2. How long with YESCO? Job Title? Something that nobody else knows about you? What are your expectations of the class?

3. LT6 Defined

4.  L stands for Lean  T stands for Theory of Constraints  6 stands for 6-Sigma LT6 Defined| LT6 Certification Program

5.  A program designed to teach through instruction and Hands On participation the following principles and tools:  Systematic method focused on Identifying and Eliminating Waste  Processes centered around Value Added Activities  A culture in which all employees participate  Tools that can be applied to all aspects of the business  Including many developed proven tools  The LT6 Certification is a self paced training Program LT6 Defined| LT6 Certification Program

6. Most of us consciously do improvement activities at work, we are trying to improve our environment by focusing on problem and eliminating areas that are not valuable to us or the company (waste). LT6 is designed to help us be most effective at this. LT6 Defined| LT6 Certification Program

7. LT6 Defined| LT6 Certification Program  4 Levels (belts)  Required Training  Elective Training  Participation in Events  Some Reading  Train others  Mentor others

8. Must First Understand WASTE

9.  Simply put Waste is defined as Non-Value Added activity  Non-Value Added activity consumes resources but does add value to the product or service Waste| LT6 Certification Program

10.  There are 8:  Defects  Overproduction  Waiting  Non-utilized talent  Transportation  Inventory  Motion  Extra processing Waste| LT6 Certification Program Oh Yea, one more important form of Accidents!

11. Waste| Value Add? LT6 Certification Program Sometimes due to limitations, Non-Value Added activity is necessary To be considered Value Added, a process must …. A. Physically Transform the Product, B. In a way the customer wants, and C. Be done right the first time.

12. 3 DISCIPLINES

13. 3 DISCIPLINES| LT6 Certification Program These 3 disciplines constitute the Continuous Improvement Program at YESCO!  LEAN  Theory of Constraints  6 Sigma

14. LT6 Certification Program 6 Sigma (  )

15. LT6 Certification Program LEAN| 6   Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and variation in manufacturing and business processes.  It uses a set of quality management methods, including statistical methods, and creates a special infrastructure of people within the organization ("Black Belts" etc.) who are experts in these methods.  Each Six Sigma project carried out within an organization follows a defined sequence of steps and has quantified financial targets (cost reduction or profit increase).

16. LT6 Certification Program LEAN| 6 

17. LT6 Certification Program LEAN| 6 ProcessProcess Key Process Outputs Noise Inputs (Discrete) (Discrete) Examples Different Operators Different Machines Different Shifts Noise Inputs (Continuous) (Continuous) Examples Room Temperature Barometric Pressure Relative Humidity Raw Material Characteristics Examples Temperature Pressure Time Controllable Inputs Tools Scatterplots Correlation Regression Tools Scatterplots Correlation Regression Tools Boxplots Main Effects and Interaction Plots ANOVAs, T-test Tools Boxplots Main Effects and Interaction Plots ANOVAs, T-test Tools C&E Matrix FMEA Fishbone Short-term Capability Tools C&E Matrix FMEA Fishbone Short-term Capability

18. LT6 Certification Program LEAN| 6   Being able to “sustain your gains” and set controls in place that will help achieve that  What controls do we have in place?  Safety Program  Training  Measuring  Incentives  Etc.

19. LT6 Certification Program Theory Of Constraints

20. LT6 Certification Program THEORY OF CONSTRAINTS|  A management philosophy that focuses the resources of an organization on improving the performance of the constraint that directly affects throughput  the output of any system consists of a series of steps where the output of one step depends on the output of one or more previous steps will be limited, or constrained, by the least productive steps.

21. LEAN

22. LEAN| LT6 Certification Program  A systematic approach to identifying and eliminating waste by flowing the product at the pull of the customer in pursuit of perfection.

23. LEAN| LT6 Certification Program  A systematic approach to identifying and eliminating waste by flowing the product at the pull of the customer in pursuit of perfection.

24. LEAN| LT6 Certification Program

25. LEAN| Building Blocks – VALUE STREAMAPPING LT6 Certification Program  Defining exactly what a process is, who is responsible and what should be completed.  Visually showing the steps in a  Is used to analyze & document a process  Can be used in training  Is helpful in identifying waste in the Value Stream.  May need to use a PQR to identify Value Streams

26. LT6 Certification Program  Shows processes, and those shared by various value streams LEAN| Building Blocks – VALUE STREAMAPPING

27. LT6 Certification Program LEAN| Building Blocks – VALUE STREAMAPPING

28. LT6 Certification Program LEAN| Building Blocks – VALUE STREAMAPPING

29. LT6 Certification Program LEAN| Building Blocks – 5S

30. LT6 Certification Program LEAN| Building Blocks – 5S

31. LT6 Certification Program LEAN| Building Blocks – 5S  “A place for everything and everything has a place”  Cleanliness and Order  5S stands for: Sort, Scrub, Secure Safety, Select Locations, Set Locations and Bonus +1…Sustain  Is preparatory to Visual Workplace

32. LT6 Certification Program LEAN| Building Blocks – VISUAL WORKPLACE  Makes answers readily and visually available to anyone who needs them anytime, and as close to the point-of-use as possible  “What do I need to know” and “What do I need to Share” Automatic Recoil One Point Lessons Actions Item and Suggestion Boards Ergonomics

33. LT6 Certification Program LEAN| Building Blocks – VISUAL WORKPLACE

34. LT6 Certification Program LEAN| Building Blocks – VISUAL WORKPLACE

35. LT6 Certification Program LEAN| Building Blocks – VISUAL WORKPLACE

36. LT6 Certification Program LEAN| Building Blocks – VISUAL WORKPLACE

37. LT6 Certification Program LEAN| Building Blocks – TPM Systematic approach to the elimination of the six major equipment losses: 1. Setup 2. Adjustment 3. Breakdowns 4. Idling and minor stoppages 5. Reduced Speed 6. Startup 7. Defects and Rework

38. LT6 Certification Program LEAN| Building Blocks – TPM TPM is accomplished through various tools, such as:  SMED  Preventive Maintenance  Corrective Maintenance  Predictive Maintenance  Integrating equipment operators into “Clean to Inspect, Inspect to Clean”

39. LT6 Certification Program LEAN| Building Blocks – Pull / Kanban  Japanese for “signboard or billboard” also, Kan means “visual” and Ban means “card or board”  Is a signaling system to trigger action  Kanban scheduling systems operate like supermarkets. A small stock of every item sits in a dedicated location with a fixed space allocation. Customers come to the store and visually select items. A signal is triggered to replenish the item.  Kanban (signals) can be to MOVE something or to BUILD something.

40. LT6 Certification Program LEAN| Building Blocks – Pull & Kanban

41. LT6 Certification Program LEAN| Building Blocks – POUS  A place to store common non-inventoried parts (production supplies)  Usually filled by a vendor or someone in the facility (water spider?)

42. LT6 Certification Program LEAN| Building Blocks – Std Work  Analyzing a process in great detail  Evaluating which steps are Value Added, remove if possible Non-Value Added  Standardizing the remaining steps in the process (Std Work)  Teach and train  Audit to Sustain improvements  Review often for opportunities to improve

43. LT6 Certification Program LEAN| Building Blocks – Teams  Team Improvement Activity  10 people’s ideas are better than one  Should be done on a regular basis  Usually a 1 to 5 day event focused on medium sized problems, focused on real change.

44. LT6 Certification Program LEAN| Building Blocks – Teams  The goal is to eliminate waste  Kaizen Team is a group of individuals focused on a specific improvement activity.  Kaizen Teams may use any of the Lean tools available  Formal way to collaborate with coworkers  A3’s are the standard reporting tool

45. LT6 Certification Program LEAN| Building Blocks – Teams  Should follow the “Scientific Method” (PDCA) or Plan, Do, Check and Act  Encourages accuracy and completeness  A method to lead oneself through the PDCA cycle on all improvement efforts and record for review and future reference  A3 represents the size of the paper (11 X 17)

46. LT6 Certification Program LEAN| Building Blocks – Teams  Often the most missed step  Various tools to help get to the Root Cause 5 Whys – ask the question “why” at least five times, until arriving at the root cause Fishbone Diagram Pareto Analysis Statistics

47. LT6 Certification Program LEAN| Building Blocks – Quality at the Source  Inspection at any point in a product’s life (as it is being produced)  Implementation of error-proofing (Poka- Yoke) in machine and manufacturing processes  Immediate feedback to shorten the time for corrective action

48. LT6 Certification Program LEAN| Building Blocks – Batch Reduction Helps with the following:  One piece flow - Pull  Just in time  Inventory (WIP) reduction  Increases agility in responding to pull signals

49. LT6 Certification Program LEAN| Building Blocks – Cellular/Flow Benefits:  Efficient flow-through manufacturing system  Eliminates waste  Minimizes WIP  Optimizes floor space  Reduces lead time – improves customer response time  Reduces costs and increases capacity  Improves Communication  Improves Quality

50. LT6 Certification Program LEAN| Building Blocks – Cellular/Flow  Multi functional processing VS departmentalized  Cross trained operators function as a team  Product is “pulled” from one operator to the next  Limited or No inventory between operators  Operators “float to the bottleneck”

51. LT6 Certification Program LEAN| Building Blocks – Cellular/Flow

52. LT6 Certification Program LEAN| Building Blocks – Plant Layout Benefits:  Reduced transportation and handling waste

53. LT6 Certification Program Summary

54. LT6 Certification Program Summary|  We should follow a continuous improvement methodology  Remember… “everything is a process, every process can be improved”  Talk to your in house Lean Specialist, start attending training sessions, start participating in Kaizen Events, get certified  Enjoy the Journey  A few more things to keep in mind……..

55. LT6 Certification Program Summary|  Is a listening process which will help us understand the needs of those we serve  Is active and critical listening  One on one interviews  Suggestion Boxes  Surveys  Observations  Encouraging Input and Participation

56. LT6 Certification Program Summary|  Don’t just analyze from your office  Safety Audits  Monthly Safety Tours  Random observations  Daily “report out meetings” (Std Work for Leaders)

57. LT6 Certification Program Summary|  Critical element in Continuous Improvement Program  “You can’t improve what you don’t measure”  Baseline Data  Goals  Data helps your control Plan  Bottom line benefits (easy to track)

58. LT6 Certification Program End of Session Questions??