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Workshop A Performance Boosting Tools Reality Check: Are you a Lean, Mean Manufacturing Machine ? The Matrix: Performance Measurement System
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Producing Profitability through Lean Manufacturing What is Lean Manufacturing ? Why should I adopt Lean Manufacturing ? How can I apply Lean Manufacturing ? Bus Info Flow Six Sigma SU TPM 5s Kaizan Value- added
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What is Lean Manufacturing? A long-term philosophy to propel a box plant to higher profitability A business strategy that focuses on rapid continuous low-cost improvement in processes and productivity A tactical plan that integrates several tools into a complete package A relentless attack on waste using a set of tried and true tools and techniques
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Why adopt Lean Principals ? Increase capacity Reduce inventories Reduce Cycle Times / Lead times Lower space/facility requirements Lower overall costs Improve employee moral through increased involvement Increase sales through focus on customer and value-added activities
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Where did Lean Manufacturing come from? Lean Techniques are Not New James Womack & Daniel Jones –The Machine That Changed the World (1990) –Lean Thinking (1996) Toyota Production System (1950’s – 1970’s) –JIT / Kanban / SU Reduction / SOP / 5s / Flow Motorola (1986-1988) –Six Sigma / Variation Reduction / Process Capability
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Major Concepts 1. Waste Seven types Overproduction Waiting Material Movement Excess Inventory Excess Motion Defects Unnecessary Processing / Converting 2. Value Those things the customer wants and is willing to pay for. 3. Value Stream All activities required to design, order, produce and deliver a product or service.
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Goal of Lean Manufacturing Focusing on the value stream, identify those things that create value vs. those that do not and relentlessly attacking waste.
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Major Tools Value Stream Analysis –Identify Value-added vs. non-value added activities Six Kaizan Events –5s Housekeeping –Flow –Set-up reduction –TPM –Defect/Variation Reduction –Business Processes/Information
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Value Stream Mapping Identifying Value Added vs. Non-value added Activities Product families = items/orders with a common process or machine routing Target each product family for improvement efforts
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Kaizen Events Short burst of intense activity and effort (3-5 days) Biased toward action over analysis Consist of multi-functional team assembled to achieve a specific goal or solve a specific problem Focused on improving the value stream and achieving flow Managed with daily reviews to resolution Goal driven – Solving Problems and eliminating waste
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Kaizen Event # 1 5s+1 Housekeeping –Sort –Set in order –Shine –Standardize –Sustain –+1 = Safety
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Kaizen Event # 2 Flow – material, people and activities Macro Level and machine/dept level Lean Tools: –Spaghetti Diagram –Flow Charts
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Kaizen Event # 3 Set-up Reduction Lean Tools: –“Pit Stop” Set-up mentality –Video Tape and Set-up Analysis –Internal vs. External SU activities
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Kaizen Event # 4 TPM = Total Productive Maintenance Goal is to minimize downtime & maintain capability of equipment Lean Tools: –Develop Daily Operator PM and Maintenance PM –Develop equipment critical spare parts list –5s Program contributes toward TPM
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Kaizen Event # 5 Defect / Variation Reduction –Six Sigma Tools Pareto Charts Histograms Process Mapping (KPIV, KPOV) Cause & Effect Analysis FMEA Capability Analysis
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Kaizen Event # 6 Business Process / Information Flow –Design Process –Quotation –Order Entry –Manufacture Order –Shipping Order –Customer Feedback –Accounting / Administration
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Keys to Successful Lean Manufacturing Education and Communication Employee Involvement & empowerment Create a culture tolerant of experimentation - allow people to successfully make mistakes Break the paradigm that Inventory is an Asset Incorporate Lean concepts into you culture and ongoing strategic plan – not a “project”
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Are you a Lean Mean Manufacturing Machine ?
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