Introduction to Materials Management

1. Introduction to Materials Management Chapter 15 – Just-in-Time Manufacturing and Lean Production

2. Focus on Waste Reduction • Process and methods • Movement and storage of materials • Defects • Waiting time • Overproduction • Inventory

3. Poke-Yoke (Fail Safe) Design • Change the process or resources • Try to eliminate reliance on human experience and knowledge • Examples: • Color-coded parts • Templates • Use of counters on operations • Design plugs to only be inserted one way

4. Focus on Work Flow • Flow manufacturing or work cells • Work toward flexibility • Process flexibility • Machine flexibility • Operator flexibility • Quick changeover with short setup times

5. Other Important Waste Reduction Actions • High product and process quality • Six Sigma quality approach • Total productive maintenance • Uninterrupted flow of material with uniform plant loading • Continuous process improvement

6. Focus on Suppliers • Work toward supplier partnering • Supplier selection • Supplier certification • Three key factors • Long-term commitment • Trust • Shared vision

7. Planning and Control for JIT • Forecasting and Production Planning not significantly different • Master Production Scheduling – focus on level and stable schedules • MRP – can be used to plan for supplier parts and for capacity

8. The Pull System • A system that reacts to usage and “pulls” replacement material • Contrast – MRP uses “push” • Limits inventory by having very small lots moved • Low cost because of setup reductions • One common approach – the Kanban system

9. Lean Production – the evolution of JIT • Value Stream Mapping – Process flow analysis focusing on reduction of non-value added activities • Kaizen – Structured approach to continuous process improvement • Takt time – The “heartbeat” of the system based on customer usage • 5S approach – Focus on orderliness and cleanliness