Lean is a manufacturing philosophy that aims to maximize value for customers through eliminating waste. It involves identifying the eight main types of waste - defects, overproduction, waiting, non-utilized talent, transportation, inventory, motion, and extra processing. The goals of lean are to produce only what is needed, when it is needed, using minimal resources. Key lean principles include defining value from the customer's perspective, identifying the value stream, establishing smooth workflow, only producing to meet customer demand, and continuously improving processes.

1. Lean
What is Lean?

2. “A manufacturing philosophy that shortens the
time line between the customer order and the
shipment by eliminating waste”
- John Shook
What is Lean ?

3. What is Lean?
 A strategy for maximizing value to customers
 The relentless pursuit of the perfect process through
waste elimination
 A competitive advantage to produce:
 What is needed (customer expectations, quality, etc.)
 When it is needed
 Using the absolute minimal resources

4. 8 Types of Waste
Muda
Defects
Overproduc
tion
Waiting
Non-Utilized
Resources
Transportati
on
Inventory
Motion
Extra-
processing
“DOWNTIME”

5. Defective work or non-conforming output
Typical causes:
Variation in processes
Lack of Standard Operating Procedures
Improvement ideas:
 Poke Yoke (Mistake Proofing)
 Jidoka (Autonomation)
 Cross training
 Document procedures
 Establish information needs
Waste - Defects
Manufacturing Example Service Example
Wrong packaging Wrong data entry

6. Producing beyond what is in immediate use
Typical causes:
Production schedules & push production
Cost justification for expensive equipment
Working on the wrong parts at the wrong time
Improvement ideas:
 Reduce lead time and order quantity
 Establish a kanban system
 Level out the orders
 Remove all unnecessary paperwork
 Improve quality
Waste - Over-production
Manufacturing Example Service Example
Producing more due to big batch
size.
Producing a weekly report daily

7. Any delay between when one process steps ends and the next begins.
Typical causes:
 Idle time due to lack of “standard” operations
 Waiting for decisions (dispositions, inspections, materials, etc.)
 Waiting for shared equipment
Improvement ideas:
 Balance operations
 Eliminate unnecessary approvals
 Eliminate redundancies
 Establish Single piece flow
 Eliminate hand-offs
Waste - Waiting
Manufacturing Example Service Example
Downtime to machine changeover Waiting for signatories prior to
report submission

8. Not utilizing resources to its full capacity
Typical causes:
 Lack of standards
 Idle time
Improvement ideas:
 Do a skills matrix
 Cross training
 Level out orders
 Balance operations
Waste – Non-Utilized Resources
Manufacturing Example Service Example
Senior engineer doing manual
tasks
Senior lead processor manually
correcting entries

9. Needless movement of work, products or information
Typical causes:
 Unnecessary inventory
 Poor shop/office layout
Improvement ideas:
 Reduce inventory
 Reduce lead times
 Eliminate unnecessary files
 Create a paperless process
 Review record retention policy
Waste - Transportation
Manufacturing Example Service Example
Transfer of materials to another
processing area
Shipping hard copies requiring
signatures.

10. Excess WIP vs what is needed by the customer
Typical causes:
 Push production
 Over-ordering
 Too many shelves
 Too much floor space
Improvement ideas:
 Reduce lead times
 Establish kanban system
Waste - Inventory
Manufacturing Example Service Example
Excessive buffer stocks Claimed forms in a workflow stuck
in the mailbox

11. Needless movement of people
Typical causes:
 Equipment/Office layout
 Fixture design
 Material storage
Improvement ideas:
 Implement point of use
 Develop work cells
downover
Waste - Motion
Manufacturing Example Service Example
Unnecessary twisting, bending and
reaching movements of operator.
Opening 5 subdirectories to access
a frequently-used file

12. Doing more work than is necessary to satisfy your customers.
Typical causes:
 Work is not standardized
 Tasks are not simplified
 Operations are not understood
Improvement ideas:
 Automate the process
 Eliminate non-value added steps
 Combine steps/forms
Waste – Extra-Processing
Manufacturing Example Service Example
Transfer of materials to another
processing area
Excessive approvals or handoffs

13. Lean Principles
5 principles of Lean
 Define value from the end customer back
 Identify the value stream
 Establish flow
 Pull from the customer
 Continuously improve the process to perfection

14. Thank you !