was low and minimising the cost per unit through
economies of scale was inappropriate. This led to the development of
demand-led pull systems.
• The Japanese could not afford the expensive mass production facilities of the
type used in the USA so they instead focused on reducing waste and low cost
automation.
• Likewise, Toyota could not afford to maintain high inventory levels.
Features of Lean Production

WHAT IT IS WHAT IT DOES

• Management philosophy • Attacks waste


• Exposes problems and bottlenecks
• “Pull” system though the plant
• Achieves streamlined production

WHAT IT REQUIRES WHAT IT ASSUMES

• Employee participation
• Industrial engineering/basics • Stable environment
• Continuing improvement
• Total quality control
• Small lot sizes
Lean Manufacturing - Goals
7 Forms of Waste ‘Muda’

• Overproduction – most serious waste because it discourages the smooth


flow of material and inhibits productivity and quality.
• Waiting – wastes time and money.
• Transport
• Inappropriate processing – e.g. use of complex processes rather than simple
ones. Over complexity encourages over production to try and recover the
investment in over complex machines.
• Unnecessary inventory – increases lead-times and costs.
• Unnecessary motion – relates to poor ergonomics where operators have to
stretch, strain etc. This makes them tired.
• Defects – physical waste. Regarded as an opportunity to improve. Defects are
caused by poor processes.
Lean Techniques

• Manufacturing techniques
• Production and material control
• Inter-company Lean
• Organisation for change
Manufacturing Techniques

• Cellular manufacturing
• Set-up time reduction
• Smallest machine concept
• Fool proofing (Pokayoke)
• Pull scheduling
• Line stopping (Jikoda)
• I,U,W shaped material flow
• Housekeeping
Just-in-Time Manufacturing

“In the broad sense, an approach to achieving excellence in a manufacturing company based
upon the continuing elimination of waste (waste being considered as those things which do
not add value to the product). In the narrow sense, JIT refers to the movement of material at
the necessary time. The implication is that each operation is closely synchronised with
subsequent ones to make that possible”

APICS Dictionary 1987.

JIT became part of Lean Manufacturing after the publication of Womack’s Machine that Changed the World in 1991
Pull System

• Production line is controlled by the last operation, Kanban cards control


WIP
• Controls maximum WIP and eliminates WIP accumulating at bottlenecks.

Push System

Every worker maximizes own output, making as many products as possible


• Focuses on keeping individual operators and workstations busy rather than efficient
use of materials.
• Volumes of defective work may be produced
Small Machines Concept

Using several small machines rather than one large one allows
simultaneous processing, is more robust and is more flexible
5Ss
Lean Material Control

• Pull scheduling
• Line balancing
• Schedule balance and smoothing (Heijunka)
• Under capacity scheduling
• Visible control
• Point of use delivery
• Small lot & batch sizes
Lean Purchasing

• Controls and reduces inventory


• Reduces space
• Reduces material handling
• Reduces waste
• Reduces obsolescence
CASE STUDY
@ BY Garments
ABOUT COMPANY

 At present, the company’s capacity is based on the production of the factory in


Balayan, Batangas, Philippines.

 The company working force is approximately 290 employees. Its clientele include
importers and wholesalers in Asia, Europe, Canada and in the United States.

 BY Garments Industries main line of production, concerns customarily on children wear


and ladies clothes such as dresses and blouses.
AIM OF THE STUDY

 This study aimed to use and apply lean tools as ways of improving manufacturing systems that
lead to reduction of wastes and standardization of cycle time.

 Model A in Line 1 at sewing section was the focus of the study.

 The researcher used questionnaires, 5S Audit checklists, and Time Study forms in information-
gathering and cycle time-computation.

 Based on the observation done, the company does not have a standard operation time.

 The researcher observed non-value activities such as unnecessary transportation and manual
counting, and there were also product defects due to poor 5S and WIP inventories.
OBJECTIVE OF THE STUDY

 This research focused on the application of Lean Manufacturing in baby dress sewing section in
BY Garments Industries, as a strategy for productivity improvement.

 To determine the status of BY Garments Industries, Inc. in terms of the following parameters:
operation process flow; value stream mapping in terms of value activities, and non value
activities; takt time / cycle time, work in process (WIP) inventories, and 5‟S practices;

 To determine the extent of the productivity after the application of lean manufacturing tools in
terms of productivity, manpower requirements, work in process (WIP) inventories, efficiency,
rejection rate, and 5‟S practice; and to develop a time study system to achieve productivity
Value Stream Mapping - Value Added Activities

Lean manufacturing strives to improve as much as possible


the value-added component of lead time, but focus first on
reducing the non-value-added component of lead time.
Current Status of BY Garments Industries

It had no systematic flow of operations,


No monitoring records of production output,
No waste reduction policies, and
No non-value added activity elimination
measures.

The sewer, after finishing his/her operation,


has to travel to get the parts to be processed
in other lines.
The operator or sewer does not have an output
requirement per day, because each operation in
sewing process is paid at a per piece rate. That is why
inconsistencies in daily output cannot be avoided
because there are sewers who work faster than others.

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The average NVAA is 65 minutes per day

 In the existing system, operators start producing


parts continuously at their full efficiency
irrespective of the requirement of succeeding
operation.

 Due to this, there is a huge amount of WIP in


between processes, creating problems. As the WIP
increases, the possibility of mistakes also
increases.

 The average WIP inventories per week is 5.4%


The problem with inventory

WIP Reduce the level of


productivity
Defective materials inventory (water) to reveal
problems
the operations’ problems
Scrap Rework
Downtime

WIP
Defective materials

productivity
problems Scrap Rework
Downtime
Application of Lean Manufacturing Tools

Process Flow

Elimination of NVAA

WIP Inventories

5’s Practices
 To eliminate the non-value activities and unnecessary movements of sewers, the flow of
operations must be based on the length of each work available for each sewer.

 This is to balance the operations for each model and avoid the late process of other operations.

 To achieve this, each operation in each model will be done in a single line, the computed
standard time was used as a basis in determining the capacity of each operator, the required
output per day per operator and the number of machines required to accomplish the target
output were determined

 Line Balancing which is levelling the workload across all processes in a cell or value stream
toremove bottlenecks and excess capacity was used.

 Line Balancing is standardization of cycle time which calculated and applied in sewing
section
The principle that underpins JIT is that production should be pulled through rather than pushed
through.

This means that production should be for specific customer orders, so that the production cycle
starts only once a customer has placed an order with the producer.
The time study was conducted at BY Garments
and the standard time was determined. For Process 1
(piping neckline), the operator was selected. The
researcher used 10 cycles, using a stopwatch. The
elements were broken down in such a way that the
operation will be simplified.

The same procedure was done in Process 2 to 13.


Based on the computation, Model A under Line 1 has
total Cycle Time of 926 seconds.
Effectiveness of Lean Manufacturing Principles

Productivity

Rejection Rate

WIP Inventories

Manpower Requirement

Efficiency
Effectiveness
STUDY CONCLUDES

 The non-value added activities were reduced, thus productivity was improved.

 After lean implementation, 100% efficiency was achieved,

 the rejection rate was reduced to 0.08% and 8 in 10K

 zero WIP inventories in Line 1 became a practice