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Introduction to Lean Manufacturing

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Title: Introduction to Lean Manufacturing


1
Introduction to Lean Manufacturing

2
Lean Manufacturing Definition
  • Lean has been defined in many different ways.
  • A systematic approach to identifying and
    eliminating waste(non-value-added activities)
    through continuous improvement by flowing the
    product at the pull of the customer in pursuit of
    perfection.
  • By The MEP Lean Network

3
History Timeline for Lean Manufacturing
4
Lean manufacturing is a philosophy
In 1990 James Womack, Daniel T. Jones, and Daniel
Roos wrote a book called The Machine That
Changed the World The Story of Lean Production--
Toyota's Secret Weapon in the Global Car Wars
That Is Now Revolutionizing World Industry In
this book, Womack introduced the Toyota
Production System to American. What was new was
a phrase "Lean Manufacturing."
5
How to Increase Profit?
6
Muda (Waste)
  • Taiichi Ohno (1912-1990), the Toyota executive
    who was the most ferocious foe of waste human
    history has produced, identified the first seven
    types of muda in manufacturing system
  • Storage
  • Transportation
  • Waiting
  • Motion
  • Process
  • Defects
  • Over-productionMuda is everywhere.

7
Lean Overview
8
Lean Manufacturing Tools
  • 5S
  • Value Stream Mapping
  • Standardized Work
  • Load Leveling
  • Kaizen
  • Kanban
  • Visual Workplace
  • Quick Changeover
  • Andon
  • Poka-yoke
  • One-piece flow
  • Cellular Manufacturing

9
Production Planning System (Push System)
10
Push or Pull?
A push system
11
Push or Pull?
A pull system
12
Kanban Operation
13
Finished goods
14
Current State Map of A Case Study Example
15
At which stations, are parts withdrawn? At which
stations, are parts scheduled?
Future State Map
16
Which to Choose MRP (ERP), or Kanban?
  • Where MRP (ERP) works best
  • MRP is by its very nature a forward-looking
    system.
  • MRP can be very effective in an environment with
    a great deal of variability.
  • MRP is recognized an engine to drive an
    integrated enterprise-wide information system.
    Purchasing and logistics activities were
    similarly being integrated with fundamental
    internal materials management principles into an
    enterprise-wide approach.

17
MRP or Lean Manufacturing?
Where MRP is not as effective.
  • MRP is a predictive system. It does not reflect
    to customers demand (easy to get
    overproduction).
  • A company takes MRP suggestions and acts on them
    without too much review is very risky.
  • MRP wont fully support the cost-cutting.
  • MRP needs lots of data for production management.
  • MRP generates high overhead.
  • MRP builds high work-in-process.
  • MRPs lead times are fixed.
  • MRP creates potential quality hazard.

18
Which to Choose MRP (ERP), or Kanban?
  • Where Kanban works best.
  • Kanban is a very reactive system. Very little
    is planned ahead. Instead, Kanban causes
    replacement of material used in a totally
    reactive mode. Kanban works best in a highly
    stable and predictable environment.

Where it is not as effective. Kanban can
quickly fail in a highly volatile environment
because of the reactive nature of the system.
Volatility in customer demand, processing
problems, and extensive changes in product
designs make it very difficult for a Kanban
system to work effectively.
19
Which to Choose MRP (ERP), or Kanban?
  • Kanban and MRP Combination
  • The combination of these two systems is
    becoming quite common. An MRP system is used for
    advanced planning, including long lead-time
    purchased materials, adding resources, and
    implementing product design changes. Once the MRP
    has the materials and resources lined up,
    however, Kanban is used as an execution system,
    bringing with the characteristics of rapid
    response to customer order and reduced inventory
    levels throughout the process.
  • Hybrid Systems

20
The Objections to Lean
  • How should you deal with these objections to
    lean?
  • It is very hard to deal with raw material
    suppliers if we fully depend on customer order.
  • It takes too much discipline.
  • It takes too long to implement.
  • My process is too complex I have to deal with
    too many uncontrollable variables, like late
    supplier shipments, sick people, etc.
  • My process requires a large batch size.
  • It doesnt make sense in my industry.
  • Its unclear to me how lean will work with my
    MRP system.

21
Lean and Green
The environmental impacts due to production and
waste generation have made its way into every day
society. Consumers are becoming more
environmentally conscious. With the Earths
limited resources, companies are more conscious
of their carbon footprint, and there has been a
movement to create more environmentally friendly
decisions.
Green engineering is the systems-level approach
to product and process design where environmental
attributes are treated as primary objectives or
opportunities rather than simple constraints.
22
lean manufacturing is a link to green
engineering
Lean manufacturing is the business model and
collection of tactical methods that emphasize
eliminating non-value- added activities (waste)
while delivering quality products at lowest cost
with greater efficiency. In conjunction, six
goals of green engineering are
  • Select low environmental impact materials.
  • Avoid toxic or hazardous materials.
  • Choose cleaner production processes.
  • Maximize energy and water efficiencies.
  • Design for waste minimization.
  • Design for recyclability and reuse of material.

23
lean manufacturing is a link to green
engineering
Population grows Wastes increase Fossil fuels are
diminishing and there is nothing replenishing
them. Consumers are becoming more aware of the
environment and prefer environmentally friendly
companies.
Being lean and green is so important now to
reduce the consumption of natural resources and
the CO2 concentration in the Earths atmosphere.
The only real difference between lean and green
manufacturing is that green actually designs the
product or process with the environment as a
constraint while lean creates a process with the
view of the environment as a valuable resource
and not a constraint.
24
Key Steps in Transforminga Company to the Lean
Approach
  • Establish a steering teamconduct strategic
    planning session
  • Train the steering team and the model line team
    in the disciplines of lean
  • Perform PQR (product-quantity-routing) analysis
  • Identify value streamsselect a value stream
  • Calculate model line takt time
  • Value stream map the model lineassemble current
    state map
  • Balance the lineassign standard work
  • Establish standard WIP (inventory levels)
  • Test the system (virtual cell)document results
  • Setup reduction event

25
Key Steps in Transforminga Company to the Lean
Approach
  • Conduct 5S eventapply TPM techniques
  • Establish visual signalsreduce paperwork
  • Explore alternative flow patterns
  • Develop block layout
  • Develop detailed layout
  • Execute move
  • Select next value stream and repeat

Gary Conner, President of Lean Enterprise
Training, Newport, OR, Road Map to Lean for the
Smaller Shop, Society of Manufacturing Engineers,
Lean Manufacturing 2007, Supplement to
Manufacturing Engineering, 2007. pp. 27-29.

26
References
  • Society of Manufacturing Engineers, Lean
    Manufacturing 2007, Supplement to Manufacturing
    Engineering, 2007.
  • Society of Manufacturing Engineers, Lean
    Manufacturing 2008, Supplement to Manufacturing
    Engineering, 2008.
  • Garrett Brown and Dara ORourke, Lean
    Manufacturing Comes to China A Case Study of its
    Impact on Workplace Health and Safety,
    International Journal of Occupational and
    Environmental Health (IJOEH), 13(3), JUL/SEP
    2007.
  • Challenges in Applying Lean Manufacturing in
    China, McKinsey Quarterly, 2006 Special Edition
    available at Jackson Library. Friday, October 12,
    2007 Posted by Simone Yu in International
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