The document discusses Lean manufacturing, its history and evolution. Lean aims to improve quality, eliminate waste, reduce time and costs. It discusses Lean implementation in various industries like automotive, IT, aerospace and pharmaceuticals. Benefits of Lean included increased productivity, reduced inventory and defects. Risks include high implementation costs, lack of employee acceptance and needing heavy initial investment. The conclusion states managers need a complete understanding of Lean, learning, efficiency and ambition for continuous improvement to successfully implement Lean.
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4. INTRODUCTION
WHAT IS LEAN MANUFACTURING?
LEAN PRODUCTION IS AN INTEGRATED SET OF
ACTIVITIES DESIGNED TO ACHIEVE PRODUCTION USING
MINIMAL INVENTORIES OF RAW MATERIALS, WORK IN
PROGRESS, AND FINISHED GOODS. LEAN IS ALSO BASED ON
THE LOGIC THAT NOTHING WILL BE PRODUCED UNTIL IT IS
NEEDED.
5. BREAK THROUGH MOMENTS OF LEAN
1500-flow
production
1780-concept of
interchangeable
parts
1799-automatic
production of
simple parts
1822-automatic
production of
complex parts
1860-high
volume
interchangeable
parts
1880-moving
dissembly line
1890-
Scientific
management
1902-invention
of jidoka
1908-truly
interchangeable
parts
1913-1914-
moving
asssembly line
with parts
fabrication
1924-quick
changeovers
1926-mass
production
1930-take time
1937-Just In
Time
1941-1945-
training within
industry
1950-kanban
and
supermarkets
1960-Lean
Management
1965-quality as
a key element
1973-mass
production
management
1979-first
academic
investigation
1983-direct
diffusion
1987-Lean
Introduced
1990-book
published to
show evidence
of the complete
system
1996-description
about lean
principles
1997-lean
enterprise
institute
promotes lean
principles
1998-value
stream maps
2005- lean
thinking to
2007- lean
as no.1
7. LEAN GOALS AND STRATEGIES
IMPROVE
QUALITY
ELIMINATE
WASTE
REDUCE TIME
REDUCE TOTAL
COSTS
LEAN AS A FIXED STATE/GOAL
LEAN AS A CONTINOUS
CHANGE PROCESS
LEAN AS A SET OF TOOLS OR
METHODS
LEAN AS A PHILOSOPHY
9. GLOBAL BUSINESS
Global business consists of
transactions that are devised and
carried out across national borders to
satisfy the objectives of individuals,
companies, and organizations.
Primary types of international business
are import export trade and foreign
direct investment (FDI).
14. SUNDARAM CLAYTON’S EXPERIENCE
INTRODUCED TQM IN 1980’S WHICH IS PART
OF LEAN AND ENJOYED THE FOLLOWING
BENEFITS,
QUALITY CONTROL AND QUALITY
ASSURANCE
INCREASE ITS MARKET SHARE
INCREASE ITS PROFIT
PRODUCTIVITY OF WORKERS INCREASED
GAINED BUSINESS FROM OVERSEAS
AWARDED DEMING PRIZE FOR QUALITY IN
1998
15. IMPROVEMENT IN BAJAJ AUTO
SIGNIFICANT GAINS ENJOYED ARE,
WORKFORCE PRODUCTIVITY RAISED 10 TIMES
ABLE TO REDUCE INVENTORYFOR,
RAW MATERIALS FROM ONE WEEK TO
HALF A SHIFT STOCK
FINISHED GOODS FROM ONE MONTH TO
3 DAYS
NO OF REJECTED ITEMS WAS REDUCED FROM
20,000 PPM TO LESS THAN 2,000 PPM(Part Per
Million)
19. GOODRICH MARITIME(P)LIMITED
IMPLEMENTED ON 1995
IDENTIFIED AND IMPLEMENTED POLLUTION
PREVENTION AND PROCESS IMPROVEMENT
TECHNIQUES
ELIMINATE WASTED WORKER MOVEMENT
REDUCED CHEMICAL USE
21. PHARMACEUTICAL INDUSTRY
PROCESS ANALYTICAL TECHNOLOGY
QUALITY BY DESIGN ARE IMPLEMENTED
IMPROVE PRODUCTIVITY
SOME REGULATORY HURDLES ARE THERE TO
IMPLEMENT LEAN WHICH SHOULD BE AVOIDED
CONSERVATIVE THINKING SHOULD BE THERE TO
INTRODUCED LEAN ALONG WITH RULES AND
REGULATIONS
23. SPICER AXLE DIVISION OF DANA
CORPORATION
INITIAL TUBE LINE
LAYOUT
NEW TUBE LINE CELL
LAYOUT
24. EFFECTS AFTER IMPLEMENTATION
WIP DECREASED BY 97%
PRODUCTION INCREASED 72%
SCRAP WAS REDUCED BY 43%
MACHINE UTILIZATION INCREASED BY 50%
LABOUR COSTS WERE REDUCED BY 33%
SIGMA LEVEL INCREASED FROM 2.6 TO 2.8
26. Services Corporate Used Benefits enjoyed
Organize problem
solving groups
First Bank/Dallas
Standard Meat
Company
Miller Brewing
company
British Airways
To improve services
To implement new service practices
Upgrade House
Keeping
Mc Donald’s
Disney Land
Speedi-Lube
Service processes work better
Continuous improvement easier to develop
Customer satisfaction
Upgrade Quality Mc Donald’s Provides better services and produces quality
products and services consistently
Clarify process flows Federal Express
Corporation
By changing the process it achieved first place in
air Freight.
Revise equipment and
process technologies
Speedi-Lube To perform a wider range of operations without
reducing the operation room availability
28. RISKS IN LEAN PRODUCTION
HIGH COST OF IMPLEMENTATION
LACK OF ACCEPTANCE BY EMPLOYEES
HEAVY INVESTMENT NEEDED AT INITIAL STAGE
29. CONCLUSION
TO BE SUCCESSFUL IN LEAN IMPLEMENTATION
MANAGERS SHOULD HAVE COMPLETE
UNDERSTANDING ABOUT LEAN.
LEARNING,
EFFICIENCY TO IMPLEMENT
AMBITIOUS FOR IMPROVEMENT
NEEDED FOR IMPLEMENTING LEAN.