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PRODUCTIVITY PYRAMID

                     Profit


                                       Product Value
                                         Condition
             Q        C       D

                                            Production
        M        M        M                  Element
                                  M


 Improvement of 3M              Visual
MURI, MURA, MUDA
                              Management

                     5S
KIND OF CUSTOMERS
•   EMPLOYEES
•   EMPLOYEE ‘S FAMILY
•   RETIRED EMPLOYEES
•   VENDORS
•   SUPPLIERS
•   CONTRACTORS
•   SERVICE PROVIDERS
•   DEALERS
•   AGENTS
•   CONSUMERS
KIND OF CUSTOMERS
•   SHARE HOLDERS
•   PROMOTERS
•   STAKE HOLDERS
•   CENTRAL GOVT.
•   STATE GOVT.
•   LOCAL ADMINISTRATION
•   POLITICIANS
•   LEGISLATION
•   BANKS
KIND OF CUSTOMERS
• FINANCIAL INSTITUTIONS
• MEDIA
• ENVIRONMENT
• SOCIETY AT LARGE
• COLLABORATERS
• INDUSTRIAL ASSOCIATIONS / PROFESSIONAL
  ASSOCIATIONS
• CONSULTANTS
• FRIENDS & COLLEAGUES IN SIMILAR BUSINESSES
• FRIENDS & COLLEAGUES IN OTHER BUSINESSES
5 S OVERVIEW
                      CLEARING OR SORTING(SEIRI)
Meaning
Distinguish between the necessary and the unnecessary, and getting rid of what `you do
not need.
Aims
• Establish criteria and stick to them in eliminating the unnecessary.
• Practice stratification management to set priorities.
• Be able to deal with the causes of dirt
Activities
• Eliminating the unnecessary.
• Dealing with the causes of dirt.
• Kaizen and standardization based on fundamentals.
Principles
• Stratification management and dealing with the causes.
Means…              Segregate Necessary From
               Unnecessary Using The Following Table


    FREQUENCY OF USE              GROUPING
                                                    METHOD OF DISPOSAL
  (PERIOD OF QUEUEING)           (CATEGORY)

Used Less Than Once In A Year      Not Used              Throw Away

Used About Once Every Six
                                Used Infrequently   Store In A Distant Spot
Months To a Year
Used About Once In Two To Six
                                                     Organize And Keep In
Months                          Used Sometimes
                                                         Work Place
Used About Once a Month

Used About Once A Week                                   Keep Handy
Used Once A Day                   Used Often            Keep Nearby
Used All The Times                                     Keep Identifiable
ORGANISING ( SEITON)

Meaning
•   Establish a neat layout so you can always get just as much of what you need when you
    need it.
Aims
•   A neat looking workplace.
•   Efficient ( including quality and safety) layout and placement.
•   Raising productivity by eliminating the waste of looking for things.
Activities
•   Functional storage based upon the 5W’s and the 1H.
•   Allocate place for each and every item.
•   Arrange visuals to identify items and locations
•   Establish easy replacement methods
Principles
•   Functional storage and eliminating the need to look for things.
CLEANING (SEISO)
Meaning
•   Eliminating trash, dirt, and foreign matter for a cleaner workplace.
•   Cleaning as a form of inspection.
Aims
•   A degree of cleanliness corresponding to your needs. Achieving zero grime and zero dirt
•   Finding minor problems with cleaning inspections.
•   Understanding that cleaning is inspecting.
Activities
•   Establishing standard cleaning Procedures
•   Arranging cleaning tools for each and every place
•   Preventing the dirt at the source itself.
•   Inspecting equipment and remedial action.
Principles
•   Cleaning is for inspection, elimination of breakdown and defects
STANDARDIZATION ( SEIKETSU)
Meaning

•   Keeping things organized, neat, and clean, even in personal and pollution related aspects.

Aims

•   Management standards for maintaining the 5S’s.

•   Innovative visible management so that abnormalities show up.

Activities

•   Innovative visual controls.

•   Early detection and early action devices.

•   Manuals for maintaining standardization.

•   Color Coding.

Principles

•   Visual management and 5S standardization
DISCIPLINE (SHITSUKE)

Meaning
•   Doing the right thing as a matter of course.
Aims
•   Full participation in developing good habits and follow the rules.
•   Communication and feedback as daily routine.
Activities
•   Five- minute 5S.
•   Communication and Feedback.
•   Individual responsibility.
•   Practicing good habits.
Principles
•   Habit formation and creating a disciplined workplace.
means                                                  SEIRI
        Sort out items and discard the unnecessary.
5 QUESTIONS ABOUT SEIRI

1.   Do you find items scattered in your workplace?
2.   Are there boxes, papers and other items left in a disorganized manner?
3.   Are there equipment and tools placed on the floor?
4.   Are all items sorted out and place in designated spots?
5.   Are tools and stationary properly sorted and stored?




        means
                                                    SEITON
        A place for everything, everything in its place
5 QUESTIONS ABOUT SEITON

1.   Are passage ways and storage places clearly indicated?
2.   Are commonly used tools and stationary separated from those seldom used?
3.   Are containers and boxes stacked up properly?
4.   Are fire extinguishers and hydrants readily accessible?
5.   Are there grooves, cracks or bumps on the floor which hinder work or safety?
means                                              SEISO
        Clean your workplace thoroughly.
5 QUESTIONS ABOUT SEISO
1.   Are the floor surfaces dirty?
2.   Are machines and equipment dirty?
3.   Are wires and pipes dirty or stained?
4.   Are machine nozzles dirtied by lubricants and ink?
5.   Are shades, light bulbs and light reflectors dirty?




        means
                                                 SEIKETSU
        Maintain a standard.
5 QUESTIONS ABOUT SEIKETSU

1.   Is anyone’s uniform dirty or untidy?
2.   Are there sufficient lights?
3.   Is the noise or heat at your workplace causing discomfort?
4.   Is the roof leaking?
5.   Do people eat at designated places only?
10. SUGGESTION FORM
    a. Suggestion form – to be prepared by coordinator
    b. Suggestion box in each floor – action by coordinator
    c. Scrutinizing the suggestions – action by coordinator
    d. Approving the suggestions and awarding – action by coordinator
    e. Implementing the approved suggestions – action by zone leader
11. INTERNAL AUDIT FORM
    a) Preparation of internal audit form – Action by team leader
    b) Preparation of audit schedule – Action by coordinator
    c) Internal auditing and report – Action by team leader
    d) Correction work P-D-C-A and feedback – Action by zone leader
SHITSUKE
13. 5 S CORNER
    a) Allocating space – action by coordinator
    b) Preparation of display stands - action by coordinator
    c) Furnishing the area - action by coordinator
    d) Collection and displaying the photos, charts and information - action by coordinator
14. TREND CHARTS
    a) Collection of audit scores from team leaders - action by coordinator
    b) Preparation of trend charts for each zone and for each unit.
BEST 5S PRACTICES1S- SEIRI

                                  (Clearing the unwanted items)

 Name                                              Team                           Zone



         Tasks :  a) Sorting the list of items / documents available in your workplace
                b) Identify any EXCESS items
                c) Identify any RED TAG (Good condition but not in current use) items
                d) Identify any DAMAGED items
                e) Identify any USED CONSUMABLES
         Disposal action :
                a) Excess Items         - to separate storage area (earmark storage area)
                b) Red Tag items        - to Red Tag area ( earmark Red Tag area)
                c) Damaged items          - to Value Yard ( earlier Scrap yard)
                d) Used Consumables - to disposal yard

No      Unwanted item- Description                 Quantity       Reason for                Disposal
                                                                  NOT REQUIRED              Area /yard
BEST 5S PRACTICES
                                                               2S – SEITON
                                                     (Organizing the REQUIRED items)

                          Name                                    Team               Zone


Tasks: a) Sorting the required items in the workplace by function / subject.
   b) Identify PRIMARY item – Frequently used items
   c) Identify SECONDARY item –Less frequently used items                                   Location codification :
   d) Identify STORAGE item – Rarely used items
Allocating places:                                                                                       Location
                                                                                            I.DNo
                 a)Primary items – Very near to your hands
                                                                                            1        Table top
                 b)Secondary items – Little away from your seat / working location
                                                                                            2        Table bottom
                                                         (10 to 15 steps )
                                                                                            3        Side rack top
                 a)Storage items – Away from your working location
                                                                                            4        Table drawer-1
Ensuring the items location:
                                                                                            5        Table drawer-2
a) Primary item – One inch dia. circular sticker – Yellow colour
                                                                                            6        Table drawer-3
b) Secondary item – One inch dia. circular sticker – blue colour                            7        Side rack -inside
c) Storage area - One inch dia. circular sticker – Green colour                             8        Cupboard Numbers
d) Marking lines for the storage areas                                                      9        Record room
e) Labeling / Numbering of the items                                                        10       Stationary room
f) List of items available in the locations – to be displayed                               11       Display board
BEST 5S PRACTICES
                                                    3S – SEISO
                                              (Cleaning for Checking)


 Name                               Team                  Zone          Tools codification ::

                                                                                Tools- Description
Tasks:
                                                                        I.D.
                                                                        No
         a)Create access for cleaning the places and items
                                                                        1      Broom
         b)Identify the cleaning tools locations
                                                                        2      Hand brush
         c)Making the cleaning tools locations area                     3      Stick brush
                                                                        4      Mobbing brush
         d)Identify the list of cleaning tools required with quantity
                                                                        5      Vacuum cleaner
         e)Assess the quantity of dust with period
                                                                        6      Compressed air
         f)Identify the source of dust                                  7      Pressurized water
                                                                        8      Cleaning liquid
         g)Identify the dust preventing actions
                                                                        9      Cleaning powder
         h)Identify the cleaning points in the location
                                                                        10     Cleaning cloth
         i)Labeling / marking the cleaning points                       11     Cleaning cotton waste
SESSION VIII
• KAIZEN
• KAIZEN MATRIX
• KAIZEN UMBRELLA
KAIZEN

          Kai = change


       Zen = for the better


Kaizen or Continuous Improvement
IMPROVEMENT MATRIX

WHO       K      TOOLS      INVESTMENT


 I         S       CS          NO


FT        M       QC           LO
CFT              TOOLS

SM         L       BPR        HIGH
TM               NEW QC      CAPITAL
                  TOOLS
                SIX SIGMA
THE KAIZEN UMBRELLA

                               KAIZEN


• Customer   orientation        •   Kanban
•TQC (Total Quality Control)
                                • Quality Improvement
• Robotics
                                • Just-in-time
• QC Circles
• Suggestion System             • Zero defects
• Automation                    • Small-group activities
• TPM (Total Productive
                                • Productivity Improvement
 Maintenance)
REFLECTIONS
Sl .No   Learning from this module          How am I going to apply this
                                            Learning in my job

  1.



  2.



  3.



  4.



  5.
SESSION IX
•   LANGUAGE OF MONEY
•   COST OF QUALITY
•   MURI, MURA, MUDA
•   BILINGUAL
•   ELEPHANT
PROFIT
P=R -C
  ??
PROFIT
• COST REDUCTION ????



• WASTE REDUCTION



• UNNECESSARY, UNWANTED, UNUTILISED
CASH
CAN YOU BUY
  MONEY?
CASH TO CASH CYCLE

                   CASH   INVESTED

                      FINANCE



RAW MATERIALS                        PAYMENT COLLECTED

                 LESS INPUT
   PROCURED
                                        CUSTOMER

                INPUT LATER
  PURCHASE                            ADMINSTRATION


                MORE OUTPUT
                  OUTPUT
 PRODUCTS &                          CUSTOMER SATISFIED
   SERVICES

                  SOONER
MANUFACTURED
                                         CUSTOMER
MANUFACTURING                            RELATIONS


                     PRODUCTS &
                    SERVICES SOLD
                     MARKETING
White Elephant must be eaten




                     But



               Bite By Bite
              Step By Step
            Project By Project
BILINGUAL

     SENIOR AND TOP
       MANAGEMENT     LANGUAGE OF MONEY

      MIDDLE
                        TRANSLATE LOM      LOT
    MANAGEMENT

                            LANGUAGE OF
WORK FORCE
                            THINGS (LOT)
COST OF PREVENTION
                COST OF ACTIVITIES THAT KEEP FAILURE FROM HAPPENING.

  COST OF
CONFORMANCE     COST OF APPRAISAL
                COST INCURRED TO DETERMINE
                CONFORMANCE WITH CUSTOMER
                REQUIREMENTS AFTER THE WORK HAS BEEN COMPLETED.


                COST OF INTERNAL FAILURE
                COST OF CORRECTING PRODUCTS OR SERVICES WHICH DO NOT CONFORM TO INTERNAL
                CUSTOMER REQUIREMENTS OR ARE IDENTIFIED PRIOR TO DELIVERY AS NOT MEETING THE
                REQUIREMENTS OF EXTERNAL CUSTOMERS.
  COST OF
    NON-
                COST OF EXTERNAL FAILURE
CONFORMANCE
                COSTS TO CORRECT PRODUCTS OR SERVICES AFTER DELIVERY TO CUSTOMER


                COST OF EXCEEDING REQUIREMENTS
                COST OF PROVIDING INFORMATION OR SERVICES WHICH ARE NOT NECESSARY OR FOR WHICH NO
                REQUIREMENTS HAVE BEEN ESTABLISHED


                COST OF LOST OPPORTUNITIES
 COST OF LOST
                LOST PROFITS DUE TO THE COMPANY NOT SATISFYING OR BEING ABLE TO SATISFY, THE
OPPORTUNITIES   REQUIREMENTS OF EXTERNAL CUSTOMERS.
MEANING OF 3 MU’S
            (MURI, MUDA, MURA)
                                Meaning
       1. Being difficult to do. A job that is difficult to perform.
       2. Doing forcibly
Muri
       3. Being unreasonable. Something where reason cannot be
          established.
       1. Useless act
       2. Unprofitable act
Muda
       3. Useless or unprofitable items or works etc
       1. Not being uniform owing to dark or light color tones or
          difference in thickness of articles
Mura
       2. Not regular or uniform
MURI
           (Overburden)
• Overburdening people or equipment.
• This is in some respects on the opposite
  end of the spectrum from MUDA. MURI
  is pushing a machine or person beyond
  natural limits. Overburdening people
  results in Safety and Quality problems.
  Overburdening      equipments     causes
  breakdowns and defects.
MURI IN WORK
•   Work that needs force. (Muscle fatigue)

•   Unnatural posture (Posture-related fatigue)

•   Work that requires precaution (Nervous
    fatigue)

•   Unreasonable work (Environment-related
    fatigue)
MURA
                (Unevenness)
• You can view this as the resolution of the other two
  M’s. In normal production system, at times there is
  more work than the people or machines can handle
  and at other times there is a lack of work. Unevenness
  results from an irregular production schedule or
  fluctuating production volumes due to internal
  problems, like downtime or missing parts or defects.
  MUDA will be a result of MURA. Unevenness in
  production levels means it will be necessary to have on
  hand the equipment, materials, and people for the
  highest level of production – even if the average
  requirements are much lower than that.
MURA IN WORK
• Rushing type production model (evening production
  model, week-end production model, month-end
  production model)
      To eliminate production variation for weekly, daily
      or hourly production quantity.
• Allocation of manpower (capability) and the work
  involved (load) are not balanced.
• Unbalanced production capability among different
  processes.
• Making too many in one go
      To produce necessary quantity of necessary items at
      necessary timing only.
• Working is not rhythmical.
MUDA
                (Waste)
• Non-value added.
• The most familiar M includes the seven
  wastes. These are wasteful activities that
  lengthen lead times, cause extra
  movement to get parts or tools, create
  excess inventory, or result in any type of
  waiting.
MUDA IN WORK
• Idle state (Waiting, Monitoring)
• Walking operation (walking operation of one step or a
  few steps)
• Work operation involving moving materials, components,
  tools etc. ( pick up and placing operations)
• Work operation that originated due to some incomplete
  work ( Work operations associated with searching,
  correction, adjustment, removing stains etc.)
• Work that delay other motions
   – Change in holding position, or re-positioning of material or
     components; counting or checking materials or components
MUDA OF CORRECTION

    MUDA OF WAITING

  MUDA OF PROCESSING

  MUDA OF TRANSPORT

MUDA OF OVER PRODUCTION

   MUDA OF INVENTORY

    MUDA IN MOTION

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Quality concepts manmohan10.2.10 fn&an

  • 1. PRODUCTIVITY PYRAMID Profit Product Value Condition Q C D Production M M M Element M Improvement of 3M Visual MURI, MURA, MUDA Management 5S
  • 2. KIND OF CUSTOMERS • EMPLOYEES • EMPLOYEE ‘S FAMILY • RETIRED EMPLOYEES • VENDORS • SUPPLIERS • CONTRACTORS • SERVICE PROVIDERS • DEALERS • AGENTS • CONSUMERS
  • 3. KIND OF CUSTOMERS • SHARE HOLDERS • PROMOTERS • STAKE HOLDERS • CENTRAL GOVT. • STATE GOVT. • LOCAL ADMINISTRATION • POLITICIANS • LEGISLATION • BANKS
  • 4. KIND OF CUSTOMERS • FINANCIAL INSTITUTIONS • MEDIA • ENVIRONMENT • SOCIETY AT LARGE • COLLABORATERS • INDUSTRIAL ASSOCIATIONS / PROFESSIONAL ASSOCIATIONS • CONSULTANTS • FRIENDS & COLLEAGUES IN SIMILAR BUSINESSES • FRIENDS & COLLEAGUES IN OTHER BUSINESSES
  • 5. 5 S OVERVIEW CLEARING OR SORTING(SEIRI) Meaning Distinguish between the necessary and the unnecessary, and getting rid of what `you do not need. Aims • Establish criteria and stick to them in eliminating the unnecessary. • Practice stratification management to set priorities. • Be able to deal with the causes of dirt Activities • Eliminating the unnecessary. • Dealing with the causes of dirt. • Kaizen and standardization based on fundamentals. Principles • Stratification management and dealing with the causes.
  • 6. Means… Segregate Necessary From Unnecessary Using The Following Table FREQUENCY OF USE GROUPING METHOD OF DISPOSAL (PERIOD OF QUEUEING) (CATEGORY) Used Less Than Once In A Year Not Used Throw Away Used About Once Every Six Used Infrequently Store In A Distant Spot Months To a Year Used About Once In Two To Six Organize And Keep In Months Used Sometimes Work Place Used About Once a Month Used About Once A Week Keep Handy Used Once A Day Used Often Keep Nearby Used All The Times Keep Identifiable
  • 7. ORGANISING ( SEITON) Meaning • Establish a neat layout so you can always get just as much of what you need when you need it. Aims • A neat looking workplace. • Efficient ( including quality and safety) layout and placement. • Raising productivity by eliminating the waste of looking for things. Activities • Functional storage based upon the 5W’s and the 1H. • Allocate place for each and every item. • Arrange visuals to identify items and locations • Establish easy replacement methods Principles • Functional storage and eliminating the need to look for things.
  • 8. CLEANING (SEISO) Meaning • Eliminating trash, dirt, and foreign matter for a cleaner workplace. • Cleaning as a form of inspection. Aims • A degree of cleanliness corresponding to your needs. Achieving zero grime and zero dirt • Finding minor problems with cleaning inspections. • Understanding that cleaning is inspecting. Activities • Establishing standard cleaning Procedures • Arranging cleaning tools for each and every place • Preventing the dirt at the source itself. • Inspecting equipment and remedial action. Principles • Cleaning is for inspection, elimination of breakdown and defects
  • 9. STANDARDIZATION ( SEIKETSU) Meaning • Keeping things organized, neat, and clean, even in personal and pollution related aspects. Aims • Management standards for maintaining the 5S’s. • Innovative visible management so that abnormalities show up. Activities • Innovative visual controls. • Early detection and early action devices. • Manuals for maintaining standardization. • Color Coding. Principles • Visual management and 5S standardization
  • 10. DISCIPLINE (SHITSUKE) Meaning • Doing the right thing as a matter of course. Aims • Full participation in developing good habits and follow the rules. • Communication and feedback as daily routine. Activities • Five- minute 5S. • Communication and Feedback. • Individual responsibility. • Practicing good habits. Principles • Habit formation and creating a disciplined workplace.
  • 11. means SEIRI Sort out items and discard the unnecessary. 5 QUESTIONS ABOUT SEIRI 1. Do you find items scattered in your workplace? 2. Are there boxes, papers and other items left in a disorganized manner? 3. Are there equipment and tools placed on the floor? 4. Are all items sorted out and place in designated spots? 5. Are tools and stationary properly sorted and stored? means SEITON A place for everything, everything in its place 5 QUESTIONS ABOUT SEITON 1. Are passage ways and storage places clearly indicated? 2. Are commonly used tools and stationary separated from those seldom used? 3. Are containers and boxes stacked up properly? 4. Are fire extinguishers and hydrants readily accessible? 5. Are there grooves, cracks or bumps on the floor which hinder work or safety?
  • 12. means SEISO Clean your workplace thoroughly. 5 QUESTIONS ABOUT SEISO 1. Are the floor surfaces dirty? 2. Are machines and equipment dirty? 3. Are wires and pipes dirty or stained? 4. Are machine nozzles dirtied by lubricants and ink? 5. Are shades, light bulbs and light reflectors dirty? means SEIKETSU Maintain a standard. 5 QUESTIONS ABOUT SEIKETSU 1. Is anyone’s uniform dirty or untidy? 2. Are there sufficient lights? 3. Is the noise or heat at your workplace causing discomfort? 4. Is the roof leaking? 5. Do people eat at designated places only?
  • 13. 10. SUGGESTION FORM a. Suggestion form – to be prepared by coordinator b. Suggestion box in each floor – action by coordinator c. Scrutinizing the suggestions – action by coordinator d. Approving the suggestions and awarding – action by coordinator e. Implementing the approved suggestions – action by zone leader 11. INTERNAL AUDIT FORM a) Preparation of internal audit form – Action by team leader b) Preparation of audit schedule – Action by coordinator c) Internal auditing and report – Action by team leader d) Correction work P-D-C-A and feedback – Action by zone leader SHITSUKE 13. 5 S CORNER a) Allocating space – action by coordinator b) Preparation of display stands - action by coordinator c) Furnishing the area - action by coordinator d) Collection and displaying the photos, charts and information - action by coordinator 14. TREND CHARTS a) Collection of audit scores from team leaders - action by coordinator b) Preparation of trend charts for each zone and for each unit.
  • 14. BEST 5S PRACTICES1S- SEIRI (Clearing the unwanted items) Name Team Zone Tasks : a) Sorting the list of items / documents available in your workplace b) Identify any EXCESS items c) Identify any RED TAG (Good condition but not in current use) items d) Identify any DAMAGED items e) Identify any USED CONSUMABLES Disposal action : a) Excess Items - to separate storage area (earmark storage area) b) Red Tag items - to Red Tag area ( earmark Red Tag area) c) Damaged items - to Value Yard ( earlier Scrap yard) d) Used Consumables - to disposal yard No Unwanted item- Description Quantity Reason for Disposal NOT REQUIRED Area /yard
  • 15. BEST 5S PRACTICES 2S – SEITON (Organizing the REQUIRED items) Name Team Zone Tasks: a) Sorting the required items in the workplace by function / subject. b) Identify PRIMARY item – Frequently used items c) Identify SECONDARY item –Less frequently used items Location codification : d) Identify STORAGE item – Rarely used items Allocating places: Location I.DNo a)Primary items – Very near to your hands 1 Table top b)Secondary items – Little away from your seat / working location 2 Table bottom (10 to 15 steps ) 3 Side rack top a)Storage items – Away from your working location 4 Table drawer-1 Ensuring the items location: 5 Table drawer-2 a) Primary item – One inch dia. circular sticker – Yellow colour 6 Table drawer-3 b) Secondary item – One inch dia. circular sticker – blue colour 7 Side rack -inside c) Storage area - One inch dia. circular sticker – Green colour 8 Cupboard Numbers d) Marking lines for the storage areas 9 Record room e) Labeling / Numbering of the items 10 Stationary room f) List of items available in the locations – to be displayed 11 Display board
  • 16. BEST 5S PRACTICES 3S – SEISO (Cleaning for Checking) Name Team Zone Tools codification :: Tools- Description Tasks: I.D. No a)Create access for cleaning the places and items 1 Broom b)Identify the cleaning tools locations 2 Hand brush c)Making the cleaning tools locations area 3 Stick brush 4 Mobbing brush d)Identify the list of cleaning tools required with quantity 5 Vacuum cleaner e)Assess the quantity of dust with period 6 Compressed air f)Identify the source of dust 7 Pressurized water 8 Cleaning liquid g)Identify the dust preventing actions 9 Cleaning powder h)Identify the cleaning points in the location 10 Cleaning cloth i)Labeling / marking the cleaning points 11 Cleaning cotton waste
  • 17. SESSION VIII • KAIZEN • KAIZEN MATRIX • KAIZEN UMBRELLA
  • 18. KAIZEN Kai = change Zen = for the better Kaizen or Continuous Improvement
  • 19. IMPROVEMENT MATRIX WHO K TOOLS INVESTMENT I S CS NO FT M QC LO CFT TOOLS SM L BPR HIGH TM NEW QC CAPITAL TOOLS SIX SIGMA
  • 20. THE KAIZEN UMBRELLA KAIZEN • Customer orientation • Kanban •TQC (Total Quality Control) • Quality Improvement • Robotics • Just-in-time • QC Circles • Suggestion System • Zero defects • Automation • Small-group activities • TPM (Total Productive • Productivity Improvement Maintenance)
  • 21. REFLECTIONS Sl .No Learning from this module How am I going to apply this Learning in my job 1. 2. 3. 4. 5.
  • 22. SESSION IX • LANGUAGE OF MONEY • COST OF QUALITY • MURI, MURA, MUDA • BILINGUAL • ELEPHANT
  • 24. PROFIT • COST REDUCTION ???? • WASTE REDUCTION • UNNECESSARY, UNWANTED, UNUTILISED
  • 26. CASH TO CASH CYCLE CASH INVESTED FINANCE RAW MATERIALS PAYMENT COLLECTED LESS INPUT PROCURED CUSTOMER INPUT LATER PURCHASE ADMINSTRATION MORE OUTPUT OUTPUT PRODUCTS & CUSTOMER SATISFIED SERVICES SOONER MANUFACTURED CUSTOMER MANUFACTURING RELATIONS PRODUCTS & SERVICES SOLD MARKETING
  • 27. White Elephant must be eaten But Bite By Bite Step By Step Project By Project
  • 28. BILINGUAL SENIOR AND TOP MANAGEMENT LANGUAGE OF MONEY MIDDLE TRANSLATE LOM LOT MANAGEMENT LANGUAGE OF WORK FORCE THINGS (LOT)
  • 29. COST OF PREVENTION COST OF ACTIVITIES THAT KEEP FAILURE FROM HAPPENING. COST OF CONFORMANCE COST OF APPRAISAL COST INCURRED TO DETERMINE CONFORMANCE WITH CUSTOMER REQUIREMENTS AFTER THE WORK HAS BEEN COMPLETED. COST OF INTERNAL FAILURE COST OF CORRECTING PRODUCTS OR SERVICES WHICH DO NOT CONFORM TO INTERNAL CUSTOMER REQUIREMENTS OR ARE IDENTIFIED PRIOR TO DELIVERY AS NOT MEETING THE REQUIREMENTS OF EXTERNAL CUSTOMERS. COST OF NON- COST OF EXTERNAL FAILURE CONFORMANCE COSTS TO CORRECT PRODUCTS OR SERVICES AFTER DELIVERY TO CUSTOMER COST OF EXCEEDING REQUIREMENTS COST OF PROVIDING INFORMATION OR SERVICES WHICH ARE NOT NECESSARY OR FOR WHICH NO REQUIREMENTS HAVE BEEN ESTABLISHED COST OF LOST OPPORTUNITIES COST OF LOST LOST PROFITS DUE TO THE COMPANY NOT SATISFYING OR BEING ABLE TO SATISFY, THE OPPORTUNITIES REQUIREMENTS OF EXTERNAL CUSTOMERS.
  • 30. MEANING OF 3 MU’S (MURI, MUDA, MURA) Meaning 1. Being difficult to do. A job that is difficult to perform. 2. Doing forcibly Muri 3. Being unreasonable. Something where reason cannot be established. 1. Useless act 2. Unprofitable act Muda 3. Useless or unprofitable items or works etc 1. Not being uniform owing to dark or light color tones or difference in thickness of articles Mura 2. Not regular or uniform
  • 31. MURI (Overburden) • Overburdening people or equipment. • This is in some respects on the opposite end of the spectrum from MUDA. MURI is pushing a machine or person beyond natural limits. Overburdening people results in Safety and Quality problems. Overburdening equipments causes breakdowns and defects.
  • 32. MURI IN WORK • Work that needs force. (Muscle fatigue) • Unnatural posture (Posture-related fatigue) • Work that requires precaution (Nervous fatigue) • Unreasonable work (Environment-related fatigue)
  • 33. MURA (Unevenness) • You can view this as the resolution of the other two M’s. In normal production system, at times there is more work than the people or machines can handle and at other times there is a lack of work. Unevenness results from an irregular production schedule or fluctuating production volumes due to internal problems, like downtime or missing parts or defects. MUDA will be a result of MURA. Unevenness in production levels means it will be necessary to have on hand the equipment, materials, and people for the highest level of production – even if the average requirements are much lower than that.
  • 34. MURA IN WORK • Rushing type production model (evening production model, week-end production model, month-end production model) To eliminate production variation for weekly, daily or hourly production quantity. • Allocation of manpower (capability) and the work involved (load) are not balanced. • Unbalanced production capability among different processes. • Making too many in one go To produce necessary quantity of necessary items at necessary timing only. • Working is not rhythmical.
  • 35. MUDA (Waste) • Non-value added. • The most familiar M includes the seven wastes. These are wasteful activities that lengthen lead times, cause extra movement to get parts or tools, create excess inventory, or result in any type of waiting.
  • 36. MUDA IN WORK • Idle state (Waiting, Monitoring) • Walking operation (walking operation of one step or a few steps) • Work operation involving moving materials, components, tools etc. ( pick up and placing operations) • Work operation that originated due to some incomplete work ( Work operations associated with searching, correction, adjustment, removing stains etc.) • Work that delay other motions – Change in holding position, or re-positioning of material or components; counting or checking materials or components
  • 37. MUDA OF CORRECTION MUDA OF WAITING MUDA OF PROCESSING MUDA OF TRANSPORT MUDA OF OVER PRODUCTION MUDA OF INVENTORY MUDA IN MOTION