ILA-LEAN Project No 2016-1-PL01-KA203-026293 5S THE MOST POWERFUL TOOL FROM THE «LEAN» TOOLBOX „Innovative Learning Approaches for Implementation of Lean Thinking to Enhance Office and Knowledge Work Productivity” ILA-LEAN Project No 2016-1-PL01-KA203-026293 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 Project Title Innovative Learning Approaches for Implementation of Lean Thinking to Enhance Office and Knowledge Work Productivity Project Number: 2016-1-PL01-KA203-026293 Disclaimer: This project has been co-funded with support from the European Commission. This publication reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 LEAN: A SET OF TECHNIQUES FOR THE ELIMINATION OF WASTE WITHIN A PROCESS LEAN = WASTE 3 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 4 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «Poor Richard’s Almanack» – (1732 - 1758) Poor Richard’s Almanac: He that idly loses 5s. [shillings] worth of time, loses 5s., and might as prudently throw 5s. into the river. "A penny saved is two pence clear. A pin a-day is a groat a-year. Save and have." B. Franklin (1706-1790) 5 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 6 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «The Principles of Scientific Management» – (1911) Taylor's scientific management consisted of four principles: 1) Replacing the rule-of-thumb work methods with methods based on a scientific study of the tasks. 2) Scientifically selecting, training and developing employee rather than passively leaving them to train themselves. 3) Providing "Detailed instruction and supervision of each worker in the performance of that worker's discrete task". 4) Dividing work almost equally between managers and workers, so that managers could apply scientific management principles to plan the work and workers could actually perform the tasks. F. W. Taylor (1856-1915) 7 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 8 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «Mass Production System» – (1913) «My life and work» – (1922) “I believe that the average farmer puts to a really useful purpose only about 5% of the energy he expends.... Not only is everything done by hand, but seldom is a thought given to a logical arrangement. A farmer doing his chores will walk up and down a rickety ladder a dozen times. He will carry water for years instead of putting in a few lengths of pipe. His whole idea, when there is extra work to do, is to hire extra men. He thinks of putting money into improvements as an expense.... It is waste motion— waste effort— that makes farm prices high and profits low.” H. Ford (1863-1947) 9 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 10 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «Jidoka» – autonomous automation «5 Why» – problem solving technique S. Toyoda (1867-1930) 11 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 12 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «Toyota Production System: elimination of waste» T. Ohno (1912 – 1990) 13 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 14 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «The machine that changed the world» - Womack, Jones (1990) «We were much gloomier about the auto(motive) industry and the world economy. We conclude that Auto industries of North America and Europe were relying on techniques little changed from Henry Ford’s mass-production system and that these techniques were simply not competitive with a new set of ideas pioneered by the Japanese companies, method for which we did not have a name. As the Japanese companies gained market share,…”» J. P. Womack 15 «Lean Thinking » - Womack, Jones (1996) D. T. Jones 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS B. Franklin F. W. Taylor H. Ford J. P. Womack D. T. Jones M. L. George HALF18° BEG20° HALF20° END20° BEG21° 16 S. Toyoda T. Ohno 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

LEAN: PRINCIPAL CONTRIBUTORS «Lean six sigma for services» - M.L. George (2003) Service operations now comprise more than 80% of GDP (Gross Domestic Product) in the United States and are rapidly growing around the world. This represents an enormous opportunity for achieving significant speed, quality, and cost improvements, all of which can give organizations a major strategic advantage over their competition”. M. L. George 17 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

«PRINCIPAL CONTRIBUTORS» WHAT IS «LEAN» «PRINCIPAL CONTRIBUTORS» 18 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WHY DO WE NEED TO LEARN «LEAN»? 19 *Lean Implementations in Hungary - István Rendesi, Audi Hungaria Motor Llc. , Hungary and researchers from the University of Pannonia 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 LEAN NEEDS A STRONG FOUNDATION! VALUE NON VALUE BUT NEEDED 7+1 WASTE 20 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 THE 7+1 WASTE 21 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WASTE IS HIDDEN 22 " Waste is hidden. Do not hide it. Make problems visible. – 7° Ohno's Precepts". 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

VISUAL WORKPLACE: WHERE WASTE ARE UNHIDDEN 15% increase in throughput 70% cut in materials handling 60% decrease in floor space 80% decrease in flow distance 68% reduction in rack storage 45% decrease in number of forklifts 12% decrease in engineering cycle time 50% decrease in annual physical inventory time 96% decrease in defects 23 From: 5S Visual Workplace Handbook – PAC Production Automation Corporation – www.gotopac.com 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WHERE DO WE START FROM? Identification of High Impact Lean Production Tools in Automobile Industries using Weighted Average Method 12° GLOBAL CONGRESS ON MANUFACTURING AND MANAGEMENT, GCMM 2014 - P. Arunagiria e A.Gnanavelbabub 24 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 «5S» BENEFITS • Reduce non-value adding activity • Reduce mistakes from employees and suppliers • Reduce time for employee orientation and training • Reduce search time of facility management and locating tools, parts and supplies • Reduce parts stored in inventory, and associated inventory carrying costs • Reduce unnecessary human motion and transportation of goods • Improve floor space utilization • Improve employees safety and morale • Improve product quality • Extend equipment life through more frequent cleaning and inspection 25 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WORKPLACE ORGANIZATION SAFETY FIRST 1°S - SORT 2°S - SET IN ORDER 3°S - SHINE 4°S - STANDARDIZE 5°S - SUSTAIN 26 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 1°S SORT JOB AID – 1°S SORT Definition Eliminate nonessential items from the workplace Target outcome An uncluttered workplace Action Steps Identify a 5S project workplace Eliminate unnecessary items from the workplace that are not needed for current operations; Use visual methods such as red tagging to identify these unneeded items Exemples: Go through all the files, folders, documents, catalogues in the office and keep only essential items. 27 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 1°S SORT IN OFFICE X 28 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 1°S SORT IN OFFICE RED TAG CRITERIA USELESS STUFF 29 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

2°S STABILIZE (SET IN ORDER) JOB AID – 2°S SET IN ORDER Definition Create a well-ordered and visually instructive workplace (“a place for everithing and everithing in its place”). Target outcome A visual workplace that minimize wastes and human errors Action Steps Create efficient and effective storage/archive methods; Arrange items so that they are easy to use and find; Affix labels on folders; Install modular shelving Exemples: Use dedicated locations, tools to clearly define priorities, reorder points, functional space management,etc. Surgeon’s tray 30 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

2°S STABILIZE (SET IN ORDER) IN OFFICE Examples of proper storage and archive locations 31 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 3°S SHINE JOB AID – 3°S SHINE Definition Clean the work area Target outcome Daily cleaning follow up to sustain improvements Action Steps Clean floor, desks, bookshelves, lighting, windows and anything else that affects overall cleanliness Exemples: Set a shine roster for cleaning activities in the area 32 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 3°S SHINE IN OFFICE 33 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

JOB AID – 4°S STANDARDIZE Definition Establish standards to mantain 5S improvements Target outcome Develop procedures to make this approach consistent Action Steps Brainstorm ideas for making the 5S changing standard operating procedure; Update documentation to reflect changes; Make sure all stakeholders are aware of the new standards Exemples: Visual aids, work instructions, information and training provided to stakeholders 34 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

4°S STANDARDIZE IN OFFICE In manufacturing and office workplaces: By documenting the current best practice, standardized work forms the baseline for “kaizen” or continuous improvement. As the standard is improved, the new standard becomes the baseline for further improvements, and so on. The goal is improving standardized work in a never-ending process. Performances and new targets have to be communicated to all the staff through information boards, work instruction for newcomers, visual KPIs, etc.. 35 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

4°S STANDARDIZE IN OFFICE Procedures, instructions and KPIs are visibile and shared 36 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

5°S SUSTAIN 37 Merlin Casalecchio di Reno (BO) JOB AID – 5°S SUSTAIN Definition Monitor, expand and refine 5S results Target outcome Make a habit of properly mantaining correct procedures Action Steps Assign responsibilities; Mantain a regular audit activity; Share best practices between the areas Exemples: Audit forms, resources for communication and recognizing successes Leroy Merlin tools board 37 Hotel reception desk 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 5°S SUSTAIN IN OFFICE 1. ASSIGN “5S” RESPONSIBILITIES 2. INTEGRATE “5S” INTO REGULAR AUDIT 3. GRADE ALL AREAS ON “5S” PERFECTION 4 – REWARD WINNERS 1 5S Score Sheet 1. xxxxxxxxxx xxxxxxxxxxxxxx xxxxcx lsdfj sdlk dkdie ldslj sdlj f lsdflj sldkj f 2 x x xxxxxxxxxxxxxxxxx xxxx 3. xxx xx xxxx x x xxxx x xxxxxlsdf lsdkjei lsdkj sdlkj sdl ldf 4. xx xxxxxx x xxxx x xxxxxxxsdlfkj sdflkj sflkjsdflkj flk 5. xxxxx xxx x x xxx xxxx xxxxxsdf,j sdlfjk flsdf ljsd 3 2 4 3.0 1 2.4 38 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WORKPLACE ORGANIZATION 39 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

BE ALL IN OR GET ALL OUT. THERE IS NO HALFWAY WHEN 5S METHODOLOGY FAILS BE ALL IN OR GET ALL OUT. THERE IS NO HALFWAY 40 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WHEN 5S FAIL «I have witnessed company after company comment they tried 5S in the past and it did not work for them. Further investigation uncovered a consistent root cause for their failure. They did not formalize the last two S’s: standardize and sustain. They called the initiative 5S when, in fact, it was really only 3S.» C. D. Chapman “Clean House With Lean 5S” (2005) 41 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 https://www.youtube.com/watch?v=t8IfQp4A4ZI&index=2&list=PLUQvN0odYQNlHY2WfPD-RN7ShrNCETbrD LET’S GO TO THE MOVIES «5S THAT WORKS» https://www.youtube.com/watch?v=MPkMK2q78qc&list=PLCSZmrc5bdRzFc8Z6Ieof y4apcQZFkTO5 https://www.youtube.com/watch?v=F7hk_sMings&list=PLCSZmrc5bdRxDqCITHcNv ORaIfq9Tzadq https://www.youtube.com/watch?v=aMkXICM1-98&t=5s «5S FAIL» https://www.youtube.com/watch?v=t8IfQp4A4ZI&index=2&list=PLUQvN0odYQNlH Y2WfPD-RN7ShrNCETbrD 42 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 ARE YOU STILL NOT CONVINCED? Centoform 5S game 43 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 CALCULATION OF THE INVESTMENT PAYBACK Once familiar with the 5S methodology and with the game, it is recommended to perform the following exercise: Play the first round with the “BEFORE 5S” slideshow noting the number of cards with the right result and the time of “BEFORE 5S” slideshow. Apply the following formula: T1 = (slideshow time “before 5S”)/(n° of cards produced) Apply the 5S to the physical and information environment noting the time spent to apply them (T2) Play a round using the “AFTER 5S” slideshow noting the number of cards with the right result and the time of “AFTER 5S” slideshow (T3). T3 = (slideshow time “after 5S”)/(n° of cards produced) The formula to find the Break-Even Point is BEP = (T2)/(T1-T3) It shows how to find out the number of sheets/pieces produced above which the time requested to apply the 5 esses is already repaid. 44 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 WHAT DID WE LEARN? The objective of the game is: Show WHAT can be improved by 5S Show HOW it can be improved by 5S By playing the game the participants will obtain competences in: Reducing non-value adding activities Reducing search time in navigating the facility Improving product quality 45 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018

ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018 References Poor Richard's almanack by Franklin, Benjamin – 1733 - 1758 The principles of scientific management - FW Taylor - 1919 My Life and Work - Henry Ford, Samuel Crowther -1922 Toyota production system: beyond large-scale production - T Ohno - 1988 The Machine that changed the world - JP Womack, DT Jones, D Roos - 1990 Lean six sigma for service – M.L. George, M George - 2003 Identification of High Impact Lean Production Tools in Automobile Industries using Weighted Average Method - 12° GLOBAL CONGRESS ON MANUFACTURING AND MANAGEMENT, GCMM 2014- - P. Arunagiria e A. Gnanavelbabub . Lean Implementations in Hungary - István Rendesi, Audi Hungaria Motor Llc. , Hungary and University of Pannonia – s.d. Clean House with Lean 5S - C.D. Chapman - 2005 46 1-02-2017 ILA-LEAN Project No 2016-1-PL01-KA203-026293 - 2016-2018