1. Chapter 8
Setup Reduction

2. SMED – History of Setup Reduction
Developed by the Japanese
Shigeo Shingo
Father of SMED and Poka Yoke
Shingo prize named in his honor
Incorporated into the Toyota Production System

3. Setup Definitions Setup time Internal setup External setup
The time required for a specific machine, resource, work center, process, or line to convert from the production of the last good piece of item A to the first good piece of item B. – APICS Dictionary, 11th edition
Internal setup
The part of the setup which must be done while the process is stopped.
External setup
The part of the setup which can be done while the process is still running.

4. SMED – The Steps Select high-impact initial implementation targets
Establish a baseline
Document and study four elements:
Internal and external waste
Replacement and adjustment waste
Move internal elements to external
Overall waste elimination
Commit to continuous improvement cycles

5. Single Minute Exchange of Dies
The SMED approach
Observe (video tape) a changeover
Define internal and external elements
Separate external elements to a time when equipment is running
Shift as many internal elements to external as possible
Streamline the internal elements
Streamline the external elements

6. Setup Reduction Goal
To drastically reduce the time it takes, from when a customer places an order, to when it is delivered to the customer’s receiving dock.
Makes it feasible for a company to fully utilize its assets by producing varying products using the same manufacturing equipment.
Reduces inventory by supporting building products to order.

7. Goals of the Setup Initiative
Eliminate all setup waste categories associated with the setup* process
Reduce setups to a one-step process
Reduce setup time to “0”
Part “A” Running
Setup*
Part “B” Running
*Goal 1 and 2 support 3 – the one real goal!

8. Setup Waste Categories
External
The part of the setup which can be done while the process is still running.
Activities such as searching, locating, or moving needed items to and from the work area
This could be 50% or more of the setup time
Internal
The part of the setup which is done while the process is stopped.
Activities done at the work area such as loading and unloading fixtures
Replacement waste
Activities that cause you to disassemble and reassemble the setup using some of the same parts
Adjustment waste
The activity and process of making a “setup piece”

9. Setup Reduction
How does setup reduction fit in with the strategic vision?
Flow/Pull:
Enables the reduction of lot sizes - a key element to increasing flow.
Six Sigma Quality:
Changes adjustments into settings.
Reduces variation of setups which lead to variation in product and service.
Waste Elimination:
We have not found a buyer for setup time, so it must be waste.

10. Why Setup Reduction? Reduced setup times allow:
You to be cost competitive
Carry smaller lot sizes without increasing part cost
Smaller lot sizes result in:
Reduce WIP (inventory)
Reduced time from raw material to finished goods (manufacturing lead time)
Reduced manufacturing lead- times result in:
Faster response to customer requested changes
Producibility problems being identified quicker
Reduced scrap and rework costs
Increased manufacturing flexibility, capability and capacity
See Figure 8.0 page 312

11. Inventory Reduction
Storage space must be reserved for the maximum inventory conditions.
Switching from a one-month lot size to a one-day lot size reduces the required inventory space by 97%.
Rule #1: Do not attempt to go to one-day customer requirements lot production on any machine unless your TPM initiative is in place and equipment uptime is assured.

12. Does Quality Improve? Why?
Quality problems and defects related to the setup process are reduced because:
Setups are eliminated or has reduced actions, every action can lead to a problem
Trial runs of the new part are eliminated
If defective parts are not produced, defective parts cannot be shipped
Quality problems show up quickly
Smaller lot sizes, shorter assembly time

13. Typical Results from Setup Reduction
First Stage
50% improvement from original setup
Moved elements from internal to external
Majority of benefits come from 5S
Second Stage
75% improvement from original setup
Perform process improvement on remaining internal elements
Elimination of non-value added steps
Third Stage
90% improvement from original setup
Streamline remaining internal and external elements

14. Summary
Setup reduction is a powerful tool which improves a plant’s ability to provide customer satisfaction while better utilizing its assets
Readily adopted by a plant’s manufacturing team
because it is easily implemented,
has relatively low cost,
and provides quick relief to the tedious drudgery of long setups

15. Conduct a setup reduction project

16. Basic Steps in a Changeover
Preparation; check materials, get instructions, etc.
Removing tools, mounting tools, etc
Measurements, settings, and calibration.
Trial runs and adjustments.
See Figure 8.2 page 318

17. A Typical Setup Internal time Minutes 1 2 3 4 Prepare Search SMED15 30 45 60
Minutes 1 2 3 4
Position/
adjust
Prepare
tools
and
fixtures
Search
SMED
Internal time

18. Choose Where to Begin In which setup is improvement a priority?
Collect appropriate data
Standard and actual setup durations
Takt time
Establish priorities to work on
TAKT
setup time
machine time = 5 4 3 2 1

19. High Impact Targeted Processes
Select an area that will have a significant impact on the organization
Bottlenecks
High rework occurrences due to poor setup procedures
Learning curve each time process is performed
Low reliability of results
Customer complaints about company response time to a requested change in services

20. Step 1: Team and Equipment Selection
Choose a setup reduction champion
Provide training to the champion
Choose a setup reduction team
Setup person
Machine operator
Facilities representative
Manufacturing engineer
Area leader
Setup reduction champion to train the setup reduction team
Begin the effort

21. Step 2: Establish a Baseline
Baselines are best established using video of the existing process:
Why
Visually depicts the process
Permits multiple viewings to study the process
Retains objectivity
Gate-to-gate view ideal
How
Narrate and document the steps
Utilize real-time equipment if available
Include audio as part of the video
Document results in a worksheet
Rule #3: No guess work – video tape all setups that you want to improve. Use the time and date function on the camera.

22. Step 3: Document the Setup
Review the videotape
List all activities that occurred
Identify tasks and time to perform each task
Use setup analysis form
Distinguish between internal and external steps and waste
Identify improvement opportunities

23. Setup Analysis Form Team: __________ Date:______ SETUP ANALYSIS FORM
Current
time
Improvement
No.
Task/Operation
Internal External
Internal External
Current total
Improve total
Proposed
Internal: Operations that can be performed only when the machine is stopped.
External: Operations that can be performed while the machine is in operation.
Key Terms: Assemble, Dismantle, Use, Transportation (Empty), Transportation (Full), Take,
Add, Change, Put Down, Find, Choose, Inspect, Reposition, Hold, Wait, Look For, Run, Prepare
Team: __________
Date:______

24. Mazak V-5 Setup Reduction
setup ANALYSIS FORM
Current
time
Improvement
No.
Taask/Operation
Internal External
Internal External
Current total
Improved total
Proposed
Internal: Operations that can be performed only when the machine is stopped.
External: Operations that can be performed while the machine is in operation.
Key terms: Assemble, Dismantle, Use, Transportation (Empty),Transportation (Full), Take, Add, Change, Put Down, Find, Choose, Inspect, Reposition, Hold, Wait, Look For, Run, Prepare
Add edits & offsets
Change tool
Assemble indexer
Looking for indicator
Run machine
Preparing gages
Looking for tools
Deburr part
Inspect 1st piece
.... 1 2 3 4 45 46 47 48 49
3:00
2:05
12:38
:30
1:20
3:34
2:38
2:20
19:12
134:20
Permanent program for edits & offsets
Develop tool life maintenance program
Indexer permanently assembled
Relocate indicator closer to machine
Speeds and feeds improvements
:05
:45
Locate high usage tools closer to machine
Prepare gages ahead of time
Purchase new deburring knife
:42
Inspect per fixture (continue machine cycle)
5:39
18:28
36:17
10:09
Team: _______________
Date: __________
V-5 Ballhead Cell
12/08

25. Step 4: Shift the elements
Reduce internal
Increase external
Convert internal setup to external setup
Rule #4: The greatest reduction in setup time occur from the elements that take the longest time. Concentrate on the longest time elements first.

26. How to Move Internal to External
Pre-setup activities
Tools cleaned and sharpened
Gages preset & supplies ready
Materials transported/ sequenced
Tools/fixtures/supplies positioned
Getting paperwork
Post setup activities
Clean, inspect, return, and repair tools, materials and fixtures
Store all items in assigned locations
General 5S activities
Area sorted and cleaned
Use shadow boards
All necessary tools nearby
Paperwork & standards posted in area
Next lot/part (incoming) near area
Incoming and outgoing areas are clearly identified
Visual flow of work through area
Use dedicated tool or die carts for each area/machine

27. Rule #2
5S workplace organization must be in place to receive the fifty percent or more reduction in setup times which can occur from just being ready.
Make sure travel distances are minimized.
Number of movements are reduced.
Tools, tool carts, jigs, fixtures, gauges, and instructions are nearby and ready.

28. Converting Internal to External Setup
Re-examine operations to see if any steps were mistakenly assumed to be internal
Analyze ways to convert internal steps to external
Move required materials and tools to the workstation prior to the start of changeover
Remove previous tools and materials after the changeover is completed; or, use separate material handlers for the task

29. Step 5: Waste Elimination
Don’t wait for perfect conditions… JUST DO IT!
Eliminate all unnecessary steps
Convert as many internal steps to external steps as possible
Improve/reduce the internal steps time
Improve/reduce the external steps time

30. Improvement Opportunities
Specially designed cart to organize tooling
Quick release fasteners
Stoppers to quickly position parts
Locating pins and holes to eliminate adjustments
Standardized die heights
Conduct activities in parallel – teamwork
Minimize the number of tools and parts
Rule #5: Do not confuse motion and movement with work.

31. Improvement Opportunities
Stage all tools and materials
Store high use items at the point of use
Proper storage and labeling of all items
Use tool boards
Organize tools and parts in order of usage
Sharpen and pre-set tools
Pre-heat, pre-adjust, pre-etc….

32. Standardize Functions
Where possible, standardize:
Sizes and dimensions of all machine parts and tools
Functional elements of tooling, fixtures, molds/dies, etc.
Standardization requires uniformity necessary for setup operations
Clamping
Centering
Dimensioning
Expediting
Grasping

33. Improvement Opportunity
Kitting of tools, gauges, accessories, information
Next kit
Preceding kit
Machine
kit 1
kit 2
kit 3
kit 4
kit 5
Kits location

34. Improvement Opportunity:
Bring equipment together
Decrease
walking time
& searching
machine
BEFORE
AFTER

35. Improvement Opportunity
Prepare tools ahead of time
Pallet changers
Load/unload while machine is running
Tear down/set up while machine is running

36. Promote Clamps and One-touch Fasteners
Use “one-touch” functional methods such as wedges, cams, clamps, or springs
Use interlocking methods that simply fit and join two parts together
Analyze the direction and magnitude of the force required in clamping methods

37. Adopt Parallel Operations
Two people performing operations simultaneously reduce waste of movement
Increases operating rate of the machine
Parallel operations can reduce setup times by more than 50%

38. Eliminate Adjustments
Settings vs. Adjustments
Settings occur when the position of an item is changed
Adjustments occurs when the item is tested and repeatedly adjusted to a new position
Adjustment can be eliminated if a gage is used to precisely determine the correct position of the limit switch
Use dial gauge or numerical control device for greater precision
Use calibration markings on the machine
Have fixed locations

39. Mechanization Most costly technique for reducing changeover times
Use only after all other techniques have been implemented

40. Step 6: Continuous Improvement
Sustain the improvements
Leverage successes across other areas and machines
Update standards as appropriate
Document standard practices (setup sheets; WI’s; digital pictures)
Create work order lot size calculator to determine lot size quantities
Rule #6: Develop a rewards and recognition program for the setup reduction effort. Display the results of how each team is doing. Have celebrations as milestones are reached.

41. Commit to Continuous Improvement
Similar to Kaizen, never quit reducing changeover times
Select different team members to find fresh ideas
Expand the scope of team members to include:
Equipment manufacturers
Software developers
Suppliers of information or materials
Rule #7: It is time to start inviting your suppliers to attend the next training class. You cannot become world class without world class suppliers.

42. Summary
Majority of initial setup reduction activities yield 25% to 75% reduction in internal changeover time with no capital invested
Follow a step-by-step process
Utilize teams
Commit to continuous improvement