Vermont ASQ Meeting March 24, 2005 Jeffrey S. Solomon General Dynamics Burlington, VT Kaizen: Focused, Fast Team Improvement

2 Outline I. Introduction II. Kaizen Philosophy and Approach III. Kaizen Toolbox IV. Results from Some Kaizen Events V. Lessons Learned (“The Bigger Picture”)

3 What is Kaizen? l “KAI” – Take apart and make better l “ZEN” – Think. Make good the actions of others. Do good deeds. Help each other l KAIZEN – Make people’s jobs easier by taking them apart, studying them, and making improvements l Also known as: The Deliberate Application of Common Sense

4 Some Kaizen History l First made popular by Toyota as part of their production system (TPS or Lean Manufacturing) in the 1970s l “Discovered” and described in books in the West starting in the 1980s l Popular in American Auto and Aerospace industries in the 1990s (“Kaizen Blitz”) l Key tool in Lean Production today

5 Kaizen’s Basic Goal l Discover and Eliminate all Waste in a process l Waste (“Muda”) – anything that the customer does not pay for l Some waste is necessary or required by law (personnel files, financial records, meetings, maintenance)

6 The Seven Types of Waste l Overproduction l Waiting l Overprocessing l Inventory l Motion l Defects l Transportation

7 Today’s Marketplace l It is no longer Cost + Profit = Selling Price l Today it is Selling Price - Cost = Profit

8 Kaizen Event l Focused effort by a full-time, cross-functional team to analyze and improve a process in a short time (usually 1 week)

9 Kaizen Event Schedule MonTraining and write problem statement Tues – Wed AMProcess Analysis and Determine Improvements Wed PM – Fri AMImplement improvements Fri PMManagement Outbrief

10 Kaizen Event Preparation l Select area and determine scope l Select team l Provide rough objectives and some desired improvements l Communicate with all personnel in the area l Get buy-in from support groups

11 Kaizen Event Team l Some people responsible for and knowledgeable about the process l Some people unfamiliar with the process l 6 to 8 total

12 Kaizen vs Problem Solving Teams Kaizen Problem Solving Team TeamCross-functionalSame Time2 – 10 days3 – 6 months PowerMake changesRecommend action FocusWhole processSingle issue Goal Improve process / eliminate waste Resolve problem

13 Kaizen Team Charter l NOT A LICENSE TO SPEND l Challenge Everything l Focus on improving things, not pointing fingers l No action – no success l Quick and simple is better than slow and fancy l If it doesn’t work out, can always go back to the way it used to be

14 Kaizen Toolbox l Flowcharts l Cause and Effect Diagrams l Pareto Charts l Histograms l Control charts l Scatter Plots l Check Sheets l Statistical Methods

15 Kaizen Toolbox, continued l Value Stream Mapping l 5S l Takt and Cycle times l Spaghetti Diagram l Poka Yoke l Kanban l Visual Controls l Preventive Maintenance l 5 Whys

16 5S l Sort l Straighten l Scrub/Sweep l Systemize/Schedule l Standardize/Sustain

17 Results from Some Kaizen Events l Paint Room l Potentiometers Area l Proposal Group l Airplane Engine Integration Area

18 Lessons Learned l Management support critical for long term success l Plan events that support company goals (avoid “shotgun kaizen”) l Your customer or your CFO should see results l Get everyone involved l Complete all actions on time l It’s easier to cut costs by 10% than it is to increase sales by 10% l Take photos before and after

19 Questions?