Test Content Part 5.pptx

Process Improvement Methods Category of Waste Process Improvement Method Value Added Operation Operations Improvement Transportation Location & Layout Inspection Source Inspection & Error-Proofing Delay Process Delay Lot Delay Continuous Flow Synchronization (JIT) 1-Piece Flow 1 Impact of...

Process Improvement Methods Category of Waste Process Improvement Method Value Added Operation Operations Improvement Transportation Location & Layout Inspection Source Inspection & Error-Proofing Delay Process Delay Lot Delay Continuous Flow Synchronization (JIT) 1-Piece Flow 1 Impact of Creativity & Money on the Improvement Process MONEY CREATIVITY 30% Improvement 70% Improvement 2 Push vs. Pull Production, Kanban, and Cell Design WIP Consigned Raw 4 Red 4 Yellow 4 Blue Machine Press Applies strength member to Flange Block 1 OEE: C/T: Takt: PPM: C/O: 50% 5 sec/pc 15 sec/pc 0 5 sec WIP 4 Red 2 Yellow 2 Blue Flange Assembly Assembles strengthened Flange Block and Bricks 2 OEE: C/T: Takt: PPM: C/O: I 1 FA Furnace Heat treat finished Block Assemblies FIFO 1 OEE: C/T: Takt: PPM: C/O: 90% 10 sec/pc 15 sec/pc 1,000 1 sec FG Stores 4 Red 2 Yellow 2 Blue 80% Finished Goods Storage and Shipping 20 sec/pc 15 sec/pc 0 1 5 sec Production Lead Time 11 sec 10 sec 15 sec 25 sec 20 sec 120 sec 171 sec 30 sec Value Added Time 3 Lean Building Blocks Continuous Improvement Pull/Kanban Quality at Source Standard Operations 5S+1 System Cellular/Flow Error Proof Quick Changeover Batch Reduction Visual TPM Teams Plant Layout Value Stream Mapping 4 Standard Operations / Standard Work Definitions: • Standard Operations: The best combination of people and machines utilizing the minimum amount of labor, space, inventory and equipment. • Standard Work: Pre-determined sequence of tasks for the operator to complete within takt time. • At Michelin, we use Bib Standard. 5 Push System Issues • • • • Too Much Inventory Long Cycle Time Late Deliveries Unmet Customer Demand Machine Press Assembly Furnace Customer 6 Inventory Hides Problems Inventory Level Suppliers’ issues Inventory is like a river, when water level is lowered, boulders have to be dealt with Quality Machine problems downtime Long set ups Productivity Problems Lack of training Scrap Processes not capable Imbalanced lines Lack of teamwork Maintenance issues Reducing inventory levels brings problems to the surface and forces their resolution 7 Definition of Push vs. Pull • Pull System o A production system in which goods are built only when requested by a downstream process o Nothing is produced until it is needed o Typically the downstream signal is a Kanban Push System A production system in which goods are built and passed on or pushed to the next operation Machine Press WIP Applies strength member to Flange Block Assembles strengthened Flange Block and Bricks 1 Red 1 Yellow 1 Blue 1 OEE: C/T: Takt: PPM: C/O: Flange Assembly 1 OEE: C/T: Takt: PPM: C/O: 50% 5 sec/pc 15 sec/pc 0 5 sec 90% 10 sec/pc 15 sec/pc 1,000 1 sec Process Scheduled at Machine Press WIP Machine Press Applies strength member to Flange Block I 6 MP Flange Assembly Assembles strengthened Flange Block and Bricks 1 OEE: C/T: Takt: PPM: C/O: 1 20% 5 sec/pc 15 sec/pc 800 60 sec OEE: C/T: Takt: PPM: C/O: 90% 10 sec/pc 15 sec/pc 10,000 1 sec 8 Push vs. Pull Production Push Demand is anticipated / forecasted, orders are launched – sometimes weeks or months ahead of delivery date. Accuracy (Unpredictable) Inflexible Shop order launch (then wait) Low Inventory Turns (3 – 10) Pull Cross functional team designs a material plan that will accommodate today’s demand (No anticipation) Accuracy (Predictable) Flexible No Order (ready now) High Inventory Turns 10 - + 9 Push vs. Pull Production (continued) Push Manage by schedule, hot sheets, material shortages, meetings, expediting, air freight. High Scrap $, Rework. Highlevel Quality meetings, quality decisions Often Delays Complex Pull Manage by Kanban Planning Low Scrap $, Rework. Problems are resolved by operators themselves. On Time Shipments Simple 10 Pull System – When to Work Information Flow Process Flow Raw Materials Finished Goods Material Input Status Flow Process Status Output Status Full → Do Not Work → Full Empty → Can Not Work → Full Empty → Can Not Work → Empty Full → Work → Empty 11 Pull System Upstream  In the simplest terms, no one from upstream should produce a good or provide any service until the downstream customer asks for it – and then make it very quickly without defects. Downstream 12 Push and Pull Examples Are the following systems essentially push or pull? Soda vending machine: Pull Doctor’s office: Push Supermarket (goods on shelves): Pull Pure MRP system: Push Runway at O’Hare during peak periods: Pull Whopper without pickles: Pull Your particular division: ? 13 Pull System Necessary Elements • Reliable Process o Dependable (Predictable) equipment o Mistake proof o Flexible work force, Multi-skilled / crosstrained • Organized Process Repeatable Process Standard work done Balanced Process Within Takt time Stable schedule Level loading Small lots/one piece flow o Minimal travel o No delays A Pull System requires an advanced and stable work environment and should be one of the last and critical pieces of the puzzle to be Implemented ! 14 Benefits of Pull Production • Increases the speed to meet customer demand • Reduces the amount of inventory without creating part shortages • Decreases amount of floor space required • Improves quality Right Item! Right Quantity! Right Location! Right Time! 15 Finished Goods vs. Make to Order Options Options Pros Cons Hold Finished Goods Ready to ship all inventory of all products (A, items on short B, C) and make all to stock notice … replenishment pull system Requires inventory and floor space for each part number Hold no finished goods inventory and make all products to order … sequential pull system Less inventory and associated waste Requires high process stability and a short lead time to produce Hold only C products in inventory and make A and B products to order daily … mixed pull system Less inventory Requires mixed production control and daily stability Hold A and B products in Moderate Inventory Requires mixed finished goods inventory. production control Make C products to order and visibility on C A = high runners, maintain quick turn inventory from semi finished items B = assemble to order with common components components … mixed pull C = customer specials or low volume system 16 What is a Kanban? Pull Kanban A Japanese word that means a signal or signboard A small card, or other visual cue, that regulates “Pull” in the production system by signaling upstream production and delivery Also referred to as a pull signal The ultimate goal of kanban is Just In Time production 17 Why Kanbans • Kaizen Tool o Enables us to fine tune production • Gives instruction for conveyance • Indicates delays and acceleration of production • Provides visual control for inventory • Prevents over production o Facilitates quality control o Facilitates changeovers • Reduces unscheduled changeovers 18 Kanban Methods for Batch Processes 8 hour cycle • Pattern Production o (+) Predictable stable sequence o (-) Inflexible to changes during a shift P1 P2 P3 P4 P5 P6 Sequence fixed, part time variable Lot Making with Batch Board (+) Visual control, shorter lots possible (-) Many cards per part, requires discipline Triangle Kanban (card) (+) Single Kanban control, pressure to reduce changeover time (-) Fixed quantity, unfixed trigger time Part # Part # Part # Part # Part # Part # Trigger Point Full Part # Empty Part Description Location Date Triggered Lot Size Trigger Point Machine # Tool # 19 Triangle Kanban Operation • Once a pre-defined minimum inventory is reached the signal Kanban (triangle) is removed from the inventory location and placed on a rail at the upstream or making operation • There is only one Triangle Kanban per part number • The making area will follow the instructions on the triangle kanban and only build the lot size specified on the kanban • To implement this system you must determine the trigger point and lot size 20 Triangle Kanban Operation 15456 15456 Inventory Batch Process 15456 15456 15456 Signal Kanban Rail 15456 Trigger Point Part # 15456 15454 Current 15454 15455 Next 15454 15454 15455 15454 Part # 15455 Part # 15454 15455 15455 15455 21 Kanban Containers • Calculation for number of Kanban containers required: D = Average Daily Demand of Product SF = Safety factor (typically 10%) KCT = Kanban cycle time (replenishment time once kanban has been received) K = Number of units per container 22 Kanban Sizing • Number of units per Kanban container: 23 Supermarkets • Supermarkets are strategically placed inventory “shelves” within a pull system. • Supermarkets are essential in a pull process where continuous flow may not be possible. 24 Supermarkets • When an item is pulled from the supermarket, a signal (kanban) is sent to the supplier of the item so that it can be replenished. 25 Kitting • Kitting is a useful lean tool especially in assembly environments. • A “kit” provides the worker with the right parts and tools at the right time. • Kitting increases productivity, space utilization, and helps workers focus on the task at hand rather than spend time looking for parts and tools. 26 Batch and Single Piece Flow Comparison Lot Size Of One Lot Size Of Five AA E 0 L A P S 50 E D BB AA 100 T I M E 150 S E C 200 BB BB CC DD BB CC DD AA BB CC DD AA BB CC DD CC E L A P S E D T I M E S E C DD Processing Time = 10 sec/unit AA BB CC DD 10 AA BB CC DD 20 AA BB CC DD 30 AA BB CC DD 40 AA BB CC DD 50 AA BB CC DD 60 AA BB CC DD 70 AA BB CC DD 80 AA BB CC DD DD AA Different Processes: AA CC 0 27 IN Cellular Manufacturing OUT 28 Cellular Manufacturing (CM) Definition • Cellular Manufacturing organizes the entire process for similar products into a group of team members, includes all the necessary equipment and is known as a “Cell” • The cells are arranged to easily facilitate all operations. Parts are handed off from operation to operation eliminating setups and unnecessary costs between operations 29 Cellular Manufacturing (CM) Goals     Lead Time Reduction Operating Cost Reduction Increased Labor Flexibility Increased Labor Utilization Objectives  One Piece Flow  Minimize Transportation  Standard Work Methods  High Labor Utilization 30 Cellular Manufacturing (CM) • Elimination of wastes by linking steps o Waste is any resource not adding value to the product being manufactured IN OUT • In a cell, most work stations are close together so that little or no time is required to move parts 31 I - Shaped Cell OUT Inefficient Takes 30%-50% extra people Requires precise line balancing Limits flexibility of movement Non-Value Adding Movement Looks orderly IN 32 L - Shaped Cell OUT Efficient Reduces worker travel Point of Use storage IN 33 U - Shaped Cell IN OUT Optimal Worker Utilization Visual Control Fewer Operators 34 Parallel Cell IN IN OUT OUT 35 Error Proofing 36 Objectives Distinction between Errors & Defects Concept of Source Inspection Types of Inspection Error-Prone Conditions Error-Proofing Devices 37 3 Types of Inspection  Judgment Inspection  Informative Inspection  Source Inspection 38 Judgment Inspection ERROR DEFECT DEFECT DETECTED INSPECTION TO SORT GOOD FROM BAD Compared with standard Either sampling or 100% EXISTING PARADIGM Mistakes are inevitable. Inspection improves quality. 39 Informative Inspection Inspection to gather data and take corrective action  Typically used as:  Self-Inspection  Subsequent Process Step Inspection 40 Source Inspection CAUSE ERROR ERROR PROOFING RESULT NO DEFECT  SOURCE INSPECTION is used at the error stage.  The focus is on preventing the error from becoming a defect. 41 Defects vs. Errors  DEFECTS AND ERRORS ARE NOT THE SAME THING.  DEFECTS are results.  ERRORS are the causes of the results. 42 Cause / Error Determination  ERROR: Defect An act, through lack of knowledge deficiency or accident, departs from or fails to achieve what should be done PRODUCT SHIPMENT REJECTS Cause/ Errors Corrective Action(s) Error-Proofing Device(s) Defective Material Documentation Packaging/Labeling Wrong Part Number Clerical Error Mixed Product Over Shipment 43 Error-Prone Condition A condition in the product, or process, that contributes to, or allows the occurrence of, errors Examples of typical Error-Prone conditions:  Adjustments  Setups  Lack of Adequate Specifications  Complexity  Sporadic Scheduling  Inadequate SOP (Standard Operating Procedures)  Symmetry/Asymmetry  Too Fast/Too Slow  Environmental 44 Time & Distance Windows Inventory: Work in Process and Finished Goods 1 2 3 Point of Error Occurrence 4 5 6 7 Window of Waste Customer Defect Discovered 45 Time & Distance Windows Inventory: Work in Process and Finished Goods Customer Window of Opportunity* * Point where the error occurred and could have been discovered, thus preventing downstream defective inventory. 46 Defects & Error-Proofing Devices Error-Proofing devices are used to:  Prevent errors about to occur  Detect errors and defects that have occurred 47 Types of Error-Proofing Devices  Prevent  Detect 48 Application Methods of Error-Proofing  Physical/Mechanical  Electro-Mechanical  Electronic  Sensors  Vision Systems 49 Example 3.5 inch diskette cannot be inserted unless diskette is oriented correctly. This is as far as a disk can be inserted upside-down. The beveled corner of the diskette pushes a stop in the disk drive out of the way allowing the diskette to be inserted. This feature, along with the fact that the diskette is not square, prohibit incorrect orientation. 50 Example Fueling area of car has 3 mistakeproofing devices: 1. Filling pipe insert keeps larger, leaded-fuel nozzle from being inserted 2. Gas cap tether does not allow the motorist to drive off without the cap 3. Gas cap is fitted with ratchet to signal proper tightness and prevent over-tightening. 51 Example Lawn mowers are required to have a safety bar on the handle that must be pulled back in order to start the engine. If you let go of the safety bar, the mower blade stops in 3 seconds or less. This is an adaptation of the “dead man switch” from railroad locomotives. 52 Example Circuit breakers prevent electrical overloads and the fires that result. When the load becomes too great, the circuit is broken. 53 Example The dryer stops operating when the door is opened, which prevents injuries. 54 Comparison of Application Types of Error-Proofing Devices it on il cape p y p A T Physical/ Mechanical ElectroMechanical Electronics ce r u o S t s Co te n ai M ce n na b a i l e R y li it Employees Low Very Low Very High Specialists Higher Low High Few Higher Specialists Low but High Specialized 55 Error Proofing BENEFITS     Tangible Benefits - Potential Scrap Dollars Saved Increased Capacity = Increased Sales Increased Customer Satisfaction = Future Sales Growth Assembly  Less Inspection  Scrap Savings  Increased Capacity = Increased Sales  Associated Floor Space Savings       Intangible benefits Lead Time ò Throughput Time ò Floor Space ò Capacity ñ Reduce Job Stress Increased Customer Satisfaction:  Returned Material ò  On Time Delivery ñ   Tool for improving quality, uptime, and utilization. SUCCESS of TEAM promotes morale. 56 Improve Phase Outcome • Through the many Lean improvement tools that were covered, you should be able to implement solutions onto the root causes. • An action plan which also indicates timelines and responsible persons should be completed and followed. • Each action in the action plan should clearly identify how much gain it provides on the target. 57