Lean Manufacturing Team Topic Presentation By: Shane Uecker
Definition of Lean Manufacturing • Lean manufacturing is a comprehensive term referring to manufacturing methodologies based on maximizing value and minimizing waste in the manufacturing process. • Value is defined as an item or feature for which a customer is willing to pay. All other aspects of the manufacturing process are deemed waste. • Lean manufacturing is used as a tool to focus resources and energies on producing the value-added features while identifying and eliminating non value added activities.
Goals of Lean Manufacturing Get ever closer to zero process times • Setups • Sales quotes • Delivery date promising • Sales order delivery • Production process time • Purchase order lead times • Outsourcing • Engineering changes • Time to market • Returns • Repairs • Data collection • Data analysis • Period end close Get ever closer to zero • Zero waste • Zero defects • Zero scrap • Zero rework • Zero receiving rejections • Zero downtime • Zero inventory • Zero handling • Zero paperwork • Zero mistakes
Origin Of Lean Manufacturing • The Industrial Revolution marked the emergence of lean thinking in operational practices, such as standardization of methods and materials, interchangeability of parts, specialization of labor, large batch operations, and dedicated machinery. These operational practices were used only in manufacturing processes for high-volume products. • Henry Ford provided the first industrial firm that had traces of lean manufacturing (main assembly line and key subassemblies). • Originally a Japanese methodology known as the Toyota Production System designed by Sakichi Toyoda, lean manufacturing centers around placing small stockpiles of inventory in strategic locations around the assembly line, instead of in centralized warehouses. These small stockpiles are known as kanban, and the use of the kanban significantly lowers waste and enhances productivity on the factory floor.
Waste associated with Mass Production • Over-Production Waste • Fixing Defects Waste • Unnecessary Motion Waste • Inventory Waste • Over-Processing Waste • Transportation Waste • Waiting Waste
Steps to reduce or eliminate waste“Lean Manufacturing” • Organize the workplace (5S) • Arrange everything to “flow” • Make small batches (ideal lot size is 1) • Introduce pull systems (self-correcting control) • Never stop continuous improvement
Relationship Between Lean and Six SigmaImportant point for companies is to first determine goal, and then adopt and apply the appropriate strategy in order to achieve the goal.
Why is Lean Manufacturing Important? • Many companies have turned to lean techniques as a way to achieve lower costs and more factory throughput. The most progressive companies, seeing the astonishing success that lean provides on the shop floor, have begun to apply lean methods to the entire supply chain. • Companies that understand the evolving enterprise know that every step in the supply chain, even those that occur at the customer or supplier, has to be examined using lean techniques in order to achieve the maximum benefits. These companies find that they not only survive in difficult times, but they actually thrive and gain market share as their competition falls behind.
How does Lean affect Project Management? • As interest in lean production grows, this vocabulary engineering is also accompanied by scope creep: what started out with a focus on the factory expands to cover product design, office work, distribution, and services. And new terms follow: • Lean Management • Lean Enterprise • Lean Thinking • Lean Performance Project Management • Lean Product Development
References • http://www.mmt-inst.com/Meaning_of_lean.htm • http://rockfordconsulting.com/lean.htm • http://www.vorne.com/solutions/learning_center/lean_manufacturing.htm • http://www.advancedmanufacturing.com/Sept04/colDesignInsight.htm • Brian J. Carroll, Lean Performance ERP Project Management. The St. Lucie Press, 2002 • Clifford Fiore, Accelerated Product Development. Productivity Press, 2005