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People Lean Process Innovations

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A Little History Leading to My Being Here Today ... speaking to the Donnelly executive team. Leadership Roadmap ... John F. Donnelly, 1967. Leadership Roadmap ... – PowerPoint PPT presentation

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Title: People Lean Process Innovations


1
People Lean Process
Innovations
a
b
  • Russ Scaffede

October 2009
2
Objectives
  • A Little History Leading to My Being Here Today
  • Mass Production VS. Toyota Production System
  • Tiara Yachts Lean Development
  • Integration of a Total Lean System
  • Observations and What I Have Found Has Failed
  • Closing and Questions

3
The Past
  • 20 years at General Motors and 5 years at
  • Toyota Motor Manufacturing
  • Henry Fords Mass Production System
  • Henry Ford developed a Mass Production System,
    the World Followed
  • It is Important to keep in Perspective the Great
    Success the Ford System Makes

4
Early 1900s
5
But, by the 1970s and 1980s until today!!
  • Toyota Introduced Us To The Toyota Production
  • System
  • Material is looked at from Just In Time
    Processes
  • Quality and Cost are controlled by Build In
    Station
  • Sequential level production synchronizes the
    system
  • Machine PM replaces repair after breakdowns

6
But, by the 1970s and 1980s until today!!
  • The System is Uniform and Consistent Plant to
    Plant
  • All Employees are Challenged to Participate in
    Reducing Cost
  • All Toyota Staff from Chairman to the Line
    Workers Understand the System

7
But, by the 1970s and 1980s until today!!
  • Almost Every Company Has Some Form Of
    Lean/Continuous Improvement Initiative
  • Fewer than 5 of companies are achieving long
    term success like Toyota
  • WHY?
  • I believe it is the failure of executives to
    understand lean as a company enterprise system
  • I believe in most companies Scanlon Principles
    are the key Missing Link

8
TRADITIONAL MASS PRODUCTION (FORD MASS PRODUCTION
1910s) VS. Lean Production (Toyota Lean
Production 1950s)
9
Traditional Mass Production
Safety Quality Cost by Maximum Run
Inspect and repair
Classifications of Support
Float for Breakdown
Continuous Run
Labor Efficiency Measurable
Large I.E. / Mfg.. Engineering
Largest Possible Batch Run
Skilled Trade Response to Work Orders
10
The History of Lean is NOT from Japan
  • Ford Today and Tomorrow
  • Toyota Trained Under Fords Leadership
  • Training Within Industry
  • Job Methods (Standardized Work)
  • Job Instructions (Job Instruction)
  • Job Relations
  • Union Job Relations
  • Demings Leadership in Statistical Process
  • Control

11
Training Within Industry Materials
12
Successful Implementation Must be a Systematic
Process
One of my concerns after reading several books
on the Toyota Production System is that, while
such books do outline principles and techniques
with detailed explanation, their treatment of the
subject is specific and anecdotal rather than
systematic.
Source Shigeo Shingo, A Study of the Toyota
Production System From an Industrial Engineering
Viewpoint, Cambridge, MA. Productivity Press, 1989
13
My Vision of TPS
14
Definition of LEAN MANUFACTURING SYSTEM
  • The setting of STANDARDS aimed at continuous
    improvement by ALL team members through the
    constant elimination of waste.

15
Standards from Webster
  • Something used as a rule or BASIS OF
    COMPARISON
  • to evaluate quality, quantity, value, etc..

16
These philosophies and tools provide for two
major focuses of improvement and waste
reduction 1) Aimed at material/value stream
change control. (JIT, Level Scheduling, Hijunka
Boards and Kanban Cards) 2) Aimed at total team
participation through individual/team control
of quality and machines. (ISPC, Equipment TPM,
Standard Work, Participation, Job Inst.
Training.)
17
A Key Tool Allowing Focus From The Entire Team
Both are guided by cascading the annual planning
process of goal setting aimed at waste reduction
and total team participation enhancing the
individual team members self satisfaction and
company identity.
18
Integration of Scanlon and Lean
19
Toyota Is 50 Times More Scanlonized Than We Have
Ever Thought Of Being And They Have Never Heard
The Term !
Joanne DuQuette, VP of Human Resources, speaking
to the Donnelly executive team
20
You Do Not Want To Be Toyota, Just Achieve Toyota
Results
  • Processing of product is the same for Mass and
    Lean companies
  • Equipment purchased is the same for Mass and Lean
    companies
  • People hired are the same for Mass and Lean
  • What Makes The Difference
  • An absolute belief that everyone wants to win
  • The engagement of ALL the People
  • An absolute commitment of constant Process
    Improvement

21
Achieving Lean Manufacturing Leadership
Advanced Product Planning
TPS
T P S
Marketing
TPS
Product Design
Customer
Financial
Production Engineering
TPS
TPS
Sales
Tooling Engineering
Corporate Management Team
Customer
Manufacturing
TPS
Human Resources
TPS
At lowest possible cost
TPS
Customer
Product Engineering
TPS
Product Planning
T P S
TPS
Advances Process R D
Product Launch Cycle
Life Cycle Of Product
(Updated Improved Standards)
(Continuous Improvement)
22
What Makes a Winning Organization?
  • We believe that within every person is a
    deep-seated desire to realize his or her full
    potential through growth and development to make
    a difference and to be part of a winning team.

23
Brilliant process management is our strategy.
We get brilliant results from average people
managing brilliant processes. We observe that
our competitors often get average (or worse)
results from brilliant people managing broken
processes.
Mr. Cho Vice Chairman of Toyota
24
How Are We Doing With People Systems?
  • Broad Research Has Shown Only About 25 Of
    Workers
  • Are fully engaged in their work
  • Are enthusiastic about team and organization
    goals
  • Feel they are fully enabled to execute their
    goals
  • Have a clear line of sight between their work and
    their teams organizational goals
  • Work in an open trust-filled environment

25
Total Employee Involvement
Total Employee Involvement
OR
  • Scanlon Principle
  • Identity
  • Competency
  • Participation
  • Equity

26
Identity
Purpose Exceed Customer expectations by
eliminating waste through a process of
continuous improvement where people and teams
including suppliers and customers are engaged in
the process together and constantly striving for
perfection. Do we believe that the process of
becoming lean is permeating every part of our
business and requiring a relentless pursuit to
eliminate waste as a core value
Business Reality Waste exists in all parts of
the business. If we understand COST SALES
PRICE PROFIT and cost is the only
controllable. Then are we understanding lean
principles as the enabler for a WAR ON WASTE.
27
Identity
Right Job Have we developed a vision of our
long-term lean system? Have we developed an
implementation plan and dedicated the resources
to accomplish the task? Have we developed a
cascading annual planning system and supportive
review to align the organization for improvement?
Job Right Progress of continuous improvement
can only be measured against results. Have we
identified the right matrix (safety, quality,
cost, productivity, delivery and morale)? Is
the entire organization aligned with our lean
principles and values?
28
Participation
Understand that becoming lean is a process that
is done With people and Not To people. A
total commitment to mutual trust and teams is an
absolute essential part of the lean journey. Do
we see lean principles as the main enable to
accomplish meaningful, inspiring participation?
29
Participation
  • Two reasons appear then for looking toward the
    fuller involvement of people in their work. We
    need their help in reaching for market
    leadership, and the people are entitled to the
    consideration that recognizes their ability to
    help. This process of involvement is what we
    call participation.

- John F. Donnelly, 1967
30
Competence
Develop leaders who understand and live the lean
enterprise philosophies. Are we developing a
process for continuous learning by refining
personal and organizational understanding of the
lean tools and applications of these tools
through supportive review.
31
Equity
Recognize, with lean, we need to achieve a fair
and balanced return for all the stakeholders.
Work closely with suppliers to eliminate waste in
the total value stream and treat suppliers with
respect as long term partners.
32
What I Have Found Will Fail
  • The executive leadership team not developing
    their lean system
  • Develop your house and megaphone for the team to
    understand
  • Functional departments leaders and team not
    understanding the lean enterprise and setting
    policies and methods to allow success

33
What I Have Found Will Fail
  • Hire Outside Consultants Without Your Lean
  • Vision
  • - Your team wants to please you and your
    company,
  • not outsiders.
  • Kaizen the Team Lean
  • Installing Kanban or Other Tools and State We Are
    Lean

34
Toyota The Benchmark for World Manufacturing
  • The Toyota Production System is a production
    system, and a kanban method is merely a means for
    controlling the system.

- Shigeo Shingo
Source Shigeo Shingo. A study of the Toyota
Production System From an Industrial Engineering
Viewpoint. Cambridge, MA. Productivity Press,
1989
35
What I Have Found Will Fail
  • Attempt Empowering Employees Without the Lean
    Tools
  • Assume Management Will Install Lean as You
  • Teach Them Without Resources
  • Part-Time Wont Cut It
  • And the Worst One Is

Do Nothing at All
36
Closing Thoughts
Lean without Scanlon Little
Improvement Scanlon without Lean Limited
Improvement
Scanlon with integrated Lean Perpetual Success
37
There is a Roadmap
The Leadership Roadmap Book Purchase on
Amazon.com or Barnes and Noble.com Contact us at
info_at_leanprocess.com
38
Thank You For Your Time
Questions and Discussion
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