Basics of Lean manufacturing by Zeeshan Syed


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Basic awareness of Lean Manufacturing or Toyota Production System.
Most profitable companies use this Business system to sustain effective economic performance such as Toyota & GE.
Author is a Certified Lean Professional.

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Basics of Lean manufacturing by Zeeshan Syed

  3. 3. OLD VS NEW CONCEPT OF QUALITY OLD CONCEPT OF QUALITY NEW CONCEPT OF QUALITY Emphasis on result. Emphasis on process. Specification Driven. Customer Driven. Accept Industry Average. Continuous Improvement. Throwing people at problem Using Statistical Process Control (SPC) to solve theproblem Reactive culture. Preventive Culture.• Quality Vs Productivity. Quality & Productivity. Controlling operator by Quality Control of Quality by operator.
  4. 4. WHAT IS MANAGEMENT Management is the process of achieving organizational objectives through the efficient use of organizational resources. Management is the process of taking work from people in structured situations/ organizations. Management is the process of creating conditions in organizations which allow people to achieve their full potential while they engage in economic activity. An effective management system is the structure that defines an organizations goals, policies and procedures and the processes by which they are maintained and improved. It requires documented processes, clear cut responsibilities, on going training, internal checks for compliance, a way to correct non- compliances, management reviews and continued improvement. The critical aspect of a management system is that all elements work cohesively towards the stated objectives.
  5. 5. CONVENTIONAL MANAGEMENT PRINCIPLES  Profit First.  Complex organizational structure.  Labor Intensive.  Low literacy rate.  Top down approach.  Specialized Job classifications.  Individual work.  Long term planning  Homogenous nation.
  6. 6. JAPANAESE MANAGEMENT PRINCIPLES Customer First. Simple organizational structure. Process Intensive. High literacy rate. Consensus based. Multi skill development through rotation. Team work Long term planning Homogenous nation.
  7. 7. WORLD CLASS BENCHMARKS Quality improvement – 50% per year. (helped by new product introductions) •Productivity improvement – 2% per month •Over 10% of total process time is value-adding activities – compared to 5% for most companies •Continuous improvement culture •Total employee involvement, with sharing of authority, accountability, and reward
  8. 8. What Does Kaizen Mean? KAI ZENTo modify, to change + Think, make good,make better = KAIZENMake it easier by studying it, andmaking the improvement throughelimination of waste.
  9. 9. KAIZEN....? Kaizen means ”small & continuos improvement". Kaizen strategy calls for never-ending efforts for improvement. Involving everyone in the organization - managers and workers alike.
  10. 10. CONTINOUS IMPROVEMENT Continuous Improvement means ongoing improvement involving everyone, including both management and workers. This philosophy assume that our way of life - be it our working life or our home life deserves to be constantly improved.
  11. 11. OBJECTIVES OF CONTINOUS IMPROVEMENT To promote job involvement. To improve communication. To enhance awareness of quality. To improve level of productivity - Saving in material, time, energy. To reduce error / mistakes (Reworks). To develop personnel & leadership skills - by working as a team. To improve safety. To promote preventive culture.
  12. 12. JAPANAESE MANAGEMENT PRINCIPLES – KAIZEN STRATEGY “Aim is to start omitting less significant portions of work.” It is a positive , constructive way of omission that allocates surplus time and energy to important tasks that can never be neglected. Kaizen is the Lifeblood of Lean Production System. In Japanese system , all jobs are being continually improved.. With standardised work , there is a Base line from which to identify problems more easily . It is the first step for Kaizen.
  13. 13. JAPANAESE MANAGEMENT PRINCIPLES - KAIZEN KAI – Change. ZEN - Better. “ Change for betterment / improvement.” Continuous search for Better way. Step by step - small and concentrated steps. Process oriented thinking. Huge Finances are not required for these changes. Ask “ Why “ five times and seek root causes. Improvement is one time activity – Kaizen is Continuous. Participation of all concerned.
  14. 14. Continuous Improvement Is the continuouselimination of waste
  15. 15. JAPANAESE MANAGEMENT PRINCIPLES – KAIZEN ASDEMING’S CYCLE P-D-C-A CYCLE PLAN - Analysis DO – Try Counter measures CHECK – Confirm results ACT - Standardization
  16. 16. JAPANAESE MANAGEMENT PRINCIPLES – T Q M “Total Quality Management is the integration of all functions and Processes within an organization in order to achieve continuous improvement of quality of goods & services.” It can also be summarized as the continual meeting of agreed customer requirements at lowest cost by realizing the potential of all employees.
  17. 17. MAJOR COMPONENTS OF KAIZENKaizen and ManagementManagement has two major components: o Maintenance. o Improvement. The objective of the maintenance function is to maintain current technological, managerial, and operating standards. The improvement function is aimed at improving current standards.
  18. 18. MAINTENANCE Under the Maintenance function, the management must first establish policies, rules, directives and standard operating procedures (SOPs) and then work towards ensuring that everybody follows SOP. The latter is achieved through a combination of discipline and human resource development measures.
  19. 19. IMPROVEMENT Under the Improvement function, management works continuously towards revising the current standards, once they have been mastered, and establishing higher ones. Improvement can be broken down between innovation and Kaizen. Innovation involves a drastic improvement in the existing process and requires large investments. Kaizen signifies small improvements as a result of coordinated continuous efforts by all employees .
  20. 20. STARTING POINT• Not a single day should go by without some kind of improvement being made somewhere in the company.• Customer-driven strategy for improvement - any management activity should eventually lead to increased customer satisfaction.• Quality first, not profit first - an enterprise can prosper only if customers who purchase its products or services are satisfied.• Problem solving is seen as cross-functional systemic and collaborative approach .• Emphasis on process - establishing a way of thinking oriented at improving processes, and a management system that supports and acknowledges peoples process-oriented efforts for improvement.
  21. 21. MINDSET & CULTURE • Customer orientation • Quality control (QC) circles • Suggestion system • Discipline in the workplace • Small-group activities • Cooperative labor-management relations • Total quality control (TQC) • Quality improvement
  22. 22. PROCESS ORIENTED THINKING VS RESULT ORIENTED THINKING Kaizen concentrates at improving the process rather than at achieving certain results. Such managerial attitudes and process thinking make a major difference in how an organization masters change and achieves improvements.
  23. 23. The Nine types of waste • Overproduction 9Wastes • Delays (waiting time) • Transportation • Process • Inventories • Motions • Defective products • Untapped resources • Misused resources
  24. 24. Overproduction 9 To produce more than is required *Wastes To produce before required * *Required by external and internal customers
  25. 25. Elimination of Wastes and Continuous Improvement The Secret: • Be Systematic • Work with a versatile team • Measure, evaluate • Find the 5 Whys • Follow up • Standardize, make uniform • Simplify • Combine • Prevent • Make waste ugly
  26. 26. Visual Control & the Workstation To Sort To Straighten Eliminate what’s not Ensure space for each thing, and a absolutely necessary thing for each space. No more searching.The 5 S To Sustain Maintain continuous effort. This is a way of To Sweep To Sanitize life. Maintain a clean and Improvement of the orderly space to make workstation. Be problems easily organized to reduce identifiable. Eliminate clutter. rejects and scrap..
  27. 27. Visual Control & the Workstation Ergonomics•Adapt the workstation to the employee - more security - more comfort•Reduce waste - excessive fatigue - useless efforts and movement - less physical constraints
  28. 28. SUGGESTION SYSTEM The Suggestion System aims at involving employees in Kaizen. The number of workers suggestions is an important criteria in reviewing performance of the supervisor and the managers. The Japanese management encourages employees to generate a great number of suggestions and implement these suggestions, often incorporating them into the overall Kaizen strategy. Management also gives due recognition to employees efforts for improvement
  29. 29. FORMULA FOR CHANGE Change = V x D x A • V = Vision • D = Dissatisfaction • A = Action (quick first steps)The degree of change is the If any factor is zero, changeresult of multiplying allfactors. won’t happen
  30. 30. JAPANAESE MANAGEMENT PRINCIPLES – 5 S These are 5 basic steps involved for an efficient work place. It gives Safety , Neatness , Lesser Fatigue , Faster identification & improves quality. The 5 Japanese words are SEIRI,SEITON,SEISOU,SEIKETSU& SHUKAN. Shifting , Sorting , Sweeping , Standardizing & Supreme Attitude.
  31. 31. SEIRI Sort (Seiri) Start by sorting the useful from the unnecessary. The only things that should remain in a work area are the parts, tools, & instructions needed to do the job.
  32. 32. SEITON Set in order (Seiton) Everything has a place; everything is in its place. This is also a good time for the team to create a Visual Scoreboard, jidoka lights, floor paint, kanbans, and other visual controls .
  33. 33. SEISO Sweep & Shine (Seiso) Do an initial spring cleaning. Maybe painting, scouring, sweeping, washing, rinsing, scrubbing, and whatever else is needed to make your work place shine.
  34. 34. SEIKETSU Standardize (Seiketsu) In the Standardize phase of Lean 5 S, routine cleaning becomes a way of life. Preventative maintenance is routinely performed, perhaps with planning and scheduling and some responsibilities done by central maintenance department, and as much routine maintenance as possible performed by the people that know that work center better than anyone else.
  35. 35. SHITSUKE Sustain (Shitsuke) Shitsuke is when five S becomes a routine way of life. Root causes are routinely identified and dealt with - both supervisors and the workers should be constatntly involved so as to appreciate the benefits of Five S and Lean methods.
  36. 36. THE SIXTH S Safety ( & Smile ). Some companies have taken to calling their program a 6S program - with the inclusion of Safety issues.
  37. 37. WHY 5S ? One important purpose and benefit of 5 or 6S is to make your work area clean and in order to unhide potential problems. In an unclean workplace, it is hard to even notice things like "When did that machine start making that noise?" or "When did that start leaking oil?" Another purpose and benefit to reduce the amount of time wasted looking for misplaced tools, and materials, and supplies.
  38. 38. 5 S AS STARTING POINT Five or Six S housekeeping is a starting point for every successful Lean process improvement initiative. Most Lean initiatives start out with 5S training as one of the earliest initiatives, and there is a flurry of enthusiastic cleaning and organizing. The real test, however, is how well the new ways "stick" over time. The success of 5s program is often an excellent predictor of the probable success of greater lean manufacturing initiative.
  39. 39. WHAT IS ISO 9000 The ISO 9000 series is a set of five individual but related International Standard of Quality Management and Quality Assurance. Technical committee ISO/TC176 is responsible for developing & updating ISO 9000 standard. National delegation of 52 countries participate in its work with another 15 present as observers . Objective of ISO 9000 is aimed primarily at achieving customer satisfaction by preventing non-conformity at all stages.
  40. 40. DIFFERENT ISO STANDARDS ISO 9000 - Quality Management and Assurance Standards - Guidelines for selection and use. ISO 9001 - Model for Quality Assurance in Design, Development, Production, Installation and Servicing. ISO 9002 - Model for Quality Assurance in Production, Installation and Servicing. ISO 9003 - Model for Quality Assurance in Final Inspection and Testing. ISO 9004 - Quality Management and Quality System Elements- Guidelines.
  41. 41. PRINCIPLES OF 1SO 9000 Get organized. Have written procedure. Control key documents. Keep records. Carry out regular checks. Identify faults, correct them and prevent them from happening again. Communicate well.
  42. 42. SYSTEM DOCUMENTATION PYRAMID Level 1 QualityDefines Approach and Manual ResponsibilityProcedures Level 2(operations) Defines Who, What, When Work / Job Instructions Level 3 (functional, departmental) Answers How Other Documentation Level 4 (forms & records, process sheets, Results: Shows visual aids, posted instructions, test & that the system inspection sheets) is operating
  43. 43. THE HEART OF SIX SIGMA•              Six Sigma Quality is achievable and desirable!•              Quality does not happen by chance or automatically•            The Customer defines quality….. VOC•          Act on fact data…. use of Statistics•        Sustained Quality is the result of building robust Processes and thenfollowing them religiously•   Processes convert resources inputs (X’s) into desired outputs (Y’s):Y::f(x1,x2,..xn)•          Y can be improved by improving upon the vital x’s (Y can be market share,product, quality, production efficiency et cetera) Measurement is the key to beginning and to making progress…. ∑ Values
  44. 44. 17 LAWS OF TEAM WORK The Law of the Catalyst: Winning Teams Have Players Who Make Things Happen The Law of the Vision ("Compass"): Vision Gives Team Members Direction and Confidence The Law of the Bad Apple: Rotten Attitudes Ruin a Team The Law of Countability: Teammates Must Be Able to Count on Each Other When It Counts The Law of the Price Tag: The Team Fails to Reach Its Potential When It Fails to Pay the Price The Law of the Scoreboard: The Team Can Make Adjustments When It Knows Where It Stands
  45. 45. 17 LAWS OF TEAM WORKo The Law of Significance: One Is Too Small a Number to Achieve Greatnesso The Law of the Big Picture: The Goal is More Important Than the Roleo The Law of the Niche: All Players Have a Place Where They Add the Most Valueo The Law of the Great Challenge ("Mount Everest"): As the Challenge Escalates, the Need for Teamwork Elevateso The Law of the Chain: The Strength of the Team Is Impacted by Its Weakest Link
  46. 46. 17 LAWS OF TEAM WORK The Law of the Bench: Great Teams Have Great Depth The Law of Identity: Shared Values Define the Team The Law of Communication: Interaction Fuels Action The Law of the Edge: The Difference Between Two Equally Talented Teams Is Leadership The Law of High Morale: When Youre Winning, Nothing Hurts The Law of Dividends: Investing in the Team Compounds Over Time
  47. 47. WINNING TEAMS MUST..• Have a great many winners in them; most of the players poised and confident, and although they may well be stars in their own right they allow others to shine in order to a star team together• Often include winning groups and combinations which work together so well they seem to have a six sense, whereas in fact they have merely learned to cooperate to make each other winners and to make a team a winning team• Have the winning habit and they go into every game expecting to win
  48. 48. WINNING TEAMS MUST..• Develop a synergy that comes from winning and which increases not by simple progression but exponentially: 1x1=11• Develop both mental and physical energy to withstand adversity• Create a winning atmosphere - everyone surrounding them emerges as a winner• Make winning contagious so that new comers soon acquire the teams magic
  49. 49. LEAN MANUFACTURING Lean is about doing more with less: less time, inventory, space, labor, and money. Lean Manufacturing (also known as the Toyota Production System) is, in its most basic form, the systematic elimination of waste - overproduction, waiting, transportation, inventory, motion, over- processing, defective units - and the implementation of the concepts of continuous flow and customer pull
  50. 50. AREAS OF LEAN PRODUCTION Five areas drive lean manufacturing/production: o COST o QUALITY o DELIVERY o SAFETY o MORALE Just as mass production is recognized as the production system of the 20th century, Lean production is viewed as the production system of the 21st century.
  51. 51. BENEFITS OF LEAN Waste reduction by 80% Production cost reduction by 50% Manufacturing cycle times decreased by 50% Labor reduction by 50% while maintaining or increasing throughput Inventory reduction by 80% while increasing customer service levels Capacity in current facilities increase by 50% Higher quality Higher profits Higher system flexibility in reacting to changes in requirements improved
  52. 52. BASIC ELEMENTSThe basic elements are : Waste elimination. Continuous one piece workflow. Customer pull.When these elements are focused in the areas of cost, quality and delivery, this forms the basis for a lean production system.
  53. 53. OVER VIEW OF SYSTEM• Non-value added activities or waste are eliminated through continuous improvement efforts• Focus on continuous improvement of processes - rather than results - of the entire value chain• The lean manufacturing mindset: concept, way of thinking - not techniques; culture - not the latest management tool• Continuous product flow is achieved through physical rearrangement and system structure & control mechanisms• Single-piece flow / small lot production: achieved through equipment set up time reduction; attention to machine maintenance; and orderly, clean work place• Pull reduction / Just-in-time inventory control
  54. 54. 7 WASTES TO BE ELIMINATED• Reduced Setup Cost and Times (for semi-versatile machinery ) - from months to hours thus making small-lot production economically viable; achieved by organizing procedures, using carts, and training workers to do their own setups,• Small-Lot Production - allowing higher flexibility and pull production (or just-in-time manufacturing)• Employee Involvement and Empowerment - organizing workers by forming teams and giving them training and responsibility to do many specialized tasks, for housekeeping, quality inspection, minor equipment repair and rework; allowing also them time to meet to discuss problems and find ways to improve the process
  55. 55. 7 WASTES.....• Quality at the Source - total quality management (TQM) ; assigning workers, not inspectors, the responsibility to discover a defect and to fix it.• Pull Production, or Just-In-Time (JIT) - quantity of work performed at each stage of the process is dictated solely by the demand for materials from the immediate next stage; thus reducing waste and lead times, and eliminating inventory holding costs• Continuous Equipment Maintenance - as pull production reduces inventories, equipment breakdowns must also be reduced; thus empowered operators are assigned primary Maintenance
  56. 56. 7 WASTES....• Multi- Skilled Workforce - as employees are empowered to do many jobs, they must be provided with adequate training• Supplier Involvement - the manufacturer treats its supplier as a long-term partners; they often must be trained in ways to reduce setup times, inventories, defects, machine breakdowns, etc. in order to enable them to take responsibility for delivering the best possible parts/services to the manufacturer in a timely manner.
  57. 57. JUST .IN .TIME In Kaizen, JIT is a is a collection of concepts and techniques for improving productivity. JIT is a process aimed at increasing value-added and eliminating waste by providing the environment to perfect and simplify the processes.
  58. 58. WHAT IS PRODUCTIVITY “Productivity is the efficient & effective utilization of the available resources. ”Japan Productivity Center for Socio-Economic Development  How to Measure Productivity  Productivity = OUTPUTS / INPUTS
  59. 59. JIT COMPONENTS Production Leveling Pull System Kamban (label or signboard) system Good Housekeeping Small Lot Production Setup Time Reduction Total Preventive Maintenance (TPM) Total Quality Control (TQC) JIT Purchasing Line Balancing Flexible Manufacturing Small-group Activities (SGA)
  60. 60. VALUE CHAIN Value chain is a high-level model of how businesses receive raw materials as input, add value to the raw materials through various processes, and sell finished products to customers. A critical pre-requisite for success in digital economy is the implementation of an integrated value chain that extends across - and beyond - the enterprise.
  61. 61. LEAN ENTERPRISE The Lean Enterprise encompasses the entire production system, beginning with the customer, and includes the product sales outlet, the final assembler, product design, and all tiers of the supply chain (to include raw material mining and processing). Any truly lean system is highly dependent on the demands of its customers and the reliability of its suppliers. No implementation of lean manufacturing can reach its full potential without including the entire enterprise in its planning.
  62. 62. STATE OF ART SUPPLY CHAIN The entire chain is a single, integrated equity Suppliers contracts based on mutual benefits rather than straight cost. Supply chains are not about buying something a bit cheaper, these are strategic decisions The cost, quality, and delivery requirements of the manufacturing customer are objectives shared by every company in the chain Inventory is the last resort for resolving supply-and- demand imbalances between the tiers Sharing of benefits achieved through collaboration Measured by lead-time on class-A purchased materials
  63. 63. SERVICE - PROFIT CHAIN The service-profit chain is a powerful phenomenon that stresses the importance of people - both employees and customers - and how linking them can leverage corporate performance. The service-profit chain is an equation that establishes the relationship between corporate policies, employee satisfaction, value creation, customer loyalty, and profitability
  64. 64. ELEMENTS A seamless integration of all components in the service-profit chain - employee satisfaction, value creation, customer satisfaction, customer loyalty, and profit and growth - links all the critical dynamics of top customer service. "The company guides, nurtures, and empowers its employees, and the employees play a vital role in securing customer satisfaction and the benefits that accrue from it".1
  65. 65. MAIN BENEFITS OF CUSTOMER SATISFACTIONoCustomers stay with the company longer.oCustomers deepen their relationship with company .oCustomers demonstrate less price sensitivity .oCustomers recommend companys products or services to others .
  66. 66. How To Make Customer Service and Essential Part ofYour Corporate Culture• Demonstrate continuously to your employees that in your companys order of priorities, customer service comes before all else• Gain a real-world view of the issues in customer relationships: empower employees to identify customers true needs; engage not only front-line customer service people in this continuous research and field contact with customers but all your staff, including CEO• Provide for customer input to be heard simultaneously throughout your organization, by all its key functions and departments• Develop system for collecting customer satisfaction data and measuring customers perception of the value created by your organization• Relay information concerning customer expectations to those responsible for value creation
  67. 67. SMED is Continuous ImprovementIt is a customer driven requirement. Customers aredemanding: Product and service diversity Lower costs Higher reliability and quality.In essence organizations need to become leaner !So organizations must: Produce smaller lots, more frequently. Expand the scope and diversity of products and services. Reduce quality defects.
  68. 68. Ultimately, SMED focuses on reducing changeover and set-uptimes, thus enabling organizations to: Produce smaller lots of products and services more frequently ! Develop a broader scope of products and services ! Reduce quality defects towards zero ! Meet Customer’s Expectations !
  69. 69. What Does Set-up/changeoverreduction mean for my business? Increased customer service levels and profits ! Via Waste Elimination resulting in: Reduced Lead Times-Faster Delivery Zero Inventories-Reduced Working Capital Improved Quality Smaller lots of products-flexibility Diversified Product & Service Options
  70. 70. Why SMED ? Look Familiar ? •To eliminate the wastes that result from “uncontrolled” processes increasing inventories and lead times.. • To gain control on equipment, material & inventory. • Apply Control Techniques to Eliminate Erosion of Improvements. • Standardize Improvements for Maintenance of Critical Set-up Parameters.
  71. 71. Think Break Internal External Setup Classify Three items under each item category. Internal External ____________ ____________ ____________ ____________ ____________ ____________ Which items would you convert from internal to external Setup ?_________________________________________________________ _______________________________________________ Why?_________________________________________________________ _______________________________________________
  72. 72. Traditional Setup Practices Material movement occurs after the machine is •Completed products are turned off. transferred to next operation. •Raw material is moved after the machine is stopped. Detection of defects or missing equipment is noticed •Setup tooling delivered after which the machine is running. the changeover has begun. •Defective product identified after internal setup has begun. Defective tooling,fixtures, setup instruments are •The operator notices that noticed after the machine is equipment is missing after turned on. internal setup has begun.
  73. 73. 5 “Traditional”Setup Steps Defined Preparation - Ensures that all the tools are working properly and are in the right location. Mounting & Extraction - Involves the removal of the tooling after the production lot is completed and the placement of the new tooling before the next production lot. Establishing Control Settings - Setting all the process control settings prior to the production run. Inclusive of calibrations and measurements needed to make the machine, tooling operate effectively. First Run Capability - This includes the necessary adjustments( re-calibrations, additional measurements) required after the first trial pieces are produced. Setup Improvement- The time after processing during which the tooling, machinery is cleaned, identified, and tested for functionality prior to storage.
  74. 74. “Traditional”Setup Resource Consumption Analysis Setup Steps Setup Type Setup Type Resource Setup Type Setup Type Traditional Traditional Consumption One-Step One-Step Internal External ( %) Internal External Preparation X 20 % X Mounting & Extraction X 5% X Establish Control Settings X 15 % X First Run Capability X 50 % N/A N/A Process Improvement X 10 % X
  75. 75. Examples of wastes in a traditional setup !Think Break What kind of “setup wastes” can you identify in this pictures ? ________________________________________________________ ________________________________________________________ ________________________________________________________
  76. 76. One Step Setup Implementation Plan Step 1 Step 2 Step 3 Step 4 Step 5Develop One Step Setup Develop Specific Develop Communication Develop One Step Implement One Step Implementation Team Implementation Plan Plan Setup Training Plan Set-up Separate Internal from External Progressive Reduction of Setup Setup Enhancements Processes Optimizing Setup Integrate Internal into Processes External Setup Step 6 Verification / Standardization
  77. 77. Phase 2 Combining equipment functionalityInvolves standardizing the equipment ( parts, tooling, processes) based oncommonality between setups to reduce the number of setup steps and cycletimes. The common setup parts were identified andBy using these replaced with this jig/holder combination. Notice howfixtures, the differentparts are quantities of theautomatically same part cancentered and be setup withadjusted for the same fixture.height and Also, theseflatness as a setups can occurpart of while theExternal setup- machine isnot Internal running.setup.
  78. 78. Waste associated with finding, replacing, motion will be eliminated by this example of visual placement.Tooling supplies are clearly Tooling supplies are neatly assigned alabeled unique location.
  79. 79. Phase 3: Reducing setup Elimination of Bolts &processing time. Adjustments. Example of One Step FasteningBolt attachments requires 32complete turns for each bolt orscrew (1 for each thread) to This clamp attachment requires onefasten this bolt and die to a step to attach the die to a machine.machine.
  80. 80. Why is “Zero Defects” an Important Concept? Key Element in our capability to implement Kaizen- Lean Manufacturing Systems.No need for “just in case” inventories Allows company to make only what the customer needs.
  81. 81. Why is “Zero Defects” an Important Concept?Maintain Customer Satisfaction & Loyalty Happy Customers mean more sales!
  82. 82. Why is “Zero Defects” an Important Concept? COST There is always a cost associated with manufacturing defects!
  83. 83. Costs of Defects ?Does it cost more to make processes better ? NOMaking processes better leads to reduced Rework Scrap Warranty costs Inspection costs
  84. 84. 1-10-100 RuleThe 1-10-100 rule states that as a product or service moves throughthe production system, the cost of correcting An error multiplies by10. Activity Cost Order entered correctly $1 Error detected in billing $ 10 Error detected by customer $ 100Dissatisfied customer shares the experience with others the costs is $1000
  85. 85. Why is “Zero Defects” an Important Concept? Key Element in our capability to eliminate waste.Defects Misused resourcesInventories Untapped ResourcesMotionsDelaysProcesses
  86. 86. What is Waste? Everything we do that costs something without adding value to the product.Our objective > Value added = Maximum Non-Value Added = Minimum
  87. 87. The nine types of waste  Overproduction 9Wastes  Delays (waiting time)  Transportation  Process  Inventories  Motions  Defective products  Untapped resources  Misused resources
  88. 88. Elimination of Waste The Method Identify wasteCheck and Search for measure causes results Implement continuous improvement
  89. 89. Elimination of Wastes and Continuous ImprovementThe Approach The Means The Strategy  One piece flow Elimination of  SMED •Leadtime wastes  Visual Controls  Workplace KAIZEN Organization •Costs  Kanban  Standard Work Quality Continuous Improvement  Process Control the  Total Productive Maintenance First Time  Poka-Yoke
  90. 90. What is a Zero Defect Quality System (ZDQ)?A quality concept to manufacture ZEROdefects & elimination of waste associated with defects! “ZERO” is the goal!
  91. 91. What is a Zero Defect Quality System (ZDQ)?Based on a discipline that defects are prevented. Control the process so that defects are impossible!
  92. 92. What is a Zero Defect Quality System (ZDQ)? No Finger Pointing. Operators and Machines will sometimes make mistakes.Find ways to keep errors from becoming defects!
  93. 93. What is a Zero Defect Quality System (ZDQ)?A Method for Mistake-Proofing (Poka-yoke) a process. ZDQ assures thatdefects are not shipped!
  94. 94. How ZDQ Makes Work Easier Mistake-Proof or Poka-yoke the process! Recognize that it isnatural for people to make mistakes.
  95. 95. How ZDQ Makes Work Easier Mistake-Proof or Poka-yoke the process!Not noticing that an erroris made or a machine isnot functioning does notmake a person stupid orfoolish.
  96. 96. How Do We Achieve ZDQ ? Mistake-Proof or Poka-yoke the process! Errors never become defects!No finger pointing afterthe fact. No mandate todo better next time.
  97. 97. Poka-Yoke results in Quality of ProcessesQuality the 1st time Leadtime Cost Transformation = Quality production the 1st time Inspection….eliminated ??? Transport Dedicated lines Storage Delay/wait One piece flow
  98. 98. Relationship between processes and quality defects.•Almost any business activity can be considered a process.•Production processes involve the flow of material. Machining,assembly, and packaging are typical production processes.•Business processes involve the flow of information. Financialplanning, purchasing & order entry are typical businessprocesses.•All processes have the potential for defects. Hence, allprocesses offer a opportunity for the elimination of defects andthe resultant quality improvement.
  99. 99. In order to reduce quality defects and stopthrowing away money, we must =Understand the process an its relationship to otherbusiness processes.Identify the inputs and outputs of the process.Know who are the suppliers to and customers of theprocess. And Reduce the variation of the process
  100. 100. What Causes Defects? Process Variation From1. Poor procedures or standards.2. Machines.3. Non-conforming material.4. Worn tooling.5. Human Mistakes.Except for human mistakes these conditions can be predicted and corrective action can be implemented to eliminate the cause of defects
  101. 101. What Causes Defects? Human MistakesSimple errors-the most common cause of defects-occurunpredictably. The goal of ZDQ is zero! Make certain that the required conditions are in place and controlled to make acceptable product 100% of the time.
  102. 102. Ten Types of Human Mistakes Forgetfulness Misunderstanding Wrong identification Lack of experience Willful (ignoring rules or procedure) Inadvertent or sloppiness Slowliness Lack of standardization Surprise (unexpected machine operation, etc.) Intentional (sabotage)
  103. 103. Relationship of Defects and Human Errors Misunderstanding Non-supervision Misidentification Human errors Inadvertant Intentional Amateurs Slowness Forgetful Surprise WillfulCauses of defectsMissed operationsProcessing errorsErrors in part set-upMissing partsWrong partsProcessing wrong workpieceMisoperationAdjustment errorImproper equipment set-upImproper tools and jigs highly correlated correlated
  104. 104. The 4 Components of ZDQZDQ functions by combining four elementarycomponents:1. Point of Origin Inspection 2. 100 % Audit Checks 3. Immediate Feedback 4. Poka-Yoke
  105. 105. InspectionThe 3 basic approaches to inspection of processed productare: Judgement/Standard Inspection Informative Inspection Point of Origin InspectionThe first two approaches are widely used and consideredtraditional.Only Point of Origin Inspection actually eliminatesdefects.
  106. 106. Point of Origin Inspection May include: Switches that detect miss-Focus on prevention, not detection. fed partsOne of the 4 basic elements of ZDQ. Pins that prevent miss- feedingDiffers from Judgement and Informative: Warning lights Catches errors Sound signals Gives feedback before processing No risk of making more defective Process with Zero Defectsproduct Detect Error By combining Check and Do in the Feedback/Corrective Action ZDQ approach; the Doing is controlled so it cannot be wrong 100% of the time!
  107. 107. ZDQ/Check and Do/Point of Origin Inspection Point of Origin Inspection•Check for optimum processconditions before processing isdone and errors can be made.•Instant feedback.•Corrections made beforedefects occur.
  108. 108. 100% Audit ChecksPoint of Origin Inspection on every piece.The second of the 4 basic elements of ZDQ.Differs from SQC inspection:•Does not rely on sampling•Prevents defects•Does not assume defects will Zero Defectsstatistically occur 100% Audit checks everything on the line!
  109. 109. Quick FeedbackError correction as soon as possibleThe third of the 4 basic elements of ZDQ.Differs from traditional inspection approaches that:•Correct problems after the process•Address the problem when errors are already defects•In some cases never identify an error has occurred ZDQ sends the operator a signal and alarms the person that an error has happened! ZDQ Inspections = Immediate Feedback
  110. 110. The Seven Guidelines to Poka- Yoke Attainment1.) Quality Processes - Design “Robust” quality processes to achieve zerodefects.2.) Utilize a Team Environment- leverage the teams knowledge,experience to enhance the improvement efforts.3.) Elimination of Errors -Utilize a robust problem solving methodology to drivedefects towards zero.4.) Eliminate the “Root Cause” of The Errors-Use the 5 Why’s and 2 H’sapproach5.) Do It Right The First Time- Utilizing resources to perform functionscorrectly the “first” time.6.) Eliminate Non-Value Added Decisions- Don’t make excuses-just do it !7.) Implement an Incremental Continual Improvement Approach-implementimprovement actions immediately and focus on incremental improvements;efforts do not have to result in a 100% improvement immediately.
  111. 111. Poka-yokeMistake-proofing systemsThe fourth of the 4 basic elements of ZDQ. “The machineDoes not rely on operators catching mistakes shut down. We must have made an error!”Inexpensive Point of Origin inspectionQuick feedback 100% of the time BEEP! BEEP! BEEP! Most Poka-yoke devices are sensor or jig devices that assure 100% compliance all the time!
  112. 112. Poka-yokeWhat is Poke-yoke? A method that uses sensor or other devices for catching errors that may pass by operators or assemblers.Poka-yoke effects two key elements of ZDQ: Identifying the defect immediately ( Point of Origin Inspection) Quick Feedback for Corrective ActionHow effective the system is depends on where it is used: Point of Origin orInformative Inspection. Poka-yoke detects an error, gives a warning, and can shuts down the process.
  113. 113. Poka-yokePoke-yoke and Point of Origin Inspections( ProactiveApproach): A fully implemented ZDQ system requires Poka-yokeusage at or before the inspection points during theprocess. Poka-yoke will catch the errors before a defective part is manufactured 100% of the time.
  114. 114. Poka-yokePoka-yoke and Informative Inspection( Reactive Approach): •Check occurs immediately after the process. •Can be an operator check at the process or successive check at the next process. •Not 100% effective, will not eliminate all defects. •Effective in preventing defects from being passed to next process. Although not as effective as the Source inspection approach, this methodology is more effective than statistical sampling and does provide feedback in reducing defects.
  115. 115. Poka-yoke Systems Govern the ProcessTwo Poka-Yoke System approaches are utilizedin manufacturing which lead to successful ZDQ:1. Control Approach Shuts down the process when an error occurs. Keeps the “suspect” part in place when an operation is incomplete.2. Warning Approach Signals the operator to stop the process and correct the problem.
  116. 116. Control SystemTakes human element out of the equation;doesnot depend on an operator or assembler.Has a high capability of achieving zero defects.Machine stops when an irregularity is detected. “There must have been an error detected; the machine shut down by itself!”
  117. 117. Warning SystemSometimes an automatic shut off system is not anoption.A warning or alarm system can be used to get anoperators attention.Below left is an example of an alarm system using dials,lights and sounds to bring attention to the problem.Color coding is also an effective non automatic option. “I’m glad the alarm went off, now I’m BEEP! not making defects!” BEEP! BEEP!
  118. 118. Methods for Using Poka-yokePoka-yoke systems consist of threeprimary methods: 1. Contact 2. Counting 3. Motion-SequenceEach method can be used in acontrol system or a warning system.Each method uses a differentprocess prevention approach fordealing with irregularities.
  119. 119. Contact Method A contact method functions by detecting whether a sensing device makes contact with a part or object within the process. Cylinder present Missing cylinder;piston fully extended alarm soundsAn example of a physical contactmethod is limit switches that arepressed when cylinders are driveninto a piston. The switches areconnected to pistons that hold the Cannot proceedpart in place. In this example, a to next step.cylinder is missing and the part is Contact Method using limit switches identifies missingnot released to the next process. cylinder.
  120. 120. Physical Contact DevicesLimit Switches Toggle Switches
  121. 121. Energy Contact Devices Photoelectric switches can be used with objects that Light are translucent or transparent depending upon the need. Transmission method: Transmitter two units, one to transmit Receiver light, the other to receive. Reflecting method:PE Object sensor responds to light reflected from object to detect presence.If object breaks the transmission, the machine is signaled to shut down.
  122. 122. Contact DeviceAn example of acontact deviceusing a limitswitch. In thiscase the switchmakes contactwith a metal barbsensing it’spresence. If nocontact is madethe process willshut down.
  123. 123. Contact MethodsDo not have to be high tech!Passive devices are sometimes the best method. These can be assimple as guide pins or blocks that do not allow parts to be seated inthe wrong position prior to processingTake advantage of parts designed with an uneven shape!A work piece with a hole a bump or an uneven end is a perfectcandidate for a passive jig. This method signals to the operator rightaway that the part is not in proper position.
  124. 124. Counting MethodUsed when a fixed number of operations are required within aprocess, or when a product has a fixed number of parts that areattached to it.A sensor counts the number of times a part is used or a process iscompleted and releases the part only when the right count isreached.In the example to the right a limitswitch is used to detect and countwhen the required amount of holesare drilled. The buzzer soundsalerting the operator that theappropriate amount of steps havebeen taken in the process.
  125. 125. Counting MethodAnother approach is to count the number of parts orcomponents required to complete an operation in advance. If operators finds parts leftover using this method, theywill know that something has been omitted from theprocess. “I have an extra part. I must have omitted a step!”
  126. 126. Motion-Sequence MethodThe third poka-yoke method uses sensors to determineif a motion or a step in a process has occurred. If thestep has not occurred or has occurred out of sequence,the the sensor signals a timer or other device to stopthe machine and signal the operator. This method uses sensors and photo-electric devices connected to a timer. If movement does not occur when required, the switch signals to stop the process or warn the operator.
  127. 127. Motion-Sequence Method In order to help operators select the right parts for the right step in a process the “sequencing” aspect of the motion-step method is used. This is especially helpful when using multiple parts that are similar in size and shape.In this example, each step of the machine cycle is wired to an indicator boardand a timer. If each cycle of the machine is not performed within the required“time” and “sequence”, the indicator light for that step will be turned on andthe machine will stop. Machine Indicator Board
  128. 128. Types of Sensing DevicesSensing devices that are traditionally used in poka-yoke systems can be divided into three categories: 1. Physical contact devices 2. Energy sensing devices 3. Warning Sensors Each category of sensors includes a broad range of devices that can be used depending on the process.
  129. 129. Physical Contact SensorsThese devices work byphysically touchingsomething. This can be amachine part or anactual piece beingmanufactured.In most cases thesedevices send an electronicsignal when they aretouched. Depending onthe process, this signalcan shut down theoperation or give anoperator a warningsignal.
  130. 130. Touch SwitchUsed to physically detect the presence or absence of an object oritem-prevents missing parts.Used to physically detect the height of a part or dimension.
  131. 131. Energy SensorsThese devices work by usingenergy to detect whether or not andefect has occurred. Vibration Photoelectric Fiber optic
  132. 132. Warning SensorsWarning sensors signal Color Codethe operator that thereis a problem. Thesesensors use colors,alarms, lights to get theworkers attention !These sensors may beused in conjunction with Lights connecteda contact or energy to Micro switches &sensor to get the Lights timersoperators attention.
  133. 133. To prevent mistakes, develop error proofing devices POKA-YOKE to avoid (yokeru) inadvertent errors (poka)  Checklists  Dowel and locating pins  Error & alarm detectors  Limit or touch switches  Detectors, readers, meters, counters
  134. 134. Two types of error proofing devices POKA-YOKE Control - eliminates the possibility of a mistake to occur (automatic machine shutdown) Warning - signals that a mistake can occur (blinking light, alarm, etc.)
  135. 135. 3 Rules of POKA-YOKE Don’t wait for the perfect POKA- YOKE. Do it now! If your POKA-YOKE idea has better than 50% chance to succeed…Do it! Do it now….improve later!
  136. 136. Source InspectionDetects mistakes before they become defects Transformation = Quality production the 1st time Inspection….eliminated ??? Transport Dedicated lines Storage One piece flow Delay/wait
  137. 137. CASE STUDY IBM compared part counts, bills of materials, standard versus custom part usage, and estimated processing costs by tearing down competitor products as soon as they are available. "Through such tear-downs during the heyday of the dot matrix printer, IBM learned that the printer made by the Epson, its initial supplier, was exceedingly complicated with more than 150 parts. IBM launched a team with a simplification goal and knocked the part count down to 62, cutting assembly from thirty minutes to only three."1