beyondlean

1. If This Sounds Like Your Company…… Maybe NOW Is a Good Time To Look At ‘Lean Manufacturing’ Here are some of the basic truths of ‘Lean’ and many of the tools you will find essential to implement it. Whether you are in Manufacturing, Health Service, Financial Services, Public Sector or ANY other industry – ‘Lean’ CAN help YOU ! Click for enlightenment….. www.beyondlean.com

2. Sound Familiar ? More out the Door Orders Completed Yesterday FLEXIBILITY Your Pay Your Time Your Breaks Answering back End to Back chat Cooperation SENSE OF URGENCY Hard Work www.beyondlean.com

3. Basic Lean Philosophy…….. ………..within a Lean Company www.beyondlean.com

4. Description of a Lean Company • Lean is completely about CULTURE, or the “Thinking Way”. • Lean is not a part of what we do, it is in everything that we do, it is our way of thinking. • It is an embedded culture of understanding the customer’s needs, continually striving to reduce waste and optimising the performance of process, people and infrastructure. • At all levels there is a strong desire to be better. • A culture of Lean is visibly prioritised and practised from the top to the bottom of the workforce. • The key is understanding the customer and delivering his requirements. www.beyondlean.com

5. Lean…. • Improves business performance using simple, practical tools and techniques to enhance quality, cost, delivery and people contribution. • Exposes the wastes in the system • People have to change their long standing work practices and ideas • Senior management will have to drive lean principles forward with total commitment to its success • Not a “bolt on” technique, more a way of life leading to a total change in culture www.beyondlean.com

6. Incidental Work (NVA), but unavoidable with current technology or methods. Any work carried out that does not increase product value Waste An activity that does not add value to the product and hence something that you don’t want to be doing, hence ‘Waste’. Types of Work – Identifying Waste Non-Value Adding,but unavoidable with current technology or methods. Any work carried out that does not increase product value Value Adding (VA): Any activity that directly adds value to the product www.beyondlean.com

7. Waste Elimination Non-Value Adding,but unavoidable with current technology or methods. Any work carried out that does not increase product value • Traditional Focus • Work Longer-Harder-Faster • Add People or Equipment • Lean Manufacturing • Improve the Value Stream to Eliminate Waste Value Add Waste LEAD TIME www.beyondlean.com

8. Non-Value Adding,but unavoidable with current technology or methods. Any work carried out that does not increase product value QUALITY PRODUCTS Defects should never be passed on to the following process The idea that defects are the responsibility of inspection specialists at the end of the line does not exist Incidental Work (NVA)E.g. Inspection www.beyondlean.com

9. Value Added (VA)E.g. Good Thinking…. ….Good Products Employees are not expected to simply routinely do their job but are expected to contribute to the improvement of their own work operations, utilising their own personal experience, knowledge and creativity. On the remaining slides are brief overviews of some of the ‘Lean’ Tools www.beyondlean.com

10. MIFA - Material & Information Flow Analysis Information Component / Sub-Assembly forecasts Finished Goods Forecasts Orders Forecast Forecast Company Fax Orders Supplier Customer Production Control Weekly Schedule Process A Process B Process C Process D Goods Inwards Despatch I I I I Days Days Days Days Days Production Lead Time Hrs Hrs Hrs Hrs Processing Time Material Raw Materials Components Sub-Assemblies Final Assembly www.beyondlean.com

11. Continuous Flow Processing BATCH MANUFACTURE ONE PIECE FLOW Batch manufacturing is often organised by grouping processes, however this can inhibit material flow Inventory is eliminated between processes allowing the product to flow through the value stream Process WIP builds up Process Process Process ABC A B C from this to this eg: if the stock between processes is three units the following situation would occur The introduction of continuous flow significantly reduces Lead Time X 9 (Time in hrs) 1 2 3 4 5 6 7 8 PROCESS 9(Time in hrs) 1 2 3 4 5 6 7 8 PROCESS 1 1 2 2 DELAY 3 3 DELAY LEAD TIME = 3 HOURS REDUCED LEAD TIME = 7 PARTS WAIT UNTIL PARTS WAIT UNTIL HOURS PREVIOUS PARTS PREVIOUS PARTS ARE PROCESSED ARE PROCESSED • Reduced work in progress • Reduced Lead Time • Reduced transportation • Floorspace saving • Improved communication Benefits of CFP are: www.beyondlean.com

12. Job security Good working environment Reasonable salary & benefits Quality products High productivity Flexibility “If we always do what we always did then We’ll always get what we always got” People and Organisation Lean Transformation:- Lean will touch everyone • Is more than just a new way of manufacturing. • It is going to challenge & change the whole organisation. • Success depends on the people in the organisation and their acceptance and commitment. Customer Management Good Quality Product On time every time Shared Benefits Customer Service Build a Partnership Less firefighting Improved relationships Expects Expects Leadership The WILL to improve DO it! Workforce Change Inspire the BELIEF Provide the TOOLS Invest in job creation Create a long term future Provide everything for the job Create a change environment Encourage innovation Work together for a common goal Give people more skills Provide the tools to be the best Create a safer & cleaner environment Clear and consistent communications Have the skills for the job Involved in problem solving Work smarter not harder Raise & solve problems Create sustainable improvement Less frustration Ownership of cell targets Team working Innovative culture Just do it! You’re not a failure if you don’t make it. You’re a success because you try. Business Employee Change the way you do things, be different - be the best! www.beyondlean.com

13. Visual Management and Control What we can’t see we can’t improve Visual Controls are simple, clear and concise visible indicators such as charts, diagrams, lights, measurements, floor markings,locations and signs. Always get everyone in the workplace involved Targets A picture paints a 1000 words Achievements Visibility of parts status,quantity & order level. The aim of all these indicators is to make it immediately obvious to everyone the current situation or desired status of a machine, resource, assembly or cell and to expose the ABNORMAL undesired status so that action can be taken to rectify it immediately. Poka Yoke Colour coding SHADOWBOARD Every day use of lights being used to display actions, allowing you to take control your situation. 5C driven initiative www.beyondlean.com

14. Problem Solving Brainstorming Cause & Effect Analysis Method Measurement Machinery Wrong Specification Method Sheet After sales service Poor Lighting This technique can be used to pool together a list of views, Method sheets do not opinions, facts or feelings about a particular issue, or to In process measuring No plant maintenance contain inspection Spindle Speed generate new ideas that can promote unconventional node instructions ‘creative thinking’. All team members have the opportunity to share their ideas, which are written down for discussion M/c capability Gauges not calibrated No visual after the brainstorming session has finished. Out of standards specification Brainstorming helps out of the box thinking which can often parts on measuring equip' lead to being the most innovative ideas for improvement, or No Budget CNC103 Lack of Training ineffective solving a problem. Shift Changeover Overloaded Repairs New measuring Careless checking Out of date clamping devices equipment New Operator Replacements ‘Out of the box’ thinking Foreign bodies found on Raw Manpower Money Materials Matl' / M/c The 5 Why’s Pareto Analysis Pareto Analysis Pareto Analysis is a simple but effective problem The 5 Why’s is simply a way of finding the root cause prioritisation tool. of a problem. The technique is essentially a questioning attitude which aims to get to root cause quickly and Simply a frequency distribution of attribute data arranged by category. simply by asking ‘Why’ 5 times in succession Commonly known as "ABC Analysis" or "the 80 / 20 Rule". Why, Why, Why, Why, Why???? 80% of the wealth is owned by 20 % of the people H 80% of holidays are taken during 20% of the year H 80% of overtime is worked by 20% of the workers H Benefits Never accept the first answer given when questioning H Its one of the most effective yet simple tools available. to solve a problem, probe by asking ‘WHY’ at least 5 times……….. H An effective ongoing improvement tool. H Identifies the most significant problems to be worked on first. H Children are very good at this technique as they are forever H Has varying applications for use in manufacturing. H asking WHY? And it makes you think and answer. www.beyondlean.com

15. Kaizen Kaizen LEAN Is the Japanese word for continuous A common approach è MANUFACTURE improvement & is now a well used word around the world which Involve everybody in improvement è KAIZEN translates to: Continuous innovation and change è “The continuous, incremental improvement of an activity to create Simple, common and easily understood measures è more value with less waste, giving quantifiable and sustainable benefit” 7 WASTES VISUAL MGT & ORGANISATION & HOUSEKEEPING OPERATIONS STANDARD WORKPLACE Easy to use improvement tools and techniques CONTROL è Kai Zen Building Blocks Change Good for the The aim of Kaizen PEOPLE, ORGANISATION & CULTURE To create an environment of continual improvement, utilising the skills and abilities of all our people to enable quantifiable and sustainable change, whilst focusing on adding value and removing waste to increase customer satisfaction and profitability. Focus in the workplace GEMBA KAIZEN STEP 5 REVIEW STEP 1 ACT PLAN PRE DIAGNOSTIC KAIZEN Improvement Cycle CHECK DO STEP 4 AUDIT STEP 2 DIAGNOSTIC STEP 3 WORKSHOP www.beyondlean.com

16. 5C Workplace Organisation & Housekeeping The 5C’s are actually steps of the technique that begin with ‘C’ and are utilised to create a workplace suited for visual control and lean production by enabling waste elimination, standardisation and continuous organisation of the workplace. This technique was first developed in Japan by Toyota and used 5S’s. 5C is a foundation for continuous improvement. Without 5C all other improvements will be lost. The aim of 5C is to:- Improve the work environment Reduce wasteful activities Encourage visual controls Enhance team working Reduce frustration Increase efficiency 5C's 5S's It is all about having what you need to do your job when you need it. No more and no less. Clear Out Seiri Configure Seiton Clean and check Seiso Conformity Seiketsu Custom and Practice Shitsuke Tools Jig 5, Stage 56 ! 3 1 2 2 1 3.Clean and Check 1.Clear Out 2.Configure Separate the essential Separate the essential Clean up the workplace & Check A place for everything A place for everything from the non-essential from the non-essential for opportunities to improve and everything in its place and everything in its place. 5C P w l a e i n v i z e a e n Sustainable continuous improvement K R m I p r l o e v c e m y t e C n D k c o e h 5.Custom and Practice 4.Conformity C Ensures we don’t do Make the other C’s part of everyday what we always did life to maintain improvement www.beyondlean.com

17. The 7 Wastes MUDA An 8th waste is the wasted potential of people is the Japanese word for WASTE. 5 7 2 1 4 3 6 Overproduction To produce sooner,faster or in greater quantities than customer demand. Seek it out and get rid! 1 Over Processing Inventory 7 2 Processing beyond the standard required by the customer. Raw material, work in progress or finished goods which is not having value added to it. Rework 6 Waiting 3 Non right first time. Repetition or correction of a process. People or parts that wait for a work cycle to be completed. 5 4 Transportation Motion Unnecessary movement of people, parts or machines within a process. Unnecessary movement of people or parts between processes. www.beyondlean.com

18. Standardised Operations SIMPLE & SAFE Standard Operations enable our daily life to become: A method of ensuring manufacturing consistency, using less effort and less time to become more productive and reduce waste. STANDARD OPERATIONS CHART WORK INSTRUCTION CHART productivity Work Instruction Care Points High quality Safe operations Good productivity Consistent processes Orderly workplace Clear training processes Raw Material Step Photo Notes OP 1 OP 2 High training Orderly 1 quality Safe Clear OP3 operations Good 2 Consistent Finished Goods workplace OP4 OP5 3 The standard operations chart defines the motion and sequence of operations Quality Knack H&S Standard Operation sequence help to bring order out of chaos Standard Operation Sequence www.beyondlean.com

19. Levelled Production • The pre-requisite of Just in Time working. • Levelled production maximises the benefits of Just in Time by smoothing both the quantity and variety of parts over a production period. Cycle time 30 Mins 20 Non-Levelled Production Levelled Production 10 Overworked Mins Mins Product 60 60 Under-utilised Product Product • Avoids overburdening through even distribution of work • Consistent production supporting customer demand • Improved labour effectiveness Benefits of Production Levelling are: www.beyondlean.com

20. Pull System Pull systems rely on the customer order ‘pulling’ material through the production system when it is required. The system can be thought of as a chain reaction,initiated by the customer withdrawing parts. KANBAN Fill-up Pull Kanban is not a system, but a means of communicating customer orders through the manufacturing process. There are 3 main types:- Production Instruction Kanban Parts Withdrawal Kanban Tablet Kanban • all parts are available in this system (like a supermarket) • kanbans are used to authorise replenishment and control build sequence • the rate of production is controlled through the levelling board T PW PI Sequential Pull Factors for type of pull Sequential Pull Fill-up Pull x High product variety Large product size Short shelf life Manuf LT > Cust LT High variable demand Unreliable process High piece cost x x x OK BEST x x • parts are built to order. Customer lead time must exceed production lead time • production is triggered at the point at which the variant is defined, via a sequence list • tablet kanban is used to authorise production or withdrawal, but does not specify variant • FIFO principles must be used to ensure production sequence equals demand sequence www.beyondlean.com

21. Takt Time ‘Takt is the German word for ‘beat’ and represents the pace at which the customer requires the product. Takt is therefore used to determine the rate which parts have to be produced throughout the shift. Takt Time = Total production time available* Total customer demand *(does not include breaks, meetings & clean up time) eg: Total time available = 5 Hrs Customer demand = 10 units Therefore = 5 x 60mins takt time 10 units = 300 mins 10 units = 30 mins This means that each process needs to complete one unit every 30 mins to satisfy the customer demand of 10 units in 5 hours. Current Future Takt allows the work to be balanced, which frees up machines and operators. Mins Mins ‘Takt’ Time ‘Takt’ Time 30 30 Work Balancing 20 20 10 10 0 0 A B C D E F A B C D E F Process Process • Easily managed processes • Consistent quality • Employee accountability • Employee safety • Improved efficiency Benefits of Takt time are: www.beyondlean.com

22. Just In Time What is Just In Time? Just In Time is:- “Manufacturing and conveying what is needed, when it is needed, in the amount that is needed, at the quality required and in the shortest possible lead time” Continuous JIT has 3 parts, based on one pre-requisite. Flow Processing Pull C F P System Takt time Levelled Production www.beyondlean.com

23. “Vision without action is merely a dream. Action without vision just passes the time. Vision with action can change the world.” Author: Joel Barker “When the winds of change come, some people build walls, others build windmills.” Author: Brian Mayne www.beyondlean.com