The Lean Journey Tool Sophistication Time / Cultural Maturity

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Presentation transcript:

The Lean Journey Tool Sophistication Time / Cultural Maturity Control the Process Single Piece Flow Late Point Configuration Kanban Pulse Reduce Variability Stop the Line at Defects Moving Line 3P Takt Time Set Up Reduction TPM Returnable Cont. Process defects will Create the Need for Six Sigma Projects Tool Sophistication Cellular Layout Pull Production Expose the Waste Standard Work Level Load Supermarket 7 Types of Waste Kitting Assessment Matrix Value Stream Mapping Visual Management 5S 7 Ways Time / Cultural Maturity Input Backlog In Process Predictable Output Improvement: The Lean Journey is About Applying the Right Tools at the Right Stage

Accomplishing Six Sigma Lean, Team Empowerment Sessions DMAIC DMADOV

Jidoka Pull Production Muda Continuous Flow Action Workout Kanban Lean Buzz Words Jidoka Pull Production Muda Continuous Flow Kanban Action Workout One Piece Flow Kaizen Just in Time Poke Yoke Visual Management Andon Board One Day Lead Time

It is all about waste elimination! Lean Buzz Words “All we are doing is looking at a time line from the moment the customer gives us an order to the point when we collect the cash. And we are reducing that time line by removing the non-value added wastes” Taiichi Ohno, Toyota Production System 1978 Muda It is all about waste elimination!

Waste - Over Processing Unnecessary or non-value added activities Typical causes: Work is not standardized Tasks are not simplified Operations are not understood Rework Improvement ideas: Automate the process Eliminate non-value added steps Combine steps/forms Eliminate Excess Work!

Six Sigma Mentality … Reduce Quality Defects Waste - Defects & Inspection Defective work or excessively checking work Typical causes: Variation in processes Collecting unnecessary inspection data Improvement ideas: Poke Yoke (Mistake Proofing) Jidoka (Autonomation) Cross training Document procedures Establish information needs Six Sigma Mentality … Reduce Quality Defects

Movement Does Not Equal Work! Waste - Moving Things Unnecessary movement of parts and equipment Typical causes: Unnecessary inventory Poor office layout Improvement ideas: Reduce inventory Reduce lead times Eliminate unnecessary files Create a paperless process Review record retention policy Movement Does Not Equal Work!

Eliminate Wait . . . Smooth Flow Waste - Waiting Unbalanced activities … waiting for previous process Typical causes: Idle time due to lack of “standard” operations Waiting for decisions (dispositions, inspections, materials, etc.) Waiting for shared equipment Improvement ideas: Balance operations Eliminate unnecessary approvals Eliminate redundancies Establish Single piece flow Eliminate hand-offs Eliminate Wait . . . Smooth Flow

Lean Buzz Words Pull Customer Centric Pull A process with cascading production and delivery instructions in which downstream customers signal needs to upstream suppliers One more please! Okay supplier customer Customer Centric Pull

WIP Should Be Kept As Low and As Controlled As Possible Lean Buzz Words WIP Maintain minimum Work in Process (WIP) inventory required to perform repetitive operations (COST) Control the in-process inventory to ensure an even and controlled process flow (STABILITY) WIP Should Be Kept As Low and As Controlled As Possible

Relentless Focus on Reducing Non Value-Adding Activities Benefits of Lean Cycle Time Wait Time (non value add) Before Work Time (value add) After Productivity Customer satisfaction Profit Customer responsiveness Capacity Quality Cash flow On time delivery Cost Defects Lead time Inventory Space Waste! Relentless Focus on Reducing Non Value-Adding Activities

Line Stops will Create the Need for Six Sigma Projects Lean Approach Lean Mindset Lean Toolset ‘Hunt for Non-Value Added’ … Customer Value as Objective Function … customer demands for cost/quality/variety and timeliness are ‘engineered’ into product and process flows Holistic Business Perspective … end-to–end, starting from the customer back All Waste is Relentlessly Engineered Out in Business System … waste include both cost and over-featuring ‘Perfection’ as the ultimate goal … constantly work to detect and eliminate errors; Poke-Yoke as control phase Cross-functional teams through-out value chain … harness people’s activity and ingenuity Control the Process Single Piece Flow Late Point Configuration Kanban Reduce Variability Stop the Line at Defects Moving Line Line Stops will Create the Need for Six Sigma Projects Takt Time TPM Set Up Reduction Tool Sophistication Cellular Layout Pull Production Expose the Waste Standard Work Level Load Supermarket 7 Types of Waste Kitting Assessment Matrix Value Stream Mapping 5S 7 Ways Visual Management Time / Cultural Maturity

Lean 5S 5S is the Japanese concept for House Keeping. 1.) Sort (Seiri) 2.) Straighten (Seiton) 3.) Shine (Seiso) 4.) Standardize (Seiketsu) 5.) Sustain (Shitsuke) FIRST S … SORTING (GOOD AND BAD, USEABLE AND NON USEABLE) SECOND S … SYSTEMIC ARRANGEMENT (ONCE SORTED KEEP SYSTEMATICALLY TO HAVE TRACEABILITY) THIRD S … SPIC AND SPAN (KEEP ARRANGED THINGS ALWAYS READY TO USE AND IN DIRT FREE AND TIDY STATUS) FOURTH S … STANDARDIZE (MAKE A PROCESS FOR ABOVE THREE STAGES AND MAKE STANDARDS AND ALSO KEEP ON REVIEWING THESE.) FIFTH S … SELF DISCIPLINE (INDIVIDUAL HAS TO COMMIT). Japanese - English Translations Seiri - Put things in order (remove what is not needed and keep what is needed) Seiton - Proper Arrangement (Place things in such a way that they can be easily reached whenever they are needed) Seiso - Clean (Keep things clean and polished; no trash or dirt in the workplace) Seiketsu - Purity (Maintain cleanliness after cleaning - perpetual cleaning) Shitsuke - Commitment (Actually this is not a part of '4S', but a typical teaching and attitude towards any undertaking to inspire pride and adherence to standards established for the four components)

Understand process linkages Step 1 Product Synchronization Sequence of events Operational cycle time Total product Mixed model process map Map processes that come together to build a product – identify main & feeder processes Show product options, process variations, rework loops and scrap Quantify percentage for each rework loop and option/ process variation DELIVERABLES Minimize rework…. Maximize throughput Understand Process Flow and linkage Process Flow – LTC Application Process DMA Data Entry Data Entry QA O - 20% Mailroom Final Issue 80% Decline 20% Yield = 98% NIGO= 12% PMSI Print Yield = 97% Screening QA Rubicon Rubicon QA O - 35% Yield = 99% Med Sum Med Sum QA O –10% Post Dec Post Dec QA O - 30% Screening Understand process linkages

Eliminate NVA; Reduce touch time variation Step 2 Product Synchronization Sequence of events Operational cycle time Total product Mixed model process map List every step taken to perform operation Observe and time each and every operation. Determine if each step is VA/ NVA. Observe set up and transfer time. DELIVERABLES : Drive Productivity through minimizing and eliminating NVA Identify opportunities for Digitization or elimination Minimize Hold or wait/ transfer time in a Process Eliminate NVA; Reduce touch time variation

Improve process; reduce wait/ transfer time Step 3 Product Synchronization Sequence of events Total product cycle time Operational cycle time Mixed model process map Plot cycle time for each process on product Synchronization (use SOE) Select the longest path as the total product cycle time – TPc/t – Critical Path TPc/t – touch time = wait/ transfer time Process Flow – LTC Application Process NIGO= 80% 5 Yield = 93% Yield = 93% Yield = 93% Decline 17% 3 1 1 1 2 5 Mailroom Scan Data Entry 1 1 Issue 83% 3 Mailroom Final Screening Underwriting 1 Data Entry QA O - 21% Screening QA O - 24% Underwriting QA O - 5% Improve process; reduce wait/ transfer time

Identify bottlenecks Step 4 Product Synchronization Sequence of events Operational cycle time Total product Mixed model process map Calculate effective hours & Operational Cycle time (TAKT time) for each process Identify processes with operating time greater than TAKT time DELIVERABLES : Increase my effective Hours ….. Drive down Idle Time , Time spent on other non production activities Line Imbalance Time 5 . TAKT Time 4.1 min 4 . 3 . 9 3 . 8 Operational Cycle time (TAKT time) = Effective hours*No. of shifts/ Target volume OP 1 OP 2 OP 3 OP 4 Identify bottlenecks

Leverage capacity across product lines Step 5 Product Synchronization Sequence of events Total product cycle time Operational cycle time Mixed model process map Matrix processes and products from product synchronizations Add process yield, process usage (for optional processes only) percentage, process volume and labor time to calculate required resources. Resource Capacity Plan Leverage capacity across product lines