Origin Of Lean

1. Origin Of Lean Oil crisis and recession put pressures on the system to have better products at lower prices Customers required more options and better service Managing operations efficiently , creating a responsive structure became important . Japanese people developed a set of tools and techniques Automobiles  Toyota and Kawasaki competed with General Motors and Harley Japanese gave Value to the customer, good quality at lower costs This was replicated in the electronics industry  register, transistors memory chips, entertainment cameras etc. Why Lean In the light of the economic slowdown, it is important for organizations to improve productivity, response to consumers and cut costs to stay competitive. Deliver better quality products and services using lesser resources.

2. The Philosophy of Lean • 1) Is elimination of WASTE and 2) continuous improvement of productivity • Based on the premise that identifying any waste and removing it creates a value stream of the product for the customer • Value added activities, (VA) Non Value added activities (NVA) and Necessary but Non Value added (NNVA) • Waste process or a set of activities that does NOT add Value as perceived by the customer is waste • Value Stream  all the activities that are needed to be performed (VA and NNVA) from the time the customer places the order to the time the time the order is fulfilled. Concept to launch, or order to delivery of raw material to FG • Lean management  a process that enables an organization to create a value stream by eliminating waste • NVA is avoidable waste and NNVA is not avoidable

3. What is the meaning of Continuous Improvement ? Answer  Is a small issue taken. Studied, analyzed and solved. -Is ongoing -Does not require investment capital outlay, changes -Makes use of available technology, resources -Example Quality Circle

4. Eliminating wasteThe seven types of waste:

5. understand what constitutes wastes, understanding wastes in manufacturing is understanding the core of JIT. Waste can be defined as any activity that does not add value for the customer ShingeoShingo, one of Japan’s founding fathers of improved manufacturing techniques, lists his Famous Seven Wastes. They are… ◊ Waste of over production…. Making products which are not needed in the immediate future. Supply should be in line with demand This leads to locked inventory, extra material handling, ageing, And can be very costly. ◊ Waste of waiting….. These are of two kinds, that of the operator and that of the material. ◊ Waste of transportation and unnecessary Motion Moving and storing components add cost not value, and hence should avoided as far as possible. Waste is added if the method of working by the operator needs unnecessary motions like searching for tool, walking, are all wastes of motion. ◊ Waste of stocks… Any inventory costs money to carry. ◊ Waste due to time spent in changeover of set up ◊ Waste of making defects… This not only costs money but also interrupts the flow of production.

6. Reduction Of Waste There are specific methods to tackle and reduce waste. 1) Over producing can be avoided by improving the understanding of the market – demand , forecasting etc 2) Waiting time can be reduced by proper orientation of the process and scheduling 3) Motion analysis can help identify unnecessary movements and transportations 4) Unnecessary stock can get eliminated by JIT 5) Robust systems and TQM will help reduce process waste and defects 6) Set up and change over can be reduced by application of SMED • Setup time reduction – Lot size reduction • Quality improvement – Small group improvements • Defect free supplies – Supplier collaborations All the Japanese methods are applicable to you home as they are to the shopfloor.

7. -Process is a summation of activities -JIT is about reducing raw material, WIP and finished goods inventory. -The Japanese spend time on designing and planning the system and then implement it correctly in one go. -In india we spend less time in planning and then go and start to implement a half cooked idea. Soon we stumble upon problems and call for modifications in the system. Every time a problem is faced we tend to insert a safety buffer rather than reaching for the root cause. The cycle of solving by design changes continues forever and a perfect system is rarely achieved. -Soon the buffers that are introduced in the system make the system inefficient and adds heavily to costs Over period of time the entire system becomes full of buffers -JIT does away with they cushions because more that cushions you have the more you rely on it. -Example pump and back up pump. JIT does not work in isolation. It has TQC to ensure that defects are not produced. TPM for so that equipment operates at zero breakdown. Kaizen for improvement Teamwork. Information flow  Kanban. Today many Japanese companies work with 0 defects 0 breakdown, 0 accidents

8. Comparison of JIT and Traditional System

9. Just In Time Manufacturing Water Flow Analogy Unrealistic Variable Defective Poor schedules Lack Processing Material Quality of Times training Machine Inadequate Bottleneck Breakdown Information Behavioural/Managerial constraints

10. Elements of JIT

11. Elements of JIT

12. Tools of JIT

13. The result is ….. • No overproduction • No underproduction • No inventories piled up • Excellent shop floor discipline