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  • 1. TACTICAL RAPID IMPROVEMENT EVENT FIELDBOOK How to conduct a successful Rapid ImprovementEvent as part of the Air Force Smart Operations for the 21st Century (AFSO21) Effort January 2006 Beta Version
  • 2. PREFACEA paradox of documenting a Tactical Rapid Improvement Event (RIE)Field Book is that though the body of knowledge is continuallyimproving and changing, the core concepts remain consistent. The AirForce is continually learning new applications for improvement in thewide range of situations they face daily. Thus, this Field Book strikes abalance between documenting the core or must-do principles and thetailorable tools that may not all be implemented in every area. Care wastaken to provide examples in most cases, with good use of graphics.The purpose of this Field Book is to serve as a reference for any AirForce team member who will Facilitate or participate in an AFSO21Rapid Improvement Event or initiative – usually one work week induration. It is meant to be a guide, but not necessarily a recipe to befollowed without thought about the operation. Further reference anddetail is provided in the wider-scoped CONOPS and ImplementationPlan for Air Force Smart Operations (AFSO21).This Field Book focuses exclusively on the Rapid Improvement Event.It does not take the place of the wider-scoped CONOPS andImplementation Plan for Air Force Smart Operations that provide theplans and framework for full enterprise transformation.Any Air Force team member who wishes to lead Rapid ImprovementEvents should work for a time with a learned expert who hassuccessfully led transformations with other organizations before. This isnot because the toolkit is so mysterious that it cannot be learned butsimply because it is a “learn through doing” system. This Field Bookwill show the user key steps in conducting a successful RIE – a key stepfor an organization on its journey toward a culture of continuoustransformation. 1
  • 3. 2
  • 4. PERSONAL JOURNEY RECORD:(Record your RIE’s on this page; get your RIE Facilitator to sign) Event Title Event Type DatesEvent Types described on next page. 3
  • 5. PERSONAL JOURNEY RECORD – PAGE 2:(Have your RIE Facilitator sign this page next to the CPI Tools youlearned and used) Improvement Tool Trained Applied CertVSM: Current State Map Future State Map Annual Action Plan Communication PlanBasics: Flow & Pull 7 Wastes Standard Work 6S 5 Why’sAdvanced: Total Productive Maintenance QCO/Setup Reduction Cell/Workplace Design Kanban Level ProductionQuality: Problem Solving Error Proofing Six Sigma (belt/training) Six Sigma (project)Training – 8 Hr Basic Instruction 4
  • 6. KEYS TO AFSO21 TRANSFORMATION IN THEAIR FORCE: • AFSO21 requires Leadership at all levels • Leaders must engage and actively PARTICIPATE • All employees learn by doing: Get expert help, but you must do it yourself • Educate the ENTIRE workforce: Knowledge transfer • Operationalize AFSO21: Involve everyone • Tie all actions to key metrics: Customer Value & Combat Readiness • Change your Metrics to change behavior for desired results • Manage your Operation with a focus on improvement • It is not easy and will not happen overnight • The only constant is change; be sure the changes in your area are true improvements!Three aspects must change to transform an organization: • Physical • Operational • Cultural 5
  • 7. Air Force Hanger (modeled after the Toyota House): AFSO21 Operating System JOINT CDRS AIRMEN AIR FORCE Desired Air/Space/Cyberspace Deployment Predictability, Safe Combat Capability, Capability for Joint Fight— Work Place, Involvement & Flexibility, Efficiency, Results When/Where Needed Satisfaction & Sustainability AF Smart Ops for 21st Century – AFSO21 CONTINUOUS IMPROVEMENT: Lean—Six Sigma—Reengineering SUPERIOR VALUED COMBAT Pillars PROCESSES AIRMEN CAPABILITY • Core Mission Focus • Innovative Airmen Asymmetric: • Responsive • Knowledge - Global Strike • Right the First Time Enabled - Global MobilityElements • Waste Removed • Accountable - Intell/Surve/Recon/ • Recognized/ C2 RewardedFoundation Performance Standards & Measurement Bedrock Integrity Service Excellence Integrity - Service - Excellence 1The AFSO21 Operating System diagram above illustrates the bedrock,foundation, key pillars and results needed to move your operations alongon its transformation journey. It portrays a holistic approach thatfocuses on Superior Processes, Valued Airmen, and SynchronizedCombat Capability in order to provide lasting Results for our customers(Joint Commanders), Airmen and the Air Force.The Air Force method for continuous improvement will blend Lean, SixSigma, and other recognized techniques with our Airmen culturefocused on combat capability, innovative Airmen, and responsiveprocesses with minimal waste. 6
  • 8. Principles, Tools & Systems in the Hanger Model:The AFSO21 journey applies key, unchanging Principles and tools. Theprinciples are “must do’s” that guide transformation, interwoventhroughout the improvement process from planning throughsustainment. These principles also apply well in “Above Shop floor”and support areas. Air Force operations are already operating on a strongBase of our core values, our adherence to standards, and measuringresults. The three “Pillars” represent delivery of war-winning,asymmetric combat capability and effects (why we exist as Airmen), theattributes of our workforce we must develop, and the ever improvingprocesses that deliver results for our customers (Joint Commanders), ourpeople, and our Air Force as an enduring and continuously improvinginstitution.Primary tools and methods we will use in our AFSO21 operating systemwill include Lean, Six Sigma, Theory of Constraint, Business ProcessReengineering, and other methods. We will adapt these techniques toour culture. They will be used in our relentless pursuit to improve thecapability we provide to the joint fight and homeland security. Our aimis to deliver that capability with less non-value added work andresources—to reduce the cycle times in our processes similar to ourefforts to reduce the kill chain in time critical targeting. 7
  • 9. Model for AFSO21 CPI: 1 5 Leading Change Leading Change 2Measure, AssessMeasure, Assess Organize & Organize & & Sustain & Sustain Prioritize Prioritize Continuous Improvement Cultural Centered on Transformation Combat Capability 4 3 Process Process Improve Improve Redesign RedesignThis model is followed from Step 1 – Leading Change through Step 5 –Measure, Assess & Sustain. We will use this model to describe the stepstaken to complete a successful RIE. Some loop-backs can happenduring an event. Please note that each AFSO21 event often kicks offseveral more iterations of this cycle as more Redesign, Improve andSustain actions open up new avenues to improve the operations.It is the multiple passes (whether in a project area or larger Air Forceend-to-end processes) that result in the greatest gains. A single pass isequivalent to an action workout. It is the continuous pursuit ofimprovement and revisiting areas to see and take the opportunities forgreater waste removal, variability reduction, and improvements tocombat capability delivered. A net effect is a cultural change in how wedo and think about the work we do. 8
  • 10. Typical Rapid Improvement Event (RIE) Timeline:Please note the importance of leadership involvement in the setup andscoping of each RIE. A Strategic VSM session with StrategicAlignment and Deployment is needed in advance to avoid losing theimpact of each RIE and to help prioritize which RIE’s will yield the“biggest bang for the buck”. AFSO21 RIE Schedule Process Owners (Commanders Identify Secure Executive Exploration Chartering Potential Services & Staff) Follow-up Council Project Project Project of Coach Out-brief and Celebration Preparation Pre-event Team Leader Event Kickoff (MBB’s, BB’s, Consultants) Core Team Project Publish Evaluation Results Event Implementation Members Team - 4 Wks - 3 Wks - 2 Wks - 1 Wk + 1 Wk Event Integrity - Service - Excellence 65This key session, along with strategic planning by the leaders in yourarea, align all of the various improvement efforts. 9
  • 11. Preliminary Step: Total Process Value Stream Map –The Big Picture:[Leaders in your area should conduct this VSM “visioning” sessionbefore your RIE. Refer to this overall vision and plan when you startsetting up your RIE.] • Select a Product or Key Process in our area (what we deliver to the Customer) • Form a Team that create the “Vision” for this process • Understand Customer Demand • Map the total process at the “50,000 foot” level with minimum detail • Identify the total time for each step the process (80% of the time, it takes less than …) − Note: If the Total end-to-end time (TAT or Lead Time) does not make sense, you have missed something in the process. • Identify the Minimum Cycle Time (MCT) for each step in the process • Use the comparison of MCT and TAT to identify Waste Elimination opportunities in the high-level Value Stream • Select a target area for more detailed analysis. Criteria considerations: − Close to Customer 10
  • 12. − Opportunity to improve total Lead Time for the Customer − Ability to deliver waste reduction results on a timely basis • Develop a detailed Action Plan to close the gap between your Current and Future states; integrate all other transformation and improvement initiatives into the overall plan. The overall plan will include follow-on RIE’s (like yours), “just do it” tasks and somewhat larger “projects”. • Start the setup steps for your RIE (see next pages); NOTE: the supervisor or key leader in each target area should be the Team Leader for the RIE and should help implement and sustain all changes brought forward by the team.Example of the AFSO21 Support Request Worksheet Form:An RIE that is well-scoped with buy-in by leaders and stakeholders willlikely be a success. These are two of the most critical success factors forRIE’s. All of the fields need to be filled out completely with greatattention to the “expected improvements” goals. These goals should bemeasurable, numerical and integrate into the goals of the unit. Theyneed to align with the overall Air Force goals. The goals should“stretch” the team toward even greater success. Blank and completedexamples of this Form can be downloaded from the Air Force Smart Opsfor the 21st Century – AFSO21 Community of Practice (CoP).In addition to a clear objective and scope, other critical fields include: Point of Contact (POC) Information. Someone whounderstands the objectives MUST lead the team. This person will be 11
  • 13. Leading the event, working closely with the facilitator and coordinatingthe identification, attendance, and expectations of the team members. Sponsor: Each RIE must have a sponsor with the availabilityand authority to approve and support the changes the team decides tomake during the event week. Team participants: RIEs are only successful when they haveknowledgeable participants who have embraced the idea of change andwho are willing and capable of being the driving force behind such aneffort. Requested Date and Location for the Event: The sponsor,team participants, critical stakeholders, process to be studied, andfacilitator must all be available simultaneously during the RIE week.This requires some coordination and can drive when and where the eventshould take place. 12
  • 14. Example of an AFSO21 Support Request Worksheet. Thissheet can serve as a team charter. AFSO21 Support Request WorksheetRIE (Process targeted for Improvement): F-15 Acceptance Inspection (AI) ProcessMAJCOMPriority: __________W ing/Directorate Priority: __________ Date of submission: ______Impact of Event on Overall AF Goals Impact: defined and documented process for AF and Guard to accept a plane being - Increased Aircraft Availability returned from PDMin W arner Robins AFB. This process will reduce redundancy , waste - Reduced total cost and damage caused by unneeded disassembly and inspection and i ncrease aircraft availability. Overall impact : increase in aircraft availability in the near termand future.Unit: 154th W ingBase: Hickam AFBSponsor: - Owns all processes under study ; Colonel Ronald P. Han, Jr. Group/CC or higher (name, title) Commander, 154 th Maintenance Group, 154 th W ingPOC: (name, phone, e -mail) Lt Col Bill Petti, (808)448 -8429 or DSN 448 -8429, W illiam.Petti@ hihick.ang.af.milCurrent Mission Sh ortfall: Complex acceptance procedure delays availability of plane and increases costs (schedule, cost, quality)Current Measures of Effectiveness: Current time and cost to performacceptance in spection in terms of flow days and (name, description, st d, FY04/current value) manhours, accuracy of part serial numbers.Brief description of current process: An Acceptance I nspection will be accomplished on all newly assigned, tra nsferred, (include boundaries by highlighting start and loaned or returning aircraft from Program Depot Maintenance (PDM); to include stop of process) modification and TCTOs accomplished by CFTs or depot away from home station before placing into service at home station. In conjunction with a periodic/ isochronical inspection when possible. If no periodic inspection is due.. . QA will review the PDM work package and Form 103…The check sheet will be placed in th e aircraft forms and routed to PS& after all items have been initialed/signed by appropriate work area. DDescription of expected improvements: Faster availability of aircraft after returning form PDM, reduced cost, and no reduction of accuracy of seri al number data - Schedule Acceptance flowdays reduced - Cost Cost to receive aircraft from PDM reduced - Quality No change expected in the short term; could be if FOD issues are resolvedImplementation TeamMembers: Lt Col Bill Petti, 154 th MXG, (at Lean Executive Training at W arner -Robins-Feb 05) (name, unit, training/experience in Lean) Lt Col Jan Sue Heverly, 154 MXS, no Lean training yet …(others) CMSgt Irvin Yoshino, 154 MXG, attended L ean training at Hurlburt FieldPersonnel Responsible for Sustainment of SMSgt Douglas Awana, 154 AMXS, Production SuperintendentGains: SMSgt Dominador Molina, 154 MXS, F -15 Inspection Docks ChiefOther Potentially Affected Groups or PACAF/LGMand 15 th AMXS (will be sending representatives to Lean Event)Parties (Other MAJCOM’s, bases, cross -functional teams, prog rams, initiatives, etc) 13
  • 15. Step 2 – Organize and Prioritize:An RIE needs to be set up properly. Please use the setup checklistfrom the Air Force Smart Ops for the 21st Century -- AFSO21CoP. In preparation for the event, meetings or conference callsshould be held with the team participants, critical stakeholders,sponsor and facilitator. Here are some key questions you can askduring your meetings/calls starting 3 weeks in advance of theevent:Answer all Questions with your Leadership Team1. Are all participants and affected parties aware of and in agreement with the objectives, scope and expectations for this event? (Do this at least twice in advance of each RIE event)2. Who will officially kick off the workshop (sponsors and process champions are good candidates)?3. How will views of nonparticipating associates be brought into the process (before/during, will they be available for daily outbriefs)?4. When will the workshop sponsor need to be present at the event?5. How will progress be reported out during the RIE; who will do this (the team leader / POC may be the presenter or may share the presentation responsibilities)? 14
  • 16. 6. How will results be reported out at the end of the workshop (there are standard report forms, but to whom should they be sent)?7. When and how will follow-up activity progress be communicated to the sponsor and management team? By whom? Event – 4 Event – 3 Event – 2 Event – 1 Weeks Weeks Weeks Week Organize & Leading Prioritize Change Team Leader • Confirms avail.of Team Leader •Event focus area personnel/resourc •Prepare data identified •Reminds leaders, packets, •Consultant and sponsors to employee Assigned Tm Ldr be available for Forwards suggestions, •Team Leader Inbrief and Day 5 supplies, tool assigned team roster, Outbrief preliminary kits, forms, Team Leader •Ensures affected meeting spaces data, and •Begins collecting event goals parties in the for event primary data to Facilitat. event focus are •Confirms event •Determines some aware of pending agenda and opportunities event schedule with all •Defines goals •Ensures affected affected parties •Selects team partied have a members method to •Identifies forward resources required observations 15
  • 17. Step 3 – Process RedesignActions during the week of the actual RIE. Focus on your teammembers and make sure they stay focused on the goals. Use flipchart paper and capture any ideas or thoughts as you go. Ask lotsof questions to see if they are tracking. Be a good time manager toensure the group stays on task through the course of a day and theweek. This includes setting clear expectations on what will beaccomplished each day and setting expectations on the day, whichtypically could run longer than an 8 hour duty day. So all shouldplan for it. As the event is conducted, capture portions that will bepart of the outbrief in an organized and chronological order. Theorder includes the problem the team is addressing, current stateprocess and performance, problem identification, andimprovements recommended, with associated measures. In thebest events (especially in a “shop” area project), improvementsshould be implemented and validated during the one-week RIE.The following steps need to be followed closely. The appropriateday is noted.Typical Event Week – Agenda:1. [Day 1] Present the Charter/Worksheet; clarify the boundaries2. Review the RIE “Current State” and/or the RIE “Tools” Briefing/Training slides on the tools & principles.3. Do a ‘Group Waste Walk’ – physically (if possible) or virtually (if not possible to go where the process occurs) walk as a team through the entire process. 16
  • 18. 4. Capture the Current State (map or list of steps); mark steps as Value-Added (VA) or Non-Value-Added (NVA) (See section below: Describe the current state)5. Identify Current problems and issues6. [Day 2] Present the RIE “Future State” and/or “Think out of the box” Briefing -- Leave behind any frustration that was created as you closely examined of your current state and think about improvement for a while.7. The team may (or may not) develop an “ideal state” vision. Depending on the experience and culture of the team, it may be helpful to draw a vision of the process if it could exist perfectly with no waste.8. Develop a “future state” vision – either by removing as much NVA work from your current state as you can or by adding back to your ideal state (if the team created one) the NVA work that you cannot yet (during this RIE) eliminate9. Identify Root Causes and constraints in the current state to be sure that you eliminate as much waste as possible in your future state.10. Develop the detailed Lean Action Plan (how to get from the current to the future state)11. Prioritize the Action Items. Secure the approval of the sponsor and other leaders to move ahead.12. [Day 3-4] Capture, Post and Train all affected people on future Standard Work and process changes13. [Day 5] Present the RIE Final Results briefing 17
  • 19. Typical Event Week – Bill of Materials: • Laptop with latest Training Briefings and sample results Briefings • Powerpoint projector to show your files on a screen or wall • Flip Chart and Easel (tape to wall; apply post-its) • Large roll of butcher block paper • Post-it notes (to capture the Current State) • Red and Green stickers (3/4”, AVET #5466, 5463, to mark value added steps) • Copy of Training slides (1 each, black and white, 2 handouts per page, double sided) • Waste Walk Form or 7 Waste Checklist • Digital camera (secure permission from your site first; use to capture all Before and After pictures, team pictures, and pictures of the whiteboards before erasing) 18
  • 20. Step 3 – Process RedesignA. Describe the Current StateIt is important to capture the Current State in as much detail aspossible. When documenting current state of any process oroperation, you can also use the following tools. These aredescribed in detail in the AFSO21 CONOPS and ImplementationPlan on the Air Force Smart Ops for the 21st Century -- AFSO21CoP. • Value Stream Mapping (picture pg 23) • Current Standard Work (picture pg 37) • Affinity Diagrams (left center, pg 31) • Spaghetti Diagrams • Current Cycle Times of each process step • Department Metrics (if tracked) 19
  • 21. Here is an example of a format used to display Current State datacollected during your VSM. The metrics tracked will depend onyour process, so change them so they make sense to your team. 20
  • 22. Here are some additional data collection elements and tips fordocumenting current state: • Customer requirements (units/day, quality specs, min delivery time) • SIPOC (for each Process we are studying, identify several Inputs and Outputs, and then Suppliers and Customers for each Input and Output) • Other Selected Process Metrics (e.g. overall end-to-end time, Available Time, defects, etc.) • Complete a quick walk through the target area to validate the main processes.Step 3 – Process RedesignB: Analyze the Current StateNow that you made documented each step in your Current Stateand made them visible (on a chart, wall, projected file, etc.), markwhich steps add value in the eyes of the customer (Recommended:use green stickers for value added and red for non-value added ifyou are using post-it note to capture each process step as in thepicture below). 21
  • 23. Valuable: • Is the output of the process what the customer wants and needs? • Are there items missing that can add value to the customer in the current process? • Steps that do not add value should be eliminated 22
  • 24. • Time spent on Non-value-added steps that are required should be reduced.Capable: • Can each step be performed the same way with the same result every time? • Is the result satisfactory from the standpoint of the customer? • Can the steps be executed in similar locations with the same output every time?Adequate: • Can each step be performed every time it needs to be performed? • Can each step be performed in the cycle time required? • Is there enough capacity to perform each step without waiting? • Is there too much capacity due to the need to add capacity in large increments? • Can the process accommodate changes to operating conditions and still meet customer requirements? • Can the process produce similar quality outputs across a range of operating conditions? 23
  • 25. Step 3 – Process Redesign C. Identify Current Problems & Issues Human Method Machine Im proper N preventive o No Standard loading M aintenance W ork Lack of Training Lack of O M ld odel docum entation N Training o M anual Poor Design Interuption of Job Paper Jams in the Paper fill Copier level not Poor quality Copier clearly Paper overheats m arked Paper gets Num of ber Paper wetjam per day s wrinkled in R not air oom not captured shipm ent conditioned Supplier not R leaks oof aw of are problem Measurement Materials Environment Fishbone or Cause & Effect diagrams are used to brainstorm potential root causes to a problem. The “5 Why’s” is method developed by Toyota for analyzing and solving problems by asking “Why?” five times or until no other reasons can be brainstormed. These “root” causes are what need to be addressed to eliminate failure. The first few brainstormed causes were likely just symptoms of the more underlying root issues. 24
  • 26. Steps 3 & 4 – Process Redesign & ImproveD. Identify Waste for EliminationThe team and key stakeholders then develop a “waste free” FutureState vision for the process. Once you have as waste free of apicture or vision as possible (given your time, resources and buy-inby the team), it is time to start developing an action plan andimplement it. An example Future State Map is below. Again, it isrecommended that you use your original post-it note process steps(with green stickers for value added) to do this step. Make surethat you do NOT move any red-stickered (non value added) stepsover to the Future State unless there is no other solution. 25
  • 27. Step 4 –ImproveDuring this step, the team will plan out then implement thesolutions selected in the previous step. The team shouldcommunicate all potential changes to the people in the affectedarea before, during and after the RIE. After implementing eachitem, the team will then evaluate solutions against targeted goals todetermine effectiveness. New process cycle times and StandardWork will be updated as well. The team will verify their resultsfrom the previous step and measure the impact of their changesagainst the goals. Results should be documented. Note: alwaystake a “before” picture before you move some major objects.A good example of these steps through Future State Map andAction Plan is included on the next page. A good way to prioritizethe Action Items that were brainstormed in the prior steps is torank them based on Difficulty (how easy and cheap it would be toimplement this step) and Impact (progress toward the goals of theRIE). An example of this follows. The cutoffs for these factorsshould be defined before prioritizing the tasks. For moreexamples, see the Air Force Smart Ops for the 21st Century --AFSO21 CoP at link. 26
  • 28. Potential Action Items are placed in one of the four quadrants. Those items that can be implemented with minimal effort but have a large impact should become “just do its”. Others may be future RIEs or projects which require more investment – but may be just as worthwhile to pursue.Impact Difficulty 27
  • 29. Step 5 – Measure, Assess, & SustainThe team will do a practice debriefing within the group beforepresenting to leaders. During this meeting the group will: • Document areas where further examination (and follow-up – may be another RIE) may be necessary • Identify who will monitor (and audit) changes, and who will update the action register with future results • Identify areas for future RIE events • The team should also recognize the efforts of those in the area being improvedIt is important to present your RIE results to leaders andstakeholders on the final day of your RIE. Do not wait until afancy briefing can be drawn up and approved. Present what youhave, even if it is just hand-drawn flip charts. These sometimesmake the most effective communication devices for busy leaders.Note: make sure you discuss the importance of thanking the teamwith your leaders in advance. Nightly outbriefs to these leaderscan prevent a negative reaction in front of your team.The Team Leaders, Champions & Sponsors need to check on allmajor improvements in the days, weeks, and months following theRIE (especially Monday after)! The final briefing action planshould be used to prevent backsliding. Follow-up must continueuntil the plan has been implemented, stability has been achieved onthe new process, and/or the next improvement effort on the processhas begun. 28
  • 30. This is an example of a one-page final outbrief summary 1 L e a d in g C h a n g e 2 O rg a n iz e & P rio ritiz e Lt Col John Bukowinski AETC/DOOM •Maj Ken Theriot AETC/LG P ro je c t T itle : C o u rs e D e ve lo p m e n t V a lu e S tre a m A n a lys is , •Capt Scott Dubsky AETC/LG •Oscar Vigil AETC/DOPA •SMSgt Caleb Washington AETC/DOOM T a rg e t M e tric s : •Tip Farmer •Sherry Berg AETC/DOOM AETC/DPOV •Samuel Lewis 345TRS/DORP R e d u c e c y c le tim e fo r c o u rs e d e v e lo p m e n t b y 5 0 % •MSgt Mark Kelps 345 TRS/DORP •Douglas Long 345 TRS/DORP •John Palmer 345 TRS/DORP Im p ro v e o n tim e d e liv e r y re lia b ility o v e r b a s e lin e % b y 5 0 % •Lenda Oakes 345 TRS/DORP •Janice Morrison AETC/DOOM Im p ro v e p ro d u c tiv ity b y 2 5 % •Bernard Frost AETC/DOPP •Rick Jellison AETC/DORB •Elsa Cavazus AETC/DPMTT •MSgt Daniel Specker 345 TRS/DORP 3 P ro c e s s R e d e s ig n C u rre n t S ta te M a p / D e s c rip tio n : F u tu re S ta te M a p / D e s c rip tio n : C ell C e ll L a c k la n d A E T C V a lu e S tr e a m M a p C u s to m e r P r o d u c t < A E T C U S A F L a c k la n d > T ra in in g C o u r s e s 1 -I te m S t d. 1 -I te m S td . D e m a n d 4 1 5 / 2 4 6 .0 0 d a y s F lo w W o rk F lo w W or k T A K T 4 .7 4 h rs C u s to m e r B as i c Q . Cks P ul l S ys B as ic Q . Cks P ul l S ys T ra in in g r e q u ir e m e n ts C u s to m e r B u s in e s s C a s e V a lu e S t a te m e n t K e y R e q u ir e m e n ts M e a s u r e m e n ts Id e a l S ta te T ra in in g b e g in s T h e c o u rs e d e v e lo p m e n t T h e V a lu e th e c o u r s e E P A r e q u ir e m e n ts W h a t H o w H o w m u c h O n -D e m a n d Visu a l Ma n a g e me n t Visu a l Ma n a g e m e n t p r o c e s s n e e d s to im p r o v e d e v e lo p m e n t p r o c e s s F e d e r a l a n d lo c a l la w s D e fe c t F re e 6 - S H a b i ts 6 - S H a b its o u r c o m p e ti ti v e n e s s , p ro v id e s i s tim e ly r e s o u r c e d S a fe t y re g u l a t io n s C y c le T im e D a y s 5 0% 1 - B y- 1 r e s p o n s iv e n e s s a n d p r e v e n t te c h n ic a l tr a in in g t o s u p p o r t L o w e s t C o s t POI C e ll m is s io n d e g r a d a ti o n th e c h a n g i n g n e e d s o f th e O n T im e D e liv e ry % 5 0 % C u rric u lu m w a r fi g h t e r d e v e lo p m e n t W h y Le an ? C o o r d i n a ti o n P ro d u c ti v ity H o u rs 2 5% D e v . C e ll A c c o m p l i s h M is s i o n B y T r a in in g C ell 1 -It em S td . C ons erv e res ourc es F l ow W or k S u p p l i e r/ E le c t r o n ic In fo r m a tio M a n a g e r W h y i s i m p o r ta n t ? n T o b e c o m p e t it i v e C u s to m e r R e q u ir e m e n ts T o c o n ti n u e t o m e e t C u s t . E x p e c ta t i o n s B a s ic Q . C ks P u ll S ys B e m ore R e sp ons ive W h at is o ur bu ss C risis ? / F le x i b l e M u s t A d a p t t o A F T r a n s fo r m a ti o n ( G lo b a l 2 6 E n viron m en t ) W h a t h a p p e n s i f w e s ta y a s w e a r e ? M i s s i o n D e g r a d a t io n C u s to m e r TP WG Mu V isu a l M a n a g e m e n t D e v e lo p A N N E X : O u t s o r c e C o m p e t io n / B R A C T r a in i n g B e g in s ltipl - F a c ility ( Pla n n in g M e e tin g S 6 -S H a b its P rin to c o u rs e M a te r ia l e -E T C A F o llo C e rti fic a tio , A c tiv a t e & T D w o rk ) info L o g is tic s w u p T ra in in g Pla n D e v e lo p a n d to O T A a n d P la te a u rma A u d io V is u a l S a fe y C o o rd in a tio n A p p rv e T ra in in g P la n l info C o m m u n ic a ti o n Flo w T D E 6 1 thro C o u r s e C o n tr o ? l C o u r s e fin a liz e d S e c u r i ty ugh R e p r o d u c e c o r u s e M t. l C o m p tr o lle r 7 1 5 the E n v iro n m e n ta l R e s o u rc e s R e a d y 1 c han C e ll ge C o o r d in a te C o o r d in a te H . Q . H Q A c tiv a te s in F lo w 1 7 9 A to O T A / T P S V a l id a tio n S e n d w ith D O P A C o n d u c t D e v N a r r a tiv e w ith D O R B C e r ti fic a tio n T P S to P la te a u c o n v e rt C o n v e rs io n M a n . P w r . fo r b y H Q to D O P P (if r e q u ire d) S td . T D P G M a n P o w e r D e v. C R E fo r C T P 1 -It em F l ow W or k 7 1 C o v e r le tte r 1 1 1 2 1 1 2 1 1 1 1 1 B a s ic P u ll Q . C ks S ys C o n d u c t Vi su a l M a n a g e m e n t D e v e lo p C C , C o o r d in a te R O K A 6 -S H a b its P O I, A p p r v . In g P la n A F 1 2 0 1 0 .0 0 % O U T P U T T A K T T IM EV a l u e S tr e a m P a th 1 F ix e d A s s e ts It e m s /P e rio d T im e /It e m C D C D e v. 0 .0 0 % 5 3 7 .8 8 4 1 5 4.7 4 h r s C e ll E B IT R E V $ /Y R R e c e iv a b l e s 1 0 0 .0 0 % V . A . R a t io $ 2 7 , 4 1 3 ,6 1 8 0 .0 0 % O t h e r 0 .0 0 In v e n t o ry 0 .0 0 % 0 .0 0 % E n e rg y V .A ./P e o p le 1 0 .0 0 % 0 .0 0 F lo w D a y s P e o p le 0 .0 0 % P u rc h a s e s F ix e d E x p e n s e s 0 .0 0 % 0 .0 0 % R o o t C a u s e A n a ly s is : 4 Im p ro v e W h y d o e s th is ta k e s o lo n g ? B e c a u s e w e E x p e c te d R e s u lts : h a v e s o m a n y in te ra c tio n s a n d h a n d o ffs . D a ta e le m e n t C u rr e n t s ta te F u tu re s ta te % chg T o ta l s te p s 58 8 86% W h y c a n ’t w e s im p lif y a n d re d u c e th e s e V a lu e A d d e d 18 4 78% N o n V a lu e A d d e d 40 4 90% in te ra c tio n s ? W e c a n . V a lu e A d d e d % 31% 50% 61% F low T im e 4 2 6 4 H rs 1728 H rs 59% M a n u a l C y c le T im e 2 0 6 H rs 187 Hrs 9% # p e o p le (to u c h e s ) 60 25 58% # a p p r o v a ls 98 18 82% B rie f S e n io r L e a d e rs h ip G a in c o m m itm e n t o n tim e -lin e a n d re s o u rc e s Id e n tify “ p a th fin d e r” lo c a tio n G e t a p p lic a b le p o lic y w a iv e rs D e v e lo p c o m m u n ic a tio n s t ra te g y (le a n a w a re n e s s a n d c o u rs e d e v e lo p m e n t p ro c e s s ) Type A c tio n T im in g L e s s o n s L e a rn e d : 5 Measure, Asses, & Sustain R a p id Im p r o ve m e n t E ve n t P O I d e ve lo p m e n t c e ll J u ne R a p id Im p r o ve m e n t E ve n t C e rtific a tio n , a c tiv a tio n , a n d flo w c e ll J u ly •C o m m u n ic a tio n /p re p a ra tio n fo r th e R a p id Im p r o ve m e n t E ve n t C ur r ic u lu m D e ve lo p m e n t C e ll Au g ust e v e n t c o u ld h a v e b e e n b e tt e r R a p id Im p r o ve m e n t E ve n t T r a in in g P la n c o o rd in a tio n s ta n d a r d w o rk Au g ust •S q u a d ro n s u p p o rt w a s e x c e lle n t •C o n s u lta n t w a lk th ro u g h p rio r to R a p id Im p r o ve m e n t E ve n t C D C D e ve lo p m e n t C e ll S e p t. e v e n t w o u ld h a v e b e e n b e n e fic ia l R a p id Im p r o ve m e n t E ve n t T P W G M e e tin g V e rtic a l V a lu e S tr e a m O c to b e r + •M o re tim e fo r e x e r c is e s w o u ld h a v e A n a ly s is b e e n b e n e fic ia l •P e o p le s h o w re s is ta n c e to c h a n g e ; P ro je c t R e d u c e tr a in in g p la n a p p r o va l c o o r d ina tio n Ju ne- A u g ust p a ra d ig m s a re h a rd to b r e a k P ro je c t C le a n U p P o lic y J u ly – c o m p le tio n o f firs t p a s s t h r o u g h •S e n io r le a d e r s u p p o rt w o u l d h a v e V a lu e s tr e a m b e e n n ic e a t k ic k -o ff P ro je c t In te g ra te IT S y s te m s to e n a b le c e r tific a tio n O c to b e r + •T h e re is a b e tte r w a y c e ll Lean •A d m in is tra tiv e s u p p o rt fo r d o c u m e n ta tio n p u rp o s e s is n e e d e d P ro je c t R e d u c e A F IA D L 1 5 0 d a y r e q u ire m e n t Ato b e r + n O c c tio •K e y p e o p le w o u ld h a v e b e e n P ro je c t R e m o ve A F IA D L fr o m e d it P ro c e s s O c to b e r + n P la b e n e fic ia l J u s t d o it C re a te w a ive r to u tiliz e tra in in g p la n in lie u J u ne of CR E J u s t d o it C re a te a g r e e d u p o n im p le m e n ta tio n p la n J u ne d a te 29
  • 31. QUICK REFERENCE FOR COMMON CONCEPTS 30
  • 32. CONCEPT: The Seven WastesOnly the constant elimination of waste will drive us towardperfection. Thus, our employees need to know what waste iswhen they see it. And, they need to know how to eliminate orreduce it. Value Activities transform material or informationinto something that the customer cares about. All other activitiesare waste. It helps to have a good list of possible wastes. Here are theseven wastes and many more office or business process wastes: In Operations... In the Office...• Overproduction: • Handoffs: Jobs moving − Making more than we need through depts. (inbox) today • Waiting (Approvals, etc.)• Excessive Inventory: • Transaction Waste − Having more than we need • Re-Invention Waste to Flow • Lack of ‘System Discipline’• Waiting: • High Process and Arrival − Not having required Variation info/part up front • System Over/Under-• Defective Parts Utilization and Expediting• Motion: • Ineffective or Barriers to − Excess walking or body Communication movement • Redundant Tasks• Transportation: • “Stop and Go” Tasks − Moving parts long • Useless Information (e.g., e- distances mails, etc.) 31
  • 33. • Processing: • Designing features the − Performing beyond what is customer doesn’t need required • External Quality Enforcement • Not utilizing resources to their full potential 32
  • 34. CONCEPT: Takt TimeTakt Time is the rate at which production or the process should run tomeet customer demand. It is a calculated increment of time that shouldreflect the rate at which a customer requires a part relative to theoperating time of a line, piece of equipment or even the Staff group.1. Determine Total Customer Requirements for the Affected Process.Care should be taken to validate the accuracy of demand information.Study several months of actual demand data together in your team.Consideration should be given for any forthcoming increases ordecreases in volume. In cases where multiple products are produced onthe same equipment the combined (average) demand should be utilizedfor calculating Takt Time2. Determine the Scheduled Runtime for the Affected Process:Scheduled Runtime = (Effective Minutes) – (Planned Downtime) • Effective Minutes = (Minutes Per Shift) – (Approved Breaks) • Planned Downtime is the amount of time an operation is down for scheduled reasons.3. Calculate Takt Time: Scheduled Runtime Takt Time = Total Customer Requirements 33
  • 35. CONCEPT: Standard WorkStandard Work:Standard Work consists of 3 key elements: • Takt Time − Amount of time which should be taken to produce a product based on customer demand − Takt Time = Available Operating Time/ Customer Demand (Daily, Weekly, Monthly …) • Work Sequence − Sequence of operations/tasks in a single process which leads to producing quality units in the most efficient manner • Standard In-Process Stock 34
  • 36. Example: Standard Work in a sample format.Operation: Electronic Repair/Test Cell Product Name: Standard Work SXX Chief Approval: _______ Approval:# DESCRIPTION Manual Task Tim e AUTO LOADING DIAGRAM: value- non-v- w alk Run add add time Tim e REPAIR COMPUTER Tim e (draw bar for each person, d Pick up, do vis inspection, and 1 10 TECH OPERATOR log into LDMS a nd DMAPS. Disassemble, pre-test and 2 30 1 3 21 visually inspect. 3 Repair what was found visually. 180 2 1 People 4 Clean unit. 60 2 5 Reassemble unit. 30 Station 3 6 Perform pre-test. 5 Operator 9-10 4 Retrieve from rework shelf and 16 Computer12 60 Repair 5 repair (Order needed parts) Station Technician 1 Place back on the ready for test 1713 5 4 6 shelf 2-618 Prepare for paint 15 12 8;15 7 Send to and get back from Paint 18-19 119 10 Repair 4 8 Room Technicians Demask unit a nd pe rform final (1 Trainee)20 20 9 visual inspection 1;1321 Enter into computer and logout 10 10 WIP Rack 7;11 11 20 14 12 13 TOTAL MANUAL CYCLE TIME: (sum of each persons manual time) TAKT TIME (available tim e) 860 min (cust. dem and) 4/day MINIMUM STAFFING Maximum Task Safety (Tot m an cyc tim e) 590 min (1 sheet per cell) WIP Number Caution (takt tim e) 215 min Total Cycle Time: 380 55 0 = WIP 35
  • 37. CONCEPT: 6S 36
  • 38. Example: Posted 6S Standard Work and Area Map 6S Area Assignments6S End ofDay Tasks 37
  • 39. GLOSSARY OF COMMON IMPROVEMENTTERMS 38
  • 40. GLOSSARY:Andon Board – A visual control device in a production area, typically alighted overhead display, giving the current status of the productionsystem and alerting team members to emerging problems.Autonomation – Transferring human intelligence to automatedmachinery so machines are able to detect the production of a singledefective part and immediately stop themselves while asking for help.Permits one operator to oversee many machines with no risk ofproducing vast amounts of defective product.Batch & Queue – The mass production practice of making large lots ofa part and then sending the batch to wait in queue before the nextoperation in the production process.Cells – The layout of machines of different types performing differentoperations in a tight sequence, typically in a U-shape, to permit single-piece flow and flexible deployment of human effort by means of multi-machine working.Changeover – The installation of a new type of tool in a metal workingmachine, a different paint in a paint system, a plastic resin and a newmold in an injection molding machine and so on. The term applieswhenever a production device is assigned to perform a differentoperation.Control Chart – A chart with upper and lower control limits on whichvalues of some statistical measures for a series of samples or subgroupsare plotted. The chart frequently shows a central line to help detect atrend of plotted values toward either control limit. 39
  • 41. Cost Management – Managing various resources properly, andeliminating all sorts of Waste in such a way that the overall cost goesdown.Cycle time – The time required to complete one cycle of an operation.If cycle time for every operation in a complete process can be reduced toequal Takt time, products can be made in a single-piece flow. Cycle timeincludes set-up and run time and does not include machine downtime.Cost Management – Managing various resources properly, andeliminating all sorts of Waste in such a way that the overall cost goesdown.Cycle time – The time required to complete one cycle of an operation.If cycle time for every operation in a complete process can be reduced toequal Takt time, products can be made in a single-piece flow. Cycle timeincludes set-up and run time and does not include machine downtime.DMAIC – “Define, Measure, Analyze, Improve, Control” are the stepsof an improvement cycle utilized in the Six Sigma methodology.Delivery – Meeting both the delivery as well as the volumerequirements of the customer.Five Golden Rules of Gemba Management – A set of the mostpractical reminders in implementing kaizen in the Gemba: 1. Go to the Gemba when problems arise. 2. Check the Gembutsu. 3. Take temporary measures on the spot. 40
  • 42. 4. Find and eliminate the root cause 5. Standardize to prevent reoccurrence.Five M’s – A method of managing resources in the Gemba: 1. Manpower 2. Machine 3. Material 4. Method 5. MeasurementFive Why’s – The practice of asking “why” five times whenever aproblem arises in order to identify the root cause of that problem so thateffective countermeasures can be developed and implemented.Flow – The progressive achievement of tasks along the value stream sothat a product proceeds from design to launch, order to delivery, and rawmaterials into the hands of the customer with no stoppages, scrap orbackflows.Flow Production – One of the pillars of the Just-In-Time productionsystem. In flow production, machines are arranged in the order ofprocessing so that the work piece flows between processes withoutinterruption. 41
  • 43. Failure Mode and Effects Analysis (FMEA) - An analytical tool usedto predict and eliminate in advance any potential design defect in a newproduct by analyzing the effects of failure modes of component parts onthe final product performance.Gemba – A Japanese word meaning “real place” – now adapted inmanagement terminology to mean the “workplace” – or that place wherevalue is added. In manufacturing, it usually refers to the shop floor.Gembutsu – The tangible objects found at the Gemba such as workpieces, rejects, jigs, tools, and machines.Go to Gemba – The first principle of Gemba Kaizen. This is a reminderthat whenever an abnormality occurs, or whenever a manager wishes toknow the current state of the operations, they should go to the Gembaright away since the Gemba is the source of all information.Just-In-Time – A system for producing and delivering the right items atthe right time in the right amounts. The key elements of JIT are Flow,Pull, Standard Work (with standard in-process industries), and Takttime.Kaikaku – Radical improvement of an activity to eliminate Waste.Also called breakthrough Kaizen, Flow Kaizen, and System Kaizen.Kaizen – Continuous, incremental improvement of an activity to createmore value with less Waste.Kaizen Story – A standardized problem solving procedure to be used ateach level of the organization. The Kaizen story has 8 steps: 1. Select a project 42
  • 44. 2. Understand the current situations and set objectives 3. Analyze data to identify root causes 4. Establish countermeasures 5. Implement countermeasures 6. Confirm the effect 7. Standardize 8. Review the above process and work on the next stepsKaizen Systems – Major systems that must be established to attainworld class status: • Total Quality Control (Total Quality Management) • Just In Time Production System • Total Productive Maintenance • Policy Deployment • Suggestion System • Small Group ActivitiesKanban – A communication tool in the just-in-time system wheneverbatch production is involved. A Kanban, which means a signboard inJapanese, is attached to a given number of parts or products in theproduction line, instructing the delivery of a given quantity. When the 43
  • 45. parts have been all used, the Kanban is returned to its origin where itbecomes an order to produce more.Kosu - Refers to the specific man-hours it takes to process one unit of aproduct in a given process and is calculated by multiplying the numberof workers involved in a process by the actual time it takes to completethe process, and dividing by the units produced. It is used as a measureof operators’ productivity. Kosu reduction is one of the key measures ofproductivity improvement.Lead Time – The total time a customer must wait to receive a productafter placing an order. When a scheduling and production system arerunning at or below capacity, lead time and throughput time are thesame. When demand exceeds the capacity of a system, there isadditional waiting time before the start of scheduling and production,and lead time exceeds throughput time.Lean – A philosophy that focuses on economically and efficientlyproducing what is needed, when it is needed, in the amount needed. Itencompasses optimum streamlining, elimination of waste, qualityassurance, cost reduction, and increase in the efficiency of processeswithin a system by reducing Waste.Material Requirements Planning (MRP) – A computerized systemused to determine the quantity and timing requirements for materialsused in a production operation. MRP systems use a Master ProductionSchedule, a Bill of Materials listing every item needed for each productto be made, and information on current inventories of these items inorder to schedule the production and delivery of the necessary items.Manufacturing Resource Planning (MRP II) – Expands MRP toinclude capacity planning tools, a financial interface to translate 44
  • 46. operations planning into financial terms, and a simulation tool to assessalternative production plans.Milk Run – A routing of a supply or delivery vehicle to make multiplepick-ups or drop-offs at different locations.Monument – Any design, scheduling, or production technology withscale requirements necessitating that designs, order, and products bebrought to the machine to wait in a queue for processing.Morning Market – A daily routine that involves examining rejects(gembutsu) made the previous day before the work begins so thatcountermeasures can be adopted as soon as possible. This meetinginvolving the gemba people (and not staff) is held first thing in themorning.Multi-Machine Working – Training of employees to operate andmaintain different types of production equipment. Multi-machineworking is essential to creating production cells where each workerutilizes many machines.One-piece flow – Only one work piece is allowed to flow from processto process to minimize Waste in a just-in-time production system.Operation – An activity or activities performed on a product by a singlemachine.Overburden – Requirements beyond equipment or staff’s capacity.Japanese word, Muri, meaning strain and difficulty.Pareto Chart – A graphical tool for ranking causes from the mostsignificant to the least significant. This 80:20 principle suggests that 80 45
  • 47. percent of effects come from 20 percent of the possible causes. ThePareto chart is one of seven basic tools of problem solving.PDCA – Plan-Do-Check-Act – the basic steps to be followed in makingcontinual improvement attributed to Dr. W. Edwards Demming.Perfection – The complete elimination of Waste so that all activitiesalong a value stream create value.Poka-Yoke – A mistake-proofing device or procedure to prevent adefect during order taking or manufacture.Policy Deployment - A strategic decision-making tool for a firm’sexecutive team that focuses resources on the critical initiatives necessaryto accomplish the business objectives of the firm. The selectedobjectives are translated into specific projects and deployed down to theimplementation level in the firm. Policy development unifies and alignsresources and establishes clearly measurable targets against whichprogress toward the key objectives is measured on a regular basis.P,Q,C,D,S,M – Often Productivity, Safety and Morale are added toQCD as targets to be achieved (Productivity, Quality, Cost, Delivery,Safety, Morale).Process – A series of individual operations required to create a design,completed order, product or service.Process Cycle Efficiency (PCE) – Relates the amount of value-addedtime to the total lead time of the process. PCE = Value-AddedTime/Total Lead Time. 46
  • 48. Processing Time – The time a product is actually being worked on indesign or production and the time an order is actually being processed.Typically, processing time is a small fraction of throughput time andlead-time.Product Family (Platforms) – A range of related products that can beproduced interchangeably in a production cell.Production Smoothing - The creation of a “level schedule” bysequencing orders in a repetitive pattern and smoothing the day-to-dayvariations in total orders to correspond to longer-term demand.Pull – A system of cascading production and delivery instructions fromdownstream to upstream activities in which nothing is produced by theupstream supplier until the downstream customer signals a need. Theopposite of push.Pull Production – One of the basic requirements of a just-in-timeproduction system. The previous process produces only as manyproducts as are consumed by the following process.Push Production – The opposite of pull production. The previousprocess produces as much as it can without regard to the actualrequirements of the next process and sends them to the next processwhether there is a need or not.QCD (Quality, Cost, Delivery) – Quality, Cost and Delivery isregarded as an ultimate goal of management. When management issuccessful in achieving QCD, both customer satisfaction and corporatesuccess follow.Quality – Refers to the quality of products or services delivered to thecustomer. In this instance, quality refers to conformance to 47
  • 49. specifications and customer requirements. In a broader sense, qualityrefers to the quality of work in designing, producing, delivering, andafter-servicing the products or services.Quality Circles – Quality improvement or self-improvement studygroups composed of a small number of employees (ten or fewer). Thequality circle voluntarily performs improvement activities within theworkplace, carrying out its work continuously as a part of a company-wide program of mutual education, quality control, self-developmentand productivity improvement.Quality Function Deployment (QFD) – A visual decision-makingprocedure for multi-skilled project teams which develops a commonunderstanding of the voice of the customer and a consensus on the finalengineering specifications of the product that has the commitment of theentire team. QFD integrates the perspectives of team members fromdifferent disciplines, ensures that their efforts are focused on resolvingkey trade-offs in a consistent manner against measurable performancetargets for the product, and deploys these decisions through successivelevels of detail. The use of QFD eliminates expensive backflows andrework as projects near launch.Queue Time – The time a product spends in a line awaiting the nextdesign, order processing, or fabrication step.Standardize-Do-Check-Act – (SDCA) the basic steps to be followed tomaintain the current status.Seven Wastes – The Wastes commonly found in physical production. • Overproduction • Waiting 48
  • 50. • Transport • Over processing • Inventories • Movement • Defective PartsSingle Minute Exchange of Dies (SMED) – A series of techniques forchangeovers of production machinery in less than ten minutes. OneTouch set-up is the term applied when changeovers require less than oneminute.Single-Piece Flow – A situation in which products proceed onecomplete product at a time through various operations in design, order-taking, and production without interruptions, backflows, or scrap.Six S’s or 6S – Six terms beginning with S utilized to create aworkplace suited for visual control and lean production: 1. Sort – To separate needed tools, parts and instructions from unneeded materials. 2. Straighten – To neatly arrange and identify parts/tools for ease of use. 3. Shine – To conduct a clean-up campaign. 4. Standardize – To conduct sort, set and shine at frequent (daily) intervals to maintain a workplace in perfect condition. 49
  • 51. 5. Sustain – To form a habit of allows following the first 4 S’s. 6. Safety – To evaluate the workplace critically and remove opportunities for injury.Six Sigma – A quality improvement methodology that relies onstatistical analysis to reduce the variability of processes to enablingpredictability and repeatability.Spaghetti Chart – A map of the path taken by a specific product as ittravels down the value stream in a mass-production organization, socalled because the product’s route typically looks like a plate ofspaghetti.Standardization – Standardization is one of the three foundations ofKaizen activities and means the documentation of the best way to do thejob.Standard Costing – A management accounting system which allocatescosts to products based on the number of machine hours and labor hoursavailable to a production department during a given period of time.Standard costing systems tend to encourage managers to make unneededproducts or the wrong mix of products in order to minimize their costper product by fully utilizing machines and labor.Standard Work – A precise description of each work activityspecifying cycle time, takt time, the work sequence of specific tasks, andthe minimum inventory of parts on hand needed to conduct the activity.Statistical Process Control (SPC) – The application of statisticaltechniques to control a process. 50
  • 52. Takt Time – Sets the pace of production to match the rate of customerdemand and becomes the heartbeat of any Lean system. Calculations arebased on regular working time, no overtime, meal breaks, or otherbreaks included. The formula = available operating time / customerdemand.Three K’s (3K) – The Japanese words referring to the generalperception of the workplace: • •Kiken – Dangerous • •Kitanai – Dirty • •Kitsui – StressfulThree M’s (3M) – These three words are used as kaizen checkpoints tohelp workers and management to identify the areas from improvement. • •Muda – Waste • •Mura – Unevenness • •Muri – StrainThree M’s in Gemba – The three major resources to be managed in theGemba: • •Manpower • •Material • •Machine•Sometimes referred to as 5M with the addition of “methods” and“measurement”. 51
  • 53. Throughput Time – The time required for a product to proceed fromconcept to launch, order to delivery, or raw materials into the hands ofthe customer. This includes both processing and queue time.Total Productive Maintenance (TPM) – A series of methods to ensurethat every machine in a production process is always able to perform itsrequired tasks so that production is never interrupted. Unevenness – Poor work flow balance. Japanese word, Mura, meaningirregularity or variability.Value – A capability provided to a customer at the right time at anappropriate price, as defined in each case by the customer. Value Analysis (VA) – A method for cost reduction that aims atreducing material and component costs at the upstream stages ofdesigning and design reviews and involves cross-functionalcollaborations of product design, production engineering, qualityassurance, and manufacturing, etc. VA is also employed for competitivebenchmarking.Value Engineering (VE) – A method and practice for cost reductiondeveloped by the U.S. Department of Defense in 1954. Value Stream – The specific activities required to design, order, andprovide a specific product, from concept to launch, order to delivery,and raw materials into the hands of the customer.Value Stream Mapping – Identification of all the specific activitiesoccurring along a value stream for a product or product family. 52
  • 54. Visual Control – The placement in plain view of all tools, parts,production activities, and indicators of production system performance,so the status of the system can be understood at a glance by everyoneinvolved.Visual Management – An effective management method to provideinformation and Gembutsu in a clearly visible manner to both workersand managers so that the current state of operations and the target forkaizen are understood by everybody. It also helps people to identifyabnormality promptly.Waste – The Japanese word meaning waste. Any activity that consumesresources but creates no value. Waste elimination epitomizes the low-cost, commonsense approach to improvement. *See Seven Wastes. 53