1. Alain Prioul JUNE 2010 FIXED BATCH KANBAN SYSTEM AND LEAD TIME CONTROL

2. Property of Faurecia - Duplication prohibited 2 FIXED BATCH KANBAN SYSTEM AND LEAD TIME CONTROL

3. Property of Faurecia - Duplication prohibited 3 PULL SYSTEM - MIFA TPA Customer Process 1 Process 2 PC & L NO LEAD TIME CONTROL Process Stagnation Purchased parts Leveling board Production Lead Time F. G. Shopstock Batch building Demand : forecast/firm A B C A B C NO CONTROL OF THE FLOW ABCABC

4. Property of Faurecia - Duplication prohibited 4 BATCH PRODUCTION ABCA Stock A = Lead time of A time TPA Customer PC & L Leveling board Demand : forecast/firm Batch building A B C A B C Process 1 Process 2 Purchased parts

5. Property of Faurecia - Duplication prohibited 5 FIXED BATCH CONCEPT ABCA Fixed ? Fixed duration Fixed quantity ? Production Cycle Time of A or B or C Packaging of A or B or C Nb of Kb in one lot vary with

6. Property of Faurecia - Duplication prohibited 6 FIXED QUANTITY BATCH : LEAD TIME VARIATION If production duration of B or C is longer, Lead Time of A is longer. Same for B and C. Same consequence if tool change time is longer than standard. ABCACBA Lead Time A Stock A Stock Shortage A Batch is longer than standard

7. Property of Faurecia - Duplication prohibited 7 Unleveled Withdrawals Schedule change POOR LEVELING ALSO IMPACTS LEAD TIME ABC A B B A Lead Time A PIK A B C Shopstock WK C A B

8. Property of Faurecia - Duplication prohibited 8 CAUSES OF LEAD TIME VARIATION Production time longer than standard Tool change longer than standard Unleveled withdrawals Stagnation of information Even when we fix the quantity of Kanban in a batch, we do not control the Lead Time

9. Property of Faurecia - Duplication prohibited 9 PRODUCTION PATTERN ABCA B Schedule is pre-define Changeovers are planned BCA 8h8h 10 h 12 h 14 h 16 h 8h8h 10 h 12 h 14 h 16 h LEAD TIME IS UNDER CONTROL A

10. Property of Faurecia - Duplication prohibited 10 PRODUCTION PATTERN Demand stability Line reliability OPR control Pre-requisites PIK ABCABC ABCAB Production pattern A B C Daily demand

11. Property of Faurecia - Duplication prohibited 11 Production pattern Good visualization of future changeover Synchronization with preceding or next process is possible Strong incentive for beeing lean Advantages Becomes difficult when law runners are not predictable No adaptation to demand variations Disadvantages

12. Property of Faurecia - Duplication prohibited 12 TO REMEMBER Fixed batch Kanban system do not ensure systematically stability of Lead Time Lead Time Control is key to control plant performance

13. Property of Faurecia - Duplication prohibited 13