Guide :Dr.G.Venugopal
Yadhu G
Roll No :17
1
 “Lean strategy” in manufacturing involves a
series of activities to minimize waste and
Non value added (NVA) operations ...
Lean approach was first introduced by Toyota
Production Systems, wherein the wastes highlighted
are
3
 Applying lean strategies
incorrectly, increases the inefficiencies of an
organization's resources and reduced
employee c...
 Behrouzi and Wong (2011) reported that the
principal reasons behind the failure of the
lean practices are
1. the lack of...
 The three core principles of lean strategy are
identified as:
1 Identification of value
2 Elimination of waste
3 The gen...
1. Identifying customer defined value
2. Optimizing the value stream
3. Converting the value flow smoothly by
controlling ...
 new.docx
8
 The proposed approach was implemented in
EXCEL Limited, Australia.
 The company specializes in low and medium
voltage s...
Define and assess the system
A lean implementation team is formed
Define the manufacturing performance indicators
Sketch t...
 Based on the perspective of customer driven
value, authors assessed the current status of
lean strategy in the assembly ...
Project
Manager
Mechanical
Engineer
Master
Student
Lean
Manufacturing
Expert
Skilled
Operators
Production
Manager
12
 The commonly used Performance indicators
are time ,cost ,quality and flexibility.
 In this study the authors focused on...
 Sketch the existing process status and map
using VSM, visual control and time study
method.
 This map represents all th...
15
16
 The the existing process layout for RC cubicle
assembly process was responsible for major part
of time wastes and theref...
18
 A major part of the proposed methodology is
to continuously assess performance before
and after lean implementation.
 I...
Before Lean After Lean Improvement
Value Added Time (minutes) 27.15 27.15
Non-value added time
1.Adjusting parts 2.65 2.65...
 The overall performance of the
manufacturing process is measured by
considering both effectiveness and efficiency
of the...
 Effectiveness compares actual output to
targeted output from a production line
(Bayou and de Korvin, 2008).
 Effectiven...
Before Lean After Lean Improvement
Daily Production Target 20 26
Achieved Production Target 12 19
Average pitch time 61 51...
 Monthly meeting and discussions among the
operators.
 And they discussed about new innovations or
new techniques to be ...
 Many companies may not have expert lean
team and lean corporate culture .
 Identification of key performance indicators...
 The overall achievement in reducing NVA
time , average processing time and
improvement in process efficiency and
effecti...
 Azharul Karim and Kazi Arif-Uz-Zaman, A methodology for
effective implementation of lean strategies and its
performance ...
28
29
30
31
 The lean team found that the existing process layout for
RC cubicle assembly process was responsible for major
part of t...
Asses the status of Lean Strategy in the company
A lean implementation team is formed
The team further defines the manufac...
34
Before Lean After Lean Change
Value Added Time (minutes) 27.15 27.15
Non-value added time
Adjust 2.65 2.65 0
Walk to parts...
 The method suggests that at early stage of lean
implementation, a lean team needs to be formed
with skilled personnel fr...
 Lean techniques provided better results
depending on the firm size; practices such as
setup time reduction, multifunctio...
 VSM technique developed by Rother and
Shook (1999) becomes one of the most
commonly used lean tools.
 Melton (2005) als...
 set up monthly meeting and discussions
among the operators. In these meetings,
they discussed about new innovations or n...
40
To meet such expectations, the
manufacturing industry is focusing on
advanced manufacturing strategies in
particular the
„...
 The manufacturing-task strategy represents
the competitive capability the manufacturing
firm must accomplish in order to...
 The manufacturing-choice strategy
represents the appropriate selections of
technologies and management strategies to
imp...
44
 The RC control and communications cubicle
is a microprocessor-based controller that
provides a directional over current,...
46
47
48
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Lean Strategy Implementation Methodology.

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Lean Strategy Implementation Methodology.

  1. 1. Guide :Dr.G.Venugopal Yadhu G Roll No :17 1
  2. 2.  “Lean strategy” in manufacturing involves a series of activities to minimize waste and Non value added (NVA) operations from production, customer relations, product design, supplier networks and factory management and improve the value added (VA) process. 2
  3. 3. Lean approach was first introduced by Toyota Production Systems, wherein the wastes highlighted are 3
  4. 4.  Applying lean strategies incorrectly, increases the inefficiencies of an organization's resources and reduced employee confidence in lean strategies. (Marvel and Standridge 2009).  Therefore, applying the appropriate lean strategy for the specified industry is of paramount importance. 4
  5. 5.  Behrouzi and Wong (2011) reported that the principal reasons behind the failure of the lean practices are 1. the lack of an effective implementation methodology. 2. inadequate understanding of lean performance measurements needed to evaluate the improvement in effectiveness and efficiency . 5
  6. 6.  The three core principles of lean strategy are identified as: 1 Identification of value 2 Elimination of waste 3 The generation of smooth flow (Womack et al., 1990) 6
  7. 7. 1. Identifying customer defined value 2. Optimizing the value stream 3. Converting the value flow smoothly by controlling and eliminating wastes 4. Activating the demand pull by synchronizing customer demand and information flow 5. Perfection of all products processes and services ( Womack and Jones, 2003) 7
  8. 8.  new.docx 8
  9. 9.  The proposed approach was implemented in EXCEL Limited, Australia.  The company specializes in low and medium voltage switchgear products.  This research mainly focused on electrical control and communication cubicle assembly RC-01 ES. 9
  10. 10. Define and assess the system A lean implementation team is formed Define the manufacturing performance indicators Sketch the existing process status and map Measure the current state of the process using CPM method Implementation of lean tools based on the identified waste Evaluation of effectiveness and efficiency of the proposed approach Continuous improvement techniques and culture10
  11. 11.  Based on the perspective of customer driven value, authors assessed the current status of lean strategy in the assembly unit. 11
  12. 12. Project Manager Mechanical Engineer Master Student Lean Manufacturing Expert Skilled Operators Production Manager 12
  13. 13.  The commonly used Performance indicators are time ,cost ,quality and flexibility.  In this study the authors focused on the “Time” associated with the assembly process.  Continuous Performance Measurement(CPM) method is used in this research to assess the current state of performance. 13
  14. 14.  Sketch the existing process status and map using VSM, visual control and time study method.  This map represents all the existing wastes, NVA activities in a process that transforms raw materials into a finished good.  Major steps in the production process are: 1 receipt of raw material 2 assembly of the cubicles at different stages 3 testing 4 inspection 5 packaging 14
  15. 15. 15
  16. 16. 16
  17. 17.  The the existing process layout for RC cubicle assembly process was responsible for major part of time wastes and therefore redesigned the layout. The work station had been separated with specific task allocations for each operator which ultimately balanced the workloads.  Handling problems were identified as the second most crucial waste in the process  Third was the shortage of working parts and tools in work stations, overcomed by providing different trolleys in each work station with necessary tools and parts. 17
  18. 18. 18
  19. 19.  A major part of the proposed methodology is to continuously assess performance before and after lean implementation.  In this process, the first step is to measure the current state of the process in terms of efficiency, effectiveness, VA/NVA time ratio using process map and CPM. 19
  20. 20. Before Lean After Lean Improvement Value Added Time (minutes) 27.15 27.15 Non-value added time 1.Adjusting parts 2.65 2.65 0 2.Walk to hold parts 6.03 1.93 -4.1 3.Walk to get tools 2.45 0.27 -2.18 4.Get parts 5.8 3.15 -2.65 5.Unpack and disassembly 5.15 5.15 0 6.Inspection/paper works 2.5 2.5 0 7.Handling parts and tools 7.46 5.91 -1.55 8.Cleaning 1.03 1.03 0 9.Rework 1.39 1.39 0 Total (Non Value added time) 34.46 24.34 -10 Total (VA+NVA) 61.61 51.49 -10 VA/NVA ratio .79 1.12 42% 20
  21. 21.  The overall performance of the manufacturing process is measured by considering both effectiveness and efficiency of the production process.  Efficiency = (output value ) × 100% (input resource ) = no of output × average pitch time × 100% no of workers × total allocated time 21
  22. 22.  Effectiveness compares actual output to targeted output from a production line (Bayou and de Korvin, 2008).  Effectiveness = Actual number of output × 100% Targeted output value 22
  23. 23. Before Lean After Lean Improvement Daily Production Target 20 26 Achieved Production Target 12 19 Average pitch time 61 51 -10 EFFICIENCY (%) 61 72 +18 EFFECTIVENESS 60 73 +22 23
  24. 24.  Monthly meeting and discussions among the operators.  And they discussed about new innovations or new techniques to be implemented in their production floor to reduce NVA operations and effective use of available resources.  5S  Kaizen 24
  25. 25.  Many companies may not have expert lean team and lean corporate culture .  Identification of key performance indicators is also crucial for leanness evaluation. Sometimes, it is not possible to identify and measure all the performance indicators in a specific company.  Finally, implementation of this method may be costly and time consuming . 25
  26. 26.  The overall achievement in reducing NVA time , average processing time and improvement in process efficiency and effectiveness were found satisfactory for the company.  The proposed lean implementation methodology can be applied in manufacturing organizations (especially in assembly productions) to improve operational performance. 26
  27. 27.  Azharul Karim and Kazi Arif-Uz-Zaman, A methodology for effective implementation of lean strategies and its performance evaluation in manufacturing organizations, J. Business Process Management, Vol. 19 No. 1, (2013 ), PP 169-195.  Manimay Ghosh, Lean manufacturing performance in Indian manufacturing plants, Journal of Manufacturing Technology Management, Vol. 24 No. 1, (2013) , PP 113-122. 27
  28. 28. 28
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  30. 30. 30
  31. 31. 31
  32. 32.  The lean team found that the existing process layout for RC cubicle assembly process was responsible for major part of time wastes and therefore redesigned the layout.  In the new layout, the working stations and the machines are located in optimum distance for operators which actually reduced walking distances among them.  Handling problems were identified as the second most crucial waste in the process. The work station had been separated with specific task allocations for each operator which ultimately balanced the workloads. Eventually the handling waste was minimized by the separation of the tasks.  In order to overcome the problem related to shortage of parts and tools in work stations, different trolleys in each work station was allocated with necessary tools and working parts 32
  33. 33. Asses the status of Lean Strategy in the company A lean implementation team is formed The team further defines the manufacturing performance indicators based on production quantity, processing time and cost. Sketch the existing process status and map using VSM, visual control and time study method to identify existing process wastes Measure the current state of the process using CPM method Different lean tools are implemented considering existing production scopes and wastes into the process. Again the effectiveness and efficiency of the proposed process is evaluated in the next phase using CPM The culture for continuous improvement techniques is developed within the process environment 33
  34. 34. 34
  35. 35. Before Lean After Lean Change Value Added Time (minutes) 27.15 27.15 Non-value added time Adjust 2.65 2.65 0 Walk to parts 6.03 1.93 -4.1 Walk to get tools 2.45 0.27 -2.18 Get parts 5.8 3.15 -2.65 Unpack and disassembly 5.15 5.15 0 Inspection/paper works 2.5 2.5 0 Handling 7.46 5.91 -1.55 Cleaning 1.03 1.03 0 Rework 1.39 1.39 0 Total (Non Value added time) 34.46 24.34 +10 Total (VA+NVA) 61.61 51.49 +10 VA/NVA ratio .79 1.12 Daily Target 20 26 Achieved Target 12 19 Average pitch time 61 51 +10 Efficiency 61 72 +11 Effectiveness 60 73 +1335
  36. 36.  The method suggests that at early stage of lean implementation, a lean team needs to be formed with skilled personnel from different department of the company. The team members should have sufficient expertise in lean strategies and implementation methodology. Many companies may not have people with this expertise.  A team member without necessary knowledge and skills adversely affect the overall success of the project and can measure unrealistic performance of production system.  Identification of key performance indicators is also crucial for leanness evaluation. Sometimes, it is not possible to identify and measure all the measures of performance indicators in a specific company.  Finally, implementation of this method may be costly and time consuming but new methods and techniques need to be applied within company‟s budget and resources. 36
  37. 37.  Lean techniques provided better results depending on the firm size; practices such as setup time reduction, multifunction employees and Kanban system provide better organizational performance regardless of firm size.  Wan and Chen (2009) identified 12 groups of lean tools (Autonomation, concurrent engineering, line balancing, manufacturing cell, productivity, pull, quality, single minute exchange of die (SMED), standard work, visual control, VSM, and worker flexibility) to implement in two type of systems (quantitative and repetitiveness of product). 37
  38. 38.  VSM technique developed by Rother and Shook (1999) becomes one of the most commonly used lean tools.  Melton (2005) also suggested five key lean tools especially for process industries namely, ( kanban, 5S, visual control, Poke Yoke and SMEDs.) 38
  39. 39.  set up monthly meeting and discussions among the operators. In these meetings, they discussed about new innovations or new techniques to be implemented in their production floor.  The overall achievement in reducing NVA time and average processing time and increment in process efficiency and effectiveness were satisfactory 39
  40. 40. 40
  41. 41. To meet such expectations, the manufacturing industry is focusing on advanced manufacturing strategies in particular the „manufacturing-task strategy‟ and „manufacturing-choice strategy‟ (Miller and Roth 1994, Swink and Way 1995). 41
  42. 42.  The manufacturing-task strategy represents the competitive capability the manufacturing firm must accomplish in order to compete successfully in its business or marketing environment (Davies and Kochhar2002, Leung 2002) 42
  43. 43.  The manufacturing-choice strategy represents the appropriate selections of technologies and management strategies to improve the manufacturing system. 43
  44. 44. 44
  45. 45.  The RC control and communications cubicle is a microprocessor-based controller that provides a directional over current, earth fault and sensitive earth fault relay, auto reclosing relay, instantaneous metering, event log, demand logger and remote terminal unit (RTU) for remote control in a single package. 45
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