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LEAN MANUFACTURING

LEAN MANUFACTURING. Introduction. Modern business model impact on business Business growth – New technologies - Cross border markets Increasing business cost – Lean manufacturing. Definition. No conclusive definition Principles

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LEAN MANUFACTURING

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  1. LEAN MANUFACTURING

  2. Introduction • Modern business model impact on business • Business growth – New technologies - Cross border markets • Increasing business cost – Lean manufacturing

  3. Definition • No conclusive definition • Principles • Efficiency – Increased value of organization • Identify and eliminate wasteful processes • Increased innovation and development

  4. Research objectives and Approach • Objective – Examine and explore how lean manufacturing instruments can be tailored from discreet to continuous manufacturing setting and assess their impact on business interest • Hypothesis – There are immense prospects and opportunities for greater efficiency, improvement, and performance of manufacturing company’s production process in lean manufacturing instruments are used • Approach – Methodically establish importance of lean manufacturing tool in production

  5. Background and scope • Originated from Japan – Scarcity of raw materials and human labor • Taiichi Ohno & Eiji Toyoda – Toyota Motor Group Executives • Toyota Production System - LM • Principle – Reduce waster, produce what customer wants at right time and quantity

  6. Mass Production to Lean Production • Mass production – utilize economies of scale • Lean Production – Functional efficiency and effectiveness of production system • Areas of enquiry: • Staff skills • Company resources • Company system and procedures • Audit role, relationships and responsibilities

  7. Value Chain Analysis • Closely linked to value chain analysis (VCA) • VCA as a Prerequisite for LM – identify functions not structures of a company • Identify processes that add value to customers. • VCA – enable manager to identify: • Activities close to organizational objectives • Cost-intensive activities • Activities that create value to customers

  8. Lean Tools and Techniques • Main instruments include: • Continuous improvement • Cellular manufacturing • Waste recognition and elimination • Production smoothing • Standardization • Just-In-Time (JIT) production

  9. Continuous improvement • In Japan – Kaizen or quest for perfection and excellence • 5Ss • Sort • Straighten • Sweep & Clean • Systemize • Standardize

  10. Cellular manufacturing • The greatest foundation of LM • Cell – production tools and stations • Enable one-piece flow model • Product mix extension • Space utilization • Reduce transport and communication • Teamwork and communication • Visibility and flexibility • Improved productivity • Lead time reduction

  11. Waste recognition and elimination • Key – identifying customer preferences • Seven subheadings: • Excess production • Producing faulty or substandard merchandise • Idle inventories • Transportation • Invisible processing • Waiting

  12. Production Smoothing • Derived from Japanese Heijunka - keeping levels of production consistent each day • TPS – cost minimized by manufacturing parts that could be sold • Production plan and timetable must be smooth

  13. Standardization • Work standardization – corollary of waste elimination • Ensure each duty is performed • Standardization – for a specific job, regardless of who is performing it, produce same results.

  14. Just-In-Time Production • Administrative concept – seeks to abolish wastes • Rely on relationship between sales and purchasing department • Three aspects • JIT production • JIT distribution • JIT purchasing • All elements integrated and synchronized

  15. Opportunities for lean • Not all LM instrument can be applied homogeneously • LM is beneficial to manufacturing companies • Flexibility – Indicates the LM tool to be employed

  16. Conclusion • Objective – elaborate the broad philosophy of lean manufacturing and its relevance to production process • Discrete industries share common attributes facilitating implementation of LM tools • Identification and elimination of wastes • Implementation of LM hampered by some barriers • Confirmation of the hypothesis

  17. Future direction • Emerging trends in production – higher prospects of LM • Conversion of production system to purely pull system • Future design - assimilate push and pull system

  18. Bibliography of authors • Prof. Fawaz Abdullah • Jeffery K. Liker and Thomas Lamb • Prof. Lerman Crookes • Cook Robert

  19. END

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