The document defines a lean assessment for a manufacturing process. It includes categories like inventory, teams, processes, maintenance, layout, suppliers, setups, quality, and scheduling. For each category there are questions to rate aspects on a scale. The results of the assessment show opportunities for improvement in scheduling, layout, and quality. An analysis identifies gaps such as converting to a pull system with supermarkets and kanbans, and improving assembly productivity through cell design.

1. Define
Define What’s important

2. Define – Lean Assessment
1.0 Inventory Response X
0%-6%
7%-55%
56%-80% x
81%-93%
94%-100%
0-3
4-6 x
7-12
13-24
25+
<=1.0
1.1-2.0 x
2.1-4.0
4.1-8.0
8.1+
2.0 The Team Approach Response X
Exploitive
Bureaucratic x
Consultive
Participative
Highly Participative
Individual Incentive
Hourly Wage
Group Incentive
Salary
Salary+Annual Bonus x
Layoffs Every YearTransfers & Retraining Reduce
Layoffs x
Layoffs Are Rare
31%+
14%-30%
7%-11%
3%-6%
0%-2% x
<5%
6%-10%
11%-30%
31%-90% x
91%-100%
<5% x
6%-10%
11%-30%
31%-90%
91%-100%
3.0 Processes Response X
4+
3
2
1
0 x
Large Scale x
Medium/Mixed
Small Scale
Very Difficult
Moderately Difficult
Easy x
Very Difficult
Moderately Difficult
Easy x
96%-100%
91%-95%
86%-90% x
76%-85%
50%-75%
Complex Technologies
Moderate/Mixed x
Simple Technologies
2.2
How are workers on the factory floor
compensated?
2.3 To what extent do people have job security?
What is the ratio of Inventory Turnover to the industry
average?1.3
2.1 What is the organization type?
For the categories of Finished Goods, Work-In-Process
(WIP) and Purchased/Raw Materials, what portion of middle
and upper managers can state from memory the current
turnover and the purpose of each type?
1.1
What is the overall inventory turnover, including Finished
Goods, WIP and Purchased/Raw material?
1.2
2.4 What is the annual personnel turnover
3.1
How many large-scale machines or single-
process areas are in the plant through which
50% or more of different products must pass?
3.4
How easy is it to alter the total production rate
by +/-15%?
3.2
How would you rate the overall bias of the
plant's process selection with respect to scale?
3.3
How easy is it to shift output when the product
mix changes?
2.5
What percentage of personnel (ALL Personnel)
have received at least eight hours of
teambuilding training?
2.6
What percentage of personnel are active
members of formal work teams, quality teams,
or problem-solving teams?
3.5
What is management's target operating capacity
for individual departments or machines?
3.6
How would you rate the overall bias of the
plant's process selection with respect to
technology level?
4.0 Maintenance Response X
Non-Existent x
Substantially Complete
Complete & Accurate
71%-90%
51%-70%
26%-50%
11%-25% x
0%-10%
No PM
1%-10% Coverage
11%-30% Coverage
31%-90% Coverage x
91%+ Coverage
Frequently
Occasionally
Rarely x
Unknown
0%-75%
76%-90% x
91%-95%
96%-100%
5.0 Layout & Handling Response X
71%-100%
46%70% x
30%-45%
16%-30%
0%-15%
71%-100%
46%70%
30%-45% x
16%-30%
0%-15%
Pallet-size (or larger) loads, long
distances (>100'),complex flow
patterns, confusion, & lost
material
x
Mostly tote-size loads, bus-route
transport, & intermediate
distances
Tote-size or smaller loads, short
distances (<25'), simple & direct
flow pattern
Messy, Filthy, Confused x
Some dirt, Occasional Mess
Spotless , Neat, & Tidy
Impossible to see any logic or
flow sequence. x
Most processes are apparent
with some study. Most
sequences are visible.
Processes and their sequences
are immediately visible.
6.0 Suppliers Response X
2.5+
1.6-2.4 x
1.3-1.7
1.2-1.4
1.0-1.1
1-11 x
12-17
18-23
24-36
36+
0%
1%-10%
11%-30% x
Do equipment breakdowns limit or interrupt
production?
4.1
Describe equipment records and data. Include
records of uptime, repair history, and spare
parts. Include repair and parts manuals.
4.2
Excluding new installations and construction
projects, what percentage of maintenance hours
is unplanned, unexpected, or emergency?
4.5
What is the overall average availability of plant
equipment?
5.1
What portion of total space is used for storage
and material handling?
4.3
Does maintenance have and follow a defined
preventive schedule?
4.4
5.2
What portion of the plant space is organized by
function or process type?
5.3
How would you characterize material
movement?
5.4
How would you rate overall housekeeping and
appearance of the plant?
5.5
How well could a stranger walking through your
plant identify the processes and their sequence?
6.1
What is the average number of suppliers for
each raw material or purchased item?
6.2
On average, how often, in months, are items put
up for re-sourcing?
6.3
What portion of raw material & purchased parts
comes from qualified suppliers with no need for
incoming inspection?
7.0 Setups Response X
61+
29-60
16-30
10-15
0-9 x
0%
1%-6% x
7%-18%
19%-42%
43%-100%
Not at All x
Informal Tracking & Review
Setups Tracked, Performance In
Job Description
8.0 Quality Response X
0%-6% x
7%-55%
56%-80%
81%-93%
94%-100%
0% x
1%-10%
11%-30%
31%-70%
71%-100%
0% x
1%-10%
11%-30%
31%-70%
71%-100%
0%
1%-10%
11%-30%
31%-70% x
71%-100%
9.0 Scheduling/Control Response X
0%
1%-10%
11%-35% x
36%-85%
86%-100%
0% x
1%-10%
11%-35%
36%-85%
86%-100%
0%-50% x
51%-70%
71%-80%
81%-95%
95%-100%
7.1
What is the average overall setup time (in
minutes) for major equipment?
7.2
What portion of machine operators have had
formal training in Rapid Setup techniques?
7.3
To what extent are managers and workers
measured and judged on setup performance?
8.1
What portion of total employees have had basic
SPC training?
8.2
What portion of operations are controlled with
Statistical Process Control (SPC)
9.1
What portion of work-in-process flows directly
from one operation to the next without
intermediate storage?
8.3
What portion of the SPC that is done is
accomplished by operators as opposed to
Quality or Engineering specialists?
8.4 What is the overall defect rate?
9.2
What portion of work-in-process is under
Kanban or Broadcast control
9.3 What is the on-time delivery performance?

3. Define – Lean Assessment
Lean Profile
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
1.0 Inventory
2.0 Teams
3.0 Process
4.0 Maintenance
5.0 Layout6.0 Supplier
7.0 Setup
8.0 Quality
9.0 Scheduling
TARGET
ACTUAL
The emphasis from
Lean Assessment results:
- Scheduling
- Layout
- Quality
SECTION
SECTION
POINTS
# OF
QUEST
SECTION
AVG
SECTION
%
STRATEGIC
IMPACT
FACTOR
SECTION
TARGET
1.0 Inventory 4 3 1.33 33% 12.0% 92.3%
2.0 Teams 14 6 2.33 58% 11.0% 84.6%
3.0 Process 16 6 2.67 67% 11.0% 84.6%
4.0 Maintenance 12 5 2.40 60% 8.0% 61.5%
5.0 Layout 3 5 0.60 15% 11.1% 85.5%
6.0 Supplier 4 5 0.80 20% 10.0% 76.9%
7.0 Setup 5 3 1.67 42% 11.1% 85.5%
8.0 Quality 1 4 0.25 6% 13.0% 100.0%
9.0 Scheduling 2 3 0.67 17% 13.0% 100.0%
Result:

4. Define - IPO
“Define” Start to Completion: Aug.2007
Measurement” Start to Completion: Aug - 2007
“Analysis” Start to Completion: Aug - 2007
“Improve” Start to Completion: Aug-2007 to Sep-2007
“Control” Start to Completion: Oct-2007 to Dec-2007
“Define” Start to Completion: Aug.2007
Measurement” Start to Completion: Aug - 2007
“Analysis” Start to Completion: Aug - 2007
“Improve” Start to Completion: Aug-2007 to Sep-2007
“Control” Start to Completion: Oct-2007 to Dec-2007
CONTURS G2
Assembly
Input Output
(Source of Variation)
People, Material, Equipment,
Policies, Procedures, Methods,
Environment
Process
Description
Eliminate Waste &
Balance Assembly Line
(Measures of Performance)
Accuracy, Timeliness, Cost
Human knowledge/skills
Process capability
Type of organization
Assembly volume
Planning/Schedule
Complexity of work steps
Temperature, Humidity
Cost
Quality
Flexibility
Performance
Lead time
Delivery
Process
Project
Milestone
Project
Milestone

5. Measurement
Measure how you're doing

6. Measurement – Present State Value Stream Map
 Inference: ‘ Push’ System

7. Takt Time
(hrs.)
0
1
2
3
4
5
6
7
8
9
Bridge Kit CMM Kit C99 Bridge Final
Assembly
Measurement – Baseline
Baseline DataBaseline Data Pending statusPending status
 No history records indicating process capability
and quality level, yet no way to measure them at
present.
G2 Assembly Takt Time Calculation
Monthly Requirements 18
Daily Requirements for G2 0.82
Hours Available/shift/day 8
Break & Clean-up/day 1
Total Available Production Time 7
Takt Time 8.56
Leveled Takt Time (90%) 7.7
Process
Cycle Time
(hrs.)
Balanced
(hrs.)
Takt Time
(hrs.)
Lead
Time
Bridge Kit 1 1 7.7 3 days
CMM Kit 1 1 7.7 3 days
C99 4 4 7.7 3 days
Bridge 7 3.5 7.7 3 days
Final Assembly 60 5 7.7 10 days
C TQ Present State
Total Cycle Time: 73 hrs
Total Lead Time: 52 days
Value-Added %: 20.05%
Productivity(/mon/person) 0.9 mach.
Workload Balance Based on Takt Time
Workload Balance Based on Takt Time

8. Analyze
Analyze what’s wrong

9. Analysis – Future State Value Stream Map

10. Analysis – Gap Analysis
GAP – Design ‘Pull’ System
1st
cycle: Final assembly execute Made-to-Leveraged order.
2nd
cycle: Setup supermarket for sub-assembly line (bridge, C99), and design KANBAN to trigger sub-assembly.
3rd
cycle: Define parts supermarket warehouse, and build 2-BIN system between assembly line and supermarket.
4th
cycle: Build 2-BIN system between parts supermarket warehouse and suppliers (or purchasing team).
GAP – Design ‘Pull’ System
1st
cycle: Final assembly execute Made-to-Leveraged order.
2nd
cycle: Setup supermarket for sub-assembly line (bridge, C99), and design KANBAN to trigger sub-assembly.
3rd
cycle: Define parts supermarket warehouse, and build 2-BIN system between assembly line and supermarket.
4th
cycle: Build 2-BIN system between parts supermarket warehouse and suppliers (or purchasing team).
GAP – Improve Assembly Productivity
 Shown as right charts, final assembly consists of 4 steps,
and cycle times for each step are not averagely distributed.
Obviously, workload from work station 1 to work station 8
can not been well balanced. Through observation, idle and
non-value-added states sit at almost 2/3 of work time.
Production need keep pace with Takt time, and also need
keep balanced workload for all steps. Designing cell work
can help us reach 2 targets.
 Cell work is a good way to reduce cycle time, especially for
mechanical parts assembly. Resort to Group Technology to
design work cell, which will lead to a great time reduction for
assembly.
GAP – Improve Assembly Productivity
 Shown as right charts, final assembly consists of 4 steps,
and cycle times for each step are not averagely distributed.
Obviously, workload from work station 1 to work station 8
can not been well balanced. Through observation, idle and
non-value-added states sit at almost 2/3 of work time.
Production need keep pace with Takt time, and also need
keep balanced workload for all steps. Designing cell work
can help us reach 2 targets.
 Cell work is a good way to reduce cycle time, especially for
mechanical parts assembly. Resort to Group Technology to
design work cell, which will lead to a great time reduction for
assembly. 0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Station
1
Station
2
Station
3
Station
4
Station
5
Station
6
Station
7
Station
8
Observation for Station 1 to Station 8
Idle
Non-value-added
Value-added
Steps of Final Assembly
0
5
10
15
20
25
30
Assembly
Integration
Laser
Acceptance
Cycl e Ti me ( hr s. )
C TQ Present State Future State Improved by
Total Cycle Time: 73 hrs 43 hrs 41.10%
Total Lead Time: 52 days 13 days 75.00%
Value-Added %: 20.05% 47.25% 27.20%

11. Analysis – Waste Analysis
Seven Waste Issue Causes Solutions
Waiting: crane to move big parts Functional layout, Best Point presentation
missing parts Push system 2-BIN system
tooling Poor scheduling Work coordination
Transportation: big lot, WIP inventory Push system Keep pace with Takt
time consuming for moving big parts Functional layout, Work cell layout
Motion: searching for tools, parts Poor housekeeping & organization Visualization
excessive walking for tools, parts poor tool and parts access Best Point presentation
Processing: bridge kit, CMM kit Poor process planning Cancel kit
multiple handling of critical parts Poor process engineering Cellular process
rework Inadequate preventive maintenance Root cause analysis
Defects: Defects occurring in internal assembly Poor process capability, poor standard
operation, inadequate training & instruction,
lack of fmistake proofing discipline
Standard work procedures,
root cause analysis
Present State Layout
Present State LayoutPresent State Process Map
Present State Process Map

12. Improve
Change the Process

13. Improve – Improvement Activities

14. Improve – Waste Eliminate
Improved Layout
Improved Layout 2-Bin System
2-Bin System
Improved Fixture
Improved Fixture
Best Point Present
Best Point Present
2-Bin System
2-Bin System
‘Visual’ Factory
‘Visual’ Factory
WH motion area
Raw materials
Finished goods
Assembly area

15. Improved by
0
5
10
15
20
25
30
Bridge Assembly Integration Laser AcceptanceCycl e Ti me ( hr s. )
I mpr oved CT ( hr s. )
Assembly time reduction
Final assembly G2
15
17.5
28
0
15
30
Routing Time 29.08.07 28.09.07
Hours
Productivity increase
Final assembly G2
100
160
186
0
120
240
Routing Time 29.08.07 28.09.07
%
Walking steps reduction
Final assembly G2
6600
2500
0
3500
7000
29.08.07 28.09.07
Steps
Assembly time reduction
Bridge G2
405
303
248
0
205
410
17.08.07 17.09.07 18.10.07
Minutes
Productivity increase
Bridge G2
100
133
161
0
90
180
17.08.07 17.09.07 18.10.07
%
Walking steps reduction
Bridge G2
3881
1255
945
0
2000
4000
17.08.07 17.09.07 18.10.07
Steps
Improve – Time Reduction
Process
Cycle Time
(hrs.)
Improved
CT (hrs.)
Reduced
by (hrs.)
Bridge 7 4.5 -2.5
Assembly 28 15 -13
Integration 6 6 0
Laser 10 6 -4
Acceptance 16 16 0
Assembly Cycle Time Reduction

16. Improve – Cellular Process
Design Work Cell for Final Assembly
 Separated final assembly, integration, laser and acceptance
as below 9 work cells, based on balanced workload.
 ‘Cart’ represent work cell, managing the necessary tools,
parts, fixtures, work instruction for each process steps.
Design Work Cell for Final Assembly
 Separated final assembly, integration, laser and acceptance
as below 9 work cells, based on balanced workload.
 ‘Cart’ represent work cell, managing the necessary tools,
parts, fixtures, work instruction for each process steps.
Cart
Cart
Cart
Cart

17. Improve – Cellular Process
Total: 2475 min = 41 h
Total: 2738 min = 46 h
Piloting for New ‘Cart’ Assembly: After 4 runs of completed machine assembly, we reduce 9 Carts to 8 Carts
Piloting for New ‘Cart’ Assembly: After 4 runs of completed machine assembly, we reduce 9 Carts to 8 Carts

18. Improve – New Assembly Organization
Final Assembly Line:
 8 Carts (8 work steps);1 Cart /day
 5 work stations + 1 buffer station
 2 shifts/day; 4 technicians+1 team leader/shift
 Team leader take roles of team managing & trouble shooting
 Setup Production Board for rolling production schedule
Sub-Assembly Line:
 1 technician for bridge assb.,1 technician for C99+pre-assb.
 Initial stock of supermarket: 4 size of Bridges +2 types of
C99
 Sub-assembly is triggered by final assembly
Materials Flow:
 Warehouse staff check empty bin at 9:00am of each day
 Warehouse staff have been required to move in marked area.
Final Assembly Line:
 8 Carts (8 work steps);1 Cart /day
 5 work stations + 1 buffer station
 2 shifts/day; 4 technicians+1 team leader/shift
 Team leader take roles of team managing & trouble shooting
 Setup Production Board for rolling production schedule
Sub-Assembly Line:
 1 technician for bridge assb.,1 technician for C99+pre-assb.
 Initial stock of supermarket: 4 size of Bridges +2 types of
C99
 Sub-assembly is triggered by final assembly
Materials Flow:
 Warehouse staff check empty bin at 9:00am of each day
 Warehouse staff have been required to move in marked area.
Trouble Shooting Procedure
Trouble Shooting Team

19. Improve – Production Scheduling & Control
Production Board for Rolling Production Schedule
Production Board for Rolling Production Schedule
Date
Shift
(Leader)
P1 P2 P3 P4 P5 Rework Bridge
Plate &
Stand
C99
Day 1 Day Shift Cart 4 Cart 5 Cart 6 Cart 7 Cart 8
Night Shift Cart 5 Cart 6 Cart 7 Cart 8 Cart 1
Day 2 Day Shift Cart 6 Cart 7 Cart 8 Cart 1 Cart 2
Night Shift Cart 7 Cart 8 Cart 1 Cart 2 Run
Day 3 Day Shift Cart 8 Cart 1 Cart 2 Run Cart 3
Night Shift Cart 1 Cart 2 Run Cart 3 Cart 4
Day 4 Day Shift Cart 2 Run Cart 3 Cart 4 Cart 5
Night Shift Run Cart 3 Cart 4 Cart 5 Cart 6
Day 5 Day Shift Cart 3 Cart 4 Cart 5 Cart 6 Cart 7
Night Shift Cart 4 Cart 5 Cart 6 Cart 7 Cart 8
Pr od u c t ion Boa r d
Shift Report in Lotus Database
Shift Report in Lotus Database

20. Analysis of Assembly Productivity
1818
13
14
1.5
1.1
1.5
0.9
0
5
10
15
20
25
Baseline Oct-07 Nov-07 Dec-07
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
1.8
Total MonthlyYield
Productivity(/mon/person)
Improvement Result
Analysis of Machine Lead Time
CTQ Baseline Oct-07 Nov-07 Dec-07 Improved by
Total Cycle Time(hrs): 73 43 43 43 41.10%
Total Lead Time(days): 52 21 19 15 71.15%
Value-Added %: 20.05% 29.25% 32.33% 40.95% 20.90%
Analysis of Machine Lead Time
52
21
19
15
0
10
20
30
40
50
60
Baseline Oct-07 Nov-07 Dec-07
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
45.00%
Total Lead Time(days):
Value-Added %:
Analysis of Assembly Productivity
CTQ Baseline Oct-07 Nov-07 Dec-07 Improved by
Total Monthly Yield 14 13 18 18 4
Technicians 15 12 12 12 -3
Productivity
(/mon/person) 0.9 1.1 1.5 1.5 60.71%

21. First Passed Yield
181813
88.89%
55.56%
38.46%
0
5
10
15
20
25
-10.00%
10.00%
30.00%
50.00%
70.00%
90.00%
110.00%
Total Monthly Yield 13 18 18
FPY% 38.46% 55.56% 88.89%
Oct-07 Nov-07 Dec-07
Improve – Process Capability
 First Pass Yield (FPY) was defined as the
proportion of machines that monthly go
through Acceptance within routine time. In
other words, the proportion of machines that
monthly go through Cart 6 and Cart 7 first
time without reworking.
 Rolled Throughput Yield (RTY is the
probability that machines pass through Cart
1 to Cart 8 first time without reworking.
Process Capability Measure (CTQ):
Effectiveness Cart 1 Cart 2 Cart 3 Cart 4 Cart 5 Cart 6 Cart 7 Cart 8 RTY
Oct-07 92.3% 84.6% 100.0% 83.3% 91.7% 43.3% 38.7% 73.3% 7.3%
Nov-07 85.0% 73.7% 100.0% 94.4% 94.7% 39.0% 76.0% 85.0% 14.1%
Dec-07 78.6% 93.8% 100.0% 89.5% 81.0% 81.0% 100.0% 81.0% 35.0%
Effectiveness Analysis for Cart 1 - Cart 8
73.3%
38.7%
43.3%
91.7%
83.3%
100.0%
84.6%
92.3%
:
0%
20%
40%
60%
80%
100%
120%
Cart 1 Cart 2 Cart 3 Cart 4 Cart 5 Cart 6 Cart 7 Cart 8
Oct-07 Nov-07 Dec-07
Rolled Throughput Yield
(CTQ):
Rolled Throughput Yield
7.3%
35.0%
14.1%
0.0%
10.0%
20.0%
30.0%
40.0%
RTY 7.3% 14.1% 35.0%
Oct-07 Nov-07 Dec-07
FPY (CTQ)

22. Control
Ensure Performance

23. Control - KPI
Control Plan: Title of KPI / KPI 名称: Owner/Department/责任人及部门:
Lead Time(G2), Labor Productivity(G2),
First Pass Yield(G2), Rolled Throughput Yield (G2)
Maggie Xia / Production
Description of KPI / KPI描述
Data Source/数据来源:
Method of Computation (if any)/:
Baseline of Measure/测量基准: Target/目标:
See Attached See Attached
Frequency of Measure/统计频率 Period Start/End /时间段 开始／结束
Monthly 01.10.2007 - 30.09.2008
Actions to Realize Target /采取的措施以实现目标:
G2 Lead Time: calculate the average lead time for G2 monthly throughput.
Labor Productivity: calculate the ratio of G2 monthly throughput to stands in G2 assembly line.
First Pass Yield(FPY): calculate the proportion of machines that monthly go through Cart 6 and Cart 7 first time without reworking.
Rolled Throughput Yield(RTY): calculate the probability that machines pass through Cart 1 to Cart 8 first time without reworking.
Record, Measure, Analysis, Improve, Control
Key Performance Indicator (KPI) Worksheet/关键绩效指标
Lead Time: the time from the moment the supplier receives an order to the moment it is shipped.
Labor Productivity is measured as a ratio of output per labor per period.
First Pass Yield(FPY) is the proportion of units that, on average, go through a process first time without defects.
Rolled Throughput Yield(RTY) is the probability that a unit can pass through a process without defects.
By measuring the above four KPI, to indicate overall production performance level.
G2 Assembly Daily Shift Report
Tangible Benefit to IMT in Achieving our Strategic Goals/该指标对达到目标带来的实际益处:
Improvement
Scorecard:
CTQ Baseline Oct-07 Nov-07 Dec-07
Project
Goals
Actually
Improved
Newly
Targeted
Total Lead Time(days): 52 21 19 15 50.00% 71.15% 13
Productivity (/mon/person) 0.9 1.1 1.5 1.5 50.00% 60.71% 1.8
First Pass Yield (FPY) - 38.46% 55.56% 88.89% define 50.43% 95.00%
Rolled Throughput Yield (RTY) - 7.34% 14.13% 34.96% define 27.62% 85.00%