1. Developing a Lean Strategy Akın Aydemir05.July.2012

2. WHAT IS LEAN MANUFACTURING? WHAT IS TOYOTA PRODUCTION SYSTEM? Question

3. LEAN MANUFACTURING OEE=70% OEE=55 - 65% OEE=35 - 45% 5S TPM Kaizen OEE=55 - 65% PPS OEE=85% SAFETY QUALITY FLOOR SPACE INVENTORY MANPOWER ENERGY MAINTENANCE PROBLEM SOLVING DOCK TO DOCK COST FLEXIBILITY COMMUNICATION

4. Direction Setting Workforce Organization to Support Old ParadigmLean Organization CONVERTING THE TRIANGLE

5. Respect and support for the value adder Total systems: – Integration of the total system Non-blaming/Non-judgmental – Process, not people – Encourage communication of problems LEAN CULTURE

6. No problem is a problem If there are no problems, there are no improvements Problems are opportunities People are not the problem Teach people to be good problem solvers WELCOME PROBLEMS

7. Old Things viewed in a vacuum Value highs, lows, crisis Manage events, things Separate people Individual performance valued at expense of system Bursts of energy to get things done n-o-w Competition New Things viewed in context Value harmony, stability Manage people, relationships Bring people together System performance is paramount Steady and smooth workflow Cooperation MENTALITY CHANGE

8. Q DC New Paradigm: Provide all 3 C DQ Old Paradigm: You Can Have 2 of 3 PARADIGM CHANGE

9. Measurements Support Staff Problems Solution Focus InformationMethods Management Approach Career Movement Supervision Employee Development View of People Old Paradigm End result only Critical of shop floor Rejected/hidden People Restricted/closed Static/routine Crisis Fast/skimming Inspector Do as told Costs New Paradigm Trends of improvement Serves shop floor Treasures/communicated Systems/processes Shared/open Changing/improving Preventive Slow/broad Coach Learn by doing Assets CULTURE CHANGE

10. VisionSkillsIncentivesResources Action Plan Change SkillsIncentivesResources Action Plan Confusion VisionIncentivesResources Action Plan Anxiety VisionSkillsResources Action Plan No Change VisionSkillsIncentives Action Plan Frustration VisionSkillsIncentivesResources False Starts Success Factors for Leading Change SUCCESS FACTORS FOR LEADING CHANGE

11. VALUE ADDED Any operation or step of an operation that physically adds value to the product or component based on customers expectations: – Examples: * Bending a hose*Tightening a bolt to torque *Attaching a fitting *Welding parts together

12. NON VALUE ADDED Anything excess……Activities that consume time, resources, and/or space but do not add value or contribute to satisfying the customer. WASTE

13. SEVEN TYPES OF WASTE T ransportation I nventory M otion W aiting O ver Production O ver Processing D efects

14. OVERPRODUCTION The mother of all waste!!!! Produce too much, too soon. Over production creates other wastes: motion, conveyance, inventory. Leads to requirements for storage space, extra handling of parts, extra pallets, and lift trucks.

15. Waiting for a machine to finish or parts to arrive. WAITING

16. Moving stock around Delivering batched parts from one process to another TRANSPORTATION

17. Doing more work than required by the customer. OVERPROCCESSING

18. Wasted motion can be caused by disorganization, poor work sequence, and poor process layout Wasted motion is comprised of people & machines MOTION

19.  Repair or rework has no value to the customer DEFECTS

20. Excess Inventory - Anything more than is required to do the job! INVENTORY