Learn to Manage your Business “ Without the Cost of Waste …” Here’s some simple

1. Learn to Manage your Business “Without the Cost of Waste …” Here’s some simple Waste Elimination Tips applicable to every process. www.freeleansite.com

2. Tip of the Dissatisfaction / Constant Turnover

3. Principles of Effective Process Management • Safety First • Waste elimination • Responsiveness to change • Right things, right place, right time • Effective relationships within the value chain • Continual improvement • Optimal first delivered unit quality

4. Fundamental Concept of Lean ThinkingWaste Elimination • Waste: Anything other than the minimum amount of equipment, materials, parts, space and worker’s time, which are absolutely essential to add value to the product or service Waste = Money Down the Drain

5. Types of Waste • Defects • Over-Production • Waiting • Not necessary – excessive processing, mass inspection, alignments, adjustments • Transportation • Inventory • Motion • Employees Underutilized

6. Causes of Waste • Layout (Distance) • Long Setup Time • Lack of Reliable Processes • Lack of Preventive Maintenance • Inconsistent Work Methods • Lack of Training • Lack of Discipline • Inconsistent Performance Measures • Ineffective Production Planning or Scheduling • Lack of Workplace Organization • Poor Supplier Quality or Reliability

7. Waste of Defects • Rework, Repair, or Scrap • Cost of Material, Labor, and Equipment Usage • Cost of Returns, Customer Dissatisfaction Tips to Eliminate Waste: • Mistake Proofing • Reduce Batch Size • Implement Work Cells • Initial Process Capability • Build Quality Into Process / Not Inspecting It In

8. Waste of Over-Production • To Produce More Than Required • To Produce Before Required Tips to Eliminate Waste: • Develop Continuous Process Flow • Produce Only What the Customer Wants - When the Customer Wants It • Eliminate Batching & Queue Processes

9. Waste of Waiting Time • Employee Waits for Machine, Tools, Material, Maintenance, Supervisor, Etc. • Machine Waits for Maintenance, Operator, Material, Tooling, Changeovers, Etc. Tips to Eliminate Waste: • Balance Flows • Utilizing Work Cells • Planning and Scheduling • Set-Up Time Reduction

10. Waste of Not-necessary - Excess Processing • Poor Design of Parts; Alignments • Poor Maintenance of Equipment; Extra Adjustments • Poor Instructions and Training; and re-training • Mass Inspection – Sorting - Reworking Parts Tips to Eliminate Waste: • Modifying Equipment or Dies • Modifying Design of Parts • Cleaning Area (5S) and Maintenance Equipment • T.P.M. Total Productive Maintenance • Implementing Work Cells

11. Waste of Transportation • Double or Triple Handling • Long Distance Moving of Materials and Tools Tips to Eliminate Waste: • Move Operations Close Together (Work Cells) • Combine Jobs • Standardize Part Handling

12. Waste of Inventories • Excessive Raw Materials • Excessive Finishing Goods • Excessive Work in Progress • Excessive Supplies • Requires Extra Handling, Space, Paperwork Tips to Eliminate Waste: • Dispose of ALL Obsolete Material • Only Produce Items Required by Next Operation - (Line Balance) • Reduce Purchasing Items in Large Lots • Manufacture in Smallest Lot Possible (GOAL: 1Piece)

13. Waste of Motion • Walking to and From for Tools, Parts, Material, and Equipment • Searching for Tools, Parts, and Material • Long Set-up Times Tips to Eliminate Waste: • Good Housekeeping (5S) • Cellular Layout • Combining Operations • Reducing Changeover/ Set-up Time

14. Waste of Employees Underutilized • People Not Cross Trained • Lack of Communication • No System to Generate Ideas or Input • People Have No Responsibility or Accountability Tips to Eliminate Waste: • Develop Work Teams Along Process Flows • Utilize People for Continuous Improvement • Empower People to Be Responsible for Their Areas

15. Examples of Waste • Accumulating Inventory • Waiting for Material to Work On • Machine Breakdown • Looking for Tools • Defects • Rework • Parts Shortage • Temporary Storage • Counting Parts

16. Examples of Waste (continued) • Carrying Heavy Work-piece • Watching the Machine Run • Entering the Inventory Count Into the Computer • Transferring Parts Over a Long Distance • Over-Production and Double Handling • Inspection

17. “Lean” Thinking requires … • Processes that... • Optimize the flow of products and services between stations /sites • Provide seamless and timely information flow • Are defined and controllable throughout the Value chain • Tools that... • Provide enabling technologies (such as CATIA, SPC, Workstations, Intranet, etc) to all employees • Are low cost and flexible (reduce quantity of fixed tooling)

18. “Lean” Thinking requires … • Human Resources that... • Provide a properly trained and informed workforce • Provide career & skill development programs for each employee • Broaden job descriptions to develop a “flexible” workforce • Capital Resources and plans that... • Minimize space utilization and distance traveled • Optimize asset utilization and consumption • Focus on variability reduction

19. Fundamental Concept Continuous Improvement is about the Continual Elimination of Waste!

20. Learn to Manage your Business “Without the Cost of Waste …” Here’s some simple Waste Elimination Tips applicable to every process. www.freeleansite.com