www.emsstrategies.com copyright ems consulting group, inc. 2010 creating an environment for...

Copyright EMS Consulting Group, Inc. 2010

www.emsstrategies.com

Creating an Environment for Continuous Improvement

Darren Dolcemascolo

EMS Consulting Group, Inc.



Presentation Agenda

1. Continuous Improvement Overview

2. Pitfalls/Critical Success Factors

3. Techniques for Driving Continuous Improvement



Continuous Improvement Overview



Continuous ImprovementSystem Lean / Toyota

Production System

Six Sigma

Philosophy •Elimination of waste

•Reduction of defects/variation

Improvement Process/Cycle

•PDCA •DMAIC

Tools VSM, 5S, Standardized Work, Leveling, SMED, TPM, One Piece Flow, Kanban, etc.

Process Mapping, SIPOC, Hypothesis Testing, DOE, Control Charts, etc.



The TPS House Diagram

A System Based on a StructureGoal:

Highest Quality, Lowest Cost, Shortest Lead Time

Best Safety, High Morale

TPS

Just In TimeRight part-

Right amount-Right Time

JidokaBuilt-in-Quality

•Line Stop•Efficiency•Visual Controls•Error Proofing•Andon•5 Whys

Operational StabilityStandardized Work TPM

5SLeveled Production

•Flow•Takt Time•Pull•Quick Changeover

Toyota Production System



What does Lean do?

Value-Creating Time

Non-Value-Creating Time (waste)

Total Lead Time

Total Lead Time

Lean Transformation



Thinking Lean5 Principles of Lean

(Womack and Jones, Lean Thinking)

• Specify value – can only be defined by the ultimate customer

• Identify/Map the value stream – exposes the enormous amounts of waste

• Create one piece flow – reduce batch size and WIP

• Let the customer pull product through the value stream – make only what the customer has ordered

• Seek perfection – Continuously improve quality and eliminate waste



Types of “Muda” or Waste • Overproduction

• Waiting

• Transporting

• Inappropriate Processing

• Unnecessary / Excess Motion

• Excess Inventory

• Defects

78

• Underutilization of Employees’ Minds/Ideas



PDCA

• Plan: Develop an Action Plan for Improvement

• Do: Implement the Plan

• Check: Verify Results• Act: Make Necessary

Adjustments and Define Next Steps

Plan

DoCheck

Act



What is Six Sigma?

• Six Sigma concentrates on reduction of defects/variation in processes

• If you can define and measure customer requirements, you can determine how well you meet this requirement.

• Six Sigma, in statistical terms, translates to 3.4 defects per million opportunities (DPMO)

• The project implementation approach is called DMAIC (Define Measure Analyze Improve Control)



DMAIC• DDefine the problem and what the customers efine the problem and what the customers

requirerequire• MMeasure the defects and process operationeasure the defects and process operation• AAnalyze the data and discover causes of nalyze the data and discover causes of

the problem.the problem.• IImprove the process to remove causes of mprove the process to remove causes of

the defects.the defects.• CControl the process to make sure defects ontrol the process to make sure defects

don’t recur.don’t recur.



Kaizen Events

• 3 to 5 day breakthrough event

• “Working level” participants w. facilitator

• Appropriate for use with several lean tools

Kaizen: “Good Change”



Kaizen Events Overview

Learn

Observe

Brainstorm

Improve

ReportK

aizen Process



Critical Success Factors and Common Pitfalls of Continuous

Improvement



Pitfalls?

• Tendency to use Lean/TPS/Six Sigma as a Tendency to use Lean/TPS/Six Sigma as a CookbookCookbook

• Tendency to make surface changes without Tendency to make surface changes without applying principles properly (customizing to suit applying principles properly (customizing to suit the situation)the situation)

• Failure to tie improvement initiatives to Company Failure to tie improvement initiatives to Company Business ObjectivesBusiness Objectives

• Short-Term Thinking at the Expense of Long Short-Term Thinking at the Expense of Long TermTerm

• Lack of Plans/Methods to Engage All EmployeesLack of Plans/Methods to Engage All Employees• Lack of Standardized Work With Metrics and Lack of Standardized Work With Metrics and

AuditsAudits



Key Ingredients of Culture Change

Learn By

Doing Education

Organizational Structure

Participation

and Ownership

Accountability / Metrics

Committed, Knowledgeable Leadership

How do we get to this point?



Tools to Increase Participation and Ownership

• Kaizen BoardKaizen Board• 5 Why’s5 Why’s• Standard Work Sheet w. AuditsStandard Work Sheet w. Audits• Visual Performance MetricsVisual Performance Metrics



Kaizen Board

Date Name Problem or Improvement Idea Assigned? Notes

Kaizen BoardArea:

3. At the end of the week during the production meeting with the team, each idea/problem will be recorded electronically and team will prioritize for potential inclusion in "Top 3."

Procedure:

Week Ending:

1. Enter a problem or potential improvement idea (Anyone working in area)2. Supervisor may assign project (if < 1 week duration)



The Five Why’s

Level of Problem Corresponding Level of Countermeasure There is a puddle of oil on the shop floor. Clean up the oil. Because the machine is leaking oil. Fix the machine. Because the gasket has deteriorated Replace the gasket Because we bought gaskets made of inferior material

Change gasket specifications

Because we got a good deal (price) on those gaskets

Change purchasing policies

Because the purchasing agent gets evaluated on short-term cost savings

Change the evaluation policy for purchasing agents.

Source: Peter R. Schultz, The Leader’s Handbook, McGraw-Hill, 1998



1

22

1

SW

IP =

4

3456789

34789

Task # Work Element Time (s) Operator1 Inspect strip 1052 Slide jacket Over Strip 2303 Install Marker 404 Install second marker 385 Install cover 556 Install second band 557 Weld jacket to strip 458 Place in package 459 Prep for Shrink-wrap 97

Op1

Op2

Standard Work Sheet

Operator Balance Chart

Takt Time

0

50

100

150

200

250

300

350

400

1 2

Operator #

Sec

on

ds



Metrics Drive Accountability

• Performance metrics should:– Support the company’s strategy– Be relatively few in number– Be mostly non-financial– Be structured to motivate “lean

behavior”– Be simple and easy to understand– Measure actual results versus

goals– Measure processes rather than

people– Be timely– Be visual

Hour Plan Actual

1 60 25

2 60 72

3 60 52

4 60 76

5 60 49

6 60 55

7 60 44

8 60 86



Questions?

Email: [email protected]

www.emsstrategies.com copyright ems consulting group, inc. 2010 creating an environment for...

Documents

copyright ems consulting

waste slide

control slide

report kaizen process

good change slide

improvement initiatives

time right

steps plan docheck act