lean pocket guide

7/29/2019 Lean Pocket Guide

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The purpose of the

lean pocket guide is

to get everybody

familiarize with the

concept of Lean

Manufacturing

Lean Pocket Guide

2010

Larsen & Toubro

Heavy Engineering Division

Powai


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Lean manufacturing Larsen & Toubro

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you are 32 Pages awayfrom the Leaner Production


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ContentsWhat lean exactly is and how it relates to

WMS...............................................................5

Leadership commitment .6

What lean is, what lean is not...9

Value added vs. Non Value added.....10

Facts about Lean concept.....11

Lean manufacturing tools.12

Why lean is important to L&T? .....................13

7 Types of wastes....14

Concept of Pull system ...19

Standardization ...20

Tag System 22

FMEA...23


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What is poka yoke? ....24

JIT ....26

SMED ..28

Best Practices ...30

Work place organization....31

Result of lean implementation....32

Glossary .......33

Notes .....34


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What lean exactly is and how it

relates to WMS

Lean has a system that only works on things

that add value to the final product. The

objective of lean is to concentrate all the

resources, money, and time to the operations

that add value to the final product. This is

achieved through the elimination of all the

wastes that exists in the system in the form of

motion wastage, overwork, inventory,

unnecessary movement of material, waste of

correction, overproduction, waiting time and so

on.

Lean uses several tools that identify and

continually eliminate all above mentioned

wastes. It achieves the final goal of having

system that only focuses its resources on the

Value.

Lean methodology applied to the activities on

the critical chain will significantly improve the

throughput.


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7

Leadership commitment

Lean manufacturing is a top down approach.

The one thing that is of utmost importance to

the successful implementation of lean is the

commitment from the top management and

highly motivated and dedicated workforce.

After implementation of basic lean tools suchas 5S, visual control, standardization;

employees starts to see noticeable improvement

on the shop floor. This certainly acts as huge

motivating factor. Till this stage if management

succeeds in keeping employees momentum up

to the mark, company will certainly see evident

results. After people starts seeing the

advantages they are getting from the

philosophy, they will own the concept and will

get self motivated to try out lean activities with

perfection.

Management and Lean manufacturing team

have a vital role to play. Working closely with

workmen, educating them about the relevant

activities as well as conducting team meetings

to discuss the happenings will prove valuable


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in keeping everybodys curiosity towards the

lean work methods.

Any problem whether it is big or small must be

reported. If an employee doesnt report a defect

for any reason, this will act against the concept

of lean manufacturing since it amounts to

hiding the defect rather than making it visible.

Undertaking a lean manufacturing project for

just for the sake of doing it will result into

waste of efforts and money & therefore against

lean manufacturing principles.


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The most dangerous kind of waste is the

waste we do not recognize.

~ Shigeo Shingo

There are three kinds of leaders:

Those that tell you what to do.

Those that allow you to do what you

want.

Lean leaders that come down to the

work and help you figure it out.

~ John Shook

Waste is a tax on the whole people.

~Albert W. Atwood

Lean is not a program, it is a total

strategy.

~ Alex Miller


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Lean is

A manufacturing philosophy

A strategy that eliminates non value

added activities

A process of continuous improvement

A focus on value added expenditure

from a customers viewpoint

Complimentary to TQM and Six Sigma

Lean is NOT

A program of the month

A destination

A corporate fashion statement

A tool to eliminate people


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Value added vs. Non Value added

Lean manufacturing is determined to reduce

the area which is marked in red in the above

figure (ie- Non value added Time) thereby

eliminating the waste.


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Facts about Lean manufacturing

concept

It doesnt require Huge financial backup

Needs appreciable support from the top

management (This is of prime importance!)

Lean management concept can be applied

to anything. Lean management can be

applied to service industry, manufacturing

industry, hospital administration, military

applications, educational and financialinstitutions and the list is unending.

The above point can be further elaborated

by Lean X notation. We can practically put

anything instead of X in above notation.

(For e.g. Lean office, lean bank, lean school,

lean hospital, lean factory, lean supply

chain, lean manufacturing, lean processes

and so on.)


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Lean Manufacturing Tools

On e p i e c e

f l o w

Value stream mapping

Cellular layoutQuality circles

ABC Visual control

TPMTPMTPMTPM TOCTOCTOCTOCCAUSE AND EFFECT DIAGRAMS

Multi-process handling

5WHY Kanban


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Why Lean is important? To prevent production delays

To solve the difficulty in meeting

deadlines

To do more with less resources

To reduce overburden of work

To reduce inventory

To maintain its competitive position inglobal market

To improve cost-quality-delivery

performance

To make the system easy and flexible


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7Types of WastesLean Manufacturing is a work management concept

that emphasizes on eliminating wastes in the system.

There are 7 types of wastes which are identified in the

production system. These are as follows popularly

known as COMMWIP:

1. Waste of Correction: Its a waste associated withcorrecting any defects which are produced at the

first place.

2. Waste ofOverproduction: Its the waste associatedwith producing more than what the customer has

asked for at that time.3. Waste ofMotion: Its the waste associated with the

motion/actions of workman that does not add any

value to the product.

4. Waste ofMovement: Its the waste associated withunnecessary movement of machine, raw material

etc.5. Waste of Waiting: Its the waste associated with

waiting

6. Waste of Inventory: it is the waste associated withholding of unnecessary raw materials, work in

process (WIP), finished goods.

7. Waste of Processing: this is the waste associatedwith the processes that add no value to the

product.


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Waste of transportation waste of waiting

Waste of inventory waste of processing(over processing)

Waste of overproduction Waste of motion

Waste of correction


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A bad system will beat a good person every

time.

~W. Edwards Deming

Continuous improvement is not about the things

you do well - that's work. Continuous

improvement is about removing the things that

get in the way of your work. The headaches,

the things that slow you down, thats what

continuous improvement is all about.

~ Bruce Hamilton

All we are doing is looking at the time line,from the moment the customer gives us an

order to the point when we collect the cash.

And we are reducing the time line by reducing

the non-value adding wastes.

~ Taiichi Ohno


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Tool Objective

5-S Workplace Management Tool

Visual control Communication & sharingValue streammapping

Waste identification

Standardization Identify and eliminatesources of waste in theprocess,Continuous improvement

(Standardized work)FMEA Continuous improvement

Poka yoke Error proofing / Foolproofing

Theory ofconstraints

(TOC)

Finite capacity scheduler

Cellularmanufacturing

Reduction in Waste ofunnecessary movement, onepiece flow

Load leveling(Heijunka)

Eliminate sources of waste inthe process,Improvement in the Flow

JIT Reduction in inventory,improvement in the flow ofthe system

SMED Reduction in setup time

Kanban Reduction in inventory,improvement in the flow of

the systemKaizen Continuous improvement


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All the tools mentioned on the previous page

collectively reduce wastes out of the system.

These tools have lot of dependency on each

other.

Following pages cover brief introduction of

various lean tools:


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Pull system

A product undergoes series of operations for its completion.

Every process in the company acts as a supplier to itssubsequent process whereas it acts as a customer to its

previous process.

Every supplier process supplies the required components

(raw materials, partially completed job) to its customer

process as and when they are needed. Operator will start

working towards providing resources to the customer

process only if its customer process signals him/her to do

so. This way, product flows through a series of processes

towards its completion. No inventory is maintained while

operating a PULL system. Customer process pulls

resources from supplier process and initiates value

addition tasks. Whether the system has transformed to pullsystem or not is one of the success measures of lean

manufacturing.


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Standardization

Standardization is nothing but doing work in a

best possible way and exactly the same way everytime. Lean efforts start with implementation of 5-Sand visual control techniques. After which the plantlooks clean, neat. Good housekeeping activities areperformed and clutter is minimized. This phase oflean costs almost no money. But in order to makeother tools workable on the shop floor, sustainmentof this disciplined system is much needed. And it isjust a matter of keeping it up to the speed. This iswhere the standardization of lean manufacturing willcome into effect.

Here the processes are defined and standard of each

process is established. Even though workman isworking on different jobs, the processes which arecommon between the jobs such as welding, platecutting, stamping and so on should have samestandard and should be performed in an exact wayas defined by the standard.

After designing standard processes with the help ofworkmen, supervisors and the employees which areassociated with it, constantly raising companysstandards is also an important task to perform.Continuously benchmarking the processes withindustry leaders or with world class organizations

will maintain the edge over others.


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Tell me and I will forget, show me and I mayremember, involve me and Ill understand.

~Chinese Proverb

Implementing Lean concepts and principles is not

a technological issue, it is primarily a

management and human resource issue.

~Kenneth E. Kirby

Many people think that Lean is about cutting

heads, reducing the work force or cutting

inventory. Lean is really a growth strategy. It is

about gaining market share and being prepared to

enter in or create new markets.

~ Ernie Smith


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Tag System

A tag system is the way to identify any unknown jobs,materials or components which are lying on the shop floor.

If a material, partially completed job or any miscellaneouscomponent is identified on the shop floor, a workman canput up an attention tag on it. This will capture supervisorsattention and an appropriate action will be taken.

The intension of putting the attention tag is to grabsupervisors attention to the fact that there is an objectlying around which has no place. This may mean that ithas been put there because of some mistake and somebodywill be looking for it somewhere else. (This system is inaccordance with 5S saying everything should have a placeand everything should be in its place)

For the shop floor to be Lean everything must have a placeor a designated area so, that nobody has to waste time tofind out where the things are. Red Attention tag sendsinformation of urgency. This eventually helps in makingsystem flawless.

If a supervisor is able to identify what the miscellaneous

component is and where should it go, he can mention theinformation on the red tag and contact the concernedperson immediately.

Less amount of red tags on the shop floor means that thesystem is improving. Zero red tag on the shop floor signifiesimproved system!!!

Attention Tag!!!

Information about the item:


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FMEA (Failure Mode Effect Analysis)

FMEA is a tool for analysis of potential

failure modes that may arise in the system

or a product

It helps us anticipating the failure modes

and their impact before they go to the

customer.

It helps company to keep goodwill of the

customer as the flaws get exposed at the

early stage of product development and

never reaches the customer.

Above table represents Filure mode analysis ofcasting operation. In how many ways a casting

operation can be failed or performed incorrectly is

found out, its effect and causes are analysed and the

coorective action (solution) is proposed.


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What is poka yoke?

Poka yoke is a fool proofing system. It is any device

or a mechanism that either prevents a mistake from

being made or ensures that the mistakes dont get

translated into errors that the customer see or

experience. The goal of the poka yoke is both

prevention and detection of defects.

Examples of application of poka yoke device:

1) A fuse is an everyday example of a poka yoke

device. A fuse is an over current responsive safety

device used to protect an electrical circuit from the

effects of excessive current. It is placed in series with

the electrical circuit it is intended to protect. Itsessential component is a strip of metal that will melt

when the electric current in the circuit exceeds the

fuse's rated value. The element (link) in the fuse

melts and opens the circuit.

New fuse (Left) destroyed strip (right)


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Poka Yoke Contd

2) Another example of poka yoke is a manhole cover.

Manhole cover is always kept round in shape. If

manhole would have been of any other shape thanround (square, rectangular etc), it was possible to

drop it accidentally while opening it. Square or other

shaped manhole can be easily fall through the

diagonal dimension.


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JIT

Just in time is a strategy that focuses on reducing

both in process inventory as well as inventory of rawmaterial. This methodology is also called as ToyotaProduction System. This was developed andpioneered by Toyota Motor Company.

The system relies on another tool of lean which isKanban card system. These two tools collectively try

to minimize inventory on the shop floor. Kanbancards tell the workman about which part in whatquantity and when is needed for certain workstation. As a result of this, every workman on theshop floor gets raw materials and/or partiallymanufactured componentjust before the time whenthe requirement of materials arises. On the otherhand workman does not have to wait until thematerials reach the workstation. This also promotesone piece product flow.

The system starts its transformation from pushprocess to pull process.

The tool has an exceptional ability to reduce WIP(work in process inventory). Eventually success ofJIT results in monetary savings and better flow ofproduct throughout the shop floor. Inventoryreduction indirectly causes other costs such asinsurance costs, maintenance costs, and inspection

costs to go down.


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Are you too busy for improvement? Frequently,I am rebuffed by people who say they are too

busy and have no time for such activities. I

make it a point to respond by telling people,

look, youll stop being busy either when you die

or when the company goes bankrupt.

~ Shigeo Shingo

When solving problems, dig at the roots instead

of just hacking at the leaves.

~Anthony J. D'Angelo

Kanban is like the milkman. Mom didnt givethe milkman a schedule. Mom didnt use MRP.

She simply put the empties on the front steps

and the milkman replenished them. That is the

essence of a pull system

~ Ernie Smith


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SMED (Single Minute Exchange of Die)

Single Minute Exchange of Die focuses on Set-

up and changeover reductions for equipment,

tooling and machines.

Setup is considered as a non value added

activity. More importantly, it takes appreciable

amount of manufacturing time and efforts.Setup change is required when manufacturing

unit changes from one job to another. Due to

the variety involved in the products, it becomes

mandatory to have a mechanism or a device

that performs a quick changeover operation.

Single minute exchange of die does not literally

mean setup operation of 1 minute. It indicates

requirement of appreciably less amount of time

to carry out changeover activities.


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SMED Contd

Above device facilitates quick die changing

activity. With the help of a connecting linkage,

it becomes possible to perform die changing

activity with a single rotation of the connecting

link.

Operator first puts Part A in preheating station.

After preheating is done, it is moved to casting

station. At this stage, Part A undergoes casting

operation whereas part B undergoes

preheating. This arrangement makes efficient

use of time producing more number of

products per hour.


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Designated Walkways Information Board

(visual Control)

Everything has a place and everything is in its place

Best Practices


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Work place organization


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Expected Result of lean implementation

Inventory reduction by90%

Production lead time reduction by90%

Floor space reduction by50%

Quality improvement by50%

Safety improvement 50%

Productivity enhancement by30%

Improved delivery performance

Apart from above quantitative advantages

there is much more we can expect from

Lean Manufacturing

Good team spirit which will drive L&T to theexcellence

Innovative culture to the organization

Self driven people

Pleasant working conditions

Workman involvement and improved

workman satisfaction

Longer machine life

Systematic approach to work

Improved flexibility

Environmentally friendly

Built in quality


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Glossary

5S Workplace management system (sort, set inorder, shine, standardize, sustain)

Kaizen Continuous improvement methodology

Takt Time its a ratio of customer demand andavailable time. Takt time is the pace at whichoperations have to run in order to meet deadlines.

Visual Factory Factory that facilitates an easyunderstanding of the status of operations carried outin work area through visual control means.

Standardized work Doing the operation in thebest possible way and same way each time.

(Standard is set for a particular process and isobeyed.)

Poka-Yoke Its an error proofing technique. It dealswith designing of simple devices that prevents aworkman to execute any mistakes while operating.

FMEA failure mode analysis it is the analysisdone in order to find out in how many ways aprocess can fail. This is performed before going tothe poka yoke step.

Pull System Make one, move one when thecustomer wants one

Push system Make one, move one before customerwants it


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Notes


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L&T Heavy Engineering Division

Powai, Mumbai 400 072

Author: Akshay Deshpande ([email protected])

For further information, contact:

Vivek Acharya

Email ID: [email protected] (Extn: 5678)
mailto:[email protected]:[email protected]

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