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Lean Manufacturing & Just-in-Time
"The most dangerous kind of waste is
the waste we do not recognize." -
Shigeo Shingo
Material Flow
Information Flow
FGI
Customer
Raw
Material
Supplier
Final
Assembly
PUSH
FGI
Customer
Raw
Material
Supplier
Final
Assembly
PULL
Reducing Waste: Push versus Pull System
Push System
 Every worker maximizes own output, making
as many products as possible
 Pros and cons:
 Focuses on keeping individual operators and
workstations busy rather than efficient use of
materials
 Volumes of defective work may be produced
 Throughput time will increase as work-in-process
increases (Little’s Law)
 Line bottlenecks and inventories of unfinished
products will occur
 Hard to respond to special orders and order
changes due to long throughput time
Pull System
 Production line is controlled by the last
operation, Kanban cards control WIP
 Pros and cons
 Controls maximum WIP and eliminates WIP
accumulating at bottlenecks
 Keeps materials busy, not operators. Operators
work only when there is a signal to produce.
 If a problem arises, there is no slack in the system
 Throughput time and WIP are decreased, faster
reaction to defects and less opportunity to create
defects
5
• Management philosophy
• “Pull” system though the plant
WHAT IT IS
• Employee participation
• Industrial engineering/basics
• Continuing improvement
• Total quality control
• Small lot sizes
WHAT IT REQUIRES
• Attacks waste
• Exposes problems and bottlenecks
• Achieves streamlined production
WHAT IT DOES
• Stable environment
WHAT IT ASSUMES
Features of Lean Production
Kaizen
A Little History!
 Ford: Design for manufacturing
 Start with an article that suits and then study to find
some way of eliminating the entirely useless parts.
This applies to everything— a shoe, a dress, a
house, a piece of machinery, a railroad, a
steamship, an airplane. As we cut out useless parts
and simplify necessary ones, we also cut down the
cost of making. ...But also it is to be remembered
that all the parts are designed so that they can be
most easily made."
A Little History!
 Ohno – put ideas into practice systematically
 “When bombarded with questions from our group on
what inspired his thinking, Ohno just laughed and said
he learned it all from Henry Ford's book."
 A system that continually searches for and
eliminates waste throughout the value chain.
 Views every enterprise activity as an operation and
applies its waste reduction concepts to each activity -
from Customers to the Board of Directors to Support
Staff to Production Plants to Suppliers.
TPS: Toyota Production System
Elimination of Waste
 Complexity
 Labor
 Overproduction
 Space
 Energy
 Defects
Muda
 Materials
 Inventory
 Time
 Transportation
Acronym – CLOSED MITT
10
1. 5S
2. Group technology
3. Quality at the source
4. JIT production
5. Kanban production control system
6. Minimized setup times
7. Uniform plant loading
8. Focused factory networks
Elimination of Waste
Minimizing Waste – 5S
“Good factories develop beginning with the 5S’s.
Bad factories fall apart beginning with the 5 S’s.”
- Hirouki Hirano
Japanese Translation English
Seiri Proper arrangement Sort
Seiton Orderliness Simplify
Seiso Cleanliness Sweep
Seiketsu Cleanup Standardize
Shitsuke Discipline Sustain
Minimizing Waste – 5S
 A place for everything and everything in its place
 Not just a housekeeping issue
 Critical foundation for
 Setup reduction
 Pull systems
 Maintenance
 Inventory management
Using Departmental Specialization (Job Shop) for plant layout
can cause a lot of unnecessary material movement
Saw Saw
Lathe Press
Press
Grinder
Lathe
Lathe
Saw
Press
Heat Treat
Grinder
Note how the flow lines are going back and forth
Minimizing Waste: Group Technology
Press
Lathe
Grinder
Grinder
A
2
B
Saw
Heat Treat
Lathe
Saw Lathe
Press
Lathe
1
Revising by using Group Technology Cells can reduce
movement and improve product flow
Minimizing Waste: Group Technology
Minimizing Waste: JIT
 Only produce what’s needed
 The opposite of “Just In Case” philosophy
 Ideal lot size is one
 Minimize transit time
 Frequent small deliveries
Pro’s
•Minimal inventory
•Less space
•More visual
•Easier to spot quality issues
Con’s
•Requires discipline
•Requires good problem solving
•Suppliers or warehouses must be close
•Requires high quality
???
16
Inventory
Hides Problems
Work in
process
queues
(banks)
Change
orders
Engineering design
redundancies
Vendor
delinquencies
Scrap
Design
backlogs
Machine
downtime
Decision
backlogs
Inspection
backlogs
Paperwork
backlog
Minimizing Waste: JIT
Minimizing Waste – Quality at the
Source
 “Do it right the first time”
 Call for help
 Immediately stop the process and correct it vs.
passing it on to inspection or repair
Andon
Jidoka
Minimizing Waste – Kanban
Signaling device to control flow of material
•Cards
•Empty containers
•Lights
•Colored golf balls
•Etc
Minimizing Waste – Setup Times
 Long setup times drive:
 Long production runs
 Large lots
 Long lead times
 JIT requires small lots and minimum kanbans
 Setup reduction
 Focused efforts
 Problem solving
 Flexible equipment
21
Not uniform Jan. Units Feb. Units Mar. Units Total
1,200 3,500 4,300 9,000
Uniform Jan. Units Feb. Units Mar. Units Total
3,000 3,000 3,000 9,000
Suppose we operate a production plant that produces a single
product. The schedule of production for this product could be
accomplished using either of the two plant loading schedules below.
How does the uniform loading help save labor costs?
or
Minimizing Waste – Plant Loading
Heijunka
Coordination
System Integration
These are small specialized
plants that limit the range of
products produced
(sometimes only one type of
product for an entire facility)
Minimizing Waste –
Focused Factory
Networks
 Level payrolls
 Cooperative employee unions
 Subcontractor networks
 Bottom-up management style
 Quality circles (Small Group Problem Solving)
TPS – Respect for People
Keiretsu
1. All work shall be highly specified as to content, sequence,
timing, and outcome
2. Every customer-supplier connection must be direct, and
there must be an unambiguous yes-or-no way to send
requests and receive responses
3. The pathway for every product and service must be simple
and direct
4. Any improvement must be made in accordance with the
scientific method, under the guidance of a teacher, at the
lowest possible level in the organization
TPS – 4 Rules
Lean Implementation
Empowered Workforce
Problem Solving
Performance Measurement
Total Quality
Management
Flow
Process
Stable
Schedule
Kanban
Pull
Involved
Suppliers
Continual Inventory
Reduction
Product
Design
Summary and Conclusions…
 Lean Production is the set of activities that achieves
quality production at minimum cost and inventory
 The flow of material is pulled through the process by
downstream operations
 Lean originated with the Toyota Production System
and its two philosophies – elimination of waste, and
respect for people
 CLOSED MITT forms of waste

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Lean_Manufacturing___Just-in-Time.ppt

  • 1. Lean Manufacturing & Just-in-Time "The most dangerous kind of waste is the waste we do not recognize." - Shigeo Shingo
  • 3. Push System  Every worker maximizes own output, making as many products as possible  Pros and cons:  Focuses on keeping individual operators and workstations busy rather than efficient use of materials  Volumes of defective work may be produced  Throughput time will increase as work-in-process increases (Little’s Law)  Line bottlenecks and inventories of unfinished products will occur  Hard to respond to special orders and order changes due to long throughput time
  • 4. Pull System  Production line is controlled by the last operation, Kanban cards control WIP  Pros and cons  Controls maximum WIP and eliminates WIP accumulating at bottlenecks  Keeps materials busy, not operators. Operators work only when there is a signal to produce.  If a problem arises, there is no slack in the system  Throughput time and WIP are decreased, faster reaction to defects and less opportunity to create defects
  • 5. 5 • Management philosophy • “Pull” system though the plant WHAT IT IS • Employee participation • Industrial engineering/basics • Continuing improvement • Total quality control • Small lot sizes WHAT IT REQUIRES • Attacks waste • Exposes problems and bottlenecks • Achieves streamlined production WHAT IT DOES • Stable environment WHAT IT ASSUMES Features of Lean Production Kaizen
  • 6. A Little History!  Ford: Design for manufacturing  Start with an article that suits and then study to find some way of eliminating the entirely useless parts. This applies to everything— a shoe, a dress, a house, a piece of machinery, a railroad, a steamship, an airplane. As we cut out useless parts and simplify necessary ones, we also cut down the cost of making. ...But also it is to be remembered that all the parts are designed so that they can be most easily made."
  • 7. A Little History!  Ohno – put ideas into practice systematically  “When bombarded with questions from our group on what inspired his thinking, Ohno just laughed and said he learned it all from Henry Ford's book."
  • 8.  A system that continually searches for and eliminates waste throughout the value chain.  Views every enterprise activity as an operation and applies its waste reduction concepts to each activity - from Customers to the Board of Directors to Support Staff to Production Plants to Suppliers. TPS: Toyota Production System
  • 9. Elimination of Waste  Complexity  Labor  Overproduction  Space  Energy  Defects Muda  Materials  Inventory  Time  Transportation Acronym – CLOSED MITT
  • 10. 10 1. 5S 2. Group technology 3. Quality at the source 4. JIT production 5. Kanban production control system 6. Minimized setup times 7. Uniform plant loading 8. Focused factory networks Elimination of Waste
  • 11. Minimizing Waste – 5S “Good factories develop beginning with the 5S’s. Bad factories fall apart beginning with the 5 S’s.” - Hirouki Hirano Japanese Translation English Seiri Proper arrangement Sort Seiton Orderliness Simplify Seiso Cleanliness Sweep Seiketsu Cleanup Standardize Shitsuke Discipline Sustain
  • 12. Minimizing Waste – 5S  A place for everything and everything in its place  Not just a housekeeping issue  Critical foundation for  Setup reduction  Pull systems  Maintenance  Inventory management
  • 13. Using Departmental Specialization (Job Shop) for plant layout can cause a lot of unnecessary material movement Saw Saw Lathe Press Press Grinder Lathe Lathe Saw Press Heat Treat Grinder Note how the flow lines are going back and forth Minimizing Waste: Group Technology
  • 14. Press Lathe Grinder Grinder A 2 B Saw Heat Treat Lathe Saw Lathe Press Lathe 1 Revising by using Group Technology Cells can reduce movement and improve product flow Minimizing Waste: Group Technology
  • 15. Minimizing Waste: JIT  Only produce what’s needed  The opposite of “Just In Case” philosophy  Ideal lot size is one  Minimize transit time  Frequent small deliveries Pro’s •Minimal inventory •Less space •More visual •Easier to spot quality issues Con’s •Requires discipline •Requires good problem solving •Suppliers or warehouses must be close •Requires high quality ???
  • 16. 16 Inventory Hides Problems Work in process queues (banks) Change orders Engineering design redundancies Vendor delinquencies Scrap Design backlogs Machine downtime Decision backlogs Inspection backlogs Paperwork backlog Minimizing Waste: JIT
  • 17. Minimizing Waste – Quality at the Source  “Do it right the first time”  Call for help  Immediately stop the process and correct it vs. passing it on to inspection or repair Andon
  • 19. Minimizing Waste – Kanban Signaling device to control flow of material •Cards •Empty containers •Lights •Colored golf balls •Etc
  • 20. Minimizing Waste – Setup Times  Long setup times drive:  Long production runs  Large lots  Long lead times  JIT requires small lots and minimum kanbans  Setup reduction  Focused efforts  Problem solving  Flexible equipment
  • 21. 21 Not uniform Jan. Units Feb. Units Mar. Units Total 1,200 3,500 4,300 9,000 Uniform Jan. Units Feb. Units Mar. Units Total 3,000 3,000 3,000 9,000 Suppose we operate a production plant that produces a single product. The schedule of production for this product could be accomplished using either of the two plant loading schedules below. How does the uniform loading help save labor costs? or Minimizing Waste – Plant Loading Heijunka
  • 22. Coordination System Integration These are small specialized plants that limit the range of products produced (sometimes only one type of product for an entire facility) Minimizing Waste – Focused Factory Networks
  • 23.  Level payrolls  Cooperative employee unions  Subcontractor networks  Bottom-up management style  Quality circles (Small Group Problem Solving) TPS – Respect for People Keiretsu
  • 24. 1. All work shall be highly specified as to content, sequence, timing, and outcome 2. Every customer-supplier connection must be direct, and there must be an unambiguous yes-or-no way to send requests and receive responses 3. The pathway for every product and service must be simple and direct 4. Any improvement must be made in accordance with the scientific method, under the guidance of a teacher, at the lowest possible level in the organization TPS – 4 Rules
  • 25. Lean Implementation Empowered Workforce Problem Solving Performance Measurement Total Quality Management Flow Process Stable Schedule Kanban Pull Involved Suppliers Continual Inventory Reduction Product Design
  • 26. Summary and Conclusions…  Lean Production is the set of activities that achieves quality production at minimum cost and inventory  The flow of material is pulled through the process by downstream operations  Lean originated with the Toyota Production System and its two philosophies – elimination of waste, and respect for people  CLOSED MITT forms of waste

Editor's Notes

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  3. 8
  4. 9
  5. 14
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  7. 7
  8. 21
  9. 21