Lean Overview: 5 Principles for Eliminating Waste
•Download as PPTX, PDF•
1 like•568 views
Following the Lean methodology helps to eliminate the various types of waste. This helps shorten the lead times from customer order to delivery and enables products to be made as efficiently as possible.
Recommended
More Related Content
Similar to Lean Overview: 5 Principles for Eliminating Waste
Similar to Lean Overview: 5 Principles for Eliminating Waste (20)
More from LineView Academy (was OFX Academy)
More from LineView Academy (was OFX Academy) (20)
Recently uploaded
Recently uploaded (20)
Lean Overview: 5 Principles for Eliminating Waste
- 2. • No one really knows what’s going on, but just keeps going • No matter how hard you try, you don’t seem to be able to do things easily • There are always fires to put out and they always keep coming back • There is always too much to do and very often take work back home • You are spending a lot of time dealing with unhappy customers Is any of this familiar to you?
- 3. • You understand your customers’ needs and requirements • Your processes are capable of meeting your customers’ requirements and are easy to follow • You know exactly what you have to do and everyone working in synergy • You have accurate data which enables you to manage by fact • If an anomaly crops up, you can deal with it before it becomes a problem… How about…
- 4. Think Differently: “The significant problems we face cannot be solved by the same level of thinking which caused them” Albert Einstein Thinking OutcomesSystems
- 5. History of Lean • Moving Assembly Line developed by Henry Ford in 1913 • Limitations • Japanese reviewed Ford Thinking post WWII • Introduced the Toyota Production System (TPS)
- 7. Lean Thinking • John Krafcik, 1987 • Compared Japanese and Western automotive industries. • Found that Japanese used less effort, less capital investment, less space and less time. Therefore very “lean”!! • Lean is an improvement approach to improve flow and eliminate waste • ‘Lean Thinking’ (Womack and Jones, 1996)
- 8. 5 Key Principles of Lean Thinking 1. Customer Value - Understand the customer and their perception of value 2. Value Stream - Identify and understand all activities, across all areas, for each process and the wastes associated within 3. Create Flow - Eliminate wastes so that the Value can flow 4. Customer Pull - Only deliver what your customers needs, when they need it 5. Pursue Perfection - Continuously Improve to meet changing requirements and demands
- 9. In a nutshell • “All we are doing is looking at a timeline from the moment the customer gives us an order to the point when we collect the cash. And we are reducing that timeline by removing the non-value added wastes” Taiichi Ohno, Toyota Production Systems, 1978 Customer Orders Cash in Bank How long does this take; How many steps are involved? How can we reduce this timeline?
Editor's Notes
- If we continue to think as we have always thought, we are likely to get the same results we have had before, regardless of the new structures and priorities that surround us.
- As Kiichiro Toyoda, Taiichi Ohno, and others at Toyota looked at this situation in the 1930s, and more intensely just after World War II, it occurred to them that a series of simple innovations might make it more possible to provide both continuity in process flow and a wide variety in product offerings. They therefore revisited Ford’s original thinking, and invented the Toyota Production System.
- Developed by Taiichi Ohno, the aim of TPS is to provide the best quality, lowest cost, and the shortest lead time through the elimination of waste. This system in essence shifted the focus of the manufacturing engineer from individual machines and their utilization, to the flow of the product through the total process. Toyota concluded that by right-sizing machines for the actual volume needed, introducing self-monitoring machines to ensure quality, lining the machines up in process sequence, pioneering quick setups so each machine could make small volumes of many part numbers, and having each process step notify the previous step of its current needs for materials, it would be possible to obtain low cost, high variety, high quality, and very rapid throughput times to respond to changing customer desires. Also, information management could be made much simpler and more accurate. Thinking’ (Womack and Jones, 1996) introduced the philosophy of the five lean principles as key to achieving this. Mudi- Wastes (8 wastes) Muri- Overburden of equipment/ people Mura- uneveness/ sequence levelling
- John Krafcik- young researcher working at MIT on “International Motor Vehicle Program” The question was how could the Western world learn from and adapt the Japanese way of working so that they too could benefit from improving the use of their resources. The book ‘Lean Thinking’ (Womack and Jones, 1996) introduced the philosophy of the five lean principles as key to achieving this.
- Customer Value – understand from the customers’ viewpoint what is of value to them. This is about building a relationship around clear communication and shared understanding in a way that will allow you to deliver what it is that your customer needs. Value Stream – to be able to remove the waste from processes it is essential that all the activities, across all the areas, involved in delivering that product or service are understood. Create Flow – in order to eliminate the waste, processes need to be changed and reorganised so that the product or service flows through all the value adding steps in the most effective and efficient way possible. Customer Pull – by understanding the demand that customers put on your processes you can build your processes to meet that demand. Therefore, delivering what your customer needs, when they need it to the place that they need it. Pursue Perfection – the world you live in is constantly changing and therefore your processes need to continue to meet the changing requirements and demands. Through building in proper review mechanisms you ensure that you deliver what your customer needs not only now but in the future.
- Create another animation to show shorter length to get cash in bank