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Rb erp lean module overview

Learn about Kanban with ERP.

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Rb erp lean module overview

  1. 1. RB-ERP Lean Module 1
  2. 2. Agenda• Background – Lean / Kanban APICS Definitions and Concepts – Example• Overview of RB-ERP Lean• Walkthrough of RB-ERP Lean• Questions and Answers 2
  3. 3. Lean Manufacturing Definition• Lean embodies a set of principles and practices that reduce cost through the relentless removal of waste and through the simplification of all manufacturing and support processes.• Lean is a philosophy of production that emphasizes the minimization of the amount of all the resources (including time) used in the various activities of the enterprise• Lean involves identifying and eliminating non-value-adding activities in design, production, supply chain management, and dealing with the customers.• Lean producers employ teams of multi-skilled workers at all levels of the organization and use highly flexible, increasingly automated machines to produce volumes of products in potentially enormous variety. - APICS 3
  4. 4. Kanban Definition• The Japanese word Kanban, loosely translated, means card, billboard, or sign, but other signaling devices such as colored golf balls have also been used. The term is often used synonymously for the specific scheduling system developed and used by the Toyota Corporation in Japan.• Kanban is a method of Just-in-Time production that uses standard containers or lot sizes with a single card attached to each.• It is a pull system in which work centers signal with a card or other device that they wish to withdraw parts from feeding operations or suppliers. – APICS 4
  5. 5. Pull as an Integral Part of Lean Manufacturing 5
  7. 7. Push vs. Pull• Push – Produce to forecast of • Pull – Produce ONLY the anticipated demand necessary units in the – Excessive inventory (stock necessary quantities at the out of what’s needed) necessary times – Large batches – Simple – manage by eye – Inability to keep pace with real-time orders – Responsive to minor changes – Inefficient ops – high costs – Effective at continuous  Emergency changeover inventory reduction  Product teardowns  Expediting – Hot list 7
  8. 8. Kanban Example 8
  9. 9. Kanban Example BOM SP-4 Manufactured C-40 Manufactured C-400 Purchased Inventoried at 2 Locations 9
  10. 10. Kanban CircuitsVendor C -400 Finished parts inventory Receive Receive C-400 Production C-40 Production SP-4 SP-4 Raw material inventory Demand Customer Procurement Kanban Circuit Transfer Kanban Circuit Production Kanban Circuit 10
  11. 11. Kanban flowSupplier Receive for C-400 Initiate Initiate Receive Initiate Receive Initiate Procurement Transfer for C-40 Production for SP-4 Production Receive C-400 C-40 SP-4 C-400 C-400 Receive Receive Kanban KanbanBin: PICK Bin: FLOOR Bin: FLOOR Bin: END Ship 10Location KB Location 01 END Incoming Empty container Customer Order Kanban Quantities = 10 10 SP-4 Full container 11
  12. 12. RB-ERP Approach 12
  13. 13. RB-ERP Traditional Replenishment Demand Pull Demand Pull Cust Order Shop Order N/C Lines N/C Comp’s Push Push Push MPS Planned MRP Planned Inventory Orders Orders Reorder Point Order Review Shop Order Req/Purchase Order 13
  14. 14. RB-ERP New Lean Replenishment Demand Pull Demand Pull Cust Order Shop Order N/C Lines N/C Comp’sKanban Planning Kanban Planning Kanban Pull MPS MRP Kanban Planning Planning Replenish Automatic Generation or Order Review Shop Order Req/Purchase Order 14
  15. 15. RB-ERP Lean Development• Generate/Manage Card Issuance• Simple Kanban Transaction Entry (Bar Code Scan)• Trigger Purchase Order/Release, Notification and Receipt• Trigger Inventory Transfer• Trigger Production Receipt & Backflush• History of Kanban Activity with Cycle Time Tracking 15
  16. 16. RB-ERP Lean Module Database Schema Item Location Key = Item/Location Key = Item/Location/Destination Kanban Circuit Contains default information for Kanban Circuit Kanban Circuit Kanbans in circuit, Number of Kanbans in circuit, etc. Key = Kanban ID Kanban Alternate Key = Item/Location/Destination Kanban Kanban Contains Type of Kanban, Kanban, Quantity, etc. Key = Kanban ID / Count Usage Kanban History Contains History of Kanban Usage Kanban HistoryKanban History including date/time stamps 16
  17. 17. Kanban Destination Table 17
  18. 18. Kanban Item/Location Flag 18
  19. 19. Kanban Circuit Definition 19
  20. 20. New Kanban Circuitand Kanban Deployment 20
  21. 21. Kanban 21
  22. 22. RB-ERP Lean Module Kanban Generation and DeploymentReceive Receive ReceiveTransfer Production ProcurementKanban Kanban KanbanInventory Mfg Receipt PO Receipt Transfer & Backflush 22
  23. 23. Single Entry/Scan of KanbanKanbans May Be BothInitiated and Received 23
  24. 24. Receive Transfer Kanban YesNo 24
  25. 25. Receive Production Kanban YesNo 25
  26. 26. Move to by Step,Then Receive Production Kanban Yes No Update Kanban Valid Data? Initiated? Yes Yes Current Op No No Initiate Kanban Create Move Signal Error History Record Create Initiate History Record 26
  27. 27. Initiate Procurement Kanban Option: Create/Release POCreate New PO Add PO Line Option: Cut ReleaseBlanket Release Option: Add Line to PO Add Line Add History Record 27 (Optional)
  28. 28. Receive Procurement Kanban Yes No Yes Perform PO Update Kanban Initiated? Receipt History Record Yes NoSignal Error & No Disallow 28
  29. 29. RB-ERP Kanban Data Setup
  30. 30. RB-ERP Lean Module Kanban Generation and DeploymentReceive Receive ReceiveTransfer Production ProcurementKanban Kanban KanbanInventory Mfg Receipt PO Receipt Transfer & Back- flush
  31. 31. RB-ERP Kanban Walkthrough
  32. 32. RB-ERP Lean Development Questions and Answers
  33. 33. RB-ERP Lean Module 33