1. Implementation of Lean at Rheem Manufacturing Presenter Dr. Joan A. Burtner Associate Professor Industrial and Systems Engineering Mercer University School of Engineering Macon, GA

2. Dr. Joan Burtner2010Slide 2 Introduction  Background on the Evolution of Lean Manufacturing  Overview to Lean Principles  Highlights of Implementation of Lean Practices at Rheem Manufacturing Co. in Milledgeville, GA

3. Dr. Joan Burtner2010Slide 3 Evolution of Lean Manufacturing  Total Quality Management  Toyota Production System  Six Sigma Process Improvement  Theory of Constraints  Value Stream Mapping  Womack and Jones - Lean Thinking  Rother and Shook - Learning to See

4. Dr. Joan Burtner2010Slide 4 Continuous Improvement Process (with a lean spin) 1. Clarify improvement needs (objectives) 2. Observe operation(s) through your own eyes 3. Identify problems based on observations 4. Resolve problems (kaizen) 5. New ideas become new standard operating procedure 6. Maintain new methods 7. Continuously repeat steps 1 through 6

5. Dr. Joan Burtner2010Slide 5 Wasteful Practices  Waiting  Transportation  Overproduction  Processing  Inventory  Motion  Defective Products

6. Dr. Joan Burtner2010Slide 6 Lean Metrics (Quantitative)  Lead-times  Inventory  Inventory Turns  Work In Process  Workable Floor Space  Efficiency  Cycle Time

7. Dr. Joan Burtner2010Slide 7 Building Blocks of a World Class Company One – Piece Work Flow Work Balancing Quality Improvements TPM 5’s Kanbans Cellular Layout Poka Yoke SMED VisualsWork Teams

8. Dr. Joan Burtner2010Slide 8 Introduction to the 5S’s SEIRI (SIMPLIFY) SIMPLIFY MEANS CLEARLY DISTINGUISHING BETWEEN WHAT IS NEEDED AND KEPT AND WHAT IS UNNEEDED AND THROWN OUT SEITON (STRAIGHTEN) STRAIGHTEN MEANS ORGANIZING THE WAY WE KEEP NECESSARY THINGS, MAKING IT EASIER TO FIND AND USE THEM SEISCO (SCRUB) SCRUB MEANS KEEPING THE FLOORS SWEPT, MACHINES AND FURNITURE CLEAN, AND ALL AREAS NEAT AND TIDY SEIKETSU (STABILIZE) STABILIZE MEANS MAINTAINING AND IMPROVING THE STANDARDS OF THE FIRST THREE S’S SHITSUKE (SUSTAIN) SUSTAIN MEANS ACHIEVING THE DISCIPLINE OR HABIT OF PROPERLY MAINTAINING THE CORRECT 5S PROCEDURES

9. Dr. Joan Burtner2010Slide 9 Typical Improvement Projects  Time studies  Line Balances  Creating work cells  Housekeeping (5 S’s)  Visual Control

10. Dr. Joan Burtner2010Slide 10 General Guidelines for Visual Control at Rheem  Work instructions (S.O.P.’S)  Quality instructions  Safety reminders  Clearly marked part delivery locations  Tool boards (where needed)  Production boards (where needed)  Layouts Work Stations Should Include :

11. Dr. Joan Burtner2010Slide 11 Implementation of Visual Control at Rheem  Spring and Summer 2003  Kaizen and 5 S All Assembly Lines  Created Zoned Housekeeping Layouts for All Major Production Areas  Designated Part Delivery and Storage Locations  Placed Production and Quality Status Boards  Began Drafting Standard Operating Procedures and Safety Reminders for All Work Stations

12. Dr. Joan Burtner2010Slide 12 Kaizen of an Assembly Line 1 BeforeAfter

13. Dr. Joan Burtner2010Slide 13 Kaizen of an Assembly Line 2 BeforeAfter

14. Dr. Joan Burtner2010Slide 14 Using Work Teams at Rheem  Cross-functional work teams for solving problems  Composition of Work Teams  Upper management  Supervisors  Co-op Students  Engineers  Assembly Line Workers

15. Dr. Joan Burtner2010Slide 15 CONTINOUS IMPROVEMENT TOOLS FOR BALANCING WORK  Takt Time  Available Daily Work Time  Time Observation  Standard Work Flow Diagrams  Cellular Layout  Work Distribution Sheet

16. Dr. Joan Burtner2010Slide 16 Time Observation  Observe a process or machine  Enter each task component onto a form  Note exceptions or non-repeating tasks  Calculate the average cycle time for each task  Add all average element times to find the cycle time of the total process

17. Dr. Joan Burtner2010Slide 17 Standard Work Flow Diagram  Used to help identify the flow of the operation(s) you are observing  Used as a layout for developing an improved process  An excellent tool to use to develop standard work procedures

18. Dr. Joan Burtner2010Slide 18 Cellular Layouts  The arrangement of manufacturing work cells to allow for a flowing process  With this concept, work can performed without the need for large inventory batches  The parts enter the beginning of the cell as raw materials and exit the cell as completed units

19. Dr. Joan Burtner2010Slide 19 Additional Visuals  Spaghetti Diagram  Current State Diagram  Future State Diagram

20. Dr. Joan Burtner2010Slide 20 Acknowledgments  Rheem Manufacturing  Permission to use training materials  Permission to use photos  ISE and IDM Students  Permission to use student work

21. Dr. Joan Burtner2010Slide 21 Questions and Discussion  Contact Information  Dr. Joan Burtner  Burtner_J@Mercer.edu Burtner_J@Mercer.edu  478 301-4127